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HomeMy WebLinkAbout2023-01-17 City Council Meeting PacketAgenda City Council Meeting City of Edina, Minnesota City Hall Council Chambers Tuesday, January 17, 2023 7:00 PM Watch the meeting on cable TV or at EdinaMN.gov/LiveMeetings or Facebook.com/EdinaMN. Participate in Community Comment Call 786-496-5601 Enter Conference PIN 3305259# Press *1 on your telephone keypad when you would like to get in the queue to speak An operator will introduce you when it is your turn I.Call To Order II.Roll Call III.Pledge of Allegiance IV.Approval Of Meeting Agenda V.Community Comment During "Community Comment," the Mayor will invite residents to share issues or concerns that are not scheduled for a future public hearing. Items that are on tonight's agenda may not be addressed during Community Comment. Individuals must limit their comments to three minutes. The Mayor may limit the number of speakers on the same issue in the interest of time and topic. Individuals should not expect the Mayor or Council to respond to their comments tonight. The City Manager will respond to questions raised during Community Comments at the next meeting. A.City Manager's Response to Community Comments VI.Adoption Of Consent Agenda All agenda items listed on the Consent Agenda will be approved by one motion. There will be no separate discussion of items unless requested to be removed by a Council Member. If removed the item will be considered immediately following the adoption of the Consent Agenda. (Favorable rollcall vote of majority of Council Members present to approve, unless otherwise noted in consent item.) A.Approve Minutes: Work Session and Regular, Jan. 3, 2023 B.Approve Payment of Claims C.Ordinance No. 2023-01: Setting Morningside Water Rates D.Request for Purchase: 2024 Chevy 2500HD Truck E.Request for Purchase: 2024 Chevy 3500HD Truck F.Request for Purchase: 2024 Chevy 2500HD Truck G.Request for Purchase: 2024 Chevy 2500HD Truck H.Request for Purchase: 2024 Chevy 2500HD Truck I.Request for Purchase: 2024 Chevy 3500HD Truck J.Request for Purchase: 2024 Chevy 2500HD Truck K.Request for Purchase: Three Electric Vehicle Chargers L.Request for Purchase: Home Electri>cation Awareness & Education Campaign Contract 2023 M.Request for Purchase: Wooddale Path Landscape Restoration, ENG 23-2 N.Request for Purchase: Diverging Diamond Interchange (DDI) Professional Services O.Request for Purchase: Printing of "Activities Directory" P.Request for Purchase: Edina Liquor Grandview Product Inventory Q.Request for Purchase: Edina Liquor Grandview Product Inventory R.Request for Purchase: Edina Liquor Southdale Product Inventory S.Approve 2023 Legislative Priorities and Positions VII.Special Recognitions And Presentations A.Update from Hennepin County District Court Chief Judge Toddrick Barnette B.Proclamation: 2023 National Day of Racial Healing VIII.Reports/Recommendations: (Favorable vote of majority of Council Members present to approve except where noted) A.Resolution No. 2023-10: Accepting Donations B.Resolution No. 2022-114: Request to Modify Conservation Restriction at 6800 Indian Hills Road C.Sketch Plan Review for 5201 Grandview Lane D.Approve Additional Sidewalks for the Morningside C Neighborhood Roadway Reconstruction, Improvement No. BA- 462 IX.Manager's Comments A.Prep Memo Jan. 17, 2023 X.Mayor And Council Comments XI.Adjournment The City of Edina wants all residents to be comfortable being part of the public process. If you need assistance in the way of hearing ampli>cation, an interpreter, large-print documents or something else, please call 952-927-8861 72 hours in advance of the meeting. Date: January 17, 2023 Agenda Item #: V.A. To:Mayor and City Council Item Type: Other From:Sharon Allison, City Clerk Item Activity: Subject:City Manager's Response to Community Comments Information CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: None. INTRODUCTION: City Manager Neal will respond to questions asked at the previous Council meeting. Date: January 17, 2023 Agenda Item #: VI.A. To:Mayor and City Council Item Type: Minutes From:Sharon Allison, City Clerk Item Activity: Subject:Approve Minutes: Work Session and Regular, Jan. 3, 2023 Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Minutes as presented. INTRODUCTION: ATTACHMENTS: Description Minutes: Draft City Council Regular, Jan. 3, 2023 Minutes: Draft Work Session, Jan. 3, 2023 Page 1 MINUTES OF THE REGULAR MEETING OF THE EDINA CITY COUNCIL JANUARY 3, 2023 7:00 P.M. I. CALL TO ORDER Mayor Hovland called the meeting to order at 7:01 p.m. then shared the procedure for public hearing and community comment. II. ROLLCALL Answering rollcall were Members Agnew, Jackson, Pierce, Risser, Hovland. Absent: None. II.A. ADMINISTER OATH OF OFFICE Clerk Allison administered oaths of office to Members Agnew and Risser. III. PLEDGE OF ALLEGIANCE IV. MEETING AGENDA APPROVED AS PRESENTED Member Jackson made a motion, seconded by Member Pierce, to approve the meeting agenda as presented. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. V. COMMUNITY COMMENT David Frenkel, 4510 Lakeview Drive, spoke about the need for increased fire department support through mutual aid and asked why Minneapolis was not used, especially in northeast Edina where more coverage was needed. He shared concerns about the location of the proposed new fire station not being sufficient and the need to utilize Minneapolis for mutual aid calls. V.A. CITY MANAGER’S RESPONSE TO COMMUNITY COMMENTS Manager Neal responded to Community Comments at the last meeting. VI. CONSENT AGENDA ADOPTED AS AMENDED Member Jackson made a motion, seconded by Member Pierce, approving the consent agenda as amended, removing Items VI.A., Minutes of the Regular Meeting of December 20, 2022 and VI.B, Claims for payment for Check Register Claims Pre-List dated December 16, 2022, totaling $1,415,373.99 and dated December 23, 2022, totaling $2,411,670.68: VI.A. Minutes of the Regular Meeting of December 20, 2022 VI.B. Claims for payment for Check Register Claims Pre-List dated December 16, 2022, totaling $1,415,373.99 and dated December 23, 2022, totaling $2,411,670.68 VI.C. Adopt Resolution No. 2023-01; Designating Official Newspaper for 2023 VI.D. Adopt Resolution No. 2023-02; Signatory Resolution VI.E. Adopt Resolution No. 2023-03; Designating Official Depositories VI.F. Adopt Resolution No. 2023-04; Designation of Director and Alternate Director of LOGIS VI.G. Adopt Resolution No. 2023-05; Designation of Director and Alternate Director of Suburban Rate Authority VI.H. Adopt Resolution No. 2023-06; Authorizing Facsimile Signatures by Public Officials VI.I. Adopt Resolution No. 2023-09; Approving Mayor’s Appointment of the Commissioners of the Housing and Redevelopment Authority for the City of Edina Minutes/Edina City Council/January 3, 2023 Page 2 VI.J. Annual Appointment of Assistant Weed Inspector VI.K. Request for Purchase; awarding the bid to the recommended low bidder, Change Order #1 Mill Pond Aquatic Vegetation Management Site Visits, Lakes Aquatic Weed Removal, $19,690.00 VI.L. Approve Out-of-State Travel for Mayor Hovland VI.M. Accept Traffic Safety Report of November 29, 2022 Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. VI. ITEMS REMOVED FROM CONSENT AGENDA VI.A. MINUTES OF THE REGULAR MEETING OF DECEMBER 20, 2022 – APPROVED Member Risser noted as she was not on Council at the time and she would be abstaining from approving the December 20, 2022, meeting minutes. Member Jackson made a motion, seconded by Member Pierce, approving the minutes of December 20, 2022, as presented. Rollcall: Ayes: Jackson, Pierce, Hovland Abstain: Agnew, Risser Motion carried. VI.B. CLAIMS FOR PAYMENT FOR CHECK REGISTER CLAIMS PRE-LIST DATED DECEMBER 16, 2022, TOTALING $1,415,373.99 AND DATED DECEMBER 23, 2022, TOTALING $2,411,670.68 – APPROVED Member Risser stated she had not yet been trained regarding payment of claims and would be abstaining from approval of the payment of claims. Member Jackson made a motion, seconded by Member Pierce, approving the payment of claims as presented. Rollcall: Ayes: Jackson, Pierce, Hovland Abstain: Agnew, Risser Motion carried. VII. REPORTS/RECOMMENDATIONS VII.A. RESOLUTION NO. 2023-08; ACCEPTED DONATIONS – ADOPTED Member Pierce introduced and moved adoption of Resolution No. 2023-08 accepting donations. Member Jackson seconded the motion. Roll call: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. VII.B. ACTING MAYOR – APPOINTED Member Jackson made a motion, seconded by Member Agnew, to appoint Member Pierce as Acting Mayor. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. VII.C. MEMBERS TO SCHOOL CITY PARTNERSHIP COMMITTEE – APPOINTED Manager Neal reviewed the mission and work of the School City Partnership Committee. The Council asked questions and provided feedback. Minutes/Edina City Council/January 3, 2023 Page 3 Member Pierce made a motion, seconded by Member Risser, to appoint Member Jackson and Mayor Hovland to the School City Partnership Committee. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. VII.D. SOUTHWEST CABLE COMMISSION BOARD – APPOINTED Mr. Neal reviewed the mission and work of the Southwest Cable Commission Board. The Council asked questions and provided feedback. Member Jackson made a motion, seconded by Member Pierce, to appoint Member Agnew to the Southwest Cable Commission Board. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. VII.E. BOARD OF THE I-494 CORRIDOR COMMISSION – APPOINTED Mr. Neal reviewed the mission and work of the I-494 Corridor Commission. The Council asked questions and provided feedback. Member Jackson made a motion, seconded by Member Risser, to appoint Member Pierce to the Board of the I-494 Corridor Commission. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. VII.F. I-494; AIRPORT TO HIGHWAY 169 PROJECT ADVISORY COMMITTEE – APPOINTED Manager Neal reviewed the mission and tasks of the I-494 Airport to Highway 169 Project Advisory Committee. The Council asked questions and provided feedback. Member Jackson made a motion, seconded by Member Agnew, to appoint Members Pierce and Risser to the I-404 Airport to Highway 169 Project Advisory Committee. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. VII.G. SKETCH PLAN REVIEW FOR 5201 GRANDVIEW LANE – CONTINUED TO JANUARY 17, 2023 Member Agnew made a motion, seconded by Member Jackson, to continue sketch plan review for 5201 Grandview Lane to the January 17, 2023, meeting. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. VIII. COMMISSION CORRESPONDENCE (MINUTES AND ADVISORY COMMUNICATION) - Received 1. ADVISORY COMMUNICATION: 2023 QUALITY OF LIFE SURVEY QUESTION 31 2. MINUTES: TRANSPORTATION COMMISSION, NOVEMBER 17, 2022 IX. MANAGER’S COMMENTS – Received Minutes/Edina City Council/January 3, 2023 Page 4 X. MAYOR AND COUNCIL COMMENTS – Received X.A. MAYOR’S REPORT ON US HEARTLAND CHINA EVENT XI. ADJOURNMENT Member Risser made a motion, seconded by Member Agnew, to adjourn the meeting at 7:58 p.m. Rollcall: Ayes: Agnew, Jackson, Pierce, Risser, Hovland Motion carried. Respectfully submitted, Sharon Allison, City Clerk Minutes approved by Edina City Council, January 17, 2023. James B. Hovland, Mayor Video Copy of the January 3, 2023, meeting available. MINUTES OF THE EDINA CITY COUNCIL WORK SESSION COMMUNITY ROOM, CITY HALL TUESDAY, JANUARY 3, 2023 5:30 P.M. CALL TO ORDER Mayor Hovland called the meeting to order at 5:30 pm. ROLL CALL Answering roll call were Members: Elect Agnew, Jackson, Pierce, Elect Risser, and Mayor Hovland Staff in attendance: Scott Neal, City Manager; Lisa Schaefer, Assistant City Manager; Chad Millner, Engineering Director; Cary Teague, Community Development Director; Stephanie Hawkinson, Affordable Housing Development Manager; Perry Vetter, Parks & Recreation Director; Ryan Browning, I.T. Director; Police Chief Todd Milburn; Fire Chief Andrew Slama; Jennifer Bennerotte, Communications Director; Jeff Matlock, IT Specialist; and Sharon Allison, City Clerk. 2023 LEGISLATIVE PRIORITIES AND POSITIONS Manager Neal presented the City’s 2023 Legislative Priorities and Positions that may be considered in the 2023 state legislative session which started today, Jan. 3. Neal explained that priorities were issues specific to Edina and do not directly affect other communities, while positions were issues affecting cities in general and are not specific to Edina. Neal said listing priorities and positions separately were to allow for greater clarity of how they affect Edina and other communities. Council provided feedback on the priorities and positions in advance of the January 17 work session meeting with its state legislative delegation. ADJOURNMENT Mayor Hovland adjourned the meeting at 6:41 pm. Respectfully submitted, ____________________________________________ Sharon Allison, City Clerk Minutes approved by the Edina City Council, January 17, 2023. ___________________________________________ James B. Hovland, Mayor Date: January 17, 2023 Agenda Item #: VI.B. To:Mayor and City Council Item Type: Claims From:Alisha McAndrews, Finance Director Item Activity: Subject:Approve Payment of Claims Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve claims for payment: Check Register Claims Pre-List Dated 12.30.22 TOTAL $1,381,097.94 Check Register Claims Pre-List Dated 01.06.23 TOTAL $4,313,173.18 INTRODUCTION: Claims information for approval is attached. ATTACHMENTS: Description Check Register Claims Pre-List Dated 12.30.22 TOTAL $1,381,097.94 Check Register Claims Pre-List Dated 01.06.23 TOTAL $4,313,173.18 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 42 JOURNAL ENTRIES TO BE CREATED FUND SUB FUND DUE TO DUE FR 1000 General 250,884.472100 Police Special Revenue 1,244.952100 Police Special Revenue 248.002600 Housing & Redvlpmt Authority 190.503000 Debt Service 400.004000 Capital Projects 86,004.924200 Equipment Replacement 162,597.005100 Art Center 603.845200 Braemar Golf Course 13,441.665200 Braemar Golf Course 10,095.645400 Edinborough Park 8,605.555500 Braemar Arena 6,300.375700 Centennial Lakes 5,507.415800 Liquor 195,868.645900 Utility Fund 31,089.435900 Utility Fund 499,425.405900 Utility Fund 18,802.406000 Risk Management 3,366.276100 Equipment Operations 32,709.316200 Information Technology 22,958.166300 Facilities Management 10,992.257100 PS Training Facility 5,514.467200 MN Task Force 1 14,247.319999 Pooled Cash Fund 1,381,097.94 TOTAL 1,381,097.94 1,381,097.94 ** END OF REPORT - Generated by Shirleng Tan Geil ** City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 1 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 75 12/30/2022 WIRE 100886 METROPOLITAN COUNCIL 0001148922 12/05/2022 498,929.85 CHECK 75 TOTAL: 498,929.85 479701 12/30/2022 PRTD 133522 AARP DRIVER SAFETY PROGRAM 103065 10/13/2022 20221230 300.00 CHECK 479701 TOTAL: 300.00 479702 12/30/2022 PRTD 143143 TORRES, ARMANDO CHAVEZ 2245 12/01/2022 20221230 1,160.00 CHECK 479702 TOTAL: 1,160.00 479703 12/30/2022 PRTD 135922 ACUSHNET COMPANY 914704675 12/14/2022 20221230 93.26 ACUSHNET COMPANY 914704555 12/14/2022 20221230 520.68 CHECK 479703 TOTAL: 613.94 479704 12/30/2022 PRTD 160532 ADVANCED MASONRY RESTORATION INC 1951 11/30/2022 20221230 19,100.00 CHECK 479704 TOTAL: 19,100.00 479705 12/30/2022 PRTD 133504 AID ELECTRIC CORPORATION 72147-1 12/02/2022 20221230 8,083.00 AID ELECTRIC CORPORATION 72147-2 12/02/2022 20221230 1,965.12 CHECK 479705 TOTAL: 10,048.12 479706 12/30/2022 PRTD 160095 AM CRAFT SPIRITS SALES & MARKETIN 15926 12/09/2022 20221230 70.10 AM CRAFT SPIRITS SALES & MARKETIN 15927 12/09/2022 20221230 202.00 AM CRAFT SPIRITS SALES & MARKETIN 15925 12/09/2022 20221230 130.30 AM CRAFT SPIRITS SALES & MARKETIN 15945 12/13/2022 20221230 135.80 AM CRAFT SPIRITS SALES & MARKETIN 15946 12/13/2022 20221230 729.70 AM CRAFT SPIRITS SALES & MARKETIN 15947 12/13/2022 20221230 387.70 CHECK 479706 TOTAL: 1,655.60 479707 12/30/2022 PRTD 141960 AMAZON CAPITAL SERVICES 16LQ-CVXY-WQ73 11/27/2022 20221230 39.79 AMAZON CAPITAL SERVICES 17T3-NYM4-X1KQ 11/29/2022 20221230 9.27 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 2 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET AMAZON CAPITAL SERVICES 1CP1-V4XN-XTFR 11/29/2022 20221230 288.20 AMAZON CAPITAL SERVICES 1F4F-C19P-XXKR 11/29/2022 20221230 499.52 AMAZON CAPITAL SERVICES 1GW4-6749-XHKN 11/29/2022 20221230 58.50 AMAZON CAPITAL SERVICES 1Q4G-7DFT-3C1F 11/29/2022 20221230 18.40 AMAZON CAPITAL SERVICES 1YHW-PT6N-3D4R 11/29/2022 20221230 216.64 AMAZON CAPITAL SERVICES 1XNW-K3T1-46NN 11/29/2022 20221230 6.69 AMAZON CAPITAL SERVICES 16RX-H3M7-6DT1 11/29/2022 20221230 73.08 AMAZON CAPITAL SERVICES 11WP-FYHJ-9JR9 11/30/2022 20221230 27.98 AMAZON CAPITAL SERVICES 1HX3-9MHR-FMNL 11/30/2022 20221230 109.75 AMAZON CAPITAL SERVICES 1Q4G-7DFT-HR6V 11/30/2022 20221230 158.48 AMAZON CAPITAL SERVICES 1PXK-HQJW-JPQM 11/30/2022 20221230 215.96 AMAZON CAPITAL SERVICES 1NWR-474H-HNKH 11/30/2022 20221230 46.98 AMAZON CAPITAL SERVICES 146R-HCLT-7WLM 12/01/2022 20221230 252.97 AMAZON CAPITAL SERVICES 1NLM-4NLC-1V9C 12/01/2022 20221230 228.68 AMAZON CAPITAL SERVICES 1GWW-76VP-37CG 12/01/2022 20221230 109.98 AMAZON CAPITAL SERVICES 1GNK-CNH7-37KH 12/01/2022 20221230 62.99 AMAZON CAPITAL SERVICES 1PX3-7RJ3-3CNR 12/01/2022 20221230 16.66 AMAZON CAPITAL SERVICES 1QTW-DNCJ-3JY6 12/01/2022 20221230 159.98 AMAZON CAPITAL SERVICES 1WYX-6RDK-11QQ 12/01/2022 20221230 64.34 AMAZON CAPITAL SERVICES 1CPL-9L9R-3LGF 12/01/2022 20221230 265.10 AMAZON CAPITAL SERVICES 17M9-KWH1-43WP 12/02/2022 20221230 67.98 AMAZON CAPITAL SERVICES 13R4-XKRJ-7CHL 12/02/2022 20221230 339.30 AMAZON CAPITAL SERVICES 1RVM-G9HJ-C67R 12/02/2022 20221230 7.99 AMAZON CAPITAL SERVICES 1CPN-H79Q-CG4M 12/02/2022 20221230 134.50 AMAZON CAPITAL SERVICES 1GFT-F6WC-F1YQ 12/02/2022 20221230 221.70 AMAZON CAPITAL SERVICES 1VG9-HXWC-F9MF 12/02/2022 20221230 147.69 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 3 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET AMAZON CAPITAL SERVICES 1CVJ-9HGV-FK7P 12/03/2022 20221230 31.99 AMAZON CAPITAL SERVICES 1WYX-6RDK-HLV4 12/03/2022 20221230 27.99 AMAZON CAPITAL SERVICES 1DWQ-4Q4W-LX9V 12/03/2022 20221230 83.96 AMAZON CAPITAL SERVICES 1FQY-F4K3-NF1T 12/04/2022 20221230 64.26 AMAZON CAPITAL SERVICES 1R9J-PLTH-N7PM 12/04/2022 20221230 59.19 AMAZON CAPITAL SERVICES 1FXW-6NX9-TGNP 12/04/2022 20221230 33.09 AMAZON CAPITAL SERVICES 1RVQ-6D1K-VMFV 12/04/2022 20221230 35.47 AMAZON CAPITAL SERVICES 1TYL-VQQJ-VQFD 12/04/2022 20221230 11.94 AMAZON CAPITAL SERVICES 1GFY-WWXT-1LPR 12/05/2022 20221230 12.12 AMAZON CAPITAL SERVICES 1GFY-WWXT-1RG7 12/05/2022 20221230 18.57 AMAZON CAPITAL SERVICES 1T7Y-YNNY-1WNX 12/05/2022 20221230 299.99 AMAZON CAPITAL SERVICES 1X66-64RF-3KFC 12/05/2022 20221230 291.73 AMAZON CAPITAL SERVICES 1NMD-K9RD-4F46 12/05/2022 20221230 29.99 CHECK 479707 TOTAL: 4,849.39 479708 12/30/2022 PRTD 100630 ANCHOR PAPER COMPANY 10704142-00 11/29/2022 20221230 8,526.06 CHECK 479708 TOTAL: 8,526.06 479709 12/30/2022 PRTD 100632 AQUA ENGINEERING INC 111260 11/30/2022 20221230 2,920.00 CHECK 479709 TOTAL: 2,920.00 479710 12/30/2022 PRTD 151441 ARAMARK UNIFORM AND CAREER APPEAL 2500142488 11/30/2022 20221230 203.37 CHECK 479710 TOTAL: 203.37 479711 12/30/2022 PRTD 106304 ASPEN MILLS INC 304945 12/05/2022 20221230 211.28 ASPEN MILLS INC 304946 12/05/2022 20221230 563.36 ASPEN MILLS INC 304947 12/05/2022 20221230 615.06 ASPEN MILLS INC 304948 12/05/2022 20221230 219.69 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 4 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET ASPEN MILLS INC 304949 12/05/2022 20221230 241.83 ASPEN MILLS INC 304985 12/05/2022 20221230 462.34 ASPEN MILLS INC 304986 12/05/2022 20221230 383.04 ASPEN MILLS INC 304938 12/05/2022 20221230 223.93 ASPEN MILLS INC 304939 12/05/2022 20221230 246.70 ASPEN MILLS INC 304940 12/05/2022 20221230 150.68 ASPEN MILLS INC 304941 12/05/2022 20221230 82.85 ASPEN MILLS INC 304942 12/05/2022 20221230 28.50 CHECK 479711 TOTAL: 3,429.26 479712 12/30/2022 PRTD 102774 ASPEN WASTE SYSTEMS OF MINNESOTA S1406543-110122 11/01/2022 20221230 9,751.76 ASPEN WASTE SYSTEMS OF MINNESOTA S1405453-110122 11/20/2022 20221230 2,818.45 CHECK 479712 TOTAL: 12,570.21 479713 12/30/2022 PRTD 160447 AUDIO LOGIC PRO SOUND COMPANY LLC 14666 12/02/2022 20221230 285.00 CHECK 479713 TOTAL: 285.00 479714 12/30/2022 PRTD 101718 IEH AUTO PARTS LLC 380130949 11/29/2022 20221230 7.92 IEH AUTO PARTS LLC 380131117 11/30/2022 20221230 49.00 CHECK 479714 TOTAL: 56.92 479715 12/30/2022 PRTD 140424 AXON ENTERPRISES INC INUS120639 12/01/2022 20221230 16,550.00 CHECK 479715 TOTAL: 16,550.00 479716 12/30/2022 PRTD 100643 BARR ENGINEERING CO 23271869.01-7 12/05/2022 20221230 17,047.90 BARR ENGINEERING CO 23270354.00-289 12/05/2022 20221230 12,674.50 BARR ENGINEERING CO 23271896.00-4 12/05/2022 20221230 362.50 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 5 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479716 TOTAL: 30,084.90 479717 12/30/2022 PRTD 101355 BELLBOY CORPORATION 0097737600 12/15/2022 20221230 3,992.26 BELLBOY CORPORATION 0106158000 12/15/2022 20221230 575.83 BELLBOY CORPORATION 0097715700 12/15/2022 20221230 1,306.85 BELLBOY CORPORATION 0097715600 12/15/2022 20221230 1,043.68 BELLBOY CORPORATION 0106158200 12/15/2022 20221230 203.93 BELLBOY CORPORATION 0097737400 12/15/2022 20221230 4,236.32 BELLBOY CORPORATION 0097715500 12/15/2022 20221230 935.55 BELLBOY CORPORATION 0106158100 12/15/2022 20221230 811.61 BELLBOY CORPORATION 0106173800 12/15/2022 20221230 259.18 CHECK 479717 TOTAL: 13,365.21 479718 12/30/2022 PRTD 117379 BENIEK PROPERTY SERVICES INC 159467 12/01/2022 20221230 2,677.34 CHECK 479718 TOTAL: 2,677.34 479719 12/30/2022 PRTD 126847 BERRY COFFEE COMPANY 929960 12/02/2022 20221230 849.65 CHECK 479719 TOTAL: 849.65 479720 12/30/2022 PRTD 140239 BINDER LIFT LLC 22612 12/01/2022 20221230 1,274.00 CHECK 479720 TOTAL: 1,274.00 479721 12/30/2022 PRTD 142153 BLACK STACK BREWING INC 20509 12/15/2022 20221230 487.00 CHECK 479721 TOTAL: 487.00 479722 12/30/2022 PRTD 142153 BLACK STACK BREWING INC 20510 12/15/2022 20221230 956.00 BLACK STACK BREWING INC 20508 12/15/2022 20221230 704.00 CHECK 479722 TOTAL: 1,660.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 6 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479723 12/30/2022 PRTD 132444 BOLTON & MENK INC 0302309 11/30/2022 20221230 2,652.50 CHECK 479723 TOTAL: 2,652.50 479724 12/30/2022 PRTD 101010 BORDER STATES INDUSTRIES INC 925422249 12/05/2022 20221230 2,676.12 CHECK 479724 TOTAL: 2,676.12 479725 12/30/2022 PRTD 105367 BOUND TREE MEDICAL LLC 84780234 12/02/2022 20221230 1,849.48 BOUND TREE MEDICAL LLC 84781598 12/05/2022 20221230 374.97 BOUND TREE MEDICAL LLC 84781599 12/05/2022 20221230 302.04 CHECK 479725 TOTAL: 2,526.49 479726 12/30/2022 PRTD 119351 BOURGET IMPORTS 192555 12/13/2022 20221230 2,882.00 BOURGET IMPORTS 192554 12/13/2022 20221230 4,782.00 BOURGET IMPORTS 192556 12/13/2022 20221230 3,672.00 CHECK 479726 TOTAL: 11,336.00 479727 12/30/2022 PRTD 117040 BOYER FORD TRUCKS INC 008P16492 11/16/2022 20221230 66.25 CHECK 479727 TOTAL: 66.25 479728 12/30/2022 PRTD 100664 BRAUN INTERTEC CORPORATION B319378 12/01/2022 20221230 1,100.50 CHECK 479728 TOTAL: 1,100.50 479729 12/30/2022 PRTD 124291 BREAKTHRU BEVERAGE MINNESOTA WINE 346939668 12/14/2022 20221230 178.10 BREAKTHRU BEVERAGE MINNESOTA WINE 346939667 12/14/2022 20221230 2,641.65 BREAKTHRU BEVERAGE MINNESOTA WINE 346939670 12/14/2022 20221230 107.81 BREAKTHRU BEVERAGE MINNESOTA WINE 346939671 12/14/2022 20221230 121.15 BREAKTHRU BEVERAGE MINNESOTA WINE 346939690 12/14/2022 20221230 278.40 BREAKTHRU BEVERAGE MINNESOTA WINE 346939688 12/14/2022 20221230 89.15 BREAKTHRU BEVERAGE MINNESOTA WINE 346939686 12/14/2022 20221230 1,400.60 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 7 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET BREAKTHRU BEVERAGE MINNESOTA WINE 346939685 12/14/2022 20221230 363.25 BREAKTHRU BEVERAGE MINNESOTA WINE 346939692 12/14/2022 20221230 548.40 BREAKTHRU BEVERAGE MINNESOTA WINE 346939694 12/14/2022 20221230 2,716.50 BREAKTHRU BEVERAGE MINNESOTA WINE 346881555 12/15/2022 20221230 391.44 BREAKTHRU BEVERAGE MINNESOTA WINE 346939666 12/15/2022 20221230 398.07 CHECK 479729 TOTAL: 9,234.52 479730 12/30/2022 PRTD 124529 BREAKTHRU BEVERAGE MINNESOTA BEER 346917091 12/13/2022 20221230 533.30 BREAKTHRU BEVERAGE MINNESOTA BEER 346916666 12/13/2022 20221230 944.25 BREAKTHRU BEVERAGE MINNESOTA BEER 346916674 12/13/2022 20221230 440.00 BREAKTHRU BEVERAGE MINNESOTA BEER 346916675 12/13/2022 20221230 619.80 BREAKTHRU BEVERAGE MINNESOTA BEER 900097153 12/14/2022 20221230 1,719.65 CHECK 479730 TOTAL: 4,257.00 479731 12/30/2022 PRTD 100667 CONSTRUCTION SUPPLY HOLDINGS II, 15742079-0 11/10/2022 20221230 546.30 CHECK 479731 TOTAL: 546.30 479732 12/30/2022 PRTD 116408 BTR OF MINNESOTA LLC 41126 12/01/2022 20221230 185.70 CHECK 479732 TOTAL: 185.70 479733 12/30/2022 PRTD 120935 CAMPBELL KNUTSON PA 11-2022-2851 11/30/2022 20221230 23,192.12 CHECK 479733 TOTAL: 23,192.12 479734 12/30/2022 PRTD 119455 CAPITOL BEVERAGE SALES LP 2776428 12/16/2022 20221230 101.96 CAPITOL BEVERAGE SALES LP 2776429 12/16/2022 20221230 2,150.90 CAPITOL BEVERAGE SALES LP 2774425 12/13/2022 20221230 3,137.85 CAPITOL BEVERAGE SALES LP 2776426 12/16/2022 20221230 421.20 CAPITOL BEVERAGE SALES LP 24380002 12/16/2022 20221230 -27.60 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 8 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CAPITOL BEVERAGE SALES LP 2774309 12/16/2022 20221230 -165.20 CAPITOL BEVERAGE SALES LP 2776427 12/16/2022 20221230 159.09 CHECK 479734 TOTAL: 5,778.20 479735 12/30/2022 PRTD 143702 CARAHSOFT TECHNOLOGY CORPORATION 36148266INV 12/08/2022 20221230 1,300.51 CHECK 479735 TOTAL: 1,300.51 479736 12/30/2022 PRTD 144675 CARLOS CREEK WINERY INC 24407 12/14/2022 20221230 156.00 CHECK 479736 TOTAL: 156.00 479737 12/30/2022 PRTD 105497 CENTRAL ROOFING COMPANY 32141 12/02/2022 20221230 17,870.00 CHECK 479737 TOTAL: 17,870.00 479738 12/30/2022 PRTD 101264 CHESTER LATAWIEC JUNIOR 30017 11/30/2022 20221230 952.95 CHECK 479738 TOTAL: 952.95 479739 12/30/2022 PRTD 142028 CINTAS CORPORATION 4139309190 12/05/2022 20221230 17.87 CINTAS CORPORATION 4139309151 12/05/2022 20221230 26.88 CINTAS CORPORATION 4139309241 12/05/2022 20221230 27.65 CINTAS CORPORATION 4139309130 12/05/2022 20221230 11.78 CINTAS CORPORATION 4139309224 12/05/2022 20221230 38.79 CINTAS CORPORATION 4139310762 12/05/2022 20221230 65.25 CHECK 479739 TOTAL: 188.22 479740 12/30/2022 PRTD 142028 CINTAS CORPORATION NO.2 5135247768 12/02/2022 20221230 110.69 CHECK 479740 TOTAL: 110.69 479741 12/30/2022 PRTD 100684 TRI-CITY/WILLIAM LLOYD ANALYTICAL 120222-E 12/01/2022 20221230 1,752.38 CHECK 479741 TOTAL: 1,752.38 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 9 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479742 12/30/2022 PRTD 141531 CITY OF HASTINGS HASTINGS-12/2022-1 12/02/2022 20221230 5,967.23 CHECK 479742 TOTAL: 5,967.23 479743 12/30/2022 PRTD 103216 MINNEAPOLIS FIRE DEPARTMENT MFD-11/2022-3 11/30/2022 20221230 5,476.38 CHECK 479743 TOTAL: 5,476.38 479744 12/30/2022 PRTD 100687 CITY OF RICHFIELD 41013 #1 11/21/2022 20221230 12,076.96 CHECK 479744 TOTAL: 12,076.96 479745 12/30/2022 PRTD 139927 CITY OF ROCHESTER MN ROCHESTER-11/2022-4 11/30/2022 20221230 1,192.40 CHECK 479745 TOTAL: 1,192.40 479746 12/30/2022 PRTD 139927 CITY OF ROCHESTER MN ROCHESTER-12/2022-1 12/01/2022 20221230 150.00 CHECK 479746 TOTAL: 150.00 479747 12/30/2022 PRTD 100087 CITY OF SAINT PAUL IN52225 11/30/2022 20221230 655.02 CHECK 479747 TOTAL: 655.02 479748 12/30/2022 PRTD 146472 CITY WIDE MAINTENANCE OF MN 32009013203 12/01/2022 20221230 4,032.00 CITY WIDE MAINTENANCE OF MN 32009013146 12/01/2022 20221230 4,039.61 CITY WIDE MAINTENANCE OF MN 32009013295 12/01/2022 20221230 1,464.75 CITY WIDE MAINTENANCE OF MN 42009006103 11/29/2022 20221230 2,825.00 CITY WIDE MAINTENANCE OF MN 42009006111 11/29/2022 20221230 2,000.00 CHECK 479748 TOTAL: 14,361.36 479749 12/30/2022 PRTD 105693 BGH INVESTMENTS INC 48105 11/30/2022 20221230 59.84 CHECK 479749 TOTAL: 59.84 479750 12/30/2022 PRTD 130477 MCDONALD DISTRIBUTING COMPANY 664815 12/14/2022 20221230 2,799.05 MCDONALD DISTRIBUTING COMPANY 664814 12/14/2022 20221230 138.75 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 10 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET MCDONALD DISTRIBUTING COMPANY 664816 12/14/2022 20221230 1,683.10 MCDONALD DISTRIBUTING COMPANY 664817 12/14/2022 20221230 213.00 MCDONALD DISTRIBUTING COMPANY 664803 12/14/2022 20221230 536.25 CHECK 479750 TOTAL: 5,370.15 479751 12/30/2022 PRTD 145926 CLEARWATER ANALYTICS LLC 545439 12/05/2022 20221230 972.79 CHECK 479751 TOTAL: 972.79 479752 12/30/2022 PRTD 120433 COMCAST 0540232-12/22 12/08/2022 20221230 95.77 CHECK 479752 TOTAL: 95.77 479753 12/30/2022 PRTD 120433 COMCAST 0007539-12/22 12/08/2022 20221230 915.40 CHECK 479753 TOTAL: 915.40 479754 12/30/2022 PRTD 105981 TILLER CORPORATION 221130 11/30/2022 20221230 5,663.39 CHECK 479754 TOTAL: 5,663.39 479755 12/30/2022 PRTD 132063 RAPP, CRAIG CPG-EDI-11.1.22.1 11/15/2022 20221230 3,000.00 CHECK 479755 TOTAL: 3,000.00 479756 12/30/2022 PRTD 142772 CREATIVE ARCADE 1576 12/01/2022 20221230 950.00 CREATIVE ARCADE 1592 12/01/2022 20221230 5,925.00 CHECK 479756 TOTAL: 6,875.00 479757 12/30/2022 PRTD 101403 CRYSTEEL MANUFACTURING INC LC00080429 11/30/2022 20221230 606.55 CHECK 479757 TOTAL: 606.55 479758 12/30/2022 PRTD 100699 CULLIGAN SOFTWATER SERVICE COMPAN 114X89039107 11/30/2022 20221230 159.78 CHECK 479758 TOTAL: 159.78 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 11 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479759 12/30/2022 PRTD 119214 CUSTOM HOSE TECH 114180 11/30/2022 20221230 128.88 CHECK 479759 TOTAL: 128.88 479760 12/30/2022 PRTD 100130 DAKOTA COUNTY DPC DCSOT-12/2022-1 12/02/2022 20221230 656.03 CHECK 479760 TOTAL: 656.03 479761 12/30/2022 PRTD 104020 DALCO ENTERPRISES INC 4016004 11/30/2022 20221230 355.95 CHECK 479761 TOTAL: 355.95 479762 12/30/2022 PRTD 131865 SAFARILAND LLC I010-466986 11/30/2022 20221230 160.50 CHECK 479762 TOTAL: 160.50 479763 12/30/2022 PRTD 100718 DELEGARD TOOL COMPANY K20685/1 12/05/2022 20221230 36.60 DELEGARD TOOL COMPANY 229935/1 12/05/2022 20221230 29.22 CHECK 479763 TOTAL: 65.82 479764 12/30/2022 PRTD 123995 DICKS SANITATION SERVICE INC 8469235T460 12/01/2022 20221230 630.97 DICKS SANITATION SERVICE INC DT0004921471 10/31/2022 20221230 255.47 CHECK 479764 TOTAL: 886.44 479765 12/30/2022 PRTD 121103 DIRECTV GROUP INC 045419181X221219 12/19/2022 20221230 145.39 CHECK 479765 TOTAL: 145.39 479766 12/30/2022 PRTD 121103 DIRECTV GROUP INC 016523692X221213 12/13/2022 20221230 21.56 CHECK 479766 TOTAL: 21.56 479767 12/30/2022 PRTD 160060 DOMACE VINO LLC 25575 11/30/2022 20221230 543.00 CHECK 479767 TOTAL: 543.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 12 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479768 12/30/2022 PRTD 132810 ECM PUBLISHERS INC 922978 12/01/2022 20221230 255.15 ECM PUBLISHERS INC 922979 12/01/2022 20221230 160.65 ECM PUBLISHERS INC 922980 12/01/2022 20221230 83.30 CHECK 479768 TOTAL: 499.10 479769 12/30/2022 PRTD 103594 EDINALARM INC 84263 12/01/2022 20221230 451.61 CHECK 479769 TOTAL: 451.61 479770 12/30/2022 PRTD 160413 RAINY FALLS VENTURE LLC 391 09/22/2022 20221230 748.85 RAINY FALLS VENTURE LLC 374 08/30/2022 20221230 781.50 CHECK 479770 TOTAL: 1,530.35 479771 12/30/2022 PRTD 100146 ELLIOTT AUTO SUPPLY CO, INC 1-Z31127 11/29/2022 20221230 234.56 ELLIOTT AUTO SUPPLY CO, INC 69-470820 11/29/2022 20221230 3.52 ELLIOTT AUTO SUPPLY CO, INC 1-8202536 11/30/2022 20221230 54.32 CHECK 479771 TOTAL: 292.40 479772 12/30/2022 PRTD 102727 FORCE AMERICA DISTRIBUTING LLC 001-1687768 12/01/2022 20221230 98.91 CHECK 479772 TOTAL: 98.91 479773 12/30/2022 PRTD 102456 GALLS PARENT HOLDINGS LLC BC1766376 12/01/2022 20221230 13.18 GALLS PARENT HOLDINGS LLC BC1765981 12/01/2022 20221230 2,913.04 GALLS PARENT HOLDINGS LLC BC1767189 12/02/2022 20221230 1,105.92 GALLS PARENT HOLDINGS LLC BC1767057 12/02/2022 20221230 446.86 GALLS PARENT HOLDINGS LLC BC1767758 12/02/2022 20221230 26.99 GALLS PARENT HOLDINGS LLC BC1768429 12/05/2022 20221230 163.30 GALLS PARENT HOLDINGS LLC 022886301 12/05/2022 20221230 -259.95 GALLS PARENT HOLDINGS LLC BC1768538 12/05/2022 20221230 515.12 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 13 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET GALLS PARENT HOLDINGS LLC BC1768682 12/05/2022 20221230 605.95 GALLS PARENT HOLDINGS LLC 022924357 12/08/2022 20221230 -50.99 CHECK 479773 TOTAL: 5,479.42 479774 12/30/2022 PRTD 101351 GILBERT MECHANICAL CONTRACTORS LL 224800 11/29/2022 20221230 13,400.00 CHECK 479774 TOTAL: 13,400.00 479775 12/30/2022 PRTD 120079 GOODPOINTE TECHNOLOGY INC 4348 11/30/2022 20221230 1,995.00 CHECK 479775 TOTAL: 1,995.00 479776 12/30/2022 PRTD 100780 GOPHER STATE ONE CALL 2110365 11/30/2022 20221230 797.85 CHECK 479776 TOTAL: 797.85 479777 12/30/2022 PRTD 100781 MJ DONOVAN ENTERPRISES INC 147977 11/30/2022 20221230 595.00 MJ DONOVAN ENTERPRISES INC 147992 11/30/2022 20221230 140.00 MJ DONOVAN ENTERPRISES INC 148019 12/02/2022 20221230 530.00 CHECK 479777 TOTAL: 1,265.00 479778 12/30/2022 PRTD 101103 WW GRAINGER 9532315299 12/02/2022 20221230 13.94 WW GRAINGER 9532756039 12/05/2022 20221230 13.94 WW GRAINGER 9533578721 12/05/2022 20221230 45.60 CHECK 479778 TOTAL: 73.48 479779 12/30/2022 PRTD 144412 WINEBOW MN00123663 12/14/2022 20221230 252.96 WINEBOW MN00123662 12/14/2022 20221230 686.88 WINEBOW MN00123682 12/14/2022 20221230 3,794.73 WINEBOW MN00123683 12/14/2022 20221230 1,131.24 WINEBOW MN00123665 12/14/2022 20221230 270.96 WINEBOW MN00123666 12/14/2022 20221230 2,151.68 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 14 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET WINEBOW MN00123667 12/14/2022 20221230 252.96 WINEBOW MN00121092 12/28/2022 20221230 -42.99 WINEBOW MN00123713 12/15/2022 20221230 153.00 CHECK 479779 TOTAL: 8,651.42 479780 12/30/2022 PRTD 100788 H & L MESABI COMPANY 10876 11/29/2022 20221230 465.00 CHECK 479780 TOTAL: 465.00 479781 12/30/2022 PRTD 151168 HAMMER SPORTS LLC 2906 12/04/2022 20221230 364.00 CHECK 479781 TOTAL: 364.00 479782 12/30/2022 PRTD 130116 HARRIS SRVCE000000012572 12/02/2022 20221230 735.00 CHECK 479782 TOTAL: 735.00 479783 12/30/2022 PRTD 103085 HENNEPIN COUNTY ACCOUNTING SERVIC 1000196150 12/01/2022 20221230 145.00 HENNEPIN COUNTY ACCOUNTING SERVIC 1000196157 12/01/2022 20221230 174.00 HENNEPIN COUNTY ACCOUNTING SERVIC 1000196019 12/02/2022 20221230 3,268.98 HENNEPIN COUNTY ACCOUNTING SERVIC 1000196063 12/02/2022 20221230 1,879.02 HENNEPIN COUNTY ACCOUNTING SERVIC 1000196200 11/30/2022 20221230 1,233.18 CHECK 479783 TOTAL: 6,700.18 479784 12/30/2022 PRTD 143585 HENNEPIN COUNTY MEDICAL CENTER 74942 11/23/2022 20221230 250.00 CHECK 479784 TOTAL: 250.00 479785 12/30/2022 PRTD 104375 HOHENSTEINS INC 566523 12/13/2022 20221230 3,990.40 HOHENSTEINS INC 566548 12/13/2022 20221230 512.00 HOHENSTEINS INC 566522 12/13/2022 20221230 285.00 CHECK 479785 TOTAL: 4,787.40 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 15 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479786 12/30/2022 PRTD 160239 HUEBSCH LAUNDRY CO 20191609 12/05/2022 20221230 208.38 CHECK 479786 TOTAL: 208.38 479787 12/30/2022 PRTD 129508 IMPACT MAILING OF MINNESOTA INC 203151 11/29/2022 20221230 3,622.45 CHECK 479787 TOTAL: 3,622.45 479788 12/30/2022 PRTD 146427 LUCID BREWING LLC 15173 12/14/2022 20221230 376.00 LUCID BREWING LLC 15172 12/14/2022 20221230 100.00 LUCID BREWING LLC 15174 12/14/2022 20221230 300.00 CHECK 479788 TOTAL: 776.00 479789 12/30/2022 PRTD 146337 INDUSTRIAL BATTERY PRODUCTS INC 80042752 11/30/2022 20221230 374.04 CHECK 479789 TOTAL: 374.04 479790 12/30/2022 PRTD 150898 INVICTUS BREWING INC 6418 12/09/2022 20221230 86.00 INVICTUS BREWING INC 6417 12/09/2022 20221230 70.00 CHECK 479790 TOTAL: 156.00 479791 12/30/2022 PRTD 108618 JEFFERSON FIRE & SAFETY INC IN146291 11/09/2022 20221230 1,160.00 CHECK 479791 TOTAL: 1,160.00 479792 12/30/2022 PRTD 100828 GREAT RIVERS PRINTING 71055 12/05/2022 20221230 103.00 CHECK 479792 TOTAL: 103.00 479793 12/30/2022 PRTD 102146 JESSEN PRESS INC 690015 11/30/2022 20221230 3,283.30 CHECK 479793 TOTAL: 3,283.30 479794 12/30/2022 PRTD 101861 JH LARSON ELECTRICAL COMPANY S102801317.001 09/23/2022 20221230 1,861.38 CHECK 479794 TOTAL: 1,861.38 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 16 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479795 12/30/2022 PRTD 100835 ARTISAN BEER COMPANY 3577020 12/15/2022 20221230 2,452.35 ARTISAN BEER COMPANY 350850 12/09/2022 20221230 -235.56 CHECK 479795 TOTAL: 2,216.79 479796 12/30/2022 PRTD 100835 PHILLIPS WINE & SPIRITS 6514239 12/15/2022 20221230 2,924.40 PHILLIPS WINE & SPIRITS 6514240 12/15/2022 20221230 614.65 PHILLIPS WINE & SPIRITS 6514242 12/15/2022 20221230 83.85 PHILLIPS WINE & SPIRITS 6514244 12/15/2022 20221230 401.35 PHILLIPS WINE & SPIRITS 6514238 12/15/2022 20221230 3,064.26 PHILLIPS WINE & SPIRITS 6514237 12/15/2022 20221230 291.90 PHILLIPS WINE & SPIRITS 6514247 12/15/2022 20221230 522.64 CHECK 479796 TOTAL: 7,903.05 479797 12/30/2022 PRTD 100835 WINE MERCHANTS 7408385 12/15/2022 20221230 767.05 WINE MERCHANTS 7408383 12/15/2022 20221230 416.10 CHECK 479797 TOTAL: 1,183.15 479798 12/30/2022 PRTD 100835 JOHNSON BROTHERS LIQUOR CO 2195763 12/13/2022 20221230 2,759.00 JOHNSON BROTHERS LIQUOR CO 2200465 12/15/2022 20221230 4,767.07 JOHNSON BROTHERS LIQUOR CO 2200477 12/15/2022 20221230 1,163.78 JOHNSON BROTHERS LIQUOR CO 2200474 12/15/2022 20221230 2,058.02 JOHNSON BROTHERS LIQUOR CO 2200476 12/15/2022 20221230 4,266.93 JOHNSON BROTHERS LIQUOR CO 2200466 12/15/2022 20221230 788.68 JOHNSON BROTHERS LIQUOR CO 2200468 12/15/2022 20221230 1,953.19 JOHNSON BROTHERS LIQUOR CO 2200464 12/15/2022 20221230 1,856.12 JOHNSON BROTHERS LIQUOR CO 2200467 12/15/2022 20221230 314.20 JOHNSON BROTHERS LIQUOR CO 2200469 12/15/2022 20221230 1,596.92 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 17 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET JOHNSON BROTHERS LIQUOR CO 2200463 12/15/2022 20221230 55.35 JOHNSON BROTHERS LIQUOR CO 2200471 12/15/2022 20221230 4,190.90 JOHNSON BROTHERS LIQUOR CO 2200486 12/15/2022 20221230 4,097.01 JOHNSON BROTHERS LIQUOR CO 2200487 12/15/2022 20221230 3,753.48 JOHNSON BROTHERS LIQUOR CO 2200485 12/15/2022 20221230 830.08 JOHNSON BROTHERS LIQUOR CO 2200489 12/15/2022 20221230 2,247.49 JOHNSON BROTHERS LIQUOR CO 2200482 12/15/2022 20221230 76.70 CHECK 479798 TOTAL: 36,774.92 479799 12/30/2022 PRTD 100835 ORIGIN WINE AND SPIRITS 0019839 12/15/2022 20221230 416.10 ORIGIN WINE AND SPIRITS 0019840 12/15/2022 20221230 137.35 CHECK 479799 TOTAL: 553.45 479800 12/30/2022 PRTD 145396 JUNKYARD BREWING COMPANY LLC 005040 12/15/2022 20221230 195.00 CHECK 479800 TOTAL: 195.00 479801 12/30/2022 PRTD 103409 KELBRO COMPANY 6701461723 12/15/2022 20221230 145.55 KELBRO COMPANY 2842338 12/15/2022 20221230 260.10 CHECK 479801 TOTAL: 405.65 479802 12/30/2022 PRTD 105269 KORTERRA INC 22915 12/01/2022 20221230 11,163.90 CHECK 479802 TOTAL: 11,163.90 479803 12/30/2022 PRTD 160541 KUBISTA, TERENCE 2 12/05/2022 20221230 100.00 CHECK 479803 TOTAL: 100.00 479804 12/30/2022 PRTD 160582 L E RIBAR COMPANY INC 45313 11/30/2022 20221230 213.14 CHECK 479804 TOTAL: 213.14 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 18 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479805 12/30/2022 PRTD 151024 LA DONA SBC 6025 12/08/2022 20221230 120.00 LA DONA SBC 6032 12/14/2022 20221230 160.00 LA DONA SBC 6033 12/14/2022 20221230 156.00 CHECK 479805 TOTAL: 436.00 479806 12/30/2022 PRTD 151166 LAMIS, JAMES 2131022 12/15/2022 20221230 1,450.00 CHECK 479806 TOTAL: 1,450.00 479807 12/30/2022 PRTD 116876 LANGUAGE LINE SERVICES 10695824 11/30/2022 20221230 8.40 CHECK 479807 TOTAL: 8.40 479808 12/30/2022 PRTD 101220 LANO EQUIPMENT INC 03-959557 12/02/2022 20221230 1,557.39 CHECK 479808 TOTAL: 1,557.39 479809 12/30/2022 PRTD 138280 LAURSEN PIANO SERVICE 11-30-2022 11/30/2022 20221230 120.00 CHECK 479809 TOTAL: 120.00 479810 12/30/2022 PRTD 100852 LAWSON PRODUCTS INC 9310147189 11/30/2022 20221230 67.31 LAWSON PRODUCTS INC 9310157771 12/03/2022 20221230 2,087.10 CHECK 479810 TOTAL: 2,154.41 479811 12/30/2022 PRTD 134957 LEACH LAW OFFICE LLC 11-2022 11/30/2022 20221230 22,015.00 CHECK 479811 TOTAL: 22,015.00 479812 12/30/2022 PRTD 101552 LEAGUE OF MINNESOTA CITIES 7690 11/30/2022 20221230 1,000.00 LEAGUE OF MINNESOTA CITIES 19935 12/01/2022 20221230 167.15 LEAGUE OF MINNESOTA CITIES 19953 12/01/2022 20221230 293.06 LEAGUE OF MINNESOTA CITIES 19950 12/01/2022 20221230 119.40 LEAGUE OF MINNESOTA CITIES 19951 12/01/2022 20221230 715.87 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 19 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET LEAGUE OF MINNESOTA CITIES 20005 12/01/2022 20221230 120.21 LEAGUE OF MINNESOTA CITIES 20033 12/01/2022 20221230 839.89 CHECK 479812 TOTAL: 3,255.58 479813 12/30/2022 PRTD 135867 LIBATION PROJECT 53086 12/13/2022 20221230 1,390.12 LIBATION PROJECT 53078 12/13/2022 20221230 1,338.04 LIBATION PROJECT 53076 12/13/2022 20221230 1,626.08 LIBATION PROJECT 53084 12/14/2022 20221230 293.96 CHECK 479813 TOTAL: 4,648.20 479814 12/30/2022 PRTD 144426 LIFE LINE BILLING SYSTEMS LLC 63214 11/30/2022 20221230 6,884.79 CHECK 479814 TOTAL: 6,884.79 479815 12/30/2022 PRTD 101078 LUBE-TECH ESI 3077306 11/30/2022 20221230 3,069.88 CHECK 479815 TOTAL: 3,069.88 479816 12/30/2022 PRTD 141916 LUPULIN BREWING COMPANY 49663 12/08/2022 20221230 207.70 LUPULIN BREWING COMPANY 49866 12/15/2022 20221230 130.00 CHECK 479816 TOTAL: 337.70 479817 12/30/2022 PRTD 123848 LVC COMPANIES INC 102108 11/30/2022 20221230 1,085.00 LVC COMPANIES INC 102094 11/30/2022 20221230 658.00 LVC COMPANIES INC 102095 11/30/2022 20221230 1,343.00 LVC COMPANIES INC 102096 11/30/2022 20221230 424.00 LVC COMPANIES INC 102097 11/30/2022 20221230 743.00 LVC COMPANIES INC 102099 11/30/2022 20221230 344.00 LVC COMPANIES INC 102098 11/30/2022 20221230 424.00 LVC COMPANIES INC 102100 11/30/2022 20221230 344.00 LVC COMPANIES INC 102596 11/30/2022 20221230 324.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 20 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET LVC COMPANIES INC 102680 11/30/2022 20221230 359.96 LVC COMPANIES INC 102693 11/30/2022 20221230 6,040.00 CHECK 479817 TOTAL: 12,088.96 479818 12/30/2022 PRTD 102722 PEAVEY CORPORATION 395769 12/02/2022 20221230 98.40 CHECK 479818 TOTAL: 98.40 479819 12/30/2022 PRTD 100864 MACQUEEN EQUIPMENT LLC P08008 11/15/2022 20221230 251.66 CHECK 479819 TOTAL: 251.66 479820 12/30/2022 PRTD 147991 MAILMANAGER 17450 12/02/2022 20221230 4,797.20 CHECK 479820 TOTAL: 4,797.20 479821 12/30/2022 PRTD 134063 MANSFIELD OIL COMPANY 23843551 12/13/2022 20221230 18,204.09 CHECK 479821 TOTAL: 18,204.09 479822 12/30/2022 PRTD 122554 MATHESON TRI-GAS INC 0026794984 11/30/2022 20221230 150.48 MATHESON TRI-GAS INC 0026795409 11/30/2022 20221230 53.46 CHECK 479822 TOTAL: 203.94 479823 12/30/2022 PRTD 141215 MAVERICK WINE LLC INV891739 12/14/2022 20221230 371.04 MAVERICK WINE LLC INV891740 12/14/2022 20221230 306.54 MAVERICK WINE LLC INV891692 12/14/2022 20221230 858.00 MAVERICK WINE LLC INV891717 12/14/2022 20221230 1,986.48 MAVERICK WINE LLC INV891734 12/14/2022 20221230 709.50 MAVERICK WINE LLC INV891751 12/14/2022 20221230 723.42 MAVERICK WINE LLC INV891720 12/14/2022 20221230 1,181.52 MAVERICK WINE LLC INV892582 12/15/2022 20221230 177.54 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 21 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479823 TOTAL: 6,314.04 479824 12/30/2022 PRTD 146040 STRAYER, JUSTIN 20308 12/14/2022 20221230 199.50 STRAYER, JUSTIN 20309 12/14/2022 20221230 373.95 CHECK 479824 TOTAL: 573.45 479825 12/30/2022 PRTD 101483 MENARDS 53208 12/01/2022 20221230 447.25 MENARDS 53220 12/01/2022 20221230 64.90 CHECK 479825 TOTAL: 512.15 479826 12/30/2022 PRTD 101483 MENARDS 72464 11/21/2022 20221230 89.70 MENARDS 73049 12/01/2022 20221230 40.49 MENARDS 73031 12/01/2022 20221230 106.35 CHECK 479826 TOTAL: 236.54 479827 12/30/2022 PRTD 102507 METRO VOLLEYBALL OFFICIALS ASSOCI 1729 12/05/2022 20221230 476.00 CHECK 479827 TOTAL: 476.00 479828 12/30/2022 PRTD 100886 METROPOLITAN COUNCIL 0001114571 09/14/2020 20221230 3,107.62 CHECK 479828 TOTAL: 3,107.62 479829 12/30/2022 PRTD 100886 METROPOLITAN COUNCIL 0001130263 09/15/2021 20221230 3,107.63 CHECK 479829 TOTAL: 3,107.63 479830 12/30/2022 PRTD 100886 METROPOLITAN COUNCIL 0001145208 09/07/2022 20221230 3,107.63 CHECK 479830 TOTAL: 3,107.63 479831 12/30/2022 PRTD 101161 MIDWEST CHEMICAL SUPPLY INC 44425 11/21/2022 20221230 1,336.56 CHECK 479831 TOTAL: 1,336.56 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 22 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479832 12/30/2022 PRTD 100913 MINNEAPOLIS & SUBURBAN SEWER & WA 36495 11/22/2022 20221230 2,640.00 CHECK 479832 TOTAL: 2,640.00 479833 12/30/2022 PRTD 102174 MINNEAPOLIS OXYGEN COMPANY 00102387 11/30/2022 20221230 112.62 CHECK 479833 TOTAL: 112.62 479834 12/30/2022 PRTD 100522 MINNESOTA AIR INC 1892974-00 12/09/2022 20221230 1,490.10 MINNESOTA AIR INC 1893044-00 12/09/2022 20221230 27.00 MINNESOTA AIR INC 1893258-00 12/12/2022 20221230 486.94 CHECK 479834 TOTAL: 2,004.04 479835 12/30/2022 PRTD 136248 MINNESOTA EQUIPMENT INC P94993 11/29/2022 20221230 33.84 CHECK 479835 TOTAL: 33.84 479836 12/30/2022 PRTD 100898 MINVALCO INC 272095 11/30/2022 20221230 385.27 MINVALCO INC 272562 12/05/2022 20221230 85.66 CHECK 479836 TOTAL: 470.93 479837 12/30/2022 PRTD 140955 MODIST BREWING LLC E-37259 12/13/2022 20221230 1,456.00 MODIST BREWING LLC E-37255 12/13/2022 20221230 1,186.00 MODIST BREWING LLC E-37254 12/14/2022 20221230 915.51 CHECK 479837 TOTAL: 3,557.51 479838 12/30/2022 PRTD 100912 MOTOROLA INC 1411001072 09/17/2022 20221230 909.87 CHECK 479838 TOTAL: 909.87 479839 12/30/2022 PRTD 143339 MR CUTTING EDGE 5081 11/30/2022 20221230 1,366.00 CHECK 479839 TOTAL: 1,366.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 23 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479840 12/30/2022 PRTD 100920 GENUINE PARTS COMPANY 899773 12/01/2022 20221230 99.68 CHECK 479840 TOTAL: 99.68 479841 12/30/2022 PRTD 100076 NEW FRANCE WINE CO 197748 12/14/2022 20221230 3,263.50 NEW FRANCE WINE CO 197776 12/14/2022 20221230 3,785.67 NEW FRANCE WINE CO 197786 12/14/2022 20221230 4,327.67 CHECK 479841 TOTAL: 11,376.84 479842 12/30/2022 PRTD 142880 NORDIC SOLAR HOLDCO LLC INV-NSH003310 11/30/2022 20221230 7,031.87 CHECK 479842 TOTAL: 7,031.87 479843 12/30/2022 PRTD 100926 BLUETARP FINANCIAL INC 0033130409 12/05/2022 20221230 243.89 CHECK 479843 TOTAL: 243.89 479844 12/30/2022 PRTD 160281 OHLAND COMMERCIAL SERVICES LLC 1212022 12/01/2022 20221230 800.00 CHECK 479844 TOTAL: 800.00 479845 12/30/2022 PRTD 141965 OMNI BREWING COMPANY LLC E-12957 12/06/2022 20221230 138.00 OMNI BREWING COMPANY LLC E-12982 12/13/2022 20221230 100.00 CHECK 479845 TOTAL: 238.00 479846 12/30/2022 PRTD 999995 MA Peterson Designbuild Inc ED164221-REFUND 12/29/2022 20221230 9,450.00 CHECK 479846 TOTAL: 9,450.00 479847 12/30/2022 PRTD 999994 Hawkinson, Kamille 221208 12/27/2022 20221230 12.00 CHECK 479847 TOTAL: 12.00 479848 12/30/2022 PRTD 999994 RC ZIESKE CONSTRUCTION INC ED201489-REFUND 12/28/2022 20221230 418.25 CHECK 479848 TOTAL: 418.25 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 24 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479849 12/30/2022 PRTD 999994 Suter, Ryan SERV0051365 12/13/2022 20221230 200.00 CHECK 479849 TOTAL: 200.00 479850 12/30/2022 PRTD 999994 WS & D Permit Service Inc ED202239-REFUND 12/27/2022 20221230 219.08 CHECK 479850 TOTAL: 219.08 479851 12/30/2022 PRTD 999996 Engel, Adrienne 47712447-REFUND 12/08/2022 20221230 64.00 CHECK 479851 TOTAL: 64.00 479852 12/30/2022 PRTD 999996 Heckenlaible, Jacob 47744029-REFUND 12/08/2022 20221230 124.00 CHECK 479852 TOTAL: 124.00 479853 12/30/2022 PRTD 999996 Nelson, Katharine 47714035-REFUND 12/08/2022 20221230 199.00 CHECK 479853 TOTAL: 199.00 479854 12/30/2022 PRTD 999996 Neuner, Maria 47744241-REFUND 12/08/2022 20221230 140.00 CHECK 479854 TOTAL: 140.00 479855 12/30/2022 PRTD 999996 Ritt, Arnaud 47714683-REFUND 12/08/2022 20221230 119.00 CHECK 479855 TOTAL: 119.00 479856 12/30/2022 PRTD 137703 OPG-3 INC 6199 11/30/2022 20221230 17,855.00 CHECK 479856 TOTAL: 17,855.00 479857 12/30/2022 PRTD 100944 PAUSTIS WINE COMPANY 186590 12/06/2022 20221230 2,538.50 PAUSTIS WINE COMPANY 187427 12/14/2022 20221230 224.00 PAUSTIS WINE COMPANY 187443 12/14/2022 20221230 182.00 CHECK 479857 TOTAL: 2,944.50 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 25 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479858 12/30/2022 PRTD 100945 PEPSI-COLA COMPANY 67831412 12/12/2022 20221230 644.09 CHECK 479858 TOTAL: 644.09 479859 12/30/2022 PRTD 120831 1ST SCRIBE INC 258902 12/01/2022 20221230 425.00 CHECK 479859 TOTAL: 425.00 479860 12/30/2022 PRTD 100119 PING INC 16608736 11/14/2022 20221230 168.79 CHECK 479860 TOTAL: 168.79 479861 12/30/2022 PRTD 100954 PIONEER RIM & WHEEL COMPANY 01CP6543 11/30/2022 20221230 49.16 CHECK 479861 TOTAL: 49.16 479862 12/30/2022 PRTD 102423 PLAISTED COMPANIES INC 57570 11/30/2022 20221230 784.12 PLAISTED COMPANIES INC 57681 11/30/2022 20221230 5,152.70 CHECK 479862 TOTAL: 5,936.82 479863 12/30/2022 PRTD 100958 PLUNKETT'S PEST CONTROL 7838039 12/05/2022 20221230 105.31 CHECK 479863 TOTAL: 105.31 479864 12/30/2022 PRTD 119620 POMP'S TIRE SERVICE INC 210629236 12/01/2022 20221230 2,115.30 CHECK 479864 TOTAL: 2,115.30 479865 12/30/2022 PRTD 143468 PORTAGE BREWING COMPANY 0031150 12/13/2022 20221230 157.50 CHECK 479865 TOTAL: 157.50 479866 12/30/2022 PRTD 106322 SCHENCK, DAVID 160249 12/01/2022 20221230 1,052.86 SCHENCK, DAVID 160275 12/01/2022 20221230 637.28 SCHENCK, DAVID 160282 12/01/2022 20221230 849.10 CHECK 479866 TOTAL: 2,539.24 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 26 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479867 12/30/2022 PRTD 143618 PRYES BREWING COMPANY LLC W-47737 12/15/2022 20221230 310.00 CHECK 479867 TOTAL: 310.00 479868 12/30/2022 PRTD 112097 PUMP & METER SERVICE 528680 11/30/2022 20221230 623.83 CHECK 479868 TOTAL: 623.83 479869 12/30/2022 PRTD 131685 QUADIENT LEASING US, INC. N9697524 12/01/2022 20221230 209.22 CHECK 479869 TOTAL: 209.22 479870 12/30/2022 PRTD 138267 QUALITY LOCKSMITH INC QLS23992 11/30/2022 20221230 874.09 CHECK 479870 TOTAL: 874.09 479871 12/30/2022 PRTD 160318 RAPP STRATEGIES INC 1429 11/30/2022 20221230 1,311.25 CHECK 479871 TOTAL: 1,311.25 479872 12/30/2022 PRTD 138298 RED BULL DISTRIBUTION COMPANY INC 2005793434 12/15/2022 20221230 519.34 CHECK 479872 TOTAL: 519.34 479873 12/30/2022 PRTD 144553 SALTCO LLC 98844 11/30/2022 20221230 604.01 CHECK 479873 TOTAL: 604.01 479874 12/30/2022 PRTD 160574 JEAN, SANDRA 11-30-2022 11/30/2022 20221230 330.00 CHECK 479874 TOTAL: 330.00 479875 12/30/2022 PRTD 144403 SENTEXT SOLUTIONS 300548 12/02/2022 20221230 95.53 CHECK 479875 TOTAL: 95.53 479876 12/30/2022 PRTD 104689 SERIGRAPHICS SIGN SYSTEMS INC 64382 -Final 10/24/2022 20221230 250.00 SERIGRAPHICS SIGN SYSTEMS INC 64381-Final 10/24/2022 20221230 100.50 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 27 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479876 TOTAL: 350.50 479877 12/30/2022 PRTD 132210 RUSCIANO GROUP INC 69013 11/30/2022 20221230 750.00 CHECK 479877 TOTAL: 750.00 479878 12/30/2022 PRTD 134643 SHAKOPEE MDEWAKANTON SIOUX COMMUN SALES000000008128 11/30/2022 20221230 512.00 CHECK 479878 TOTAL: 512.00 479879 12/30/2022 PRTD 160278 ROHN INDUSTRIES, INC 588714 11/29/2022 20221230 17.73 ROHN INDUSTRIES, INC 588715 11/29/2022 20221230 17.73 ROHN INDUSTRIES, INC 588799 11/30/2022 20221230 54.54 CHECK 479879 TOTAL: 90.00 479880 12/30/2022 PRTD 137482 SITEONE LANDSCAPE SUPPLY LLC 124426469-001 11/29/2022 20221230 2,871.90 SITEONE LANDSCAPE SUPPLY LLC 125642232-001 12/02/2022 20221230 -84.26 CHECK 479880 TOTAL: 2,787.64 479881 12/30/2022 PRTD 132195 SMALL LOT MN MN60249 12/13/2022 20221230 647.04 SMALL LOT MN MN60245 12/13/2022 20221230 235.76 SMALL LOT MN MN60247 12/14/2022 20221230 696.78 CHECK 479881 TOTAL: 1,579.58 479882 12/30/2022 PRTD 127878 SOUTHERN GLAZERS WINE & SPIRITS L 2292566 12/14/2022 20221230 1,370.84 SOUTHERN GLAZERS WINE & SPIRITS L 2292572 12/14/2022 20221230 1,308.00 SOUTHERN GLAZERS WINE & SPIRITS L 2292571 12/14/2022 20221230 224.80 SOUTHERN GLAZERS WINE & SPIRITS L 2292564 12/14/2022 20221230 339.20 SOUTHERN GLAZERS WINE & SPIRITS L 2292570 12/14/2022 20221230 2,213.61 SOUTHERN GLAZERS WINE & SPIRITS L 2292568 12/14/2022 20221230 4,994.47 SOUTHERN GLAZERS WINE & SPIRITS L 2292565 12/14/2022 20221230 119.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 28 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET SOUTHERN GLAZERS WINE & SPIRITS L 2292562 12/15/2022 20221230 4,844.62 SOUTHERN GLAZERS WINE & SPIRITS L 2292575 12/14/2022 20221230 2,512.65 SOUTHERN GLAZERS WINE & SPIRITS L 2292579 12/14/2022 20221230 2,422.04 SOUTHERN GLAZERS WINE & SPIRITS L 2292574 12/14/2022 20221230 351.80 SOUTHERN GLAZERS WINE & SPIRITS L 2292573 12/14/2022 20221230 387.20 SOUTHERN GLAZERS WINE & SPIRITS L 2292577 12/14/2022 20221230 937.71 SOUTHERN GLAZERS WINE & SPIRITS L 2292576 12/14/2022 20221230 1,599.50 SOUTHERN GLAZERS WINE & SPIRITS L 2292581 12/14/2022 20221230 1,167.20 SOUTHERN GLAZERS WINE & SPIRITS L 2292580 12/14/2022 20221230 887.20 SOUTHERN GLAZERS WINE & SPIRITS L 2292560 12/14/2022 20221230 840.80 SOUTHERN GLAZERS WINE & SPIRITS L 2292563 12/14/2022 20221230 360.80 SOUTHERN GLAZERS WINE & SPIRITS L 2292559 12/14/2022 20221230 379.60 SOUTHERN GLAZERS WINE & SPIRITS L 2292561 12/14/2022 20221230 427.96 SOUTHERN GLAZERS WINE & SPIRITS L 2292556 12/14/2022 20221230 193.60 SOUTHERN GLAZERS WINE & SPIRITS L 2292557 12/14/2022 20221230 886.10 CHECK 479882 TOTAL: 28,768.70 479883 12/30/2022 PRTD 101004 SPS COMPANIES INC S4719656.002 11/16/2022 20221230 47.88 CHECK 479883 TOTAL: 47.88 479884 12/30/2022 PRTD 139006 MINNESOTA DEPARTMENT OF AGRICULTU 20210321-2023 12/12/2022 20221230 10.00 MINNESOTA DEPARTMENT OF AGRICULTU 20020205-2023 12/12/2022 20221230 10.00 MINNESOTA DEPARTMENT OF AGRICULTU 20199082-2023 12/12/2022 20221230 10.00 CHECK 479884 TOTAL: 30.00 479885 12/30/2022 PRTD 133068 STEEL TOE BREWING LLC 48300 12/14/2022 20221230 891.00 STEEL TOE BREWING LLC 48297 12/14/2022 20221230 726.00 STEEL TOE BREWING LLC 48302-1 12/15/2022 20221230 1,425.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 29 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479885 TOTAL: 3,042.00 479886 12/30/2022 PRTD 102786 STOP STICK LTD 0026994-IN 11/30/2022 20221230 248.00 CHECK 479886 TOTAL: 248.00 479887 12/30/2022 PRTD 101015 STREICHERS INC I1603044 11/30/2022 20221230 198.98 STREICHERS INC I1603045 12/01/2022 20221230 2,097.46 STREICHERS INC I1603134 12/01/2022 20221230 450.00 STREICHERS INC I1603125 12/01/2022 20221230 525.91 STREICHERS INC I1603114 12/01/2022 20221230 53.00 STREICHERS INC I1603120 12/01/2022 20221230 19.99 STREICHERS INC I1603106 12/01/2022 20221230 172.00 CHECK 479887 TOTAL: 3,517.34 479888 12/30/2022 PRTD 105874 SUBURBAN TIRE WHOLESALE INC 10191150 11/29/2022 20221230 379.00 SUBURBAN TIRE WHOLESALE INC 10191177 11/30/2022 20221230 338.00 SUBURBAN TIRE WHOLESALE INC 10191250 12/02/2022 20221230 1,262.92 CHECK 479888 TOTAL: 1,979.92 479889 12/30/2022 PRTD 105441 SUBURBAN UTILITIES SUPERINTENDENT 2023 MEMBERSHIP 12/16/2022 20221230 250.00 CHECK 479889 TOTAL: 250.00 479890 12/30/2022 PRTD 122511 SWANK MOTION PICTURES INC RG 3294000 11/30/2022 20221230 225.00 CHECK 479890 TOTAL: 225.00 479891 12/30/2022 PRTD 137993 TALKPOINT TECHNOLOGIES INC 0016960 07/06/2022 20221230 1,244.95 CHECK 479891 TOTAL: 1,244.95 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 30 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479892 12/30/2022 PRTD 160414 TEGRA GROUP INC 13831 12/05/2022 20221230 9,000.00 CHECK 479892 TOTAL: 9,000.00 479893 12/30/2022 PRTD 146347 TELEFLEX FUNDING LLC 9506318118 12/05/2022 20221230 562.50 CHECK 479893 TOTAL: 562.50 479894 12/30/2022 PRTD 160489 TELUS COMMUNICATIONS (U.S.) INC 26711 12/01/2022 20221230 48.00 CHECK 479894 TOTAL: 48.00 479895 12/30/2022 PRTD 134784 THE IDEA CREEK 176 11/30/2022 20221230 350.00 CHECK 479895 TOTAL: 350.00 479896 12/30/2022 PRTD 160291 THIES, KENNETH 835649 12/19/2022 20221230 1,100.00 CHECK 479896 TOTAL: 1,100.00 479897 12/30/2022 PRTD 102798 THOMSON REUTERS - WEST 847455149 12/01/2022 20221230 771.15 CHECK 479897 TOTAL: 771.15 479898 12/30/2022 PRTD 123129 TIMESAVER OFF SITE SECRETARIAL IN M27797 11/30/2022 20221230 798.50 CHECK 479898 TOTAL: 798.50 479899 12/30/2022 PRTD 102742 TOLTZ KING DUVALL ANDERSON & ASSO 002022006099 11/30/2022 20221230 4,233.74 CHECK 479899 TOTAL: 4,233.74 479900 12/30/2022 PRTD 101038 TOLL COMPANY 40165529 11/30/2022 20221230 39.96 TOLL COMPANY 70011434 12/02/2022 20221230 295.00 CHECK 479900 TOTAL: 334.96 479901 12/30/2022 PRTD 151773 TOP GOLF USA INC 91052132 12/01/2022 20221230 9,162.12 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 31 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479901 TOTAL: 9,162.12 479902 12/30/2022 PRTD 138732 TRADITION WINE & SPIRITS LLC 34448 12/13/2022 20221230 1,141.00 CHECK 479902 TOTAL: 1,141.00 479903 12/30/2022 PRTD 136342 TRAVISMATHEW LLC 91054645 12/03/2022 20221230 164.80 CHECK 479903 TOTAL: 164.80 479904 12/30/2022 PRTD 101619 TRI-COUNTY LAW ENFORCEMENT ASSOC 12-01-2022 12/01/2022 20221230 75.00 CHECK 479904 TOTAL: 75.00 479905 12/30/2022 PRTD 103218 TRI-STATE BOBCAT P86595 11/30/2022 20221230 264.01 CHECK 479905 TOTAL: 264.01 479906 12/30/2022 PRTD 146436 TYLER TECHNOLOGIES INC 025-403915 11/30/2022 20221230 2,450.00 TYLER TECHNOLOGIES INC 045-401932 11/30/2022 20221230 -13,072.73 TYLER TECHNOLOGIES INC 045-401939 11/30/2022 20221230 -11,116.07 TYLER TECHNOLOGIES INC 045-401935 11/30/2022 20221230 -11,587.50 TYLER TECHNOLOGIES INC 045-401940 11/30/2022 20221230 66,213.00 TYLER TECHNOLOGIES INC 045-401941 11/30/2022 20221230 19,665.34 TYLER TECHNOLOGIES INC 130-132863 12/03/2022 20221230 146,047.00 CHECK 479906 TOTAL: 198,599.04 479907 12/30/2022 PRTD 145567 UNMAPPED BREWING COMPANY LLC E-2213 12/14/2022 20221230 306.85 UNMAPPED BREWING COMPANY LLC E-2212 12/14/2022 20221230 112.00 UNMAPPED BREWING COMPANY LLC E-2214 12/14/2022 20221230 399.00 CHECK 479907 TOTAL: 817.85 479908 12/30/2022 PRTD 112118 US BANK 6767268 12/23/2022 20221230 400.00 US BANK 6767269 12/23/2022 20221230 400.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 32 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479908 TOTAL: 800.00 479909 12/30/2022 PRTD 134839 VACKER INC 3178 12/05/2022 20221230 1,962.00 CHECK 479909 TOTAL: 1,962.00 479910 12/30/2022 PRTD 160036 VAULT HEALTH FL00549247 12/02/2022 20221230 533.39 CHECK 479910 TOTAL: 533.39 479911 12/30/2022 PRTD 144209 VENN BREWING COMPANY LLC 3719 12/15/2022 20221230 252.00 VENN BREWING COMPANY LLC 3717 12/15/2022 20221230 174.00 VENN BREWING COMPANY LLC 3718 12/14/2022 20221230 81.00 CHECK 479911 TOTAL: 507.00 479912 12/30/2022 PRTD 101063 VERSATILE VEHICLES 92118 11/30/2022 20221230 295.41 CHECK 479912 TOTAL: 295.41 479913 12/30/2022 PRTD 101066 VIKING ELECTRIC SUPPLY S006458315.001 12/05/2022 20221230 294.27 VIKING ELECTRIC SUPPLY S006458362.001 12/05/2022 20221230 234.60 VIKING ELECTRIC SUPPLY S006458362.002 12/05/2022 20221230 111.72 CHECK 479913 TOTAL: 640.59 479914 12/30/2022 PRTD 119454 VINOCOPIA INC 0319846-IN 12/15/2022 20221230 326.50 VINOCOPIA INC 0319842-IN 12/15/2022 20221230 1,300.50 VINOCOPIA INC 0319841-IN 12/15/2022 20221230 136.25 VINOCOPIA INC 0319840-IN 12/15/2022 20221230 747.75 VINOCOPIA INC 0319833-IN 12/15/2022 20221230 1,583.00 VINOCOPIA INC 0319834-IN 12/15/2022 20221230 681.25 VINOCOPIA INC 0319835-IN 12/15/2022 20221230 421.75 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 33 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479914 TOTAL: 5,197.00 479915 12/30/2022 PRTD 120627 VISTAR 66621471 12/02/2022 20221230 1,417.82 CHECK 479915 TOTAL: 1,417.82 479916 12/30/2022 PRTD 106699 WALSER HOPKINS CJ, LLC 700382 11/29/2022 20221230 61.92 CHECK 479916 TOTAL: 61.92 479917 12/30/2022 PRTD 103088 WASTE MANAGEMENT OF WI-MN 8826380-2282-3 12/05/2022 20221230 1,755.35 CHECK 479917 TOTAL: 1,755.35 479918 12/30/2022 PRTD 123616 WATER CONSERVATION SERVICES INC 12740 11/29/2022 20221230 1,695.00 CHECK 479918 TOTAL: 1,695.00 479919 12/30/2022 PRTD 135181 WATERFORD OIL CO INC 166905 11/30/2022 20221230 2,090.97 CHECK 479919 TOTAL: 2,090.97 479920 12/30/2022 PRTD 130574 WATSON COMPANY 130168 12/01/2022 20221230 283.44 WATSON COMPANY 130023 11/24/2022 20221230 389.96 CHECK 479920 TOTAL: 673.40 479921 12/30/2022 PRTD 101033 WINE COMPANY 222945 12/14/2022 20221230 316.00 WINE COMPANY 222949 12/14/2022 20221230 868.00 WINE COMPANY 222944 12/14/2022 20221230 1,000.00 WINE COMPANY 222948 12/15/2022 20221230 744.00 WINE COMPANY 223193 12/15/2022 20221230 -210.00 CHECK 479921 TOTAL: 2,718.00 479922 12/30/2022 PRTD 148067 WITLINGO INC INV-COE-1220222 12/03/2022 20221230 250.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 12/29/2022 13:29User: STanGeilProgram ID: apcshdsb Page 34 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479922 TOTAL: 250.00 479923 12/30/2022 PRTD 118395 WITMER PUBLIC SAFETY GROUP INC INV135441 11/09/2022 20221230 1,934.49 WITMER PUBLIC SAFETY GROUP INC STE1988888.001 07/16/2021 20221230 -182.81 WITMER PUBLIC SAFETY GROUP INC STE1998634 07/16/2021 20221230 -262.73 WITMER PUBLIC SAFETY GROUP INC STE2073834 07/16/2021 20221230 -6.85 WITMER PUBLIC SAFETY GROUP INC STE1987026 07/16/2021 20221230 -6.49 WITMER PUBLIC SAFETY GROUP INC INV147077 11/29/2022 20221230 918.78 CHECK 479923 TOTAL: 2,394.39 479924 12/30/2022 PRTD 160299 WOODEN SHIP BREWING COMPANY 000253 12/01/2022 20221230 117.60 WOODEN SHIP BREWING COMPANY 000263 12/14/2022 20221230 310.80 WOODEN SHIP BREWING COMPANY 000261 12/14/2022 20221230 134.40 CHECK 479924 TOTAL: 562.80 479925 12/30/2022 PRTD 101091 ZIEGLER INC IN000792218 12/01/2022 20221230 145.52 CHECK 479925 TOTAL: 145.52 479926 12/30/2022 PRTD 136192 ZOLL MEDICAL CORPORATION 3618200 11/30/2022 20221230 420.00 CHECK 479926 TOTAL: 420.00 NUMBER OF CHECKS 227 *** CASH ACCOUNT TOTAL *** 1,381,097.94 COUNT AMOUNT TOTAL PRINTED CHECKS 226 882,168.09 TOTAL WIRE TRANSFERS 1 498,929.85 *** GRAND TOTAL *** 1,381,097.94 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 38 JOURNAL ENTRIES TO BE CREATED FUND SUB FUND DUE TO DUE FR 1000 General 222,600.672100 Police Special Revenue 29.992100 Police Special Revenue 932.682300 Pedestrian and Cyclist Safety 25,275.922500 Conservation & Sustainability 10,454.032600 Housing & Redvlpmt Authority 17,990.002600 Housing & Redvlpmt Authority 16,833.722600 Housing & Redvlpmt Authority 24,962.662600 Housing & Redvlpmt Authority 2,768.004000 Capital Projects 13,750.804200 Equipment Replacement 22,150.494400 PIR Capital Projects 2,051,722.825100 Art Center 2,917.405200 Braemar Golf Course 4,219.965200 Braemar Golf Course 5,082.505300 Aquatic Center 90.005400 Edinborough Park 29,039.095500 Braemar Arena 14,579.705600 Braemar Field 810.005700 Centennial Lakes 10,037.155800 Liquor 435,378.715900 Utility Fund 199,677.475900 Utility Fund 308,978.635900 Utility Fund 834,277.656000 Risk Management 1,798.946100 Equipment Operations 26,394.786200 Information Technology 94.956300 Facilities Management 7,246.237100 PS Training Facility 1,897.137200 MN Task Force 1 21,181.119999 Pooled Cash Fund 4,313,173.18 TOTAL 4,313,173.18 4,313,173.18 ** END OF REPORT - Generated by Shirleng Tan Geil ** City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 1 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479927 01/06/2023 PRTD 160581 30 30 CONCRETE INC 3508 11/18/2022 20230106 211.25 CHECK 479927 TOTAL: 211.25 479928 01/06/2023 PRTD 129458 ACME ELECTRIC MOTOR INC 10713134 12/07/2022 20230106 139.00 ACME ELECTRIC MOTOR INC 10721020 12/08/2022 20230106 648.00 CHECK 479928 TOTAL: 787.00 479929 01/06/2023 PRTD 135922 ACUSHNET COMPANY 914717381 12/16/2022 20230106 50.14 CHECK 479929 TOTAL: 50.14 479930 01/06/2023 PRTD 160577 ADVANCED BUILDING CENTER 61120 11/08/2022 20230106 5,567.12 CHECK 479930 TOTAL: 5,567.12 479931 01/06/2023 PRTD 160201 TB GLASS 8840 12/06/2022 20230106 453.00 CHECK 479931 TOTAL: 453.00 479932 01/06/2023 PRTD 133504 AID ELECTRIC CORPORATION 72211 12/07/2022 20230106 8,050.91 CHECK 479932 TOTAL: 8,050.91 479933 01/06/2023 PRTD 103357 ALPHA VIDEO & AUDIO INC 15199 12/09/2022 20230106 400.00 ALPHA VIDEO & AUDIO INC 15201 12/09/2022 20230106 200.00 CHECK 479933 TOTAL: 600.00 479934 01/06/2023 PRTD 160095 AM CRAFT SPIRITS SALES & MARKETIN 16013 12/20/2022 20230106 94.00 CHECK 479934 TOTAL: 94.00 479935 01/06/2023 PRTD 141960 AMAZON CAPITAL SERVICES 169C-JT1F-697G 11/21/2022 20230106 26.87 AMAZON CAPITAL SERVICES 13HF-GLG9-D71T 11/22/2022 20230106 115.24 AMAZON CAPITAL SERVICES 13N1-YVW6-J7TC 11/22/2022 20230106 163.50 AMAZON CAPITAL SERVICES 169C-JT1F-PF1J 11/23/2022 20230106 115.24 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 2 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET AMAZON CAPITAL SERVICES 1TCP-71C1-4D1R 12/02/2022 20230106 37.71 AMAZON CAPITAL SERVICES 1JKJ-T34L-6M7K 12/06/2022 20230106 25.07 AMAZON CAPITAL SERVICES 1QXP-X6VN-1YJL 12/06/2022 20230106 258.12 AMAZON CAPITAL SERVICES 1V9C-LRN9-394P 12/06/2022 20230106 6.99 AMAZON CAPITAL SERVICES 13LV-4CKR-C9WD 12/07/2022 20230106 124.94 AMAZON CAPITAL SERVICES 1MVR-JCJL-99QC 12/08/2022 20230106 215.02 AMAZON CAPITAL SERVICES 1QR4-HPML-33YF 12/08/2022 20230106 201.84 AMAZON CAPITAL SERVICES 1316-19LD-3TN3 12/08/2022 20230106 26.59 AMAZON CAPITAL SERVICES 1PMK-HC6K-47WP 12/08/2022 20230106 15.49 AMAZON CAPITAL SERVICES 1CX3-GVVN-1RNW 12/08/2022 20230106 33.44 AMAZON CAPITAL SERVICES 1T4N-YV3D-46TF 12/09/2022 20230106 312.99 AMAZON CAPITAL SERVICES 17J1-DLJ6-4HRN 12/09/2022 20230106 16.92 AMAZON CAPITAL SERVICES 11GD-CJGK-79K7 12/09/2022 20230106 2,106.89 AMAZON CAPITAL SERVICES 1G67-47PD-9CKK 12/09/2022 20230106 7.99 AMAZON CAPITAL SERVICES 1W7N-L6F9-CDNY 12/09/2022 20230106 414.95 AMAZON CAPITAL SERVICES 1VF3-7KP9-DKJ3 12/10/2022 20230106 15.99 AMAZON CAPITAL SERVICES 1XN1-94PM-F4LJ 12/10/2022 20230106 113.34 AMAZON CAPITAL SERVICES 1MP1-JPGY-GCD7 12/10/2022 20230106 162.96 AMAZON CAPITAL SERVICES 1TXN-9L1N-MN7Y 12/11/2022 20230106 39.98 AMAZON CAPITAL SERVICES 1L6L-T6YR-N17M 12/11/2022 20230106 39.88 AMAZON CAPITAL SERVICES 1QFT-GCGR-MXWH 12/11/2022 20230106 183.13 AMAZON CAPITAL SERVICES 1VT1-CYLL-W1YP 12/12/2022 20230106 140.75 AMAZON CAPITAL SERVICES 1TKK-4G7G-VN4X 12/12/2022 20230106 34.78 AMAZON CAPITAL SERVICES 1HM6-6DFH-116G 12/12/2022 20230106 107.99 AMAZON CAPITAL SERVICES 117Y-3MQ3-14FT 12/12/2022 20230106 24.70 AMAZON CAPITAL SERVICES 1NH6-WJ3W-1LC7 12/12/2022 20230106 41.97 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 3 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET AMAZON CAPITAL SERVICES 1XDK-GY13-3Y36 12/12/2022 20230106 43.98 CHECK 479935 TOTAL: 5,175.25 479936 01/06/2023 PRTD 119976 AP LAWN EDINA-1122F 12/07/2022 20230106 4,707.15 CHECK 479936 TOTAL: 4,707.15 479937 01/06/2023 PRTD 151441 ARAMARK UNIFORM AND CAREER APPEAL 2500140475 11/28/2022 20230106 218.87 ARAMARK UNIFORM AND CAREER APPEAL 2500141770 11/29/2022 20230106 118.80 ARAMARK UNIFORM AND CAREER APPEAL 2500141681 11/29/2022 20230106 224.02 ARAMARK UNIFORM AND CAREER APPEAL 2500146971 12/07/2022 20230106 282.42 CHECK 479937 TOTAL: 844.11 479938 01/06/2023 PRTD 151756 ARBEITER BREWING COMPANY LLC 899 12/23/2022 20230106 84.00 CHECK 479938 TOTAL: 84.00 479939 01/06/2023 PRTD 106304 ASPEN MILLS INC 305182 12/07/2022 20230106 189.95 ASPEN MILLS INC 305210 12/08/2022 20230106 948.85 ASPEN MILLS INC CM4764 12/21/2022 20230106 -199.95 CHECK 479939 TOTAL: 938.85 479940 01/06/2023 PRTD 160339 ASSA ABLOY ENTRANCE SYSTEMS US IN SEI 1574132 11/16/2022 20230106 753.72 CHECK 479940 TOTAL: 753.72 479941 01/06/2023 PRTD 101718 IEH AUTO PARTS LLC 380132122 12/09/2022 20230106 124.09 CHECK 479941 TOTAL: 124.09 479942 01/06/2023 PRTD 101355 BELLBOY CORPORATION 0106156000 12/15/2022 20230106 157.72 BELLBOY CORPORATION 0097738000 12/15/2022 20230106 7,713.75 BELLBOY CORPORATION 0097809400 12/22/2022 20230106 389.08 BELLBOY CORPORATION 0097810000 12/22/2022 20230106 203.50 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 4 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET BELLBOY CORPORATION 0097809100 12/22/2022 20230106 902.65 CHECK 479942 TOTAL: 9,366.70 479943 01/06/2023 PRTD 131191 BERNATELLO'S PIZZA INC 5119566 12/07/2022 20230106 624.00 CHECK 479943 TOTAL: 624.00 479944 01/06/2023 PRTD 141961 MIDAMERICAN ENERGY SERVICES LLC 11647109 11/29/2022 20230106 5,381.83 CHECK 479944 TOTAL: 5,381.83 479945 01/06/2023 PRTD 142153 BLACK STACK BREWING INC 20605 12/21/2022 20230106 220.00 BLACK STACK BREWING INC 20604 12/21/2022 20230106 324.00 CHECK 479945 TOTAL: 544.00 479946 01/06/2023 PRTD 132444 BOLTON & MENK INC 0302741 11/28/2022 20230106 3,110.50 CHECK 479946 TOTAL: 3,110.50 479947 01/06/2023 PRTD 105367 BOUND TREE MEDICAL LLC 84762751 11/16/2022 20230106 5,368.46 BOUND TREE MEDICAL LLC 84783630 12/06/2022 20230106 146.09 BOUND TREE MEDICAL LLC 84783631 12/06/2022 20230106 1,247.09 CHECK 479947 TOTAL: 6,761.64 479948 01/06/2023 PRTD 119351 BOURGET IMPORTS 192772 12/20/2022 20230106 491.36 BOURGET IMPORTS 192773 12/20/2022 20230106 333.98 BOURGET IMPORTS 192775 12/20/2022 20230106 776.00 CHECK 479948 TOTAL: 1,601.34 479949 01/06/2023 PRTD 117040 BOYER FORD TRUCKS INC 008P16986 12/07/2022 20230106 71.32 BOYER FORD TRUCKS INC 008P17075 12/07/2022 20230106 59.09 BOYER FORD TRUCKS INC 005S9565 12/12/2022 20230106 338.24 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 5 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479949 TOTAL: 468.65 479950 01/06/2023 PRTD 117040 ALLIANCE PARTS TRUCK AND TRAILER 007P44517 12/02/2022 20230106 44.59 ALLIANCE PARTS TRUCK AND TRAILER 007P45862 12/07/2022 20230106 621.44 ALLIANCE PARTS TRUCK AND TRAILER 007P45986 12/08/2022 20230106 52.14 ALLIANCE PARTS TRUCK AND TRAILER 007P46074 12/09/2022 20230106 -48.19 ALLIANCE PARTS TRUCK AND TRAILER 008P16543 11/17/2022 20230106 -66.25 CHECK 479950 TOTAL: 603.73 479951 01/06/2023 PRTD 100664 BRAUN INTERTEC CORPORATION B320678 12/08/2022 20230106 16,060.00 CHECK 479951 TOTAL: 16,060.00 479952 01/06/2023 PRTD 124291 BREAKTHRU BEVERAGE MINNESOTA WINE 346835277 12/07/2022 20230106 6,736.60 BREAKTHRU BEVERAGE MINNESOTA WINE 346939669 12/14/2022 20230106 7,031.60 BREAKTHRU BEVERAGE MINNESOTA WINE 346939665 12/14/2022 20230106 17,821.74 BREAKTHRU BEVERAGE MINNESOTA WINE 346939693 12/14/2022 20230106 6,330.38 BREAKTHRU BEVERAGE MINNESOTA WINE 346939689 12/14/2022 20230106 9,511.50 BREAKTHRU BEVERAGE MINNESOTA WINE 346939691 12/22/2022 20230106 267.90 BREAKTHRU BEVERAGE MINNESOTA WINE 346986867 12/16/2022 20230106 3,751.15 BREAKTHRU BEVERAGE MINNESOTA WINE 346986855 12/16/2022 20230106 3,751.15 BREAKTHRU BEVERAGE MINNESOTA WINE 346986866 12/16/2022 20230106 3,751.15 BREAKTHRU BEVERAGE MINNESOTA WINE 346939687 12/14/2022 20230106 16,534.45 BREAKTHRU BEVERAGE MINNESOTA WINE 347044518 12/21/2022 20230106 121.15 BREAKTHRU BEVERAGE MINNESOTA WINE 347044519 12/21/2022 20230106 878.87 BREAKTHRU BEVERAGE MINNESOTA WINE 347044517 12/21/2022 20230106 81.15 BREAKTHRU BEVERAGE MINNESOTA WINE 347044516 12/21/2022 20230106 746.30 BREAKTHRU BEVERAGE MINNESOTA WINE 347044514 12/21/2022 20230106 2,914.55 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 6 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479952 TOTAL: 80,229.64 479953 01/06/2023 PRTD 124529 BREAKTHRU BEVERAGE MINNESOTA BEER 346815661 12/07/2022 20230106 9,259.10 BREAKTHRU BEVERAGE MINNESOTA BEER 346917097 12/13/2022 20230106 12,925.15 BREAKTHRU BEVERAGE MINNESOTA BEER 347022127 12/20/2022 20230106 1,109.80 BREAKTHRU BEVERAGE MINNESOTA BEER 347022129 12/20/2022 20230106 67.70 BREAKTHRU BEVERAGE MINNESOTA BEER 347022118 12/20/2022 20230106 869.35 BREAKTHRU BEVERAGE MINNESOTA BEER 347040554 12/20/2022 20230106 49.15 BREAKTHRU BEVERAGE MINNESOTA BEER 347040553 12/20/2022 20230106 1,208.15 CHECK 479953 TOTAL: 25,488.40 479954 01/06/2023 PRTD 160549 BETTER BEV CO LLC 1276 12/15/2022 20230106 92.00 CHECK 479954 TOTAL: 92.00 479955 01/06/2023 PRTD 100648 BERTELSON BROTHERS INC WO-1218569-1 12/06/2022 20230106 305.28 BERTELSON BROTHERS INC WO-1218529-1 12/06/2022 20230106 65.47 BERTELSON BROTHERS INC WO-1218569-2 12/07/2022 20230106 31.49 BERTELSON BROTHERS INC WO-1219128-1 12/08/2022 20230106 63.72 BERTELSON BROTHERS INC WO-1219511-1 12/12/2022 20230106 212.86 BERTELSON BROTHERS INC WO-1218529-2 12/08/2022 20230106 9.99 CHECK 479955 TOTAL: 688.81 479956 01/06/2023 PRTD 102149 CALLAWAY GOLF 935594972 10/18/2022 20230106 4,743.75 CHECK 479956 TOTAL: 4,743.75 479957 01/06/2023 PRTD 142195 CALUMET SPECIALTY PRODUCTS PARTNE 92537609 12/12/2022 20230106 5,117.00 CHECK 479957 TOTAL: 5,117.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 7 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479958 01/06/2023 PRTD 119455 CAPITOL BEVERAGE SALES LP 2776430 12/15/2022 20230106 10,450.10 CAPITOL BEVERAGE SALES LP 2777535 12/20/2022 20230106 300.60 CAPITOL BEVERAGE SALES LP 2777534 12/20/2022 20230106 14.00 CAPITOL BEVERAGE SALES LP 2777536 12/20/2022 20230106 2,368.65 CAPITOL BEVERAGE SALES LP 2778711 12/22/2022 20230106 280.25 CAPITOL BEVERAGE SALES LP 2778710 12/22/2022 20230106 61.50 CAPITOL BEVERAGE SALES LP 2778709 12/22/2022 20230106 402.00 CHECK 479958 TOTAL: 13,877.10 479959 01/06/2023 PRTD 148017 CARBON DAY AUTOMOTIVE 3112 08/24/2022 20230106 52.50 CHECK 479959 TOTAL: 52.50 479960 01/06/2023 PRTD 103300 CENTER FOR ENERGY AND ENVIRONMENT 21892 12/09/2022 20230106 690.50 CHECK 479960 TOTAL: 690.50 479961 01/06/2023 PRTD 141470 SUPERION LLC 368045 11/02/2022 20230106 240.00 SUPERION LLC 368631 11/14/2022 20230106 76,360.81 CHECK 479961 TOTAL: 76,600.81 479962 01/06/2023 PRTD 142028 CINTAS CORPORATION 4140023868 12/12/2022 20230106 17.87 CINTAS CORPORATION 4140023809 12/12/2022 20230106 26.88 CINTAS CORPORATION 4140023849 12/12/2022 20230106 27.65 CINTAS CORPORATION 4140023789 12/12/2022 20230106 11.78 CINTAS CORPORATION 4140023873 12/12/2022 20230106 47.61 CINTAS CORPORATION 4140025195 12/12/2022 20230106 16.32 CINTAS CORPORATION 4140025168 12/12/2022 20230106 81.65 CINTAS CORPORATION 4140025128 12/12/2022 20230106 65.25 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 8 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479962 TOTAL: 295.01 479963 01/06/2023 PRTD 117409 APPLE VALLEY FIRE DEPARTMENT AVFD-12/2022-1 12/08/2022 20230106 604.29 CHECK 479963 TOTAL: 604.29 479964 01/06/2023 PRTD 100684 CITY OF BLOOMINGTON 21554 11/28/2022 20230106 13,620.75 CHECK 479964 TOTAL: 13,620.75 479965 01/06/2023 PRTD 124749 CITY OF EAGAN EAGAN-12/2022-1 12/08/2022 20230106 829.36 CHECK 479965 TOTAL: 829.36 479966 01/06/2023 PRTD 101837 BRAEMAR ARENA COM-2743 12/08/2022 20230106 244.08 CHECK 479966 TOTAL: 244.08 479967 01/06/2023 PRTD 141528 CITY OF FARMINGTON FFD-12/2022-1 12/09/2022 20230106 289.13 CHECK 479967 TOTAL: 289.13 479968 01/06/2023 PRTD 103216 MINNEAPOLIS FINANCE DEPARTMENT 431-0005.300-11/22 12/06/2022 20230106 10,469.48 CHECK 479968 TOTAL: 10,469.48 479969 01/06/2023 PRTD 100087 CITY OF SAINT PAUL IN52120 12/02/2022 20230106 400.00 CHECK 479969 TOTAL: 400.00 479970 01/06/2023 PRTD 130477 MCDONALD DISTRIBUTING COMPANY 665965 12/21/2022 20230106 34.25 MCDONALD DISTRIBUTING COMPANY 665966 12/21/2022 20230106 385.90 CHECK 479970 TOTAL: 420.15 479971 01/06/2023 PRTD 101994 CMC RESCUE INC ORD-1267 12/06/2022 20230106 1,798.00 CHECK 479971 TOTAL: 1,798.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 9 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479972 01/06/2023 PRTD 120433 COMCAST 0373022-12/22 12/17/2022 20230106 33.90 CHECK 479972 TOTAL: 33.90 479973 01/06/2023 PRTD 160015 COMMERCIAL FURNITURE SERVICES INC 92685-0-1 12/02/2022 20230106 2,561.25 CHECK 479973 TOTAL: 2,561.25 479974 01/06/2023 PRTD 141193 COMMERCIAL STEAM TEAM INC 25583 12/10/2022 20230106 1,295.70 CHECK 479974 TOTAL: 1,295.70 479975 01/06/2023 PRTD 121267 CREATIVE RESOURCES 86171 12/07/2022 20230106 926.10 CHECK 479975 TOTAL: 926.10 479976 01/06/2023 PRTD 121668 CROWN PACKAGING CORP 3241561 12/06/2022 20230106 1,148.13 CHECK 479976 TOTAL: 1,148.13 479977 01/06/2023 PRTD 103799 CURBSIDE LANDSCAPE & IRRIGATION 261752 11/30/2022 20230106 1,284.41 CURBSIDE LANDSCAPE & IRRIGATION 261914 12/01/2022 20230106 365.65 CURBSIDE LANDSCAPE & IRRIGATION 262062 12/02/2022 20230106 85.49 CHECK 479977 TOTAL: 1,735.55 479978 01/06/2023 PRTD 160487 CUSTOM TRUCK ONE SOURCE 2022002074771 11/04/2022 20230106 510.15 CHECK 479978 TOTAL: 510.15 479979 01/06/2023 PRTD 104020 DALCO ENTERPRISES INC 4018639 12/06/2022 20230106 595.58 DALCO ENTERPRISES INC 4020978 12/12/2022 20230106 1,114.79 CHECK 479979 TOTAL: 1,710.37 479980 01/06/2023 PRTD 101766 DISPLAY SALES COMPANY INV-034779 12/09/2022 20230106 622.00 CHECK 479980 TOTAL: 622.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 10 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 479981 01/06/2023 PRTD 160060 DOMACE VINO LLC 25661 12/15/2022 20230106 1,086.00 CHECK 479981 TOTAL: 1,086.00 479982 01/06/2023 PRTD 100730 DORSEY & WHITNEY LLP 3836851 12/06/2022 20230106 16,000.50 DORSEY & WHITNEY LLP 3836849 12/06/2022 20230106 6,051.50 CHECK 479982 TOTAL: 22,052.00 479983 01/06/2023 PRTD 160580 DUNN, ELIZABETH 12-12-2022 12/12/2022 20230106 500.00 CHECK 479983 TOTAL: 500.00 479984 01/06/2023 PRTD 145811 EASTLAKE CRAFT BREWERY LLC 2128 12/20/2022 20230106 126.60 CHECK 479984 TOTAL: 126.60 479985 01/06/2023 PRTD 132810 ECM PUBLISHERS INC 923916 12/08/2022 20230106 292.95 CHECK 479985 TOTAL: 292.95 479986 01/06/2023 PRTD 160579 EHLERINGER, ALICIA 12-12-2022 12/12/2022 20230106 1,090.00 CHECK 479986 TOTAL: 1,090.00 479987 01/06/2023 PRTD 160062 ELM CREEK BREWING COMPANY E-3675 12/16/2022 20230106 136.00 CHECK 479987 TOTAL: 136.00 479988 01/06/2023 PRTD 102309 EMBEDDED SYSTEMS INC 344453 12/05/2022 20230106 2,905.80 CHECK 479988 TOTAL: 2,905.80 479989 01/06/2023 PRTD 100752 ESS BROTHERS & SONS INC CC10784 12/12/2022 20230106 3,744.00 CHECK 479989 TOTAL: 3,744.00 479990 01/06/2023 PRTD 148012 EVEREST EMERGENCY VEHICLES INC P06398 12/06/2022 20230106 427.49 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 11 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 479990 TOTAL: 427.49 479991 01/06/2023 PRTD 100146 ELLIOTT AUTO SUPPLY CO, INC 1-Z31212 12/06/2022 20230106 130.99 ELLIOTT AUTO SUPPLY CO, INC 69-471590 12/06/2022 20230106 268.32 ELLIOTT AUTO SUPPLY CO, INC 69-472005 12/09/2022 20230106 101.59 ELLIOTT AUTO SUPPLY CO, INC 1-8229159 12/12/2022 20230106 116.16 CHECK 479991 TOTAL: 617.06 479992 01/06/2023 PRTD 147181 FALLING BREWERY - BERGMAN LEDGE L E-8593 12/15/2022 20230106 311.00 FALLING BREWERY - BERGMAN LEDGE L E-8594 12/16/2022 20230106 567.00 FALLING BREWERY - BERGMAN LEDGE L E-8595 12/15/2022 20230106 512.00 FALLING BREWERY - BERGMAN LEDGE L E-8685 12/27/2022 20230106 308.00 CHECK 479992 TOTAL: 1,698.00 479993 01/06/2023 PRTD 103600 FERGUSON US HOLDINGS INC 0506357 12/08/2022 20230106 1,138.00 FERGUSON US HOLDINGS INC 0506355 12/08/2022 20230106 7,542.08 CHECK 479993 TOTAL: 8,680.08 479994 01/06/2023 PRTD 122683 FIRE SAFETY USA INC 165885 11/22/2022 20230106 8,654.20 CHECK 479994 TOTAL: 8,654.20 479995 01/06/2023 PRTD 141837 DAIOHS USA INC 645884 12/12/2022 20230106 455.06 DAIOHS USA INC 645889 12/12/2022 20230106 1,198.48 CHECK 479995 TOTAL: 1,653.54 479996 01/06/2023 PRTD 160485 FRONTIER ENERGY INC 190759 12/09/2022 20230106 1,200.00 CHECK 479996 TOTAL: 1,200.00 479997 01/06/2023 PRTD 102456 GALLS PARENT HOLDINGS LLC BC1771692 12/08/2022 20230106 41.86 GALLS PARENT HOLDINGS LLC BC1771508 12/08/2022 20230106 127.88 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 12 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET GALLS PARENT HOLDINGS LLC BC1771705 12/08/2022 20230106 21.96 GALLS PARENT HOLDINGS LLC BC1772263 12/08/2022 20230106 30.00 GALLS PARENT HOLDINGS LLC BC1772261 12/08/2022 20230106 124.99 GALLS PARENT HOLDINGS LLC BC1772264 12/08/2022 20230106 124.99 GALLS PARENT HOLDINGS LLC BC1772646 12/09/2022 20230106 155.94 GALLS PARENT HOLDINGS LLC BC1772783 12/09/2022 20230106 323.04 CHECK 479997 TOTAL: 950.66 479998 01/06/2023 PRTD 146181 GMH ASPHALT CORPORATION ENG 22-3 #7 11/15/2022 20230106 1,205,563.34 CHECK 479998 TOTAL: 1,205,563.34 479999 01/06/2023 PRTD 101103 WW GRAINGER 9541713559 12/12/2022 20230106 145.56 WW GRAINGER 9541713567 12/12/2022 20230106 14.96 WW GRAINGER 9542454823 12/12/2022 20230106 8.50 CHECK 479999 TOTAL: 169.02 480000 01/06/2023 PRTD 160347 GUARDIAN FLEET SAFETY LLC 22-0940 12/09/2022 20230106 14,514.21 GUARDIAN FLEET SAFETY LLC 22-0744 10/27/2022 20230106 7,036.28 CHECK 480000 TOTAL: 21,550.49 480001 01/06/2023 PRTD 137677 HAMMEL GREEN AND ABRAHAMSON INC 235054 12/06/2022 20230106 3,782.03 HAMMEL GREEN AND ABRAHAMSON INC 235053 12/06/2022 20230106 1,347.16 CHECK 480001 TOTAL: 5,129.19 480002 01/06/2023 PRTD 151168 HAMMER SPORTS LLC 2943 12/11/2022 20230106 364.00 CHECK 480002 TOTAL: 364.00 480003 01/06/2023 PRTD 126304 HAPCO POLE PRODUCTS IN0000111253 12/07/2022 22200055 20230106 16,350.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 13 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 480003 TOTAL: 16,350.00 480004 01/06/2023 PRTD 143563 HEADFLYER BREWING E-4201 12/16/2022 20230106 126.00 HEADFLYER BREWING E-4202 12/16/2022 20230106 126.00 CHECK 480004 TOTAL: 252.00 480005 01/06/2023 PRTD 103085 HENNEPIN COUNTY ACCOUNTING SERVIC 1000196018 12/02/2022 20230106 2,316.00 CHECK 480005 TOTAL: 2,316.00 480006 01/06/2023 PRTD 103085 HENNEPIN COUNTY ATTORNEY'S OFFICE 21003563 10/06/2022 20230106 932.68 CHECK 480006 TOTAL: 932.68 480007 01/06/2023 PRTD 104375 HOHENSTEINS INC 566546 12/13/2022 20230106 8,038.80 HOHENSTEINS INC 566537 12/16/2022 20230106 7,922.70 HOHENSTEINS INC 566536 12/16/2022 20230106 336.00 HOHENSTEINS INC 568424 12/20/2022 20230106 826.50 HOHENSTEINS INC 568433 12/20/2022 20230106 172.00 HOHENSTEINS INC 568570 12/20/2022 20230106 438.10 CHECK 480007 TOTAL: 17,734.10 480008 01/06/2023 PRTD 101618 HOPKINS PET HOSPITAL 452609 12/09/2022 20230106 7,469.92 CHECK 480008 TOTAL: 7,469.92 480009 01/06/2023 PRTD 116680 HP INC 9016963838 12/11/2022 20230106 944.72 CHECK 480009 TOTAL: 944.72 480010 01/06/2023 PRTD 120085 IDEAL SERVICE 12151 12/06/2022 20230106 620.00 CHECK 480010 TOTAL: 620.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 14 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 480011 01/06/2023 PRTD 101714 IDENTISYS INCORPORATED 599692 12/12/2022 20230106 905.33 CHECK 480011 TOTAL: 905.33 480012 01/06/2023 PRTD 100814 INDELCO PLASTICS CORPORATION INV366752 12/07/2022 20230106 457.92 CHECK 480012 TOTAL: 457.92 480013 01/06/2023 PRTD 150898 INVICTUS BREWING INC 6443 12/15/2022 20230106 70.00 INVICTUS BREWING INC 6444 12/15/2022 20230106 129.00 INVICTUS BREWING INC 6442 12/15/2022 20230106 129.00 CHECK 480013 TOTAL: 328.00 480014 01/06/2023 PRTD 160584 IVERSON REUVERS LLC 16844 12/05/2022 20230106 1,429.20 CHECK 480014 TOTAL: 1,429.20 480015 01/06/2023 PRTD 132592 JF AHERN CO 546364 12/13/2022 20230106 265.00 CHECK 480015 TOTAL: 265.00 480016 01/06/2023 PRTD 100835 ARTISAN BEER COMPANY 3577021 12/15/2022 20230106 5,550.20 ARTISAN BEER COMPANY 3577471 12/16/2022 20230106 434.05 ARTISAN BEER COMPANY 3577470 12/16/2022 20230106 456.75 ARTISAN BEER COMPANY 3577472 12/16/2022 20230106 434.05 ARTISAN BEER COMPANY 3577474 12/16/2022 20230106 434.05 ARTISAN BEER COMPANY 3577022 12/15/2022 20230106 5,298.45 ARTISAN BEER COMPANY 3578227 12/21/2022 20230106 304.50 ARTISAN BEER COMPANY 3578231 12/21/2022 20230106 161.50 ARTISAN BEER COMPANY 3578230 12/21/2022 20230106 258.30 CHECK 480016 TOTAL: 13,331.85 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 15 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 480017 01/06/2023 PRTD 100835 PHILLIPS WINE & SPIRITS 6514241 12/15/2022 20230106 8,463.84 PHILLIPS WINE & SPIRITS 6514243 12/15/2022 20230106 8,892.77 PHILLIPS WINE & SPIRITS 6514249 12/16/2022 20230106 8,271.19 PHILLIPS WINE & SPIRITS 6514248 12/15/2022 20230106 7,135.02 PHILLIPS WINE & SPIRITS 6517888 12/21/2022 20230106 32.50 PHILLIPS WINE & SPIRITS 6517889 12/21/2022 20230106 773.25 PHILLIPS WINE & SPIRITS 6517887 12/21/2022 20230106 613.30 PHILLIPS WINE & SPIRITS 6517894 12/21/2022 20230106 712.20 PHILLIPS WINE & SPIRITS 6517895 12/21/2022 20230106 1,214.45 CHECK 480017 TOTAL: 36,108.52 480018 01/06/2023 PRTD 100835 WINE MERCHANTS 7408384 12/15/2022 20230106 15,454.32 WINE MERCHANTS 7408382 12/15/2022 20230106 15,459.91 WINE MERCHANTS 7409447 12/21/2022 20230106 2,781.55 WINE MERCHANTS 7409451 12/21/2022 20230106 1,098.75 WINE MERCHANTS 7409450 12/21/2022 20230106 208.05 CHECK 480018 TOTAL: 35,002.58 480019 01/06/2023 PRTD 100835 JOHNSON BROTHERS LIQUOR CO 2200472 12/15/2022 20230106 8,212.64 JOHNSON BROTHERS LIQUOR CO 2200479 12/15/2022 20230106 8,319.74 JOHNSON BROTHERS LIQUOR CO 2200478 12/15/2022 20230106 7,313.91 JOHNSON BROTHERS LIQUOR CO 2200473 12/15/2022 20230106 10,224.95 JOHNSON BROTHERS LIQUOR CO 2200475 12/15/2022 20230106 5,981.77 JOHNSON BROTHERS LIQUOR CO 2200470 12/15/2022 20230106 5,226.74 JOHNSON BROTHERS LIQUOR CO 2200484 12/15/2022 20230106 7,730.79 JOHNSON BROTHERS LIQUOR CO 2200488 12/15/2022 20230106 9,040.40 JOHNSON BROTHERS LIQUOR CO 2200483 12/15/2022 20230106 7,011.57 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 16 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET JOHNSON BROTHERS LIQUOR CO 2200490 12/20/2022 20230106 12,039.43 JOHNSON BROTHERS LIQUOR CO 2205038 12/21/2022 20230106 33.35 JOHNSON BROTHERS LIQUOR CO 2205037 12/21/2022 20230106 1,018.06 JOHNSON BROTHERS LIQUOR CO 2205039 12/21/2022 20230106 305.10 JOHNSON BROTHERS LIQUOR CO 2205034 12/21/2022 20230106 227.34 JOHNSON BROTHERS LIQUOR CO 2205035 12/21/2022 20230106 61.35 JOHNSON BROTHERS LIQUOR CO 2205040 12/21/2022 20230106 446.75 JOHNSON BROTHERS LIQUOR CO 2205051 12/21/2022 20230106 55.35 JOHNSON BROTHERS LIQUOR CO 2205053 12/21/2022 20230106 97.96 JOHNSON BROTHERS LIQUOR CO 2205055 12/21/2022 20230106 380.05 JOHNSON BROTHERS LIQUOR CO 2205052 12/21/2022 20230106 171.70 JOHNSON BROTHERS LIQUOR CO 2205054 12/21/2022 20230106 4,310.60 CHECK 480019 TOTAL: 88,209.55 480020 01/06/2023 PRTD 100835 ORIGIN WINE AND SPIRITS 0019914 12/21/2022 20230106 277.40 CHECK 480020 TOTAL: 277.40 480021 01/06/2023 PRTD 142504 JOHNSON CONTROLS FIRE PROTECTION 23269920 12/01/2022 20230106 758.77 CHECK 480021 TOTAL: 758.77 480022 01/06/2023 PRTD 141864 JOSEPH E JOHNSON & SONS CONSTRUCT 1249 12/08/2022 20230106 810.00 CHECK 480022 TOTAL: 810.00 480023 01/06/2023 PRTD 103409 KELBRO COMPANY 2846175 12/22/2022 20230106 49.65 CHECK 480023 TOTAL: 49.65 480024 01/06/2023 PRTD 142207 KIESLER POLICE SUPPLY INC IN203656 12/06/2022 20230106 3,667.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 17 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 480024 TOTAL: 3,667.00 480025 01/06/2023 PRTD 151024 LA DONA SBC 6034 12/14/2022 20230106 368.00 CHECK 480025 TOTAL: 368.00 480026 01/06/2023 PRTD 101220 LANO EQUIPMENT INC 01-960286 12/06/2022 20230106 356.83 LANO EQUIPMENT INC 03-961059 12/09/2022 20230106 76.40 LANO EQUIPMENT INC 03-961052 12/09/2022 20230106 105.39 CHECK 480026 TOTAL: 538.62 480027 01/06/2023 PRTD 100852 LAWSON PRODUCTS INC 9310163736 12/06/2022 20230106 19.62 LAWSON PRODUCTS INC 9310176529 12/09/2022 20230106 1,355.94 CHECK 480027 TOTAL: 1,375.56 480028 01/06/2023 PRTD 101552 LEAGUE OF MINNESOTA CITIES 369587 12/02/2022 20230106 350.00 CHECK 480028 TOTAL: 350.00 480029 01/06/2023 PRTD 101552 LEAGUE OF MINNESOTA CITIES 20009 12/01/2022 20230106 1,798.94 CHECK 480029 TOTAL: 1,798.94 480030 01/06/2023 PRTD 103217 LHB INC 220556.00-6 12/12/2022 20230106 279.00 CHECK 480030 TOTAL: 279.00 480031 01/06/2023 PRTD 135867 LIBATION PROJECT 53440 12/21/2022 20230106 284.08 LIBATION PROJECT 53631 12/27/2022 20230106 137.96 LIBATION PROJECT 53633 12/27/2022 20230106 502.08 CHECK 480031 TOTAL: 924.12 480032 01/06/2023 PRTD 117026 LIFE-ASSIST INC 1273077 12/05/2022 20230106 53.50 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 18 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 480032 TOTAL: 53.50 480033 01/06/2023 PRTD 160570 LIGHTNING DISPOSAL INC 0000372686 11/17/2022 20230106 836.00 CHECK 480033 TOTAL: 836.00 480034 01/06/2023 PRTD 141916 LUPULIN BREWING COMPANY 44024 12/16/2022 20230106 449.20 LUPULIN BREWING COMPANY 44025 12/16/2022 20230106 449.20 LUPULIN BREWING COMPANY 44026 12/13/2022 20230106 625.50 LUPULIN BREWING COMPANY 49865 12/20/2022 20230106 260.00 LUPULIN BREWING COMPANY 49864 12/20/2022 20230106 260.00 LUPULIN BREWING COMPANY 49919 12/27/2022 20230106 217.00 CHECK 480034 TOTAL: 2,260.90 480035 01/06/2023 PRTD 100864 MACQUEEN EQUIPMENT LLC P09325-1 12/12/2022 22200076 20230106 36,797.00 MACQUEEN EQUIPMENT LLC P09325-2 12/12/2022 20230106 67.85 CHECK 480035 TOTAL: 36,864.85 480036 01/06/2023 PRTD 160471 MAGNEY CONSTRUCTION INC ENG 22-15 #2 12/07/2022 20230106 199,180.43 CHECK 480036 TOTAL: 199,180.43 480037 01/06/2023 PRTD 141215 MAVERICK WINE LLC INV889851 12/16/2022 20230106 1,830.52 MAVERICK WINE LLC INV893270 12/16/2022 20230106 177.54 MAVERICK WINE LLC INV889812 12/16/2022 20230106 1,830.52 MAVERICK WINE LLC INV889818 12/16/2022 20230106 1,830.52 MAVERICK WINE LLC INV895679 12/21/2022 20230106 133.50 MAVERICK WINE LLC INV895676 12/21/2022 20230106 305.52 CHECK 480037 TOTAL: 6,108.12 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 19 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 480038 01/06/2023 PRTD 146040 STRAYER, JUSTIN 20366 12/22/2022 20230106 352.25 STRAYER, JUSTIN 20364 12/22/2022 20230106 223.50 CHECK 480038 TOTAL: 575.75 480039 01/06/2023 PRTD 101483 MENARDS 73405 12/08/2022 20230106 95.63 MENARDS 73438 12/09/2022 20230106 190.23 MENARDS 73447 12/09/2022 20230106 43.28 MENARDS 73573 12/12/2022 20230106 212.19 MENARDS 73294 12/06/2022 20230106 25.26 CHECK 480039 TOTAL: 566.59 480040 01/06/2023 PRTD 102729 METROPOLITAN FORD LLC 530340 12/09/2022 20230106 66.10 METROPOLITAN FORD LLC 530341 12/12/2022 20230106 123.09 METROPOLITAN FORD LLC 415717 10/28/2022 20230106 1,296.10 METROPOLITAN FORD LLC 416523 10/26/2022 20230106 198.88 METROPOLITAN FORD LLC 417538 10/22/2022 20230106 604.59 CHECK 480040 TOTAL: 2,288.76 480041 01/06/2023 PRTD 145395 MILK AND HONEY LLC 11335 12/16/2022 20230106 196.00 MILK AND HONEY LLC 11320 12/16/2022 20230106 332.00 CHECK 480041 TOTAL: 528.00 480042 01/06/2023 PRTD 127062 MINNEHAHA BUILDING MAINTENANCE IN 180220563 11/27/2022 20230106 6.45 MINNEHAHA BUILDING MAINTENANCE IN 180220565 11/27/2022 20230106 18.28 MINNEHAHA BUILDING MAINTENANCE IN 180220564 11/27/2022 20230106 24.73 CHECK 480042 TOTAL: 49.46 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 20 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 480043 01/06/2023 PRTD 136248 MINNESOTA EQUIPMENT INC P95442 12/09/2022 20230106 261.18 CHECK 480043 TOTAL: 261.18 480044 01/06/2023 PRTD 128914 BJKK DEVELOPMENT 33861 11/18/2022 20230106 32.00 BJKK DEVELOPMENT 33959 12/10/2022 20230106 292.00 BJKK DEVELOPMENT 33944 12/10/2022 20230106 541.00 BJKK DEVELOPMENT 33512 09/09/2022 20230106 230.00 CHECK 480044 TOTAL: 1,095.00 480045 01/06/2023 PRTD 160568 SCHMIDTCO LLC 61910 12/06/2022 20230106 87.22 CHECK 480045 TOTAL: 87.22 480046 01/06/2023 PRTD 160300 MN MECHANICAL SOLUTIONS INC WTP6 #2 11/16/2022 22200036 20230106 28,595.00 CHECK 480046 TOTAL: 28,595.00 480047 01/06/2023 PRTD 140955 MODIST BREWING LLC E-37474 12/20/2022 20230106 116.00 CHECK 480047 TOTAL: 116.00 480048 01/06/2023 PRTD 100906 MTI DISTRIBUTING INC 1351459-00 12/06/2022 20230106 90.40 CHECK 480048 TOTAL: 90.40 480049 01/06/2023 PRTD 160241 NATURAL SHORE TECHNOLOGIES INC 5399 10/21/2022 20230106 836.25 CHECK 480049 TOTAL: 836.25 480050 01/06/2023 PRTD 100683 CHEMSEARCH 8041046 12/07/2022 20230106 815.74 CHECK 480050 TOTAL: 815.74 480051 01/06/2023 PRTD 100076 NEW FRANCE WINE CO 198251 12/22/2022 20230106 1,357.50 CHECK 480051 TOTAL: 1,357.50 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 21 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 480052 01/06/2023 PRTD 142201 NLSC PRODUCTS INC 127454 12/12/2022 20230106 660.00 CHECK 480052 TOTAL: 660.00 480053 01/06/2023 PRTD 151528 NO WAIT INSIDE LLC 2516 11/30/2022 20230106 52.85 CHECK 480053 TOTAL: 52.85 480054 01/06/2023 PRTD 125089 NOKOMIS SHOE SHOP INC INV1693 12/06/2022 20230106 4,089.95 CHECK 480054 TOTAL: 4,089.95 480055 01/06/2023 PRTD 100926 BLUETARP FINANCIAL INC 4061223290 12/07/2022 20230106 223.77 BLUETARP FINANCIAL INC 0034033493 12/09/2022 20230106 54.97 CHECK 480055 TOTAL: 278.74 480056 01/06/2023 PRTD 139023 NUSS TRUCK GROUP INC 7197656P 12/12/2022 20230106 48.18 NUSS TRUCK GROUP INC 7197626P 12/09/2022 20230106 71.82 NUSS TRUCK GROUP INC 7197688P 12/12/2022 20230106 27.35 NUSS TRUCK GROUP INC CM7198048P 12/22/2022 20230106 -94.92 CHECK 480056 TOTAL: 52.43 480057 01/06/2023 PRTD 100936 OLSEN CHAIN & CABLE CO INC 694712 12/08/2022 20230106 110.88 CHECK 480057 TOTAL: 110.88 480058 01/06/2023 PRTD 160576 OSI ENVIRONMENTAL INC 20101600 11/21/2022 20230106 5,480.16 CHECK 480058 TOTAL: 5,480.16 480059 01/06/2023 PRTD 160026 TED REDMOND 1193 12/12/2022 20230106 4,450.00 CHECK 480059 TOTAL: 4,450.00 480060 01/06/2023 PRTD 100944 PAUSTIS WINE COMPANY 187473 12/14/2022 20230106 8,049.40 PAUSTIS WINE COMPANY 187469 12/15/2022 20230106 5,616.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 22 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET PAUSTIS WINE COMPANY 187479 12/15/2022 20230106 7,460.00 PAUSTIS WINE COMPANY 188310 12/21/2022 20230106 503.00 PAUSTIS WINE COMPANY 188315 12/21/2022 20230106 501.50 PAUSTIS WINE COMPANY 188093 12/21/2022 20230106 36.50 CHECK 480060 TOTAL: 22,166.40 480061 01/06/2023 PRTD 100945 PEPSI-COLA COMPANY 66058613 12/20/2022 20230106 867.45 PEPSI-COLA COMPANY 66861658 12/23/2022 20230106 618.15 PEPSI-COLA COMPANY 68352414 12/19/2022 20230106 1,075.71 CHECK 480061 TOTAL: 2,561.31 480062 01/06/2023 PRTD 160131 PER MAR SECURITY AND RESEARCH COR 2938311 12/08/2022 20230106 233.10 PER MAR SECURITY AND RESEARCH COR 2938312 12/08/2022 20230106 233.10 CHECK 480062 TOTAL: 466.20 480063 01/06/2023 PRTD 160501 PFM ASSET MANAGEMENT LLC 13508868 11/30/2022 20230106 3,199.86 CHECK 480063 TOTAL: 3,199.86 480064 01/06/2023 PRTD 129706 PREMIUM WATERS INC 319151699 12/09/2022 20230106 39.99 CHECK 480064 TOTAL: 39.99 480065 01/06/2023 PRTD 106322 SCHENCK, DAVID 160274 12/09/2022 20230106 621.18 SCHENCK, DAVID 160284 12/09/2022 20230106 763.64 CHECK 480065 TOTAL: 1,384.82 480066 01/06/2023 PRTD 143618 PRYES BREWING COMPANY LLC W-47886 12/16/2022 20230106 240.00 CHECK 480066 TOTAL: 240.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 23 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 480067 01/06/2023 PRTD 100972 R & R SPECIALTIES INC 0077482-IN 12/06/2022 20230106 1,003.75 CHECK 480067 TOTAL: 1,003.75 480068 01/06/2023 PRTD 105324 READY WATT ELECTRIC 2215213 11/15/2022 20230106 510.00 CHECK 480068 TOTAL: 510.00 480069 01/06/2023 PRTD 100975 MULTI SERVICE TECHNOLOGY SOLUTION 20221210033928-1 12/10/2022 20230106 182.69 MULTI SERVICE TECHNOLOGY SOLUTION 20221210033928-2 12/10/2022 20230106 200.00 MULTI SERVICE TECHNOLOGY SOLUTION 20221210033928-3 12/10/2022 20230106 200.00 MULTI SERVICE TECHNOLOGY SOLUTION 20221210033928-4 12/10/2022 20230106 200.00 MULTI SERVICE TECHNOLOGY SOLUTION 20221210033928-5 12/10/2022 20230106 200.00 CHECK 480069 TOTAL: 982.69 480070 01/06/2023 PRTD 144351 REHDER, MARK 315 12/09/2022 20230106 285.00 CHECK 480070 TOTAL: 285.00 480071 01/06/2023 PRTD 100977 RICHFIELD PLUMBING COMPANY 86204 12/07/2022 20230106 2,917.40 RICHFIELD PLUMBING COMPANY 86205 12/07/2022 20230106 749.00 CHECK 480071 TOTAL: 3,666.40 480072 01/06/2023 PRTD 160578 ROBERTS, BRANDT 12-12-22 12/12/2022 20230106 500.00 CHECK 480072 TOTAL: 500.00 480073 01/06/2023 PRTD 101659 ORKIN 235405097 12/06/2022 20230106 90.00 ORKIN 235403551 12/06/2022 20230106 142.36 CHECK 480073 TOTAL: 232.36 480074 01/06/2023 PRTD 140989 S M HENTGES & SONS INC ENG 22-2 #4 12/06/2022 20230106 1,825,775.37 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 24 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 480074 TOTAL: 1,825,775.37 480075 01/06/2023 PRTD 104087 SAFEASSURE CONSULTANTS INC 3232 12/01/2022 20230106 5,395.34 CHECK 480075 TOTAL: 5,395.34 480076 01/06/2023 PRTD 134173 SAFE-FAST INC INV269974 12/09/2022 20230106 103.45 CHECK 480076 TOTAL: 103.45 480077 01/06/2023 PRTD 100988 SAFETY KLEEN SYSTEMS INC 90501502 12/12/2022 20230106 634.09 CHECK 480077 TOTAL: 634.09 480078 01/06/2023 PRTD 117099 EARL F ANDERSEN INC 0131667-IN 12/12/2022 20230106 655.00 CHECK 480078 TOTAL: 655.00 480079 01/06/2023 PRTD 160574 JEAN, SANDRA 12-09-2022 12/09/2022 20230106 4,725.00 CHECK 480079 TOTAL: 4,725.00 480080 01/06/2023 PRTD 132210 RUSCIANO GROUP INC 69024 12/06/2022 20230106 765.00 CHECK 480080 TOTAL: 765.00 480081 01/06/2023 PRTD 100995 SHORT-ELLIOT-HENDRICKSON INCORPOR 437850 12/12/2022 20230106 773.72 SHORT-ELLIOT-HENDRICKSON INCORPOR 437854 12/12/2022 20230106 477.23 SHORT-ELLIOT-HENDRICKSON INCORPOR 437855 12/12/2022 20230106 23,668.66 CHECK 480081 TOTAL: 24,919.61 480082 01/06/2023 PRTD 120784 WALSH GRAPHICS INC 17783 12/07/2022 20230106 608.82 WALSH GRAPHICS INC 17834 11/30/2022 20230106 11,051.26 CHECK 480082 TOTAL: 11,660.08 480083 01/06/2023 PRTD 100430 SNAP-ON INDUSTRIAL ARV/55527727 12/07/2022 20230106 39.15 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 25 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 480083 TOTAL: 39.15 480084 01/06/2023 PRTD 127878 SOUTHERN GLAZERS WINE & SPIRITS L 2292578 12/14/2022 20230106 6,302.04 SOUTHERN GLAZERS WINE & SPIRITS L 2292558 12/22/2022 20230106 119.00 SOUTHERN GLAZERS WINE & SPIRITS L 2292569 12/16/2022 20230106 6,704.56 SOUTHERN GLAZERS WINE & SPIRITS L 2292567 12/16/2022 20230106 5,932.90 SOUTHERN GLAZERS WINE & SPIRITS L 2295850 12/22/2022 20230106 781.70 SOUTHERN GLAZERS WINE & SPIRITS L 2295848 12/22/2022 20230106 198.80 SOUTHERN GLAZERS WINE & SPIRITS L 2295851 12/22/2022 20230106 485.60 SOUTHERN GLAZERS WINE & SPIRITS L 2295841 12/22/2022 20230106 220.26 SOUTHERN GLAZERS WINE & SPIRITS L 2295838 12/22/2022 20230106 168.80 SOUTHERN GLAZERS WINE & SPIRITS L 2295836 12/22/2022 20230106 1,635.68 SOUTHERN GLAZERS WINE & SPIRITS L 2295837 12/22/2022 20230106 53.60 SOUTHERN GLAZERS WINE & SPIRITS L 2295835 12/22/2022 20230106 1,082.40 CHECK 480084 TOTAL: 23,685.34 480085 01/06/2023 PRTD 101007 STAR TRIBUNE MEDIA INTERMEDIATE H I00429938-11152022 11/30/2022 20230106 3,666.66 CHECK 480085 TOTAL: 3,666.66 480086 01/06/2023 PRTD 101015 STREICHERS INC I1604120 12/06/2022 20230106 22.99 CHECK 480086 TOTAL: 22.99 480087 01/06/2023 PRTD 133750 STRYKER SALES CORPORATION 3940722 M 11/01/2022 20230106 11,160.00 CHECK 480087 TOTAL: 11,160.00 480088 01/06/2023 PRTD 101017 SUBURBAN CHEVROLET 96097P 12/12/2022 20230106 331.12 CHECK 480088 TOTAL: 331.12 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 26 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 480089 01/06/2023 PRTD 105874 SUBURBAN TIRE WHOLESALE INC 10191386 12/07/2022 20230106 3,740.16 SUBURBAN TIRE WHOLESALE INC 10191495 12/12/2022 20230106 1,103.44 CHECK 480089 TOTAL: 4,843.60 480090 01/06/2023 PRTD 111002 TEE JAY NORTH INC 47362 12/08/2022 20230106 204.00 CHECK 480090 TOTAL: 204.00 480091 01/06/2023 PRTD 101038 TOLL COMPANY 10490931 12/09/2022 20230106 395.50 CHECK 480091 TOTAL: 395.50 480092 01/06/2023 PRTD 138732 TRADITION WINE & SPIRITS LLC 34514 12/20/2022 20230106 1,141.00 TRADITION WINE & SPIRITS LLC 34515 12/20/2022 20230106 930.00 CHECK 480092 TOTAL: 2,071.00 480093 01/06/2023 PRTD 104064 TRANS UNION RISK AND ALTERNATIVE 269634-202211-1 12/01/2022 20230106 382.00 CHECK 480093 TOTAL: 382.00 480094 01/06/2023 PRTD 160494 TREE TRUST NextGenTree-101122 10/11/2022 20230106 10,453.72 CHECK 480094 TOTAL: 10,453.72 480095 01/06/2023 PRTD 103218 TRI-STATE BOBCAT S35138 11/07/2022 22200056 20230106 7,414.20 TRI-STATE BOBCAT P87058 12/06/2022 20230106 383.20 TRI-STATE BOBCAT S35323 12/07/2022 20230106 4,534.44 TRI-STATE BOBCAT P87255 12/08/2022 20230106 82.95 CHECK 480095 TOTAL: 12,414.79 480096 01/06/2023 PRTD 101360 TWIN CITY HARDWARE COMPANY INC PSI2160320 12/07/2022 20230106 2,050.00 CHECK 480096 TOTAL: 2,050.00 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 27 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 480097 01/06/2023 PRTD 146436 TYLER TECHNOLOGIES INC 025-404794 12/07/2022 20230106 1,837.50 CHECK 480097 TOTAL: 1,837.50 480098 01/06/2023 PRTD 103973 ULINE INC 157412090 12/08/2022 20230106 348.96 CHECK 480098 TOTAL: 348.96 480099 01/06/2023 PRTD 100050 USPS 79807 12/29/2022 20230106 1,089.57 CHECK 480099 TOTAL: 1,089.57 480100 01/06/2023 PRTD 100050 USPS 79808 01/03/2023 20230106 275.05 CHECK 480100 TOTAL: 275.05 480101 01/06/2023 PRTD 101058 VAN PAPER COMPANY 020967 12/07/2022 20230106 99.60 VAN PAPER COMPANY 020968 12/06/2022 20230106 753.01 VAN PAPER COMPANY 020965 12/06/2022 20230106 232.04 VAN PAPER COMPANY 020966 12/06/2022 20230106 630.43 VAN PAPER COMPANY 020969 12/06/2022 20230106 291.28 VAN PAPER COMPANY 021078 12/08/2022 20230106 657.94 VAN PAPER COMPANY 021075 12/08/2022 20230106 9.92 CHECK 480101 TOTAL: 2,674.22 480102 01/06/2023 PRTD 101064 VESSCO INC 089461 12/07/2022 20230106 600.30 CHECK 480102 TOTAL: 600.30 480103 01/06/2023 PRTD 119454 VINOCOPIA INC 0319845-IN 12/16/2022 20230106 875.25 VINOCOPIA INC 0320228-IN 12/21/2022 20230106 184.58 CHECK 480103 TOTAL: 1,059.83 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 28 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET 480104 01/06/2023 PRTD 120627 VISTAR 66694207 12/09/2022 20230106 1,123.71 CHECK 480104 TOTAL: 1,123.71 480105 01/06/2023 PRTD 160572 WEIS BUILDERS INC 211606 12/09/2022 20230106 94,975.00 CHECK 480105 TOTAL: 94,975.00 480106 01/06/2023 PRTD 101033 WINE COMPANY 222946 12/14/2022 20230106 9,734.98 WINE COMPANY 222950 12/15/2022 20230106 9,368.48 WINE COMPANY 222942 12/16/2022 20230106 13,538.27 WINE COMPANY 223591 12/21/2022 20230106 340.00 WINE COMPANY 223590 12/21/2022 20230106 722.00 WINE COMPANY 223584 12/21/2022 20230106 2,424.10 CHECK 480106 TOTAL: 36,127.83 480107 01/06/2023 PRTD 124503 WINSUPPLY EDEN PRAIRIE MN CO 237899 01 12/08/2022 20230106 138.44 CHECK 480107 TOTAL: 138.44 480108 01/06/2023 PRTD 142162 WOODEN HILL BREWING COMPANY LLC 3950 12/16/2022 20230106 686.70 WOODEN HILL BREWING COMPANY LLC 3949 12/16/2022 20230106 1,350.90 WOODEN HILL BREWING COMPANY LLC 3951 12/16/2022 20230106 1,512.00 WOODEN HILL BREWING COMPANY LLC 3961 12/21/2022 20230106 93.50 WOODEN HILL BREWING COMPANY LLC 3962 12/21/2022 20230106 102.00 CHECK 480108 TOTAL: 3,745.10 480109 01/06/2023 PRTD 160299 WOODEN SHIP BREWING COMPANY 000262 12/14/2022 20230106 134.40 CHECK 480109 TOTAL: 134.40 480110 01/06/2023 PRTD 105740 WSB & ASSOCIATES R-017897-000-18 11/03/2022 20230106 36,720.25 City of Edina, MN A/P CASH DISBURSEMENTS JOURNAL Report generated: 01/05/2023 15:10User: STanGeilProgram ID: apcshdsb Page 29 CASH ACCOUNT: 9999 1012 Control BS - CashAP CHECK NO CHK DATE TYPE VENDOR NAME INVOICE INV DATE PO CHECK RUN NET CHECK 480110 TOTAL: 36,720.25 480111 01/06/2023 PRTD 103266 YORKDALE SHOPPES PARTNERS, LLC JAN 2023 12/19/2022 20230106 1,148.77 CHECK 480111 TOTAL: 1,148.77 480112 01/06/2023 PRTD 130618 CHANHASSEN AUTO CENTERS LLC 23532 12/09/2022 20230106 1,658.52 CHECK 480112 TOTAL: 1,658.52 480113 01/06/2023 PRTD 101572 ZARNOTH BRUSH WORKS INC 0191973-IN 12/12/2022 20230106 5,574.00 CHECK 480113 TOTAL: 5,574.00 480114 01/06/2023 PRTD 101091 ZIEGLER INC IN000805346 12/10/2022 20230106 106.74 CHECK 480114 TOTAL: 106.74 NUMBER OF CHECKS 188 *** CASH ACCOUNT TOTAL *** 4,313,173.18 COUNT AMOUNT TOTAL PRINTED CHECKS 188 4,313,173.18 *** GRAND TOTAL *** 4,313,173.18 Date: January 17, 2023 Agenda Item #: VI.C. To:Mayor and City Council Item Type: Report / Recommendation From:Alisha McAndrews, Finance Director Item Activity: Subject:Ordinance No. 2023-01: Setting Morningside Water Rates Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Ordinance No. 2023-01 Amending Code Section 2-724 Schedule A, setting Morningside water rates for 2023, and grant first reading. INTRODUCTION: The attached staff report describes the water rates for the Morningside area. ATTACHMENTS: Description Staff Report: Ord. No. 2023:01 Setting Morningside Water Rates Ordinance No. 2023-01 Setting Morningside Water Rates January 17, 2023 Mayor and City Council Alisha McAndrews, Finance Director Ordinance No. 2023-01: Setting Morningside Water Rates Information / Background: The City of Minneapolis provides the water used by much of the Morningside area of Edina. Edina pays Minneapolis for the water that comes into our City from Minneapolis based on a contracted rate. The contracted rate that Edina pays is proportional to the rates the Minneapolis City Council sets for their own residents. The Minneapolis rate for 2023 is $2.80 per 100 cubic feet of water, a 4% increase over the 2022 rate. The City of Edina also provides services to this area in the form of meter reading, billing, water distribution infrastructure, and other services except for the water itself. To help offset the cost of these Edina-provided services, staff recommends increasing the Edina charge by 5% to $0.84/1,000 gallons in 2023. This rate adjustment is consistent with the rates recommended by the City’s financial advisor, Ehlers & Associates, in the 2022 utility rate study. The recommended Morningside water rate for 2023 is $4.58 per 1,000 gallons of water. Below is the rate history and the recommended rate for 2023. The rates have been converted to 1,000 gallons, which is the unit of measurement used for billing by the City of Edina For areas of Edina that do not receive Minneapolis water, the 2023 adopted rates are $2.42, $3.68, or $6.08 per 1,000 gallons, depending on type and quantity of usage. Another difference between Minneapolis and Edina water is Minneapolis delivers softened water, while Edina residents use home water softener systems. (per 1,000 gal)2019 2020 2021 2022 2023 Minneapolis charge 3.41 3.49 3.49 3.60 3.74 Edina charge 0.70 0.73 0.77 0.80 0.84 Total Rate 4.11$ 4.22$ 4.26$ 4.40$ 4.58$ ORDINANCE NO. 2023-01 THE CITY COUNCIL OF THE CITY OF EDINA ORDAINS: Section 1. The following described fees of Schedule A to Code Section 2-724 are amended to read as follows: Chapter and Section Purpose of Fee/Charge 2022 Fee Proposed 2023 Fee Chapter 28 28-43(b) Water Service: 1. Per 1,000 gallons for areas of city, except in the Morningside area $4.40 Per 1,000 gallons—Morningside area $4.58 Per 1,000 gallons—Morningside area Section 2. The effective date of Section 1 of this Ordinance shall be March 1, 2023. First Reading: January 17, 2023 Second Reading: February 7, 2023 Published: Attest: ____________________________ ______________________________ Sharon Allison, City Clerk James B. Hovland, Mayor PLEASE PUBLISH IN THE EDINA SUN CURRENT. SEND ONE AFFIDAVIT OF PUBLICATION BILL TO EDINA CITY CLERK Date: January 17, 2023 Agenda Item #: VI.D. To:Mayor and City Council Item Type: Request For Purchase From:Richard Poppitz, Equipment Operations Supervisor Item Activity: Subject:Request for Purchase: 2024 Chevy 2500HD Truck Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Request for Purchase for one 2024 Chevy 2500HD Truck from Rosedale Chevrolet, and equipment from Aspen, for $65,691. INTRODUCTION: Rosedale Chevrolet will provide the Chevy 2500HD Truck. This is a replacement for vehicle 47-213, a 2005 Chevy truck that has 92,210 miles on the vehicle. This truck was originally approved to be replaced by the City Council on 11/12/2022 for $61,541.16. This approval adds $4,150.84 to the original approval and changes vendors from Midway Ford to Rosedale Chevrolet. The vehicle has outlived its useful life and needs replacement. It is switching from a gas to diesel motor to comply with the City's Green Fleet Policy. Our new equipment replacement scoring methodology uses six performance and cost variables including age, usage, type of service, condition, repair costs and reliability. Replacement qualification scores are 23 for all sedans and light trucks and 28 for heavy duty vehicles and off-road equipment whose gross weight rating exceeds 10,500. The higher the score, the higher the need to replace the vehicle. In other words, we will not replace a heavy-duty vehicle that does not have a minimum score of 28. This piece of equipment is considered a heavy-duty vehicle with a score of 36. ATTACHMENTS: Description Request for Purchase: 2024 Chevy 2500HD Truck Request for Purchase Requisition Number 1 CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 12200301 Department:Parks & Recreation Buyer:Richard Poppitz Date: 12/20/2022 Requisition Description:2024 2500HD Chevy Plow Truck Vendor:ROSEDALE CHEVROLET LLC Cost:$65,691.00 REPLACEMENT or NEW:NEW - NEW PURCHASE SOURCE:QUOTE/BD - QUOTE/BID DESCRIPTION:Replacing parks truck due to age. BUDGET IMPACT: Parks Equipment Replacement Fund Environmental Impact - item specific: 2 COMMUNITY IMPACT:All Resident Accessibility ENVIRONMENTAL IMPACT:Switching from Gas to Diesel Vehicle - Make/Model/Year requested vehicle:Chevy / 2500HD / 2024 Vehicle - Make/Model/Year current vehicle (if replacement): Chevy / 2500HD / 2005 Vehicle - Does purchase meet Green Fleet Recommendations? YES - YES Vehicle - If does not meet Green Fleet Recommendations, justification: - MPG:NA-No Data Carbon Emissions:NA-No Data Date: January 17, 2023 Agenda Item #: VI.E. To:Mayor and City Council Item Type: Request For Purchase From:Richard Poppitz, Equipment Operations Supervisor Item Activity: Subject:Request for Purchase: 2024 Chevy 3500HD Truck Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Request for Purchase of 2024 Chevy 3500HD truck from Rosedale Chevrolet, with equipment from Aspen, for $97,256. INTRODUCTION: This is a replacement for vehicle #47-382, a 2011 utility truck. It has outlived its useful life and needs replacement. This truck was originally approved to be replaced by the City Council on 11/15/2022 for $84,251.16. This approval adds $13,000.84 to the original approval and changes vendors from Boyer Ford to Rosedale Chevrolet. Our new equipment replacement scoring methodology uses six performance and cost variables including age, usage, type of service, condition, repair costs and reliability. Replacement qualification scores are: 23 for all sedans and light trucks and 28 for heavy duty vehicles and off-road equipment whose gross weight rating (GVWR) exceeds 10,500. T he higher the score, the higher the need to replace the vehicle. In other words, we will not replace a heavy-duty vehicle that does not have a minimum score of 28. This piece of equipment is considered a heavy-duty vehicle with a score of 30. ATTACHMENTS: Description Request for Purchase: 2024 Chevy 3500HD Truck 1 BUDGET IMPACT: Parks Equipment Replacement Fund DESCRIPTION: Replace parks truck used for plowing due to age. CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 Requisition Number 12200310 Department: Parks & Recreation Buyer: Richard Poppitz Date: 12/23/2022 Request for Purchase Requisition Description: Chevy 3500HD Plow truck with dump box Vendor: ROSEDALE CHEVROLET LLC Cost: $97,256.00 REPLACEMENT or NEW: REPLACEM - REPLACEMENT PURCHASE SOURCE: QUOTE/BD - QUOTE/BID 2 COMMUNITY IMPACT: All Resident Accessibility ENVIRONMENTAL IMPACT: Cleaner burning Diesel due to Def fluid and catalytic converter Environmental Impact - item specific: Vehicle - Make/Model/Year requested vehicle: Chevy / 3500HD / 2024 Vehicle - Make/Model/Year current vehicle (if replacement): Ford / F450 / 2011 Vehicle - Does purchase meet Green Fleet Recommendations? YES - YES Vehicle - If does not meet Green Fleet Recommendations, justification: - MPG: NA-No Data Carbon Emissions: NA-No Data Date: January 17, 2023 Agenda Item #: VI.F. To:Mayor and City Council Item Type: Request For Purchase From:Richard Poppitz, Equipment Operations Supervisor Item Activity: Subject:Request for Purchase: 2024 Chevy 2500HD Truck Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Request for Purchase for one 2024 2500HD Truck from Rosedale Chevrolet, and equipment from Aspen, for $66,501. INTRODUCTION: Rosedale Chevrolet will provide the 2500HD Truck. T his is a replacement for vehicle 70-295, a 2012 Ford F250 that has 92,210 miles on the vehicle. This truck was originally approved to be replaced by the City Council on 11/16/2021 for $45,203. T his approval adds $21,297.32 to the original approval and changes vendors from Midway Ford to Rosedale Chevrolet. The vehicle has outlived its useful life and needs replacement. It is switching from a gas to diesel motor to comply with the City's Green Fleet Policy. Our new equipment replacement scoring methodology uses six performance and cost variables including age, usage, type of service, condition, repair costs and reliability. Replacement qualification scores are 23 for all sedans and light trucks and 28 for heavy duty vehicles and off-road equipment whose gross weight rating exceeds 10,500. The higher the score, the higher the need to replace the vehicle. In other words, we will not replace a heavy-duty vehicle that does not have a minimum score of 28. This piece of equipment is considered a heavy-duty vehicle with a score of 32. ATTACHMENTS: Description Request for Purchase:2024 Chevy 2500HD Truck 1 BUDGET IMPACT: utility equipment replacement fund DESCRIPTION: Replacing utilities vehicle due to age and rating CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 Requisition Number 12200306 Department: Public Works Buyer: Richard Poppitz Date: 12/21/2022 Request for Purchase Requisition Description: 2024 Chevy 2500HD plow truck Vendor: ROSEDALE CHEVROLET LLC Cost: $66,501.00 REPLACEMENT or NEW: REPLACEM - REPLACEMENT PURCHASE SOURCE: QUOTE/BD - QUOTE/BID 2 COMMUNITY IMPACT: All Resident Accessibility ENVIRONMENTAL IMPACT: Replacing gas with diesel Environmental Impact - item specific: Vehicle - Make/Model/Year requested vehicle: Chevy / 2500HD / 2024 Vehicle - Make/Model/Year current vehicle (if replacement): Ford / F250 / 2012 Vehicle - Does purchase meet Green Fleet Recommendations? - Vehicle - If does not meet Green Fleet Recommendations, justification: - MPG: NA-No Data Carbon Emissions: NA-No Data Date: January 17, 2023 Agenda Item #: VI.G. To:Mayor and City Council Item Type: Request For Purchase From:Richard Poppitz, Equipment Operations Supervisor Item Activity: Subject:Request for Purchase: 2024 Chevy 2500HD Truck Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Request for Purchase for one 2024 2500HD Truck from Rosedale Chevrolet, and equipment from Aspen, for $68,816. INTRODUCTION: Rosedale Chevrolet will provide the 2500HD Truck. T his is a replacement for vehicle 47-216, a 2007 Chevy 2500 that has 86,558 miles on the vehicle. This truck was originally approved to be replaced by the City Council on 11/16/2021 for $47,853.68. This approval adds $20,962.32 to the original approval and changes vendors from Midway Ford to Rosedale Chevrolet. T he vehicle has outlived its useful life and needs replacement. It is switching from a gas to diesel motor to comply with the City's Green Fleet Policy. Our new equipment replacement scoring methodology uses six performance and cost variables including age, usage, type of service, condition, repair costs and reliability. Replacement qualification scores are 23 for all sedans and light trucks and 28 for heavy duty vehicles and off-road equipment whose gross weight rating exceeds 10,500. The higher the score, the higher the need to replace the vehicle. In other words, we will not replace a heavy-duty vehicle that does not have a minimum score of 28. This piece of equipment is considered a heavy-duty vehicle with a score of 33. ATTACHMENTS: Description Request for Purchase: 2024 Chevy 2500HD Truck Request for Purchase Requisition Number 1 CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 12200302 Department:Parks & Recreation Buyer:Richard Poppitz Date: 12/20/2022 Requisition Description:2024 Chevy 2500HD Plow Truck Vendor:ROSEDALE CHEVROLET LLC Cost:$68,816.00 REPLACEMENT or NEW:REPLACEM - REPLACEMENT PURCHASE SOURCE:QUOTE/BD - QUOTE/BID DESCRIPTION:Replace truck used for plowing. BUDGET IMPACT: Equipment replacement fund. Environmental Impact - item specific: 2 COMMUNITY IMPACT:All Resident Accessibility ENVIRONMENTAL IMPACT:Switch from Gas to Diesel. Vehicle - Make/Model/Year requested vehicle:Chevy / 2500HD / 2024 Vehicle - Make/Model/Year current vehicle (if replacement): Chevy 1500 2007 Vehicle - Does purchase meet Green Fleet Recommendations? YES - YES Vehicle - If does not meet Green Fleet Recommendations, justification: - MPG:NA-No Data Carbon Emissions:NA-No Data Date: January 17, 2023 Agenda Item #: VI.H. To:Mayor and City Council Item Type: Request For Purchase From:Richard Poppitz, Equipment Operations Supervisor Item Activity: Subject:Request for Purchase: 2024 Chevy 2500HD Truck Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Request for Purchase for one 2024 Chevy 2500HD Truck from Rosedale Chevrolet, and equipment from Aspen, for $73,508. INTRODUCTION: Rosedale Chevrolet will provide the Chevy 2500HD Truck. This is a replacement for vehicle 25-301, a 2009 Chevy truck that has 72,210 miles on the vehicle. This truck was originally approved to be replaced by the City Council on 11/15/2022 for $71,368.13. This approval adds $2,139.84 to the original approval and changes vendors from Midway Ford to Rosedale Chevrolet. The vehicle has outlived its useful life and needs replacement. The replacement truck is being switched from a 1-ton to a 3/4-ton pickup. It is also switching from a gas to diesel motor to comply with the City's Green Fleet Policy. Our new equipment replacement scoring methodology uses six performance and cost variables including age, usage, type of service, condition, repair costs and reliability. Replacement qualification scores are 23 for all sedans and light trucks and 28 for heavy duty vehicles and off-road equipment whose gross weight rating exceeds 10,500. The higher the score, the higher the need to replace the vehicle. In other words, we will not replace a heavy-duty vehicle that does not have a minimum score of 28. This piece of equipment is considered a heavy-duty vehicle with a score of 32. ATTACHMENTS: Description Request for Purchase:2024 Chevy 2500HD Truck 1 BUDGET IMPACT: Streets Equipment Replacement Fund DESCRIPTION: Replacing sign shop service truck due to age. CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 Requisition Number 12200299 Department: Public Works Buyer: Richard Poppitz Date: 12/20/2022 Request for Purchase Requisition Description: 2024 2500HD Double cab Truck with Flat Bed Vendor: ROSEDALE CHEVROLET LLC Cost: $73,508.00 REPLACEMENT or NEW: NEW - NEW PURCHASE SOURCE: QUOTE/BD - QUOTE/BID 2 COMMUNITY IMPACT: All Resident Accessibility ENVIRONMENTAL IMPACT: Switching from Gas to Diesel Environmental Impact - item specific: Vehicle - Make/Model/Year requested vehicle: Chevy / 2500HD / 2024 Vehicle - Make/Model/Year current vehicle (if replacement): Chevy / 3500 / 2009 R 25-301 Vehicle - Does purchase meet Green Fleet Recommendations? YES - YES Vehicle - If does not meet Green Fleet Recommendations, justification: - MPG: NA-No Data Carbon Emissions: NA-No Data Date: January 17, 2023 Agenda Item #: VI.I. To:Mayor and City Council Item Type: Request For Purchase From:Richard Poppitz, Equipment Operations Supervisor Item Activity: Subject:Request for Purchase: 2024 Chevy 3500HD Truck Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Request for Purchase for one 2024 Chevy 3500HD Truck from Rosedale Chevrolet, and equipment from Aspen, for $95,148. INTRODUCTION: Rosedale Chevrolet will provide the Chevy 3500HD Truck. This is a replacement for vehicle 25-347, a 2008 Chevy truck that has 41,904 miles on the vehicle. This truck was originally approved to be replaced by the City Council on 11/15/2022 for $94,798.60. This approval adds $349.40 to the original approval and changes vendors from Boyer Ford to Rosedale Chevrolet. The vehicle has outlived its useful life and needs replacement. T he replacement truck is being switched from a gas to diesel motor to comply with the City's Green Fleet Policy. Our new equipment replacement scoring methodology uses six performance and cost variables including age, usage, type of service, condition, repair costs and reliability. Replacement qualification scores are 23 for all sedans and light trucks and 28 for heavy duty vehicles and off-road equipment whose gross weight rating exceeds 10,500. The higher the score, the higher the need to replace the vehicle. In other words, we will not replace a heavy-duty vehicle that does not have a minimum score of 28. This piece of equipment is considered a heavy-duty vehicle with a score of 30. ATTACHMENTS: Description Request for Purchase: 2024 Chevy 3500HD Truck Request for Purchase Requisition Number 1 CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 12200300 Department:Public Works Buyer:Richard Poppitz Date: 12/20/2022 Requisition Description:2024 3500DH with V Plow and Spreader Vendor:ROSEDALE CHEVROLET LLC Cost:$95,148.00 REPLACEMENT or NEW:REPLACEM - REPLACEMENT PURCHASE SOURCE:QUOTE/BD - QUOTE/BID DESCRIPTION:Replace truck used for plowing due to age. BUDGET IMPACT: PW Equipment Replacement Fund Environmental Impact - item specific: 2 COMMUNITY IMPACT:All Resident Accessibility ENVIRONMENTAL IMPACT:Switching from Gas to Diesel Vehicle - Make/Model/Year requested vehicle:Chevy / 2500HD / 2024 Vehicle - Make/Model/Year current vehicle (if replacement): Chevy / 3500 / 2008 R 25-347 Vehicle - Does purchase meet Green Fleet Recommendations? YES - YES Vehicle - If does not meet Green Fleet Recommendations, justification: - MPG:NA-No Data Carbon Emissions:NA-No Data Date: January 17, 2023 Agenda Item #: VI.J. To:Mayor and City Council Item Type: Request For Purchase From:Richard Poppitz, Equipment Operations Supervisor Item Activity: Subject:Request for Purchase: 2024 Chevy 2500HD Truck Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Request for Purchase of 2024 Chevy 2500HD truck from Rosedale Chevrolet, with equipment from ABM, for $79,967.00. INTRODUCTION: This is a replacement for vehicle #47-218, a 2008 utility truck. It has outlived its useful life and needs replacement. This truck was originally approved to be replaced by the City Council on 11/15/2022 for $76,528.16. This approval adds $3,438.84 to the original approval and changes vendors from Boyer Ford to Rosedale Chevrolet. Our new equipment replacement scoring methodology uses six performance and cost variables including age, usage, type of service, condition, repair costs and reliability. Replacement qualification scores are: 23 for all sedans and light trucks and 28 for heavy duty vehicles and off-road equipment whose gross weight rating (GVWR) exceeds 10,500. T he higher the score, the higher the need to replace the vehicle. In other words, we will not replace a heavy-duty vehicle that does not have a minimum score of 28. This piece of equipment is considered a heavy-duty vehicle with a score of 35. ATTACHMENTS: Description Request for Purchase: 2024 Chevy 2500HD Truck 1 BUDGET IMPACT: Park Equipment Replacement Fund DESCRIPTION: Replacing parks service vehicle due to age. CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 Requisition Number 12200305 Department: Parks & Recreation Buyer: Richard Poppitz Date: 12/20/2022 Request for Purchase Requisition Description: 2024 Chevy 3500HD Truck with Contractor Box Vendor: ROSEDALE CHEVROLET LLC Cost: $79,967.00 REPLACEMENT or NEW: REPLACEM - REPLACEMENT PURCHASE SOURCE: QUOTE/BD - QUOTE/BID 2 COMMUNITY IMPACT: All Resident Accessibility ENVIRONMENTAL IMPACT: Switching from Gas to Diesel Environmental Impact - item specific: Vehicle - Make/Model/Year requested vehicle: Chevy / 3500HD / 2024 Vehicle - Make/Model/Year current vehicle (if replacement): Chevy / 3500 / 2008 Vehicle - Does purchase meet Green Fleet Recommendations? YES - YES Vehicle - If does not meet Green Fleet Recommendations, justification: - MPG: NA-No Data Carbon Emissions: NA-No Data Date: January 17, 2023 Agenda Item #: VI.K. To:Mayor and City Council Item Type: Request For Purchase From:Grace Hancock, Sustainability Manager Item Activity: Subject:Request for Purchase: Three Electric Vehicle Chargers Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Request for Purchase for three Electric Vehicle Chargers from Carbon Day for $24,351.00. INTRODUCTION: The electric vehicle (EV) charger purchases complement City efforts to implement its Green Fleet Policy and reduce emissions from City transportation fleet 30% by 2025 and 45% by 2030. Related climate actions to these goals include electrifying Edina's light-duty fleet by 2030, and its medium- and heavy-duty fleet by 2040. In 2023, the City will install three dual-port fleet-only EV charging stations in the Public Works garage to accommodate near-term City departments' EV purchases. The departments include P ublic Works, Parks Maintenance, and Engineering. ATTACHMENTS: Description Request for Purchase: Three Electric Vehicle Chargers Carbon Day Quote: 3 dual-port CPF 50 Fleet Chargers Request for Purchase Requisition Number 1 CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 12300002 Department:Engineering Buyer:Grace Hancock Date: 01/06/2023 Requisition Description:Three Electric Vehicle Chargers Vendor:CARBON DAY AUTOMOTIVE Cost:$24,351.00 REPLACEMENT or NEW:NEW - NEW PURCHASE SOURCE:STATE K - STATE CONTRACT DESCRIPTION: The electric vehicle (EV) charger purchases complement City efforts to implement its Green Fleet policy and reduce emissions from City transportation fleet 30% by 2025 and 45% by 2030. Related climate actions to these goals include electrifying Edina's light-duty fleet by 2030, and its medium and heavy-duty fleet by 2040. In 2023, the City will install three dual-port fleet-only EV charging stations in the Public Works garage to accommodate near-term Public Works Departments EV purchases. The departments include Public Works, Parks Maintenance, and Engineering. All charging stations will allow fleet vehicles to charge through the Chargepoint network, so that vehicle use and efficiency can be tracked and metrics analyzed to determine progress on goals. Carbon Day is under State of MN Procurement Cooperative Purchasing Opportunities contract #E-108(5). BUDGET IMPACT: This purchase is funded by the Conservation and Sustainability(CAS) Fund. CAS Fund supports expenses that reduce Edina's greenhouse gas emissions and climate action plan goals. 2 COMMUNITY IMPACT: Residents will benefit from decreased noise and air pollution as the City vehicle fleet electrifies. ENVIRONMENTAL IMPACT: This purchase will accelerate City fleet electrification and reduce vehicle emissions. QUOTEQUOTEQUOTEQUOTENovember 21, 2022Ms. Grace HancockCity of Edina, MN7450 Metro BlvdEdina, MN 55439952-826-1621ghancock@edinamn.govREFERENCE:State of Minnesota Pricing - Contract NO 19541 E-108(5)QTYQTYQTYQTYPrice Per Price Per Price Per Price Per StationStationStationStation Total PriceTotal PriceTotal PriceTotal PriceList $5,9303 $4,447 $13,341Per port6 $925 $5,5503 $03 $0 $03 No Charge $0Per port6 $710 $4,2603 No Charge $06 $100 $6003 $200 $600$24,351.00SignatureDateShippingShippingShippingShippingShippingAmount DueTotal cost before installationTotal cost before installationTotal cost before installationTotal cost before installation5 Year Assure5 Year Assure5 Year Assure5 Year Assure Reference Page 2 of Quote for ExplanationInitial Activation and ConfigurationCPF50-PMGMTCPF50-PMGMTCPF50-PMGMTCPF50-PMGMT Power Management KitReference Page 2 of Quote for ExplanationGPGW1GPGW1GPGW1GPGW1Cloud PlanCloud PlanCloud PlanCloud Plan5 Year Power5 Year Power5 Year Power5 Year PowerDescriptionDescriptionDescriptionDescriptionChargePointChargePointChargePointChargePointCPF50-L18-PEDMNT-CMK6-DualCPF50-L18-PEDMNT-CMK6-DualCPF50-L18-PEDMNT-CMK6-DualCPF50-L18-PEDMNT-CMK6-DualDual Pedestal Mounted Station18' Cable with Cable Management KitShip to:GatewaySite ValidationSite ValidationSite ValidationSite Validation Reference Page 2 of Quote for Explanation$600 Site Validation included at No ChargeCPF50-CCMCPF50-CCMCPF50-CCMCPF50-CCM Concrete Mounting KitReference Page 2 of Quote for ExplanationCPF50 Dual Pedestal mounted Fleet Station with 5 years Parts and Labor WarrantyCPSUPPORT-ACTIVECPSUPPORT-ACTIVECPSUPPORT-ACTIVECPSUPPORT-ACTIVE18' Cable with Cable Management KitModel NumberModel NumberModel NumberModel Number Initial Station Activation and Configuration Service includes activation of cloud services and configuration of radio groups,Initial Station Activation and Configuration Service includes activation of cloud services and configuration of radio groups,Initial Station Activation and Configuration Service includes activation of cloud services and configuration of radio groups,Initial Station Activation and Configuration Service includes activation of cloud services and configuration of radio groups,connections, access control, visibility control, pricing, reports and alerts. One time initial service per port $100Power Cloud Plan available in prepay options:Power Cloud Plan available in prepay options:Power Cloud Plan available in prepay options:Power Cloud Plan available in prepay options:Annual fee includes: Power Cloud Plan, 24-7-365 Customer Service for Drivers via 800 number, Reporting,Software Updates, Station Manager Account Access and Data Collection 1 year $230 ($230 per year) per port2 years $440 ($220 per year) per port3 years $620 ($206.66 per year) per port4 years $775 ($193.75 per year) per port5 years $925 ($185 per year) per portOptional Programs:Optional Programs:Optional Programs:Optional Programs:Site Validation:Site Validation:Site Validation:Site Validation:On-Site Validation of cellular coverage, electrical capacity, transformers, panels, breakers, wiring and station installation meets all ChargePoint published requirements.$600 per power panelAssure Warranty optional extended Parts and Labor Warranty:Commission Required.1 year $210 ($210) per port2 years $370 ($185 per year) per port3 years $535 ($178.33 per year) per port4 years $695 ($173.75 per year) per port5 years $710 ($142 per year) per port - Site Validation included. A $600 value** Other Standard Terms and Conditions** Other Standard Terms and Conditions** Other Standard Terms and Conditions** Other Standard Terms and Conditions20% restocking feeInvoice Terms: 50% due upon placement of order and balance due 30 days after shipment of product.Issue payment to CD LLCChargePoint 1 year parts warranty applies for all products. Warranty will be between purchaser and ChargePoint.Prices are confidential and expire:Bob Spatz - 518-505-0508 - bobs@carbonday.com - 163 S. Wheeling Rd. - Wheeling, IL 60090Bob Spatz - 518-505-0508 - bobs@carbonday.com - 163 S. Wheeling Rd. - Wheeling, IL 60090Bob Spatz - 518-505-0508 - bobs@carbonday.com - 163 S. Wheeling Rd. - Wheeling, IL 60090Bob Spatz - 518-505-0508 - bobs@carbonday.com - 163 S. Wheeling Rd. - Wheeling, IL 60090Visit Our Website: Visit Our Website: Visit Our Website: Visit Our Website: https://carbondayevcharging.com/December 21, 2022 Date: January 17, 2023 Agenda Item #: VI.L. To:Mayor and City Council Item Type: Request For Purchase From:Grace Hancock, Sustainability Manager Item Activity: Subject:Request for Purchase: Home Electrification Awareness & Education Campaign Contract 2023 Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Request for Purchase for Home Electrification Awareness and Education Campaign with Center for Energy and Environment in conjunction with the cities of St. Louis Park and Eden Prairie for $35,000. INTRODUCTION: The Center for Energy and Environment (CEE) will manage the Electrify Everything MN initiative in service to the Cities of Eden Prairie, Edina, and St Louis Park from Jan. 1-Dec. 31, 2023. Electrify Everything seeks to inform the marketplace on electrification, educate communities on energy efficiency, and ultimately be part of the transition away from fossil fuels and towards a more healthy and just community. Working with the cities, subcontractor, Citizen Utility Board (CUB), and other applicable partners, CEE will coordinate and host electrification information and resources for residents through this scope of work. ATTACHMENTS: Description Request for Purchase: Home Electrification Awareness & Education Campaign Contract 2023 CEE-Electrify Everything Awareness Campaign Contract Request for Purchase Requisition Number 1 CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 12300001 Department:Engineering Buyer:Grace Hancock Date: 12/22/2022 Requisition Description:Home Electrification Awareness & Education Campaign Vendor:CENTER FOR ENERGY AND ENVIRONMENT Cost:$35,000.00 REPLACEMENT or NEW:NEW - NEW PURCHASE SOURCE:SERVIC K - SERVICE CONTRACT DESCRIPTION: The Center for Energy and Environment (CEE) will manage the Electrify Everything MN initiative in service to the Cities of Eden Prairie, Edina, and St Louis Park from Jan. 1 - Dec. 31, 2023. Electrify Everything seeks to inform the marketplace on electrification, educate communities on energy efficiency, and ultimately be part of the transition away from fossil fuels and towards a more healthy and just community. Working with the Cities, subcontractor, Citizen Utility Board (CUB), and other applicable partners, CEE will coordinate and host electrification information and resources for residents through this scope of work. BUDGET IMPACT: This purchase is funded by the Conservation and Sustainability(CAS) Fund. CAS Fund supports expenses that reduce Edina's greenhouse gas emissions and climate action plan goals. 2 COMMUNITY IMPACT: Residents will have access to a robust system of learning and technical support to reduce their home energy needs, transition to high-efficiency electric appliances, and take advantage of new federal and on ongoing city financial incentives. Lowering energy needs in turn reduces home energy costs, while electrification and removing equipment that relies on onsite fossil fuel combustion (boilers/furnaces, hot water heaters, stoves, clothes dryers, snow blowers, etc.) can improve home air quality and respiratory health. ENVIRONMENTAL IMPACT: Natural gas used to power appliances is made up of methane gas, a greenhouse gas that is 25 times more potent than carbon dioxide at warming the climate. Natural gas emits nitrogen oxide when used, which is linked to respiratory illnesses. There is not a renewable alternative, so replacing natural gas appliances with high- efficiency electric technology (electricity is increasingly generated using renewable sources) is a critical step to meet Edina's greenhouse gas emission goals. Date: January 17, 2023 Agenda Item #: VI.M. To:Mayor and City Council Item Type: Request For Purchase From:Jessica V. Wilson, CFM, Water Resources Manager Item Activity: Subject:Request for Purchase: Wooddale Path Landscape Restoration, ENG 23-2 Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Request for Purchase for Wooddale Path Landscape Restoration for 2023-2025 with Landbridge Ecological for $24,091. INTRODUCTION: The project includes site preparation; furnishing, transporting, and installing all seeds, plant materials, and other materials as required for the restoration and establishment of native plant communities; installation of necessary erosion control practices; and management of planting areas. The contract includes native restoration in 2023 and annual maintenance through December 31, 2025. ATTACHMENTS: Description Request for Purchase: Wooddale Path Landscape Restoration (2023-2025), ENG 23-2 ENG 23-2 Contract Wooddale Path Landscape Restoration Request for Purchase Requisition Number 1 CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 12300003 Department:Engineering Buyer:Jessica Vanderwerff Wilso Date: 01/10/2023 Requisition Description:Wooddale Path Landscape Restoration (2023-2025) Vendor:LANDBRIDGE ECOLOGICAL INC Cost:$24,091.57 REPLACEMENT or NEW:NEW - NEW PURCHASE SOURCE:QUOTE/BD - QUOTE/BID DESCRIPTION: The project includes site preparation; furnishing, transporting, and installing all seeds, plant materials, and other materials as required for the restoration and establishment of native plant communities; installation of necessary erosion control practices; and management of planting areas. The contract includes native restoration in 2023 and annual maintenance through December 31, 2025. BUDGET IMPACT: This project is funded by the stormwater utility detailed in CIP ENG21057. The RFQ was sent to seven contractors. Five responses were received. 2 COMMUNITY IMPACT: Restoration of shoreland promotes clean water and habitat. ENVIRONMENTAL IMPACT: Restoration of shoreland promotes clean water and habitat. 140400v01 RNK:08/06/2010 Engineering 2/7/2014 ENG 23-2 FORM OF AGREEMENT BETWEEN CITY OF EDINA AND CONTRACTOR FOR NON-BID CONTRACT THIS AGREEMENT made this 17th day of January, 2023, by and between the CITY OF EDINA, a Minnesota municipal corporation (“Owner” or “City”) and Landbridge Ecological, 670 Vandalia St, St. Paul, MN 55114 (“Contractor”). Owner and Contractor, in consideration of the mutual covenants set forth herein, agree as follows: 1. CONTRACT DOCUMENTS. The following documents shall be referred to as the “Contract Documents”, all of which shall be taken together as a whole as the contract between the parties as if they were set verbatim and in full herein: A. This Agreement. B. City of Edina General Contract Conditions C. Specifications prepared by City of Edina D. Contractor’s Quote. In the event of a conflict among the provisions of the Contract Documents, the order in which they are listed above shall control in resolving any such conflicts with Contract Document “A” having the first priority and Contract Document “D” having the last priority. 2. OBLIGATIONS OF THE CONTRACTOR. The Contractor shall provide the goods, services, and perform the work in accordance with the Contract Documents. 3. CONTRACT PRICE. Owner shall pay Contractor for completion of the Work, in accordance with the Contract $24,091.57 inclusive of taxes, if any. 4. PAYMENT PROCEDURES. A. Contractor shall submit Applications for Payment. Applications for Payment will be processed by the City Engineer. B. Progress Payments; Retainage. Owner shall make 95% progress payments on account of the Contract Price on the basis of Contractor’s Applications for Payment during performance of the Work. C. Payments to Subcontractors. (1) Prompt Payment to Subcontractors. Pursuant to Minn. Stat. § 471.25, Subd. 4a, the Contractor must pay any subcontractor within ten (10) days of the Contractor’s receipt of payment from the City for undisputed services provided by the subcontractor. The Contractor must pay interest of 1 ½ percent per month or any part of a month to the subcontractor on any undisputed amount not paid on time to the subcontractor. The minimum monthly interest penalty payment for an unpaid balance of $100.00 or more is 140400v01 RNK:08/06/2010 Engineering 2/7/2014 $10.00. For an unpaid balance of less than $100.00, the Contractor shall pay the actual penalty due to the subcontractor. (2) Form IC-134 (attached) required from general contractor. Minn. Stat. § 290.92 requires that the City of Edina obtain a Withholding Affidavit for Contractors, Form IC-134, before making final payments to Contractors. This form needs to be submitted by the Contractor to the Minnesota Department of Revenue for approval. The form is used to receive certification from the state that the vendor has complied with the requirement to withhold and remit state withholding taxes for employee salaries paid. D. Final Payment. Final payment will not be made until the Contractor has filed with the Owner a fully and duly executed Affidavit, General Waiver and Indemnity Agreement, in the form attached hereto as Exhibit B and hereby made a part hereof, together with such other and additional evidence as Owner may request, in form and substance satisfactory to the Owner, that all labor, materials and services expended or used in the Work have been paid for in full and that no liens or other claims for such labor, materials or services can be made or claimed against Contractor, Owner or any other person or any property. In case such evidence is not furnished, the Owner may retain out of any amount due said Contractor a sum sufficient, in the reasonable discretion of Owner, but in any event not less than one and one-half times the sum determined by Owner to be necessary, to pay for all labor, material, services or other claims which are then unpaid or which are then believed by Owner, in its reasonable discretion, to be unpaid. Upon final completion of the Work, Owner shall pay the remainder of the Contract Price as recommended by the City Engineer. 5. COMPLETION DATE. The Work must be completed by end of year 2025. 6. CONTRACTOR’S REPRESENTATIONS. A. Contractor has examined and carefully studied the Contract Documents and other related data identified in the Contract Documents. B. Contractor has visited the Site and become familiar with and is satisfied as to the general, local, and Site conditions that may affect cost, progress, and performance of the Work. C. Contractor is familiar with and is satisfied as to all federal, state, and local laws and regulations that may affect cost, progress, and performance of the Work. D. Contractor has carefully studied all: (1) reports of explorations and tests of subsurface conditions at or contiguous to the Site and all drawings of physical conditions in or relating to existing surface or subsurface structures at or contiguous to the Site (except Underground Facilities) 140400v01 RNK:08/06/2010 Engineering 2/7/2014 which have been identified in the General Conditions and (2) reports and drawings of a Hazardous Environmental Condition, if any, at the Site. E. Contractor has obtained and carefully studied (or assumes responsibility for doing so) all additional or supplementary examinations, investigations, explorations, tests, studies, and data concerning conditions (surface, subsurface, and Underground Facilities) at or contiguous to the Site which may affect cost, progress, or performance of the Work or which relate to any aspect of the means, methods, techniques, sequences, and procedures of construction to be employed by Contractor, including any specific means, methods, techniques, sequences, and procedures of construction expressly required by the Bidding Documents, and safety precautions and programs incident thereto. F. Contractor does not consider that any further examinations, investigations, explorations, tests, studies, or data are necessary for the performance of the Work at the Contract Price, within the Contract Times, and in accordance with the other terms and conditions of the Contract Documents. G. Contractor is aware of the general nature of work to be performed by Owner and others at the Site that relates to the Work as indicated in the Contract Documents. H. Contractor has correlated the information known to Contractor, information and observations obtained from visits to the Site, reports and drawings identified in the Contract Documents, and all additional examinations, investigations, explorations, tests, studies, and data with the Contract Documents. I. The Contract Documents are generally sufficient to indicate and convey understanding of all terms and conditions for performance and furnishing of the Work. J. Subcontracts: (1) Unless otherwise specified in the Contract Documents, the Contractor shall, upon receipt of the executed Contract Documents, submit in writing to the Owner the names of the Subcontractors proposed for the work. Subcontractors may not be changed except at the request or with the consent of the Owner. (2) The Contractor is responsible to the Owner for the acts and omissions of the Contractor's subcontractors, and of their direct and indirect employees, to the same extent as the Contractor is responsible for the acts and omissions of the Contractor's employees. (3) The Contract Documents shall not be construed as creating any contractual relation between the Owner and any subcontractor. 140400v01 RNK:08/06/2010 Engineering 2/7/2014 (4) The Contractor shall bind every subcontractor by the terms of the Contract Documents. 7. WORKER’S COMPENSATION. The Contractor shall obtain and maintain for the duration of this Contract, statutory Worker’s Compensation Insurance and Employer’s Liability Insurance as required under the laws of the State of Minnesota. 8. COMPREHENSIVE GENERAL LIABILITY. Contractor shall obtain the following minimum insurance coverage and maintain it at all times throughout the life of the Contract, with the City included as an additional name insured on the general liability insurance on a primary and noncontributory basis. The Contractor shall furnish the City a certificate of insurance satisfactory to the City evidencing the required coverage: Bodily Injury: $1,000,000 each occurrence $1,000,000 aggregate products and completed operations Property Damage: $1,000,000 each occurrence $1,000,000 aggregate Contractual Liability (identifying the contract): Bodily Injury: $1,000,000 each occurrence Property Damage: $1,000,000 each occurrence $1,000,000 aggregate Comprehensive Automobile Liability (owned, non-owned, hired): Bodily Injury: $1,000,000 each occurrence $1,000,000 each accident Property Damage: $1,000,000 each occurrence 9. WARRANTY. The Contractor guarantees that all new equipment warranties as specified within the quote shall be in full force and transferred to the City upon payment by the City. The Contractor shall be held responsible for any and all defects in workmanship, materials, and equipment which may develop in any part of the contracted service, and upon proper notification by the City shall immediately replace, without cost to the City, any such faulty part or parts and damage done by reason of the same in accordance with the bid specifications. 10. INDEMNITY. The Contractor agrees to indemnify and hold the City harmless from any claim made by third parties as a result of the services performed by it under this Agreement, but only to the extent caused by the negligence of Contractor. In addition, the Contractor shall reimburse the City for any cost of reasonable attorney’s fees it may incur as a result of any such claims. 11. PERFORMANCE AND PAYMENT BONDS. Performance and payment bonds are not required for the doing of any public work if the contract price is $100,000 or less. On projects of more than $100,000 for the doing of public work a payment bond and a performance bond each in the amount of the contract price must be furnished to the City prior to 140400v01 RNK:08/06/2010 Engineering 2/7/2014 commencement of work. The form of the bonds must satisfy statutory requirements for such bonds. 12. MISCELLANEOUS. A. Terms used in this Agreement have the meanings stated in the General Conditions. B. Owner and Contractor each binds itself, its partners, successors, assigns and legal representatives to the other party hereto, its partners, successors, assigns and legal representatives in respect to all covenants, agreements, and obligations contained in the Contract Documents. C. Any provision or part of the Contract Documents held to be void or unenforceable under any law or regulation shall be deemed stricken, and all remaining provisions shall continue to be valid and binding upon Owner and Contractor, who agree that the Contract Documents shall be reformed to replace such stricken provision or part thereof with a valid and enforceable provision that comes as close as possible to expressing the intention of the stricken provisions. D. Data Practices/Records. (1) All data created, collected, received, maintained or disseminated for any purpose in the course of this Contract is governed by the Minnesota Government Data Practices Act, Minn. Stat. Ch. 13, any other applicable state statute, or any state rules adopted to implement the act, as well as federal regulations on data privacy. (2) All books, records, documents and accounting procedures and practices to the Contractor and its subcontractors, if any, relative to this Contract are subject to examination by the City. E. Software License. If the equipment provided by the Contractor pursuant to this Contract contains software, including that which the manufacturer may have embedded into the hardware as an integral part of the equipment, the Contractor shall pay all software licensing fees. The Contractor shall also pay for all software updating fees for a period of one year following cutover. The Contractor shall have no obligation to pay for such fees thereafter. Nothing in the software license or licensing agreement shall obligate the City to pay any additional fees as a condition for continuing to use the software. F. Patented devices, materials and processes. If the Contract requires, or the Contractor desires, the use of any design, device, material or process covered by letters, patent or copyright, trademark or trade name, the Contractor shall provide for such use by suitable legal agreement with the patentee or owner and a copy of said agreement shall be filed with the Owner. If no such agreement is made or filed as noted, the Contractor shall indemnify and hold harmless the Owner from any and all claims for infringement by reason of the use of any such patented designed, device, 140400v01 RNK:08/06/2010 Engineering 2/7/2014 material or process, or any trademark or trade name or copyright in connection with the Project agreed to be performed under the Contract, and shall indemnify and defend the Owner for any costs, liability, expenses and attorney's fees that result from any such infringement. G. Assignment. Neither party may assign, sublet, or transfer any interest or obligation in this Contract without the prior written consent of the other party, and then only upon such terms and conditions as both parties may agree to and set forth in writing. H. Waiver. In the particular event that either party shall at any time or times waive any breach of this Contract by the other, such waiver shall not constitute a waiver of any other or any succeeding breach of this Contract by either party, whether of the same or any other covenant, condition or obligation. I. Governing Law/Venue. The laws of the State of Minnesota govern the interpretation of this Contract. In the event of litigation, the exclusive venue shall be in the District Court of the State of Minnesota for Hennepin County. J. Severability. If any provision, term or condition of this Contract is found to be or become unenforceable or invalid, it shall not effect the remaining provisions, terms and conditions of this Contract, unless such invalid or unenforceable provision, term or condition renders this Contract impossible to perform. Such remaining terms and conditions of the Contract shall continue in full force and effect and shall continue to operate as the parties’ entire contract. K. Entire Agreement. This Contract represents the entire agreement of the parties and is a final, complete and all inclusive statement of the terms thereof, and supersedes and terminates any prior agreement(s), understandings or written or verbal representations made between the parties with respect thereto. L. Permits and Licenses; Rights-of-Way and Easements. The Contractor shall give all notices necessary and incidental to the construction and completion of the Project. The City will obtain all necessary rights-of- way and easements. The Contractor shall not be entitled to any additional compensation for any construction delay resulting from the City’s not timely obtaining rights-of-way or easements. M. If the work is delayed or the sequencing of work is altered because of the action or inaction of the Owner, the Contractor shall be allowed a time extension to complete the work but shall not be entitled to any other compensation. 140400v01 RNK:08/06/2010 Engineering 2/7/2014 CITY OF EDINA CONTRACTOR BY: ____________________________ BY: ___________________________ Its Mayor Its AND ___________________________ AND ___________________________ Its City Manager Its Date: January 17, 2023 Agenda Item #: VI.N. To:Mayor and City Council Item Type: Request For Purchase From:Chad A. Millner, P.E., Director of Engineering Item Activity: Subject:Request for Purchase: Diverging Diamond Interchange (DDI) Professional Services Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve the Request for Purchase for Diverging Diamond Interchange (DDI) P rofessional Services with TKDA for $483,800. INTRODUCTION: The City of Edina (City) submitted an application in the regional solicitation and has secured federal funding for the proposed project. The project proposes to reconstruct the Vernon Avenue/50th Street over TH100 interchange with a diverging diamond interchange (DDI). The project can be combined with the County’s Vernon Avenue Bridge P roject. Hennepin County is asking for an extension for their project on January 19 from Met Council. A combined project would be constructed all at once in 2025 under a full roadway closure to maximize efficient use of tax payer dollars and reduce traffic impacts to one year versus two years. This contract will complete relevant approvals and bidding documents by June 2024. ATTACHMENTS: Description Request for Purchase: Diverging Diamond Interchange (DDI) Professional Services Professional Services Proposal Combined Project Graphic Request for Purchase Requisition Number 1 CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 12200271 Department: Engineering Buyer: Chad Millner Date: 1/17/2023 Requisition Description: Diverging Diamond Interchange Professional Services Vendor: TOLTZ KING DUVALL ANDERSON & ASSOCIATES INC Cost: $483,800.00 REPLACEMENT or NEW:REPLACEM - REPLACEMENT PURCHASE SOURCE:SERVIC K - SERVICE CONTRACT DESCRIPTION: The City of Edina (City) submitted an application in the regional solicitation and has secured federal funding for the proposed project. The project proposes to reconstruct the Vernon Avenue/50th Street over TH100 interchange with a diverging diamond interchange (DDI). The project can be combined with the County’s Vernon Avenue Bridge Project. Hennepin County is asking for an extension for their project on January 19 from Met Council. A combined project would be constructed all at once in 2025 under a full roadway closure to maximize efficient use of tax payer dollars and reduce traffic impacts to 1-year versus 2-years. This contract will complete relevant approvals and bidding documents by June 2024. BUDGET IMPACT: This project is funded by a combination of grants and municipal state aid funds detailed in CIP ENG#23041. 2 COMMUNITY IMPACT:NA Service Contract ENVIRONMENTAL IMPACT:NA Service Contract TKDA® | 444 Cedar Street Suite 1500 | Saint Paul, MN 55101 651.292.4400 • tkda.com An employee-owned company promoting affirmative action and equal opportunity. January 10, 2023 Via Email Only: cmillner@edinamn.gov Chad Millner, PE Director of Engineering City of Edina 7450 Metro Boulevard Edina, MN 55439 Re: Proposal for Engineering Services CSAH 158 Vernon Avenue / TH 100 Interchange Improvements Dear Mr. Millner: We propose to provide Engineering Services in connection with the CSAH 158 (Vernon Avenue) / TH 100 Interchange Improvements Project, hereinafter called the Project. Our Services will be provided in the manner described in this Proposal subject to the terms and conditions set forth in the Professional Services Agreement dated June 27, 2005, between the City of Edina and TKDA. Hereinafter, City of Edina is referred to as the Owner. I. PROJECT DESCRIPTION The Owner, in coordination with Hennepin County and MnDOT, is planning interchange improvements which prioritize multimodal transportation facilities on Vernon Avenue (CSAH 158) over TH 100. The project is projected to receive funding in the 2022 Met Council Regional Solicitation, receiving $4.2 million. The balance of the funding will be a combination of State Aid and local funds. This Project will need to tie directly into the adjacent Hennepin County CSAH 158 (Vernon Avenue) over CP Railway Bridge Replacement project. The initial contract will be for tasks required to have an approved geometric layout and approved bridge rehabilitation concept and/or preliminary bridge plans, if required. The contract will be amended after the layout has been approved, thereby permitting a better understanding of the final design effort and associated fee estimate. Project Schedule Effective Start Date of Contract January 2023 Concept Layouts/Geometric Layouts Winter/Spring 2023 Preliminary Engineering Summer 2023 Final Design and Plan Production Fall 2023-Spring 2024 II. SERVICES TO BE PROVIDED BY TKDA Based on TKDA’s understanding of the Project, we propose to provide the following services: Task 1 • Project Management 1.1 Administration 1.1.1 Project Management. Provide day-to-day project management and documentation. 1.1.2 Internal Staff Meetings. Conduct periodic internal coordination meetings with TKDA staff to discuss progress and issues, and to update the schedule. 1.1.3 Monthly Progress Reports and Invoicing. Prepare monthly progress reports and invoices showing percentage complete for each task and project as a whole for the month and to date. Chad Millner, PE | Director of Engineering Proposal for Engineering Services | CSAH 158–Vernon Avenue / TH 100 Interchange Improvements January 10, 2023 Page 2 1.2 Quality Assurance/Quality Control. TKDA places a strong emphasis on quality. We recognize that quality must permeate every aspect and phase of a project. We also recognize that quality for TKDA’s work is the responsibility of TKDA and not the responsibility of our clients or reviewing agencies. Quality work must involve understanding the Project’s challenges, developing creative and appropriate solutions, and effectively implementing them. To maintain quality throughout the Project, the following parallel goals must be achieved:  Obtain a thorough definition and understanding of the Project scope, anticipated issues and risks, and Owner’s expectations.  Define and coordinate the various disciplines and tasks of the Project.  Facilitate technically correct project decisions and design elements.  Review and confirm compliance with all applicable codes and standards. With these goals in mind, TKDA will utilize multiple components, including project documentation, a detailed project schedule, progress meetings, staff meetings, technical document reviews, and well- defined quality control checking and quality assurance verification processes, to emphasize quality throughout the entire Project. See TKDA’s project specific Quality Management Plan submitted with our proposal for a complete description of our mandatory Quality Assurance and Quality Control procedures. 1.3 Schedule. Prepare a detailed project schedule and update it monthly. Key Project Staff: Lindsey Lawrence – Project Manager Mark Daubenberger – Quality Assurance Nathan Klopp (SEH) – Lead Bridge Engineer Patrick Ahern – Roadway Engineer Anna Jefferson – Water Resource Engineer Graham Johnson (SEH) – Traffic Engineer Samantha McKinney – Public Involvement Coordinator Mark Daubenberger – Environmental Documentation William Bauer (SEH) – Utility Design/Coordination Brian Lenzen (SEH) – Topographic Survey Darin Hyatt (SEH) – Geotechnical Deliverables: Meeting agendas (three days prior), meeting minutes (within seven days of meeting), detailed project schedule updated monthly, monthly progress reports, invoices, and correspondence. Owner Responsibilities: Review and comment on the Project schedule, meeting agendas, and meeting minutes. Task 2 • Public and Agency Involvement 2.1 Project Management Team (PMT) Meetings. Prepare for and attend monthly PMT meetings that will include City of Edina, Hennepin County, MnDOT State Aid, and other stakeholders as necessary. Facilitate the meetings, complete the agendas, prepare design drawings and other exhibits as needed for the discussions, complete meeting minutes, and provide the meeting minutes to the meeting attendees and stakeholders within one week of each meeting. 2.2 Coordination. Schedule meetings, in addition to the PMT meetings, with the City, County, MnDOT and other stakeholders. 2.3 Public Involvement. Assumed attendance at 3 public engagement meetings by one TKDA staff member. Assist in development of any graphic materials for engagement meetings. 2.4 Aesthetic Renderings. Develop 3 renderings of bridge railings options for engagement meetings. Chad Millner, PE | Director of Engineering Proposal for Engineering Services | CSAH 158–Vernon Avenue / TH 100 Interchange Improvements January 10, 2023 Page 3 2.5 STIP Amendment. Develop amendment documentation to address the change in scope of project SP 027-758-006 for Metropolitan Council review. 2.6 Private Utility Coordination Meeting. Plan and lead one, virtual private utility coordination meeting. Includes preparation of meeting agenda, preliminary conflicts exhibit, and meeting minutes. Key Project Staff: Lindsey Lawrence – Project Manager Samantha McKinney - Public Involvement Coordinator William Bauer (SEH) – Utility Design/Coordination Deliverables: Meeting agendas (three days prior); meeting minutes (within seven days of meeting); graphic materials for engagement meetings. Owner Responsibilities: Review and comment on meeting agendas and minutes, and graphic materials. Task 3 • Project Memorandum Review project parameters and confirm the Project qualifies as a Categorical Exclusion and Type 1 Noise, a De Minimis Section 4(f) Evaluation will not be required, and Section 6(f) will not apply. 3.1 Early Coordination. Prepare and distribute Early Notification forms to the MnDOT Cultural Resources Unit, MnDNR, and others as necessary. 3.2 Project Memorandum. Prepare a draft and final Project Memorandum, including Purpose and Need, and secure state approval of the memorandum as needed to meet federal funding eligibility requirements. 3.3 Noise Report. Modify the noise analysis for the expanded project limits and update Noise Report accordingly. SEH will provide traffic volumes on ramps, Vernon Avenue, TH 100 for existing and future traffic and TKDA will determine vehicle class for the noise model. Key Project Staff: Lindsey Lawrence – Project Manager Mark Daubenberger – Environmental Documentation Lindsay Gaines – Noise Analysis Deliverables: Early Notification forms, Project Memorandum, and Noise Report. Owner Responsibilities: Review and comment on the draft Project Memorandum and Noise Report. Task 4 • Environmental Site Assessment 4.1 Phase I Environmental Site Assessment (ESA) and Asbestos & Regulated Materials Survey and Report 4.1.1 Phase I ESA of parcels within 500 feet of the Project. 4.1.2 Asbestos and Regulated Materials Survey and Report. Key Project Staff: Lindsey Lawrence – Project Manager Mark Daubenberger – Environmental Documentation Sherry Van Duyn – Landmark Environmental Calista Timmerman – Landmark Environmental Mark Meier – Landmark Environmental Deliverables: Phase I ESA and Asbestos & Regulated Materials Survey and Report. Chad Millner, PE | Director of Engineering Proposal for Engineering Services | CSAH 158–Vernon Avenue / TH 100 Interchange Improvements January 10, 2023 Page 4 Owner Responsibilities: Review and comment on the deliverables. Task 5 • Preliminary Design 5.1 Traffic Studies 5.1.1 Data collection and review  Traffic study will utilize previously collected turning movement count data available from recent studies.  Available MnDOT ramp data will be used for modeling and calibration purposes. Ramp data will be pulled from September or October 2022 on a typical Tuesday, Wednesday, or Thursday.  Existing background data volumes will be confirmed with the City, County, and MnDOT prior to beginning the analysis. 5.1.2 Traffic Forecasting  Using historical data, a growth rate will be determined and applied to the Existing Year No Build Volumes determined in Task 5.1.1. Annual linear growth rates will be consistent with previous studies conducted in the area and confirmed with the City, County, and MnDOT prior to applying to background traffic data.  Growth rates are assumed to be applied linearly to approximate the Year of Opening and Design Year Traffic Volumes.  Trip generation analysis/estimates are not included in this scope of work. It is assumed that applied growth rates will incorporate future demands for the area. 5.1.3 Crash Analysis  Using MnCMAT2 database, the most recent 5-years of crash data will be analyzed within the study area at the existing ramp terminals and freeway ramp connections. Crashes will be sorted by severity and type.  Crash modification factors will be applied to assess each alternative’s potential safety improvements. 5.1.4 VISSIM Existing Model and Calibration  A VISSIM model will be built and calibrated to represent 2022 Existing Conditions.  The VISSIM model will include motor vehicle, pedestrian, and bicycle demand and will be based on recently collected data or ramp data analyzed in Task 5.1.1. All existing interchange related intersections will be included.  The existing model will be calibrated to match existing conditions between Hwy 62 and Hwy 7 to best represent existing conditions based on available data and travel speeds. 5.1.5 VISSIM Future Models  VISSIM models will be built to represent build condition alternatives for the 2022 volumes and forecasted Design Year volumes. Existing Conditions will be analyzed in Task 5.1.3. Future models include: o Alternative 1: No Build o Alternative 2: Split Diamond Interchange o Alternative 3: Diverging Diamond Interchange o Alternative 4: Tight Diamond Interchange 5.1.6 Roadway Cross Section Determination  Based on the results of the VISSIM analyses, a roadway cross section on Vernon Ave/50th Ave will be recommended to achieve improved operations, capacity, and safety for the interchange area.  The recommended cross section will be shared and discussed with the City and County to determine the most appropriate design. Chad Millner, PE | Director of Engineering Proposal for Engineering Services | CSAH 158–Vernon Avenue / TH 100 Interchange Improvements January 10, 2023 Page 5 5.1.7 Construction Cost Estimates and Evaluation Matrix  Preliminary construction cost estimates will be prepared for the build alternatives.  A high-level evaluation matrix will be prepared to compare the build alternatives based on operations, safety, multimodal accommodations, visions/goals, and estimated construction costs. The evaluation matrix will be drafted and shared with the City of Edina for comment prior to finalizing and including in the summary report. 5.1.8 Operations Summary Report  A draft and final summary report will be submitted to the City, County, and MnDOT for review and approval.  The report will include a summary of the data used in analysis, crash analysis, model calibration and analysis methodologies/assumptions, operations summary (queue lengths, travel time, vehicle miles travelled, delays/level of service).  The report will include a high-level evaluation matrix of the build alternatives, which will weigh factors such as operations, safety, multimodal accommodations, meeting goals, estimated construction costs, etc.  A recommendation will be made based on the evaluation and information obtained during PMT and review meetings.  It is assumed that an Interstate Access Request is not required. 5.1.9 Coordination Meetings  Four (4) 1-hour coordination or review meetings between the City, County, and/or MnDOT staff are assumed to be held throughout the traffic study phase. These meetings are assumed to be held virtually and held at analysis milestones. Assumptions:  VISSIM freeway limits extend from Hwy 7 to the north and Hwy 62 to the south  MnDOT will review the calibrated Existing and Build VISSIM models prior to completing analyses  Interstate Access Modification Request is not required nor included  Field data collection is not included; freeway ramp detector data will be utilized 5.2 Utility Coordination 5.2.1 Contact Gopher State One Call to obtain a list of utility companies and utility mapping, to set-up field locates and identify representatives for each utility owner. 5.2.2 Coordinate survey of the utility markings. 5.2.3 Reach out to private utilities and verify contact person(s). 5.2.4 Design public utility relocations as needed, including watermain relocation under TH 100. 5.3 Concept Layout 5.3.1 Develop draft roadway and bridge concept layouts for diverging diamond, split diamond, and tight diamond interchanges and distribute to the PMT for review and comment. 5.3.2 Develop matrix to compare concepts. 5.3.3 Incorporate comments and finalize the concept layouts. 5.3.4 Distribute the finalized concept layouts to the PMT. 5.3.5 Determination of the preferred layout will be the basis for the geometric layout. 5.4 Geometric Layout 5.4.1 Develop a draft Geometric Layout for City of Edina, Hennepin County, and MnDOT State Aid for review and comment. 5.4.2 Incorporate comments and finalize the Geometric Layout. 5.4.3 Distribute the finalized Geometric Layout to the City of Edina, PMT, Hennepin County, and MnDOT State Aid for approval. 5.4.4 Distribute the approved layout. The Geometric Layout will be the basis for the final design. Chad Millner, PE | Director of Engineering Proposal for Engineering Services | CSAH 158–Vernon Avenue / TH 100 Interchange Improvements January 10, 2023 Page 6 5.5 Bridge 27102 Analysis and Girder Strengthening Concepts 5.5.1 Coordinate with MnDOT Load Rating Engineer on possible strengthening concepts. 5.5.2 Incorporate concepts into MDX and AASHTOWare BrR models. 5.5.3 Prepare load rating form for review and incorporate comments. 5.5.4 Prepare design exception as needed. 5.5.5 Internal QC detail checking for Task 5.5 5.6 Bridge Type Study – (As Authorized) 5.6.1 Develop type, size, and location bridge concepts for review and comment. 5.6.2 Incorporate comments and finalize type, size, and location bridge concepts. 5.6.3 Prepare bridge type study memorandum for review. 5.6.4 Incorporate comments and prepare final bridge type study memorandum for identification of preferred bridge type layout. 5.6.5 Internal QC detail checking for Task 5.6 5.7 Preliminary Bridge Plans – (As Authorized) 5.7.1 Develop preliminary bridge plans. Submit to City of Edina and MnDOT State Aid for review and comment. Incorporate comments and resubmit for approval. It is anticipated the following plan sheets will be developed for this phase: - General Plan and Elevation - Estimated Quantities - Typical Sections - Bridge Layout - Construction Staging - Aesthetics - Roadway Alignment Data - Bridge Survey Plan and Profile - Boring Logs 5.7.2 Internal QC detail checking for Task 5.7 5.8 Drainage Design 5.8.1 Perform preliminary drainage design of the storm sewer and stormwater treatment systems to a level sufficient to identify right-of-way and drainage easement needs. Based on the proposed new and reconstructed impervious area, storm water treatment will be required. The preliminary work completed to date for the County’s project will need to be reconfigured to fit the projects footprint. 5.8.2 Prepare a drainage overview map identifying drainage areas, runoff coefficients, existing storm sewer infrastructure, proposed storm sewer and catch basins, and stormwater treatment systems. Distribute to City of Edina, Hennepin County, MnDOT State Aid, and Watershed District for comment and review. 5.9 Right-of-Way Plan 5.9.1 Develop a preliminary Right-of-Way Plan and distribute to City of Edina, Hennepin County and MnDOT State Aid Office for review and comment. 5.9.2 Incorporate comments and finalize the Right-of-Way Plan. 5.9.3 Distribute the finalized Right-of-Way Plan to City of Edina, Hennepin County and MnDOT State Aid Office. The Right-of-Way Plan will be the basis for acquiring right-of-way and easements by the City or County. 5.9.4 Develop colored parcel exhibits for each parcel showing right-of-way and easement needs. 5.10 Topographic Survey 5.10.1 Collect required topographic survey as needed for final design. 5.10.2 Develop base mapping for final plan development. Chad Millner, PE | Director of Engineering Proposal for Engineering Services | CSAH 158–Vernon Avenue / TH 100 Interchange Improvements January 10, 2023 Page 7 5.11 Concept Construction Cost Estimate 5.11.1 Develop preliminary construction cost estimate based on pay item quantities and average MnDOT bid prices. Key Project Staff: Lindsey Lawrence – Project Manager Nathan Klopp (SEH) – Lead Bridge Engineer Patrick Ahern – Roadway Engineer Anna Jefferson – Water Resource Engineer Graham Johnson (SEH) – Lead Traffic Engineer William Bauer (SEH) – Utility Design/Coordination Brian Lenzen (SEH) – Topographic Survey Scott Hotchkin (SEH) – Concept/Layout ITR Deliverables: Traffic Models, concept layouts, documentation of correspondence with utility companies,, utility design file, draft and final Geometric Layout, draft Bridge 27102 load rating form, drainage overview map, draft and final right-of-way plans, parcel drawings, topographic surveys, base mapping, and construction cost estimate. Owner Responsibilities: Review and comment on the Concept Layouts. Review and comment on the final geometric layout. Provide existing right-of-way map and any existing survey data. Task 6 • Soil Testing 6.1 Soil Borings – City led Contract with Braun Intertec. 6.1.1 Complete borings in the roadway reconstruction areas. 6.1.2 Complete borings for retaining walls and noise walls as required by the approved geometric layout. 6.1.3 Visually classify and log soil samples and perform laboratory tests. Evaluate the subsurface profile and groundwater conditions, and perform engineering analyses related to bridge foundation support and roadway design. 6.2 Geotechnical Report. Prepare a draft and final Geotechnical Report. Key Project Staff: Lindsey Lawrence – Project Manager Darin Hyatt (SEH) – Geotechnical Deliverables: Draft and final Geotechnical and MDR reports. Owner Responsibilities: Review and comment on the Geotechnical and MDR Reports. III. OWNER RESPONSIBILITIES These responsibilities shall be as set forth in our Contract and as further described or clarified herein below: A. Designate one individual to act as a representative with respect to the work to be performed, and such person shall have complete authority to transmit instructions, receive information, interpret and define policies, and make decisions with respect to critical elements pertinent to the Project. B. Provide TKDA with access to the site as required to perform services listed in SECTION II above. C. Provide Owner Deliverables as listed in SECTION II above. D. Provide reviews of materials furnished by TKDA in a reasonable and prompt manner so the Project schedule can be maintained. Chad Millner, PE | Director of Engineering Proposal for Engineering Services | CSAH 158–Vernon Avenue / TH 100 Interchange Improvements January 10, 2023 Page 8 IV. PERIOD OF SERVICE We would expect to start our services promptly upon receipt of written authorization and complete services as indicated in the Project Schedule outlined in Section I. V. COMPENSATION Compensation to TKDA for services provided as described in SECTION II of this Proposal shall be on an Hourly Time and Materials basis in an amount not to exceed $483,800 per the detailed Fee Estimate (attached). The level of effort required to accomplish SECTION II services can be affected by factors which are beyond our control. Therefore, if it appears at any time charges for services rendered under SECTION II will exceed the above, we agree TKDA will not perform services or incur costs which will result in billings in excess of such amount until we have been advised by you additional funds are available and our work can proceed. VI. CONTRACTUAL INTENT We thank you for the opportunity. If you should have any comments or questions please feel free to contact Lindsey Lawrence directly at 651.666.8263 or lindsey.lawrence@tkda.com. If acceptable, please sign and return a copy of this proposal or provide the appropriate authorization citing this proposal as our notice to proceed. Sincerely, Lindsey Lawrence, PE Matthew Christensen, PE Project Manager Vice President Enclosure: Project Fee Estimate SEH Proposal Landmark Environmental Proposal LJL:MJC:sfs ACCEPTED FOR THE CITY OF EDINA By: _______________________________________________________________________________ (signature) Printed Name/Title Date CLIENT’S DESIGNATED REPRESENTATIVE: __________________________________________________________________________________ Name/Title Phone Email Project Fee Estimate City of Edina Date: 1/10/2023 Vernon Avenue/TH 100 Interchange Improvements By:LJL PM Public Involvement Proj. Memo QA Admin. Sr Reg Eng Sr Reg Eng Reg Eng ES I Sr Reg Eng Reg Eng Sr Reg Eng Reg Eng Reg Eng Reg Eng Sr Reg LA Sr Reg Eng Sr Reg Eng Tech II 178$ 172$ 122$ 81$ 209$ 124$ 220$ 124$ 124$ 100$ 134$ 190$ 190$ 87$ 1 Project Management (Hours for Tasks 2 - 6) 1.1 Administration Day-to-day project management (3 hours per week for 18 months) 156 78 234 37,284$ Internal staff meetings (36 meetings over 18 months) 36 36 36 8 8 6 130 18,388$ Monthly progress reports and invoicing (1.5 hours for 18 months) 18 10 28 4,424$ 1.2 QA/QC Concept/Geometric Layout 8 24 40 6 78 11,686$ 1.3 Schedule Monthly Schedule Update (18 months) 16 12 28 4,312$ SUBTOTAL HOURS 234 24 176 - 6 36 - 8 8 - - 6 - - 498 SUBTOTAL COST 41,652$ 4,128$ 21,472$ -$ 1,254$ 4,464$ -$ 992$ 992$ -$ -$ 1,140$ -$ -$ 76,094$ 2 Public and Agency Involvement 2.1 Monthly PMT Meetings (2.5 hours for 8 meetings) 20 20 20 60 7,740$ 2.2 Coordination Meetings (3.0 hours for 12 meetings) 36 36 72 10,800$ 2.3 Public Involvement 6 16 20 40 82 9,180$ 2.4 Aesthetic Renderings 2 2 24 24 52 5,904$ 2.5 STIP Amendment 4 16 4 24 3,012$ 2.6 Private Utility Coordination Meeting SUBTOTAL HOURS 68 - 90 - - - - - - - 44 - - 88 290 SUBTOTAL COST 12,104$ -$ 10,980$ -$ -$ -$ -$ -$ -$ -$ 5,896$ -$ -$ 7,656$ 36,636$ 3.0 Project Memorandum 3.1 Early Coordination 2 4 2 8 2 18 2,622$ 3.2 Project Memorandum 2 8 2 2 2 40 8 64 10,166$ 3.3 Noise Report 2 2 2 80 260 346 50,784$ SUBTOTAL HOURS 6 2 2 12 2 4 80 260 - 2 - 48 - 10 428 SUBTOTAL COST 1,068$ 344$ 244$ 972$ 418$ 496$ 17,600$ 32,240$ -$ 200$ -$ 9,120$ -$ 870$ 63,572$ 4.0 Environmenal Site Assessment 4.1 Review Limited Phase I ESA and Asbestos and Regulated Waste Assessment 2 8 10 1,876$ SUBTOTAL HOURS 2 - - - - - - - - - - 8 - - 10 SUBTOTAL COST 356$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1,520$ -$ -$ 1,876$ 5 Preliminary Design 5.1 Traffic Studies 5.2 Utility Coordination 5.3 Concept Layout 5.3.1 Develop draft concept layouts (3 layouts) 4 20 60 60 2 4 150 17,246$ 5.3.2 Develop matrix to compare concepts 8 8 976$ 5.3.3 Incoporate comments and finalize concept layouts 1 6 16 16 39 4,458$ 5.3.4 Distribute finalized concept layouts 1 8 8 17 1,796$ 5.3.5 Determine preferred layout 1 8 16 8 33 4,154$ 5.4 Geometric Layout 5.4.1 Develop draft geometric layout 8 20 120 120 2 270 29,604$ 5.4.2 Incoporate comments and finalize geometric layout 1 10 40 40 91 10,018$ 5.4.3 Distribute finalized geometric layout 4 8 8 20 2,312$ 5.4.4 Distribute approved layout 1 4 8 8 21 2,490$ 5.5 Bridge 27102 Analysis and Girder Strengthening Concepts 5.5.1 Coordinate with MnDOT Load Rating Engineer on possible strengthening concepts 4 8 4 16 2,104$ 5.5.2 Incorporate concepts into MDX and AASHTOWare BrR models.32 32 3,200$ 5.5.3 Prepare load rating form for review and incorporate comments. 5.5.4 Prepare design exception as needed 2 2 4 8 2 18 2,698$ 5.5.5 Internal QC detail checking for Task 5.5 8 4 12 1,392$ 5.8 Drainage Design 5.8.1 Preliminary Drainage Design 12 100 112 14,908$ 5.8.2 Drainage Overview Map and Early Agency Coordination 8 40 48 6,632$ 5.9 Right of Way Plan 5.9.1 Develop preliminary right-of-way plan 1 4 20 40 65 6,546$ 5.9.2 Incoprorate comments and finalize the right-of-way plan 2 8 8 18 1,968$ 5.9.3 Distribute final right-of-way plan 1 2 2 5 584$ 5.9.4 Prepare parcel sketches 1 6 18 90 2 117 11,076$ 5.10 Topographic Survey 5.11 Concept Construction Cost Estimate 5.11.1 Develop Construction Cost Estimate 4 2 24 20 2 2 4 58 6,670$ SUBTOTAL HOURS 29 87 356 428 24 146 - - 18 48 - - 12 2 1,150 SUBTOTAL COST 5,162$ 14,964$ 43,432$ 34,668$ 5,016$ 18,104$ -$ -$ 2,232$ 4,800$ -$ -$ 2,280$ 174$ 130,832$ 6 Soil Testing 6.1 Soil Borings Soil Boring Coordination 4 2 2 8 1,204$ 6.2 Laboratory Analysis and Report FADR and MDR Coordination 4 2 2 8 1,336$ SUBTOTAL HOURS 8 - 4 - - 2 - - - - - - 2 - 16 SUBTOTAL COST 1,424$ -$ 488$ -$ -$ 248$ -$ -$ -$ -$ -$ -$ 380$ -$ 2,540$ TOTAL TKDA HOURS 2,392 TOTAL TKDA COST 311,550$ Expenses: Travel 500$ Subconsultant - Landmark 13,922$ Subconsultant - SEH 157,758$ TOTAL 483,730$ TOTAL (ROUNDED) 483,800$ As Authorized: 5.6 Bridge Type Study 5.7 Preliminary Bridge Plans Subconsultant - SEH 45,325$ TOTAL 45,325$ TOTAL (ROUNDED) 45,400$ SEH SEH SEH SEH Total Hours Project: Task Description Water Resources Bridge Total Dollars Estimated Person Hours Required Client: Task Roadway Noise SEH SEH SEH SEH SEH Landmark 1.0 Project Management 1.1 Perform project management, scoping, budgeting, invoicing, and administration. 20 12 32 1.2 QA/QC and Project QMP 0 Task 1.0 Subtotal Hours:20 0 0 0 0 0 0 0 0 0 0 12 32 2.0 Public & Agency Involvement 2.1 PMT Meetings - 6 meetings 6 6 4 16 2.2 Coordination 2 2 2.3 Public Involvement, public engagement events 2 2 4 2.4 Aesthetic Renderings 2 2 4 2.5 Private Utility Coordination meeting (1) after approval of concept layout 1 2 6 9 Task 2.0 Subtotal Hours:13 6 2 0 2 6 6 0 0 0 0 0 35 3.0 Project Memorandum 3.1 Early Coordination 0 3.2 Project Memorandum 0 3.3 Noise Report 0 Task 3.0 Subtotal Hours:0 0 0 0 0 0 0 0 0 0 0 0 0 4.0 Environmental Site Assessment 4.1 Phase I ESA & Regulated Waste Assessment 0 Task 4.0 Subtotal Hours:0 0 0 0 0 0 0 0 0 0 0 0 0 5.0 Preliminary Design 5.1 Traffic Studies 0 5.1.1 Data collection and review 8 8 16 5.1.2 Traffic Forecasting 2 8 10 5.1.3 Crash Analysis 4 24 5.1.4 VISSIM Existing Model and Calibration 60 120 180 5.1.5 VISSIM Future Models 60 120 180 5.1.6 Roadway Cross Section Determination 4 8 12 5.1.7 Construction Cost Estimates & Evaluation Matrix 4 2 4 10 5.1.8 Operations Summary Report 4 24 40 68 5.1.9 Coordination Meetings 6 10 16 5.2 Utility Coordination 0 5.2.1 Contact Gopher State One Call to obtain a list of utility companies and utility mapping 1 3 4 5.2.2 Coordinate survey of the utility markings 1 4 4 9 5.5.3 Reach out to private utilities and verify contact person(s) for each 3 3 5.5.4 Preliminary design public utility relocations as needed, including watermain relocation under TH 100 and storm sewer reconfiguration.4 20 24 5.3 Concept Layout 4 4 5.4 Geometric Layout - ITR of draft & final Geometric Layouts 6 6 5.5 Bridge 27102 Analysis & Girder Strengthening Concepts 0 5.5.1 Coordinate with MnDOT Ratings Engineer on strengthening concepts 2 28 30 5.5.2 Incorporate concepts into MDX and AASHTOWare BrR models 20 20 5.5.3 Prepare load rating form for review and incorporate comments 12 12 5.5.4 Internal QC detail checking for Task 5.5 8 8 Sr Traffic Engineer Traffic Engineer City of Edina Engineering Department Work Tasks Work Description SEH Project Manager Sr Bridge Engineer Proposal for Engineering Services January 9, 2023 TotalSurvey Crew ChiefSr Civil Engineer CSAH 158 Vernon Avenue/TH 100 Interchange Improvements Survey Crew AdminSr Roadway EngineerSr Bridge Technician Sr Geotech EngineerCivil Engineer Sr Traffic Engineer Traffic EngineerWork Tasks Work Description SEH Project Manager Sr Bridge Engineer TotalSurvey Crew ChiefSr Civil Engineer Survey Crew AdminSr Roadway EngineerSr Bridge Technician Sr Geotech EngineerCivil Engineer 5.6 Bridge Type Study (As Authorized)0 5.6.1 Develop type, size, and location bridge concepts for review and comment 0 5.6.2 Incorporate comments and finalize type, size, and location bridge concepts 0 5.6.3 Prepare bridge type study memorandum for review 0 5.6.4 Incorporate comments and prepare final bridge type study memo for ID of preferred bridge type 0 5.6.5 Internal QC detail checking for Task 5.6 0 5.7 Preliminary Bridge Plans (As Authorized)0 5.7.1 Develop preliminary bridge plans; Submit to City & MnDOT State Aid for review & comments 0 5.7.2 Internal QC detail checking for Task 5.7 0 5.8 Drainage Design 0 5.9 ROW Plan 4 16 16 36 5.10 Topo Survey 0 5.10.1 Collect required topographic survey as needed for final design 0 5.10.2 Develop base mapping for final plan development 0 5.11 Concept Construction Cost Estimate 6 6 Task 5.0 Subtotal Hours:16 74 0 14 13 23 178 324 0 20 20 0 682 6.0 Soil Testing 6.1 Soil Borings – City led Contract with Braun Intertec 0 6.2 Geotechnical Report. Prepare a draft and final Geotechnical Report 107 6 113 Task 6.0 Subtotal Hours:0 0 0 0 0 0 0 0 107 0 0 6 113 TOTAL HOURS 49 80 2 14 15 29 184 324 107 20 20 18 862 AVERAGE HOURLY RATES $284 $177 $142 $230 $166 $154 $215 $139 $205 $124 $119 $116 TOTAL LABOR COST $152,084 REIMBURSABLE EXPENSES (mileage, technology charge, survey equipment)$5,673 TOTAL SEH FEE $157,758 1.0 Project Management 1.1 Perform project management, scoping, budgeting, invoicing, and administration. 6 6 1.2 QA/QC and Project QMP 0 Task 1.0 Subtotal Hours:6 0 0 0 0 0 0 0 0 0 0 0 6 5.0 Preliminary Design 5.6 Bridge Type Study (As Authorized)0 5.6.1 Develop type, size, and location bridge concepts for review and comment 4 20 32 56 5.6.2 Incorporate comments and finalize type, size, and location bridge concepts 4 12 16 5.6.3 Prepare bridge type study memorandum for review 2 16 2 20 5.6.4 Incorporate comments and prepare final bridge type study memo for ID of preferred bridge type 2 12 14 5.6.5 Internal QC detail checking for Task 5.6 8 8 5.7 Preliminary Bridge Plans (As Authorized)0 5.7.1 Develop preliminary bridge plans; Submit to City & MnDOT State Aid for review & comments 4 24 80 108 5.7.2 Internal QC detail checking for Task 5.7 10 10 Task 5.0 Subtotal Hours:12 94 126 0 0 0 0 0 0 0 0 0 232 6.0 Soil Testing 6.1 Soil Borings – City led Contract with Braun Intertec 0 6.2 Geotechnical Report. Prepare a draft and final Geotechnical Report 0 Task 6.0 Subtotal Hours:0 0 0 0 0 0 0 0 0 0 0 0 0 TOTAL HOURS 18 94 126 0 0 0 0 0 0 0 0 0 238 AVERAGE HOURLY RATES $284 $177 $142 $230 $166 $154 $215 $139 $163 $124 $119 $116 TOTAL LABOR COST $39,651 REIMBURSABLE EXPENSES (mileage, technology charge, survey equipment)$5,673 TOTAL SEH FEE $45,325 Survey Crew Chief Survey Crew Admin TotalSr Roadway Engineer Sr Civil Engineer Civil Engineer Sr Traffic Engineer Traffic Engineer Sr Geotech Engineer City of Edina Engineering Department CSAH 158 Vernon Avenue/TH 100 Interchange Improvements Proposal for Engineering Services (As Authorized Tasks) January 9, 2023 Work Tasks Work Description SEH Project Manager Sr Bridge Engineer Sr Bridge Technician 0' SCALE 100'50' VERNON AVE RAILROAD BRIDGE AND DDI PROJECT OVERLAPTH 100 SBTH 100 NBVERNON AVE EB VERNON AVE WB VERNON AVE W BVERNON AVE EBARCADIA AVEGRANGE RDI NT E R L A C H E N BL V D GUS YOUNG LN TH 100 SBTH 100 NBRAILROADBROOKS IDE AVE W 49TH ST RAILROAD(TYP.) OVERLAP PROJECT c:\tkda_projectwise\patrick.ahern\dms12649\cd027758006_Project_Overlap.dgn10/10/2022 SHEET LAST REVISION: CHECKED BY: CAD BY: DESIGN BY: BRIDGE 27C73, SP 027-758-006, SP 2734-56 CSAH 158 / HENNEPIN COUNTY PROJECT 2176600 F Date: January 17, 2023 Agenda Item #: VI.O. To:Mayor and City Council Item Type: Request For Purchase From:Jennifer Bennerotte, Communications Director Item Activity: Subject:Request for Purchase: Printing of "Activities Directory" Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Request for Purchase for paper, printing and mail prep of the Spring/Summer Activities Directory with Leffler Printing for $25,395. INTRODUCTION: The Activities Directory is published by the Parks & Recreation Department two times per year and mailed to every home in Edina. The catalog includes details on camps, classes, sports leagues and special events. Leffler P rinting has printed the catalog for several years. Leffler's estimate for the Spring/Summer 2023 issue is $23,545 for paper and printing and $1,850 to inkjet and prepare the catalogs for mail. This amount will be offset by the $16,287 in advertising sold for the catalog (less sales commission). The Spring/Summer issue is scheduled to be delivered to the post office Feb. 6 and should hit local mailboxes by Feb. 10. P rogram registration begins Feb. 15. ATTACHMENTS: Description Request for Purchase: Printing of "Activities Directory" Request for Purchase Requisition Number 1 CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 12300005 Department:Communications Buyer:Jennifer Bennerotte Date: 01/11/2023 Requisition Description:Printing for Spring/Summer Activities Directory Vendor:LEFFLER PRINTING COMPANY Cost:$25,395.00 REPLACEMENT or NEW:NEW - NEW PURCHASE SOURCE:SERVIC K - SERVICE CONTRACT DESCRIPTION:Printing and mail prep for Spring/Summer 2023 "Activities Directory" BUDGET IMPACT: General Fund Environmental Impact - item specific: 2 COMMUNITY IMPACT:Every household in Edina will receive a copy of the catalog. ENVIRONMENTAL IMPACT:Paper with recycled content will be used for printing. Vehicle - Make/Model/Year requested vehicle: Vehicle - Make/Model/Year current vehicle (if replacement): Vehicle - Does purchase meet Green Fleet Recommendations? - Vehicle - If does not meet Green Fleet Recommendations, justification: - MPG: Carbon Emissions: Date: January 17, 2023 Agenda Item #: VI.P. To:Mayor and City Council Item Type: Request For Purchase From:Perry Vetter, Parks and Recreation Director Item Activity: Subject:Request for Purchase: Edina Liquor Grandview Product Inventory Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve request for purchase of Edina Liquor product inventory with Wine Merchants dba Johnson Brothers Liquor Co. for $28,912.79. INTRODUCTION: This purchase is for the replenishment and quantity purchasing of product inventory for Edina Liquor Grandview. These purchase amounts reflect quantity purchasing in order to consistently provide the best value, customer service experience, and product selection for patrons. ATTACHMENTS: Description Request for Purchase: Edina Liquor Grandview Product Inventory Request for Purchase Requisition Number Environmental Impact - item specific: 1 CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 12200318 Department:Edina Liquor - Grandview Buyer:Perry Vetter Date: 01/12/2023 Requisition Description:Edina Liquor Johnson Brothers Product Inventory Vendor:JOHNSON BROTHERS LIQUOR CO Cost:$28,912.79 REPLACEMENT or NEW:- PURCHASE SOURCE:- Vehicle - Make/Model/Year requested vehicle: Vehicle - Make/Model/Year current vehicle (if replacement): Vehicle - Does purchase meet Green Fleet Recommendations? - Vehicle - If does not meet Green Fleet Recommendations, justification: - MPG: Carbon Emissions: Date: January 17, 2023 Agenda Item #: VI.Q. To:Mayor and City Council Item Type: Request For Purchase From:Perry Vetter, Parks and Recreation Director Item Activity: Subject:Request for Purchase: Edina Liquor Grandview Product Inventory Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve request for purchase of Edina Liquor product inventory with Breakthru Beverage Minnesota Beer LLC for $29,960.50. INTRODUCTION: This purchase is for the replenishment and quantity purchasing of product inventory for Edina Liquor Grandview. These purchase amounts reflect quantity purchasing in order to consistently provide the best value, customer service experience, and product selection for patrons. ATTACHMENTS: Description Request for Purchase: Edina Liquor Grandview Product Inventory Request for Purchase Requisition Number Environmental Impact - item specific: 1 CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 12200319 Department:Parks & Recreation Buyer:Perry Vetter Date: 01/12/2023 Requisition Description:Product Inventory Grandview Breakthru Vendor:BREAKTHRU BEVERAGE MINNESOTA BEER LLC Cost:$29,960.50 REPLACEMENT or NEW:- PURCHASE SOURCE:- Vehicle - Make/Model/Year requested vehicle: Vehicle - Make/Model/Year current vehicle (if replacement): Vehicle - Does purchase meet Green Fleet Recommendations? - Vehicle - If does not meet Green Fleet Recommendations, justification: - MPG: Carbon Emissions: Date: January 17, 2023 Agenda Item #: VI.R. To:Mayor and City Council Item Type: Request For Purchase From:Perry Vetter, Parks and Recreation Director Item Activity: Subject:Request for Purchase: Edina Liquor Southdale Product Inventory Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve request for purchase of Edina Liquor product inventory with Breakthru Beverage Minnesota Beer LLC for $39,935.02. INTRODUCTION: This purchase is for the replenishment and quantity purchasing of product inventory for Edina Liquor Southdale. These purchase amounts reflect quantity purchasing in order to consistently provide the best value, customer service experience, and product selection for patrons. ATTACHMENTS: Description Request for Purchase: Edina Liquor Southdale Product Inventory Request for Purchase Requisition Number Environmental Impact - item specific: 1 CITY OF EDINA 4801 W 50th St., Edina, MN 55424 www.EdinaMN.gov | 952-927-8861 12200317 Department:Edina Liquor - Southdale Buyer:Perry Vetter Date: 01/12/2023 Requisition Description:Product Inventory Southdale Breakthru Vendor:BREAKTHRU BEVERAGE MINNESOTA BEER LLC Cost:$39,935.02 REPLACEMENT or NEW:- PURCHASE SOURCE:- Vehicle - Make/Model/Year requested vehicle: Vehicle - Make/Model/Year current vehicle (if replacement): Vehicle - Does purchase meet Green Fleet Recommendations? - Vehicle - If does not meet Green Fleet Recommendations, justification: - MPG: Carbon Emissions: Date: January 17, 2023 Agenda Item #: VI.S. To:Mayor and City Council Item Type: Report / Recommendation From:Gillian Straub, City Management Fellow Item Activity: Subject:Approve 2023 Legislative Priorities and Positions Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve the 2023 legislative priorities and positions. INTRODUCTION: The staff report attached details each of the City's 2023 legislative priorities and positions, along with a summary document. T he legislative agendas are also attached for the Municipal Legislative Commission (MLC), Metro Cities (Association of Metropolitan Municipalities), and the League of Minnesota Cities (MLC). ATTACHMENTS: Description 2023 Legislative Priorities and Positions 2023 Summary of Positions and Priorities MLC Platform LMC Platform Metro Cities Platform HF600 Summary January 17, 2023 Mayor and City Council Scott H. Neal, City Manager Gillian Straub, City Management Fellow 2023 City Legislative Priorities and Positions Information / Background: This staff report provides City positions and priorities on state legislative issues that may be considered in the 2023 state legislative session, beginning January 3, 2023. Priorities are issues specific to Edina and do not directly affect other communities. Positions are issues affecting cities in general and are not specific to Edina. Historically, staff presented positions and priorities together; this change allows for greater clarity of how the following priorities and positions affect Edina and other communities. In addition to the priorities and positions listed below, the City of Edina belongs to the Municipal Legislative Commission (MLC), Metro Cities (Association of Metropolitan Municipalities), and The League of Minnesota Cities (MLC). In most cases, the City of Edina’s interests align with these organizations both by virtue of the City’s participation in these organizations and the guiding purpose of the organizations. Each of these associations adopt legislative priorities annually, and these priorities are attached to this report. Staff contacts and a summary of the following priorities and positions are also attached. Priorities: 1 Sales Tax Exemption for the Community Health and Safety Center (Fire Station 2) The City of Edina is constructing a new Community Health and Safety Center, replacing the existing Edina Fire Station 2 and housing the Public Health division. See Priority 5 on page two for a description of all services to be provided from the Center. The City will seek a sales tax exemption for the material and supplies purchased for the construction of the Center, including infrastructure necessary for safe access to the property. 2 Sales Tax Exemption for Projects in Braemar Park Master Plan The City will make improvements with new local sales and use tax revenue in the Braemar Park Master Plan. The City will seek a sales tax exemption for the material and supplies purchased for the construction, reconstruction, upgrade, expansion of City facilities included in the Braemar Park Master Plan. STAFF REPORT Page 2 3 Sales Tax Exemption for Projects in Fred Richards Park Master Plan The City of Edina will make improvements and expansions with its new local sales and use tax revenue at Fred Richards Park, as outlined in the Fred Richards Park Master Plan. The City will seek a sales tax exemption for the material and supplies purchased for the construction, reconstruction, upgrade, expansion or remodeling of all projects included in the Fred Richards Park Master Plan. 4 LOST Expanded Spending Capacity The City is seeking additional spending capacity of the local sales and use tax that was approved by Edina voters in the November 2022 general election. The additional spending capacity is $31.7 million to fund an additional sheet of indoor ice at Braemar Arena. The proposal does not require an increase to the rate or duration of the approved sales and use tax. The City Council approved formal request for this additional spending capacity at their December 20, 2022 Council meeting. The City will seek support from its legislative team for this initiative. 5 Bonding for Community Health and Safety Center (Fire Station 2) The City requested $10 million in state funds to acquire land, predesign, design, construct, furnish and equip a new Community Health and Safety Center located in the southeast quadrant of Edina. The Center replaces the existing Edina Fire Station 2 and will house fire prevention and inspection services, fire suppression, Advanced Life Support (ALS) ambulance care, emergency management, public health, restaurant and swimming pool inspections, rental housing licensing and inspections services, and recycling and organics collection services. Co-locating Community Health with the Fire Department advances preventative services through proactive programming; prepares the City and region for current and future public health crises and emergencies; and provides services such as vaccination clinics, disaster medication distribution during community health events. State bonding for the Center is appropriate because the Center will provide regional benefits, such as expanded capacity for emergency management or community health events. The City purchased the site for the proposed center and incurred pre-construction costs. Representative Edelson first introduced this bonding request in H.F. 2703 in 2022. 6 Bonding for the South Metro Public Safety Training Facility The Facility is a Joint Powers Agreement owned jointly by a consortium of the cities of Edina, Eden Prairie and Bloomington and the Metropolitan Airports Commission. The facility is managed by the City of Edina. The Facility has been providing training space for their public safety personnel since 2004. In addition, the Facility maintains ongoing contracts with the City of Minnetonka, Department of Homeland Security, Federal Air Marshal Service and the Veteran’s Affairs Police Department. It also offers continuing education courses and firearms safety courses open to the general public. The SMPSTF consortium received a bonding bill appropriation in 2020 of $1 million for improvements and expansions related to the construction of a new tactical training structure which can be used year-round for STAFF REPORT Page 3 multiple training functions including a roof collapse simulator and a training maze with moveable walls, and it will house large equipment, keeping them out of the elements. The project was designed and let for public competitive bidding. The lowest responsible bidder was 60% higher than the project budget, so all bids were rejected. The board of directors for the facility decided to pursue additional funding through the 2023 bonding bill for the project. The board is requesting an additional $1 million to complete the project. State bonding for the Facility is appropriate because the Facility provides significant regional benefits, and the improvements and expansion will ensure it can continue to provide public safety training, otherwise unavailable in the area. Representatives Edelson, Kotyza-Wittuhn, Elkins, Carlson, and Howard first introduced this bonding request in H.F. 3080. 7 Bonding for the Pedestrian Bridge over Highway 62 The City will request $2 million for the replacement of the pedestrian bridge over Highway 62. The pedestrian bridge was struck twice in 2022, prompting closure of the bridge. Minnesota Department of Transportation owns the bridge. The bridge is critical for pedestrians and cyclists to get safely over T.H. 62 and access Edina parks, recreational facilities, medical facilities, grocery stores, and other businesses. Safe bike and pedestrian access is critical for Edina Aquatic Center employees who do not have access to cars. The current alternative pathway down Valley View Road or via France Avenue is less safe. The City is requesting funds because the replacement project will likely include Edina assuming long-term ownership and maintenance of the bridge, and the $2 million requested will finance Edina’s portion of the cost of the new bridge. STAFF REPORT Page 4 Positions: The following legislative positions are grouped into five categories: General Government (page 4-8), Affordable Housing (page 8-10), Environment and Sustainability (10-13), Transportation (13-14) and Public Safety (15-17). These positions represent issues which apply to Edina and other Minnesota cities. 1 GENERAL GOVERNMENT 1.1 Realign Motor Vehicle Lease Sales Tax Allocation In 2015, state legislation reallocated $32 million of the sales tax collected from leased vehicles from the State's general fund, half to Greater Minnesota and half to metro counties through the County State Aid Highway Fund. To balance funding for transit and roads/bridges, the new law excluded Hennepin and Ramsey Counties from receiving their percentage of funding. Instead, the other five metro counties split the proceeds generated in Hennepin and Ramsey Counties. With the elimination of the Counties Transit Improvement Board (CTIB) in 2017, all seven metro counties now collect their own local transportation sale tax, but the exemption still blocks Hennepin and Ramsey Counties. The City of Edina advocates for returning to the original intent by eliminating the exemption of Hennepin and Ramsey Counties and distributing the sales tax on lease vehicles, per the county state aid formula, to all metro counties. The City support re-aligning the distribution because:  Distributing Hennepin and Ramsey County proceeds to the other five metro counties puts cities in Hennepin County at a disadvantage when it comes to accessing county funds for road and bridge projects.  This change would provide an estimated $10.7 million in additional funding to Hennepin County for roads and bridges. 1.2 Preserve Legal Structure for Utility Franchise Fees The current legal structure for utility franchise fees allows costs to be shared by all users rather than only property owners. The City advocates for preserving this structure because:  Edina uses utility franchise fees for the Pedestrian and Cyclist Safety (PACS) and Conservation and Sustainability (CAS) funds. Both funds are vital to the City's progress in sustainability and pedestrian and cyclist safety. 1.3 Public Notices in Newspapers State statute requires publishing public notices in newspapers. The City supports legislation eliminating outdated and unnecessary city publications and giving cities the authority to a) Determine whether web publication should replace or supplement newspaper publication; b) Designate an appropriate publication that reaches the maximum number of residents possible; c) Use alternative means of communication to fulfill statutory requirements such as city newsletters, cable television, video streaming, email, blogs and city websites; d) Expand the use of summaries where information is technical or lengthy by removing the requirement for Council approval of summary publications. The City supports eliminating unnecessary requirements because:  Some requirements are no longer relevant or representative of the technology that has significantly increased access to government. STAFF REPORT Page 5  These requirements are unnecessarily costly to the city. In 2019, Edina spent approximately $21,052 on public notices.  Cities determining whether web publication should replace or supplement newspaper publication best meets the unique needs of each community. 1.4 Data Practices The purpose of the Minnesota Government Data Practices Act (MGDPA) is to provide open and transparent information to the public, while protecting personal information from indiscriminate disclosure. The City supports mechanisms to define and regulate reasonable data requests, and charges that better reflect the actual costs of responding to data requests because:  Cities are experiencing increases in repetitive, overly broad, and far-reaching data requests.  These requests require significant staff time to locate government records, redact private data or data unrelated to the request, and assemble documents to be provided in order to comply with requirements to provide access to public government data. 1.5 Increase Purchasing Agency The city manager is the chief purchasing agent of statutory Plan B cities. State law requires the city manager to recommend purchases and contracts over $20,000 and requires additional approval by the city council. This approval is obtained through requests for approval on the consent agenda. The City supports a raise in the legal maximum to at least $100,000, with the ability for individual city councils to set lower thresholds at their discretion because:  The $20,000 statutory threshold has not been raised since 2004. This does not account for standard inflation over the past 18 years.  Most city purchases are well over $20,000. Allowing the city manager a higher purchasing threshold makes purchasing more efficient, while maintaining compliance and oversight of budget.  Neighboring charter cities with the council-manager form of government have significantly higher limits, including St. Louis Park at $175,000, and Bloomington and Richfield have city manager purchasing authority in excess of $20,000. 1.6 Repeal Statutory Salary Limitation on City Employees Minnesota law limits the salaries of city employees to I10% of the governor's salary, with an annual inflationary adjustment based on the Consumer Price Index. The Legislature should end the salary cap all together because:  In 1998 and 2003, the Legislature exempted entities, including school districts, hospitals, clinics, and health maintenance organizations owned by a government organization, from the salary limitation. During the 2018 session, the Legislature expanded that exemption by allowing the Metropolitan Airports Commission to be exempt from the salary limitation. This puts cities at a specific and unique disadvantage when competing with other political subdivisions for talent.  No other state in the nation has a similar cap, which puts Minnesota cities at a disadvantage when recruiting nationally.  Locally elected city council members and mayors are in the best position to determine the needs of their communities, including the compensation of city employees.  The artificial cap results in salary compression making it difficult to fill leadership positions. STAFF REPORT Page 6  Public employee salaries are public data. In addition, Minnesota law already requires that each political subdivision post the salaries of its three highest-paid employees on its website, so the salaries of key employees are readily known to the local taxpayers and voters who provide the ultimate check on the actions of city councils. 1.7 Implement Rank Choice Voting System Minnesota Law currently allows only charter cities to consider and adopt rank-choice voting as an alternative voting method in local elections. Edina, as a statutory city, cannot adopt this voting choice. The City supports legislation that would give statutory cities the same authority as charter cities to adopt rank- choice voting. The City of Edina also supports implementing statewide standards for those cities that choose to adopt rank-choice voting. The City supports these positions because:  They would ensure elections are consistent throughout the state.  They would reinforce confidence in the fairness of the alternative process and confidence in the outcome of such elections. 1.8 Change Group Home Regulation Licensed residential facilities do not have any distance separation requirements in single-family residential use zones in Edina. State statute 245A.11 has distance requirements of 1,320 feet between licensed residential facilities, but these requirements do not apply to Edina. The City supports regulation that requires this distance separation because:  Grouping facilities on the same block in a single-family residential neighborhood is detrimental to the neighborhood and the individuals in the facilities.  Neighborhoods experience an increase in traffic, parking needs, deliveries, and other activities compounded by numerous facilities on the same block.  Individuals no longer reap the benefit of enjoying a normal residential setting with a diversity of households. When entire blocks are acquired for licensed residential facilities, the setting is more similar to a large institutional campus.  Grouping facilities effectively turns a residential area into a commercial area. 1.9 Authorize Statutory Cities to Collect Park Dedication Fees for Multifamily Redevelopment Projects Current state law does not allow statutory cities to capture park improvement district fees from certain types of multifamily buildings because they are not subdivisions. The City supports legislative authorizing cities to collect park dedication fees from multifamily development projects if the project creates new demands on the park system because:  Multifamily buildings and apartments generate significant demands to parks and outdoor amenities.  Fees would more evenly distribute the costs for maintaining and creating new parks. Municipal Liquor Positions 1.10-1.14 all relate to municipal liquor. Edina has operated a municipal liquor store since it was established by local referendum in 1948. The liquor operation generates over $1 million annually in profit. These profits fund Edina’s recreate facilities, including the ice arena, art center and aquatic center, allowing the City to reduce user fees and allow greater access. The City recreation program serve children and STAFF REPORT Page 7 families from all over the metro area, not just Edina. Continual support of liquor stores and their ability to generate profit allows municipal liquor stores to benefit the community and region through local programs and amenities. 1.10 Reinforce the Open Wholesaling Systems through Legislation In 2021, Miami-based Southern Glazer's Wine and Spirits filed a lawsuit against the State of Minnesota seeking elimination of a Minnesota law called the Coleman Act, which contains the open wholesaling system of spirits distribution. Open wholesaling of spirits requires that all spirit brands (with some exceptions) be available for sale to all licensed Minnesota-wholesalers. This encourages healthy competition among wholesalers that benefits both sellers and customers. If Southern Glazer's lawsuit is successful, more than half of the spirit brands in Minnesota may become exclusive with Southern Glazer's. The City opposes this lawsuit and supports an amendment of the Coleman Act to reinforce a system of open wholesaling because without protections for open wholesaling:  Wholesale prices will increase.  Service levels on certain brands will decrease.  Purchase and delivery schedules will reduce.  Sale margins will be compressed. 1.11 Oppose Changes to Tap Room Retail Operations Due to changes during the COVID-19 pandemic, tap rooms can offer direct-to-customer bulk sales via carryout. These sales are controlled by quantity, and the product must use different packaging than the product supplied wholesale to liquor stores. The City opposes changes to tap room retail operations because:  The changes allowing retail operations were implemented in October 2021. More time is needed to understand their effect on the market, customer, and other retailers.  Changes could allow bulk or exclusive sale from tap rooms. 1.12 Protect Customer Data As a municipal operation, municipal liquor stores may be subject to data practices requests. The City supports protections for customer data because:  Customer data that may be subject to request could include purchase history and personally identifying information.  The threat of data requests erodes trust with the customer.  It may put municipal liquor stores at a competitive disadvantage.  The City’s municipal liquor discontinued its customer rewards program, because without clarity of what information is subject to a data request, the City would not hold personally identifying information and purchase history that could be subject to a data request. 1.13 Clarity on THC-Infused Products With the passage of state statute 151.72 in July 2022, products containing THC are permitted for sale. The City seeks clarification on if retail liquor stores can sell THC-infused beverages because:  There are currently no guidelines on labels separating THC-infused products from alcoholic beverages. STAFF REPORT Page 8  There is currently no employer licensing system or program that allows for effective enforcement of and compliance with the law.  The current guidance from the Alcohol and Gambling Enforcement Division of the Minnesota Department of Public Safety does not allow any retail liquor operation to sell CBD, hemp or THC- infused beverages.  Without federal passage of the SAFE banking act, cannabis-related legitimate operations cannot generate proceeds from unlawful activity, and banking institutions can be penalized by federal authorities for providing services to a cannabis-related business. 1.14 Maintain Constraints on Off Sale Liquor Currently, grocery and convenience stores can sell 3.2% alcohol, while all other alcohol products are sold at liquor stores. Some grocery stores opt to apply for an off-sale liquor license and can sell beer, wine and liquor at the store, with some adjustments, including a separate entrance. The City of Edina supports maintaining the constraints on off sale liquor because:  Claims that the off-sale liquor license inhibits growth are rebutted by several grocery stores opting for some locations applying for the off-sale liquor license.  The constraints allow for smaller private and municipal liquor stores to compete on an even playing field. 1.15 Adult Use Cannabis The Governor and State Legislative leaders have made numerous public statements that they will pursue the liberalization of state’s laws around adult use of cannabis during the 2023 legislative session. A bill to accomplish that goal, House File 600 has been filed. This bill designates the State as the licensing and regulatory authority, and as the sole recipient of tax revenues generated. If the Legislature passes HF 600 or a similar bill, the City of Edina would support the following amendments:  The retail sale of adult use cannabis should be licensed and regulated by both the state and the local governments.  The revenue stream from taxation of adult use cannabis should be shared between state and local governments.  Local governments should have the option to establish municipal dispensaries in the model of municipal retail liquors stores. 1.16 Hearing Aid Affordability Currently, hearing aids are not classified as durable medical equipment (DME) and therefore are not covered under many health insurance plans. Without health insurance coverage, many who need hearing aids are unable to get them, as they cost three to six thousand dollars. The City of Edina supports programs or policy changes which reduce the cost of hearing aids and increase access to them because:  Cochlear implants, which cost $80 thousand to $120 thousand, are typically covered by health insurance while hearing aids are not.  Without health insurance coverage, hearing aids are not affordable for those living on a fixed income. Both Edina seniors on a fixed income and youth who age out of hearing aid support cannot access hearing aids because of cost.  Hearing aids are critical devices for those who are deaf or hard of hearing. STAFF REPORT Page 9 2 AFFORDABLE HOUSING Affordable housing includes three focuses: regulatory tools for affordable housing (2.1, 2.2), new funding sources for affordable housing (2.3, 2.4, 2.5, 2.6), and protecting low- and moderate-income tenants (2.7, 2.8). Regulatory Tools for Affordable Housing 2.1 Apply the 4d Property Tax Classification to Community Land Trust Properties Community Land Trust properties are currently taxed as the 1a – Residential Homestead classification, at up to a 1.25% rate, which does not best fit the use and purpose of the Community Land Trust properties. The City supports a change to the 4d property tax classification, which is applied to low-income rental properties at up to a 0.25% rate because:  Homeowners lease, and do not own, the land from the Land Trust.  The property is required to be affordable as memorialized through the ground lease.  The Land Trust is designed to create affordable home ownership opportunities, but requiring the homeowner to pay property taxes on the value of the house and the land at the single-family homestead rate makes homes less affordable.  Due to both leasing the land and the requirement that it stay affordable, 4d is a more appropriate tax classification than 1a.  Edina has 21 land trust residential properties, with property values in the city rapidly increasing. High property values and corresponding taxes impact the ability of land trust homeowners to remain in their home. 2.2 Protection of and Taxation for Housing Purchased by Corporations for Renting The City supports legislation that authorizes a tax on the sale of these properties to corporations and protections prohibiting the conversion of single family residences in to rental properties by developers and corporations. The City supports SF 3147, which imposes the tax, and SF 4313, which prohibits the conversion, because:  The City and surrounding communities have seen an increase in the number of residences converted from single family homes owned by the residents to rental properties.  Such conversion negatively impacts ownership opportunities for residents. New Funding Sources for Affordable Housing 2.3 Use Pooled Tax Increment Financing (TIF) for Affordable Housing Currently, state statute allows for the pooling of TIF to be utilized for affordable housing within the defined redevelopment area of the city. However, the pooled TIF must be maintained in a separate fund with ongoing annual reporting requirements. The City supports legislation allowing the City to deposit pooled TIF for affordable housing in Edina's Affordable Housing Trust Fund, because:  It would allow for greater flexibility in the use of the pooled TIF for qualified costs to facilitate the construction and rehabilitation of affordable housing.  It would alleviate the administrative burden of annual reporting.  Similar special legislation has been approved for Minnetonka, Richfield and St. Louis Park. STAFF REPORT Page 10 2.4 Additional Affordable Housing Financing Bonding Authority The Legislature provides bonding authority to construct affordable housing. The City supports an effective bonding bill that provides Housing Infrastructure (HIB) and General Obligation (GO) Bonds to fund affordable housing to serve low-income households because:  The demand for affordable housing continues to rise, meriting the need for additional financing. 2.5 Establish Revenue Resource for Affordable Housing Currently, the need for affordable housing in the State has grown to crisis proportions, without funding to meet the need. The City supports establishing a financing source to fund local and regional programs to facilitate the creation and preservation of affordable housing because:  Increased state funding can enable local jurisdictions to enact programs facilitating the creation and preservation of affordable housing, including subsidized and Naturally Occurring Affordable Housing (NOAH). Protecting low- and moderate-income tenants 2.6 Protect Tenants in Affordable Housing Property Ownership Changes State statue currently prohibits any local adoption of an ordinance to control rents on private residential properties unless the ordinance is approved in a general election. The City supports first, a statewide tenant protection plan, and second, an amendment to State statue 471.9996 to allow for a 90-day tenant protection period following the transfer of naturally occurring affordable housing (NOAH) property ownership because:  Investment buyers have been purchasing NOAH multi-family residential properties, rehabilitating properties and increasing rents.  Some new owners have non-renewed the leases of existing tenants with minimal notice and/or substantially increased the rent with minimal notice.  A 90-day tenant protection period would prohibit rent increases and non-renewals and allow time for residents to seek alternative housing. 2.7 Reform Eviction Expungement Records of unlawful detainer filings, or eviction lawsuits, remain on a tenant’s public record regardless of whether the matter was settled or dismissed prior to the court hearing or if the tenant prevails at the hearing. The City supports legislation that would expand the eligibility for discretionary and mandatory expungements for eviction case court files because:  In these cases, the eviction record is not a reasonable predictor of future tenant behavior and should be expunged.  The existence of this record impedes the ability of the renter to secure suitable rental housing in the future. STAFF REPORT Page 11 3 ENVIRONMENT AND SUSTAINABILITY Environment and sustainability has five thematic focuses: energy management and environment (3.1, 3.2, 3.3, 3.4), right to repair (3.5, 3.6, 3.7, 3.8, 3.9), sustainable transportation (3.10), local environmental public health programs (3.11) and water resource management (3.12, 3.13) Energy Management and Environment 3.1 Adopt a more advanced state energy code and/or allow for local adoption of more efficient building standards The state building code, which includes enforcement of the energy code, precludes cities from adopting a more progressive building code. Minnesota is required by law to review and adopt a new commercial energy code when the U.S. Department of Energy issues a determination that the new commercial energy code is more efficient than the previous one. Minnesota currently adheres to the 2018 International Energy Code, with some amendments. The City supports legislation to adopt a more advanced state energy code, and/or allow for local adoption of more efficient building standards because:  Minnesota’s current process of adopting energy codes years after they are issued by the US Department of Energy will not meet state or Edina climate action goals.  State adoption of base energy codes every three years instead of six will allow Edina to meet climate action goals.  Allowing cities to pass a local, voluntary, advanced energy building standard would allow Edina to meet climate action goals. 3.2 Increase the State's Renewable Energy Standard The current Renewable Energy Standard, governed by the state Department of Commerce, requires that 25% of electricity generated by utilities come from renewable sources by 2025. However, Minnesota’s Climate Action Plan calls for establishing a standard to achieve 100% carbon-free electricity and 55% renewable electricity by 2040. The City supports increasing the State’s renewable energy standard because:  This standard has not been updated since 2007.  The standard does not establish requirements that adequately address the climate crisis or meet state and city climate action plan goals.  Edina needs the State to accomplish its own climate goals as an enabling condition for the City to achieve ours. 3.3 Increase Funding and Research on Reducing On-site Fossil Fuel Use The City supports research and funding to explore the reduction of on-site fossil fuel use for electricity and heat because:  It may reduce community member exposure and public health effects. 3.4 Adopt Local Environmental Protection Measures The City requests the Legislature adopt enabling legislation allowing local governments to devise and implement environmental protection measures, including measures such as plastic bag and Styrofoam food packaging bans and maintain authority for fees of said products because:  It would allow cities to adopt protection measures best suited to their communities. STAFF REPORT Page 12  It would allow Edina to meet climate action goals. Right to Repair 3.5 Allocate I 00% of State Revenue from the Solid Waste Management Tax (SCORE) to County Waste Management Activities Currently, the City is awarded a portion of the SCORE funds annually for residential recycling, residential organics recycling and participation in both at the multi-family building level. The City strives to spend 100% of the funds on allowable purposes. The City supports continued SCORE funding because:  The funds advance waste reduction, reuse, recycling and organics programs to meet city, county and state recycling goals.  SCORE funding allows the City to conduct critical outreach. 3.6 Support Efforts for the Proper Labeling of Compostable Products The City supports promoting only vetted manufactures because:  Working with only vetted manufactures reduces the likelihood of products with misleading claims to be sold or distributed in Minnesota.  It reduces City contamination in the recycling process.  It simplifies education on which certifications customers can look for. 3.7 Fund Expanded Infrastructure at the Local Level for the Creation of Compost Processing Sites and Anaerobic Digesters. The City supports additional funding for counties creating compost processing sites and anaerobic digesters because:  Landfilling all waste in the county and metropolitan area is no longer a viable option.  Compost processing sites and anaerobic digesters provide more options for waste haulers. 3.8 Support Extended Producer Responsibility Extended Producer Responsibility initiatives require manufacturers to finance all costs associated with collection, reusing, recycling, or safe disposal of their products such as carpets, mattresses, and electronics. The City supports this and similar efforts because:  The goals align with the City’s focus on reuse events and building partnerships. 3.9 Develop and fund-zero waste initiatives Zero-waste initiatives manage all discarded materials to their highest and best use according to the waste management hierarchy set forth in the Waste Management Act. The City supports the development of these initiatives because:  They will aid local governments reaching recycling and composting goals.  The City’s waste reduction goals mirror those set by the state, county and Edina’s climate action plans. STAFF REPORT Page 13 Sustainable Transportation 3.10 Support Funding and Technical Assistance to Electrify Public and School Buses Currently, less than one percent of Metro Transit’s fleet of buses run solely on electric power; 12% are hybrid-electric buses. There are very few electric public-school buses in Minnesota, and none in Edina. The City supports efforts to increase electrification of public and school buses because:  It would support transportation equity and reduce overall GHG emissions.  Carbon emissions from traditional diesel buses disproportionally impact populations that rely on this mode of transportation, including children, elders, low-income households and BIPOC communities. Local Environmental Public Health Programs 3.11 Continue Support for Local Environmental Health Regulatory Programs Currently, the State delegates authority to operate food, pool and lodging establishment regulatory programs to cities and counties. The City of Edina supports continuing local operation of these public health services and programs, because:  It allows cities to provide services to meet local needs. Water Resource Management 3.12 Support Funding Research, Training, and Legislation for Applicators of Chloride- Containing De-Icing Chemicals Salt is a pollutant and causes damage to infrastructure and the environment. Private contractors tend to over-apply salt on parking lots and sidewalks, often because they are afraid of “slip-and-fall” lawsuits. The City supports state funding for research and training for public and private applicators of chloride-containing de-icing chemicals, and legislation to address liability concerns of private deicing salt applicators because:  Waterbodies throughout the state, including within and downstream of Edina, fail to meet the water quality standards for chloride (salt) established by the state and so have been added to the federal register of impaired waters as required by the Clean Water Act.  The proposed legislation, which is modeled on similar laws passed in New Hampshire and Illinois, would provide liability exemption for contractors who attend training, get certified, and document their practices, reducing the over-application of salt. 3.13 Inflow and Infiltration (I/I) Municipal Grant Program Inflow and infiltration (I/I) are terms for the ways that clean water (ground and storm) makes its way into sanitary sewer pipes and gets treated, unnecessarily, at regional wastewater plants. The Metropolitan Council identifies cities contributing excessive 1/1 into the regional wastewater system and charges the city for the excess. The City supports state financial assistance to cities for metro area 1/1 mitigation, such as the Municipal State Bond Grant Program because:  I/I mitigation supports efficient use of the regional system for waste treatment. STAFF REPORT Page 14  I/I mitigation slows the need for capacity upgrades. 4 TRANSPORTATION 4.1 Continue Municipal State Aid (MSA) Funding The City has 40.85 miles of roads designated as MSA. This state funding is vital to maintain these high-quality connections. The City asks for continued support of municipal state aid funding because:  The state aid road system was developed to provide vital, high-quality connections necessary for the overall state highway network to work well.  The roads that are on the state aid system typically carry heavier traffic volumes, connect major points of interest and provide an integrated and coordinated road system. 4.2 Allow Cities to Create Street Improvement Districts Cities do not have the ability to create street improvement districts and use a variety of other funding sources for street improvement. The City supports enabling legislation allowing cities to create street improvement districts because:  Almost 85% of municipal streets are ineligible for municipal state aid (MSA) funds and must be paid for with property taxes, special assessments or other funding sources such as franchise fees. Cities need greater resources and flexible policies to meet growing demands for street improvements and maintenance.  Maintenance costs increase as road systems age, and no city is spending enough on roadway capital improvements to maintain a 50-year lifecycle. For every one dollar spent on maintenance, a road authority, and therefore taxpayers, save seven dollars in repairs.  State statute 435.44 already allows for similar sidewalk improvement districts.  These districts could serve as a long-term replacement plan of special assessment financing of local street improvement projects. 4.3 Increase Local Bridge Replacement Program (LBRP) Funding The Local Bridge Replacement Program provides local agencies transportation funding for the reconstruction, rehabilitation or removal of bridges or structures. The program is financed by the passage of specific legislation allocating general obligation state bond funds, but regularly does not receive enough funding. The City supports funding dedicated to the Local Bridge Replacement Program to provide safe bridges because:  In 2019, there were $36 million in waitlisted unfunded bridge projects.  The City had two projects which qualified for funding but were waitlisted: the Minnehaha Creek and Wooddale Avenue bridge.  The City has 27 local bridges. 4.4 Expansion of Public Transportation Frequency and Reach Edina, like much of the Metro area, has experienced multiple reductions on transit service frequency and reach as a result of the COVID-19 pandemic and workforce shortages. The City supports additional funding to reverse the impact of recent service reductions, support operator hiring initiatives, and develop a connecting bus study for the METRO Green Line Extension (Southwest LRT) because: STAFF REPORT Page 15  Edina’s transit ridership prior to the pandemic was about half the average rate of Hennepin County.  To reach its climate action goals, Edina aims to double public transit ridership from 3% in 2019, to 7% by 2030. Adequate public transit offerings are essential to meeting Edina’s climate action goals.  Transit service supports many community goals, including improving mobility, relieving traffic congestion, reducing GHG emissions and promoting sustainable development and growth. 4.5 Support Tools and Strategies to Reduce Vehicle Miles Traveled In Edina, the transportation and land use section accounts for around 40% of citywide greenhouse gas (GHG) emissions and are projected to become the leading GHG emissions source in Edina as the electricity sector moves to more renewable energy sources. The City supports funding to provide alternative transportation infrastructure to decrease the use of single-occupancy vehicles and their associated negative impacts on air quality, traffic congestion and quality of life because:  Total vehicle miles traveled (VMT) in Edina in 2021 was more than 500 million miles, an increase from past years.  The City’s Climate Action Plan identified a goal to reduce VMT to seven percent by 2030.  Decreasing commuters driving alone by six percent to match the county-wide average would decrease VMT by up to 10 million miles. 5 PUBLIC SAFETY 5.1 Funding of Fire Resources, Training and Statewide Response Teams The Edina Fire Department relies on state funding for training through the Minnesota Board of Firefighter Training and Education (MBFTE). The City supports broader discretion in the use of the Fire State Aid it receives because:  The department relies on the appropriation of the dedicated revenue funds from insurance surcharge proceeds to fund vital functions of the Minnesota Fire Service.  The MN Fire Service requests approximately $13 million to be appropriated from the dedicated revenue account to fund the State Fire Marshal's office, the Minnesota Board of Firefighter Training and Education (MBFTE) and the Statewide Response Teams (HAZMAT, Task Force I Structural Collapse Team and Air Rescue Team).  Edina is one of the primary departments that makes up the MN Task Force I Statewide Response Team.  This funding has been approved by the Minnesota Legislature in the past. 5.2 Continue Railroad and Hazardous Substance Safety Training and Funding Railroads are required to provide training to responders and to share planning, response and rail line activity information with responders and emergency managers. The City supports continuing these requirements, because:  These requirements increase railroad safety.  Edina has one active railway that carries two freight trains a day through the City. 5.3 Residential Fire Sprinklers There are few statutory requirements for residential fire sprinklers. The City opposes efforts to statutorily limit the use of residential fire sprinklers and supports the inclusion of professionals and industry experts in STAFF REPORT Page 16 the creating or writing of any code parameters, particularly the installation of fire suppression systems in residential building code, because:  Sprinklers protect occupants, firefighters and property from fires.  Recent Minnesota studies show the cost of installing residential fire sprinkler systems averages $1.15 per sprinklered square foot, or approximately one percent of new home construction. 5.4 Support Funding for Auto Theft and Violent Crime Investigation The City supports the creation and funding of a multijurisdictional group of law enforcement officials focusing on investigations and prevention because:  Auto theft and violent crimes committed in stolen vehicles have dramatically increased. 5.5 Support Funding and Programming for Recruitment and Retention Needs The City supports a variety of funded recruitment and retention programs for law enforcement agencies. Programs include creating a grant program for bonuses, renewing part-time officer licenses for small agencies, paid health care for licensed police officers who retire at 55 after 10 consecutive years of service with a Minnesota city, county or tribal government and scholarship programs with higher education partners. The supports these funded programs because:  Agencies of all sizes are having trouble recruiting and retaining officers.  Out of state agencies are recruiting Minnesota officers away from the state. 5.6 Continue Law Enforcement Training Funding Beginning in 2018, the required POST (Peace Officers Standards and Training) Board training was reimbursed to local agencies. The City supports continuing financial support of the POST Board training because:  The allocated training funding covers mandated training.  The training includes topics critical to law enforcement officers, such as: recognizing and valuing diversity and cultural differences, conflict management and mediation, crisis intervention and mental illness crises. 5.7 Require K12 Threat Assessments The City supports legislation which would require school districts to study and address general and specific school safety issues because:  Previous funding, including the grants passed by the Legislature in 2018, has only provided for infrastructure improvements.  Further assessment of school safety issues, beyond physical infrastructure, is needed. 5.8 Increase Funding for Public Safety Disability Requirements In 1997, the legislature passed state stature 299A.465, requiring cities to pay the costs of health insurance benefits for firefighters and law enforcement officers disabled in the line of duty, including their dependents, until the employees are 65 years old. The law required cities to first pay the costs, then the Department of Public Safety was to reimburse the full costs paid by the city annually. By 2002, state funding was deficient, and the law was amended, removing the Department of Public Safety’s obligation to reimburse cities. The STAFF REPORT Page 17 City supports the State either fully funding the post-employment health insurance costs or provide these benefits directly to firefighters and law enforcement officers, eliminating cities as a pass through because:  The number of disability retirements and the cost of providing health insurance continues to increase significantly.  In 2020, the City was reimbursed for only 20% of its costs, contradicting the original intent of the law and placing the financial burden on cities. 5.9 Focus on Mental Health and Post Traumatic Stress Disorder (PTSD) Support for Law Enforcement Officers and Firefighters In 2019, worker’s compensation legislation passed that presumes a diagnosis of PTSD is work-related for law enforcement officers and firefighters. The City supports efforts focusing on treatment and support for employees to safely and effectively return to work if possible. The City also supports programs and funding for emotional trauma training and for advancing wellness and mental health support as a component of any law enforcement reform. The City supports these positions because:  Law enforcement officers and firefighters are responsible for caring for the public in traumatic situations. As employers, it is critical to recognize, help prevent and support those at risk for PTSD.  The current duty disability under PERA and worker’s comp are not always compatible with goals of treatment, support, and return to work if possible. 5.10 Arbitration Reform In the current system of police arbitration under the Minnesota Public Employment Labor Relations Act (MPERLA), individual arbitrators are allowed to override the professional discipline and termination decisions made by city manager and police chiefs. City managers and police chiefs make these decisions to ensure professional, safe and effective policing. Ultimately, arbitrators can, in their sole judgement, require a city to return an officer to the streets, when the city has determined the officers is not meeting the standards required of the department and community, without an appeals process for the city. The City supports using administrative law judges and instituting a standard of reasonableness focused on if the facts presented show that the employer’s actions were reasonable and consistent with city and department policies. The City supports these positions because:  The current system undermines the ability of elected and appointed officials, including police chiefs, to make lasting discipline or termination decisions.  These decisions help ensure a public safety department meets the needs of the community, which it cannot do under the current system of police arbitration. Recommended Action: Staff recommends adopting the legislative positions and priorities. STAFF REPORT Page 18 City of Edina Staff Contact Information Priorities 1 Sales Tax Exemption for the Community Health and Safety Center (Fire Station 2) Scott Neal, City Manager SNeal@EdinaMN.gov 952-826-0401 Lisa Schaefer, Assistant City Manager LSchaefer@EdinaMN.gov 952-826-0416 2 Sales Tax Exemption for Braemar Ice Arena 3 Sales Tax Exemption for Fred Richards Park 4 LOST Expanded Tax Capacity 5 Bonding for Community Health and Safety Center (Fire Station 2) 6 Bonding for the South Metro Public Safety Training Facility 7 Bonding for the Pedestrian Bridge over Highway 62 STAFF REPORT Page 19 Positions 1 GENERAL GOVERNMENT 1.1 Re-align Motor Vehicle Lease Sales Tax Allocation Scott Neal, City Manager SNeal@EdinaMN.gov 952-826-0401 Lisa Schaefer, Assistant City Manager LSchaefer@EdinaMN.gov 952-826-0416 1.2 Preserve Legal Structure for Utility Franchise Fees 1.3 Public Notices in Newspapers 1.4 Data Practices 1.5 Increase Purchasing Agency 1.6 Repeal Statutory Salary Limitation on City Employees 1.7 Implement Rank Choice Voting System 1.8 Change Group Home Regulation Cary Teague, Community Development Director CTeague@EdinaMN.gov 952-826-0460 1.9 Authorize Statutory Cities to Collect Park Dedication Fees for Multifamily Redevelopment Projects 1.10 Reinforce the Open Wholesaling Systems through Legislation Josh Furbish, Liquor Operations General Manager JFurbish@EdinaMN.gov 952-903-5732 1.11 Oppose Changes to Tap Rooms Retail Operations 1.12 Protect Customer Data 1.13 Clarity on THC Infused Products 1.14 Maintain Constraints on Off Sale Liquor 1.15 Adult Use Cannabis 1.16 Hearing Aid Affordability Scott Neal, City Manager SNeal@EdinaMN.gov 952-826-0401 Lisa Schaefer, Assistant City Manager LSchaefer@EdinaMN.gov 952-826-0416 STAFF REPORT Page 20 2 AFFORDABLE HOUSING 2.1 Apply the 4d Property Tax Classification to Community Land Trust Properties Stephanie Hawkinson, Affordable Housing Development Manager SHawkinson@EdinaMN.gov 952-833-9578 2.2 Protection of and Taxation for Housing Purchased by Corporations for Renting 2.3 Use Pooled Tax Increment Financing for Affordable Housing 2.4 Additional Affordable Housing Financing Bonding Authority 2.5 Establish Revenue Resource for Affordable Housing 2.6 Protect Tenants in Affordable Housing Property Ownership Changes 2.7 Reform Eviction Expungement 3 ENVIRONMENT AND SUSTAINABILITY 3.1 Adopt a More Advanced State Energy Code and Allow for Local Adoption of More Efficient Building Standards Grace Hancock, Sustainability Coordinator GHancock@EdinaMN.gov 952-826-1621 3.2 Increase the State's Renewable Energy Standard 3.3 Increase Funding and Research on Reducing On-Site Fossil Fuel Use 3.4 Adopt Local Environmental Protection Measures 3.5 Allocate I 00% of State Revenue from the Solid Waste Management Tax (SCORE) to County Waste Management Activities Twila Singh, Organics Recycling Coordinator TSingh@EdinaMN.gov 952-826-1657 3.6 Support Efforts for the Proper Labeling of Compostable Products 3.7 Fund Expanded Infrastructure at the Local Level for the Creation of Compost Processing Sites and Anaerobic Digesters. 3.8 Support Extended Producer Responsibility 3.9 Develop and Fund-Zero Waste Initiatives 3.10 Support Funding and Technical Assistance to Electrify Public and School Buses Andrew Scipioni, Transportation Planner AScipioni@EdinaMN.gov 952-826-0440 STAFF REPORT Page 21 3.11 Continue Support for Local Environmental Health Regulatory Programs Jeff Brown, Community Health administrator JBrown@EdinaMN.gov 952-826-0466 3.12 Support Funding Research, Training, and Legislation for Applicators of Chloride-Containing De-Icing Chemicals Jessica Wilson, Water Resources Coordinator JWilson@EdinaMN.gov 952-826-0445 3.13 Inflow and Infiltration (I/I) Municipal Grant Program Ross Bintner, Engineering Services Manager RBintner@EdinaMN.gov 952-903-5713 4 TRANSPORTATION 4.1 Continue Municipal State Aid (MSA) Funding Chad Millner, Director of Engineering CMillner@EdinaMN.gov 952-826-0318 Andrew Scipioni, Transportation Planner AScipioni@EdinaMN.gov 952-826-0440 4.2 Allow Cities to Create Street Improvement Districts 4.3 Increase Local Bridge Replacement Program (LBRP) Funding 4.4 Expansion of Public Transportation Frequency and Reach 4.5 Support Goals and Strategies to Reduce Vehicle Miles Traveled 5 PUBLIC SAFETY 5.1 Funding of Fire Resources, Training and Statewide Response Teams Andrew Slama, Fire Chief ASlama@EdinaMN.gov 952-826-0332 5.2 Continue Railroad & Hazardous Substance Safety Training and Funding 5.3 Residential Fire Sprinklers 5.4 Support Funding for Auto Theft and Violent Crime Investigation Todd Milburn, Police Chief TMilburn@EdinaMN.gov 952-826-0487 5.5 Support Funding and Programming for Recruitment and Retention Needs 5.6 Continue Law Enforcement Training Funding 5.7 Require K12 Threat Assessments Lisa Schaefer, Assistant City STAFF REPORT Page 22 5.8 Increase Funding for Public Safety Disability Requirements Manager LSchaefer@EdinaMN.gov 952-826-0416 5.9 Focus on Mental Health and Post Traumatic Stress Disorder (PTSD) Support for Law Enforcement Officers and Firefighters 5.10 Arbitration Reform Draft 2023 Summary of Legislative Priorities and Positions January 3, 2023 Priorities: 1 Sales Tax Exemption for the Community Health and Safety Center (Fire Station 2) The City of Edina is constructing a new Community Health and Safety Center, replacing the existing Edina Fire Station 2 and housing the Public Health division and will seek a sales tax exemption for the construction of the Center. 2 Sales Tax Exemption for Projects in Braemar Park Master Plan The City will make improvements with new local sales and use tax revenue in the Braemar Park Master Plan and will seek a sales tax exemption for the construction. 3 Sales Tax Exemption for Projects in Fred Richards Park Master Plan The City of Edina will make improvements and expansions with its new local sales and use tax revenue at Fred Richards Park, as outlined in the Fred Richards Park Master Plan, and will seek a sales tax exemption for the construction. 4 LOST Expanded Spending Capacity The City is seeking additional spending capacity of the local sales and use tax for $31.7 million to fund an additional sheet of indoor ice at Braemar Arena. The request does not require an increase to the rate or duration of the approved sales and use tax. 5 Bonding for Community Health and Safety Center (Fire Station 2) The City requested $10 million in state funds to complete a new Community Health and Safety Center replacing the existing Edina Fire Station 2 and housing the Public Health division. State bonding for the Center is appropriate because the Center will provide regional benefits, through emergency management or community health events. The City purchased the site for the proposed center and incurred pre-construction costs. Representative Edelson first introduced this bonding request in H.F. 2703 in 2022. 6 Bonding for the South Metro Public Safety Training Facility The Facility is a Joint Powers Agreement owned jointly by a consortium of the cities of Edina, Eden Prairie and Bloomington and the Metropolitan Airports Commission, and it is managed by the City of Edina. The Facility provides training space for their public safety personnel, other agencies public safety personnel and the public. The SMPSTF consortium received a bonding bill appropriation in 2020 of $1 million for a new tactical training structure. After design and public competitive bidding, the lowest responsible bidder was 60% higher than the project budget, so all bids were rejected. The board is requesting an additional $1 million to complete the project, due to the regional benefit of the Facility. Representatives Edelson, Kotyza-Wittuhn, Elkins, Carlson, and Howard first introduced this bonding request in H.F. 3080. 7 Bonding for the Pedestrian Bridge over Highway 62 The City will request $2 million for the replacement of the pedestrian bridge over Highway 62. The City is requesting funds because the replacement project will likely include Edina assuming long-term ownership and maintenance of the bridge, and the $2 million requested will finance Edina’s portion of the cost of the new bridge. Positions: 1 GENERAL GOVERNMENT 1.1 Realign Motor Vehicle Lease Sales Tax Allocation Hennepin and Ramsey Counites contributions to the County State Aid Highway Fund for roads and bridges are allocated to the other five metro counties, while all seven metro counties now collect their own local transportation sales tax. The City of Edina advocates for distributing the sales tax on lease vehicles, per the county state aid formula, to all metro counties, because it puts Hennepin and Ramsey Counties at a disadvantage in funding needed roads and bridge projects. 1.2 Preserve Legal Structure for Utility Franchise Fees The current legal structure for utility franchise fees allows costs to be shared by all users rather than only property owners. The City advocates for preserving this structure because the funds are used for the Pedestrian and Cyclist Safety (PACS) and Conservation and Sustainability (CAS) funds. 1.3 Public Notices in Newspapers The City supports legislation eliminating outdated and unnecessary city publications and giving cities the authority to select a publication, publication method, and use summaries, as the requirements are no longer relevant and are costly. 1.4 Data Practices The City supports mechanisms to define and regulate reasonable data requests, and charges that better reflect the actual costs of responding to data requests due to increases in data requests and increased staff time required for repetitive, broad and far-reaching requests. 1.5 Increase Purchasing Agency The city manager purchasing limit in statutory Plan B cities is $20,000; any purchase in excess of that requires approval by the city council. The City supports a raise in the legal maximum to at least $100,000, with the ability for individual city councils to set lower thresholds at their discretion because the current limit has not been raised since 2004, many city purchases exceed $20,000 and neighboring cities have higher limits. 1.6 Repeal Statutory Salary Limitation on City Employees Minnesota law limits the salaries of city employees to I10% of the governor's salary, with an annual inflationary adjustment. The Legislature should end the salary cap all together because numerous other government organizations are exempt, no other states have a similar cap, leading to recruiting disadvantages and salary compression. The City supports local elected leaders determining the needs of their community and recognizes that salary information is already made transparent through the required publishing of top salaries. 1.7 Implement Rank Choice Voting System The City supports legislation that would give statutory cities the same authority as charter cities to adopt rank-choice voting and statewide standards for rank choice voting to ensure consistency, fairness and confidence in the outcomes of all elections. 1.8 Change Group Home Regulation The City supports regulation that requires distance separation for licensed residential care facilities because without this regulation, neighborhoods experience an increase in traffic, parking needs, and deliveries; individuals no longer reap the benefit of enjoying a normal residential setting with a diversity of households; grouping residential facilities is more similar to a large institutional campus and commercial area, rather than a residential one. 1.9 Authorize Statutory Cities to Collect Park Dedication Fees for Multifamily Redevelopment Projects The City supports legislation authorizing cities to collect park dedication fees from multifamily development projects due to the significant demands generated to parks and outdoor amenities and the more even distribution of costs of parks through fees. 1.10 Reinforce the Open Wholesaling Systems through Legislation The City supports reinforcement of the open wholesaling system because without open wholesaling, wholesale prices will increase, service levels on certain brands will decrease, purchase and delivery schedules will reduce, and sale margins will be compressed. 1.11 Oppose Changes to Tap Room Retail Operations In October 2021, tap rooms began offering direct-to-customer bulk sales via carryout, with controls on quantity and packaging. More time is needed to understand their effect on the market, customer, and other retailers. 1.12 Protect Customer Data The City supports protections for customer data that may currently be subject to data practices requests because it requests erodes trust with the customer, puts municipal liquor stores at a competitive disadvantage, and led to the discontinuation of Edina’s municipal liquor customer rewards program. 1.13 Clarity on THC-Infused Products As of July 2022, products containing THC are permitted for sale. The City seeks clarification on if retail liquor stores can sell THC-infused beverages because there are currently no guidelines on labels, no employer licensing system ensuring compliance with the law, state guidance from the Department of Public Safety does not allow it, and profits generated would be considered unlawful activity. 1.14 Maintain Constraints on Off Sale Liquor Minnesota allows off sale liquor for grocery stores which apply for the appropriate license, which some have done. Other grocery and convenience stores sell the 3.2% alcohol allowed in stores without an off sale liquor license. The City supports maintaining the constraints on off sale liquor because grocery stores can apply for the appropriate license and the current licensing system allows smaller private and municipal liquor stores to compete. 1.15 Adult Use Cannabis The Governor and State Legislative leaders have made numerous public statements that they will pursue the liberalization of state’s laws around adult use of cannabis during the 2023 legislative session, including filing House File 600. HF 600 prioritizes the State as the licensing, regulatory and taxing authority. If the Legislature passes a bill such as HF 600, The City supports provisions for licensing and regulation by state and local governments, shared taxation revenue between state and local governments and the option to establish municipal dispensaries, like municipal liquor stores. 1.16 Hearing Aid Affordability Hearing aid health care coverage and costs make these critical devices unattainable for those who are on a fixed income and youth who age out of hearing aid support programs. The City of Edina supports programs or policy changes which reduce the cost of hearing aids and increase access to them, due to the critical role they play and the cost which prohibits people from accessing these devices. 2 AFFORDABLE HOUSING 2.1 Apply the 4d Property Tax Classification to Community Land Trust Properties The City supports changing the tax classification for Community Land Trust properties from 1a – Residential Homestead to 4d – Low-income Rental, because homeowners do not own the land, the trust is should create affordable home ownership opportunities, which is difficult when the higher 1a tax rate makes the home less affordable. 2.2 Protection of and Taxation for Housing Purchased by Corporations for Renting The City supports legislation authorizing a tax on the sale of these properties to corporations (SF 3147) and protections prohibiting the conversion of single family residences in to rental properties by developers and corporations (SF 4313). The City and surrounding communities have seen an increase in the number of residences converted from single family homes owned by the residents to rental properties, and such conversion negatively impacts ownership opportunities for residents. 2.3 Use Pooled Tax Increment Financing (TIF) for Affordable Housing The City supports legislation allowing the City to deposit pooled TIF for affordable housing in Edina's Affordable Housing Trust Fund to increase flexibility in the use of the pooled TIF for affordable housing, alleviate the burden of annual reporting, and because similar special legislation has been approved for Minnetonka, Richfield and St. Louis Park. 2.4 Additional Affordable Housing Financing Bonding Authority The City supports an effective bonding bill that provides Housing Infrastructure (HIB) and General Obligation (GO) Bonds to fund affordable housing to serve low-income households to meet rising need. 2.5 Establish Revenue Resource for Affordable Housing The City supports establishing a financing source to fund local and regional programs facilitating the creation and preservation of affordable housing to meet need that has grown to crisis proportions. 2.6 Protect Tenants in Affordable Housing Property Ownership Changes Local adoption of an ordinance to control rents on private residential properties is prohibited unless the ordinance is approved in a general election. The City supports first, a statewide tenant protection plan, and second, allowing for a 90- day tenant protection period following the transfer of naturally occurring affordable housing (NOAH) property ownership due to increased investment purchases of NOAH multi-family residential properties, leading to rehabilitating properties and increasing rents, and non-renewing leases of existing tenants with minimal notice and/or substantially increased the rent with minimal notice. 2.7 Reform Eviction Expungement Records of unlawful detainer filings, or eviction lawsuits, remain on a tenant’s public record regardless of whether the matter was settled or dismissed prior to the court hearing or if the tenant prevails at the hearing. These records are not a reasonable predictor of future tenant behavior, yet they impede renters from securing housing in the future. Therefore, the City supports legislation that would expand the eligibility for discretionary and mandatory expungements for eviction case court files. 3 ENVIRONMENT AND SUSTAINABILITY 3.1 Adopt a more advanced state energy code and/or allow for local adoption of more efficient building standards The state building code, which includes enforcement of the energy code, precludes cities from adopting a more progressive building code. Minnesota adheres to the 2018 International Energy Code, with some amendments. The City needs a more advanced state energy code, or local adoption of more efficient building standards because to meet climate action goals. 3.2 Increase the State's Renewable Energy Standard The Renewable Energy Standard from the state Department of Commerce, requires that 25% of electricity from utilities come from renewable sources by 2025, but this goal contradicts the Minnesota’s Climate Action Plan’s call for establishing a standard to achieve 100% carbon-free electricity and 55% renewable electricity by 2040. The City supports increasing the State’s renewable energy standard because it has not been updated since 2007, and without an increase, the state and city cannot accomplish their goals. 3.3 Increase Funding and Research on Reducing On-site Fossil Fuel Use The City supports research and funding to explore the reduction of on-site fossil fuel use for electricity and heat because of public health effects. 3.4 Adopt Local Environmental Protection Measures The City requests the Legislature adopt enabling legislation allowing local governments to devise and implement environmental protection measures so that cities can adopt the protections best suited to their communities. 3.5 Allocate I 00% of State Revenue from the Solid Waste Management Tax (SCORE) to County Waste Management Activities The City supports continued SCORE funding because the funds advance waste reduction, reuse, recycling and organics programs to meet city, county and state recycling goals. 3.6 Support Efforts for the Proper Labeling of Compostable Products The City supports promoting only vetted manufactures because it reduces the sale of products with misleading claims, reduces recycling contamination and simplifies education. 3.7 Fund Expanded Infrastructure at the Local Level for the Creation of Compost Processing Sites and Anaerobic Digesters. The City supports additional funding for the programs because landfilling all waste in the county and metropolitan area is no longer a viable option. 3.8 Support Extended Producer Responsibility Extended Producer Responsibility initiatives require manufacturers to finance all costs associated with collection, reusing, recycling, or safe disposal of their products such as carpets, mattresses, and electronics, which aligns with the City’s focus on reuse events and building partnerships. 3.9 Develop and fund-zero waste initiatives Zero-waste initiatives manage all discarded materials to their highest and best use. The City these initiatives because they will aid state, county and city governments reaching recycling and composting goals. 3.10 Support Funding and Technical Assistance to Electrify Public and School Buses There are very few electric public-school buses in Minnesota, and none in Edina. The City supports efforts to increase electrification of public and school buses because it would reduce overall GHG emissions and the impact of carbon emissions on populations that rely on this mode of transportation. 3.11 Continue Support for Local Environmental Health Regulatory Programs Currently, the State delegates authority to operate food, pool and lodging establishment regulatory programs to cities and counties. The City of Edina supports continuing local operation of these public health services and programs, allowing cities to provide services to meet local needs. 3.12 Support Funding Research, Training, and Legislation for Applicators of Chloride- Containing De- Icing Chemicals Salt is a pollutant and causes damage to infrastructure and the environment. Private contractors tend to over-apply salt on parking lots and sidewalks, often because they are afraid of “slip-and-fall” lawsuits. Research, training and certification is needed to decrease salt application, liability concerns, and improve water quality. 3.13 Inflow and Infiltration (I/I) Municipal Grant Program Inflow and infiltration (I/I) are terms for the ways that clean water (ground and storm) makes its way into sanitary sewer pipes and gets treated, unnecessarily, at regional wastewater plants. I/I mitigation through the Municipal State Bond Grant Program supports efficient use of the regional system for waste treatment and slows the the need for capacity upgrades. 4 TRANSPORTATION 4.1 Continue Municipal State Aid (MSA) Funding The City has 40.85 miles of roads designated as MSA. The City asks for continued support of this vital funding because high-quality connections are necessary for the overall state highway network to work well, and the roads on the state aid system typically carry heavier traffic volumes, connect major points of interest and provide an integrated and coordinated road system. 4.2 Allow Cities to Create Street Improvement Districts The City supports enabling legislation allowing cities to create street improvement districts because 85% of municipal streets are ineligible for municipal state aid (MSA) funds and must be paid for with property taxes, special assessments or other funding sources, yet cities face growing demands for street improvements and maintenance. Similar sidewalk improvement districts are allowed under state statute, and a system for street improvement could eliminate the need for special assessment financing. 4.3 Increase Local Bridge Replacement Program (LBRP) Funding The Local Bridge Replacement Program provides local agencies transportation funding for the reconstruction, rehabilitation or removal of bridges or structures, but the program does not receive enough funding, with $36 million in waitlisted projects in 2019, including two Edina projects. The City supports funding dedicated to the Local Bridge Replacement Program to meet local need. 4.4 Expansion of Public Transportation Frequency and Reach The City supports additional funding to reverse the impact of recent service reductions, supports operator hiring initiatives, and developing a connecting bus study for the METRO Green Line Extension (Southwest LRT) to increase ridership to meet climate action goals and community goals. 4.5 Support Goals and Strategies to Reduce Vehicle Miles Traveled Transportation and land use account for 40% of Edina’s citywide greenhouse gas emissions and are likely to become the leading GHG emissions source. The City supports funding to provide alternative transportation infrastructure to decrease the use of single-occupancy vehicles to reduce their negative impacts on air quality, traffic congestion and quality of life and meet climate action goals. 5 PUBLIC SAFETY 5.1 Funding of Fire Resources, Training and Statewide Response Teams The Edina Fire Department relies on state funding for training through the Minnesota Board of Firefighter Training and Education (MBFTE). The City supports broader discretion in the use of the Fire State Aid it receives in order to fund vital functions of the Minnesota Fire Service, including Task Force I Statewide Response Team, which Edina is a primary member of. 5.2 Continue Railroad and Hazardous Substance Safety Training and Funding The City supports continuing current training and planning requirements to increase railroad safety. 5.3 Residential Fire Sprinklers The City opposes efforts to statutorily limit the use of residential fire sprinklers and supports the inclusion of professionals and industry experts in the creating or writing of any code parameters, particularly the installation of fire suppression systems in residential building code because of the protection that sprinklers provide at low costs. 5.4 Support Funding for Auto Theft and Violent Crime Investigation The City supports the creation and funding of a multijurisdictional group of law enforcement officials focusing on investigations and prevention due to the increase of auto theft and violent crimes committed in stolen vehicles. 5.5 Support Funding and Programming for Recruitment and Retention Needs The City supports a variety of funded recruitment and retention programs for law enforcement agencies, including bonuses, part-time officer licenses, paid health care in retirement, and scholarship programs. These programs will help address the difficult hiring and retention landscape that agencies of all sizes are facing. 5.6 Continue Law Enforcement Training Funding Beginning in 2018, the required POST (Peace Officers Standards and Training) Board training was reimbursed to local agencies. The City supports continuing financial support of the POST Board training because the training is mandatory and critical. 5.7 Require K12 Threat Assessments The City supports legislation which would require school districts to study and address general and specific school safety issues to address concerns beyond physical infrastructure, which has been addressed in other grant programs. 5.8 Increase Funding for Public Safety Disability Requirements The legislature requires cities to pay the costs of health insurance benefits for firefighters and law enforcement officers disabled in the line of duty, including their dependents, until the employees are 65 years old. The law required cities to first pay the costs, then the Department of Public Safety was to reimburse the full costs paid by the city annually. State funding has been deficient since 2002, and the cities are no longer reimbursed. Edina was reimbursed for 20% of the overall costs in 2019. The City supports the State either fully funding the post-employment health insurance costs or provide these benefits directly to firefighters and law enforcement officers, eliminating cities as a pass through due to the number of disability retirements and cost of healthcare increasing significantly, placing the financial burden on cities. 5.9 Focus on Mental Health and Post Traumatic Stress Disorder (PTSD) Support for Law Enforcement Officers and Firefighters In 2019, worker’s compensation legislation passed that presumes a diagnosis of PTSD is work-related for law enforcement officers and firefighters. The City supports efforts focusing on treatment and support for employees to safely and effectively return to work if possible. The City also supports programs and funding for emotional trauma training and for advancing wellness and mental health support as a component of any law enforcement reform. These positions are critical given the role law enforcement officers and firefighters have caring for the public, and current disability duty under PERA and worker’s comp are not always compatible with treatment, support, and return to work. 5.10 Arbitration Reform Currently, individual arbitrators are allowed to override the professional discipline and termination decisions made by city manager and police chiefs. Arbitrators can, in their sole judgement, require a city to return an officer to the streets, when the city has determined the officers is not meeting the standards required of the department and community, without an appeals process for the city. The City supports using administrative law judges and instituting a standard of reasonableness focused on if the facts presented show that the employer’s actions were reasonable and consistent with city and department policies, to restore the ability of local elected and appointed officials to make lasting discipline or termination decisions and help ensure a public safety department meets the needs of the community. MLC 2023 LEGISLATIVE PLATFORM Housing and Home Ownership Housing is a top priority for MLC cities, particularly in supporting affordable home ownership for low to moderate income residents. Increasing access to home ownership for Black, Indigenous, and People of Color (BIPOC) is a high priority for our Commission. A variety of housing options within each of our cities is very important, however MLC is focusing its efforts on access to moderately priced starter homes, which will enhance the ability of Minnesotans to achieve inter-generational wealth growth via homeownership. Specifically, supporting initiatives and funding to secure and maintain existing housing stock (NOAH), as well as finding ways to incentivize builders to bring affordable housing options to our cities. Opportunities for affordable home ownership continue to be a challenge in our communities for a number of reasons, especially as the real estate market has transformed the housing industry and builders are now focusing on single-family and townhomes with more square footage and higher end and/or luxury materials than previously, negatively impacting housing affordability. In addition to market driven changes, Minnesota faces a variety of challenges including underproduction of new construction for at least a decade, the high cost and scarcity of land, increasing costs in building materials, and labor, the exceptionally active real estate market, and institutional investors purchasing existing homes with significant conversion to rental, as well as other market forces. In order to address these challenges, a variety of housing solutions are necessary to provide more affordable home ownership opportunities including significant State investments. Specific policies and programs supported by MLC include: I. Support for affordable home ownership a. Investments to preserve existing affordable homes: i. Increase funding for naturally occurring affordable housing (NOAH) preservation grants. ii. Increase investment in Housing Infrastructure Bonds (HIB). iii. Expand NOAH Preservation programs to include townhome and condominium ownership. Affordability is defined as buyers making 115% AMI and spending no more than 30% of their income on housing. b. Incentivize production of affordable homes by: i. Support for a state tax exemption/credit to generate production of low to moderately priced homeownership opportunities. ii. Provide state funding for community land trusts. II. Down payment assistance a. Support state funding for downpayment assistance programs to assist first generation homebuyers. b. Support financing opportunities for BIPOC first-time homebuyers. III. Collaboratively address statewide housing cost drivers a. Streamline state building codes and determine if existing codes create competitive advantages for neighboring states. b. Eliminate duplication and redundancy between the agencies involved in the storm water/environmental permitting process. c. Streamline the process and provide local governments more flexibility in MUSA line adjustments. IV. Preserve local autonomy and community characteristics a. Support city authority to protect existing taxpayers and recover costs associated with development activity including street infrastructure. b. Preserve local government authority for land use decisions such as zoning and regulatory controls. c. Recognize benefits of having a diverse collection of communities that provide choices across the housing spectrum. Public Safety Public safety has been a growing area of concern for MLC cities, particularly with motor vehicle theft, auto part theft (e.g., catalytic converters), and carjackings. Many aspects of the criminal justice system need to be reviewed for potential reforms including how cases are prosecuted, impact of bail guidelines, the use of sign and release warrants for violent crimes, as well as focusing on how to best address juvenile offenders. Coordination and collaboration between cities, counties, and the criminal justice system will be imperative in addressing these challenging issues. Specific policies and programs supported by MLC include: I. Support for public safety duty disability reform a. In recent years, the number of public safety employees seeking duty disability determinations through PERA, and workers compensation claims for line of duty injuries has significantly increased. The fiscal impact of these rising claims is unsustainable for cities and ultimately, taxpayers. As a result, MLC supports the following reform measures: i. Full state funding for the Public Safety Officer Benefit account, which reimburses employers who provide continued health insurance to police officers and firefighters injured in the line of duty and the dependents of those killed. ii. Funding to reimburse local governments for providing paid time off to public safety employees experiencing work related trauma and/or who are seeking treatment for a mental injury. iii. Funding for initiatives and programs which provide peer support, emotional trauma training, early intervention, and mental health treatment. II. Support state funding to address juvenile offenders including detention, treatment, mental health support, and educational programs Tax Policy and Local Issues MLC supports local control, including in the areas of taxes and fiscal policy. MLC supports policies that promote greater stability and predictability in the fiscal relationship between the state and local units of government. Specific policies and programs supported by MLC include: a. Support for direct property tax relief through the Property Tax Refund and Rental Credit programs, as well as adjusting Homestead Market Value Exclusion levels to reflect recent increases in assessed values b. Simplify the process for a sales tax exemption on construction materials for cities, counties, school districts and other local governments. c. Preserve the integrity of the Fiscal Disparities Program by not removing revenue from the pool to pay for one-off legislative priorities. d. Support for the repeal of the Local Government Salary Cap. Infrastructure and Transportation Investments According to 2020 census data, MLC cities combined are among the biggest job producing areas in the state with over half a million employees (530,660) compared to Minneapolis/St. Paul with a combined total of 455,689. Along with those jobs comes added congestion and demand on transit and roads in MLC Cities. MLC supports increased, regionally balanced, investment in transportation and infrastructure to maintain and grow a robust transportation network. Specific policies and programs supported by MLC include: a. Increase investments in Corridors of Commerce. b. Increase investments in Transportation Economic Development. c. Passage of a robust, regionally balanced bonding bill that includes significant investment in suburban communities. d. Fully fund the required state matching dollars to leverage federal grant opportunities for programs including IIJA, Inflation Reduction Act, and CHIPS Act. e. Flexibility for cities to impose infrastructure fees so the costs of new development aren’t shifted onto existing taxpayers. Workforce Support and Economic Expansion As the Governor’s Council on Economic Expansion recently noted, housing and workforce issues are closely related. MLC supports the Council’s recommendations on housing and on increased investments in economic development. Specific policies and programs supported by MLC include: a. Increased investment in the Minnesota Investment Fund (MIF). b. Increased investment in the Job Creation Fund (JCF). Cannabinoid and Recreational Marijuana Regulatory and Licensing Framework With recent legislative changes, MLC cities have faced the allowance of certain edible and beverage products infused with tetrahydrocannabinol (THC) to be sold. A strong regulatory framework with clear licensing, inspection, enforcement, and reporting requirements is needed to address the sale of edible marijuana products containing cannabinoid THC. Should the Legislature decide to approve recreational marijuana, these same needs are expected. The Legislature should address public safety, employment, public health, and taxation issues with cannabinoid and marijuana legalization. Maintaining the authority for local licenses and zoning regulations is important to the MLC and should be part of any state regulatory framework. A special thanks to our Legislative Program and Housing Subcommittee members: Aarica Coleman: HRA Administrator, Bloomington Jason Wedel: City Manager, Prior Lake Anne Burt: Mayor, Woodbury Jim Hovland: Mayor, Edina (MLC Chair) Bill Droste: Mayor, Rosemount Justin Miller: City Administrator, Lakeville Dave Callister: City Manager, Plymouth Kirt Briggs: Mayor, Prior Lake Doug Anderson: Mayor, Lakeville Mike Funk: City Manager, Minnetonka Brad Wiersum: Mayor, Minnetonka Mike Maguire: Mayor, Eagan Dianne Miller: City Administrator, Eagan Justin Miller: City Administrator, Lakeville Heidi Nelson: City Administrator, Maple Grove Rick Getschow: City Manager, Eden Prairie Jamie Verbrugge: City Manager, Bloomington Tom Lawell: City Administrator, Apple Valley For questions about the MLC’s Legislative Program, please contact: • Tom Poul tpoul@messerlikramer.com • Katy Sen ksen@messerlikramer.com • Elise Busse ebusse@messerlikramer.com • Or call Messerli | Kramer, P.A. at 651-228-9757. LEAGUE OF MINNESOTA CITIES For Legislative and Administrative Action Adopted November 10, 2022 2023 City Policies This document is available in the Legislative Action Center on the League’s website at www.lmc.org/policies The only comprehensive statewide advocacy agenda for all Minnesota cities Copyright © 2022 League of Minnesota Cities. All rights reserved. League of Minnesota Cities 145 University Avenue West • St. Paul, MN 55103-2044 (651) 281-1200 • (800) 925-1122 • Fax: (651) 281-1299 TDD: (651) 281-1290 • www.lmc.org 3 Table of Contents COVER ...............................................................................................................................1 IGR STAFF PAGE ............................................................................................................8 COMMITTEE MEMBERSHIP .......................................................................................9 LMC POLICY DEVELOPMENT PROCESS ..............................................................13 PURPOSE, PROCESS AND PRINCIPLES OF CITY POLICIES ............................14 IMPROVING SERVICE DELIVERY ..........................................................................15 SD- 1. Local Control ....................................................................................................................15 SD- 2. Unfunded Mandates .........................................................................................................15 SD- 3. Local Approval of Special Laws ......................................................................................15 SD- 4. Redesigning and Reinventing Government ...................................................................16 SD- 5. State Government Shutdowns .........................................................................................17 SD- 6. Duration of Conservation Easements .............................................................................18 SD- 7. Racial Equity in Minnesota .............................................................................................18 SD- 8. Immigration Reform ........................................................................................................20 SD- 9. Responsibility for Locating Private Underground Facilities........................................20 SD- 10. Utility Relocation Under Design-Build Road Construction .......................................21 SD- 11. National Fire Protection Association (NFPA) Standards ...........................................22 SD- 12. Fire Mutual Aid ..............................................................................................................22 SD- 13. Clarification of Joint Powers Relationships with Federally Recognized Indian Tribes .............................................................................................................................23 SD- 14. Ambulance Service Costs and Liability ........................................................................23 SD- 15. Emergency Medical Services .........................................................................................24 SD- 16. Fees for Service ...............................................................................................................25 SD-17. Fundraising Authority ....................................................................................................25 SD- 18. Improving and Increasing Citizen Access to Information ..........................................26 SD- 19. Administrative Fines for Code Violations ....................................................................27 SD- 20. Contracting and Purchasing ..........................................................................................28 SD- 21. City Enterprise Operations ...........................................................................................28 SD- 22. Preservation of Order in City Council Meetings .........................................................28 SD- 23. Constitutional Amendments ..........................................................................................29 SD- 24. Initiative and Referendum .............................................................................................29 SD- 25. Civil Liability of Local Governments ...........................................................................30 SD- 26. Private Property Rights and Takings ...........................................................................30 SD- 27. Organized Solid Waste Collection ................................................................................31 SD- 28. Private Well Drilling ......................................................................................................32 SD- 29. Sustainable Development ...............................................................................................33 SD- 30. Advanced Energy Building Standards .........................................................................34 SD- 31. Construction Codes ........................................................................................................35 SD- 32. Building Officials ............................................................................................................36 4 SD- 33. Disability Access Requirements ....................................................................................37 SD- 34. Assaults on Code Enforcement Officials ......................................................................38 SD- 35. Restrictions on Possession of Firearms.........................................................................39 SD- 36. Public Safety Communications .....................................................................................39 SD- 37. Collateral Consequences and Expungements ..............................................................40 SD- 38. Criminal and Juvenile Justice Information .................................................................41 SD- 39. Pawn Shop Regulation and Use of the Automated Property System (APS) .............42 SD- 40. City Costs for Enforcing State and Local Laws ..........................................................43 SD- 41. Compensation and Reimbursement for Public Safety Services .................................44 SD- 42. Administrative Traffic Citations ...................................................................................44 SD- 43. Juveniles in Municipal Jails ...........................................................................................45 SD- 44. Justice System Funding ..................................................................................................45 SD- 45. 21st Century Policing ......................................................................................................46 SD- 46. Post-Incarceration Living Facilities ..............................................................................47 SD- 47. Homeland Security Costs and Liability ........................................................................48 SD- 48. Cybersecurity ..................................................................................................................48 SD- 49. Legalization of Fireworks ..............................................................................................49 SD- 50. Traffic Enforcement Cameras.......................................................................................50 SD- 51. Operation of Motorized Foot Scooters .........................................................................50 SD- 52. Catalytic Converter Theft ..............................................................................................51 SD- 53. Drug Courts ....................................................................................................................51 SD- 54. Drug Paraphernalia........................................................................................................52 SD- 55. Regulation of Massage Therapists ................................................................................52 SD- 56. Regulation of Cannabinoid Products............................................................................53 SD- 57. Lawful Gambling and Local Control ...........................................................................55 SD- 58. Liquor Liability Insurance Limits ................................................................................56 SD- 59. On-Sale Liquor or Wine Licenses .................................................................................56 SD- 60. Liquor Licensing of Non-Contiguous Spaces ...............................................................56 SD- 61. Wine and Off-Sale Licenses ...........................................................................................57 SD- 62. Youth Access to Alcohol and Tobacco ..........................................................................57 SD- 63. Consumer Small Loans ..................................................................................................58 SD- 64. Regulation of Mobile Businesses ...................................................................................58 SD- 65. Regulation of Party Buses and Boats-for-Hire ............................................................59 SD- 66. Environmental Protection..............................................................................................60 SD- 67. Impaired Waters .............................................................................................................62 SD- 68. Municipal Public Water Supplies .................................................................................63 SD- 69. Municipal Electric Utilities ............................................................................................64 SD- 70. State Support for Municipal Energy Policy Goals ......................................................65 SD- 71. Urban Forest Management Funding ............................................................................66 SD- 72. City Pesticide Application Authority ............................................................................67 SD- 73. Election Issues .................................................................................................................67 SD- 74. Administering Absentee Balloting ................................................................................68 SD- 75. Loss of Felon Voting Rights ...........................................................................................69 SD- 76. Write-in Candidates in City Elections ..........................................................................70 SD- 77. Ranked Choice Voting ...................................................................................................70 SD- 78. Voter Assistance..............................................................................................................71 5 SD- 79. Electronic Rosters ...........................................................................................................71 SD- 80. Election Judge Recruitment and Retention .................................................................72 SD -81. Mail Balloting..................................................................................................................73 SD-82. Modernizing Charter Amendment Process ..................................................................73 SD-83. Presidential Nomination Primary ..................................................................................73 SD-84. Health Care Facility Voting ............................................................................................74 SD-85. Voters Experiencing Homelessness ................................................................................75 SD-86. Voter Registration ...........................................................................................................75 IMPROVING LOCAL ECONOMIES ..........................................................................77 LE- 1. Growth Management and Annexation ...........................................................................77 LE- 2. Wildlife Management Areas ............................................................................................78 LE- 3. Official State Mapping Responsibility............................................................................79 LE- 4. Electric Service Extension ...............................................................................................79 LE- 5. Statutory Approval Timelines .........................................................................................79 LE- 6. Maintenance of Retaining Walls Adjacent to Public Rights of Way ...........................81 LE- 7. Development Disputes ......................................................................................................81 LE- 8. Foreclosure and Neighborhood Stabilization ................................................................82 LE- 9. Housing Policy ..................................................................................................................84 LE- 10. Resources for Affordable Housing................................................................................85 LE- 11. Greater Minnesota Housing ..........................................................................................87 LE- 12. Energy Efficiency Improvement Requirements for Housing .....................................89 LE- 13. In-Home Day Care Facilities .........................................................................................90 LE- 14. Residential Programs .....................................................................................................90 LE- 15. Inclusionary Housing .....................................................................................................91 LE- 16. Community Land Trusts ...............................................................................................92 LE- 17. Telecommunications and Information Technology ....................................................92 LE- 18. Broadband.......................................................................................................................93 LE- 19. Competitive Cable Franchising Authority ...................................................................95 LE- 20. Public Right-of-Way Management ...............................................................................96 LE- 21. Wireless Infrastructure and Equipment Siting ...........................................................98 LE- 22. County Economic Development Authorities................................................................98 LE- 23. Local Appropriations to Economic Development Organizations ..............................98 LE- 24. Workforce Readiness .....................................................................................................99 LE- 25. Business Development Programs ..................................................................................99 LE- 26. Remediation and Redevelopment ...............................................................................100 LE- 27. Development Authority Levy Limits ..........................................................................101 LE- 28. Tax Increment Financing (TIF) ..................................................................................101 LE- 29. Property Tax Abatement Authority ...........................................................................102 LE- 30. Opportunity Zones .......................................................................................................103 LE- 31. Revisions to the OSA Audit Function .........................................................................104 LE- 32. OSA Time Limitations .................................................................................................105 LE- 33. Workforce Housing ......................................................................................................105 LE- 34. Development Along Transit Corridors ......................................................................107 LE- 35. Authority to Create Public Infrastructure Utilities ..................................................107 LE- 36. Adequate Funding for Transportation .......................................................................108 LE- 37. Turnbacks of County and State Roads ......................................................................109 6 LE- 38. MnDOT Rights-of-Way Maintenance ........................................................................110 LE-39. Funding for Non-Municipal State Aid City Streets .................................................. 110 LE- 40. Authority to Allow Amenities in MnDOT Rights-of-Way .......................................111 LE- 41. Complete Streets ...........................................................................................................112 LE- 42. Authority to Implement Infrastructure Fees .............................................................112 LE- 43. Safe Routes to School Grants Management ...............................................................112 LE- 44. Railroads .......................................................................................................................113 LE- 45. Airport Planning and Funding....................................................................................114 LE- 46. Airport Safety Zones ....................................................................................................115 HUMAN RESOURCES & DATA PRACTICES ........................................................117 HR-1. Personnel Mandates and Limits on Local Control ......................................................117 HR-2. Earned Sick and Safe Time ...........................................................................................117 HR-3. Pay Equity Compliance ..................................................................................................118 HR-4. Public Employment Labor Relations Act (PELRA) ...................................................118 HR-5. Implications of Janus v. AFSCME ................................................................................119 HR-6. Public Employment Relations Board ............................................................................120 HR-7. Essential Employees .......................................................................................................121 HR-8. Re-employment Benefits ................................................................................................121 HR-9. Public Employee Defined Benefit Pension Plans .........................................................121 HR-10. Deferred Compensation ...............................................................................................124 HR-11. State Paid Police and Fire Medical Insurance ...........................................................125 HR-12. Health Care Insurance Programs ...............................................................................126 HR-13. Workers’ Compensation ..............................................................................................127 HR-14. Public Safety Duty Disability .......................................................................................128 HR-15. Drug and Alcohol Testing in the Workplace.............................................................130 HR-16. Veterans Preference .....................................................................................................130 HR-17. Military Leave Reimbursement ..................................................................................131 HR-18. Tele-Health Exams .......................................................................................................132 Data Practices .................................................................................................................132 DP-1. Data Practices Compliance Costs ..................................................................................132 DP-2. Records Retention Compliance Costs ...........................................................................134 DP-3. Updating the Minnesota Government Data Practices Act ..........................................134 DP-4. Maintaining Government Data in Large Databases ....................................................135 DP-5. Sharing of Student Data with Local Law Enforcement in Emergencies ...................135 DP-6. Disclosure of Victim Data ...............................................................................................136 DP-7. Challenges to the Accuracy of Data ...............................................................................136 DP-8. Law Enforcement Technologies .....................................................................................137 DP-9. Body-Worn Cameras ......................................................................................................138 DP-10. Open Meeting Law ........................................................................................................139 DP-11. Needed Closed Meeting Exceptions to the Open Meeting Law ................................139 DP-12. Remote Participation under the Open Meeting Law .................................................140 Federal Employment Law .............................................................................................141 FED-1. Consolidated Omnibus Budget Reconciliation Act (COBRA) .................................141 FED-2. Flexible Spending Accounts .........................................................................................142 FED-3. IRS Regulations on Death Benefits .............................................................................142 FED-4. Federal Public Safety Collective Bargaining Bill.......................................................142 7 FED-5. Federal Health Care Reform .......................................................................................143 FED-6. Amended Internal Revenue Code Regarding 403(b) Retirement Plans ..................143 FED-7. Amended Internal Revenue Code Regarding Health Savings Account Eligibility and Medicare Enrollment ..........................................................................................144 IMPROVING FISCAL FUTURES ..............................................................................145 FF- 1. State-Local Fiscal Relations ...........................................................................................145 FF- 2. State Budget Stability .....................................................................................................146 FF- 3. Funding Local Government Aid ...................................................................................146 FF- 4. State Charges for Administrative Services ...................................................................148 FF- 5. Reporting Requirements ................................................................................................148 FF- 6. Taxation Duplication ......................................................................................................149 FF- 7. Direct Property Tax Relief Programs ...........................................................................150 FF- 8. Sales Tax on Local Government Purchases .................................................................150 FF- 9. Taxation of Electronic Commerce ................................................................................151 FF- 10. Local Lodging Taxes.....................................................................................................151 FF- 11. Taxation of Electric Generation Personal Property ..................................................152 FF- 12. Electric Generation Taxation Reform ........................................................................152 FF- 13. Support for Transitioning Communities ....................................................................153 FF- 14. Taxation of Municipal Bond Interest ..........................................................................154 FF- 15. Pollution Control Exemption .......................................................................................154 FF- 16. Representative Democracy and Local Control ..........................................................155 FF- 17. Tax Hearing and Notification Process ........................................................................156 FF- 18. General Election Requirement for Ballot Questions .................................................156 FF- 19. City Fund Balances .......................................................................................................157 FF- 20. Local Option Sales Tax and City Revenue Diversification .......................................157 FF- 21. City Franchise Authority .............................................................................................159 FF- 22. Utility Valuation Transition Aid .................................................................................160 FF- 23. State Assistance for Property Tax Refunds for State-Assessed Property ...............160 FF- 24. Transition for Property Acquired by Tax-Exempt Entities .....................................161 FF- 25. Payments for Services to Tax-Exempt Property ........................................................161 FF- 26. Housing Improvement Areas and Special Service Districts Petitioned by Business ......................................................................................................................................161 FF- 27. Tax-Forfeited Properties and Local Special Assessments ........................................162 FF- 28. Distribution of Proceeds from the Sale of Tax-Forfeit Property .............................163 FF- 29. State Hazard Mitigation and Response Support .......................................................164 FF- 30. Library Funding ...........................................................................................................164 FF- 31. Park and Library Land Tax Break .............................................................................166 FF- 32. Increasing Safe School Levy Authority ......................................................................166 FF- 33. Equitable Funding of Community Education Services .............................................167 FF- 34. Street Reconstruction Bond Approval ........................................................................167 FF- 35. Special Assessment Election Requirements................................................................167 FF- 36. Homestead Market Value Exclusion ...........................................................................168 FF- 37. State Fund for Non-weather-related Disaster/Catastrophe Relief ...........................168 INTERGOVERNMENTAL RELATIONS STAFF Gary Carlson Director (651) 281-1255 gcarlson@lmc.org @garyncarlson The League’s Intergovernmental Relations (IGR) staff work on legislative issues that matter to cities. Feel free to contact our IGR staff members with any questions, concerns, or suggestions regarding legislative issues.©2022 League of Minnesota Cities. All Rights Reserved.LEAGUE OF MINNESOTA CITIES MinnesotaCities MinnesotaCities #LMCleg www.lmc.org WWW.LMC.ORG • Aid to cities • Economic development • Pensions & retirement • Public finances • Taxes • Tax increment financing (TIF) • Workers’ compensation Anne Finn Assistant Director (612) 269-9975 afinn@lmc.org @annemfinn • Emergency management • Employment & human resources • Public safety • State bonding • Transportation Craig Johnson Representative (651) 281-1259 cjohnson@lmc.org @cajohnson_1 • Energy • Environment • Land use & annexation • Local/tribal relations • State bonding • Sustainable development • Wastewater, drinking water, & stormwater Irene Kao Counsel (651) 281-1260 ikao@lmc.org @irenewkao • Building code • Civil liability • Data practices & Open Meeting Law • Employment law • Land use & zoning Alex Hassel Representative (651) 281-1261 ahassel@lmc.org @AlexHassel • Elections • Employment & Human Resources • Regulated Industries Ted Bengtson Administrative Coordinator (651) 281-1242 tbengtson@lmc.org @tbengtsonlmc • General • Member relations Daniel Lightfoot Representative (651) 281-1295 dlightfoot@lmc.org @dflightfoot • Broadband • Cable/franchising • Federal relations & advocacy • Housing • Telecommunications, information technology, & wireless infrastructure SEPT2022 We’re here to help! IGR staff and the legislative issues they cover are listed here. Not sure who to contact? Assistant Director Anne Finn (information right) is happy to help direct you to the right staffer for complex or miscellaneous issues. 9 COMMITTEE MEMBERSHIP 2022-2023 Improving Service Delivery Chair: Tina Folch, Contracts Administrator, Red Wing Vice Chair: Carly Johnson, Councilmember, Oak Park Heights Josh Berg, Councilmember, Elko New Market Kelli Bourgeois, City Manager, Columbia Heights Daniel Buchholtz, Administrator, Clerk/Treasurer, Spring Lake Park Deb Calvert, Council Member, Minnetonka Heather Corcoran, Legislative Policy Analyst, Rochester Hope Fairchild, City Administrator/Clerk-Treasurer, Walker Tom Fletcher, Councilmember, Greenwood Tina Folch, Contracts Administrator, Red Wing Mary Gaasch*, Mayor, Lauderdale Jodi Gallup, City Clerk/Administrative Coordinator, Plymouth Elroy Glidden, Councilman, Welcome Valerie Halter, Clerk/Treasurer, Lamberton Erica Henderson, Deputy City Clerk, Burnsville Blaine Hill, City Manager, Morris Steven Huser, Government Relations Representative, Minneapolis Carly Johnson, City Councilmember, Oak Park Heights BJ Jungmann, Fire Chief, Burnsville Larry Kraft, Councilmember, Saint Louis Park Becky Lammi, City Administrator/Clerk-Treasurer, Hoyt Lakes Heidi Lee, Race & Equity Manager, Edina Athanasia Lewis, Assistant City Administrator, Centerville Steve Lindaas, Councilmember, Moorhead Loren Olson, Government Relations Representative, Minneapolis Hunter Panning, Police Officer, Chaska Jorge Prince, Mayor, Bemidji Chad Roberts, Councilmember, Victoria Calvin Saari, Mayor, Nashwauk Cara Schulz, Council, Burnsville Alex Smith, Assistant City Administrator, Cambridge Cathy Sorensen, City Clerk, Blaine Ken Spielman, Mayor, Pemberton Michael Sund, Election Specialist, St. Louis Park Mike Supina, Council Member, Eagan Alyssa Swanson, Assistant to the City Manager, Victoria John Swenson, Public Safety Director, Lino Lakes Christian Taylor, Interim Director of Intergovernmental Relations, Saint Paul Nhia Vang, Dep Hearing Officer/Sr Policy Analyst, St. Paul Duane Willenbring, Mayor, Rockville Colleen Winter, City Administrator, Melrose Andrew Wittenborg, Communications and Marketing Manager, Minnetonka Wally Wysopal, City Manager, Fridley Nyle Zikmund, City Administrator, Mounds View *LMC Board of Director 2022-2023 Improving Local Economies Chair: Tony Chladek, City Administrator, Rushford Vice Chair: Maria Solano, Deputy City Manager, Plymouth Dylan Armstead, Community Development Director, Zumbrota Kati Bachmayer, Economic Development Coordinator, Lakeville Josh Berg, Councilmember, Elko New Market Tammy Block, Council Member, Rosemount Steve Bot, City Administrator, St. Michael 10 Mark Box, City Administrator, Deer River Brooke Carlson, Council President, Rochester Tony Chladek, City Administrator, Rushford Craig Clark*, City Administrator, Austin Kissy Coakley, Council Member, Minnetonka Heather Corcoran, Legislative Policy Analyst, Rochester Lisa Eng-Sarne, City Council Member, West St. Paul Tom Fletcher, Councilmember, Greenwood Renae Fry, City Administrator, North Branch Mike Funk, City Manager, Minnetonka Elroy Glidden, Councilman, Welcome Emily Goellner, Community Development Director, Wayzata Tina Goodroad, Community Development Director, City of Lakeville Tom Goodwin, Councilmember, City of Apple Valley Derek Gunderson, Councilmember, Victoria Dan Gustafson, Council member, Burnsville Gary Hansen, City Councilmember, Eagan Dana Hardie, City Manager, Victoria Maurice Harris, Councilmember, Golden Valley Steven Huser, Government Relations Representative, Minneapolis Cheryl Jacobson, City Administrator, Mendota Heights Marvin Johnson, Mayor, Independence Scott Johnson, City Administrator, Medina Kelcey Klemm, City Administrator, Detroit Lakes Deborah Maloney, Asst. Finance Director, Shoreview Jenny Max*, City Administrator, Nisswa Mary McComber, Mayor, Oak Park Heights Cathy Mehelich, Economic Development Director, St. Cloud Kirby Moynagh, Mayor, Montrose Loren Olson, Government Relations Representative, Minneapolis Candy Petersen, Councilmember, North St. Paul Chelsea Petersen, Assistant City Administrator, Shakopee Margaret Rog, Councilmember, St. Louis Park Calvin Saari, Mayor, Nashwauk Maria Solano, Deputy City Manager, Plymouth Christian Taylor, Interim Director of Intergovernmental Relations, Saint Paul Evan Vogel, City Administrator, Cambridge Deb Wegeleben, Finance Director, Big Lake Kimberly Wilburn, Council Member, Minnetonka *LMC Board of Director 2022-2023 Human Resources & Data Practices Chair: Dawn Pearson, HR Manager, Minnetonka Vice Chair: Evan Vogel, City Administrator, Cambridge Ashlee Asp, Labor Relations Manager, Rochester Becky Barham, HR Manager, Bloomington Wendy Berry*, City Councilmember, West Saint Paul Wayne Boucher, Mayor, Hermantown Kelli Bourgeois, City Manager, Columbia Heights Dick Brainerd, City Council Member, Mahtomedi Deb Calvert, Administrative Manager, St. Paul Heather Corcoran, Legislative Policy Analyst, Rochester Charnelle Dengnoue, HR / Risk Management Coordinator, Robbinsdale Julie Flaten, Assistant City Administrator/Human Resources Director, Farmington Jimmy Francis, Mayor, South St. Paul 11 Michael Freske, Employment Attorney, City of Brooklyn Park Theodore Frid, Human Resource Manager, Victoria Melissa Haas, Human Resources Manager, Apple Valley Corrine Heine, City Attorney, Minnetonka Juliana Hultstrom, City Councilor, Osseo Steven Huser, Government Relations Representative, Minneapolis Jennifer Labadie, Mayor, Shorewood Becky Lammi, City Administrator/Clerk- Treasurer, Hoyt Lakes Joan Lenzmeier, City Clerk, Coon Rapids Deborah Maloney, Asst. Finance Director, Shoreview Shari Moore, City Clerk, St. Paul Loren Olson, Government Relations Representative, Minneapolis Dawn Pearson, Human Resources Manager, Minnetonka Jennifer Pinski, Assistant City Administrator, Oak Park Heights Michael Rietz, Assistant City Manager, Moorhead Megan Schlei, HR Technician, Hastings Tammy Schutta, Human Resources Manager, Lakeville Janet Shefchik, Human Resources Manager, Inver Grove Heights Christian Taylor, Interim Director of Intergovernmental Relations, Saint Paul Jewel Thurman, Human Resources Manager, Red Wing Evan Vogel, City Administrator, Cambridge Deb Wegeleben, Finance Director, Big Lake Michelle Wolfe, CIty Manager, Blaine Nyle Zikmund, City Administrator, Mounds View *LMC Board of Director 2022-2023 Improving Fiscal Futures Chair: Dan Matejka, City Administrator, Goodview Vice Chair: Sarah Rathlisberger, Finance Director, City of Monticello Heather Corcoran, Legislative Policy Analyst, Rochester Elroy Glidden, Councilman, Welcome LaTonia Green, Finance Director, Brooklyn Park Marshall Hallock, Administrative Business Director, Red Wing Alvin Hebert, Councilmember, Victoria Blaine Hill, City Manager, Morris Steven Huser, Government Relations Representative, Minneapolis Tom Lawell, City Administrator, Apple Valley Athanasia Lewis, Assistant City Administrator, Centerville Dan Matejka, City Administrator, Goodview Justin Miller*, City Administrator, Lakeville Caroline Moe, Director of Finance, Cambridge Steve Nasby, City Administrator, Windom Darin Nelson, Finance Director, Minnetonka Steven Okins, Finance Director, Willmar Loren Olson, Government Relations Representative, Minneapolis Trisha Pollock, Finance/HR Director, Victoria Sarah Rathlisberger, Finance Director, Monticello Christina Regas, City Administrator, Blackduck Gillian Rosenquist, City Council Member, Golden Valley Ken Spielman, Mayor, Pemberton Melissa Stenson, City Clerk/Treasurer, South Haven Christian Taylor, Interim Director of Intergovernmental Relations, Saint Paul Chris Volkers*, City Administrator, Oakdale Deb Wegeleben, Finance Director, Big Lake Jim Weikum, Mayor, Biwabik John Werner, Mayor , Rice Lake Brad Wiersum, Mayor, Minnetonka Josi Wood, City Administrator, Isanti 12 Vince Workman, Council member, Burnsville Nancy Zaworski, Finance Director, Kasson *LMC Board of Director 13 LMC POLICY DEVELOPMENT PROCESS The City Policies document addresses more than 180 legislative issues that impact cities and serves as the foundation of the League of Minnesota Cities (LMC) advocacy efforts. City officials from across the state are recruited throughout the year to serve on one or more policy committees. In 2022, over 150 city officials participated in the policy committees. Policies are considered, discussed, and revised annually with considerable member input. Then, draft policies are published online for member comments before being considered for approval by the LMC Board of Directors. Guided by the City Policies, LMC member cities and staff actively advocate for city-friendly legislation. Below are some of the major events in the policy development process: January The Minnesota Legislature begins the first session of each two-year biennium in January of odd-numbered years. The 2023 Legislative session will begin on January 3. February The Legislature typically begins the second session of each biennium in February or March of even-numbered years. The 2022 Legislative Session began on January 31. March/April In March, the National League of Cities hosts the Congressional City Conference in Washington, D.C. The League’s legislative conference is held in St. Paul (cancelled in 2022 due to pandemic complications). May Under the Minnesota Constitution, the deadline to end any legislative session is the first Monday following the third Saturday in May (May 23, 2022). The governor may call special legislative sessions when necessary. June At the LMC Annual Conference (held in Duluth this year from June 22 to June 24), members provide comments on City Policies throughout the conference and during the Legislative Update. July Policy committees hold their first of three meetings. The July meeting typically includes a review of the most recent legislative session, a preliminary discussion of emerging issues, and a review of member comments and board interim policies from the prior year. August Policy committees hold their second of three meetings to hear from subject-matter experts on existing and potential new policy topics. September Policy committees meet for a third time to finalize their work and make specific policy recommendations to the LMC Board of Directors. October Draft policies, as approved by the policy committees, are shared with members online during the comment period. Member input is also sought from city officials attending LMC City Meetups around the state each fall. November The LMC Board of Directors reviews member input, then considers and amends the policies for the following calendar year. The Board adopts policies on behalf of League members before the start of the next legislative session. 14 PURPOSE, PROCESS AND PRINCIPLES OF CITY POLICIES The League of Minnesota Cities is dedicated to promoting excellence in local government through effective advocacy, expert analysis, and trusted guidance for all Minnesota cities. Each year, the League’s member cities identify common needs and goals, and the Board of Directors adopts policies designed to help cities overcome obstacles and reach those goals. These policies serve as the foundation of the League’s advocacy work on behalf of Minnesota cities. There are 854 cities in Minnesota, and 837 cities are members of the League of Minnesota Cities. Eleven townships and 63 special districts/other members are also League members. The League’s members include the smallest rural cities in Greater Minnesota and the largest cities in the urban core; they include suburban communities in the Metropolitan Area and regional centers in every corner of the state. Every member of the League has a voice in developing the following policies. Two core principles guide the development of City Policies and the actions of the League: 1. Local units of government must have sufficient authority and flexibility to meet the challenges of governing and providing citizens with public services. The Legislature must avoid imposing unfunded and underfunded mandates that erode local control and create liability and financial risk for city taxpayers. 2. The increasingly complex and costly requirements necessary for cities to provide services to their citizens require a strong partnership between federal, state, and local governments. This partnership should be based upon a shared vision for Minnesota and should allow individual communities to tailor that vision to the unique needs of their citizens. Because of the fluid nature of emerging issues, state and national politics, and current events, additional and alternative policies may be proposed after the policies are adopted by the Board of Directors. The League will make every effort to notify members of substantial changes or additions to policies after they are adopted by the Board of Directors. 15 IMPROVING SERVICE DELIVERY SD-1. Local Control Issue: Cities are often laboratories for determining public policy approaches to the challenges that face citizens. Success in providing for the basic needs of a functional society is rooted in local control to determine how best to respond to the ever- changing needs of a citizenry. Because city government most directly impacts the lives of people, and representative democracy ensures that locally elected officials are held accountable for their decisions through local elections, local governments must have sufficient authority and flexibility to meet the challenges of governing and providing citizens with public services. Response: The increasingly complex and costly requirements necessary for cities to provide services to their citizens would benefit from a strong partnership between federal, state and local governments. This partnership should be based upon a shared vision for Minnesota and should allow individual communities to tailor that vision to the unique needs of their citizens without mandates and policy restrictions imposed by state and federal policy makers. The state should recognize that local governments, of all sizes, are often the first to identify problems and inventive solutions to solve them, and should encourage further innovation by increasing local control. The state should not enact initiatives that erode the fundamental principle of local control in cities across Minnesota. SD-2. Unfunded Mandates Issue: Federal and state mandated programs substitute the judgment of Congress, the president, the Minnesota Legislature, and the governor for local budget priorities. These mandates force cities to reduce funding for other basic services or to increase taxes and service charges. Response: a) Existing unfunded mandates should be reviewed and modified or repealed where possible. b) No additional statewide mandates should be enacted unless full funding for the mandate is provided by the level of government imposing it or a permanent stable revenue source is established. c) Cities should not be forced to comply with unfunded mandates. d) Cities should be given the greatest flexibility possible in implementing mandates to ensure their cost is minimized. SD-3. Local Approval of Special Laws Issue: The Minnesota Constitution prohibits special legislation except for certain special laws relating to local government. It provides that a special law must name the affected local unit of government and is effective only after approval by the local government unit, unless general state law provides otherwise. Under (Minn. Stat. §§ 645.021-645.024), a special law is not effective unless approved by the affected local unit of government, except under limited circumstances. 16 In recent years, the Legislature has occasionally enacted general laws that affect a single local unit of government. By enacting a general law with limited application, local approval is not required. Response: The League of Minnesota Cities supports the Constitutional requirement that a special law must be approved by the affected local unit of government before it can take effect. If a law is intended to affect or benefit a single local unit of government, the Legislature must follow the requirements for enacting a special law set forth in the Minnesota Constitution and in Minn. Stat. §§ 645.021-645.024. The League specifically opposes the Legislature's technique of bypassing the Constitution by not naming the local government, but describing the local government in such narrow terms that it can only apply to one entity. SD-4. Redesigning and Reinventing Government Issue: Every level of government is redesigning, reinventing, and reevaluating its organizational structure and programs in response to financial realities and citizens’ needs and problems. Reforms, however, must be more than change for the sake of change to existing programs. It is imperative that government officials talk with citizens about how services are currently provided and how they can be best provided in the future. To be meaningful, redesign of governmental entities and services should: a) save money where feasible; b) deliver improved services; c) serve essential needs; and d) be equitably structured. Cities have and will continue to re-evaluate city programs and services, pursue the use of cooperative agreements, and consider organizational changes that provide greater government efficiency and result in better service to citizens. Citizen input and participation should be gathered and taken into account as decisions about service delivery are being made and implemented. All levels of government are encouraged to: a) Ensure that in redesigning, reinventing or reassigning government services and programs, the appropriate level of service to citizens is evaluated and citizen demands and expectations are adequately addressed. b) Engage as many citizens as possible, from diverse backgrounds and interests, to determine what services matter most to citizens and how the delivery of those services can be changed to increase efficiency and lower cost. c) Educate citizens about what services government delivers, how they are delivered, and how those services are funded. d) Engage in traditional and nontraditional partnerships to make service changes and do things in new ways. e) Identify and repeal programs or discontinue services that are no longer necessary, and evaluate which services can readily and fairly be provided by the private sector. Response: Federal, state, and county governments should: 17 a) Promote and support local redesign efforts through incentives rather than mandates. b) Communicate and establish a process of negotiation before shifting responsibility for delivering services from one level of government to another, or seeking to reduce service duplication. c) Utilize government entities with proven track records in redesign efforts. SD-5. State Government Shutdowns Issue: Twice in less than one decade, the state Legislature and governor failed to reach a global agreement on the state budget by the end of the fiscal biennium (June 30 of odd-numbered years). As a result of these impasses, portions of state government were shut down. The shutdowns, particularly the shutdown in 2011, created a range of challenges for cities, as well as for the state’s courts, residents, businesses, licensed professionals, state employees and others. For cities, the most pronounced challenges related to the shutdowns were as follows: a) Uncertainty about the timing and amount of aid and credit reimbursement payments and the distribution of local sales tax revenues. b) Inability of licensed city professionals such as peace officers and water treatment facility operators to renew licenses. c) Loss of access to critical information such as the Bureau of Criminal Apprehension database and state-mandated reports. d) The shutdown of transportation projects on the trunk highway and state aid system. e) Interruption of local economic development due to the state having sole authority to inspect, review and approve various plans and types of projects. Although the 2011 shutdown ultimately resulted in judicially-ordered continuation of many state government services, a 2017 Minnesota Supreme Court decision (A17-1142) would likely exacerbate the impacts on cities in a future state government shutdown. In that decision, the court stressed that “Article XI, Section 1 of the Minnesota Constitution does not permit judicially ordered funding for the Legislative Branch in the absence of an appropriation.” The effect of the 2017 decision has yet to be tested. Response: The League of Minnesota Cities urges the Legislature and governor to establish a procedure in state law to continue certain state government operations into a new biennium in the event that the governor and legislators cannot reach a budget agreement. Specifically, the Legislature and governor should modify state law to assure that the staff necessary to distribute state funds that are already encumbered or statutorily appropriated to local governments are distributed as statutorily scheduled, or in the absence of a statutory payment schedule, are released in a predictable and timely manner in the event of future shutdowns. The Legislature should also pass legislation that allows existing licenses of public employees to be continued during any future state government shutdown and should identify additional areas, such as electrical and plumbing inspection and 18 plumbing plan review, where local governments could reasonably step in to handle the inspections, review, and approval necessary for local projects to move forward, and allows work on approved projects to continue in state rights-of-way. SD-6. Duration of Conservation Easements Issue: The Minnesota Marketable Title Act provides that any deed over 40 years old can be disregarded unless the holder of the interest re-records it. There is an exception for a person in possession of the property. A 2010 Minnesota Supreme Court decision said that the person in possession has to show that the possession has been visible enough to put a prudent person on notice of the interest, and that the possession has to be continuous. Sampair v. Village of Birchwood, 784 N.W.2d 65 (Minn. 2010). This creates issues for cities that have conservation easements. It is difficult, if not impossible, to show actual use of the easement because conservation easements are passive easements, not active ones. As a result, cities will have to re-record the easements every 40 years in order to maintain them. This will result in a significant administrative burden and increase costs for local units of government due to staff time, legal fees, and recording fees. Additionally, Minn. Stat. § 500.20, entitled “Defeasible Estates,” provides in subd. 2a that private covenants, conditions, or restrictions that affect the title or use of real estate cease to be valid 30 years after the date of the instrument creating them and they may be disregarded. This provision was initially enacted in 1988. Minn. Stat. ch. 84C regarding conservation easements was enacted in 1985, and Minn. Stat. §§ 84.64-.65 regarding conservation restrictions were originally enacted in 1974. Because conservation easements and conservation restrictions are not listed among the restrictions that are not subject to Minn. Stat. § 500.20, subd. 2a, it is possible to conclude, by negative implication, that subd. 2a does apply to the conservation easements and conservation restrictions created by earlier enacted statues. This conclusion is inconsistent with the language in Minn. Stat. § 84C.02(b) that “a conservation easement is unlimited in duration unless the instrument creating it otherwise provides.” Response: The League of Minnesota Cities supports legislation that excepts holders of conservation easements from re-recording the easements under the Minnesota Marketable Title Act and that clarifies that Minn. Stat. § 500.20, subd. 2a, does not apply to conservation easements and restrictions. SD-7. Racial Equity in Minnesota Issue: Since the earliest days of its history, race and racial inequity issues have been present in Minnesota. Land acquisition and ownership, discriminatory covenants restricting homeownership to white Minnesotans, and patterns of systemic, structural, and institutional racism have brought the state to experience some of the worst racial disparities in the country for employment, housing, education, health, criminal justice, and law enforcement. Explicit and implicit bias toward people of color is prevalent in public policies and other rules governing Minnesota residents. Racial equity is accomplished when race can no longer be used to predict success, and we have government and systems that work for all. 19 The data is readily available from the U.S. Census, the state demographer, and local government. For example, Minnesota ranks 50th in the nation for median income equality and 49th in homeownership equality. The killing of George Floyd and the disproportionate impact of COVID-19 on communities of color have further highlighted the critical need to overhaul our laws, policies, and practices to address systemic racism. Racial demographics are continually changing throughout the state. According to the state demographer, 20 percent of Minnesota’s population are people of color. All racial groups have recently increased in the state, but between 2010 and 2018, Minnesota has added five times as many people of color as white residents. While every city may be in a different place, the need for racial equity and the need to repair past racial harms touches all communities, from the most racially diverse cities to cities with very few or no people of color. In recognition of the need to strive for racial equity, cities are invested in building a more equitable future when every resident can thrive regardless of race. Among efforts cities are undertaking are: a) Examining how cities deliver services and set local policies among city staff and elected officials; b) Creating high-level staff positions and departments to address race equity, financial and educational opportunity, diversity, and analysis of city policies; c) Engaging with the communities of color to build/rebuild relationships and trust; d) Establishing city commissions to address race and racial equity issues with local affected communities; and e) Working to improve access to city procurement opportunities for veteran-, woman-, and minority-owned businesses. However, cities acknowledge that there is much work that still needs to be done before success for all Minnesotans can be achieved regardless of race. To optimize success for all Minnesotans, cities cannot work in isolation on racial equity issues. Further, it should be acknowledged that community members who are both from communities of color and are immigrants require local governments to understand the intersection between these two issues and evaluate public policy initiatives from multiple social justice perspectives. League policies on immigration and racial equity are heavily interrelated in that situation. Response: In order to best support and serve all Minnesotans, the State should take a leadership role by prioritizing addressing racial equity through its actions: a) Partner with local government and communities of color to identify and address racial equity issues; b) Proactively assess past racial harms and develop actions to address them; c) Collect and provide data disaggregated by race necessary for cities and the state to make informed decisions about how to address racial disparities; d) Develop a state system for the proactive and innovative development and delivery of resources to local government to address racial equity including policy and service options, 20 local engagement tools, policy expertise, and financial resources; and e) Actively review and amend existing statutory language to identify laws that contribute to racial inequities and consider racial equity impacts when crafting proposed legislation and policies. SD-8. Immigration Reform Issue: The United States and the State of Minnesota have long traditions of welcoming immigrants. Immigrants strengthen Minnesota by contributing to the state’s economy, enhancing cultural resources, and participating in efforts to build strong communities. According to the National League of Cities, roughly 35 percent of undocumented immigrants have lived in the United States for 10 years or more. Approximately 1.6 million undocumented immigrants are children, and another 3.1 million children in the United States have at least one undocumented parent. These families are forced to live “underground” and are unable to get drivers’ licenses or car insurance in most states. In addition, they are unlikely to obtain health insurance and are afraid to report crimes to local law enforcement. Since immigrants are barred from most federal public assistance, the burden of providing social services, education, and health care falls to state and local governments that are increasingly feeling the financial impact of both legal and illegal immigrants living in their communities. Response: The League of Minnesota Cities, together with the National League of Cities, urges Congress to move quickly to enact and enforce effective immigration laws. Federal and state governments must not transfer responsibility for enforcing U.S. immigration laws to local personnel, including police officers, firefighters, educators, health professionals, and social service employees. Federal and state governments must not prohibit local units of government from implementing policies aimed at fostering positive relationships between local government officials, including law enforcement personnel, and immigrant communities. Finally, the League supports funding for a Minnesota Office of New Americans within the Minnesota Department of Employment and Economic Development (DEED) which, among other responsibilities, would develop and deliver career readiness services to Minnesota’s immigrant workers. SD-9. Responsibility for Locating Private Underground Facilities Issue: Cities are responsible for complying with state pipeline safety regulations that hold cities responsible for locating and marking private service laterals that connect in public rights-of-way to city sanitary and storm sewer, water, and district heating systems. The Minnesota Office of Pipeline Safety (MNOPS) is proposing amendments to state pipeline and safety rules related to the definition of excavation and changes to mandatory damage reporting. Cities are concerned that damage to private service laterals within the public right-of- way continues due, in part, to construction methods during the replacement, repair and/or installation of underground utilities which cross city water and sewer services that are in the public rights-of-way. Trenchless excavation could potentially cause damage to underground service laterals and negatively impact the quality of utility services. 21 Response: The League supports the changes to the definition of excavation presented by MNOPS at the 2012 Review of Minn. Stat. ch. 216D. Cities support the elimination of windbreaks, shelterbelts, and tree plantations from the definition of excavation, unless any of these activities disturbs the soil to a depth of 18 inches or more. The League supports exempting normal maintenance of roads and streets from the definition of excavation if the maintenance does not change the original grade and does not involve the road ditch by defining “original grade” as the grade at the date of issue of the first notice by the excavator. The League supports increasing MNOPS fines for violators of state pipeline safety requirements, bringing state penalties in line with federal penalties. The League opposes mandatory damage reporting and recommends a simple standardized form to encourage cities to voluntarily report damages. The League opposes requirements that would force cities to mark underground facilities of all sizes and materials. The League recognizes that trenchless excavation presents concerns to cities. Private property owners in the excavation area must receive advance notice of any trenchless or other excavation activities that could affect the quality of utility services. Notice must include at least one phone number for assistance in case of any service problems. Contractors must comply with city permits requiring that the drill head be visible when crossing any paint marks and moving through the pothole at the depth that the city allows for the installation. Cities must not be required to locate privately-owned water and sewer laterals and must not be held responsible for actions by excavators when the city determines not to locate such facilities. Excavators should be responsible for locating and protecting any private service lateral that is impacted by excavation activities conducted on private property beyond the public right-of-way. SD-10. Utility Relocation Under Design-Build Road Construction Issue: The Minnesota Department of Transportation (MnDOT) has promoted legislation relating to the design-build construction process that would require private and public utilities to be responsible for utility relocation necessitated by road construction. The policy, if enacted, would create unanticipated costs for utilities owned and operated by cities. Municipally-owned utilities would be unreasonably held to the same standards as privately-owned utilities that exist in the public right-of-way. Response: The League of Minnesota Cities supports use of the design-build procedure, however, municipal utilities that exist in the public right-of-way should not be penalized under this process. Municipal utilities legitimately exist in the public right-of-way. When a MnDOT construction project requires the relocation of utilities, the cost of relocating municipal utilities should be shared equitably between MnDOT and affected municipal utilities. 22 SD-11. National Fire Protection Association (NFPA) Standards Issue: The National Fire Protection Association (NFPA) is an international association of individuals and trade and professional organizations that deals with fire and life safety. The NFPA has advocated legislation that would mandate two standards: NFPA 1710, Organization and Deployment of Fire Suppression Operations, Emergency Medical Operations, and Special Operations to the Public by Career Fire Departments, and NFPA 1720, Organization and Deployment of Fire Suppression, Emergency Medical Operations, and Special Operations to the Public by Volunteer Fire Departments. NFPA standards 1710 and 1720 define minimum response times, minimum fire company staffing levels, initial full alarm response levels, and extra alarm response levels. Although NFPA codes and standards are voluntary, they are often adopted by local jurisdictions. Response: Levels of service delivery for fire and emergency medical services (EMS) have always been determined by local jurisdictions. If mandated, the NFPA standards would force local governments to shift dollars from fire prevention programs to fire suppression activities, potentially increasing the risk of fire and the danger to local firefighters. The League supports permanent and ongoing state funding to assist fire departments statewide to improve emergency response and work toward industry standards. The League of Minnesota Cities opposes any attempt to mandate standards for minimum staffing levels of fire, specialized or EMS vehicles controlled by units of local government. The League also opposes any attempt to adopt a standard dictating or affecting the response time of any fire, specialized or EMS vehicle. SD-12. Fire Mutual Aid Issue: City and township fire departments regularly assist each other with firefighting and other response activities. This mutual aid is mostly authorized by individual written contracts with each city or township, which results in a patchwork of different agreements with different provisions. Often, each city attorney recommends different provisions. Following the Red River floods and the St. Peter tornados, emergency responders (including fire departments) met and helped pass a statute to govern mutual aid situations when there is an emergency declared by mayor or governor and no written agreements exist. The statute, Minn. Stat. § 12.331, provides a framework for how worker’s compensation, liability, property claims, insurance, and charges between the departments will be handled in mutual aid situations. The League of Minnesota Cities Insurance Trust (LMCIT) developed a model mutual aid agreement that contains the same basic structure for liability as the statute. Many cities have entered into area-wide mutual aid agreements that are similar to the LMCIT model agreement. To provide uniformity, there should be a statute that is similar to Minn. Stat. § 12.331, to govern daily fire mutual aid situations that do not rise to the level of emergencies. Response: The Legislature should pass a statute to provide uniform provisions when fire departments assist each other. These provisions should include statutory definitions and clarifications for: 23 a) Who is in command of the mutual aid scene. b) Who will cover the firefighters for worker's compensation. c) How liability and property claims will be handled. d) Who will pay for expendable supplies such as foam. e) When fire departments will charge each other for these services. f) The ability for fire departments to opt out by having a separate written agreement. SD-13. Clarification of Joint Powers Relationships with Federally Recognized Indian Tribes Issue: During the 2010 legislative session, Minn. Stat. § 471.59 was modified to allow federally recognized Indian tribes to participate in joint powers agreements with other governmental entities, including Minnesota cities. Indian tribes are extremely unique legal entities under federal law and international treaties. The new law was a broad brush authorization that did not address important issues that uniquely arise when dealing with Indian tribes related to sovereignty, insurance liability and liability limits (commonly called “tort caps”). Previous laws, such as Minn. Stat. § 626.93 (authorizing tribes to act as law enforcement entities) explicitly addressed these concerns. Since the new law passed, interest has been expressed by public safety groups and individual cities in entering into joint powers agreements with federally recognized Indian tribes. However, legislative guidance is needed to address concerns related to sovereignty, insurance and liability limits for these agreements. Response: Include in Minn. Stat. § 471.59 (the joint powers statute) language substantially similar to Minn. Stat. § 626.93 that clarifies that Indian tribes entering into joint powers relationships agree to: a) Be subject to liability for its torts and those of its officers, employees, and agents acting within the scope of their employment or duties arising out of the joint powers agreement to the same extent as a municipality under Minn. Stat. ch. 466; and b) Notwithstanding Minn. Stat. § 16C.05, subd. 7, waive its sovereign immunity with respect to claims arising from liability under the joint powers. SD-14. Ambulance Service Costs and Liability Issue: The cost of providing ambulance care has increased steadily over the last several years due in part to changes in Medicare and Medicaid reimbursement. The federal Balanced Budget Act (BBA) of 1997 made two significant changes to ambulance billing. First, the act mandated that all ambulance services accept Medicare and Medicaid assignments as payment in full; that is, ambulance services cannot bill the Medicare or Medicaid patient for any unpaid balance beyond the Medicare or Medicaid assignment. Second, the act mandated a uniform fee schedule that was implemented in April 2002. The new fee schedule significantly reduced reimbursement levels for many ambulance services. In addition, in most cases Medicare does not pay for costs related to treatment of patients that are not transported. The BBA mandates are impacting the ability of some Minnesota ambulance service providers to adequately fund their operations. 24 The loss of revenue due to Medicare and Medicaid reimbursement changes, coupled with higher insurance rates, is affecting the ability of many ambulance service providers to deliver emergency care, particularly in rural Minnesota. All ambulance services and personnel are regulated by Minn. Stat. ch. 144E and must comply with the same licensing, training, and equipment-related requirements, regardless of ownership. In addition, the liability exposure of medical directors associated with ambulance service is a concern. While medical directors of government-based ambulance services may arguably be covered by public official immunity, the law is unclear and should be clarified. Response: The League of Minnesota Cities supports federal legislation that would: a) Require Medicare to set ambulance payment rates to cover the cost of providing service for both transport and non-transport care of patients; b) Require adequate reimbursement for ambulance providers; c) Require Medicare to reimburse for 911 ambulance transports regardless of medical necessity; d) Make it easier for providers to file claims with Medicare by eliminating a processing system that often leads to the rejection of legitimate reimbursement claims. If the federal government does not increase Medicare and Medicaid rates in the immediate future to fully reimburse providers for the cost of treating and transporting patients, the state should provide defined additional funding to offset the gap The League also urges the Legislature to extend the protection of the state and municipal Tort Claims Act to licensed third parties that contract with a municipality to provide ambulance services. The League also supports extending the applicability of public official immunity to medical directors in the course of ambulance service activities. SD-15. Emergency Medical Services Issue: The Emergency Medical Services Regulatory Board (EMSRB) is the State of Minnesota’s regulatory entity that oversees and issues ambulance licenses. The EMSRB has the authority to designate exclusive emergency medical services (EMS) operating areas, or primary service areas (PSAs), for ambulance providers. Once a provider has been approved to operate in a PSA, the provider is authorized to serve that PSA for an indefinite period of time. Currently, no other health licensing board in Minnesota grants a provider an exclusive operating area. Historically, health licensing boards have played a critical role in setting professional standards and establishing credentialing processes. However, the EMSRB has not imposed operational standards to ensure an area has adequate coverage and service level such as response time requirements on EMS providers. Furthermore, there is currently no oversight of ambulance billing rates. The current system does not require ambulance services to disclose the number of ambulances staffed, where an ambulance is responding from or any other important data points that would ensure a community is receiving quality ambulance services. The lack of transparency within Minnesota’s 25 ambulance industry compromises accountability by EMS providers. Response: The League of Minnesota Cities supports: a) Allowing local units of government to designate which licensed ambulance service provider or providers may serve their communities and to determine the appropriate level of service; b) Providing local units of government with tools and authority to ensure transparency by EMS providers; c) Uncoupling the professional standards overview role of the EMSRB from the service area determination; d) Requiring the membership of the EMSRB to be regionally balanced between Greater Minnesota and the metropolitan area; e) Modifying the membership of the EMSRB to include representatives of municipal ambulance services; f) Legislative consideration of setting term limits for EMSRB members; g) Continued authority for the EMSRB to set professional standards; and h) Requiring the EMSRB to submit biennial reports on EMS service delivery data points for each local unit of government to appropriate legislative committees. SD-16. Fees for Service Issue: While general services—such as permitting, inspections or enforcement—are typically funded out of a city’s general fund, cities often impose fees to cover the cost of providing certain services, permits, and licenses. The Legislature and interest groups often seek to mandate or preserve fee limitations for city services. Over the last several years, the Legislature has enacted a number of new laws designed to rigorously control local fee-setting authority. Examples of such mandates include placing limits on coin-operated amusement machine license fees, on-sale and off-sale liquor license fees, license fees for retailers selling fireworks, deputy registrar fees and planning and zoning fees. The state also requires cities that collect more than $5,000 in development-related fees each year to annually report all construction and development fees to the Department of Labor and Industry. Response: While the state has a role in providing a general, statewide funding policy, the state should not interfere in the decision-making functions performed by cities when setting city budgets to provide city services. The League of Minnesota Cities seeks authority for cities to charge fees that are reasonably related to the cost of providing the service, permit or license. The League opposes legislation that would require specific methods to pay for city services or would place caps on city fees. SD-17. Fundraising Authority Issue: Recent years have seen an increase in cities looking to find ways to accept donations for specific projects that community members, non-profit organizations, or businesses have interest in. Though there is authority for cities to accept gifts under Minn. Stat. § 465.04, an opinion from the Office of the State Auditor has stated that cities lack the authority to fundraise. 26 There are specific situations in which city personnel can solicit contributions. Under Minn. Stat. § 465.90, firefighters are authorized to solicit charitable contributions from motorists for a charitable organization. Under Minn. Stat. § 471.198, a city may authorize officials and staff to solicit contributions for the purposes of funding National Night Out or any event or purpose that the governing body determines will foster positive relationships between law enforcement and the community. Many cities desire the ability to fundraise for equipment for firefighter and EMS services, libraries, or special projects such as parks and trails. Authorizing cities to more broadly solicit and accept charitable donations for projects in which there is broad community support would allow the funding for desired projects without requiring an increase in property taxes or seeking a local option sales tax. Response: The League of Minnesota Cities supports amending Minn. Stat. § 471 to authorize cities to solicit charitable donations for the purpose of projects that have generated community interest such as parks, trails, and community centers or resources needed for city services. SD-18. Improving and Increasing Citizen Access to Information Issue: State law requires that cities publish certain types of information in a “qualified” newspaper designated by the city. While the requirements vary based on city population size, most cities must publish ordinances before they can take effect; advertisements for bids; various financial reports; meeting and hearing notices; notices of elections; dates for filing affidavits of candidacy; and sample ballots. Collectively, these items are referred to as “official notices,” legal notices” and “public notices” in state statute. There are several requirements (Minn. Stat. § 331A.02) for a newspaper to be a “qualified” or “official” newspaper for the city. For instance, there can only be one newspaper chosen for the city; it must be printed in English in a newspaper format; if it is a daily newspaper, it must be distributed at least five days each week; if not a daily paper, it may be distributed twice a month with respect to the publishing of government public notices; it must be circulated in the city which it purports to serve, and either have at least 400 copies regularly delivered to paying subscribers or have at least 400 copies distributed without charge to local residents. For cities under 1,300 population, the delivery and distribution threshold is 250 copies. As the newspaper industry has been challenged by alternative technologies, a growing number of cities are unable to find a newspaper that meets the qualifications in state statute. In addition, as technology has evolved, citizens have become more accustomed to the instantaneous availability of online information. Because cities are committed to providing information to citizens and responding to this demand, they have invested heavily in their websites and in growing a robust online presence. They survey citizens about what method of communication is preferred and based on this, cities update, reform, evolve, and advance communication tools and often, they do so with limited means and resources to ensure citizens have access to information about their city. Because of the publishing mandate outlined in state statute, cities continue to publish in newspapers with limited resources while simultaneously providing information to citizens in the format they actually demand online. These requirements originated in 1949 and to ensure the original intent of the law – providing citizens access to their local 27 government – it is time to eliminate these outdated requirements and make communicating with citizens more efficient. Response: The Legislature should eliminate outdated and unnecessary publication requirements that are no longer relevant or representative of the technology we now have that has significantly increased access to government. Cities should have the authority to: a) Determine whether web publication should replace or supplement newspaper publication based on the unique needs of each community. b) Designate an appropriate publication that reaches the maximum number of citizens possible. c) Use alternative means of communication to fulfill statutory requirements such as city newsletters, cable television, video streaming, e- mail, blogs and city websites. d) Expand the use of summaries where information is technical or lengthy. e) Publish and provide public access to local codes of ordinances on a website accessible to the public and to post revisions and changes to city codes, resolutions, and rules on the city website, when feasible. SD-19. Administrative Fines for Code Violations Issue: Many statutory and home rule charter cities have implemented administrative enforcement programs for violations of local regulatory ordinances such as building codes, zoning codes, health codes, and public nuisance ordinances. This use of administrative proceedings has kept enforcement at the local level and reduced pressure on over-burdened district court systems. Cities using administrative enforcement processes experience a lower cost of enforcement and a quicker resolution to code violations. Minnesota statutes expressly provide the authority for all cities to utilize administrative enforcement of local codes and enforcement of liquor license and tobacco license violations. In 2009, the Legislature amended Minn. Stat. ch. 169, the chapter of law pertaining to state traffic regulations, to allow cities and counties to issue administrative citations for certain minor traffic offenses. Since the passage of the 2009 administrative traffic citations law, some people have questioned whether administrative citations for non-traffic, liquor, and tobacco license code violations can be legally issued by statutory cities given that state law does not expressly provide authority on other code matters. Response: The League of Minnesota Cities continues to support the use of city administrative fines for local regulatory ordinances, such as building codes, zoning codes, health codes, public nuisance ordinances, and regulatory matters that are not duplicative of misdemeanor or higher-level state traffic and criminal offenses. The Legislature should clarify that both statutory and home rules charter cities have the authority to issue administrative citations for code violations. Further, state statute should allow statutory and home rule charter cities to adjudicate administrative citations and to assess a lien on properties for unpaid administrative fines. 28 SD-20. Contracting and Purchasing Issue: Minnesota statutes stipulate contracting and purchasing requirements for Minnesota cities. The law prescribes the process political subdivisions must use to make purchases and award contracts, and requires a competitive sealed bid procedure for contracts or purchases over $175,000. The intent of these statutory requirements is to provide taxpayers with the best value for their dollar and ensure integrity in the process. However, imposing these statutory requirements may, at times, result in political subdivisions paying more for goods and services than private entities under the same circumstances. The Legislature recognized the benefits associated with alternative purchasing methods when it amended municipal contracting law in 2004 to authorize the use of reverse auctions to purchase supplies, materials, and equipment. Similarly, other contracting procedures, including “design-build” and direct negotiation are proven alternatives to the formal bidding process. Authorizing broader use of these types of alternatives as the Legislature did in 2009 by authorizing a design-build pilot program, would enhance the ability of cities to make appropriate and fiscally responsible purchasing decisions. Response: The League of Minnesota Cities supports broader use of alternative contracting and purchasing methods that streamline the process and reduce local purchasing costs. Specifically, the League supports authorizing cities to use the design-build procedure and providing municipalities with broader authority, similar to that of private businesses, to directly negotiate contracts. The Legislature should establish a task force to review municipal contracting laws, and consider contracting and purchasing reforms that give cities the flexibility to provide quality goods and services at the lowest cost to taxpayers. SD-21. City Enterprise Operations Issue: Historically, city enterprise operations have been created in response to community needs, lack of a private market, financial reporting requirements, state and federal mandates, to enforce state and local law, and to ensure a quality of life for the residents of a community. Establishing an enterprise operation allows a city to provide a desired service while maintaining financial control over service levels, costs, and public inputs. In some cases, enterprise operations produce general public benefits and may require public support to ensure a desired level of service at a reasonable cost. The benefits of an enterprise operation, therefore, should be evaluated not solely in terms of profitability but also on the service benefits to citizens of the community. Response: The League of Minnesota Cities supports the local decisions made by cities to deliver services by establishing a city enterprise operation. The state should refrain from infringing on the ability of a city to provide services for its community. SD-22. Preservation of Order in City Council Meetings Issue: The Minnesota Supreme Court recently held a provision in Minn. Stat. § 609.72, subd. 1(2), that prohibits disturbing public meetings was unconstitutionally broad. State v. Hensel, A15-0005 (Minn. 2017). Minn. Stat. § 412.191 gives statutory authority to city councils to preserve order and regulate procedure at their meetings. Cities rarely relied on the struck-down 29 statute, but instead used other avenues to maintain order, such as issuing warnings and enforcing decorum rules. The struck-down statute served as a last resort when other options did not work. Response: The Legislature should ensure statutes adequately balance public participation with the ability to effectively manage public meetings and protect public safety. SD-23. Constitutional Amendments Issue: The Minnesota Constitution requires that a constitutional amendment be approved by a simple majority of both chambers of the Legislature at one session, and must then be ratified by a majority of all the voters voting at the election. Minnesota is one of 18 states that require a simple majority vote by legislators while 26 states require a higher threshold (17 states require a two-thirds majority and nine require a three-fifths majority). Since statehood, 215 proposed constitutional amendments have been voted on by the electorate; 120 of them have been approved (56%) and 95 rejected (44%). Cities provide a variety of critical and essential services to residents of Minnesota. Many public policy decisions at the state level impact cities and therefore, city officials depend on their state legislators to represent city interests at the Legislature. Additionally, unlike a statutory change, a constitutional amendment is difficult to modify or repeal once enacted. Response: The League of Minnesota Cities strongly supports our representational system of government and opposes laws and amendments that restrict local government. The Legislature is the appropriate governing body to consider and enact laws that reflect statewide interests. Utilizing constitutional amendments to change public policy circumvents this process. Therefore, the League supports requiring a supermajority vote (two-thirds in support) by the Legislature to put an amendment on the ballot. SD-24. Initiative and Referendum Issue: The Legislature has frequently considered legislation to establish initiative and referendum by proposing to place a question for voter approval on the state general election ballot to amend the state constitution to allow voters to initiate or repeal state laws by submitting a petition which would cause such questions to be placed on the state general election ballot. Response: Cities strongly support our representational system of governance and, therefore, oppose amending the state constitution to provide for initiative and referendum. The Legislature is the appropriate governing body to consider and enact public policy that reflects statewide interests. The process of adopting state law based on good public policy is best upheld and supported by increasing the accountability and responsiveness of the legislative process, not by circumventing it. Presenting complex issues to voters in the guise of direct democracy further weakens representative government. A state constitutional amendment to provide for initiative and referendum subjects cities and their residents and taxpayers to the unintended outcomes of sometimes unwise attempts to place significant public policy decisions into the hands of special interests that can raise 30 unlimited funds for the purpose of promoting their more narrow interests. SD-25. Civil Liability of Local Governments Issue: One of the barriers to the delivery of governmental services and programs is the exposure of local governments and their officials to civil damage claims. The state has acted to protect itself and its local governments by enacting exceptions and limitations to liability suits, and authorizing self-insurance and other mechanisms to deal with claims allowed by law. Response: The League of Minnesota Cities supports: a) Creating an exception to municipal tort indemnification law, Minn. Stat. § 466.07, where an employee is defended and indemnified for claims under a contract of insurance carried by the employee. b) Extending the protection of the state and municipal Tort Claims Act to quasi-governmental entities when performing public services such as firefighting or licensed third-party ambulance providers that contract with a municipality to provide ambulance services. c) Existing constitutional safeguards for protecting public and private property interests without any statutory expansion of property rights. d) Clarifying and maintaining the applicability of municipal immunity in various areas, including, but not limited to, vicarious official immunity and park and recreational immunity, including the extension to entities providing a public service that have not traditionally been included within the immunity (e.g., state trails over municipal utility easements). e) Preserving changes to Minnesota’s joint and several liability laws that require a municipality to be at least 50 percent at fault to be held responsible for 100 percent of a damage award. f) Reasonable limits on the amount and circumstances in which statutory attorney fees may be awarded in order to encourage settlement by all parties and decrease the likelihood of litigation. g) Preserving the essential structure of the local government tort liability caps in Minn. Stat. § 466.04. SD-26. Private Property Rights and Takings Issue: In the wake of the U.S. Supreme Court’s 2005 decision, Kelo v. City of New London, 545 U.S. 469, which upheld the ability of local governments to use eminent domain for economic development purposes, the Legislature enacted significant restrictions on cities’ use of eminent domain for economic development and redevelopment, and imposed new compensation and procedural requirements that apply to all condemnation actions, including those for traditional public uses such as roads, parks, and schools. Legislation to control cities’ abilities to perform regulatory acts—such as road rights-of-way condemnation, shooting range zoning, and amortization—has also received strong support from legislators. In addition, some legislators would like to authorize businesses to seek inverse condemnation when a governmental entity enters the business market and provides competing goods or services or limits the number of 31 businesses that can operate privately or receive public contracts. Such legislative initiatives threaten a wide array of planning, environmental, historic preservation, and land conservation measures and undermine the fundamental responsibility of cities to protect the public health, safety, and welfare of its citizens. In 2006, the Legislature enacted Minn. Stat. § 117.031, a statute related to attorney fees in the eminent domain process. The structure of the statute has resulted in attorney fee awards in eminent domain actions that have no relationship to the outcome of the case, serve only to encourage litigation, and shift limited public funding away from infrastructure projects. Response: State law must continue to provide cities with the tools needed to balance the rights of private property owners with the interests of the public. The League of Minnesota Cities opposes legislation that diminishes the ability of cities to act in the best interest of the health, safety, and welfare of its citizens; that increases the cost of doing business for the public good; or that creates the possibility of additional lawsuits against cities. Specifically, the League opposes legislation that: a) Allows businesses to seek inverse condemnation when a city provides competing goods or services, or limits the number of private operators. b) Creates an automatic cause of action for damages any time a local regulatory action impacts the use or reduces the value of private property. The League supports legislation that: a) Authorizes cities to use eminent domain for economic development and redevelopment projects that advance a greater public good that benefits the community. b) Empowers local elected officials to determine whether a particular taking of property serves a public purpose. c) Creates incentives to encourage landowners to voluntarily sell their property to the public for development or redevelopment. d) More appropriately balances awards of attorney fees and costs of litigation with the outcome of the eminent domain proceeding. SD-27. Organized Solid Waste Collection Issue: “Organized collection” refers to a situation where a local unit of government, for any of a variety of reasons, decides that there is a public interest served by limiting the number of solid waste and recycling collection services available in the area. The reasons for implementing organized collection can vary, but include: a) Public safety concerns caused by the number and frequency of large trucks moving quickly through residential neighborhoods; b) Reducing wear on public infrastructure from heavy truck traffic; c) Improving the efficiency, cost and quality of garbage and recycling service provided to local residents; d) Cooperating with other local governments to best meet solid waste management and recycling objectives; 32 e) Taking local steps to reduce energy impacts of public services; and f) Meeting the requirements of county ordinances and solid waste management plans as required under Minn. Stat. § 115.94. Organized collection is also encouraged in state solid waste policies as a means of improving the efficiency and coordination of solid waste management between local units of government. There are very specific and burdensome public procedures laid out in statute defining how such a decision must be publicly vetted and approved and over what time period that can occur. Despite all of these important and valid reasons for using organized collection, legislation has been discussed in several recent sessions that would allow special takings claims or contractual damages to be claimed by the solid waste industry if local governments make decisions that limit the number of companies that can collect garbage in a community in a manner that prevents a company currently operating in the community from continuing to do so through the implementation of organized collection. The unspecified and ongoing liability this change would create would have the effect of eliminating organized collection as a waste management option. This change would also create a virtual monopoly situation for any company awarded a solid waste contract under organized collection. The local unit of government would have to “buy out” a contractor in the future to change providers, even if their services were no longer the lowest bid. It also creates an incentive for bidders under organized collection to submit high bids, as they would be eligible for damages if they fail to win without having to provide service. Furthermore, this is a precedent that, if applied to other government purchasing and service contracting decisions, would clearly run counter to the public purpose of government providing services at the lowest feasible cost to taxpayers. Response: The League of Minnesota Cities opposes efforts to apply inverse condemnation claims to city solid waste contracting decisions or to allow automatic contractual damage claims for solid waste haulers that lose competitive bids in organized collection communities. Further, the League supports the current state policy that organized collection is a valuable tool as part of a comprehensive solid waste and recycling management program and recognizes the need to protect and preserve the authority of cities to adopt solid waste service contracts that protect public safety, the environment and public infrastructure. SD-28. Private Well Drilling Issue: The state has continued to place requirements on public water supply providers to add drinking water treatment and testing, to restrict the volume of water used, and to increase the cost of water use through fees and requirements on utility rate structures. As a result, many water users are choosing to obtain all or portions of their water from wells they place on their own property. This creates risks to public health and safety, can affect the surrounding environment, can affect city water supplies, and can leave city water utilities with massive losses of customer load and rate revenue. Providing clean, safe, cost-efficient drinking water to citizens is an essential service provided by 726 active municipal water systems. The Minnesota Department of 33 Health (MDH) agrees that cities have the statutory authority to determine whether private wells are an appropriate use within their boundaries and that cities must protect the public water supplies from numerous private wells in city boundaries. Private wells in a city increase the risk of contaminating public water supplies and encourage over use of water. Cities have the authority to regulate and even prohibit private wells by local ordinance. Response: The League of Minnesota Cities supports current law that authorizes cities to protect public health and safety through local controls regulating or prohibiting private wells being placed within municipal water utility service boundaries and would oppose any changes to law to remove that authority. SD-29. Sustainable Development Issue: Minnesota cities spend significant time and resources planning for growth, development, and redevelopment that will best serve the future needs of their residents. Numerous factors are considered as part of that process, but an area of increasing interest involves concepts often categorized as “sustainable development.” Minn. Stat. § 4A.07, subd. 1(b), defines this term, as it pertains to local government, to mean “development that maintains or enhances economic opportunity and community well-being while protecting and restoring the natural environment upon which people and economies depend. Sustainable development meets the needs of the present without compromising the ability of future generations to meet their own needs.” Cities play a key role in fostering sustainable development and other conservation practices due to their role in land use planning and zoning, stormwater and wastewater management, and local economic development. Local governments can take a lead on these issues by choosing to incorporate aspects of sustainable development into their local operations and facilities. They can also develop local policies and regulations that support and guide individual and private sustainability efforts. The ability of a city to affect these changes can, however, be restricted by policies and requirements imposed by other levels of government. Sustainable development initiatives can cover a wide range of issues, but share the benefit of lessening the future environmental impacts of communities on the land, air, and water in their area. Lakes, streams, rivers, wetlands, wildlife habitat, shoreland areas, and other natural resources can be protected and enhanced in quality through local efforts. Energy efficiency and renewable energy production reduce the energy demands of a community and the environmental impacts of energy production. By more efficiently using public infrastructure and minimizing resource consumption, the costs to individuals, business, and government can be reduced. New and expanded business and job opportunities are also generated by the “green” products and services needed to implement sustainable development initiatives. The ideal result of well-planned sustainability, natural resources management, and conservation efforts is a city that is more efficient in the use of its resources and infrastructure, creates fewer environmental problems for future generations to address, and is a more desirable home for residents and businesses. Response: The League of Minnesota Cities supports federal, state, and regional efforts to promote sustainable development where the effectiveness of the proposed practice is supported by 34 sound science, and as long as those efforts do not supersede the authority of local governments to determine their own policies regarding land use and related issues. Providing technical assistance and financial incentives, and streamlining regulations to encourage local governments and private property owners to engage in sustainable development practices, as well as assisting in education and information efforts for the building industry and the public, are the best means to generate successful results. These programs should focus on outcomes, allowing flexibility in how to best meet those outcomes in different locations and situations. The League opposes mandates that limit the authority of cities to determine what practices will best meet the needs of their communities. The League supports sustainable development efforts that meet the above criteria, including programs proposed in the following areas: a) Shifting public resources, services, investments, purchasing power, and procurement toward more economically and environmentally sustainable outcomes where those solutions are cost effective and appropriate. b) Using local land-use planning and zoning to protect and enhance limited natural resources, and reduce the impacts of growth and development on local infrastructure. c) Promoting efficient and renewable energy sources. d) Encouraging sustainable building design, construction, and operation strategies focused on integrated design, energy efficiency, water conservation, stormwater management, waste reduction, pollution prevention, indoor environmental quality, and the use of low-impact building materials and products. e) Supporting sustainable economic development, such as brownfield clean-up, on-site stormwater management, and sustainable business practices and technologies. f) Assisting and recognizing local governments that take actions to reduce greenhouse gas emissions and increase energy efficiency by providing and identifying technical assistance, financial assistance, and best practices. SD-30. Advanced Energy Building Standards Issue: The State of Minnesota has made a strong statutory commitment to the reduction of carbon emissions and greenhouse gases. As part of that effort, projects funded by the state must meet a set of energy requirements called Sustainable Building 2030, or SB 2030. However, to meet state energy efficiency goals, improvements in energy performance of buildings not financed by the state will also be needed. The State Building Code sets the standards that must be met in new or substantially retrofitted structures and prohibits local requirements that differ from that code. The current state schedule for the amendment and adoption of more stringent building and energy codes is not adequate to result in the state meeting those goals. 35 Cities working on improving the energy performance of development within their communities have identified a clear opportunity to establish cost-effective energy-efficiency performance standards for new and substantially reconstructed commercial, industrial, and institutional buildings that can significantly reduce carbon dioxide emissions by lowering energy use in those structures. Two solutions have been proposed. One, referred to as an advanced energy building standard, creates an optional tier of additional energy efficiency requirements for buildings in those categories if they exceed a designated square footage. Such an addendum would be state-developed and cities could choose whether to apply it in their jurisdictions based on community priorities, opportunity, and readiness. An advanced energy building standard would allow municipalities to require more energy efficient buildings, reducing the energy burden for building occupants and lowering overall greenhouse gas emissions. A second would have the state adopt a universal advanced energy building standard within the State Building Code. In either solution, having a uniform set of standards prevents confusion by developers, designers, planners, and regulators, with people only needing to know if the jurisdiction uses the requirements outlined in existing State Building Code or has adopted the added energy section. Discussions with developers, architects, engineers, city staff, energy efficiency experts, utility interests, labor, state agencies, academia, and other stakeholders have examined approaches the state could use to create and allow an advanced energy building standard. While several different versions could work, it is clear that Minnesota needs to change its approach in order to meet state energy efficiency goals. Response: The legislature should require the Department of Labor and Industry to either establish an advanced energy building standard beyond the base statewide commercial code for the construction, reconstruction, and alteration of public and private commercial and multifamily residential buildings that exceed a certain square footage as an appendix of the State Building Code, or should adopt the advanced energy standard as part of the State Building Code. These standards should conform to timelines and performance measures that result in net zero carbon emissions by 2036 or sooner and should be updated every three to five years. If it is an appendix, cities should be provided the authority to adopt the advanced energy standard by ordinance at their discretion, making it an official addendum to the baseline energy code in any jurisdiction adopting them. The League recognizes the benefits of a consistent state code and supports a requirement that a local jurisdiction adopting the standards in the appendix may not amend them but may specify the minimum size structure to which they apply, as long as it is 10,000 or more square feet. SD-31. Construction Codes Issue: The State Building Code (SBC) is the statewide standard for the construction, reconstruction, alteration, and repair of the buildings and other structures of the type governed by the code. A building code provides many benefits, including uniformity of construction standards in the 36 building industry, consistency in code interpretation and enforcement, and life- safety guidance. Since 2018, the state will adopt a new version of the SBC every six years after a rulemaking process that allows for significant public input. The League supports adopting and amending the SBC through the rulemaking process, and opposes legislative changes to the building codes absent unusual or extraordinary circumstances. While all cities must enforce certain codes— such as the accessibility code and the bleacher safety code—enforcement of the SBC remains a local option for cities outside of the seven-county metropolitan area with fewer than 2,500 people that did not adopt the code before Jan. 1, 2008. Requiring enforcement of the SBC by smaller cities in Greater Minnesota is cost-prohibitive for many cities, and would result in an unfunded mandated. While a single set of coordinated codes helps provide consistency in code administration and enforcement, implementation of sustainable building design, construction, and operation does not readily integrate with the existing state building and energy code system. As a result, many cities are interested in adopting an advanced energy building standard beyond the base statewide commercial code for the construction, reconstruction, and alteration of public and private commercial buildings. An advanced energy building standard would allow municipalities to require more energy efficient buildings, reducing the energy burden for building occupants and lowering overall greenhouse gas emissions. Response: A statewide-enforced building code may have benefits, but requiring it would result in an unfunded mandate. Enforcing the State Building Code should remain a local option for the municipalities that have not already adopted the Code, unless the state fully funds the costs of enforcement and inspection services necessary to enforce a statewide building code. If the Legislature requires all cities to enforce the State Building Code, local governments must have the option to hire or select a building official of their choice and set the appropriate level of service—even if the state fully funds code enforcement activities. The state should collaborate with local governments, construction industry representatives, and other stakeholders to review the building and energy codes and consider modifications to encourage sustainable building design, construction, and operation. Specifically: a) For purposes of federal conformity, the state should adopt the International Energy Conservation Code as part of the State Building Code. b) The Legislature should authorize cities to voluntarily adopt a uniform advanced energy building standard with stronger local standards for development and conservation that will help inform the baseline state code development process. SD-32. Building Officials Issue: There is a shortage of certified building officials in Minnesota. This shortage is particularly acute in Greater Minnesota where some cities have trouble finding certified building officials to perform inspections required by state law. 37 Minnesota needs to hire a new generation of certified building officials and must ensure that current officials have adequate training and opportunity to inspect a wide range of projects. In light of emerging technologies and offsite building methods such as panelization and modular construction, it is important that certified building officials have training opportunities that address inspection processes for new trends in homebuilding. The Department of Labor and Industry (DLI) has authority over state-licensed facilities and public buildings. Pursuant to Minn. Stat. § 326B.106, subd. 2, it must delegate authority to inspect projects on these buildings to a municipality if DLI determines that the municipality has adequate qualified local building officials to perform plan review or inspection of the projects. In 2014 the Legislature passed legislation requested by the League of Minnesota Cities and agreed to by DLI to provide more transparency and clarity to the delegation process. DLI, after consulting local governments and the League, implemented a new delegation procedure as required by statute. Although the new delegation process is a significant improvement, it can still be difficult for local building officials to achieve the experience necessary to be delegated full inspection authority. Response: Minnesota’s housing and construction industries depend on the work of local building officials, and cities that enforce the State Building Code endeavor to provide quality code administration and enforcement. The State must increase its efforts to train new building officials and must provide sufficient education to help local officials efficiently administer and enforce construction regulations to protect the health and safety of citizens. These education efforts should include training to assist local building officials gain the requisite experience to qualify for delegation of state-licensed facilities and public buildings. The Legislature should encourage the Minnesota Department of Labor and Industry to provide training opportunities to ensure certified building officials across the state have the skills and expertise to provide onsite inspections of buildings constructed by new building methods such as panelization and modular construction. The League urges the state to make surplus revenue from the building permit surcharge available to local governments to help defray the cost of complying with code official training and education requirements. SD-33. Disability Access Requirements Issue: Title II of the Americans with Disabilities Act (ADA) of 1990 requires that state and local governments provide people with disabilities equal opportunity to benefit from all of their programs, services, and activities. Public entities are not required to take actions that would result in significant financial and administrative burdens, but they must modify policies, practices, and procedures to avoid discrimination unless they can demonstrate that doing so would fundamentally alter the nature of the service, program, or activity being provided. State and local governments are also required to follow specific standards when constructing new facilities and altering existing public buildings, and they must relocate programs or otherwise provide access in inaccessible older buildings. Under the ADA, public entities are not necessarily required to make each existing facility accessible. However, their programs—when 38 viewed in their entirety—must be readily accessible to people with disabilities. A public entity may achieve program accessibility through various methods. For example, a city may alter existing facilities, acquire or construct new facilities, relocate a service or program to an accessible facility, or provide services at other accessible sites. One district court judge has taken an expansive view of disability access requirements for public recreation facilities. The case involved a parent who sued a city due to difficulty viewing soccer and baseball games on certain city fields. The court, in interpreting the Minnesota Human Rights Act (MHRA), held that any public facility is a public service. Since the MHRA requires that every public service be accessible to disabled persons, the court concluded that each and every playing field and other public facility must be fully accessible. The court rejected the ADA’s limitations on modifications for physical access to older facilities, as well as the ADA’s “when viewed in its entirety” language for program access. The result is a more restrictive state standard for physical access to public facilities than required by the ADA and the State Building Code. Response: The League of Minnesota Cities supports changes to the MHRA that will make state accessibility standards compatible with the federal ADA for public services and facilities. The Legislature should clarify that a facility that is in compliance with Accessibility Code provisions of the State Building Code meets the physical access requirements of the MHRA. State law should also specify that accessibility requirements apply to public programs and services as a whole, rather than to each individual aspect of a public program or service. SD-34. Assaults on Code Enforcement Officials Issue: Many city employees and contractors are required to enforce city codes and ordinances and state statutes and rules as part of their job duties. Code enforcement can involve denying a building permit, ordering a landlord to make repairs to rental properties, or fining property owners for failing to abate a nuisance. Because of the nature of their job, code enforcement officials can be subjected to verbal assaults, threats, and physical violence. Minnesota law recognizes the need to protect certain employees whose jobs make it more likely that they will be the target of assaults by escalating assault charges from fifth to fourth degree for the assaults of peace officers, firefighters, school officials, and “public employees with mandated duties”. Minn. Stat. § 609.2231, subd. 6, specifically defines “public employees with mandated duties” as agricultural inspectors, occupational safety and health inspectors, child protection workers, public health nurses, animal control officers, and probation or parole officers. An assault on one of these employees who is engaged in the performance of a duty mandated by law, court order, or ordinance, is a gross misdemeanor if the person knows the employee is engaged in the performance of official duties and inflicts demonstrable bodily harm. Under current law, an assault on a code enforcement official not enumerated in Minn. Stat. § 609.2231, subd. 6, while performing official business can only be charged as fifth degree assault, a misdemeanor, unless it results in substantial bodily harm. All code enforcement officials should be afforded the same protections under Minnesota Statutes, and the legislature 39 should amend the statute to expand the employees covered by the statute. Response: The legislature should expand Minn. Stat. § 609.2231, subd. 6, to include code enforcement officials. The term code enforcement official should be defined broadly to include public employees and contractors whose jobs require them to enforce all administrative codes, rules, ordinances, and state laws. SD-35. Restrictions on Possession of Firearms Issue: The Minnesota Citizens Personal Protection Act, also known as “conceal-and-carry,” prohibits guns on most school properties but forbids other local units of government from prohibiting loaded firearms on their properties. The inconsistencies in the law’s treatment of different kinds of properties have caused confusion about how the law applies to multi-use facilities, such as municipal ice arenas used for school-sponsored programs. Further, the law gives private property owners the right to prohibit guns in their establishments, but prohibits landowners from restricting firearm possession by tenants and their guests without distinguishing between residential and commercial properties. This creates confusion for shopping malls and other retail properties with large common areas that are not occupied by the tenants but which the tenants and their customers must cross to access the tenant’s space. Finally, the Citizens Personal Protection Act does not explicitly state the type of firearm a permit holder may carry, and this has led to ambiguity regarding whether the law is limited to the right to carry a pistol-length firearm in public or if it allows for any firearm, including a military-style assault rifle. Response: The League of Minnesota Cities requests an amendment to the Citizens Personal Protection Act that would allow cities to prohibit firearms in city-owned buildings, facilities, and parks. The League supports clarifying the Act to state that a permit holder, under the terms of a permit, is allowed to carry a pistol-length firearm, but not a semiautomatic military-style assault weapon. The League is not seeking a repeal of the Citizens Personal Protection Act, nor authority to prohibit legal weapons in parking lots or on city streets and sidewalks. The League also supports efforts by commercial property owners to clarify that the prohibition on restricting possession by tenants and their guests applies only to residential rental property. SD-36. Public Safety Communications Issue: The state role in financing public safety communications has important cost implications for cities. The state needs to accept financial responsibility for use by cities of the state public safety radio communications backbone. Cities have struggled to pay high expenses to participate in the 800 MHz statewide public safety system. In previous state budgets, the Legislature turned to revenue sources upon which cities depend to cover costs to purchase and operate new communications technology and hardware for computer-aided dispatch, 911 public safety answering points (PSAPs), and interoperable radio communications equipment and subsystems in order to finance the build-out of the state backbone for the new system. As a result, fees were directed to fund revenue bond debt service 40 used to complete the statewide build-out of the Allied Radio Matrix for Emergency Response (ARMER) and the cost of operations of the state public safety radio communications backbone. At the federal level, the Federal Communications Commission (FCC) has ordered reservation of 700 MHz wireless spectrum for a national interoperable broadband network to meet public safety communications needs. FirstNet was established in 2012 as an independent authority within the National Telecommunications and Information Administration (NTIA) and is responsible for constructing a nationwide high-speed public safety wireless broadband network. Response: The League of Minnesota Cities supports continued and increased state financing of substantial local costs to participate in ARMER, including the acquisition and modernization of subscriber equipment, such as portable and mobile radios required for ARMER users. The League also opposes efforts to divert dedicated ARMER funds to the state’s general fund. The Legislature should fund regional cooperation and partnerships for effective delivery of 911 service, training and use of ARMER. The League also urges the FCC to continue to support availability of wireless spectrum necessary to expand channel capacity that allows local public safety agencies to meet future needs of cities and other local units of government. SD-37. Collateral Consequences and Expungements Issue: Collateral consequences of criminal records has been discussed at the federal and state levels. Collateral consequences are adverse impacts on housing, employment, professional licensure, immigration, etc. They can impact successful reentry and rehabilitation of offenders. Current law allows for the expungement of criminal records, which is an extraordinary remedy because it involves the competing interests of individuals who want to remove the stigma of an arrest or conviction when pursuing things such as employment and housing and the public’s interest in maintaining criminal histories for future criminal investigations and making hiring, rental, and other decisions about individuals. Expungements are not granted unless the court determines that the benefits to the individual outweigh the disadvantages to the public and public safety. When the court is making this determination, it must take into consideration the following factors: a) The nature and severity of the underlying crime; b) The risk, if any, the person poses to individuals or society; c) The length of time since the crime occurred; d) The steps taken by the person toward rehabilitation; e) Aggravating or mitigating factors relating to the underlying crime; f) The reasons for expungement, including attempts to obtain employment housing or other necessities; g) The criminal record; h) The record of employment and community involvement; 41 i) The recommendations of law enforcement, prosecutors, and corrections; j) The recommendations of victims or whether victims of the underlying crime were minors; k) Outstanding restitution obligations to victims; and l) Any other relevant factors. This balancing test is essential to ensure competing interests are adequately considered. Recently, the state legislature has discussed whether to authorize automatic expungements in certain situations. Cities understand the impact of collateral consequences but have concerns with automatically expunging criminal records. While expungements play an important role, automatic expungements should adequately balance the interests of the individual seeking expungement and the interests of the public and public safety. For example, demonstration of steps taken towards rehabilitation are essential so using only a short time factor is insufficient to show true rehabilitation. Response: The League supports legislation addressing the collateral consequences of criminal records in a balanced manner that helps rehabilitated individuals succeed and ensures public safety and victim interests are met. The League is also in support of legislation and policies that help provide individuals with proper notice of the options and the process for expungements that exist in current law. The League opposes legislation that does not adequately address the important statutory factors that must be considered under current expungement law. The interests of rehabilitated individuals seeking expungement to live without the stigma of an arrest or conviction record should be balanced with the public’s interest in maintaining criminal histories for future criminal investigations and to make safe hiring, rental, and other decisions about individuals. The current statutory scheme provides that balance, and thus, any future legislation should also take the factors into account. Safeguards must include notification and involvement of victims. SD-38. Criminal and Juvenile Justice Information Issue: Criminal justice information integration is about getting the right information into the hands of the right people at the right time and in the right place to make key decisions throughout the criminal justice process. The integration of criminal justice information remains complex and multifaceted. It takes time and resources from all levels of government. Public safety is compromised when there is a lack of centralized, complete, and accurate criminal history data about individuals, incidents, and cases. City officials are aware of the complex issues raised by the utilization of electronic record keeping, data sharing, and access to records that identify data subjects. The League of Minnesota Cities recognizes that one of the ongoing challenges with the integration of criminal and juvenile justice information is meeting the requirements of the Minnesota Government Data Practices Act (MGDPA). More than 500 cities operate police departments. These departments vary dramatically in fiscal capacity, staffing 42 resources, and technical expertise. Further, each municipal law enforcement agency has unique operating procedures, strengths, and needs based on the community it serves. The League knows the integration and security access to criminal and juvenile justice information systems has a significant impact on municipal police business practices. Response: The League of Minnesota Cities supports continued efforts by the state to integrate and make available criminal justice information systems. This includes efforts in key areas of funding, data practices, collaborative relationships, balancing privacy and public safety, and addressing aging systems. The League also supports the Criminal and Juvenile Justice Information Advisory Group, cooperation among legislators, law enforcement, corrections agents, court officials, prosecutors, community groups, and businesses that build public support for criminal justice systems. To ensure compliance with the MGDPA, comprehensive guidelines and operational practices should be implemented to safeguard access to and use of criminal and juvenile justice data. However, data practices policies should not create new, unfunded mandates for local units of government or compromise the usefulness of criminal and juvenile justice systems by creating unnecessary barriers. SD-39. Pawn Shop Regulation and Use of the Automated Property System (APS) Issue: Minn. Stat. ch. 325J enables licensure for pawnbrokers and provides statewide minimum regulations for the pawn industry. Specifically, the law: a) Requires pawnbrokers to record all transactions, including details of the item pawned or sold, information about the customer and the cost of the transaction. b) Requires pawnbrokers to maintain records of all transactions for three years, and to make records available upon request to law enforcement agencies. c) Allows pawnbrokers to charge a maximum monthly interest rate of 3 percent of the principal amount loaned in a transaction, plus a reasonable fee for storage and services. The Automated Property System (APS) is a computerized system for tracking and monitoring pawn transactions. The purpose of the APS is to provide a tool to verify compliance with Minn. Stat. ch. 325J, to help identify and minimize illegal activity, to recover stolen property, and to provide a legitimate environment for consumers. Currently, almost 260 law enforcement agencies and over 190 stores in Minnesota and Wisconsin participate in the APS system as either a “query only” or “contributing” member. All access to and use of information in the APS system is governed by the Minnesota Data Practices Act. Only authorized users have access to the data. There is no public access to the data. Further, data that would reveal the identity of persons who are customers of a licensed pawnbroker or secondhand goods dealer are private data on individuals and only used for law enforcement purposes. Data describing the property in a regulated transaction with a licensed pawnbroker or secondhand goods dealer is public. Original pawn and secondhand transactions reported to the APS carry a $1 fee, 43 regardless of the number of items involved. All subsequent updates or corrections to transactions are processed without charge. Contributing jurisdictions may also add regulatory costs to the transaction fee. The total transaction fee is then typically assessed by the dealer to the customer. A bill that would weaken Minn. Stat. ch. 325J and restrict the use of the APS has been introduced in the Minnesota Legislature. Specifically, the legislation would forbid law enforcement agents from acquiring customer information from pawn and secondhand shops until they have probable cause to do so, and would eliminate the authority of local units of government to more strictly regulate pawn and secondhand dealers. Response: The League of Minnesota Cities supports the authority of cities to regulate and license pawnbrokers, and opposes any legislation that would remove the authority of local governments to enact more restrictive regulations than currently exist in Minn. Stat. ch. 325J. The League supports the authority of cities to set licensing and transaction fees that enable them to recover their full regulatory and enforcement expenses. The League supports cooperation between law enforcement agencies and the pawn industry that enhances the ability to identify illegal activity and recover stolen property. Access to transaction information by law enforcement agencies is vital to accomplishing this goal. Further, the sharing of information through the use of the APS is a proactive way to prevent property and other crimes. SD-40. City Costs for Enforcing State and Local Laws Issue: Cities experience substantial costs enforcing state and local laws, particularly those related to traffic, controlled substances, and incarceration of prisoners. The current method in our criminal justice system of recovering costs for law enforcement and prosecution through fines is insufficient to meet the costs incurred by local governments. Further, when a violator requests relief from paying the full amount of the fine and surcharge, the courts have been more inclined to waive the fine than to reduce the surcharge. When this occurs, the local units of government recover no costs even though the city has incurred expenses. Response: The Legislature should review this issue and adopt measures that provide for complete reimbursement of the costs incurred by local governments in enforcing state and local laws. Solutions that should be considered include: a) Increasing fine amounts. b) Removing or modifying county and state surcharges that conflict with cost recovery principles. c) Requiring the courts to consider ordering restitution from the defendant to reimburse the costs of enforcement and prosecution as part of any sentence. Requiring that if a court reduces the amount paid by a violator, any reduction should be made from the surcharge and not the fine. 44 SD-41. Compensation and Reimbursement for Public Safety Services Issue: Municipal public safety personnel often respond to emergencies involving non-residents. For example, municipal fire, police, and/or ambulance services may be dispatched to the scene of a traffic accident on an interstate highway involving victims from other cities or states. Although cities can bill for some public safety services they provide to non-residents, they have limited authority to collect on unpaid bills. Cities have also found that auto insurance policies vary when it comes to coverage for emergency responses. Insurance companies of those responsible for accidents sometimes deny payment for fire service. Additionally, municipal public safety personnel commonly respond to emergencies that require the provision of medical services. The medical services provided by the city-employed first responders are part of a continuum of health care that is covered by insurance companies when provided by paramedics and other medical care providers; however, insurance policies vary when it comes to coverage for municipally provided medical services. Insurance companies of those treated by municipal public safety personnel frequently deny payment for emergency medical services when they are billed by a municipality. Thus, when a municipal public safety agency provides first response medical assistance, they commonly do so at the expense of local property taxpayers. Response: While emergency medical responses are legitimate functions of municipal public safety departments, the costs of providing emergency medical care to individuals should be covered by insurance and not be borne exclusively by the community’s taxpayers. Cities should have the authority to bill for the full cost of first responder medical services they provide and to collect on unpaid bills. Insurance companies should be required to reimburse local governments for the full cost of providing these emergency medical services. Finally, auto and homeowner’s insurance policies should be required to insure for the cost of emergency responses. SD-42. Administrative Traffic Citations Issue: Cities have implemented administrative enforcement programs for violations of local regulatory ordinances, such as building codes, zoning codes, health codes, and public nuisance ordinances. This use of administrative proceedings has kept enforcement at the local level and reduced pressure on over-burdened district court systems. The Legislature has repeatedly increased the fine surcharge on district court cases to generate revenues for the state’s general fund. The surcharge—the amount paid over and above the fine—is now $75 per citation. The growth in the surcharge has dramatically increased the cost of citations and has caused some to question whether the total of the fine and surcharge is disproportionate for minor matters. To lower the amount imposed on their residents, a number of cities have expanded their administrative programs to include some offenses traditionally heard in district court, such as minor traffic offenses. The increased state surcharges have not been used to assist local units of government with the growing costs of enforcement and prosecution. No matter which entity—city, 45 county or state—issues a statutory citation, the violator pays between $115 and $127 for a minor speeding violation. Of this amount, the city receives between $13 and $20, and the county receives just slightly more. Further, when a violator requests relief from paying the full amount of the fine and surcharge, the courts have been more inclined to waive the fine than to reduce the surcharge. When this occurs, the local units of government recover no costs even though the city has incurred expenses. In 2009, the Legislature amended the statutes to allow administrative fines to be issued for certain minor traffic offenses. Cities report that the short list of offenses noted in that law change does not adequately address the needs of local law enforcement. Additional authority is necessary to allow law enforcement officers to implement an effective program to reduce violations. Response: The League of Minnesota Cities continues to support the use of city administrative fines for local regulatory ordinances, such as building codes, zoning codes, health codes, public nuisance ordinances and regulatory matters that are not duplicative of misdemeanor or higher level state traffic and criminal offenses. Cities should have the authority to issue administrative citations for low-level moving and equipment violations that: 1) would otherwise result in warnings, and 2) occur on roadways where the speed limit is 45 miles per hour or less. If state leaders choose not to expand the list of administrative traffic offenses, they should then change the distribution of statutory violation fine revenues so that cities are adequately compensated for enforcement and prosecution costs. SD-43. Juveniles in Municipal Jails Issue: Municipal jails have long served as holding facilities for suspects who are being questioned and/or booked, and for those awaiting transfer to a county jail or juvenile detention facility. In 2012, the Minnesota Department of Corrections (DOC) issued a reinterpretation of an existing law to say that, “[W]here counties have secure juvenile correctional facilities…juveniles are not allowed to be held in jail and/or municipal lock-ups for any length of time.” This interpretation is in conflict with a provision in Minn. Stat. § 260B.181, subd. 4, which provides that juveniles can be held in a licensed juvenile facility for up to six hours. Many municipal jails, including those in counties where juvenile detention facilities exist, have been operating under the six-hour holding law. Managers of municipal jails indicate the reinterpretation of the law is contrary to common practice and presents significant challenges for municipal law enforcement personnel. Response: The League of Minnesota Cities supports a statutory clarification that would allow juveniles to be held for questioning and booking in licensed jail facilities for up to six hours, regardless of whether the county has a juvenile detention facility. SD-44. Justice System Funding Issue: Over the past several years, Minnesota’s justice system has operated under consecutive budget shortfalls. Public service windows are closed part of each week in many courthouses. Delays in case filings, hearings and dispositions are building throughout the state as staff and judges struggle to keep up with caseloads. 46 The budget shortfalls limit the ability of the courts to process cases pertaining to shoplifting, trespassing, worthless checks, traffic and ordinance violations, juvenile truancy, runaways and underage drinking, consumer credit disputes, property-related and small civil claims, and many other cases. Timely processing of these cases is critical to keeping communities safe and to preserving the quality of life residents expect. The State Court Administrator has advocated for statutory changes that have resulted in efficiencies and cost savings while preserving core services. These changes involve consolidating services where practicable and using technology to reduce costs. They include centralized payable processing, use of e-citations and restructuring of state mandated programs. Response: The League of Minnesota Cities supports a statement by former Chief Justice Eric J. Magnuson that calls for “an adequately funded, functioning justice system that resolves disputes promptly in order to ensure the rule of law, protect public safety and individual rights and promote a civil society.” The League supports the use of technology to reduce costs and preserve services. The League opposes any changes that would decriminalize local ordinances, petty misdemeanors or misdemeanor offenses, or that would make prosecution of these crimes more difficult. SD-45. 21st Century Policing Issue: Published in May 2015, the President's Task Force on 21st Century Policing Report makes multiple recommendations aimed at helping law enforcement agencies and communities strengthen trust and collaboration, while reducing crime by implementing the next phase of community-focused policing. The report contains recommendations related to six key areas of law enforcement: a) Building Trust and Legitimacy; b) Policy and Oversight; c) Technology and Social Media; d) Community Policing and Crime Reduction; e) Training and Education; and f) Officer Safety and Wellness. Many Minnesota communities have embraced 21st Century Policing concepts, and municipal police departments throughout the state have adopted policies that align with 21st Century Policing principles. The Legislature and governor made progress toward advancing 21st Century Policing principles statewide by enacting the 2020 Police Accountability Act. In Minnesota, police chiefs have indicated strong interest in securing additional training in 21st Century Policing practices for officers. Demand for training has increased in recent years, and in 2017 the Legislature responded by increasing continuing education requirements for officers, expanding the scope of this training to include more community policing, and by providing $6 million per year for training reimbursement provided by the Peace Officer Standards and Training (POST) Board. This funding is not permanent and sunsets in 2024. The POST Board is funded through a special revenue account from a surcharge on criminal and traffic convictions. However, a significant amount of the special revenues collected are diverted to the state’s general fund and are not made available for training 47 reimbursement, and the amount of the surcharge paid to the state has been declining. There is also growing concern about the impact of the surcharge on residents, particularly those of low income and persons of color, and concern about funding policy training based on ticket revenue. Response: The League of Minnesota Cities recognizes the need for communities and law enforcement agencies to strengthen trust and collaboration, while continuing to reduce crime. The League supports the recommendations of the President’s Task Force on 21st Century Policing Report as well as the training, policy and accountability provisions contained in the 2020 Police Accountability Act. To that end, the League supports: a) POST Board model policies that align with the recommendations of the President’s Task Force on 21st Century Policing Report and the 2020 Police Accountability Act; b) POST Board approved training opportunities for new recruits and in- service peace officers that include but are not limited to procedural justice, bias/implicit bias and cultural awareness, de-escalation, and crisis intervention training; c) Increased state and federal funding for peace officer training that includes reimbursement for tuition, travel, time and backfilling the shifts of officers who are out for training; d) Permanent funding for police training that is not based on criminal and traffic ticket revenue; e) State and federal funding for peace officer safety and wellness initiatives; f) State policies, training and funding that support co-responder programs to enhance the safety and effectiveness of responses involving people with mental illnesses; g) State policies, training and funding that support non-traditional community based public safety programs; and h) Authority and grants for municipal police departments to deploy technologies such as dash cameras and police body worn cameras that enhance both criminal justice and officer accountability. SD-46. Post-Incarceration Living Facilities Issue: Sufficient funding and oversight is needed to ensure that residents living in post-incarceration living facilities have appropriate care and supervision, and that neighborhoods are not disproportionately impacted by high concentrations of these types of facilities. Under current law, operators of certain post-incarceration living facilities are not required to notify cities when they intend to purchase single family housing for these purposes. Cities do not have authority to regulate the locations of post-incarceration living facilities. Cities have reasonable concerns about the safety of facility residents and neighborhoods, particularly in cases of public safety. Cities also have an interest in preserving a balance in residential neighborhoods between this type of facilities and other uses. It is in the best interest of providers to inform and work with cities before opening a facility in order to educate providers of community standards and expectations. 48 Response: Cities should have statutory authority to require agencies, as well as licensed and registered providers, that operate post-incarceration living facilities to notify the city before properties are operated. Cities should be provided with the necessary contact information once licensed or registered. Providers applying to operate post-incarceration living facilities should be required to contact the city to be informed of applicable local regulations. The Legislature should also require establishment of non-concentration standards for post-incarceration living facilities to prevent clustering. Finally, licensing or registering authorities must be responsible for removing any residents incapable of living in such an environment, particularly if they become a danger to themselves or others. SD-47. Homeland Security Costs and Liability Issue: The federal government’s response to terrorism has resulted in new responsibilities for local governments in a number of areas. For example, shortly after the terrorist attacks on Sept. 11, 2001, the federal government tapped local law enforcement personnel to provide security and perform screening at our nation’s airports. These new responsibilities increase cities’ liability exposure and result in higher local costs for public safety services. In addition, local governments are expected to continue emergency planning and capacity building efforts, provide additional training and equipment for first responders, and improve emergency response coordination and communication. As partners in protecting our country from terrorism, the federal government must: 1) provide greater direct financial support for our first responders; 2) maintain funding for general pre- and post-disaster emergency management programs; 3) ensure a coordinated and effective national emergency response system; and 4) address issues of cyber security that threaten public safety, services, and infrastructure. Response: The League of Minnesota Cities recommends that when the federal government requires or contracts for cities’ assistance in meeting federal homeland security responsibilities, the federal government should fully cover the costs, including the risk of liability arising from these activities. The League supports greater federal funding to prepare, train, and equip our first responders. The League also supports changes in the federal funding process to ensure Department of Homeland Security funds move quickly to the local level. Furthermore, the League supports the allocation of state resources to provide training and technical assistance to local governments related to the prevention and control of cyber security risks to critical infrastructure. SD-48. Cybersecurity Issue: Dating back to at least 2012, U.S. Defense Secretaries have warned that the United States are increasingly vulnerable to foreign computer hackers who could dismantle the nation’s power grid, transportation system, financial networks and government. On a state level, the Governor’s Task Force on Broadband issued recommendations regarding cybersecurity in their 2016, 2017, and 2018 annual reports. After consistent recommendation by the Broadband Task Force, a Legislative Commission on Cybersecurity was established in 2021 to provide oversight of the state’s cybersecurity measures and review and make policy recommendations to 49 state agencies and the legislature to strengthen the state’s cybersecurity infrastructure.. However, many of the commission and task force recommendations have not yet been implemented, which creates cybersecurity vulnerabilities especially at the local level as many communities lack the necessary tools and capabilities needed to protect their systems. The problem is serious. Each month Minnesota IT Services defends against roughly 27,000 phishing emails and messages across all state agencies and several cities and counties have been recent targets of ransomware attacks as local governments continue to remain particularly vulnerable to cyberattacks. Response: The League of Minnesota Cities supports state action to identify and strengthen state and local capabilities. The League supports the inclusion of funding to evaluate state government cyber vulnerabilities, single points of failure, and fixes, and, based on those findings, create an ability for municipal governments to apply for grant funding or assistance to help conduct the same evaluation. Additionally, state and federal policymakers should: a) Seek municipal government input on any direction of state or federal funding that seeks to address cybersecurity preparedness and response and ensure city government participation in any task force or planning committee tasked with directing funding priorities for local government cybersecurity efforts; b) Avoid unfunded mandates related to data notification breaches by ensuring proactive discussions with lawmakers and state leaders regarding cybersecurity awareness, prevention, remediation and breach notification SD-49. Legalization of Fireworks Issue: In 2002, the state enacted a law allowing the sale and use of non-aerial, non-explosive consumer fireworks, including sparklers, party poppers, snakes, and other novelty items—relaxing the ban on consumer fireworks in place in Minnesota since 1941. In 2008, the Legislature further relaxed the ban by increasing the amount of explosive material allowed in legal fireworks. Local fire service professionals have reported that consumers and law enforcement personnel have had difficulty distinguishing between legal and illegal fireworks, and that the 2002 law resulted in greater use in Minnesota of illegal fireworks purchased in other states. According to data provided by the Minnesota State Fire Marshal Division, injury trends and dollar losses related to fireworks incidents surged after the consumer fireworks ban was lifted. Hospital reports reveal that the annual number of injuries caused by fireworks rose dramatically in 2002 and remains elevated. Likewise, Minnesota Fire Incident Reporting System records show that the annual dollar loss resulting from fireworks incidents increased significantly in 2002 and has since grown. In 2003, the state enacted a number of provisions limiting local authority pertaining to fireworks sales. The 2003 law caps the allowable municipal permit fee at $100 per vendor selling fireworks with other products, and $350 per vendor selling fireworks exclusively. The law restricts cities from requiring fireworks sellers to purchase additional liability insurance. Finally, the 2003 law states that cities cannot prohibit or restrict the display of consumer fireworks if the display and structure comply 50 with National Fire Protection Association (NFPA) Standard 1124. The NFPA is a private international association of individuals and trade and professional organizations. (NFPA Standard 1124 is not a public document and is available only for a fee.) Fireworks products can cause serious injuries and fire loss. The legal sale of consumer fireworks undermines fire prevention efforts. The sale and use of consumer fireworks increase local public safety enforcement, emergency response, and fire-suppression costs. Response: The League of Minnesota Cities opposes legislation that would further relax the ban on the sale and use of consumer fireworks. The League supports a repeal of the 2002 law that relaxes the ban on the sale and use of consumer fireworks. Fees are needed to cover the costs associated with compliance checks, education, and inspections relating to the sale of a regulated product. The current fee caps do not allow cities to recover these costs. The League supports allowing cities to establish and impose reasonable fees on retailers that sell fireworks. The League opposes restrictions on requiring fireworks retailers to purchase additional liability insurance. Finally, the League seeks repeal of the NFPA reference. SD-50. Traffic Enforcement Cameras Issue: Drivers who disobey traffic laws can cause serious traffic accidents and contribute to gridlock. In spite of the severity of this problem, cities cannot always afford the levels of peace officer enforcement that residents demand. The technology exists to enforce traffic laws with photographic evidence. For example, there is less running of red lights when motions imaging recording systems (MIRS) are installed at traffic signals. Response: Local law enforcement agencies should have the express authority to use photo enforcement technology to enforce traffic laws. Local law enforcement officers should have the express authority to issue citations for traffic violations by mail where the violation is detected with photographic evidence. SD-51. Operation of Motorized Foot Scooters Issue: Current state statute (Minn. Stat. § 169.225) regulates the operation of motorized foot scooters and treats motorized foot scooters similar to bicycles in terms of rights and duties. By statutory definition (Minn. Stat. § 169.011, subd. 46), motorized foot scooters must be powered by an engine or motor that is limited to a maximum speed of 15 miles per hour. The law provides that an operator must be 12 years of age or older. Although the law contains safety provisions, including a requirement that operators under the age of 18 must wear helmets, it does not require training or permits for operators of any age. Motorized foot scooters that are part of organized sharing or rental businesses rely on the ability to park in the public right-of-way, especially on public sidewalks, to facilitate customer access and vending. Cities have express authority to regulate parking on city streets and sidewalks. Local government units should also have clear authority to regulate or proscribe unauthorized use of city right-of-way for motorized foot scooter parking, to require a permit or license for each scooter or sharing 51 company, and to include terms and conditions dictated by the granting authority. In order to protect public health, safety and welfare, it is important that cities have clear authority to regulate motorized foot scooter parking and sharing options. Response: State law should support the ability of local governments to regulate or proscribe unauthorized use of city right-of-way for motorized foot scooter parking, to require a permit or license authorizing motorized foot scooter parking or sharing in the public right-of-way, and to impose terms, conditions, and local rules on businesses seeking such a permit or license. SD-52. Catalytic Converter Theft Issue: Cities across Minnesota have seen increases in the theft of catalytic converters, a part of a vehicle’s exhaust system that converts some pollutants into less harmful gasses. Removal of a catalytic converter causes extensive damage to a vehicle. Criminals remove catalytic converters from parked automobiles and profit by selling them to scrap metal dealers. Preventing catalytic converter theft is difficult because it is not illegal for an individual to possess multiple catalytic converters, nor is it illegal for scrap metal dealers to purchase catalytic converters from individuals. In 2021 the Legislature established a catalytic converter theft prevention pilot program. It provided funding for law enforcement agencies to offer vehicle owners the opportunity to have their catalytic converters permanently marked with identifiers. Although the pilot program has deterred some catalytic converter theft, it has not proven to be a solution to the problem. Response: The League of Minnesota Cities supports legislation making it unlawful for a scrap metal dealer to purchase a catalytic converter from any person other than a bona fide automobile recycling facility or a person who can provide evidence of legitimate removal. The League also supports making it a crime to be in possession of one or more catalytic converters that do not belong to a vehicle or vehicles owned by the individual in possession of the catalytic converter(s), or that the individual cannot provide verification of legal receipt of the catalytic converter from the vehicle owner. SD-53. Drug Courts Issue: The League of Minnesota Cities recognizes the impact of substance abuse on individuals, communities and taxpayers. According to the National Council on Alcoholism and Drug Dependence, the relationship between alcohol and drugs and crimes--including domestic abuse and violence, underage drinking, robbery, assault and sexual assault--is clearly documented. The National Center on Addiction and Substance Abuse reports 65 percent of the nation’s inmates meet certain medical criteria for substance abuse and addiction, but only 11 percent received treatment for their addictions. Drug courts are an effective problem-solving approach for dealing with alcohol and other drug addicted offenders in the judicial system. Drug courts closely monitor the defendant's progress toward sobriety and recovery through ongoing treatment, frequent drug testing, regular mandatory check-in court appearances, and the use of a range of immediate sanctions and incentives to foster behavior change. 52 In drug court, judges collaborate with other traditional court participants (prosecutors, defense counsel, treatment providers, probation officers, law enforcement, educational and vocational experts, community leaders and others), whose roles have been substantially modified, but not relinquished, in the interest of helping defendants deal with addiction. Response: The League of Minnesota Cities supports the efforts of drug courts to address substance abuse and reduce crime. The League supports funding for additional drug courts. SD-54. Drug Paraphernalia Issue: Cities throughout the state struggle with local businesses selling items primarily designed to enable illegal drug use. Current state law only prohibits use, possession, delivery, and advertisements of drug paraphernalia. The law inadequately defines the term “drug paraphernalia,” and leaves cities to pass more effective ordinances “prohibiting or otherwise regulating the manufacture, delivery, possession, or advertisement of drug paraphernalia.” Many cities have adopted their own ordinances to regulate drug paraphernalia, including specifically prohibiting sales. But for a variety of reasons, business owners routinely challenge these ordinances as unconstitutional and then successfully invoke virulent public outcry on that basis. This experience—along with costly court challenges—discourages other cities from taking similar steps to curb illegal drug activity, and leaves most cities only able to enforce an inadequate state law. Most states immediately around Minnesota define “drug paraphernalia” in a detailed way based on a 1979 model federal law designed to avoid constitutional issues. Minnesota does not. Federal law and the law of half the states immediately around Minnesota explicitly ban sales of drug paraphernalia, but Minnesota does not. The current state of the law arguably makes drug paraphernalia easier to obtain in Minnesota than in the states immediately surrounding it. Response: The League of Minnesota Cities supports strengthening the current statutory prohibition on drug paraphernalia, including improving the statutory definition of “drug paraphernalia” and explicitly prohibiting sales. SD-55. Regulation of Massage Therapists Issue: The state does not currently license nor register massage therapists. Minn. Stat. ch. 146A is the Complementary and Alternative Health Care Practices Act which identifies prohibited provider conduct and authorizes the Minnesota Department of Health to take disciplinary action against noncompliant providers who are not registered or licensed by a health-related licensing board. The office has authority to respond to allegations of prohibited behavior through an investigatory process but this function is triggered mainly by consumer complaints and there is no requirement that the office take any action. Additionally, resources for these purposes have been severely limited. In absence of any required statewide standards or regulation, several cities have entered the traditional state domain of health-care licensure by enacting ordinances that require all massage therapists to obtain a local professional license and many cities have also required bricks and mortar establishments to obtain a business license. These ordinances help local law 53 enforcement officers to differentiate between legitimate providers and businesses engaged in sex trafficking and prostitution as well as provide for health and sanitation standards. City staff and law enforcement have spent much time and resources conducting statewide criminal background checks; investigating massage therapist accreditation programs to determine legitimacy and credibility; and inspecting and monitoring establishments due to citizen complaints and concerns. This has resulted in different procedures, requirements and fee structures across the state. Despite the thorough work of city staff and law enforcement, when an illegitimate business suspects investigation, it will often close down and re-open in a different city. Without any sort of statewide database of these businesses, one city’s solution may become another city’s problem. Additionally, local law enforcement agencies do not have access to national criminal history data. This has allowed those with criminal convictions in other states related to sex trafficking and prostitution to obtain massage therapy business and/or professional licenses in cities in Minnesota. Allowing access to this information could help cities prevent sex trafficking across state lines. Response: The League of Minnesota Cities supports the statewide registration or licensure of massage therapists that would not pre-empt the ability of cities to regulate massage therapy establishments. The League also supports legislation pertaining to the practice of massage therapy that accomplishes the following: a) Helps cities establish legitimacy of providers and businesses applying for a local license to practice, including allowing local law enforcement agencies access to national criminal history databases. b) Prevents individuals from conducting criminal activities such as prostitution and sex trafficking out of establishments operating as massage therapy facilities. c) Improves provider compliance with Minn. Stat. ch. 146A and requires the state to take action in response to noncompliance. d) Protects the public from injury and from other conditions that may result in harm. SD-56. Regulation of Cannabinoid Products Issue: As legalization of cannabis and cannabinoid products has become more prevalent in states across the country, the Minnesota legislature has discussed legalization and potential regulatory framework. In 2022, the legislature passed legislation that authorized the sale of certain edibles and beverages infused with tetrahydrocannabinol (THC) extracted from hemp. The legislation provided limited regulation of these products in Minn. Stat. § 151.72 under the Board of Pharmacy, including restrictions and requirements on packaging, labeling, amount of THC, and sale of these products to those under the age of 21. Cities were not consulted during the drafting of this legislation but have local concerns that need to be addressed. Though the new law has some regulations on the products, there are significant gaps in state oversight and accountability of the manufacturing and production, testing, and distribution of the products. Additionally, the law does not 54 provide any restrictions on where the products can be sold and offers no guidance for local governments to regulate the sale of the products. The new law increases enforcement responsibilities for local governments which will result in additional costs for cities. Lacking significant oversight and regulations at the state level, some cities passed licensing and/or zoning regulations over the products. Though the law does not prohibit local regulation, many outstanding questions remain pertaining to law enforcement, employment, and the state-city dynamic of regulating and enforcing the law related to these newly legal products. There are also outstanding questions for cities as employers. The legal status of the new products creates challenges with existing drug-testing law and abilities. Drug tests can test for THC; however, they cannot differentiate whether a positive test for THC is the result of a legal THC edible product or an illegal cannabinoid. Additionally, unlike alcohol intoxication, there are no current tests to indicate intoxication or impairment levels from THC consumption for employees who may be showing signs of intoxication. Response: As the legislature addresses future issues related to cannabinoids cities must be included in the discussion and regulatory framework of these products. The League supports a strong regulatory framework with consideration to public safety, taxation, employment, and public health. A strong state regulatory framework is needed, including: a) A state regulatory framework with clear licensing, inspection, and enforcement for the cultivation, manufacturing, and distributing to retailers of cannabinoid products. b) Rigorous testing requirements similar to what is required under Minn. Stat. § 152.29 for the medical cannabis program. c) Reporting and enforcement structure for local law enforcement to report to the state, including penalties for non-compliance. d) Reporting and enforcement structure for local governments to address odor issues from processing plants. Cities should maintain the authority for: a) Local licenses for sellers with a state database of licenses. b) Local zoning regulations. c) Local authority to enact restrictions or regulations regarding the sale of the products more stringent than the state, including the authority to opt-out from authorizing the sale of the products. Public safety needs to be addressed: a) State law should prohibit the possession of cannabinoid products for those under 21, acknowledging the adverse effects of criminal penalties for youth. b) Ongoing state resources and training for law enforcement to address costs of public safety concerns such as increased staff for monitoring retailer compliance of state and local regulations and security. c) As technology becomes available for product testing, the state should 55 provide resources to local law enforcement for testing retail products to ensure compliance. The unfunded enforcement mandate and lack of taxation needs to be addressed: a) Knowing that local law enforcement will need to spend a significant amount of time and resources in enforcing cannabinoid products, the state must fund this mandate. b) Local jurisdictions should be authorized to impose a local impact tax at their discretion with broad flexibility on the ability to use revenue. Unique employment concerns need to be addressed: a) Minnesota and Federal law should clarify the duty and obligations of restricted employees, such as CDL holders and firearm-holding employees, as they relate to off-duty consumption of legal cannabis products. b) The legislature should clarify Minn. Stat. § 181.953 subd. 10, Minnesota’s Drug and Alcohol Testing in the Workplace Act (DATWA), regarding how the requirement for employers to give an employee who tests positive the opportunity to participate in either a drug or alcohol counseling or rehab after consultation with a certified chemical use counselor applies to the new edible THC products. c) The legislature should clarify that an employer is allowed to require an employee or applicant undergo cannabis testing or drug and alcohol testing for the purpose of determining the presence or absence of cannabis as a condition of employment for peace officer and/or firefighter positions. The state should consider public health concerns: a) The state should create and fund public health campaigns for education on the impacts of the products, training for retailers, safe use education, and adolescent use prevention. SD-57. Lawful Gambling and Local Control Issue: As part of the 2009 reforms to lawful gambling statutes, some local control was removed from the lawful gambling process. Previously, the lawful gambling licensee would have to obtain the city council’s approval as part of its application to renew the organization’s premises permit (some forms of lawful gambling require obtaining an organizational license and a premises permit(s) from the state). This step was removed when the state established a perpetual organizational license and premises permitting system. Because these licenses and permits are issued by the state, under the current system a city’s authority over these licensees is limited to: 1) approval of the initial premises permit; and 2) enforcement of the city’s lawful gambling ordinance. Some city officials have concerns that gambling organizations will be more apt to ignore local regulations (such as spending the required percentage of lawful gambling expenditures in the city’s trade area) if they don’t need the city’s approval for the renewal of their state-issued premises permits. Response: The licensee should be required to obtain local approval on an annual 56 basis, or at longer intervals as determined by the city, and file the resolution of local approval with the Gambling Control Board. SD-58. Liquor Liability Insurance Limits Issue: Minn. Stat. § 340A.409 requires that “no retail license may be issued, maintained or renewed unless the applicant demonstrates proof of financial responsibility with regard to liability imposed by Minn. Stat. § 340A.801” relating to the sale of alcoholic beverages. The minimum limits of liability currently in statute require $50,000 of coverage because of bodily injury to any one person in any one occurrence, $100,000 because of bodily injury to two or more persons in any one occurrence, $10,000 because of injury to or destruction of property of others in any one occurrence, $50,000 for loss of means of support of any one person in any one occurrence, $100,000 for loss of means of support of two or more persons in any one occurrence, $50,000 for other pecuniary loss of any one person in any one occurrence, and $100,000 for other pecuniary loss of two or more persons in any one occurrence. These limits have not been updated since at least 1985 and would provide very little relief to persons impacted by an intoxicated person. While cities can choose to require higher limits of liability than required by statute, it may create competitive imbalance between communities if the limits are not consistent. Response: The minimum limits in Minn. Stat. § 340A.409 should be increased to $500,000 per occurrence with a $500,000 annual aggregate. SD-59. On-Sale Liquor or Wine Licenses Issue: Minn. Stat. § 340A.404 defines the establishments to which a city may issue an on-sale intoxicating liquor license. Every year cities see local businesses and organizations with innovative models for event centers, food halls, arenas, boutiques, museums, art spaces, and cultural or community centers that are not clearly named in this statute but would like to obtain a liquor license. Several cities have received special legislation allowing their municipalities to issue on-sale liquor or wine licenses to these types of entities. However, this process interferes with the ability of municipalities to respond expeditiously to innovative business models, control the placement and operating manner of these entities, and limits municipalities from providing licenses for businesses that would generate local tourism and revenue. Response: The Legislature should modernize and expand the list of establishments in Minn. Stat. § 340A.404 to which municipalities are authorized to issue on-sale liquor or wine licenses, subject to restrictions imposed by the municipality, to allow for innovative business models and economic development within their jurisdiction. SD-60. Liquor Licensing of Non-Contiguous Spaces Issue: During the COVID-19 outbreak, restaurants and bars were able to open at limited capacity for in-person service with spacing requirements between tables both inside and outside. To provide opportunities for businesses to open and serve the public, many cities allowed for non-contiguous spacing of tables outside despite requirements outlined in Minn. Stat. § 57 340A.410, subd 7. This allowed customers to go to restaurants and bars and remain outside, which had been deemed preferable to dining indoors in mitigating the risk of exposure to the virus. This model proved to be successful for many businesses and enjoyed by residents. Cities would like to respond to customer and business expectations and continue being authorized to issue licenses to non-contiguous spaces. Response: The increased flexibility during the COVID-19 pandemic allowed businesses and cities to partner in response to the pandemic and city residents have enjoyed increased seating options. The League of Minnesota Cities supports amending Minn. Stat. § 340A.410 to allow for licensing of spaces that are not compact and contiguous during and after the pandemic. SD-61. Wine and Off-Sale Licenses Issue: Minn. Stat. ch. 340A authorizes cities to issue liquor licenses to various establishments within their jurisdictions, but in virtually all cases, the license issued by the city is not valid until the state approves it. This is true for such commonly issued licenses as wine, off-sale intoxicating liquor and temporary on-sale intoxicating liquor licenses. The result is extra time spent for city staff, as well as a time-based commercial impact to the business pursuing the original license. Additionally, if a business applies for an on- sale wine license, the state may choose to conduct an inspection of the business further delaying approval of the license and full operation of the establishment. This inspection is often in addition to a city certificate of occupancy inspection and a county health inspection. Response: The Legislature should remove the requirement of approval by the commissioner for city-issued liquor licenses and simply require cities to notify the state of newly issued and renewed licenses as is already the case for intoxicating on-sale liquor licenses and all 3.2-liquor licenses. If the state requires an inspection to certify an on-sale wine license, this should be delegated to either the city or county to be conducted at the same time as other inspections. This will expedite the process for both the state and the business. SD-62. Youth Access to Alcohol and Tobacco Issue: To promote public safety and public health, cities have an interest in preventing youth from obtaining alcohol and tobacco. For example, the Minnesota Department of Health reports that 80 percent of adult smokers had their first cigarette before the age of 18; reducing youth tobacco use may help prevent adverse impacts of tobacco in the future. To this end, many cities operate compliance check programs in an effort to discern the current level of youth access and to reduce youth access. Statewide, a number of cities have created community partnerships with their court systems, local businesses, and school districts to quickly address problems associated with youth access to alcohol and tobacco. Response: The League of Minnesota Cities opposes any proposal that could result in increased risks of youth access to alcohol and tobacco products and supports statutory changes that assist in reducing youth access to alcohol and tobacco products. The League supports locally-determined alcohol compliance check programs, but any state mandate for alcohol compliance checks should come with state-supported funding 58 initiatives to support these locally-determined compliance efforts. The Legislature should consider a grant program supporting locally-based community partnerships that can quickly and effectively respond to youth access problems. SD-63. Consumer Small Loans Issue: Consumer small loans, also known as “payday loans,” are short-term cash loans based on the borrower's personal check held for future deposit or on electronic access to the borrower's bank account. Borrowers write a personal check for the amount borrowed plus the finance charge and receive cash. In some cases, borrowers sign over electronic access to their bank accounts to receive and repay payday loans. Lenders hold the checks until the borrower’s next payday when loans and the finance charge must be paid in one lump sum. Consumer small loans are typically predatory in nature. According to Debt.org, an organization dedicated to helping consumers understand and overcome debt, predatory lenders typically target minorities, the poor, the elderly and the less educated. They also prey on people who need immediate cash for emergencies such as paying medical bills, making a home repair or car payment. These lenders also target borrowers that do not qualify for conventional loans or lines of credit due to credit problems or unemployment. Response: The League of Minnesota Cities seeks statewide legislation that would protect consumer small loan borrowers against predatory lending practices. Also, cities should have explicit authority to regulate consumer small loan conditions including the ability to cap finance charges and interest rates. SD-64. Regulation of Mobile Businesses Issue: The transient nature of mobile businesses presents unique challenges to traditional city zoning and permitting and may create an unfair competitive advantage over traditional businesses that pay property taxes and generate income for a city. Cities also make significant investments in the development of retail districts and downtowns and have a strong interest in maintaining a level playing field for brick and mortar establishments. Minnesota has seen a sharp increase in the number of food trucks (Mobile Food Units) operating throughout the state. Food trucks are licensed as food and beverage service establishments by the Minnesota Department of Health (MDH) or by local jurisdictions pursuant to an MDH delegation agreement. Food trucks are prohibited from operating in the same location for more than 21 days without approval of the regulatory authority. In 2015, the Legislature authorized the Board of Cosmetologist Examiners to adopt rules governing the licensure, operation and inspection of “Mobile Salons” which are operated in a mobile vehicle or mobile structure for exclusive use to offer personal services defined in Minn. Stat. § 155A.23, subd. 3. The rules must prohibit mobile salons from violating reasonable municipal restrictions on time and place of operation of a mobile salon within its jurisdiction, and shall establish penalties, up to and including revocation of a license, for repeated violations of municipal laws. Response: It is appropriate for mobile businesses to be licensed by the state or its designees in the same manner as non-mobile business establishments. Such state regulation must not preempt the 59 ability of local governments to enact reasonable time and place restrictions on the operation of mobile businesses within their jurisdictions. SD-65. Regulation of Party Buses and Boats-for-Hire Issue: A party bus (also known as a party ride, limo bus, limousine bus, party van, or luxury bus) is a large motor vehicle usually derived from a conventional (school) bus or coach, but modified and designed to carry 8 or more people for recreational purposes. In Minnesota, these vehicles are regulated by default under Minn. Stat. ch. 221 (the chapter of law dealing with motor carriers) and registered by the Minnesota Dept. of Transportation’s (MnDOT’s) Office of Freight and Commercial Vehicle Operations. The regulations require operators to carry commercial insurance, have an annual vehicle inspection and be registered with the state. Party bus drivers are required to hold a current commercial driver’s license (CDL) issued through the Minnesota Dept. of Public Safety’s Driver and Vehicle Services Division. A boat-for-hire is a watercraft used by owners and operators to carry passengers for hire. Minn. Stat. § 326B.94 and Minn. Rules 5225.6000 through 5225.7200 govern the requirements of boat owners and operators carrying passengers for hire on Minnesota’s inland waters. These vessels must have a permit to carry passengers for hire. They must have an annual safety inspection and a dry-dock inspection performed by Minnesota Department of Labor and Industry boiler inspection personnel once every three years (or annually if the hull is made of wood). The vessels must also be operated by a licensed master and must follow all Minnesota Dept. of Natural Resources’ boating and water recreation regulations. Party buses and boats-for-hire are sometimes chartered for celebrations such as weddings, proms, bachelor and bachelorette parties, birthdays and tours. Party buses are also popular for round trips to casinos and sporting events, and personalized drop-offs and pick-ups at various bars and nightclubs. Additionally, both party buses and boats-for- hire have become popular settings for adult entertainment. Cities have seen a sharp increase in the number of party buses and boats-for-hire being used as venues for illegal activities such as underage drinking, drug use and sex trafficking. The transient nature of party buses and boats-for-hire presents unique challenges to traditional city zoning, permitting and law enforcement. While state laws regulate requirements for the operation of party buses and boats-for-hire, the law is silent on enforcement, penalties, inspection and liability related to illegal activities that occur in party buses and on boats-for-hire. Response: The League of Minnesota Cities supports changes to state statutes that would help reduce criminal activities taking place on party buses and boats- for-hire. Specifically, the League supports: a) Creation of statutory definitions of “party bus” and “boat-for-hire” that contain permissible uses of the vehicles; b) Prohibition on offering or allowing “adult entertainment” as defined by Minn. Stat. § 617.242, “sexual conduct” as defined by Minn. Stat. § 617.241, or “nudity” as defined by Minn. Stat. § 617.292, subd. 3, on party buses and boats-for-hire; c) Explicit authority for peace officers to investigate suspicious activities on 60 party buses and boats-for-hire and to cite individuals on board who are involved in illegal activities; and d) Requiring the appropriate authority to utilize existing authority to impose fines, or to deny, suspend, or revoke permits or registration certificates held by operators found to have adult entertainment, drug, or underage consumption violations. SD-66. Environmental Protection Issue: Cities demonstrate strong stewardship for the protection and preservation of the environment. Minnesota municipalities have historically been the leading funding source for environmental protection and improvements. Municipal efforts include environmental protection through wastewater treatment, wetland restorations, stormwater treatment, public utility emission reductions, brownfield cleanup, safe drinking water programs, as well as others. At some point, however, the diminishing or nonexistent environmental benefit received from additional efforts is fiscally irresponsible. The programs are often improperly designed to meet their stated goals. Additionally, the absence of funding by the state and federal government has removed an essential restraining feature in program design and implementation. Agencies are less accountable to the governments that mandate environmental programs when they do not have to find the money to implement the programs. Specific problems faced by cities include: a) New programs or standards are continually adopted without regard to the existence, attainability or cost of existing programs and standards. b) Regulatory bodies fail to consistently use the best science available and the most current and accurate data when establishing water quality standards. c) Regulatory bodies impose new permit requirements without going through rulemaking. Instead, the agencies rely on internal documents, program strategies, and “best professional judgment of staff” when setting permit criteria. d) Regulatory bodies approve permits and programs that compete with traditional municipal services and encourage urban sprawl. This behavior puts at risk the public investments and growth management efforts cities have made when planning for future development. e) Permit fees and other cost-transfer elements of federal and state programs do not provide an incentive for environmental agency efficiency, policy prioritization or risk assessment. Additionally, all residents of the state contribute to the need for wastewater, drinking water, and stormwater treatment and benefit from the resulting improved water quality. These factors make the state general fund an appropriate source for significant portions of state water program funding. f) Third-party environmental advocacy groups create significant hardships on cities by threatening litigation even when the best science available may not support the groups’ positions. g) Cities are often required to pay the cost of removing problem materials from the waste stream, rather than preventing the problem at the consumer product or manufacturing level. 61 Response: Alternative wastewater treatment and cooperative service systems should be prohibited from operating in areas that can reasonably and effectively be served by existing municipal systems, unless: a) The municipal system is proven to be substantially less cost-effective and substantially less beneficial to the environment; and b) The operation of these systems will not create a stranded public investment in the existing system. Sufficient state and federal financial assistance should be provided to local governments when complying with state and federal infrastructure requirements, particularly with regard to wastewater, stormwater, and drinking water facilities. The Minnesota Pollution Control Agency (MPCA) should streamline its permitting and re-issuing processes to allow for effluent standards and permit requirements to be known earlier, thereby giving communities more time to defend against contested case hearings. The Legislature should require the MPCA to make its determination regarding permit-required submittals, permit modifications, and the reissuance of a permit within a reasonable set time period, and require the MPCA to make its determinations and reissue the permit within that reasonable set time frame. The state should ensure townships are required to meet the same environmental protection and regulatory requirements as cities. Legislation should be passed that requires state agencies to establish permit requirements only when the criteria they are using is developed through the rule- making process. State agencies need to develop science-based standards and quantify new effluent standards, ensuring that they are scientifically and economically practicable. State and federal agencies should coordinate and integrate their monitoring data to assure that all pertinent data is available and utilized. The state general fund is an appropriate source for state water program funding. Municipal water permit fees should only be increased if new revenue is needed because of increased costs of processing municipal water permits or if the funds would go for specific scientific research, technical and financial support for cities, or agency staffing needed by cities to address environmental and public health concerns, not as a means to generate new revenue to cover other budget shortfalls. Additionally, the Legislature should create effective, producer-led reduction, reuse, and recycling programs to deal with a product’s lifecycle impacts from design through end-of-life management and should regulate products and compounds that damage water quality, sewer collection, stormwater or wastewater treatment systems at the consumer and manufacturing levels, not just at the treatment and infrastructure maintenance level. Examples include requiring accurate labeling as to whether disposable wipes can be safely flushed and creating incentives for private salt applicators to reduce the volume of salt they apply. 62 SD-67. Impaired Waters Issue: Despite the billions of dollars that Minnesota municipalities have invested and continue to invest in wastewater and stormwater management systems, and best management practices to protect, preserve, and restore the quality of Minnesota’s surface waters, the quality of some of Minnesota’s surface waters does not meet federal water quality requirements. The federal Clean Water Act requires that further efforts be made by the state to reduce human impacts on surface waters that are determined to be impaired due to high pollutant loads of nutrients, bacteria, sediment, mercury, and other contaminants. Scientific studies of these waters must be conducted to determine how much pollution they can handle (Total Maximum Daily Loads, or TMDLs). The pollutant load reduction requirements will affect municipal, industrial, and agricultural practices and operations along any river, stream or lake determined to be impaired. While the sources of 86 percent of the pollutants affecting Minnesota waters are non-point sources, there will also be new costs and requirements for point-source dischargers, like municipal wastewater treatment facilities. Municipal stormwater systems will also face increased protective requirements and regulation as part of the state’s impaired waters program. Response: The League of Minnesota Cities will work actively with the administration, the Legislature, and other stakeholders in the design and implementation of Minnesota’s impaired waters program to: a) Ensure equitable funding solutions are found, such as the state general fund or bonding, that broadly collect revenue to address this statewide problem; b) Support legislative appropriation of constitutionally dedicated clean water revenues that will supplement traditional sources of funding for these purposes, not be used to cover budget cuts, backfill past program reductions, or to otherwise supplant normal state spending on water programs; c) Direct the majority of funds collected by the state for impaired waters into programs that fund municipal wastewater and stormwater projects, and for state programs needed for municipal wastewater and stormwater permitting and technical support, including the Clean Water Revolving Loan Fund, Wastewater Infrastructure Fund, TMDL Grants Program, Small Community Wastewater Treatment Grant and Loan Program, and other state programs that provide financial resources for city wastewater treatment facilities, septic tank replacement, stormwater management projects, and other city water quality improvement and protection projects; d) More adequately cover the current five-year wastewater infrastructure funding need projection of more than $1.65 billion; e) Recognize and address the upcoming costs of stormwater management infrastructure and operation on municipalities from new regulatory mandates and load reduction requirements; f) Allow flexibility in achieving pollutant load reductions and limitations through offsets or trading of pollutant load reduction credits for both point 63 and non-point load reduction requirements within watersheds; g) Recognize and credit the work underway and already completed by local units of government to limit point and non-point source water pollutant discharges; h) Recognize the diversity of efforts and needs that exists across the state; i) Ensure the best science available is used to accurately determine the sources of pollutant load in order to maximize positive environmental outcomes and minimize unnecessary regulatory and financial burdens for cities by correctly accounting for and addressing agricultural and other non-point pollutant sources; j) Ensure the state requires that the MPCA retain control of the TMDL development process and that all scientific research related to TMDLs is conducted by the MPCA or qualified, objective parties pursuant to state contracting, procurement, and conflict of interest laws; and k) Clarify state water quality mandates so cities know specifically what they are required to do and what methods of achieving those outcomes are acceptable to state and federal regulators. SD-68. Municipal Public Water Supplies Issue: Essential residential water supplies provided by public water supply systems are classified as the highest priority for the use of public water under Minn. Stat. §103G.261. Minnesota cities spend significant resources meeting their responsibility to providing safe, reliable, affordable water to their residents in a sustainable manner. That is an essential element in assuring a healthy and stable future for public health, the environment, and economic development. As a result, municipal water suppliers have collected some of the most current and accurate information available on local water conditions. The state requires extensive planning and permitting processes for municipal water suppliers to document that their systems are drawing water at sustainable levels, that the water is safe for human consumption, that they have land use controls in place to protect public water supplies from contamination, that adequate plans exist for emergency and high demand situations, and that rate structures meet state statutory requirements. Those systems are constantly becoming more technologically, environmentally, and economically efficient. City water suppliers have invested many billions of dollars to develop their utility systems and infrastructure in a manner that meets those criteria. Demand and supply sides of this issue are being addressed throughout the state. Cities have established educational programs, incentives, and local water use restrictions to further improve water conservation efforts, while appliances and plumbing fixtures are becoming more efficient in their water use. Furthermore, stormwater is being infiltrated into the ground at unprecedented levels as part of municipal stormwater permit requirements and is being redirected for irrigation purposes in some cities. Despite those efforts, there are places in the state where monitoring data indicates that water may be being used faster than the supply can sustain, particularly in the case of underground aquifers. These issues are very 64 complex, however, and causes and effects are not always easily documented or understood. City water supplies are not the only users of that water, either. Industries, smaller private wells, agricultural operations, irrigation systems, and contamination containment and treatment can all be major drains on local water supplies. Hard facts and sound science need to be used to determine the best courses of action to assure that safe, reliable, affordable water supplies are available to future Minnesotans. Those approaches will vary considerably depending on local water and soil conditions, the types and sizes of users, and the quantity and quality of available water. They also need to be coordinated between the many state entities that play a role in water management and regulations so that scarce local resources are not wasted and efforts are not counterproductive to other priority environmental and public health results. Response: The state should lead the development of sound scientific information on water supply, aquifer recharge, and groundwater availability and quality, making good use of the existing studies, data, and staff expertise of municipal water suppliers. The state should also be working to remove barriers to water re-use, aquifer recharge, encouraging cultural changes in water use practices, applying technology for smart water use, exploring impacts and creative mitigation options at contaminated sites, on ways to incent and enable alternate uses of stormwater, and ways to make sure that all water users play a role in ensuring that water supplies are being managed in a manner that is sustainable for future residents. Those solutions need to keep in mind that essential residential water use is the highest preferred use of public water supplies. Finally, in cases where sound management of water resources will require substantial modifications in public water systems that were previously determined to be adequate, the state needs to be a partner in developing cost-effective solutions and in providing the technical and financial resources to make those changes to prevent communities from being economically uncompetitive. SD-69. Municipal Electric Utilities Issue: Municipal electric utilities provide essential community services to many Minnesota cities. The League of Minnesota Cities works closely with the Minnesota Municipal Utilities Association (MMUA) to identify issues of concern and to support their legislative and administrative efforts to address them. How those entities are regulated by the state, how their service territory is defined and amended, how their very limited customer base is protected, and how they are treated in relation to other types of electric utilities is important to them remaining affordable, efficient, and effective. Currently, the legislative proposals have been made to allow unregulated third-party electricity sales from generators directly to the customer, circumventing long-established consumer protections. In some cases, municipal utilities would be required to “wheel” energy from third parties across their power lines to retail customers in violation of the utility’s exclusive service area rights. Another way to arrange third-party sales is by selling electricity from solar panels or 65 other generating equipment sited on a consumer’s own property to retail customers, while maintaining ownership of those panels or equipment. The equipment owner would charge for electricity it provides, yet rely on the local utility to provide reliable service to the customer at all other times. While such arrangements may seem convenient to an unregulated third-party, they come at a significant cost to the utilities and subsequently, to the rate payers of that utility. Providing municipal reliable utility services comes with certain unavoidable expenses such as electric generation, power lines, poles, and substations. These types of fixed costs are on-going and should be equitably shared by the local customers. However, both current and previously proposed changes to state law would give third-party providers an advantage subsidized by the remaining rate payers and/or taxpayer. Response: The legislature should support and maintain the current regulatory compact, and recognize the value of the dependable services provided by municipal utilities, and the fact that municipal utilities are accountable directly to the citizens. Further, the legislature should reject giving third-party providers any advantage over municipal utilities, as well as any other effort to de-regulate utilities. Additionally, current state practice is for the Department of Commerce and Public Utility Commission to require payment of quarterly fees on municipal utilities to the Department of Commerce three quarters in advance. The state should bill for those fees only for the upcoming quarter. SD-70. State Support for Municipal Energy Policy Goals Issue: The State of Minnesota has adopted an aggressive energy policy focusing on the promotion of energy efficiency and the expansion of renewable energy with the goal of achieving a reduction in carbon generation through reduced use of fossil fuels. To meet state energy and greenhouse gas reduction goals, efforts at the city level will be essential. That local work will generate significant economic benefits both in communities where it is done and more broadly, as industries and professional contractors expand their services throughout the state. Minnesota cities share this goal, as demonstrated by over 140 cities voluntarily participating in the GreenStep Cities program. However, already strained budgets and reserves at the state and local level have limited the ability of the state to assist local units of government in furthering specific projects that support the overall state goal. In addition, institutional knowledge and capacity of most cities limits their ability to explore energy efficiency or renewable energy projects, even projects whose energy “payback” could finance project capital costs. As the role cities are playing in reducing energy use and developing renewable energy generation expands, how those efforts are affected by electric utility practices also becomes more important. Utility billing is not consistent between electric utilities, with many using different rate categories, significantly complicating B3 benchmarking reporting and billing transparency. For projects on which a utility provides capital, the length of time over which city projects are amortized can also be extended to the point that energy cost savings are eliminated, even with substantial 66 demand reductions. The application of demand and peak demand rates in repayment schedules can also reduce or eliminate energy cost savings. Response: The League of Minnesota Cities calls on our legislators and state executive agencies charged with accomplishing the state’s energy policy goals to assist cities, townships and counties with tailored efforts to identify appropriate energy efficiency and renewable energy projects for undertaking at the local level. Among those tools, the state should: a) Provide grants to support the development of local climate action and adaptation plans and tie those plans to funding made available to implement them; b) Where possible, build on existing assistance and incentive programs to limit duplication of effort, improve efficiency, and minimize new tracking and reporting requirements; c) Help ensure that reduced energy use results in reduced energy costs by addressing problems with amortization timing; d) Have laws that allow and support utility grant and loan programs; e) Create a grant program to assist in covering local capital costs to install solar energy systems on public buildings; f) Use proceeds from the Renewable Development Fund to support local government projects; g) Provide increased flexibility for utilities to work with local government; h) Support development of a unified electric energy billing and usage structure that is easily imported into a B3 Benchmarking tracking system; i) Develop a framework that allows Property Assessed Clean Energy Programs; j) Play an increased role in providing a comprehensive network of charging stations to support a transition to electric vehicles and equitable access to charging stations; k) Create a grant and loan program to offset start-up capital expenses for projects identified where the savings in energy costs can offset capital project costs or where projects are needed to meet energy policy goals; l) Clarify state law so that cities may use public utility franchise agreements to advance energy policy goals, and; m) Recognize that for the state to meet its goals, hands-on state energy agency technical expertise needs to be made available to cities at no cost. SD-71. Urban Forest Management Funding Issue: Urban forests are an essential part of city infrastructure. Dutch elm disease, oak wilt disease, drought, storms, and emerald ash borer threaten our investment in trees. The costs for control and removal can be catastrophic and put pressure on city budgets. The Minnesota Department of Natural Resources, through its Urban and Community Forestry program, and the Minnesota Department of Agriculture, through its Shade Tree and Invasive Species program, currently have regulatory authority to direct tree sanitation and control 67 programs. Although these programs allow for addressing some tree disease, pest, and other problems, funding levels have been inadequate to meet the need of cities to build capacity for urban tree programs and respond to catastrophic problems. Cities share the goal of the state’s Releaf Program—promoting and funding the inventory, planning, planting, maintenance, and improvement of trees in cities throughout the state. In addition, economic gains for stormwater management, tourism, recreation, and other benefits must be protected from tree loss. A lack of timely investment in urban forests costs cities significantly more in the long run. Further, more and more cities are facing immediate costs for the identification, removal, replacement, and treatment of emerald ash borer (EAB) as it spreads across the state. The state has no program to assist cities in covering those expenses. Response: The League of Minnesota Cities supports funding from the general fund or other appropriate state funds for a state matching grant program to assist cities with building capacity for urban forest management and meeting the costs of preparing for, and responding to, catastrophic urban forest problems. Specifically, direct grants to cities are desperately needed for the identification, removal, replacement, and treatment of trees related to management of EAB. The state should establish an ongoing grant program with at least $5 million per year that is usable for those activities. SD-72. City Pesticide Application Authority Issue: Current state law in Minn. Stat. § 18B.09 limits city authority to an ordinance requiring warning signs after pesticide application. With many cities working to increase pollinator-friendly habitat and reduce the impact of pesticide usage known to be lethal to pollinators, cities are seeking further tools to meet those public expectations. With small lot sizes, primarily non-agricultural property uses, and dense residential concentrations, cities often find that the broader state pesticide regulations are not adequately protective of pollinators and are seeking additional state authority to address these issues in their communities. Response: The state legislature should amend Minn. Stat. § 18B.09 to allow cities to opt to restrict the application or use of pollinator-lethal pesticides within their community and require the Minnesota Department of Agriculture to maintain a list of which pesticides include pollinator protection boxes in their labeling or precautionary pollinator or bee warnings in the environmental hazards section of their labeling. SD-73. Election Issues Issue: Cities play an important role in administering state and federal election law and conducting voting activities. Response: To strengthen the effectiveness of elections administration, the Legislature should: a) Seek the input of cities, townships, counties, and school districts on proposed changes to voter registration, election law, and needed improvements and updates to the Statewide Voter Registration System; b) Amend the timeline for candidate filings in cities without a primary so that the final day of filing is prior to the August primary date and align the date when city and school district 68 ballot questions must be submitted to the county to match the close of candidate filing; c) Expedite court action to resolve candidate eligibility related to residency in errors and omissions proceedings; and d) Eliminate redundant audio testing of assistive voting technology and equipment by election judges in precinct polling places on Election Day; and e) Support local governments with funding to upgrade dated and aging elections equipment and provide accessibility measures at polling places. SD-74. Administering Absentee Balloting Issue: Eligible voters in Minnesota may vote by absentee ballot prior to Election Day. Starting 46 days before the election, a voter can request an application for an absentee ballot and if approved, receive and cast an absentee ballot in one visit to their county or city election offices. Ballots can also be requested, applied for and received by mail and returned by the voter to the election office by 3:00 pm on Election Day or by 8:00 pm on Election Day if delivered by mail or package delivery. Absentee balloting results are not known until combined with polling place results when the polls close on Election Day. For those voting absentee in-person, the absentee ballot application process is burdensome and confusing as voters expect the same process they encounter in their polling place on Election Day. The application process should be replaced by having the voter verify their identity on a paper or electronic roster. Currently electronic signatures are not allowed by state law; having the authority to use electronic signatures would make the process more efficient. Streamlining the voter check-in procedures would increase efficiency and decrease the time voters spend in line waiting to cast their absentee ballot. Minn. Stat. § 203B.121, subd. 4 stipulates that at the close of business on the seventh day before Election Day, elections administrators can begin processing absentee ballots received by mail and accepted. At the beginning of the seventh day before Election Day, in-person absentee voters can place their ballots directly into a tabulator (Minn. Stat. § 203B.081, subd. 3). If a voter who has voted absentee prior to the seventh day before Election Day wishes to “claw back” their ballot and receive a new ballot, they are able to do so through the seventh day. Once direct balloting begins, a voter should no longer be able to “claw back” a ballot. Additionally, opening absentee ballots that have been accepted should begin at the beginning of the day on the seventh day before Election Day. For those who vote in-person absentee prior to the seven days before Election Day, there is confusion and in some cases, frustration that they are not allowed to place their ballots directly into a tabulator. To match the voter experience to be the same as they would experience on election day and respond to the voter demand to vote early, this time period should be increased from seven to the full 46 days before Election Day. Additionally, a voter can request to place their ballot in a series of envelopes similar to those returned by mail to be processed after they have left the building. Few, if any, voters request to place their ballot into envelopes. 69 State law allows alternative sites for conducting absentee balloting but requires that these sites remain open for the full 46 days prior to Election Day. For some jurisdictions, staffing alternative sites for the full 46 days is not efficient as these sites may be underutilized until closer to Election Day. Cities should be able to determine the length of time most appropriate for alternative sites to meet the voting demands of their residents. As required by state law, voters would maintain the ability to vote in- person absentee during the full 46-day period at city halls. Current law allows for in-person absentee voting until 5:00 p.m. on the day before Election Day. This does not leave adequate time for election officials to process absentee ballots, prepare supplemental lists indicating which voters have already cast absentee ballots and deliver the lists to precincts prior to opening of the polls on Election Day. The current absentee voting process further requires that additional supplemental lists of final absentee voters be delivered to the polls after the last mail delivery on Election Day and often leads to administrative challenges and increased potential for errors in the process. As more and more voters choose to vote early with absentee balloting, improvements must be made to increase efficiency of administering absentee balloting before Election Day, reduce the potential for errors, and to improve voter experience. Response: The League of Minnesota Cities supports: a) Removing the paper application requirement for in-person absentee voters and allow voters the option to apply electronically; b) Amending state statute to allow elections administrators to begin processing accepted absentee ballots when direct balloting begins at the beginning of the seventh day before Election Day and subsequently, concluding the “claw back” period at the close of business the day before; c) Increasing the time period that an in-person absentee voter can place their ballot directly into a tabulator from seven to 46 days; d) Eliminating the option to place an in-person absentee ballot in a series of envelopes instead of a tabulator; e) Allowing alternative in-person absentee voting sites to be established for less than the full 46 days currently required by state law; f) Establishing an earlier deadline for ending in-person absentee voting; g) Revising absentee ballot regulations to allow any person 18 and older to witness the absentee process and sign the envelope as a witness; and SD-75. Loss of Felon Voting Rights Issue: There is confusion as to when voting rights are restored to those convicted of a felony, and notification of restoration is inconsistent or nonexistent. This very often leads to challenges placed on Election Day rosters for those convicted of a felony who are not eligible to vote and election judges must then challenge the voter and spend time and resources determining a voter’s eligibility. It would be much clearer if the loss of voting rights occurred only when a person is incarcerated. 70 Response: The League of Minnesota Cities opposes the loss of voting rights for those convicted of a felony who serve the entirety of their sentence in the community and are not incarcerated. If incarcerated, the League of Minnesota Cities supports the restoration of voting rights to those convicted of a felony once they have completed their term of incarceration. This will eliminate the administrative burden of challenging voters at the polls and determining eligibility from various jurisdictions. This will also eliminate the need for investigation by local law enforcement of those who have unknowingly registered to vote or voted before their rights were restored. SD-76. Write-in Candidates in City Elections Issue: For federal, state and county offices, write-in candidates are totaled together as one number for write-in votes. If a candidate wants the write-in votes to be individually recorded, the candidate must file a written request with the Secretary of State no later than seven days before the general or special Election Day. This provides any declared write-in candidate the same provisions for tabulation as a candidate whose name is printed on the ballot. Because this requirement does not exist in city elections, city election officials are required to take considerable time and resources to count and individually record write-in votes cast, many of which are frivolous. Response: The League of Minnesota Cities supports legislation to: a) give cities the option to require that write-in candidates for local elective offices file a formal request with the chief election official at least seven days before the city election if they wish to have their write-in votes individually recorded; and b) allow the city clerk to only compile and report write-in votes for specific candidates if the total number of write-in votes for an office is greater than or equal to the number of votes received by the candidate appearing on the ballot receiving the fewest number of votes. SD-77. Ranked Choice Voting Issue: Current law allows charter cities to consider and adopt Ranked Choice Voting (RCV) as an alternative voting method in local elections. State statute does not extend this authority to statutory cities. Additionally, there are no statewide standards for conducting RCV. The lack of consistent guidelines on how to effectively implement a RCV system imposes significant challenges for election administrators and voters. The Office of the Secretary of State certifies voting systems for cities and counties across the state. This process does not include the systems used for RCV elections. This makes it difficult for cities to access voting systems approved by the state. Minn. Stat. §§ 204D.11 and 206.90 require the use of one ballot only for a state general election unless there is a need for a separate judicial ballot. To allow cities that have implemented RCV to hold municipal elections in conjunction with a state general election, state statute must be amended to allow for more than one ballot. Response: The League of Minnesota Cities supports: a) legislation that would give statutory cities the same authority given to 71 charter cities to consider and adopt RCV; b) statewide standards for those cities that choose to adopt RCV to ensure it is implemented consistently throughout the state to give voters confidence in the fairness of the alternative process of casting their ballots and in the outcome of such elections; c) a state certification process for voting systems used in tabulating RCV elections; and d) allowing for the use of more than one ballot should a city with RCV conduct a municipal election in conjunction with a state general election. SD-78. Voter Assistance Issue: Increasingly, voters may need assistance with language translation. Currently state statute does not allow for the hiring of language interpreters for the sole purpose of assisting voters with ballot language interpretation; they must also be trained as and serve as election judges. This limits the availability and access to language interpretation for voters. The federal Uniformed and Overseas Citizens Absentee Voting Act (UOCAVA) provides the legal basis for absentee voting requirements for U.S. citizens who are active members of the Uniformed Services, the Merchant Marine, and the commissioned corps of the Public Health Service and the National Oceanic and Atmospheric Administration, their eligible family members and U.S citizens residing outside of the United States. This process allows a voter to complete a ballot electronically and then return it via mail. Voters with disabilities may have assistive technology within their homes that best meets their needs. Allowing them to receive a ballot electronically, similarly to UOCAVA voters, would subsequently allow them to complete their ballot utilizing their own personal assistive technology. State statute does not allow a voter to complete a ballot electronically. As election equipment and assistive technology continues to evolve, it is critical that local elections administrators have flexibility in purchasing equipment and technology that will best meet the needs of voters within their communities. Response: The League of Minnesota Cities supports the ability of elections administrators to respond to the needs of voters who may benefit from assistance to ensure the greatest level of participation by those eligible to vote. This includes: a) Allowing the hiring of second language interpreters to staff polling places; b) Extending electronic voting to people with disabilities; and c) Increasing flexibility for elections administrators to purchase assistive voting equipment and technology that best meets the needs of voters with disabilities. SD-79. Electronic Rosters Issue: While electronic rosters (or “e-poll books”) may increase efficiency and decrease cost for some cities, this may not be true for all. As cities explore the use of electronic rosters, data collected from the Office of the Secretary of State and from jurisdictions that have used the technology, may be helpful in determining next steps and to improve the process. Currently when 72 a voter verifies their identity at a polling place via an electronic roster, they sign a paper form. State law does not allow voters to sign the e-poll book. Response: As the Legislature continues to examine the use of electronic rosters, cities should retain the option of utilizing this technology but should not be required to do so. If cities choose to use e-poll books, the use of electronic signatures should be allowed to increase efficiency. To ensure there is a paper copy of the signatures, the receipts printed by the electronic rosters should include a copy of the voter’s signature. SD- 80. Election Judge Recruitment and Retention Issue: Nearly 30,000 Minnesotans serve as election judges. The recruitment and retention of election judges is a significant and essential component of administering elections throughout the State of Minnesota. State statute requires that precincts with more than 500 registered voters be assigned at least four election judges and those with fewer than 500 registered voters be assigned at least three election judges. Minn. Stat. § 204B.21 requires that at least two election judges in each precinct serve with a different major political party designation, except for student trainee election judges. The remaining election judges in a precinct can serve without an affiliation to a major political party and no more than half the judges in a precinct may belong to the same major political party. Statute specifically requires election judge party balance to perform four polling place activities: assisting a voter in curbside voting; opening the ballot box; duplicating ballots; and in conducting an election at a Healthcare Facility. Political party affiliation is also unnecessary in city special elections when offices on the ballot are nonpartisan. Minn. Stat. § 204B.19 allows high school students to be excused from school to serve as a trainee election judge if the student submits a written request signed and approved by the student's parent or guardian to be absent from school and a certificate from the appointing authority stating the hours during which the student will serve as a trainee election judge to the principal of the school at least ten days prior to the election. This process is not currently extended to college students which has proven to be a barrier for recruiting college students to serve as election judges. Additionally, teachers and college faculty are also allowed to take time off of work to serve as an election judge. Response: To ensure state requirements are met, party balance is maintained, and to expand the opportunity of serving as an election judge to others, the League of Minnesota Cities supports the following changes: a) Authorize college students to get time off from classes if they have been appointed to serve as an election judge; b) Allow for one election judge affiliated with any major political party defined in Minn. Stat. § 200.02, subd. 7 or minor political party in Minn. Stat. § 200.02, subd. 23 to perform an election activity that requires party balance specifically outlined in statute and based on the election judge’s oath that all will perform duties in a fair and impartial manner and not attempt to create an advantage for any party or candidate. If partisan requirements cannot be met because of late staffing changes in the polling 73 place, then cities should be allowed to meet party balance through an election judge who has not declared a party affiliation; and c) Require major political parties to provide updated lists of persons interested in serving as election judges directly to cities and counties and on an ongoing basis so that recruitment lists are timely to best assist cities in meeting party balance requirements. SD- 81. Mail Balloting Issue: Minn. Stat. § 204B.45 authorizes all non-metropolitan townships and cities with less than 400 registered voters located outside of the Minneapolis/St. Paul seven-county metropolitan area to hold elections by mail. A city may conduct mail balloting for an individual precinct having fewer than 100 registered voters, subject to the approval of the county auditor. Staffing and equipment needs can be very costly and mail balloting is an efficient way of conducting an election for cities that have lower numbers of registered voters regardless of location in or outside the metro area. It is not uncommon for the redistricting process to create very small precincts in the metro area that are more cost-effectively served by a mail balloting process. Additionally, for special elections that historically have lower turnout, mail balloting could increase voter participation. Response: The League of Minnesota Cities supports allowing all cities to conduct mail balloting. SD- 82. Modernizing Charter Amendment Process Issue: Minn. Stat. § 410.12 outlines the process for amending city charters and one of the methods is citizen petition and Minn. Rules 8205 provides specific criteria for formatting. City staff then review the petition to determine if it is valid and has met statutory requirements for completion and submission. To ensure that both citizens and city staff fully understand the requirements, clarifying changes should be made. Response: To improve the process for amending a city charter, the League of Minnesota Cities supports: a) Adding clarifying language regarding “registered voters”. These voters must be eligible voters in the district for which the petition is being circulated who are in active status on the statewide registration system at the time of petition verification and have not had a name or address change since the most recent voter registration application was submitted. b) Ensuring that petitioners have access to the petition, public information lists used to verify registered voters, and the examination log available for inspection on request of any registered voter. c) Revising Minn. Rules 8205 to ensure that formatting requirements are clear and up to date. SD- 83. Presidential Nomination Primary Issue: In 2016, the legislature passed into law a process for the state of Minnesota to conduct a presidential nomination primary in 2020 for president of the United States. This is administered by cities and counties much the same way elections are conducted. 74 Minn. Stat. § 207A.15 provides a process for local units of government to be reimbursed for expenses incurred from conducting the primary. The Office of the Secretary of State (OSS) submits to the Department of Management and Budget (MMB) an estimated cost of administering the primary, and MMB provides funding to the OSS. That funding is then distributed to local units of government as a reimbursement based on expense reporting submitted to the OSS. Because the presidential nomination primary is a partisan activity administered on behalf of political parties, it is critical that local units of government be reimbursed fully and that no cost be borne by cities. Additionally, conducting a primary election by mail could conserve resources and potentially increase voter participation. Response: The League of Minnesota Cities supports: a) Ensuring that local units of government are fully reimbursed for all anticipated and unanticipated costs of conducting the presidential nomination primary; and b) Allowing the presidential nomination primary to be conducted via mail balloting. SD- 84. Health Care Facility Voting Issue: Minn. Stat. § 203B.11 outlines the process for individuals living in health care facilities to vote. Local election officials send teams of election judges to facilities such as nursing homes and hospitals during the 20 days before the election. They distribute ballots to eligible residents of the facility and provide assistance as needed. Allowing more time for this process would increase resident ability to register to vote or apply for an absentee ballot and ensure their ballot is submitted. There have been instances when facility staff have refused entry to city elections officials to provide health care facility outreach voting. It is essential that city staff are able to provide this service to ensure that every eligible resident is able to vote should they choose to. It is not uncommon for residents of health care facilities to move to different rooms or units within a building. If their voter registration is tied to a specific unit within the building, they must re-register to vote after moving or their ballot may be rejected. This is unnecessary given the resident still lives in the same facility. The process for health care facility voting is required in precincts that conduct elections by mail. This is confusing for residents and facility staff. This requirement should be eliminated in mail-only precincts though elections administrators should work to ensure that any new resident of a facility is able to register and receive a ballot. Response: It is critical that those living in health care facilities are able to vote securely and with minimal complication. To do so, the League of Minnesota Cities supports amending state law to increase flexibility for cities and health care facilities partnering in administering elections. This includes: a) Extending the time period that clerks are required to administer health care facility voting up to 46 days before an election to coincide with the start of absentee voting instead of the pre-registration deadline.; 75 b) Requiring entry into facility for city elections officials to ensure residents are able to vote; c) Eliminating the need to include a specific room or unit number on voter registration or absentee ballot applications of those living in health care facilities; and d) Exempting mail-only precincts from also conducting health care facility voting while ensuring that new residents are able to register and receive a ballot. SD- 85. Voters Experiencing Homelessness Issue: Minnesotans experiencing homelessness are able to register to vote using the location of where they usually sleep as defined in Minn. Stat. § 200.031. This could be an intersection or shelter address. Because the voter does not have a permanent mailing address, the registration is often challenged which then requires a voter to re-register each election. This process also requires a registered voter in the precinct to vouch for that person which can be difficult to find when experiencing homelessness. For those experiencing homelessness, leaving their space and any belongings can potentially mean losing them. This becomes a significant barrier to registering to vote and participating in elections. Response: The League of Minnesota Cities supports the following to improve the process for voters experiencing homelessness to safely and securely vote. a) Update Minn. Stat § 200.031 to allow an eligible voter to designate a residential address or the address of a facility or residential shelter, such as homeless shelter or woman’s shelter, that assists people experiencing homelessness where their official election mail may be sent and have that serve as the address for assigning a precinct and polling location. b) Allow cities to do outreach in areas with concentrated populations of those experiencing homelessness to register people to vote, assist with applications for absentee ballots, and issue and receive ballots in a process similar to Health Care Facility outreach. SD- 86. Voter Registration Issue: While registering to vote is the most critical step an eligible voter must complete prior to casting a ballot, it remains a complicated process and barrier to new voters. Procedures currently utilized in the state have largely remained unchanged for many election cycles and fail to account for changes in population demographics and increasing demands for non-traditional voting methods. Minn. Stat. § 201.061 currently stipulates that eligible voters may either register to vote no less than 20 days prior to an election or on Election Day at their polling place. In addition to completing the necessary paperwork, a potential voter is required to provide proof of identity and residence. One option for proof of residence is to have a registered voter from the same voting precinct vouch for the eligible voter. The vouching process is a vital option for voters lacking current documentation but remains challenging. While voters very likely know people in their neighborhood, this does not guarantee they reside in the same voting precinct. Local roads are often 76 used to divide voting precincts, thus putting neighbors across the street in different precincts. This issue is even more prevalent for voters experiencing homelessness where vouching is often the only viable option for registering. Expanding the eligible vouching list to those who reside in the same city would provide further flexibility to voters and allow election officials to still track the limit of 8 vouches per person. Under Minn. Rules 8200.5100 the Secretary of State defines the list of acceptable documents that voters may use for proof of residence. While there are many options currently authorized, many comparable or similar documents are not currently allowed. The lack of consistency creates a great deal of confusion for voters as to why documents providing the same information are not treated the same. New emerging industries and services are also not accounted for. Consideration should be given to adding documents like work paystubs, tax returns, mortgage closing paperwork, non-standard lease/rental agreements (Hotels, AirBnB, group homes), a social service agency letter describing where a homeless voter lives, USPS address change verification, and other documents issued by government entities. Additionally, under Minn. Rules 8200.5100, voters may present bills due or dated within 30 days of Election Day to meet proof of residence requirements. This timetable can be problematic when the absentee voting period starts 46-days prior to the election. The 30-day window around Election Day often results in some voters not having a current enough bill to register in the first few weeks of absentee voting. It can be confusing for voters as to why their most current bill is not accepted as proof of residence. Having a start date coincide with the start of absentee voting would provide more voters access and remove confusion on the different deadlines. Response: The League of Minnesota Cities supports modernizing current voter registration procedures such as: a) Expanding eligible vouchers to any registered voter in the same city. b) Expanding the list of acceptable documents that can be used for proof of residence. c) Expanding the current 30-day window for original bills that voters may utilize for registration to coincide with the 46-day absentee voting period. 77 IMPROVING LOCAL ECONOMIES LE-1. Growth Management and Annexation Issue: Unplanned and uncontrolled growth has a negative environmental, fiscal, and governmental impact on cities, counties, and the state because it increases the cost of providing government services and results in the loss of natural resource areas and prime agricultural land. Response: The League of Minnesota Cities believes the existing framework for guiding growth and development primarily through local plans and controls adopted by local governments should form the basis of a statewide planning policy, and that the state should not adopt a mandatory comprehensive statewide planning process. Rather, the state should: a) Provide additional financial and technical assistance to local governments for cooperative planning and growth management issues, particularly where new comprehensive plans have been mandated by the Legislature; b) Keep comprehensive planning timelines on a ten-year cycle due to the financial and workload impacts these processes place on cities; c) Clearly establish the public purposes served by existing statewide controls, such as shore land zoning and wetlands conservation; clarify, simplify, and streamline these controls; eliminate duplication in their administration; and fully defend and hold harmless any local government sued for a “taking” as a result of executing state land-use policies; d) Give cities broader authority to extend their zoning, subdivision, and other land-use controls outside the city’s boundaries, regardless of the existence of county or township controls, to ensure conformance with city facilities and services; e) Clearly define and differentiate between urban and rural development and restrict urban growth without municipal services or annexation agreements outside city boundaries. This should contain a requirement that counties and joint power districts that provide sewer, water, and other services, which have been traditionally provided by cities, include as a condition of providing service the annexation of properties that are the recipients of such services in cases where annexation is requested by a city that could feasibly be providing those services; f) Facilitate the annexation of urban land to cities by amending state statutes that regulate annexation to make it easier for cities to annex developed or developing land within unincorporated areas; g) Oppose legislation that would reinstate the election requirement in contested annexations; h) Support legislation to prohibit detachment of parcels from cities unless approval of the detachment has been granted by both the affected city and township and the affected county has been notified prior to the city and township acting on the request; 78 i) Oppose legislation that allows orderly annexation agreements to be adopted that prohibit annexation by other cities of property not being annexed under the agreement; j) Encourage ideas consistent with the long-term goal of allowing urban development only in areas currently or about to become urban or suburban in character; and k) Establish stricter criteria on the amount cities can pay to townships as part of an orderly annexation agreement so that payments to townships are limited to reimbursement for lost property tax base for no more than a fixed number of years, documented stranded assessments, and other items for which there is a clear nexus. LE-2. Wildlife Management Areas Issue: The Department of Natural Resources has been pressing for legislative requirements creating development restrictions on property adjacent to land purchased by the state for hunting and other conservation purposes. This issue has been increasingly controversial as urban growth extends into areas previously considered rural and residential property owners are finding themselves adjacent to public hunting land. With large amounts of new revenue going into state land purchase for game and fish habitat and public access purposes because of the passage of the constitutional amendment, these problems could occur even more frequently. The solution being proposed will put local governments in the position of enforcing state land use restrictions and would require extensive changes to local plans, controls and ordinances. It would also create large numbers of nonconformities on properties within city limits and would make state wildlife management areas far less desirable due to impacts on future city development. In rural areas, where this is less of a concern, counties and townships have the authority to object to the state purchasing land for the outdoor recreation system for these very reasons. Cities do not have that statutory right. Due to recent statutory changes (Minn. Stat. § 97A.137, subd. 4) removing city authority to adopt ordinances related to firearm discharge, hunting and trapping activity in wildlife management areas within their borders, these purchases should not occur without city consent and input. Response: The League of Minnesota Cities opposes the state imposing retroactive development restrictions around existing wildlife management areas. When purchasing state wildlife management areas and other conservation and outdoor recreation system land, the state should either purchase sufficient land to provide an internal buffer from surrounding development or purchase development rights to land adjacent to the property if such a buffer is deemed essential to preserving the intended uses for the property. This should be required for new land purchases and done where feasible for existing wildlife management areas. Furthermore, Minn. Stat. § 84.944 and § 97A.145 should be amended to include cities in the local government notification and approval process the state must follow before purchasing public land. 79 LE-3. Official State Mapping Responsibility Issue: For many years, the Minnesota Department of Transportation (MnDOT) has provided the mapping services to keep survey-level accuracy in place for the state’s official maps and records. That information changes when roads are made or improved, and needs regular adjustment when municipal boundary adjustments are made. The information is then used at all levels of government to accurately determine property boundaries for transportation aid, utility service boundaries, state and local funding formulas, election issues, and a number of other uses. No state agency, however, has ever been statutorily provided with mapping responsibility and MnDOT is not funded for providing that level of detail in its mapping. Because MnDOT, as an agency, requires less specificity in its maps, a change has slowly been integrated to mostly restrict MnDOT mapping to what changes occur in road ownership and responsibility, leaving many mapping needs unmet for other users of boundary data. Response: The League of Minnesota Cities supports legislation making a named state entity the official provider of survey-level mapping for the state, including maps for municipal boundary adjustments. The Legislature must provide the necessary appropriations to the entity for providing that service. LE-4. Electric Service Extension Issue: Minnesota law preserves the right of municipal electric utilities to grow with the cities they serve. Municipal electric utilities may grow either through application to the Minnesota Public Utilities Commission (MPUC) or through condemnation proceedings. Eliminating authority of municipal electric utilities to extend services, or making extension of municipal electric service to annexed property unreasonably costly, would interfere with community development and make it unfeasible for municipal electric utilities to serve properties located within rural electric cooperative (REC) or other electric service provider service territory in annexed areas, even if the REC or other electric utility had not served them prior to annexation. Response: The League of Minnesota Cities opposes any attempt to remove or alter the eminent domain option available to municipal electric utilities in state law, or to make it financially unfeasible for municipal utilities to compensate rural electric cooperatives or other electric utilities for serving future customers who reside in annexed areas where that electric utility has not provided service. LE-5. Statutory Approval Timelines Issue: Cities since 1995 have been required to act on written requests relating to zoning, septic systems, the expansion of Metropolitan Urban Service Areas (MUSA), and other land-use applications in accordance with a statutory time period generally referred to as the 60-day rule. Pursuant to Minn. Stat. § 15.99, state and local government agencies must approve or deny a permit within a statutory timeframe. Failure by the agency to issue a specific denial of the application is deemed an approval. Minn. Stat. § 15.99 does not directly address whether an appeal of a decision triggers an extension or is part of an original zoning request that must be handled within the 60- or 120-day time period. In a 2004 Minnesota Court of Appeals decision, the court found 80 that a zoning application is not approved or denied for the purposes of Minn. Stat. § 15.99 until the city has resolved all appeals challenging the application. Moreno v. City of Minneapolis, 676 N.W.2d 1 (Minn. Ct. App. 2004). According to the court, an appeal is not a request for a permit, license or other governmental approval; therefore, it does not trigger a new 60-day time period. Under this interpretation, a decision rendered by a zoning board or planning commission is not the final approval or denial of an application if the city allows an appeal to the city council. This court decision is problematic for a couple of reasons. Forcing cities to further condense the process for considering planning and zoning applications will make it more difficult to gather public input and leave less time for thoughtful deliberation by zoning boards and planning commissions. It may also provide an incentive for cities to extend the original 60-day period in every instance in order to build-in adequate time to consider possible appeals. The Minnesota Supreme Court recently issued another 60-day rule decision that held that an application to the Minneapolis Heritage Preservation Commission for a certificate of appropriateness was a “written request related to zoning,” and therefore was subject to the automatic approval provision of the 60-day rule. 500, LLC v. City of Minneapolis, 837 N.W. 2d 287 (Minn. 2013). This opinion creates ambiguity and uncertainty about what permit applications are subject to the law. Additionally, the statute does not allow for exceptions to the timelines in event of extenuating local circumstances. If a state of emergency limits the ability of city staff to complete the work, it should not result in a de facto approval of applications. Clarification is needed about how these instances are fairly handled to ensure a fair public process can occur for all interested and involved parties. While the Legislature has clarified some aspects of this law, additional modifications are necessary to assist cities in providing accurate and timely responses to applicants and to allow adequate time for public input. Furthermore, as city staff and financial resources are increasingly limited, flexibility in the length of approval timeline requirements may be needed at the local level. Response: The Legislature should repeal or amend Minn. Stat. § 15.99. If repeal is unlikely, amendments should: a) Increase the initial time limit to 90 days or have the language in Minn. Stat. § 15.99 apply as the default requirement only in cases where permitting bodies have not established an independent approval timeline; b) Clarify that approval does not abrogate the need for approvals under other applicable federal, state or local requirements; c) Provide appeal rights to adjacent property owners; d) Clarify that, if requests are to be decided by a board, commission or other agent of a governmental agency, and the decision of the board, commission or other agent is adopted subject to appeal to the governing body of the agency, then the agency may extend the 60-day time limit to resolve the appeal; and e) More clearly define that the phrase “related to zoning” refers to a traditional land use decision such as 81 rezoning, conditional use permits, and variances. f) To address states of emergency, add the following new language to the statute: (h) The time limits in subdivision 2 and 3 are paused if the governor declares a state of emergency under section 12.31. In cases described in these paragraphs, the deadlines in the areas included in the emergency declaration remain paused until ten days after the expiration of the state of emergency, applied to any written application awaiting action that was submitted prior to or during the state of emergency. LE-6. Maintenance of Retaining Walls Adjacent to Public Rights of Way Issue: The Minnesota Constitution grants cities the power to “levy and collect assessments for local improvements upon property benefited hereby.” Retaining walls are one of the many improvements that a city is authorized to make on behalf of its citizens, and Minnesota’s special assessment law, Minn. Stat. ch. 429, authorizes cities to charge special assessments on properties that are benefitted by an improvement. The Minnesota Court of Appeals held that the city of Minneapolis had a nondelegable duty of lateral support to a property owner with a retaining wall abutting a city sidewalk. Howell v. City of Minneapolis, 2013 WL 1707759 (April 22, 2013). A subsequent jury found that the city created the need for lateral support when it built the street and sidewalk adjacent to the property, making the city responsible for the maintenance the retaining wall, despite the fact that the property is clearly benefitted by the retaining wall. The special assessment statute anticipates the need for cities to create retaining walls when making public improvements, and this holding could create significant costs for cities forced to repair and maintain retaining walls that benefit a single property. A choice by a developer or previous property owner to build a retaining wall to improve the value or usefulness of property may appear to be necessary today, but determining who first created the need for lateral support in the past can involve costly and time-consuming historical research that may not reveal a clear answer. Response: The Legislature should amend the special assessment statute so that retaining walls needed to facilitate public improvements are treated the same as other local improvements. In cases where retaining walls located along public rights of way or within drainage and utility easements separate public improvements from adjacent properties, the Legislature should establish a rebuttable presumption that the need for lateral support was created by the property owner. LE-7. Development Disputes Issue: State law is clear that fees collected under Minn. Stat. ch. 462 are eligible for judicial review in the event of dispute. The Legislature limited the timeframe during which an aggrieved party may challenge planning and zoning fees to 60 days after approval of an application. However, the law is not clear about what notice requirements to the municipality are necessary, relative to the timing for a person aggrieved by an ordinance or decision under the municipal planning act to seek review. 82 Response: The Legislature should amend Minn. Stat. § 462.361 to establish a 60- day time limitation in which an aggrieved person may bring an action against the municipality. LE-8. Foreclosure and Neighborhood Stabilization Issue: Cities dedicate scarce resources to address public safety and maintenance challenges associated with foreclosed, vacant, and under-maintained homes. Left unaddressed, these properties destabilize neighborhoods, depress neighborhood property values, and potentially increase the costs of municipal services. Cities’ revenue also continues to decline due to delinquent utility payments and property tax payments, as well as added costs for nuisance abatements. Although the number of those mortgage foreclosures has stabilized somewhat since the peak of the recession in 2008 and the height of the COVID-19 pandemic, issues surrounding community recovery remain ongoing. State and local governments can play an important role in spurring reinvestment in struggling neighborhoods, but without additional resources to address the variety and costly impacts of foreclosures and vacant properties, cities cannot maintain or increase those activities to meet local needs. The federal government has provided funds for neighborhood stabilization and direct mortgage assistance to residents, but such funds are limited in eligible uses and scope, and they are only available to a limited number of cities. Contracts for deed have been used to successfully buy and sell thousands of homes around Minnesota. However, some property owners use contracts for deed as an alternative to a traditional lease, even though the purchaser has no intention of buying the home. Some communities have encountered a situation where a property owner is buying many homes in a community, then selling them on contract for deed. This can allow a person to essentially act as a landlord while evading a city’s rental inspection and rental licensing process, while the buyers lose the traditional legal rights and protections as tenants. Many view it as a way to rent the property and may not be aware of it being a contract for deed. Numerous problems arise for cities and neighborhoods when property owners are acting essentially as renters. It is difficult to determine who is responsible for maintaining the property or for paying utility bills and property taxes, and cities may not be able to inspect substandard properties if they are not subject to a lease agreement. In some situations, property owners may wish to have a renter be the responsible party for utility bills and utilize contract for deed arrangements to have the person living on the property be the responsible party. The property may also not be recorded at the county for homesteading purposes if the buyer is not aware of the formal change in ownership that results from a contract for deed. In recent years, investor ownership of single-family housing stock has steadily increased as investors including both small investors and large private equity companies have continued to purchase large numbers of single-family homes to convert to residential rental uses. According to the Minneapolis Federal Reserve Bank, investor-ownership rate for residential properties in the metropolitan area has more than doubled since 2006. The growing trend of investor ownership continues to impact city housing stock as investor purchases of affordable single-family homes remove homeownership opportunities and make it harder for lower-income households to 83 compete in the housing market. While investor ownership creates single-family rental opportunities, strategies deployed by certain investors that seek to maximize profits can lead to a deterioration of housing quality Response: The Legislature should: a) Secure increased state and federal resources and provide financing tools to help cover city costs associated with foreclosed and /or vacant properties, community revitalization strategies, and community investment, including revenue sources for programs that support foreclosure mitigation, homeownership counseling, and expanded homeownership opportunities and are sustainable. b) Allow cities to take actions necessary to protect foreclosed and/or vacant homes from damage and to help preserve property values in neighborhoods where concentrations of such conditions are present, including an expedited process to address nuisance properties. c) Reexamine the Contract for Deed statutes to determine whether additional protections are necessary to prevent property owners from evading responsibilities of a landlord, and provide local jurisdictions resources to allow for education of future buyers and sellers in contract for deed arrangements. d) Support local authority for cities to collect all delinquent taxes, utility bills, liens, and assessments on foreclosed, vacant, boarded and/or tax forfeited properties. e) Improve notification to cities, and consistency in the information available to cities, when a property is in the foreclosure process and vacated and advance policies that make it easier for cities to step in during the tax forfeiture sale process in order to more effectively address blighted properties. f) Support coordinated responses to prevent foreclosures, activate and guide private investment and home purchases, and support distressed neighborhoods. g) Study and monitor the impacts on the housing market of investor-owned homes and enact policy that provides cities with the tools to mitigate any negative impacts on city housing stock and prospective homebuyers due to investor-owned purchasing of homes. h) Re-enact a program at the state level similar to “This Old House” to allow owners of qualifying single-family homes or multi-unit rental properties to defer the increase in tax capacity from repairs or improvements to their homestead property as an incentive for cities to maintain housing stock or provide state assistance to cities who wish to provide incentives for homeowners to make repairs and improvements to their property. i) Support programs that provide resources to cities for rehabilitation or new construction of single-family homes, such as the Community Impact Fund and the Community Fix Up Program currently administered through MN Housing Finance Agency (MHFA). 84 LE-9. Housing Policy Issue: Cities recognize that stable housing is essential to the health, safety, and welfare of residents. Since the Fair Housing Act of 1968, and more recently with the recognition that certain barriers to housing disparately impact certain members of our communities, local government has been obligated to promote and reduce barriers to fair housing and equal opportunity. For example, households with housing choice vouchers face many barriers to securing housing in the private rental market, especially when rental vacancy rates are low. Currently rental vacancy rates are at a historic low in much of the state. As a result, many families and individuals may be unable to use their housing choice vouchers and thus unable to secure safe, decent and affordable housing. Additionally, many renters and homeowners face challenges from housing displacement due to rising costs, uninhabitable housing, and eviction that exacerbates housing instability and homelessness. Despite progress since the Fair Housing Act of 1968, households of color nevertheless experience a gap in homeownership rates compared with white households and have faced barriers to housing due to a history of housing policies and lending practices that disproportionately benefit white households (i.e., application of GI bill largely only to white soldiers returning from war, redlining, and restrictive covenants). According to the U.S. Census Bureau and American Community Survey data, the homeownership rate non-Hispanic White Americans has held consistently above 71%. However, the homeownership rate for Black Americans remains the lowest of all racial groups nationally at 41.8 percent. Comparatively for Hispanic Americans, the homeownership rate is around 47% and for Asian Americans, it has hovered around 53%. According to the Minnesota Housing Finance Agency analysis of the 2018 U.S. Census Bureau’s American Community Survey, Minnesota has one of the highest homeownership rates in the nation, but the state has the fourth largest disparity in homeownership rates between white/non- Hispanic households and households of color. According to the 2018 U.S. Census Bureau’s American Community Survey, households of color are also more likely to experience cost burden (paying more than 30% of their income on housing). In Minnesota, 40% of households of color experience cost burden as compared to 23% of white households. Project based and voucher based rental assistance that enable renters to pay no more than 30% of their income on housing are critical to reducing cost burden disparities. Nationally, according to data analysis provided by the Urban Institute, only 1 in 5 households who qualify for a Section 8 voucher receive this critical form of rental assistance. State rental assistance programs are underfunded and are only intended to serve as last resort efforts to prevent homelessness. As a result, low-income families often make tradeoffs to reduce housing costs. Families may choose or only be able to afford living in poor-quality, substandard housing or a long distance from work opportunities to reduce housing costs. The imbalance between the demand for affordable housing and the supply of low-cost rentals contributes to increasing housing costs. At the same time, wages have remained stagnant and not kept up with increased housing costs resulting in more and more families experiencing housing cost burden. Rent-burdened households have higher eviction rates, increased financial fragility, and wider use of social safety net programs, compared with other renters and homeowners. The rates and severity of rent burden, especially for households of color, 85 have increased housing instability and resulted in fewer households transitioning from renters to homeowners. Response: The Legislature should: a) Support resources and programs that seek to assist communities in their efforts to reduce barriers to housing and promote fair housing and equal opportunity and support efforts by the federal government to promote fair housing policies intended to protect people from housing discrimination and encourage the federal government to provide more flexibility within the Section 8 voucher program so that renters can more readily maintain and place their vouchers in a tight rental market. b) Support housing stability for renters through policies that mitigate the impact of or reduce evictions filed. c) Seek to identify and reduce racial disparities in homeownership in Minnesota and support policies and encourage innovative solutions that address structural barriers for people of color when it comes to accessing housing including policies that encourage fair lending and provide homebuyer education and funding for down payment assistance to low-income households. d) Support programs that reduce cost burden among renters and support policies that address barriers for people of color when accessing safe, healthy and decent affordable rental housing. LE-10. Resources for Affordable Housing Issue: Cities, along with local housing officials, are concerned about the need for proactive commitment at the state level to aid cities to meet demand for affordable housing that is sensitive to local conditions, emerging trends, and changing demographics. This includes meeting the needs of lowest-income households as well as an aging population and ensuring a wide range of lifecycle housing options that allow seniors of all incomes to stay in their community, addressing racial disparity gaps in housing, and responding to emerging trends, such as the need to preserve federally subsidized housing and naturally occurring (unsubsidized) affordable housing. The League also recognizes that federal, state and local governments all have a role to play in meeting affordable housing needs, overcoming barriers to housing stability such as high market prices, eviction, and foreclosure, and responding to problems caused by vacant homes and the increase in rental properties that are the result of foreclosure. A comprehensive report issued in 2018 by the then Governor’s Task Force on Housing delineated 30 specific recommendations to help achieve six goals, including: commit to homes as a priority; preserve the homes we have; build more homes; increase home stability; link homes and services; and support and strengthen homeownership. The Task Force’s recommendations were based upon input from various statewide stakeholders, local governments and residents and renters impacted by the lack of affordable housing in this state. These recommendations provide an important list of housing goals that should continue to be considered as cities work towards 86 addressing affordable housing issues in their communities. Response: The Legislature should: a) Support the affordable housing priorities of the Minnesota Housing Finance Agency (MHFA), which include making resources and methods available to maintain and improve existing affordable homes, including publicly subsidized deeply affordable, and housing stock that is aging such as naturally occurring (unsubsidized) affordable housing. b) Provide stable and long-term funding, including but not limited to dedicated funding sources, for Minnesota Housing and other affordable housing programs, including those that encourage innovation and recognize regional markets, provides flexibility for cities to create partnerships and leverage resources with private and public entities, such as: capital investment funding for affordable and public housing, funding for supportive services and programs that address homelessness and reduce barriers to stable housing and homeownership, a tax credit contribution fund or a state low-income housing tax credit to help rebuild the state’s partnership with local governments in the development of homeownership, and multi-family rental assistance and housing renovation programs. c) Consider establishing a program to address immediate needs throughout the year to provide a match for new or existing city-supported affordable housing projects. This could include matching funds, issued on a timeline that is consistent with local budgeting processes, for local revenues allocated to a local affordable housing trust fund. d) Expand authority for all cities to transfer unobligated pooled increment from a housing or redevelopment TIF district to support a local housing trust fund for any eligible expenditure under Minn. Stat. § 462C.16. e) Substantially increase long-term funding for the Economic Development & Challenge Fund to leverage local private and public resources to develop workforce rental and single-family homes. f) Support legislation to provide sales, use, and transaction tax exemptions or reductions for development and production of affordable housing and use state bond proceeds for land banking and trusts as well as rehabilitation and construction of affordable housing. g) Provide funding and financing tools to cities to create affordable senior housing for our aging population. h) Provide funding and financing tools to cities to create affordable housing and prevent foreclosure for veterans. i) Support for funding to reduce the racial gap in homeownership rates, such as targeted homeownership capacity building and homebuyer assistance. j) Support additional funding for the housing choice voucher programs or other rental assistance programs and financial, tax, and/or other incentives for rental property owners to participate in these programs. 87 k) Support the current 4d Low-Income Rental Classification under Minn. Stat. § 273.128 that provides a class rate reduction in property taxes to qualifying low-income rental properties. Base any program expansion proposals on the full analysis regarding impacts to local property tax bases contained in the January 2022 Minnesota Department of Revenue 4d Affordable Housing Report and ensure that any modifications to the program are balanced between the tax benefit to existing and future 4d units and the increased tax burden on the existing property tax base due to any expansion. Oppose any changes to the 4d Low-Income Rental Classification program that substantially increases the tax responsibility for residents and businesses or increases the tax benefit for landlords without including increased benefits for renters of 4d units including but not limited to deeper affordability or property reinvestment. Support the implementation of a reporting process for landlords and consider a sunset period for any changes made to the program to evaluate the range of impacts that expanding the program may have. l) Support funding for infrastructure grants available to cities to assist with the cost of providing critical infrastructure and ensure that residential sites are shovel ready for development. LE-11. Greater Minnesota Housing Issue: Cities in greater Minnesota share many of the same housing needs as metro communities. However, not unlike differing real estate markets within a city, greater Minnesota communities often have vastly different market conditions for housing that can necessitate priorities that vary from metropolitan areas. Greater Minnesota cities face unique challenges that affect the affordability, quality, and availability of housing. While local communities in greater Minnesota are focusing on local efforts to attract development and encourage growth, assistance is often needed from state and federal resources to construct and rehabilitate greater Minnesota housing stock and that assistance should better accommodate the varying realities of a diverse state and housing markets. Like many metropolitan cities, greater Minnesota city housing studies often cite challenges at many levels of the economic spectrum that impact local economies and population growth. However, incomes within exclusively rural and rural/town mix counties are well below average incomes in exclusively urban counties. The US Bureau of Economic Analysis demonstrates over a 62% earnings gap between entirely rural and entirely urban counties. Greater Minnesota communities in many cases do not have a significant percentage of high-earner workers that earn a high enough salary to afford today’s newly constructed housing units. This factor along with the rising costs of construction materials and labor are outside of the control of local communities but lead to an overall lack of housing stock in many greater Minnesota cities. However, one of the most vexing difference in the housing continuum is the lack of production of market rate housing in rural communities. The lack of market rate production has led to aging housing stock in greater Minnesota cities that hinders economic growth. At least 25% of the housing stock in 34 of greater Minnesota’s 80 counties was built before 1940 and only four counties in greater Minnesota have 5% 88 or more of their housing stock constructed in 2010 or later. The aging owner-occupied and rental housing stock have low assessed values far below any reasonable cost of new construction and thereby translates to an environment where lenders and developers often shy away from new market rate developments because of these valuations or low prevailing rents. The circumstances also mean that the few affordable housing projects that do make their way to greater Minnesota are often notably of higher quality than the average market rate housing stock if they were lucky enough to produce any. Many of these affordable units rent for 20-37% higher than what individuals would otherwise be able to afford in many greater Minnesota cities if they were buying a median valued home of significant age. Though numbers certainly differ, modest market rate units that have been attempted or in some instances advanced in our communities have a per unit cost of $140-$150,000 while a tax credit project with their added soft cost can often reach costs of $225,000 per unit or more. Project costs for workforce housing can also become prohibitive for many developers in greater Minnesota due to prevailing wage requirements. While greater Minnesota cities are looking to gain every advantage and stretch limited local resources for housing, more state assistance should be focused to allow rural communities to minimize the financial gap of market rate production. Response: The Legislature should: a) Appropriate funding to state assistance programs serving greater Minnesota to account for the state imposed prevailing wage requirements. b) Require a comprehensive analysis of the state’s housing assistance programs to better determine the specific needs of greater Minnesota communities and adjust programs accordingly. c) Change Tax Increment Financing rules to address specific housing challenges in greater Minnesota, including but not limited to, permanently extending the timeframe for pooling redevelopment TIF projects from 5 to 10 years to allow more flexibility for rural communities to amass properties and finance projects while removing blight and allowing TIF to be used for workforce or market rate housing production in areas of low market rate production to provide parity at a 25-year duration. d) Appropriate more state resources and establish grant and forgivable loan programs that support market rate and senior housing development proposals in greater Minnesota communities where production is extremely low. e) Work to address the disconnect between communities that follow the Statewide Building Code and those areas that do not to ensure a level playing field while encouraging prudent health and safety measures. Furthermore, the building code should not be used to further disadvantage cities for the investments they have made in infrastructure to comply with regulatory and smart growth principles. 89 LE-12. Energy Efficiency Improvement Requirements for Housing Issue: Rising energy costs have brought attention to the poor energy efficiency of many private residences and multi-family properties, especially in older housing stock. The affordability of housing could be severely impacted by continued increases in home energy costs. Improvements in the energy efficiency of housing would improve the affordability of local housing options and would help achieve state energy demand and greenhouse gas emission reduction goals. The challenge is how best to achieve that result. Legislative discussions have suggested that minimum energy efficiency improvements could be added as point-of-sale requirements, including energy use disclosure and basic renovations such as improved attic insulation levels, window caulking and other air sealing, or improved light fixtures. While the goals of such a program are laudable, there are a number of concerns for how this would actually be accomplished in individual cities. Most cities do not, for example, have point of sale inspections. There will also be cases where the building could be structurally unable to meet high attic insulation requirements, such as with manufactured housing or with older houses with very little attic space. There are also concerns that the cost of meeting these energy requirements could result in homeowners being reluctant to sell their houses because of the expense of the improvements that would be required to meet new standards or property owners passing on the cost of upgrades to tenants. Increased exposure to educational information, such as increased access to energy audits and more familiarity with and access to programs that finance energy efficiency projects could increase adoption of energy efficiency improvements. Electric utilities provide successful, cost-effective energy efficiency programs, have a customer relationship with homeowners, a regulatory requirement to meet energy demand reduction goals through conservation spending, and access to technical expertise that can take into account variations in building age and construction. Cities could, however, play a strong role in increasing public exposure to approved educational materials and providing incentives through the use of other local financing support options for property owners, such as grants, loans, and a Property Assessed Clean Energy (P.A.C.E.) program. Cities could also take advantage of the recently added assessment authority in Minn. Stat. § 429.021 to provide financing for energy improvement projects in residential properties of five or more units if a property owner petitions for an energy improvement project in an existing building. Response: The League of Minnesota Cities agrees that there is a need to improve the energy efficiency of residential building stock to reduce energy consumption and improve the affordability and livability of housing. The state should focus its efforts on improving educational programs and on improving the use of the existing statewide Conservation Improvement Program (CIP) and similar programs and provide property owners with technical and financial support for weatherization and energy efficiency improvements. Further, the state should work to make residential Property Assessed Clean Energy (P.A.C.E.) programs viable for local governments. 90 Cities should use their communication tools, such as newsletters, web sites, and staff communications to promote these efforts and to help link property owners to educational materials and program resources. Additionally, cities could be incentivized to adopt strategies to disclose energy usage data for building owners to identify options for cost-efficient energy improvements. LE-13. In-Home Day Care Facilities Issue: There are restrictions on the ability of a city to regulate licensed day care facilities. Minn. Stat. § 462.357, subd. 7, states that certain licensed residential facilities and day care facilities must be considered a permitted single-family use for zoning purposes. The restriction is designed to protect “in-home” daycare facilities, but the law applies even if the facility is not the primary residence of the day care provider. This creates a loophole for providers to use a single-family home as a commercial daycare facility, which might not otherwise be allowable under a city zoning ordinance. Response: The Legislature should amend Minn. Stat. § 462.357, subd. 7, to clarify that a licensed day care facility serving 12 or fewer persons is considered a permitted single-family use only if the license holder owns or rents and resides in the home. LE-14. Residential Programs Issue: Minnesota’s deinstitutionalization policy seeks to ensure that all people can live in housing that maximizes community integration. Minn. Stat. § 462.357, subd. 6a. states that “persons with disabilities should not be excluded by municipal zoning ordinance or other land use regulations from the benefits of normal residential surroundings.” Minnesota cities support inclusion of people with and without disabilities in their communities, but these policies are best implemented with minimal encroachments on municipal zoning authority and positive working relationships between cities, care providers, and the state. On one hand, treating persons with disabilities differently generally raises questionable issues of disparate treatment with the Federal Fair Housing Act. On the other hand, without some regulation, cities are powerless to protect individuals with disabilities from a clustering of residential programs within one neighborhood. As the Department of Justice has stated, while density regulations are generally suspect, “if a neighborhood came to be composed largely of group homes, that could adversely affect individuals with disabilities and would be inconsistent with the objective of integrating persons with disabilities into the community.” (Joint Statement of the Department of Justice and the Department of Housing and Urban Development.) To this end, and in upholding a state and local dispersal requirement, the Eighth Circuit Court of Appeals stated that the requirement was designed to ensure that people with disabilities “needing residential treatment will not be forced into enclaves of treatment facilities that would replicate and thus perpetuate the isolation resulting from institutionalization.” Familystyle of St. Paul, Inc. v. St. Paul, 923 F.2d 91, 95 (8th Cir. 1991). City authority to regulate the locations of residential programs is limited by state statute and the federal Fair Housing Act (FHA), although Minn. Stat. § 245A.11, subd. 4, prohibits the Commissioner of Human Services from granting an initial license to a residential program of six or fewer people within 1,320 feet of an existing 91 residential program in cities of the first class. In 2015, Minn. Stat. § 245A.11, subd. 4, was amended to clarify that the Commissioner of Human Services is required to approve licenses for “community residential settings” within 1,320 feet of existing residential programs. A “community residential setting” is commonly known as adult foster care. While this was the original intent of the legislature, statutory terms changed over the years; this amendment was to make various statutory references consistent. In 2022, Minn. Stat. § 245A.11, subd. 2, was amended to temporarily allow licensed residential care services provided to more than four people with developmental disabilities in a supervised living facility, including intermediate care facilities for people with developmental disabilities as a permitted single-family residential use at an increased capacity of seven to eight people until July 2023. Cities that have zoning regulation already in place prohibiting this type of facility as a single-family residential use do not have to permit the use. Sufficient funding and oversight are needed to ensure that residents living in residential programs have appropriate care and supervision, and that neighborhoods and residents of residential programs are not negatively impacted by high concentrations of these types of programs. As it stands now, there is nothing preventing clustering of residential programs in most cities in the state. Cities want to be part of the solution, and more than anything cities desire to be, and should be, partners in serving the policies of deinstitutionalization. Cities have an interest in, and are in the best position, to preserve a balance in residential neighborhoods between residential programs and all other uses. Because Minnesota cities are committed to inclusion of all individuals, it is in the best interest of the state, care providers, and those individuals served, that all parties include cities as partners before opening a residential program to best plan for community integration. Response: Cities should maintain the statutory authority to require agencies, as well as licensed and registered providers that operate residential programs, to notify the city before properties are operated. Cities should be provided with the necessary contact information after a residential program is licensed or registered. Providers applying to operate residential programs should be required to contact the city to be informed of applicable local regulations. Finally, licensing or registering authorities must be responsible for removing any residents incapable of living in such an environment, particularly if they become a danger to themselves or others. LE-15. Inclusionary Housing Issue: Provisions in current state statute (Minn. Stat. § 462.358, subd. 11) allowing cities to enter into development agreements for the inclusion of a portion of the units in the development to be affordable for low- or moderate-income families have been a source of conflict between cities and housing developers. Cities are concerned builders that view this statute as a restriction on local authority to adopt policies that promote availability of housing affordable to those who are unable to purchase or rent housing at price points that the market alone provides. Response: The Legislature should: a) Strengthen and clarify cities’ authority to carry out policies that offer developers a range of incentives 92 in return for including a designated number of affordable units in their projects. b) Identify strategies to ensure long-term affordability of rental and owner-occupied housing produced as a result of such policies and practices including expanding the parameters of affordable housing restrictive covenants to extend beyond 30 years to ensure long-term affordability. c) Focus state housing policy to support for local assessment of housing needs and direct additional state resources and the full exercise of local authority to increase development of affordable rental units and access to entry-level, owner-occupied housing. d) Support voluntary measures to encourage cities to adopt and carry out land-use plans, activities, and subdivision regulations aimed at providing for construction and marketing of housing where a portion of all new units are affordable to lower-income households. LE-16. Community Land Trusts Issue: The increasing price of land available for housing development, particularly for retaining affordability of housing for lower-income households, is a concern throughout the state. Creating more permanently affordable, owner-occupied housing depends heavily on maximizing the cost- effectiveness of taxpayer investments. The Legislature has previously appropriated funding and granted the Minnesota Housing Finance Agency authority to assist cities with funding community land trusts (CLTs) for affordable housing. Currently, Land Trust properties have a tax classification of 1.0% and property owners must pay property taxes based on the market value of the property, which is assessed relative to neighboring properties. However, because land trust properties are to remain permanently affordable, land trust owners can only receive a portion of the appreciation of the value of the home when a sale is made. Response: The Legislature should: a) Support continuation of the land trust capacity-building program and provide capital start-up funds so community land trusts can continue to offer gap financing, interest rate write-downs, predevelopment financing, and financial underwriting. b) Support efforts by the Minnesota Community Land Trust Coalition and other housing preservation stakeholders to develop property tax valuation modifications to lower property taxes for qualifying low-income sales-price-restricted properties enrolled in CLT programs including expanding 4d Low-Income Rental Classification eligibility to include CLT properties and providing additional tax relief for qualified low-income CLT property owners by way of market value exclusion or other general property tax assistance. LE-17. Telecommunications and Information Technology Issue: Telecommunications and information technology is essential public infrastructure for the efficient, equitable, and affordable delivery of local government services to residents and businesses. Telecommunications includes voice, video, data, and services delivered over cable, 93 telephone, fiber-optic, wireless, and all other platforms. Response: The League of Minnesota Cities supports a balanced approach to telecommunications policy that allows new technologies to flourish while preserving local regulatory authority. Regulations and oversight of telecommunications services are important prerogatives for local government to advance and balance community interests, including ensuring public safety, ensuring equitable access, maintaining high quality basic services that meet local needs, spurring economic development, and providing affordable rates to all consumers. Policies should strengthen and not diminish local authority to manage public rights-of-way including public and private infrastructure, to zone, to collect reimbursement of costs and reasonable compensation for the use of public assets, or to work cooperatively with the private sector. The League opposes the adoption of state and federal policies that restrict cities’ ability to finance, construct, and operate telecommunications networks. LE-18. Broadband Issue: High-speed Internet is essential infrastructure needed by cities to compete in a global economy. Yet many communities do not have access to broadband at affordable prices. High fixed costs, low density, and short-term return-on-investment thresholds for private sector providers contribute to the lack of broadband across the state. Investing in universal broadband access has substantial local and regional economic benefits for communities of all sizes. Cities and other local units of government are facilitating the deployment of broadband services to increase connectivity, reliability, availability, and affordability for residents, schools and businesses through a variety of models, including municipal broadband and public- private partnerships. However, attempts have been made to restrict cities from providing telecommunications services, particularly in unserved or underserved areas. Past court cases have overturned interpretation by the Federal Communications Commission (FCC) that states may not limit the extension of municipal broadband services from one city to another. Due to the high costs of broadband infrastructure, the state continues to expand its role to identify and formulate tools and provide resources to expand broadband access. The Office of Broadband Development within the Department of Employment and Economic Development (DEED) has developed a strong partnership through its efforts on broadband infrastructure deployment and digital inclusion between the state, local communities, and broadband providers to deploy high-speed Internet in unserved and underserved areas. The Office supports broadband expansion through broadband mapping and managing the state’s Border-to-Border Broadband grant program, which is funded by state general fund appropriations and more recently funds authorized by the federal government for broadband deployment. In addition to the state’s focus on extending broadband to unserved areas, Minnesota must also be on the cutting edge for next-generation broadband investments and ensuring that Minnesota’s statutory speed goals in Minn. Stat. § 237.012 are updated to reflect emerging technologies and broadband use trends. It is also critical that the state maintain funding for broadband infrastructure deployment as a priority to address the state’s statutory speed goals and not become dependent on federal funding. 94 The COVID-19 pandemic laid bare the critical importance of reliable access to broadband internet both for governments that had to quickly adjust to provide services online while Minnesotans were forced to learn, work, and receive healthcare online. While certain populations in Minnesota were well prepared to make the adjustment to receive services, work, and learn online, many were not due to the digital divide that remains. Response: To promote economic development, education and achieve state broadband goals, the Legislature, Governor’s office, and state agencies should: a) Identify and implement actions for the state to reach and maintain a position in the top five states for broadband speed that is universally accessible to residents and businesses; b) Make significant investments to the Border-to-Border Broadband Grant Program and continue to encourage public/private sector collaboration including options that use technologies such as wireless while remaining consistent with the League’s Right-of-Way Management policy to cost-effectively expand broadband service access; c) Support measures to authorize and encourage cities and other local units of government to play a direct role in providing broadband infrastructure and/or services; d) Remove barriers to the exercise of local authority to provide such services, including repeal of Minn. Stat. § 237.19, that requires a supermajority voter approval for the provision of local phone service by a local unit of government; e) Offer incentives to private sector service providers to respond to local or regional needs and to collaborate with cities and other public entities to deploy broadband infrastructure capable of delivering sufficient bandwidth and capacity to meet immediate and future local needs; f) Adopt policies which seek to position Minnesota as a state of choice for testing next-generation broadband technologies; g) Affirm that cities have the authority to partner with private entities to finance broadband infrastructure using city bonding authority; h) Remove barriers that limit the ability for the state to deploy Border-to-Border Broadband grant funds in areas that may be served by existing or future federal broadband programs and those that restrict anti-competitive practices, and prevent predatory action that prevent or impede cities, municipal utilities, schools, libraries, and other public sector entities from collaborating and deploying broadband infrastructure and services at the local and regional level; i) Supporting funding and efforts to continuously update and verify comprehensive statewide street-level mapping of broadband services to identify underserved areas and connectivity issues; 95 j) Discuss how well the FCC and state broadband maps document actual broadband coverage across Minnesota including wireless options. These maps are used by funders to determine grant program eligibility making overstatement of available services highly consequential with negative impacts for rural places; k) Recognize the crucial role of local government in the work of the Governor’s Broadband Task Force and fund the Office of Broadband Development (OBD) and ensure base budgets supporting OBD remain at levels sufficient for it to meet its statutory mandates; l) Support the creation of an OBD operating fund to advance and promote programs and projects that improve broadband adoption, hold internet service providers receiving funding accountable, achieve significantly higher broadband speeds, and support efforts to improve digital inclusion by ensuring that robust, sustainable, and affordable internet connectivity is widely available and affordable to all Minnesotans; On the federal level, the League urges Congress to adopt laws restoring the ability of municipalities to extend beyond their borders to serve unserved and underserved areas. The League also urges Congress and the Federal Communications Commission to structure federal broadband grant programs to work in conjunction with the state’s Border-to-Border Broadband grant program and not prohibit state funding in areas that receive federal broadband assistance if those areas could also benefit from state funding. LE-19. Competitive Cable Franchising Authority Issue: Despite claims made by some in the cable industry, studies and evidence to date do not support that state franchising is the solution for competition, lower consumer rates, and improved customer service. Unlike the exercise of local franchising authority, state franchising models frequently make no provision for staffing at the state level or for effective resolution of consumer complaints. Cable service provided by a cable communications system that uses infrastructure located in the public right-of-way to transmit video signals remains subject to local franchising authority. Maintaining local franchising most effectively creates and preserves agreements that guarantee broad access to services throughout the community, ensuring there is no digital divide for access to available additional services such as access to IP voice and high-speed Internet via infrastructure that also delivers video programming services. Response: State policy should maintain local cable franchise authority and oversight of the public rights-of-way, as well as ensure franchise agreements reflect new technology, and are reasonably tailored to the technical and operational differences among providers and communities. Independent studies clearly demonstrate that statewide franchising does not increase direct competition to incumbent cable franchisees. And it subsequently has not lowered rates and does not improve customer service. 96 The Legislature, Federal Communications Commission (FCC), and Congress should also continue to recognize, support and maintain the exercise of local franchising authority to encourage increased competition between incumbent cable system operators and new wireline competitive video service providers including: a) Maintaining provisions in Minn. Stat. Ch. 238 that establish and uphold local franchising authority, including the authority to receive a franchise fee based on gross revenues irrespective of any in-kind contributions; b) Refraining from adopting any FCC rule changes that would further restrict existing local authority to charge for and control access to public rights-of-way by all video and cable service providers; c) Maintaining local authority to charge fees on providers to ensure the provision of public, educational, governmental (PEG) programming, and interactive technologies to require the provision of video channels and video streaming for PEG programming with video and audio quality/channel location equivalent to that of the local broadcast stations, and ensuring programming is accessible and searchable by all residents of the local authority through detailed Electronic Programming Guide listings and other navigation and distribution technologies that are equivalent to that of local broadcast stations; d) Ensuring continued cost-effective local government access to capacity on institutional networks (I-Nets) provided by local cable system operators for public safety communications, libraries, schools, and other public institutions to use state-of-the-art network applications; and e) Strengthening local authority to enforce customer service standards and transparency in pricing. LE-20. Public Right-of-Way Management Issue: Cities hold local rights-of-way in trust for the public as an increasingly scarce and valuable asset. As demand increases for use of public rights-of-way (PROW), cities must coordinate the use of this resource among competing uses and to manage the use of the PROW for delivery of essential municipal utility services. Cities continue to experience increased demand for space in the PROW including the siting of underground wired and overhead wireless facilities and sites for wireless communications. Additionally, technology located in the public right-of-way will continue to support the increase of new modes of mobility and delivery methods including Connected Autonomous Vehicles (CAV) that may also operate in the public right-of-way. While local management responsibilities vary and are site specific, the increased demand for utilizing space in the public right-of way underscores the necessity for maintaining local authority. Minnesota’s Telecommunications Right-of-Way User Law was amended during the 2017 Session with legislation creating a separate permitting system for placement of small wireless facilities on city-owned structures in the public right-of-way. The change in law clarified that wireless providers are telecommunications right-of- way users and maintained cities' right-of-way management authority, but limitations 97 were imposed on cities' compensation through rent and timelines for processing small wireless facilities permits. Response: Minn. Stat. §§ 237.162-.163 worked well for many years, but Minnesota was a part of a nationwide effort by wireless providers to pass laws providing them with easier access to public rights-of-way and city-owned infrastructure. While Minnesota's law maintains more local control than those passed in many other states, the League of Minnesota Cities opposes efforts to further restrict local government authority over the public right-of-way. Furthermore, the Federal Communications Commission is undergoing review of Telecommunications Act rules and policies related to local government regulatory authority. State and federal policymakers and regulators should: a) Uphold local authority to manage and protect public rights-of-way, including reasonable zoning and subdivision regulation, reasonable regulations of structures in the public right-of-way, and the exercise of local police powers; b) Recognize that cities have a paramount role in developing, locating, siting, and enforcing utility construction and safety standards; c) Support local authority to require reimbursement and compensation from service providers for managing use of public rights-of-way and ensure that local authority to receive compensation for use of public rights-of-way is expanded to account for new products and emerging technologies; d) Maintain city authority to franchise gas, electric, open video systems and cable services, and expand city ability to collect compensation for other services utilizing the PROW including but not limited to telecommunications and broadband services, and all other wireline programming platforms and services to support maintenance and management of the traveled portion of the PROW and other public services of importance to communities; e) Encourage a collaborative process with stakeholders, including cities, to determine any revised standards if needed; f) Recognize that as rights-of-way become more crowded, the costs of disrupting critical infrastructure become evident and the exercise of local authority to manage competing demands and ensure public safety in the PROWs becomes increasingly important; g) Ensure the removal of abandoned equipment and accompanying support structures by the service providers from the public right-of-way; h) Maintain the courts as the primary forum for resolving disputes over the exercise of such authority; i) Maintain existing local authority to review and approve or deny plans for installation or relocation of additional wires or cables on in-place utility poles. In the alternative, cities should have broader authority to require the underground placement of new and/or existing services at the cost of the utility or telecommunications provider; 98 j) Support the collaboration with local units of government as the state explores efforts to expand infrastructure in the public right-of-way to provide for increased connectivity for Connected Autonomous Vehicles (CAV). LE-21. Wireless Infrastructure and Equipment Siting Issue: Demand for wireless communication service has increased requests by private and public sector providers to site additional towers, antennas, small cells and other facilities in cities. It is anticipated that applications to install small cell wireless facilities and distributed antenna systems (DAS) will continue to grow as technology evolves over time. Despite changes made to Minn. Stat. § 237.163 that created a special process for the siting of small wireless facilities, maintaining cities’ local zoning authority and police power to manage and coordinate the siting of these facilities continue is necessary and appropriate. Response: Cities must continue to exercise full authority to consider public health, safety, and welfare concerns in responding to requests to site, upgrade or alter wireless facilities. The Legislature, Federal Communications Commission (FCC), and Congress should not place further restrictions on city authority to manage the siting of wireless facilities in the public right-of-way nor enact compensation restrictions that would result in local government subsidization of wireless providers. Furthermore, cities must have recourse to require removal by the provider of equipment deemed abandoned. LE-22. County Economic Development Authorities Issue: The 2005 Legislature authorized all counties outside the metropolitan area to establish county economic development authorities (EDAs). Minn. Stat. § 469.1082 provides specificity on certain process and limitations issues, including the ability of cities to prohibit the county EDA from operating within the city as well as within an agreed-upon urban service area or within a distance approved during the formation of the county EDA. County EDA activity in areas surrounding cities will directly impact the adjacent city in terms of service provision and taxes. Response: The Legislature should require city approval for proposed county EDA activities within two miles of a city. LE-23. Local Appropriations to Economic Development Organizations Issue: Cities and towns are allowed to appropriate up to $50,000 per year from general fund revenue to an incorporated development society or organization for “promoting, advertising, improving, or developing the economic and agricultural resources” of the city or town. The $50,000 cap has been in place since 1989 and places unnecessary restrictions on a city’s ability to work with non-profit development corporations. Local governments should have the flexibility to work with outside organizations if local elected officials believe it is in the best interest of their communities to do so. Such appropriations are subject to the same budgetary oversight as other government expenditures, and local elected officials are ultimately responsible to the voters for how local tax dollars are spent. 99 Response: The Legislature should amend Minn. Stat. § 469.191 to eliminate or increase the cap on appropriations to incorporated development societies or organizations. LE-24. Workforce Readiness Issue: Incumbent worker training and education must be an important component of Minnesota’s efforts to improve workforce readiness. By making firms and employees more competitive, incumbent worker training can increase wages, increase employment opportunities, fill skilled worker gaps, and keep jobs and employers in their communities. The Minnesota Job Skills Partnership is one proven tool that provides training to thousands of incumbent workers each year. Response: The Legislature should: a) Fully fund the Minnesota Job Skills Partnership and other workforce training programs administered by the Department of Employment and Economic Development, the Department of Human Services, and the various education agencies; b) Provide additional flexible funding to local workforce councils, including governments and educational facilities, for the purpose of upgrading the skills and productivity of the workforce, and pursue additional creative programming and funding to prepare and place underemployed and unemployed Minnesotans, as well as address the issue of those phasing out of the workplace and retiring; c) Provide additional funding for programs specifically designed to address youth employment such as career and workforce readiness programs, and employment disparities; and d) Continue to support cities that provide workforce programs that are coordinated with and complement state and regional efforts by seeking municipal approval before making any changes to those service areas. LE-25. Business Development Programs Issue: Programs such as the Minnesota Investment Fund (MIF), the Job Creation Fund (JCF), the Redevelopment Program, and contaminated site clean-up grants provide funding opportunities for communities and businesses to develop their local and regional economies. These well-utilized programs create infrastructure, revitalize property, and help businesses generate and expand jobs. Cities are key facilitators in the implementation of economic development strategies through land use and other policies. Response: The League of Minnesota Cities supports continued and sustainable funding for the Minnesota Investment Fund and the Job Creation Fund to assist local communities and businesses in creating, growing, and retaining jobs. The Legislature should also provide dedicated and sustainable funding for the Redevelopment Grant and Demolition Loan Program. DEED should solicit input from cities about how best to implement the Fund, and make adjustments to the administration of the program as necessary. The League supports Department of Employment and Economic Development (DEED) studying and making recommendations on methods to improve the geographic 100 balance of recipients, by allowing the use of additional evaluation criteria beyond the current job creation goal such as providing higher-wage jobs or achieving racial equity policy goals. that would allow all regions of the state to better prosper. LE-26. Remediation and Redevelopment Issue: Communities across Minnesota are faced with expensive barriers to re-using property. These roadblocks include deteriorating, obsolete, and vacant structures, and contaminated land. Larger scale redevelopment projects often require the purchase and assembly of multiple, smaller parcels of land that are not suitable for development on their own. Cities and development authorities may need to purchase land over a period of years and hold them for later development, reducing the effectiveness of traditional financing tools that require immediate development. Such barriers pose significant problems for cities seeking to re-use existing infrastructure, maintain and improve property tax base, provide jobs and housing opportunities, and preserve historic structures. Land remediation activities are particularly costly because significant remediation must occur before private-sector interest can be generated. Exacerbating this situation, the land remediation programs administered by the Department of Employment and Economic Development (DEED) and the Metropolitan Council programs continue to be underfunded. Response: In recognition of the unique needs of land remediation projects statewide, the Legislature should increase funding for the statewide redevelopment account. The League of Minnesota Cities also supports the creation of a land assembly grant or loan program to assist cities and economic development authorities with the challenge of assembling small parcels for redevelopment. The League supports competitive programs administered by DEED that distribute the funds equitably between greater Minnesota and the metro area. The Legislature should continue its support and increase funding levels for state and regional programs to assist in contamination cleanup and brownfields remediation efforts. The State should recognize that the rehabilitation of land due to obsolescence or incompatible land uses is a component of redevelopment. The Legislature should amend the definition of redevelopment district in Minn. Stat. § 469.174, subd. 10, to include the obsolescence and incompatible land uses included in a renewal and renovation district (Minn. Stat. § 469.174, subd. 10a), thereby providing cities with more flexible tools to address land remediation and redevelopment. The Legislature should also revive a program similar to “This Old Shop” (Minn. Stat. § 273.11, subd. 19), which would allow cities greater flexibility in targeting commercial development and redevelopment. The Legislature should consider enacting authority that would provide a tax deferral on improvements to commercial buildings, including those located in designated rehabilitation or historic preservation districts. The program’s age limit qualifications under Minn. Stat § 273.11, subd. 19, should be modified to include properties that are at least 30 years old. 101 The League is supportive of recent extensions to the Minnesota Historic Structure Tax Credit in Minn. Stat. § 116J.8737, which provides a 20 percent tax rebate for rehabilitation of qualified historic buildings. However, the Legislature should eliminate the sunset provision of the tax credit to provide certainty to cities and their project developer partners to proceed with historic redevelopment projects that are complex and time consuming. LE-27. Development Authority Levy Limits Issue: Under Minn. Stat. § 469.107, § 469.033, and § 469.053, Economic Development Authorities (EDAs), Housing and Redevelopment Authorities (HRAs) and port authority levies for economic development activities are capped. These limits can hinder the planning of future development. Response: The Legislature should increase or repeal levy limits or increase the levying authority for EDA, HRA, and port authority activities in Minn. Stat. ch. 469. LE-28. Tax Increment Financing (TIF) Issue: TIF is the most important tool available to fund community development and redevelopment efforts. Over time, the TIF law has become increasingly complex as the Legislature seeks to provide cities with the resources to grow the state’s economy while maintaining limits on the use of property taxes. Cities need greater flexibility to use TIF for community and economic development that support a city’s residents and businesses. Further restrictions of TIF would render the tool less effective and will hinder local efforts to support job creation, housing, redevelopment and remediation. The need for flexibility has been accentuated due to the pandemic economic downturn which has dramatically slowed existing projects that must continue to comply with statutory timelines. Many projects will have difficulty meeting time-line requirements such as the five-year rule without special legislation authorization. Further restrictions of TIF would render the tool less effective and will hinder local efforts to support job creation, housing, redevelopment and remediation. Response: The Legislature should not enact future TIF law restrictions, rather the Legislature should: a) Amend Minn. Stat. § 469.1763, subd. 4, to clarify that tax increment pooling limitations are calculated on a cumulative basis. b) Modify Minn. Stat. 469.174, subd. 10, to allow a redevelopment district to be established where only 50 percent of the buildings are required to be structurally substandard to a degree requiring substantial renovation or clearance. c) Clarify that expenditures for the necessary maintenance of properties within TIF districts are an allowable use of tax increment under Minn. Stat. § 469.176, subd. 4; d) Allow term extensions for redevelopment districts which are taking longer to develop; e) Amend Minn. Stat. § 469.1763, subd. 3, to eliminate the “Five-year Rule” 102 for districts that are taking longer to develop; f) Amend Minn. Stat. § 469.174, subd. 25, to provide time limits on the "deemed increment" created by land sales, leases and loans, and allow authorities greater flexibility in the use of lease revenues to fund ongoing operations; g) Expand the use of TIF to assist in the development of technological infrastructure and products, biotechnology, research, multi-modal transportation and transit-oriented development, restoration of designated historic structures, non-retail commercial projects, and non- wetland areas where unstable/non-buildable soils exist; h) Increase the ability of TIF to facilitate redevelopment and housing activities; i) Modify the housing district income qualification level requirements to allow the levels to vary according to individual communities; j) Encourage compact development and consider reauthorization of compact development TIF districts with modifications to increase their effectiveness; k) Discourage any statutory mechanisms that directly or indirectly decrease the impact of city redevelopment and economic development projects; l) Simplify the substandard building test to resolve ambiguities and reduce the continued threats of litigation; m) Create an exception to the interfund loan resolution requirement in Minn. Stat. 469.178, subd. 7, to authorize the development authority to delegate to a staff person the ability to set the terms and conditions of an interfund loan. n) Amend the definition of redevelopment district under the TIF Act to include the obsolescence and incompatible land uses included in a renewal and renovation district, thereby providing cities with more flexible tools to address land remediation and redevelopment. o) Amend Minn. Stat. 469.1763 subd. 2 to provide development authorities greater flexibility to address local housing needs by removing section 42 requirement for housing projects outside the district. p) Amend Minn. Stat. 469.174 subd. 27 to define “small city” to be a city that has a population of 5,000 or less and is located 5 miles or more from another city with a population of 10,000 which will allow qualifying cities to to utilize economic development TIF districts for commercial developments. LE-29. Property Tax Abatement Authority Issue: Although tax increment financing (TIF) continues to be the primary financing mechanism for local development projects, tax abatements provide cities with an important, additional economic development tool. Recognizing the need for municipal development tools, the 2008 Legislature expanded the abatement authority by converting the limit on abatements from ten percent of the current tax levy to ten percent of net tax capacity. The tax abatement law requires that a political subdivision may only approve an abatement after holding a public meeting 103 with a minimum of 10 days published public notice. When more than one political subdivision abates property taxes for a development project, there must be separate notices and hearings for each subdivision. This requirement can be particularly burdensome for programs designed to develop multiple properties over an extended period of time. If one political subdivision could be designated as the lead entity for purposes of the notice and hearing requirements, such projects could be made more efficient without sacrificing public transparency. Property tax abatements should not be considered a replacement for TIF. Response: In light of current economic conditions existing property tax abatement authority should be strengthened. The Legislature should: a) Expand the abatement authority to allow abatement revenues to be used for economic development activities such as workforce readiness and assistance programs, and technology infrastructure improvements; b) Develop a state fund to facilitate state participation in abatement projects by allowing the state property tax to be abated; c) Increase funding caps under Minn. Stat. § 469.1813, subd. 8 and duration limits under Minn. Stat. § 469.1813, subd. 6; and d) Amend Minn. Stat. § 469.1813, subd. 5, to create a streamlined notice and hearing requirement for multi- jurisdictional tax abatement projects. LE-30. Opportunity Zones Issue: The Opportunity Zones program was established by Congress in the Tax Cuts and Jobs Act of 2017 to encourage long-term investments in low-income urban and rural communities nationwide. The Opportunity Zones program provides a tax incentive for investors to re-invest their unrealized capital gains into Opportunity Funds that are dedicated to investing into Opportunity Zones as designated by the chief executives of every state and territory in the United States. The tax incentive is available for up to ten years. As the chief executive of the state of Minnesota, Governor Mark Dayton designated 128 census tracts across the state as Opportunity Zones, but beyond the responsibility for this designation the state does not have an additional role in the implementation of the Act. The United States Treasury released rules on April 17, 2019 which provide guidance and clarification for investors and fund managers. In some communities, the Act has served as a useful tool in spurring development in low-income communities and could help with business development and jobs; there are also questions about what impact the Act will have on the residents that live and businesses that operate, in these communities today. For example, while development may have positive impacts such as increasing tax base or job opportunities, robust development could have unintended consequences such as displacement of current residents and businesses. While the program provides investors with several benefits including the deferment of capital gains owed until 2026, key tax incentives have begun to wane as we get closer to 2027 and investor attention has shifted to focusing on executing projects that have already received investment. 104 Response: The League of Minnesota Cities urges the federal government to seek regular input from communities that are designated as Opportunity Zones regarding how the tool is being used, whether the tool is encouraging new development opportunities, and how community members who live in the Zones are impacted, such as through a local advisory board made up of residents, businesses, and other stakeholders located in the designated census tracts. The Federal Government should seek input from local communities throughout the implementation of the rules and regulations and consider necessary amendments and adjustments as needed in response to potential questions or concerns raised by the communities whose residents, workers, and businesses will be experiencing the changes that ensue in the Zones. Additionally, limitations that may have led to lack of engagement from communities and investors in the Qualified Opportunity Zones should be addressed by the federal government if the program is to be reauthorized beyond 2027. The State of Minnesota should continue to utilize community development resources to stimulate investment in Opportunity Zones and adopt policies that ensure that local residents, workers and businesses benefit from the investments. LE-31. Revisions to the OSA Audit Function Issue: Pursuant to Minn. Stat. § 469.1771, the Office of the State Auditor (OSA) is responsible for tax increment financing (TIF) oversight. As part of its review of TIF districts, the OSA identifies alleged violations of the TIF laws and issues noncompliance notices to TIF authorities. In recent years, a number of cities have received letters of inquiry from the OSA that raise questions about practices long accepted by the OSA or limit statutory definitions that have not been amended by the legislature for over a decade. The audit power in Minn. Stat. § 469.1771 is necessary to ensure that individual cities comply with the TIF statutes, but is not effective in clarifying the legislative intent of the TIF statutes. In addition, the TIF statute requires that authorities respond to noncompliance notices within 60-days of receiving the notification. There is no deadline for the OSA to respond, and authorities often do not receive timely responses on the matter from the OSA. Government agencies typically have response-time deadlines, and it is appropriate for the OSA to respond by a time certain to provide finality to the audit process. Any final disposition notice must be clear about the final disposition of the matter. Finally, the statutory audit enforcement process does not create an environment where these policy questions can be fairly and sufficiently resolved. County attorneys lack the resources to prioritize TIF disputes and lack the subject matter expertise needed to analyze the merits of the OSA’s audit findings. This results in excessive deference granted to the OSA’s original audit findings. Faced with the potential loss of increment, payment of attorney fees, and small likelihood of success on the merits, cities often acquiesce to the OSA to save time and money. Response: The League of Minnesota Cities believes there should be a more defined process to establish rules or guidelines for TIF authorities with adequate input from local government 105 officials and public finance professionals prior to their adoption. In the event that the OSA determines to issue a final noncompliance notice to a TIF authority, the Legislature should require the OSA to issue the notice within 60 days of receiving the authority’s response. Any final noncompliance notice should contain the OSA’s final position on the matter, the date upon which it forwarded the matter to the county attorney, and the next steps that are required to be taken according to state law. Upon expiration of the 60-day period, the authority should be deemed to be in compliance with the TIF laws if no final noncompliance notice is received. In order to ensure a fair process to resolve disputes over TIF findings of the OSA, the Legislature should consider whether the authority to resolve such disputes should be shifted from county attorneys to the Office of Administrative Hearings. LE-32. OSA Time Limitations Issue: The Office of the State Auditor (OSA) has the authority to issue noncompliance notices for every existing tax increment financing (TIF) district in the state for alleged violations of the TIF laws. This authority extends retroactively to the inception of the district. Accordingly, TIF authorities can receive noncompliance notices for alleged violations that occurred 20 or more years ago. Often, staff and record-keeping procedures have changed, and TIF authorities find it difficult to reconstruct the past in order to identify and remedy these situations. Similarly, the OSA claims the authority, based on the state’s records retention schedule, to audit TIF districts for up to 10 years after decertification, which requires cities to expend staff resources to maintain files and a working knowledge of old districts for an unreasonable period of time. Response: A reasonable timeframe within which alleged violations are identified should be established. The Legislature should reasonably restrict the OSA’s ability to issue noncompliance notices to the six-year period prior to the notice’s issuance date. The Legislature should also require the OSA to conduct any audits on decertified districts within one year of decertification. LE-33. Workforce Housing Issue: Job creation is one of the fundamental goals of economic development. When employers create new jobs through expansion or relocation there must be sufficient housing in the host community for the new workers and their families to live. In rural communities, a lack of housing stock for new workers can prevent a planned expansion or relocation, hampering job growth and economic development. The economics of building a housing development in greater Minnesota communities makes private development difficult, and workers with higher paying jobs do not qualify for traditional affordable housing. This housing gap can bring development and job growth in a community to a halt. In 2014, at the urging of cities through Minnesota, the Legislature created a workforce housing pilot program for three cities in Roseau and Pennington Counties. In 2015 the Legislature passed League-sponsored legislation that created the workforce housing development program and appropriated $4 million to the Department of Employment and Economic Development (DEED) to administer the program. Once grant awards from DEED 106 were made, prevailing wage requirements, construction costs, and land prices have shown to lessen the effectiveness of creating more workforce housing units. It is important to ensure the appropriate resources and process exist for the Department of Labor and Industry (DLI) to determine representative and accurate prevailing wage amounts in different areas across the state. The 2017 Legislature approved funding for the Workforce Housing Grant Program at $2 million each year. The program was moved from DEED to be administered by MN Housing Finance Agency (MHFA) in Minn. Stat. 469A.39 with a change in qualifications that gives preference to cities under 30,000 population (rather than 18,000 previously). The 2017 Legislature also approved a new use of TIF authority for workforce housing (Minn. Stat. § 469.174-176). In addition to requirements under Minn. State. 469.175, subd. 3, county and school boards must approve the TIF plan before it is enacted and the authority sunsets in 2027. These additional requirements specific to workforce housing TIF districts put additional barriers on workforce housing development and does not fully recognize the role of cities as the typical lead government entity on housing projects. Minn. Stat. § 469.175, subd. 2, currently requires cities to provide the county auditor and clerk of the school board with the proposed TIF plan and an estimate of the fiscal and economic implications of the proposed TIF district at least 30 days before the public hearing required by Minn. Stat. § 469.175, subd. 3. The county auditor and school board shall provide copies of these TIF plan materials to members of their boards. These current requirements provide sufficient notice to taxpayers and other government entities about proposed TIF districts. Response: The League of Minnesota Cities supports additional tools for local communities to develop workforce housing: a) MHFA should solicit input from local communities to ensure that the goals of the Workforce Housing Development Program are met, and MHFA should award funds to eligible projects as quickly and efficiently as possible; b) The Legislature should increase funding to the Economic Development and Housing Challenge Program to aid housing in support of job growth, and amend Minn. Stat. § 462A.33 to either increase or eliminate the maximum income levels for participation in the program; and c) The Minnesota Housing Finance Agency should make administrative changes to the Economic Development and Housing Challenge Grant program to streamline the application process, reduce the per-unit cost of constructing affordable housing, and increase the construction of affordable rental units at 80% of median income and owner-occupied units at 115% of median income, as currently allowed by state and federal law; and d) The Legislature should pass legislation creating a workforce housing tax credit to spur development of workforce housing. e) The Legislature should scale the Workforce Housing Development Program to account for the additional 107 cost associated with the prevailing wage requirements. f) The Legislature should streamline the provisions in Minn. Stat. § 469.175, subd. 3 required of cities to establish a workforce housing TIF district including eliminating the provision that requires a city to determine average vacancy rates and county board and school board approval for a workforce housing TIF plan before it is enacted and the Legislature should also eliminate the sunset of the workforce housing TIF authority. LE-34. Development Along Transit Corridors Issue: While the establishment of transit lines and corridors provide the impetus for economic development, there are limits to existing development tools that hinder full development of transit corridors. For example, acquisition of land outside of the line but within the corridor can be difficult, and current tools are not well-suited for the creation of public spaces, enhancement of infrastructure, and investments such as parking ramps that are necessary components of a transit-oriented development plan. In 2008 the Department of Employment and Economic Development (DEED) was authorized to establish Transit Improvement Areas, which should complement long-term transportation planning initiatives such as MAP-21 and Minnesota GO. Transit Improvement Areas include parcels of land that are located in part within one-half mile of a transit station. A transit station is defined as a physical structure or designated area which supports the interconnection of various transportation modes, including light rail, commuter rail and bus rapid transit, and which promotes and achieves the loading, discharging and transporting of people. The commissioner of DEED may designate a Transit Improvement Area if it will increase the effectiveness of a mass transit project by incorporating one or more modes of public transportation with commercial and housing development, as well as providing a clean and pleasant place for pedestrian use. DEED has designated over 50 Transit Improvement Areas; all but two are located in the seven-county metropolitan area. Although the language passed and was signed into law by the governor (Minn. Stat. § 469.35), there was no funding put into place to implement the new program. Response: The League of Minnesota Cities urges the Legislature to increase the ability of traditional economic development tools, including tax increment financing, tax abatement, and special service districts, to address the needs of transit-oriented development. The League encourages the Legislature to appropriate bonding and general fund dollars for revolving loans and grants to fund the TIA program. Additionally, the Legislature should consider adding park and ride facilities to the list of qualifying transportation modes, as defined in Minn. Stat. § 469.351. Because the majority of the DEED-designated Transit Improvement Areas are currently located in the seven-county metropolitan area, increased funding for this program will not be balanced between greater Minnesota and the metro area. Additional funding for this program should not change the overall balance of state funding between greater Minnesota and the seven-county metropolitan area. LE-35. Authority to Create Public Infrastructure Utilities Issue: Successful economic development efforts and community stability are 108 dependent upon a city’s ability to make infrastructure investments. Current infrastructure funding options available to cities are inadequate and unsustainable. Funding pressures have been exacerbated by levy limits, unallotment and reductions in the local government aid and market value homestead credit programs. The existing special assessment law, Minn. Stat. ch. 429, does not meet cities’ financing needs because of the special benefit requirement. The law also requires a bond election unless a minimum of 20 percent of such a project can be specially assessed against affected properties due to the increase in fair market value or “benefit” from the project. In practice, however, proof of increased property value to this degree of benefit can rarely be proven from regular repair or replacement of existing infrastructure such as streets or sidewalks. Alternatives to the Minn. Stat. ch. 429 methods for financing infrastructure improvements are nearly nonexistent. The Legislature has given cities the authority to operate utilities for waterworks, sanitary sewers, and storm sewers. The storm sewer authority, established in 1983, set the precedent for a workable process of charging a use fee on a utility bill for a city service infrastructure that is of value to everyone in a city. Similar to the storm sewer authority, a transportation or sidewalk utility would use technical, well-founded measurements and would equitably distribute the costs of local infrastructure services. Response: The Legislature should authorize cities to create, as a local option, additional utilities such as a transportation or sidewalk utility, that ensure funding for the maintenance of these public amenities. Additionally, whether established as a new chapter of law or added to the list of service charges in Minn. Stat. § 429.101, cities should be able to impose service charges against property to ensure the maintenance and safety of the right of way for all Minnesotans without having to prove an increase in fair market value or having to determine whether those contributing to the utility fund are taxable or tax-exempt. Such authority would acknowledge the effects of repeated levy limits and the general funding shift from the state to local governments for building and maintaining necessary infrastructure; the benefits to all taxpayers of a properly maintained public infrastructure; and, the limitations of existing special assessment authority. LE-36. Adequate Funding for Transportation Issue: A well-coordinated state transportation policy utilizing all modes of transportation in moving passengers and freight will enhance the state economic development of new and expanding business as well as foster additional tourism opportunities. Response: More resources must be dedicated to all components of the state’s transportation system, and local units of government must have access to resources and funding tools to meet growing needs. The League of Minnesota Cities supports: a) Development of a comprehensive state transportation policy which provides an environment where all modes of transportation (motor, rail, air, water and pipeline) complement each other in moving passengers and freight within the state. b) A dedicated and sustainable state revenue source for non-municipal state aid city streets. 109 c) The Statewide Transportation Plan 2009-2028 developed by the Minnesota Department of Transportation (MnDOT). d) MVST distribution of 60 percent for roads and bridges and 40 percent for transit. e) A permanent increase in the gas tax. f) Indexing of the gas tax, provided there is a limit on how much the tax can be increased for inflation in a given amount of time. g) Increases in vehicle registration taxes (tab fees). h) Trunk highway bonding provided the Legislature implements reasonable restrictions on the amount of debt service the state will incur, and provided the Legislature appropriates funding to assist with local costs related to projects funded with trunk highway bonds. i) General obligation bonding for local roads and bridges, particularly for routes of regional significance. j) A sales tax increase dedicated to transportation. k) Funding to assist cities burdened by cost participation responsibilities imposed by improvement projects on the state’s principal arterial system and on the county state aid highway (CSAH) system. l) Funding for transportation components of economic development and redevelopment projects. m) Full funding for all components of state highway projects, including related stormwater management systems, through state sources. n) Establishment of a “Mainstreets Fund” to assist cities with non-transportation related components of trunk highway projects such as utility upgrades and improvements that contribute to economic development. o) Funding to build roads to standards that can accommodate the year-round transport of heavy loads. p) A sales tax exemption for materials purchased for state and local road, bridge, sidewalk, trail and transit construction projects. q) Authority for cities to impose development impact fees for transportation infrastructure. r) Local funding options that would allow cities to raise revenues for roads, bridges, sidewalks, trails, and transit. s) Expanded use of alternative revenue sources such as MnPASS and other tolling mechanisms for funding of maintenance and construction (where feasibility studies indicate the program is appropriate). LE-37. Turnbacks of County and State Roads Issue: As road funding becomes increasingly inadequate, more roads are being “turned back” to cities from counties and the state. Response: Turnbacks should not occur without direct funding or transfer of a funding source. A process of negotiation and mediation should govern the timing, 110 funding, and condition of turned-back roads. Agreements should be negotiated and finalized before work on a project requiring a turnback begins. City taxpayers should receive the same treatment as township taxpayers. The requirement for a public hearing, standards about the conditions of turnbacks, and temporary maintenance funding should also apply to county turnbacks to cities. At a minimum, roads that are proposed to be turned back to a city government should be brought up to the standards of the receiving government, or that city should be compensated with a direct payment. Direct funding should be provided for smaller cities that are not provided with turnback financing through the municipal state aid system. LE-38. MnDOT Rights-of-Way Maintenance Issue: Maintenance of property, including government property and facilities, is important to public safety and to the image of Minnesota cities. Cities are acutely aware of the responsibility they have for enforcing property maintenance codes pertaining to grass mowing, noxious weed abatement, the placement of trash in yards and fence maintenance. Minnesota has many miles of highways that run through cities. In recent years, the Minnesota Department of Transportation (MnDOT) has cut a substantial percentage of its rights-of-way management staff. The cuts have resulted in reduced maintenance along some corridors and on parcels acquired by MnDOT for transportation purposes. Specifically, MnDOT has reduced the frequency of mowing, litter collection, noxious weed abatement, graffiti abatement and repair of fences and guard rails. This maintenance reduction has created public safety concerns, undermined efforts to keep corridors attractive and presented challenges for communities working to promote economic development. Response: MnDOT must maintain state rights-of-way and parcels acquired by MnDOT for transportation purposes located within city limits in a manner consistent with local ordinances governing the upkeep of private property when requested by the city. Alternatively, MnDOT should reimburse Minnesota cities for the labor, supplies, and equipment necessary to maintain state rights-of-way to meet city standards and/or minimize public safety hazards. The Legislature must provide MnDOT with adequate funds to maintain state rights-of-way. LE-39. Funding for Non-Municipal State Aid City Streets Issue: Minnesota has over 141,000 miles of roadway, and more than 22,500 miles—or 16 percent--are owned and maintained by Minnesota’s 853 cities. The Minnesota Constitution limits eligibility for dedicated Highway User Tax Distribution Fund dollars to up to twenty percent of streets in cities with populations over 5,000 (147 of 853 cities). This means almost 85 percent of municipal streets are ineligible for municipal state aid (MSA) funds and must be paid for with property taxes and special assessments. Funding challenges are compounded by city cost participation requirements in state and county highway projects, which divert resources from city-owned streets. Recognizing the unique street funding needs in cities under 5,000 population, the 2015 legislature created the Small Cities Assistance Account (Minn. Stat. § 162.145). 111 Funds in the account are distributed through a formula to all cities under 5,000 population for street maintenance and reconstruction. Unfortunately, funding for the account has only been provided for three times. Because Small Cities Assistance funding has been provided so inconsistently, small cities have had difficulty using the revenue stream as a tool to maximize pavement management and street improvement planning. Maintenance costs increase as road systems age, and no city--large or small—is spending enough on roadway capital improvements to maintain a 50-year lifecycle. For every one dollar spent on maintenance, a road authority--and therefore taxpayers--save seven dollars in repairs. According to a report released in late 2012 by the governor’s Transportation Finance Advisory Committee, cities collectively need an additional $400 million per year to bring city streets up to an economically competitive standard. Response: City streets are a separate but integral piece of the network of roads supporting movement of people and goods. Cities need greater resources and flexible policies in order to meet growing demands for street improvements and maintenance. The League of Minnesota Cities supports: a) A dedicated and sustainable state funding source for non-MSA city streets in large and small cities statewide; b) enabling legislation that would allow cities to create street improvement districts (similar to sidewalk improvement districts already allowed under Minn. Stat. § 435.44); and c) the creation of a new fund within the Local Road Improvement Program that would provide grants to cities burdened by cost participation requirements related to trunk highway and county state-aid projects. LE-40. Authority to Allow Amenities in MnDOT Rights-of- Way Issue: Cities served by the state’s trunk highway system frequently request features on the highway right-of-way (ROW) that would improve the aesthetics of the highway or provide public amenities exceeding components the Minnesota Dept. of Transportation (MnDOT) may include. Minn. Stat. §161.20, Subd. 2(b), gives the MnDOT commissioner authority to make agreements with and cooperate with any governmental authority relating to trunk highway construction and improvements; however, Minn. Stat. §161.434 provides that arrangements and agreements must be “for highway purposes”. These restrictions are problematic in cities where a downtown commercial area exists along a trunk highway. Some of these cities desire amenities that would make commercial areas adjacent to trunk highways more vibrant by allowing outdoor dining, landscaping, decorative lighting or other aesthetic improvements that do not serve a highway purpose. Under current law, the city cannot approve amenities that encroach on the ROW. Response: The League of Minnesota Cities supports authorizing cities, by ordinance, to allow amenities that do not serve highway purposes on trunk highway ROW within their jurisdictions. The League also supports a requirement 112 that MnDOT develop and approve rules related to local ordinances. LE-41. Complete Streets Issue: There is increasing public support for the reform of local street design policies to make streets safer for pedestrians, cyclists and neighborhood residents. Response: The League of Minnesota Cities supports reforms in state design guidelines for local streets that would give cities greater flexibility to safely accommodate all modes of travel, including walking and biking. The state should also provide incentives such as grants to local units of government working to advance complete street projects. Crosswalks and Safe Routes to School projects should be eligible for incentives. The League opposes state imposed unfunded mandates that would increase the costs of building streets in contexts where facilities for cyclists and pedestrians are unnecessary or inappropriate. LE-42. Authority to Implement Infrastructure Fees Issue: New development and the resulting growth create an increased demand for public infrastructure and other public facilities. Severe constraints on local fiscal resources and dramatic forecasts for population growth have prompted cities to reconsider ways to pay for the inevitable costs associated with new development. Traditional financing methods tend to subsidize new development at the expense of the existing community, discourage sound land-use planning, place inefficient pressures on public facilities, and allow under-utilization of existing infrastructure. Consequently, local communities are exploring methods to ensure new development pays its fair share of the true costs of growth. In Harstad v. City of Woodbury, 916 N.W.2d 540 (Minn. 2018), the Minnesota Supreme Court recently clarified that state statute does not provide the authority for cities to impose infrastructure fees to fund future road improvements when approving subdivision applications under Minn. Stat. § 462.358, subd. 2a. Given the existing authorization to impose fees on new development of other infrastructure, such as water, sanitary and storm sewer, and for park purposes, it is reasonable to extend the concept to additional public infrastructure and facilities improvement also necessitated by new development. Response: The Legislature should authorize local units of government to impose infrastructure fees so new development pays its fair share of the off-site, as well as the on-site, costs of public infrastructure and other public facilities needed to adequately serve new development. LE-43. Safe Routes to School Grants Management Issue: The Safe Routes to School (SRTS) Program provides funding support for capital projects that promote and encourage more students to walk or bicycle to school by making the school routes safer and more accessible. The following are some types of SRTS infrastructure improvement grants that are provided by the state and offered through the Minnesota Dept. of Transportation (MnDOT): 113 a) School site improvements: secure bicycle parking facilities, traffic diversion improvements, and Americans with Disabilities Act (ADA) improvements; b) Pedestrian facilities: new sidewalk, sidewalk gap closures, and related ADA improvements; c) Bicycle facilities: bicycle trails, separated multi-use or shared paths and related ADA improvements; and d) Traffic calming and crossing improvements: curb extensions, speed humps, median refuges, enhanced crosswalk markings, timed on/off beacons, vehicle feedback signs (dynamic speed signs), and other traffic control devices. Cities that receive municipal state aid (MSA)--those with populations above 5,000--may apply for and administer their own SRTS grants. Non-MSA cities, even those with a city engineer on staff or contract, must rely on the county to manage any grant funds secured as well as to approve the project design. In some cities, this requirement has led to project delays and disputes with counties over project design and delivery. Response: The League of Minnesota Cities supports changes to MnDOT rules to allow small cities that have the capacity to manage SRTS grants and projects to do so without county approval. LE-44. Railroads Issue: Railroads impose far-reaching and long-term impacts on communities. The impact of railroads on communities has become more pronounced in Minnesota as the number and length of trains have increased due to frac sand and crude oil entering the state by rail to and from North Dakota. While railroads often support economic activity and can relieve pressure on roadway and bridge infrastructure, they also bring noise, environmental impacts and safety challenges. Below are some of the concerns cities have raised about railroads: a) Local public safety personnel are underequipped to respond to a potential derailment of a train carrying hazardous materials such as crude oil or nuclear products. b) The cost-share ratio related to roadway crossing improvements is borne disproportionately by the public sector. Some estimates are 80 percent public to 20 percent private funding, regardless of the public entity’s ability to pay or whether service is provided within the community. Funding has not kept pace with the growing need for grade separations. c) Legislation brought by the railroad industry that would exempt railroads from stormwater fees and assessments and shift the cost of complying with stormwater management to other property owners. d) The financial burden is faced by the public sector to deal with mitigation improvements, a cost that the Surface Transportation Board (STB) is not requiring the private sector to pay. e) At-grade crossings are blocked by both long moving trains and by trains that stop and remain stopped, sometimes for hours at a time. Blocked crossings delay motorists and sometimes prevent passage of emergency vehicles. 114 f) Difficulty and expense of imposing and enforcing whistleblowing ordinances. g) Unabated graffiti on railroad cars and structures. h) Negative impacts of long- and short-term storage of rail cars on adjacent properties. i) Pre-emption of local and state authority to regulate railroad activities. Response: The League of Minnesota Cities opposes legislation and policies that disproportionately shift authority, costs and/or liability away from railroad companies and onto other entities. The railroad industry, along with state and federal government, must: a) Adequately mitigate the negative impacts of railroads on communities; b) Allow local governments to enforce the existing state and federal laws regarding the maximum time a crossing may be blocked, and provide a mechanism to do so; c) Provide that timely notice to the impacted municipality is required in advance when a crossing or crossings will be blocked by a stopped train; d) Require railroad companies to provide a direct emergency response telephone number for city first responders (police, fire, ambulance or other designated official) to call when an at-grade crossing is blocked, and the emergency services need this crossing immediately unblocked to continue their response; e) Allow local governments to enforce whistle-free zones; f) Impose and implement safety standards that are in the best interest of the public, including requiring every train that is carrying freight to be operated with a crew of at least two crewmembers; g) Equip and train local public safety officials to respond to potential catastrophic rail incidents; h) Develop plans and identify funding sources for more grade separations between railways and roadways; and i) Fund and implement improvements to rail car storage facilities. The public sector should not incur the costs of improvements sought by the private sector, and cities should not be required to fund most of the cost of crossing repairs or improvements. The federal government must exercise greater oversight of the STB to ensure fair and equitable solutions are reached when dealing with cities in Minnesota. Finally, the Minnesota Department of Transportation’s (MnDOT’s) Office of Freight and Passenger Rail should advocate on behalf of local communities when conflicts between cities and railroad entities arise. LE-45. Airport Planning and Funding Issue: Airports are an essential component of Minnesota’s transportation infrastructure. Airports in the State of Minnesota serve important gateway to the region, the nation, and global markets. They serve as a primary access point to our national airport system. The Minneapolis St. Paul International Airport (MSP) is critical to the movement of people and goods in and out of the state and even with all the planned improvements, it 115 will eventually reach its capacity. The state needs to implement a long-term strategy to make better use of other airport facilities and existing resources, reduce environmental impacts, and achieve sound and sustainable economic growth throughout the state. Aviation planning is a multi-layered effort with different levels of responsibilities. Currently, the State Airports System Plan is put together by MnDOT with individual pieces developed by the Federal Aviation Agency (FAA), Metropolitan Council (MC), and Metropolitan Airports Commission (MAC). Aviation planning could be improved by a more unified statewide effort and coordination of the various aviation strategies through creation of an oversight body. Minn. Stat. § 360.017 establishes the State Airport Fund and authorizes the Minnesota Department of Transportation (MnDOT) Office of Aeronautics to support cities, counties and townships in the planning, development, maintenance and safe operation of public airports. In recent years, in order to help balance the state’s budget, the Legislature transferred funds from the State Airport Fund to the General Fund. Although the borrowed funds were eventually repaid in full, efforts to preserve and improve the quality of airports throughout the state were hindered by the unavailability of these revenues. The Minnesota Council of Airports (MCOA), a membership organization for airport authorities and municipal entities who own airports, has led efforts to bring stakeholders together. Most recently, the MCOA established the State Airports Fund Committee to work with the MnDOT Office of Aeronautics to discuss and advise future management practices of the State Airport Fund. Response: The state needs a higher degree of integration of agencies (FAA, MnDOT, MC, and MAC) and communities related to aviation planning. The League of Minnesota Cities supports the collaborative efforts initiated by the MCOA and supports the development of a statewide airport advisory board, which could provide input, review and make recommendations to assist in development of a comprehensive statewide State Airports System Plan. The state needs to make planning and investment decisions that will maximize the potential for airports to become economic development centers that provide access to domestic and global marketplaces. Investments in airports allow existing businesses to remain and grow, help attract new businesses, increase employment, and lower product and service costs for the benefit of the region. Finally, the Legislature should not authorize shifting of dedicated State Airports Fund dollars to resolve general fund deficits LE-46. Airport Safety Zones Issue: The field of aeronautics is regulated generally by Minn. Stat. ch. 360 and Chapter 8800 of the Minnesota Rules. Land use safety zones and other public airport zoning standards are established in Minnesota Rules Chapter 8800.2400, and are adopted by local airport zoning regulations that are submitted to the Minnesota Department of Transportation (MnDOT) commissioner for review and approval before adoption. Airport safety zones are intended to restrict land uses that may be hazardous to the operational safety of aircraft using the public airport, and to protect the safety and 116 property of people on the ground in the area near the public airport. While some of the provisions included in the Minnesota Rules are required by the Federal Aviation Administration (FAA), other provisions go well beyond the federal requirements. In some cases, the Minnesota Rules do not make sense for the community served by a public airport. Finally, in some cases airports cross multiple municipal jurisdictions. Neither state law nor Minnesota Rules provide powers for joint airport zoning boards. These boards could be useful in resolving interjurisdictional issues involving airport planning, development, funding and zoning. Response: The League of Minnesota Cities supports efforts to protect the safety and property of people living and working near public airports. The League also recognizes that the Minnesota Rules related to public airport zoning standards exceed the FAA’s and other states’ standards and, thus, needlessly infringe on local control. The League supports changes to Minnesota Rules pertaining to airport zoning standards that will more closely align Minnesota’s Rules with those in other states, while at the same time retaining local authority to be more restrictive than the Minnesota Rules. The League also supports changes to Minnesota Statutes and Minnesota Rules that would authorize powers for joint airport zoning boards so issues related to funding, staffing, and authority to enforce ordinances can be resolved at the local level. 117 HUMAN RESOURCES & DATA PRACTICES HR-1. Personnel Mandates and Limits on Local Control Issue: Many state laws increase the cost of providing city services to residents by requiring city governments to provide certain levels of compensation or benefits to public employees, by specifying certain working conditions, or by limiting city governments’ ability to effectively manage their personnel resources. For instance, existing state laws limit governments’ ability to effectively address incompetence or misconduct of city employees by specifying certain procedures or standards of conduct that cities must follow. Additionally, state law limits the tools that cities can use to recruit and retain talent which creates challenges during times of low unemployment and a competitive labor market. Finally, several laws are potentially contradictory and force local governments to choose which one to follow. Response: Any new legislation and changes to existing legislation should meet the following goals: a) Recognize the need for local decision-making authority by local elected officials with regard to the terms and conditions of employment for local government employees (e.g. allow local elected officials to determine employee compensation, employee recognition, and to make employee benefit decisions, and allow greater flexibility in how cities may utilize public funds for the recruitment and retention of employees in an ever changing job market). b) Provide funding that pays the full costs of any mandated employment-related expenditures. c) Avoid and eliminate expensive and time-consuming duplicative legal protections and processes for public employees, including those that preclude promotional probationary periods. d) Eliminate contradictory existing laws regarding public employment. e) Eliminate mandates for local government employers that are not imposed upon the state as an employer. f) Use the collective bargaining process established by state law, rather than legal mandates, to determine benefits for employees covered by collective bargaining agreements. HR-2. Earned Sick and Safe Time Issue: In recent years, there have been legislative proposals to require employers to provide “earned sick and safe time” affording employees one hour of sick and safe time for every 30 hours worked. Cities recognize their employees for their dedication to public service and currently provide a wide variety of excellent benefits to their employees and prioritize the health and well-being of staff. Benefits include paid time off for most staff who are required to be enrolled in the Public Employee Retirement Association (PERA) (Minn. Stat. § 353.01, subds. 2a, 2b). In developing leave and benefit policies, cities must be mindful of the cost to citizens for programs, much of 118 which are driven by staff compensation and benefits. Response: To avoid significant cost increases and to provide clarity, the Legislature should use the same eligibility requirements for public employees outlined in state statute for PERA participation if a mandatory sick and sick and safe time program is enacted by the Legislature. HR-3. Pay Equity Compliance Issue: In 1984, the Legislature passed the Local Government Pay Equity Act to eliminate sex-based wage disparities in public employment. The Act requires each local government to submit reports of its pay structure to the state’s Pay Equity Compliance Coordinator within the Department of Management and Budget. The data is then subject to analysis to determine if there are inequities in the city’s pay structure. Since its passage, the administrative rules implementing the Act have not substantively changed. Response: The League of Minnesota Cities supports the Local Government Pay Equity Act and seeks to partner with the Legislature and the state’s Pay Equity Compliance Coordinator to update and improve the current system so that cities can more efficiently and effectively fulfill the mandated reporting requirements. Local governments and the state should: a) Explore and document problems individual local governments are experiencing, and evaluate whether the problems are widespread and if they can be resolved administratively; b) Evaluate the reporting process, and make recommendations for improvement as needed; c) Review the methodology for analyzing pay equity data; and d) Evaluate the process by which cities receive notification of reporting requirements and compliance issues and make recommendations for improvement as needed. HR-4. Public Employment Labor Relations Act (PELRA) Issue: The League of Minnesota Cities supports the purpose of the Public Employment Labor Relations Act (PELRA) to balance the rights and interests of public employees, public employers, and the general public. However, certain changes are necessary to assist public employers in implementing this law. For example, current definitions of “public employee” are confusing and difficult to manage. In addition, the arbitration process has produced decisions that are contrary to the interests of the public, and the legal standard for overturning arbitration decisions is very difficult to meet. Also, recent interpretations of Minn. Stat. § 179A.25 (independent review of non-union employee grievances) has created uncertainty and confusion in the longstanding judicial process used by courts to review city council administrative decisions, particularly employment termination decisions of non- union employees. Response: Minn. Stat. ch. 179A should be modified to: a) Change the definition of “public employee” under PELRA by removing the existing 14-hour/67-day requirement and replace it with a definition in which employees must work an annual average of 20 hours or more per week. 119 b) Exclude temporary or seasonal employees, as well as unpaid volunteers, from the PELRA definition of public employee in Minn. Stat. ch. 179A. c) Provide different options for accessing arbitrators and utilizing the arbitration process in order to “address inequities” between union and management representatives. d) Allow public employers to bypass mandatory arbitration required under PELRA and directly access the district court or Office of Administrative Hearings system in situations where an employee is being terminated for gross misconduct (e.g., excessive use of force, sexual harassment, sexual abuse, theft or a felony conviction) that is related to the employee’s position with the public employer, including establishment of a standard that defers to the public employer’s decision on termination if it has met a standard of reasonableness. e) Repeal Minn. Stat. § 179A.25 or, in lieu of repeal, exclude employment terminations from Minn. Stat. § 179A.25; require a 60-day timeframe for filing a petition for review of a grievance under Minn. Stat. § 179A.25; and clarify that decisions of Bureau of Mediation Services (BMS) under this section are non-binding and merely advisory. f) The League opposes legislation that would propose employer payment of grievance arbitration fees when a settlement is offered to a grievant and declined. HR-5. Implications of Janus v. AFSCME Issue: Historically, both members and non-members of public sector unions could opt out of paying the portion of dues that explicitly go to the union’s political activities. But, until recently, non-members were still required to pay what was called a “fair share” fee, allegedly because even non-members receive the benefits of union representation. Union dues are deducted from employee paychecks by employers based on notification of membership provided by labor unions. Overruling decades of precedent, in June 2018, the U.S. Supreme Court ruled it is unconstitutional for public employees who object to belonging to a union to be required to pay a fair share fee. (Janus v. AFSCME). Specifically, the Supreme Court held that laws compelling fair share dues from unwilling members violated the First Amendment by requiring these employees to, in effect, pay for speech with which they do not agree, and that affirmative, voluntary consent is required for dues deduction. Given the degree of uncertainty about the implications of the ruling, public employees are seeking information about their constitutional rights regarding labor union membership and associated dues. The Minnesota Public Employment Labor Relations Act defines unfair labor practices (“ULPs”) to include dominating or interfering with the formation, existence, or administration of union membership. To avoid a potential allegation that they have engaged in unfair labor practices, if employees seek information about union membership from their employers, employers often refer their employees to union representatives for additional information. The Minnesota Bureau of Mediation Services (BMS) is the state 120 agency charged with providing technical training and information on collective bargaining for the public sector in Minnesota. BMS would be an ideal resource for employees to find critical information about labor union membership, particularly in the wake of the recent Supreme Court ruling. Additionally, as public sector unions are examining methods to compensate for fair share revenue that may now be lost, laws have been proposed in states outside of Minnesota, which preempt the bargaining process and impose new requirements on public employers. Some of the proposed requirements are designed to help unions market their services to their members or to require the public employers to pay the costs of collective bargaining. Response: To ensure that both public employers and public employees successfully navigate the current unknowns following the Janus decision, the League of Minnesota Cities urges BMS to provide and disseminate information to employees about union membership across the state. The League also urges the Legislature to act to protect public employers against: a) ULP charges when providing factual information to employees about union membership; b) ULP charges when requiring unions to provide original documentation of voluntary consent to dues deduction; and c) being forced to pay the direct cost of employee representation by unions. HR-6. Public Employment Relations Board Issue: Dating back to the 1970’s, Minnesota had a Public Employment Relations Board (PERB) in place, but over time, its responsibilities were changed and reassigned to another bureau. Until the reemergence of the PERB in 2014, unfair labor practices (ULPs) actions could be brought in Minnesota District Courts through injunctive relief. In 2014, the Legislature recreated PERB to hear ULPs filed by employees, employers and labor unions under the Public Employment Labor Relations Act (PELRA). The board was created in Minn. Stat. ch. 179A and after receiving initial funding, the board has yet to be fully funded or operational. Much of the current statutory language regarding implementation should be amended to ensure the PERB operates successfully and efficiently for both public employees and employers. Response: The League of Minnesota Cities supports the structure and process to address ULPs that was utilized before the reestablishment of the PERB in 2014. If the PERB is implemented fully and funded sufficiently, the League of Minnesota Cities encourages the Legislature to make the following changes: a) Create statutory authority for the PERB to establish a fee-based structure for filing ULPs and to pay for hearing officers, with costs to be shared by employers and authorized representatives; b) Allow the PERB to defer to the decisions made by an arbitrator to prevent duplicative litigation on the same issue; and 121 c) Amend the Minnesota Government Data Practices Act and the Open Meeting Law to properly maintain the integrity of the hearing process. HR-7. Essential Employees Issue: Cities must balance the health, welfare, and safety of the public with the costs to taxpayers. Essential employee status removes the right to strike but gives the right to mandatory binding arbitration. This status can result in arbitration awards that exceed the city’s budget or conflict with the city’s compensation policy. Response: The Legislature should carefully examine requests from interest groups seeking essential employee status under Minn. Stat. ch. 179A (PELRA). The League of Minnesota Cities opposes legislation that mandates arbitration that increases costs and removes local decision-making authority. The League supports a mandate for Final Offer/Total Package arbitration for all essential groups on a trial basis. The League also supports a change in the PELRA law that would strengthen existing language (Minn. Stat. § 179A.16, subd. 7) requiring arbitrators to consider a public employer’s obligation to efficiently manage their operations. Specifically, the statute should be amended to require arbitrators to take into consideration any wage adjustments already given to or negotiated with other groups – both union and non-union for the same employer in the same contract year. HR-8. Re-employment Benefits Issue: Cities are often required to help pay the benefits of workers who have initially been denied benefits through their employment with the city but later been re-employed by a different employer; sometimes this occurs when the employee has been found to have committee gross misconduct while employed by the city. Additionally, employers are prohibited from entering into agreements with employees not to contest or appeal payment of unemployment benefits as part of a settlement agreement at termination of employment. Because most cities are “reimbursement employers,” the majority of the cost of benefits paid to the employee are at the direct expense of the city. The ability to enter into such an agreement can greatly aid a city in reaching a settlement at a relatively low-cost to the city’s taxpayers. Response: Cities should not be forced to pay benefits as base wage employers if the employee is determined to have committed gross misconduct during their employment with the city, even if the employee voluntarily resigns. In addition, cities (as reimbursement employers) should be allowed to enter into agreements with employees to not contest a determination of eligibility for unemployment benefits where the employer and employee mutually agree to this as a term of separation. HR-9. Public Employee Defined Benefit Pension Plans Issue: Public pensions are an important employee benefit that can help cities attract and retain employees. However, unlike salary and other employee benefits that are established by each city, the pension contribution rates and benefit levels are set by the state legislature. Benefit levels and plan costs must be carefully balanced to assure long-term sustainability of the pension plans and affordability to employers and employees. Despite ongoing funding 122 issues, the Legislature and Governor had been unable to reach agreement on sustainability changes to the Public Employees Retirement Association plans. In 2018, the Legislature enacted a major pension reform package to improve the long-term financial status of the PERA pension plans. The legislation included benefit reductions for active employees, contribution increases for Police and Fire Plan employers and active employees and a modified cost of living adjustment (COLA) for retirees. Acknowledging rapidly rising inflation and public sector recruitment and retention issues during the 2022 session, legislators discussed modifications to public pensions, including enhanced cost-of-living adjustments for retirees as well as reductions to the employee contribution rates for both the PERA Police and Fire Plan (-2.4 percent of salary) as well as the General Plan (-0.25 percent of salary). In order to implement these contribution reductions, the initial proposal would have modified the statutory language defining the employer/employee contribution split for the P&F plan to specify that “employers shall contribute not less than 60 percent and employees shall not contribute more than 40 percent” of the required total contribution, which could result in an annual battle between employers and employees over the financial responsibility for the necessary contributions. Under these proposals, the financial impact to the plans would be offset by additional direct aid. Unfortunately, the aid appropriation for the contribution reduction proposal was static while the impact of the contribution reduction on regular wage growth would have eroded the funding level of the plans over time. Response: The League of Minnesota Cities supports the sustainability modifications enacted by the legislature in 2018 and continues to oppose any benefit improvements for retirees or active employees until the financial health of the General Plan and the Police and Fire Plan is restored. For the PERA General Plan, any further increases in employer contributions should only be considered by the Legislature after other measures have been considered, including: a) An increase in employee contributions so that employees and employers truly bear the same responsibility to bring the pension plans to full funding; or b) The removal of the cap on PERA Pension Aid payments under Minn. Stat. § 273.1385 and the extension of the aid program after FY2020, so the state equalizes the contributions of employees and employers. The League also supports: a) Fully offsetting the additional unfunded liability of any proposed employee contribution reduction with direct state aid to the plan. b) Modifications to the PERA eligibility guidelines to take into account temporary, seasonal, unique part-time, and student employment situations in cities, particularly in recreational operations. These modifications should include the use of pro-rated service credit, which would make PERA consistent with the other major Minnesota pension plans. c) A comprehensive review of exclusions from pension participation with the 123 goal of simplifying current eligibility guidelines. Such a review should also include a possible revision of current penalties for employers that fail to report covered employees to ensure that these penalties are not overly harsh and punitive. d) The transfer of all school district employees out of the PERA General Plan and into another fund that is more appropriate for school district employees as long as the change would not negatively impact the financial health of the pension funds nor result in employer contribution increases. The continued authority of cities to effectively use retirees in reemployment situations. The League supports policy changes which would include an increase in the earnings threshold for such retirees and supports keeping the required break in service at 30 days and opposes suspending payments to retirees. For PERA Police and Fire, any further increases in employer contributions should only be considered by the Legislature after other measures have been considered, including: a) An initial increase in the employee contribution of at least 1.0% of salary with subsequent increases split evenly between employee and employer so that the contribution ratio moves toward a more equitable split between employees and employers; or b) An additional state general fund appropriation to fund the deficiency in police and fire pension aid payments so that the state equalizes the contributions of employers and employees. c) Increasing the minimum and full retirement ages for new PERA Police and Fire plan participants. d) Implementing a contribution-based benefit formula that would align benefits payable with contributions made on behalf of an employee in order to address high-five spiking issues. The League also supports: a) Maintaining the current 60/40 contribution split between employers and employees. b) Fully offsetting the additional unfunded liability of any proposed employee contribution reduction with direct state aid to the plan. c) Maintaining the statutory changes made to Minn. Stat. § 353.01 in 2007 that separate injuries resulting from “hazardous duties” from injuries resulting from “non-hazardous duties” for purposes of police and fire disability retirement benefits. d) A thorough study by PERA of the current effects of overtime accumulation and outside employment compensation on individual pension benefits and the overall funding of the plan. The study should also include recommendations on whether the overtime or outside employment should be factored into or excluded from high five average wage calculations. e) Allowing cities, including cities with combination (full-time and paid-on call staff) fire departments, to work with their fire relief associations to 124 determine the best application of fire state aid. For PERA Corrections Plan the League supports: a) Maintaining the current definition of covered employees for the PERA corrections plan, which does not include dispatchers due to the substantial differences between the job responsibilities of dispatchers and the existing corrections positions covered by this plan. b) Fully offsetting the additional unfunded liability of any proposed employee contribution reduction with direct state aid to the plan. For all PERA defined benefit plans the League supports: a) Adjustments to the benefits for active members and retirees to reduce the cost of the plans. b) Requiring special legislation for individual employee pension benefit increases be initiated or approved by the city council of the impacted city unless the cost of the benefit increase is fully covered by the individual or the legislation addresses a clerical or administrative error. c) Requiring PERA to collect and consider all employer-provided information, including independent medical examinations and other relevant personnel data and to broaden the basis for appealing disability determination decisions. HR-10. Deferred Compensation Issue: Cities and other local units of government have been offering employees the option to invest in deferred compensation programs under 457(b) of the federal Internal Revenue Code. Minn. Stat.§ 356.24, subd. 3 imposes requirements for the plan administrator or vendor of a deferred compensation plan to: (1) provide the fee disclosure document to the plan’s participants, and (2) file the fee disclosure document with the executive director of the LCPR (Legislative Commission on Pensions and Retirement) within 30 days of the end of each fiscal year of the plan. If a 457(b) plan administrator or vendor fails to comply with the reporting requirements, the plan would potentially be an unlawful recipient of public funds that are made by a city on behalf of an employee. These new requirements are ambiguous and confusing., For example, it is unclear whether the prohibition on contributing “public funds” to a 457(b) plan includes situations where cities allow unused leave or unused health insurance contributions to be converted to a monetary contribution. The law should also specify that any deferred compensation plan authorized by Internal Revenue Service regulations for local units of government are also authorized by the state. Response: The Minn. Stat. § 356.24, subd. 3 reporting requirements enacted in 2020 for 457(b) deferred compensation plans are confusing, unclear and unnecessary and should be repealed. At minimum, the requirements need to clearly define what constitutes public funds, and exempt public employers that do not contribute public funds to a 457(b) plan from the reporting requirements. In addition, the law should be amended to include all IRS- 125 approved deferred compensation plans that are authorized for local units of government. HR-11. State Paid Police and Fire Medical Insurance Issue: Minn. Stat. § 299A.465 requires public employers to continue health insurance benefits for firefighters and peace officers injured in the line of duty. When the law was enacted in 1997, it contained a provision requiring the Department of Public Safety (DPS) to reimburse employers for the full amount of administering this benefit. By 2002, the fund created to provide this benefit became deficient. Instead of increasing the fund, the 2003 Legislature amended the law to pro-rate reimbursements to cities based on the amount available and the number of eligible applicants. The 2003 law change triggered a significant and unanticipated cost to cities. The cost has increased every year for cities, and the funding for the account has never been increased. Even if the health insurance benefit was discontinued entirely, the costs for existing recipients will substantially increase well into the future due to the growing cost of health insurance. In 2015, the Legislature expanded the health insurance benefit to include survivors of volunteer firefighters who die in the line of duty. This change increased the number of firefighters eligible for this benefit from 2,000 to 20,000—without increasing funding for the reimbursement account. Response: The League of Minnesota Cities supports the following legislative actions to address the funding deficiency in this program: a) The state must fully fund programs that pay for health insurance for police and fire employees injured in the line of duty and dependents of police and fire employees killed in the line of duty as originally required under Minn. Stat. § 299A.465. b) The Legislature must avoid further expansion of eligibility for benefits under Minn. Stat. § 299A.465 unless 1) full funding for benefits is provided by the state; and 2) beneficiaries can be enrolled in a state health insurance plan such as the Public Employees Insurance Program (PEIP). c) Cumulative injuries that occur over time in the job should not qualify a police officer or firefighter for benefits under Minn. Stat. § 299A.465 since these types of cumulative injuries are not unique to the dangers of police officer and firefighter duties. d) The Legislature must clarify that the amount of an employer’s contribution under Minn. Stat. § 299A.465 is no greater than that given to active employees in the same job class. e) The Legislature must establish the minimum criteria used to determine ability to work and set a percentage threshold of disability for eligibility into this program. At a minimum, the Legislature must identify that a workers’ compensation determination as to whether the injury is work-related is necessary in order to receive the benefits under Minn. Stat. § 299A.465. f) Employees who receive a police and fire disability retirement benefit and accept another job that offers them group health benefits should be 126 required to pay for their group health benefits with the city should they decide to continue them. The Legislature must amend Minn. Stat. § 299A.465 to reflect that employees are required to inform the city when they become eligible for coverage under another group plan and that failure to do so is grounds for termination from the benefits granted under Minn. Stat. § 299A.465. g) The legislature should establish a task force to study the long-term costs of this program, including funding for an actuarial consultant, and make recommendations on changes to make it more financially feasible for Minnesota taxpayers. HR-12. Health Care Insurance Programs Issue: Cities, like other employers in the state, are struggling with the rising costs of health care insurance for their employees. In addition, cities must cope with unfunded mandates imposed on them by the Legislature such as the requirement to pool early retirees with active employees and the requirement to bargain over changes in the “aggregate value” of benefits, even when the city’s contribution has not changed. Response: The League of Minnesota Cities supports legislative efforts to control health insurance costs while maintaining quality health care services. However, cities have differing local needs and circumstances and must retain the flexibility to provide unique and creative solutions to the rising costs of health care insurance for their employees. The League: a) Opposes legislative action that undermines local flexibility to manage rising health care costs. b) Encourages the Legislature to carefully examine the costs and administrative impacts of any new, mandated insurance-related benefit before imposing it upon city employers. c) Supports changes to Minn. Stat. § 471.6161, subd. 5, that would clarify the intent of the subdivision is to address changes in cost vs. changes in value (e.g., changes in provider networks, changes in benefit levels required by an incumbent insurance carrier, changes required for compliance with state and federal laws, including those needed to avoid incurring the federal excise tax known as the “Cadillac Tax”. d) Supports changes to Minn. Stat. § 471.61 so that the requirement for cities to offer retiree coverage begins on the date the retiree and/or dependents become eligible for federal Medicare coverage. e) Supports a clarification to Minn. Stat § 471.61 and to Minn. Stat. § 471.617 to explicitly alleviate a city’s responsibility to comply with group health benefits mandated by state law when the city’s employees are covered under a union plan authorized by federal statutes. f) Supports statutory authorization for cities to collect up to a two percent administrative fee from retirees receiving post-retirement health insurance benefits. 127 g) Opposes any mandatory, centralized, statewide health insurance option for active or retired city employees. h) Supports changing Minn. Stat. § 62A.21 to place reasonable limits on health care continuation for former spouses, similar to the Federal COBRA law. HR-13. Workers’ Compensation Issue: Rising medical costs are an increasingly serious problem for all employers and insurers, and now represent over half of all loss costs within the workers’ compensation system. Medical costs will be a major driver of future workers’ compensation premium increases. In addition, the 2013 legislature added post-traumatic stress disorder (PTSD) as a compensable injury and in 2014, a Minnesota Supreme Court decision found that provisions in the Workers’ Compensation statute which allow workers compensation benefits for permanent and total disabilities to be offset by disability benefits and pension benefits such as Social Security does not apply to retirement benefits of the Public Employees Retirement Association. In 2018, the Legislature modified Minn. Stat. § 176.011, subd. 15, which defines an occupational disease to add a rebuttable presumption to a diagnosis of PTSD in certain public safety and related personnel. In 2020, the legislature initially modified Minn. Stat. § 176.011, subd. 15 to temporarily add a diagnosis of COVID-19 for peace officers, firefighters, paramedics and other defined employee classes as a presumed occupational disease covered by the workers’ compensation system and this presumption has been extended through January 13, 2023. The Minnesota Legislature also regularly considered proposals to expand the heart, lung and infectious disease presumptions for public safety workers, and to make the presumptions more conclusive and difficult to rebut. These types of benefit expansions would further increase municipal workers’ compensation costs. Response: Legislative action is necessary to address increasing workers’ compensation costs, particularly rising medical costs. The League of Minnesota Cities supports: a) Use of the Workers Compensation Advisory Council (WCAC) system to consider proposals for changes to the workers’ compensation law and urges the WCAC and the Legislature to approve medical cost containment reforms. b) Filling an existing WCAC employer vacancy with a public-sector employer representative or adding a designated public-sector employer representative to the WCAC. c) Continuing the WCRA as the mandatory workers’ compensation reinsurer for insurers and self-insurers in Minnesota and supports modifying state statutes to treat PTSD events involving several affected parties as one occurrence for retention purposes, thereby reducing the exposure of self-insured entities and the statewide insurance pools. Such a change would not have any effect on the benefit an individual employee would receive. d) Legislation that would disallow the “stacking” of PERA retirement benefits and Workers Compensation benefits due to the fact that some injured employees could receive total compensation from workers’ compensation and PERA retirement 128 benefits that would be well above the salary that they had been earning and the fact that the costs would ultimately be passed on to cities and their taxpayers. e) Extending the time limit on denials of liability for PTSD injuries from the current 14 days in order to allow diagnosis in accordance with the requirements contained in the Diagnostic and Statistical Manual of Mental Disorders (DSM) which guides the diagnosis of PTSD under Minnesota Law (Minn. Stat. § 176.011, subd. 15). f) Policies that provide opportunities for employees diagnosed with PTSD to receive treatment for PTSD that could result in continued employment with the local government. g) State funding to assist with the potential extraordinary costs of the COVID-19 workers’ compensation occupational disease presumption enacted in Session Laws 2020, Regular Session Chapter 72, extended to December 31, 2021 in Session Laws 2021, Chapter 12 and re-enacted from February 3, 2022 through January 13, 2023 in Session Laws 2022, Chapter 32. The League opposes expansion of workers’ compensation and related health insurance benefits because of the potential for dramatically increasing costs to cities. Specifically, the League opposes expansion of the heart, lung and infectious disease and PTSD presumptions, the creation of new occupational disease presumptions as well as any expansion of the law that would require payment of health insurance premiums. HR-14. Public Safety Duty Disability Issue: The League of Minnesota Cities and the communities it serves recognize the inherent dangers faced by peace officers and firefighters in the line of duty. The duties performed by public safety employees sometimes lead to physical and mental injuries. In recent years, the number of public safety employees seeking duty disability determinations through the Public Employees Retirement Association (PERA) and making workers’ compensation claims for line-of-duty injuries has accelerated. This is particularly true in the wake of a 2019 legislative change that made post-traumatic stress disorder (PTSD) a presumptive condition for workers’ compensation purposes. The League is concerned about these trends for the following reasons: a) Every injury that leads to a PERA duty disability retirement and/or workers’ compensation claim impacts the employee, the employee’s family and the employee’s organization. b) The current system for processing and addressing duty disability benefits can be incompatible with the goal of restoring good health and returning employees to work. c) The fiscal impact of the increasing number of claims is unsustainable for employers and, ultimately, taxpayers. d) Public safety agencies, particularly those that are very small and already experiencing recruitment and retention challenges, will not remain viable if they continue to sustain significant personnel losses. 129 Given these concerns, the League and cities across Minnesota have invested resources into mental and physical injury education, prevention and treatment. The League has also consulted with experts, including those experienced with treating combat veterans, who report that with successful treatment, many injured public safety employees can achieve optimal outcomes of restoring good health for themselves, their families and returning to work. The League is actively working with cities and other stakeholders, including public safety labor representatives, to advance the following: a) Normalizing conversations about mental health within local government organizations and their public safety departments; b) Promoting statewide peer support best practices and training programs; c) Identifying ways to promote cultural behaviors that enhance public safety physical and mental wellness; d) Educating stakeholders (employers, employees and state and local leaders) about PTSD signs, symptoms, treatment options and outcomes; e) Gathering empirical evidence related to treatability of mental injuries; f) Develop human resources guidance that focus on: 1) Enhancing relationships between public safety and human resources managers to coordinate and streamline prevention of, and response to, duty disability injuries; 2) Implementing best practices and initiatives aimed at improving mental health wellness and preventing and coping with PTSD; 3) Providing early intervention/resources for public safety employees who experience work-related trauma; and 4) Providing paid time off or light duty for public safety employees who experience work-related trauma; g) Identifying resources (partnerships) to help temporarily backfill positions so employees may take needed time off without losing their jobs or causing hardship for employers/agencies; and h) Developing best practices for return-to- duty following a mental injury. Response: In order to achieve optimal outcomes, additional statewide policies and resources are necessary. The League of Minnesota Cities supports: a) Legislative changes that will help ensure appropriate diagnosis and treatment for employees with mental injuries; b) Full state funding for the Public Safety Officer Benefit Account that reimburses employers for providing continued health insurance to police officers and firefighters injured in the line of duty and dependents of those killed (Minn. Stat. § 299A.465); c) Funding to reimburse local governments for providing paid time off to public safety employees who experience work-related trauma and/or are seeking treatment for a mental injury; d) Funding for initiatives and programs that provide peer support, emotional trauma training, early intervention and mental health treatment; 130 e) Requiring public safety college programs to include mental health and specifically PTSD education as part of their curriculum, focusing on prevention and coping; f) Funding for emotional trauma training for pre-service and in-service public safety officers; and g) Advancing wellness for public safety employees as a component of law enforcement reform. HR-15. Drug and Alcohol Testing in the Workplace Issue: Employer testing of job applicants is governed by Minn. Stat. § 181.950 – 181.957 and is known as the Drug and Alcohol Testing in the Workplace Act (DATWA). It applies to all employers with one or more employees, including cities. The DATWA has not been amended for many years to reflect various and significant changes in drug-testing technology nor policy changes at the federal level. The DATWA prohibits an employer from terminating an employee for a positive controlled substance test without first providing the employee a chance for rehabilitation and treatment. This law applies to probationary employees as well as those who have completed probation. Currently, breathalyzer use and saliva swabs are permitted for alcohol testing under federal commercial driver testing laws though Minnesota does not allow for the use of breathalyzers in testing. Use of breathalyzers for employee alcohol testing is a less invasive, less expensive method. In addition, federal commercial driver testing laws address a number of outcomes other than a positive test result, including but not limited to tampering with a sample, providing a substitute sample, providing a sample that is not human urine, providing a sample that is not capable of being tested, etc. State law is silent on these outcomes. Response: The League of Minnesota Cities supports the following changes to the DATWA: a) Updates to reflect new issues, such as adding new definitions as needed to reflect current practices; b) Clarification that a positive controlled substance test during probation does not require the employer to provide an employee who has not completed probation a chance for rehabilitation and treatment; and c) Permitting the use of breathalyzers and saliva swabs as acceptable technology for determining alcohol use. HR-16. Veterans Preference Issue: Cities have a long history of recruiting and hiring veterans as they are a natural fit in city government. Across the state, cities are partners in working with and ensuring veterans have a variety of opportunities afforded to them given their sacrifice and service. The purpose of the Minnesota Veteran’s Preference Act (VPA) is to facilitate the transition of veterans from the military to civilian life and to help compensate veterans for their sacrifices of health and time to the community, state and nation. The VPA grants veterans limited preference over nonveterans in hiring and promotion for most state and local government employment to recognize the training and experience they received as a result of serving in the military. It also provides local government employees who are veterans some protection against unfair 131 demotions and dismissals. These preferences and protections are commonly referred to as “veteran’s preference” and are codified in Minn. Stat. §§ 43A.11, 197.455, 197.46, 197.48, and 197.481. Once a veteran has completed an initial probationary period upon hire, they cannot be removed from their position or employment, except for incompetency or misconduct shown after a properly noticed hearing. Currently, a veteran can only be placed on probation upon hire but not following a promotion. It is common practice to place employees on probation following employee promotion making this restriction inconsistent with current practice and procedure. Termination hearings are held before the local civil service commission or before an arbitrator and Minn. Stat. § 197.46 allows a veteran to choose a hearing before the local civil service commission, or an arbitrator. Members of civil service commissions are chosen for their expertise and experience with employment law. Hiring an arbitrator for a hearing instead of utilizing an established civil service commission is inefficient. Response: The League of Minnesota Cities recognizes the important contributions veterans have made and supports giving veterans limited preference in employment. To strengthen and improve the VPA, the legislature should: a) Allow cities to place veterans on probationary periods upon promotion as they do with other employees; and b) Restore the language in Minn. Stat. § 197.46 requiring a hearing to be held before a local civil service commission where one exists. HR-17. Military Leave Reimbursement Issue: Minn. Stat. § 192.26 subd. 1, requires local units of government to provide 15 days of compensation per year to employees who are members of the military for military leave. State laws give preference to hiring veterans for public sector jobs, and, citizen soldiers are a natural fit to also serve as public safety personnel. As such, many public safety personnel are often also members of the military and are required to conduct training and military duties throughout the year. In addition to providing compensation for mandatory military leave, cities must also ensure that these temporary vacancies are adequately filled by public safety personnel whose training and qualifications are unique to providing public safety. This can result in added overtime costs and may impact public safety service levels. Government employers honor and recognize the importance of ensuring members of the military are able to fulfill their duties and participate in mandatory training, while also aiming to ensure that public safety service in their community is efficient, seamless, and cost-effective. In response to this issue, there have been recent legislative proposals to reimburse local units of government for military leave paid to public safety personnel. Response: The League of Minnesota Cities supports state funding to ensure that local units of government can maintain quality and cost-effective public safety services in their communities and for their taxpayers while also offering full support for employees who are members of the military. Such state funding could include reimbursement of costs incurred to local units of government related to 132 compensating personnel on military leave as well as reimbursement for costs related to ensuring these temporary vacancies are adequately filled. HR-18. Tele-Health Exams Issue: Technology improvements are creating new ways to approach many city functions. Specifically, the increased acceptance of the use of tele-health (audio and video, web-based) exams creates an opportunity for cities to access and use psychologists with specific expertise in public safety as part of the hiring process for police officers. However, the Peace Officers Standards and Training (POST) Board has adopted a position prohibiting the use of tele-health exams for the required psychological oral interview/evaluation prior to hiring. Response: The League of Minnesota Cities supports the use of tele-health (audio and video, web-based) exams to meet the requirements of the POST Board for a psychological oral interview/evaluation prior to hiring a police officer candidate. Data Practices DP-1. Data Practices Compliance Costs Issue: The purpose of the Minnesota Government Data Practices Act (MGDPA) is to protect personal information from indiscriminate disclosure while balancing the right of the public to know what the government is doing. The Act also attempts to balance these rights within a context of effective government operation. The League of Minnesota Cities supports the public policy behind the MGDPA while acknowledging that compliance with the law imposes costs on local taxpayers. Smaller cities struggle with limited staff and resources while larger cities struggle with larger complex databases. The MGDPA must balance the right of citizens to access public data with the cost to municipalities of complying with certain types of data requests. In 2014, the Legislature imposed additional security requirements on political subdivisions in an attempt to prevent unauthorized individuals from accessing private data. Adequate security measures are important, but they make compliance with the MGDPA more difficult and costly. Although the Legislature has made compliance with the MGDPA a priority, funding for the Data Practices Office of the Department of Administration, the department charged with overseeing the MGDPA, does not reflect the increased need for local government assistance. Cities continue to receive repetitive, overly broad and far-reaching data requests that require significant staff time to locate government records, redact private data or data unrelated to the request, and assemble documents to be provided in order to comply with requirements to provide access to public government data. Cities are experiencing significant increases in wide-ranging data requests, often utilizing specific word searches through multiple databases. “Word search” requests typically result in a voluminous quantity of data that must be reviewed and redacted, with significant staff cost. Because word searches retrieve even incidental references to the searched term, the search results often contain a significant volume of data that has little informational value. If the requestor does not request copies, the search costs cannot be recovered – even though the requestor dictated the specifics of the search. 133 Furthermore, in some situations, as with overly broad data requests related to “applicant” lists, staff time and costs are significantly increased and not recoverable for very limited public benefit. The MGDPA also limits the ability of cities to be reimbursed for responding to requests. Cities are limited to charging only 25-cents per page for copies of police motor vehicle incident reports, which does not cover the city cost for copying, while the Commissioner of Public Safety is exempt from this restriction—thereby permitting the Department of Public Safety to continue to charge $5 for incident reports that cities are required to submit to the department. Response: As the cost of complying with the MGDPA increases, the League supports: a) Providing additional state funding to assist political subdivisions with meeting the increasing complexity of managing government data. b) Providing state funding for statewide data practices training. c) Allowing political subdivisions to charge for the staff time that is required to comply with wide-ranging data requests regardless of whether copies of the data are requested or allowing political subdivisions to charge for actual costs for collection of data when the requestor makes his or her own copy of the data by taking a photo, bringing a copy device, etc. d) Providing a mechanism that would permit cities to challenge whether a data request is reasonable and made in good faith. e) Creating and funding an ombudsperson position in the Data Practices Office to determine reasonableness and proportionality of data practices requests. f) Providing funding and authority to the Data Practices Office to engage in the rulemaking process to establish standards and procedures related to requests and responses to data practices requests that impose significant burdens on government entities. g) Amending the MGDPA to limit what is considered public applicant data to better balance the value of public data with the cost related to data practices compliance. h) Allowing political subdivisions to charge the same amount for copies of motor vehicle incident reports issued by local police and fire departments as the commissioner of public safety. The League of Minnesota Cities opposes: a) Further increasing the maximum exemplary damages that courts may impose against government entities, including cities, found to have violated the MGDPA; further increasing the maximum civil penalty that may be imposed when a court order is issued to compel a government entity to comply with MGDPA; or any statutory change that would make it a mandatory civil penalty to compel compliance under the MGDPA. b) Repealing of the administrative remedies provisions adopted by the 2010 Legislature to address disputes regarding MGDPA compliance issues. 134 DP-2. Records Retention Compliance Costs Issue: The Official Records Act requires government entities to “make and preserve all records necessary to a full and accurate knowledge of their official activities.” In accordance, cities must establish a records retention schedule, and maintain and destroy official records according to this schedule. There are rigorous requirements for any changes to a city’s records retention schedule, including getting approval from the statutorily-created Records Disposition Panel, which strikes an appropriate balance between the government entity’s decision- making role in determining retention and disposition of official records with the public’s right to know the government entity’s official activities. Response: As the cost of complying with the records management laws increases, the League supports providing additional state funding to assist political subdivisions with meeting the increasing complexity of managing government records. The League of Minnesota Cities opposes changing the current record management requirements and statutory definitions. If changes are needed, subject matter experts should make recommendations through the records retention schedule process. DP-3. Updating the Minnesota Government Data Practices Act Issue: The Minnesota Government Data Practices Act (MGDPA) was first enacted in 1979. Almost 40 years later, times have changed dramatically. In particular, there has been exponential change in technology. In 1979, cities were largely maintaining data in paper form, computers had just become viable for home users, word processing had just become a reality, the first point-and- shoot, autofocus camera came on the market, and the internet was still about a decade on the horizon. While the MGDPA was originally drafted to be future thinking by contemplating the various forms data could be held – including the concept of storage media – the legislators of the time could not have imagined where technology would be today. For example, the originally-drafted MGDPA made reference to photostatic, microphotographic, or microfilmed records. Minn. Stat. § 13.03, subd. 1. The current law still refers to these same mediums of data, despite few cities maintaining data in this manner. Technology has exploded, and the type of data collected by this new technology has multiplied. In our current reality, the public and government have been frustrated by how best to access government data. In Webster v. Hennepin County, 910 N.W. 2d 420 (Minn. 2018), the County was asked to conduct a computer-aided search of all its email accounts over multiple years for 20 separate search terms related to biometrics and facial recognition. The Minnesota Supreme Court found that the County failed to establish procedures to ensure appropriate and prompt compliance with data requests but did not find that the County failed to keep its records in an arrangement and condition to make them easily accessible for convenient use. The Court also did not address if a term search was a valid data practices request or if a request could be unduly burdensome. The lack of direction from the Court on these issues leaves a void. There are also other advances in technology that are not comprehensively addressed by the MGDPA. While the Legislature has 135 attempted to address technological advancements as they come, it has been in piecemeal ways. Response: The Legislature should update the MGDPA to comprehensively address technological changes since the Act was first enacted. Because the MGDPA is a complicated area of law, the Legislature should make changes based on the recommendations from subject matter experts from all levels of government and interested stakeholders, including recommendations on what constitutes reasonable data practices request and when a data practices request is unduly burdensome. DP-4. Maintaining Government Data in Large Databases Issue: The Minnesota Department of Administration Advisory Opinion 10-016 issued in June 2010 maintains that the Minnesota Government Data Practices Act (MGDPA) requires cities to keep records containing public government data so that they can be easily accessible and convenient to use, regardless of how they are kept. Cities maintain that the application of this advisory opinion to large databases in which records are kept in an electronic format forces cities to risk the daily threat of allegations of noncompliance or leaves local government officials confused regarding how to apply the requirement for access to data in circumstances where information technology is utilized to facilitate the management and organization of records and information which often includes public, private, and nonpublic data within individual data sets. In addition, large databases today contain different forms of data, including video, audio, images, and social media. In responding to data practices requests, responsive data could be stored in multiple data bases. Further, with the advent of cloud-based information systems provided by the private sector, newer databases are not typically designed to be controlled by cities to easily separate public from non-public data. Response: The state of current technology requires cities to maintain large databases that are designed to provide secure data storage and maintenance. Those databases are already burdensome and expensive for cities to maintain but are not available in a form in which public and private data can be easily separated. Requiring cities to design such databases to accommodate extensive data requests under MGDPA is both financially and technologically challenging to achieve. The Legislature should address the growing and costly impact on cities of providing access to specific public data housed in large electronic databases. DP-5. Sharing of Student Data with Local Law Enforcement in Emergencies Issue: Minn. Stat. § 13.32, subd. 3(l), defines education data as private data that must not be disclosed except to the juvenile justice system in cases where information about the behavior of a student who poses a risk of harm is reasonably necessary to protect the health or safety of the student or other individuals. In addition, the federal Family Education Rights & Privacy Act (FERPA) bars schools from disclosing information on student educational records that contains personally identifiable information without consent of a parent or eligible student, with only limited exceptions. 136 Minn. Stat. § 13.32 does not adequately define who is responsible for making the determination that an emergency or risk of harm exists. As a result, school district officials have interpreted the statute in conjunction with the restrictions in FERPA to require that the determination be made solely by school officials. Local police officials are often frustrated in their efforts to investigate allegations of criminal or other illegal activity when school officials refuse, under Minn. Stat. § 13.32, subd. 3(l), and FERPA, to provide information to follow up such complaints or to assist local police in solving crimes that have already taken place. School boards are responsible to have policies in place that require school officials to report a student who possesses an unlawful firearm to law enforcement or the juvenile justice system. But schools are not allowed to release the name of a student in dangerous weapon reports involving use or possession of such weapons that are made to the Minnesota Department of Education. Response: Minn. Stat. § 13.32 should be clarified to allow local law enforcement agencies to work with school officials to jointly make the determination that an emergency or risk of harm exists in order to enable police enforcement actions to be taken in a timely manner. DP-6. Disclosure of Victim Data Issue: Under the Minnesota Government Data Practices Act (MGDPA), the name and address of a victim or casualty of an accident or incident to which a law enforcement agency responds is public government data. In addition, the name and location of the health care facility to which victims or casualties are taken is public government data. The MGDPA allows a victim or witness to prevent the disclosure of public data unless the law enforcement agency determines that revealing the identity will not threaten the victim or witness’s personal safety or property. However, victims and their families can be traumatized by the events that caused their injuries, even when their safety or property is not threatened. Publicly disclosing their identities and the location where they are receiving medical care places a burden on families and victims who may be questioned by reporters, solicited by lawyers, and contacted by other members of the community. While there are legitimate public policy reasons to make this information public, the MGDPA provides no discretion for city officials and law enforcement to temporarily withhold victim data when releasing it is not in the best interest of the victims. This not only makes the initial period of recovery more difficult for victims but erodes the trust between victims and state and local government. Response: The Legislature should amend Minn. Stat. § 13.82 to allow law enforcement agencies to temporarily withhold the disclosure of data that identifies victims and casualties and the medical facilities to which they are taken if the agency reasonably determines that access to the data would cause emotional harm to the individual or otherwise impede the individual’s recovery. The Legislature should also amend Minn. Stat. 13.82 to clearly and permanently prohibit the disclosure of traffic accident victim identity, similar to the protections for crime victims. DP-7. Challenges to the Accuracy of Data Issue: The Minnesota Government Data Practices Act (MGDPA) allows the subject of government data to challenge the 137 accuracy or completeness of data maintained by the government entity. If the government entity denies the challenge, the Act allows the data subject to appeal that determination through a contested case proceeding under the Administrative Procedures Act (APA). In the human resources context, a performance evaluation is a tool used to document and evaluate employee job performance. Performance evaluations are not discipline; however, some jurisdictions and some union contracts have appeal processes to challenge a performance evaluation. Performance evaluations are normally conducted once a year. The Minnesota Supreme Court has held that a public employee could use the MGDPA to challenge the accuracy of certain information contained in the employee’s performance evaluation. Schwanke v. Minn. Dept. of Admin., 851 N.W. 2d 591 (Minn. 2014). While the Court held that “dissatisfaction with a subjective judgment or opinion cannot support a challenge under the [MGDPA],” a data subject can still challenge data that supports the subjective judgment. There is currently no limitation on when a performance evaluation challenge may be brought. Often there is no retention period for the underlying data because it is rarely an official record. Furthermore, the more time that passes, the less likely those with the knowledge of a given performance evaluation may be still employed by the city. It is to everyone’s benefit to have the challenge to accuracy of data conducted as soon as possible. Under Schwanke, an invalid challenge to a subjective opinion can no longer be dismissed by the Department of Administration; it can only be dismissed in a contested-case proceeding. In even a frivolous challenge the data subject will have the right to submit evidence and call witnesses at taxpayer expense. This right of review is in addition to any union grievance process and can be exercised by an employee before or after such a grievance is undertaken. This process can result in conflicting decisions and has the potential to create a heavy burden on all levels of government and impose significant costs on taxpayers. Response: In light of the Schwanke decision, the Legislature should modify the data challenge provision of Minn. Stat. § 13.04, subd. 4, to balance the rights of data subjects to challenge the accuracy and completeness of data with the administrative and financial burdens on local governments and taxpayers. DP-8. Law Enforcement Technologies Issue: To aid law enforcement in work, law enforcement agencies need the flexibility to effectively use all available tools, including technology, in a manner that balances privacy interests of citizens, transparency of their work, and costs related to these technologies. The Legislature has balanced these concerns in the recent License Plate Readers law and the Police-Worn Body Camera law. License Plate Readers (LPRs) are an important tool that assist law enforcement agencies in locating wanted individuals, recover stolen vehicles, and many other types of investigations. Nevertheless, the use of this technology raises legitimate privacy concerns. In 2015, the Legislature passed compromise legislation regulating the use of LPRs, the classification of LPR data, and the retention period for LPR data that struck a fair balance between the need for robust law enforcement and individual privacy rights. 138 Police-worn body cameras (or portable recording systems) provide invaluable evidence when investigating crimes and prosecuting criminals and strengthened trust of citizens in law enforcement by increasing the accountability between peace officers and the public. Different than other kinds of data, body camera data use involves the unique complexities of the sensitive nature in its use in private homes as well as the sheer volume of data in daily use. In 2016, the Legislature contemplated all of these issues and passed compromise legislation regulating use of body cameras, classification of body camera data, retention period for body camera data, release of body camera data, audit requirements, and written policy requirements. The Legislature has recently engaged in conversation about other types of law enforcement technology, such as drones, facial recognition, etc. Response: Cities and/or law enforcement agencies should be allowed to decide whether to utilize technology and be given the flexibility to decide how they are used in the field. a) The League supports the continued use of License Plate Readers under the terms of the 2015 legislation and opposes any further restrictions on their use or any reduction in the current 60-day retention period. b) With emerging law enforcement technologies, the League supports a balanced approach to the values of privacy for citizens, transparency of the work of law enforcement, and discretion to determine what technologies will be used, such as effective use of these technologies, functional accuracy, emerging law enforcement needs, communities served, and costs and benefits of technology. DP-9. Body-Worn Cameras Issue: Police-worn body cameras (or portable recording systems) provide invaluable evidence when investigating crimes and prosecuting criminals and strengthen trust of citizens in law enforcement by increasing the accountability between peace officers and the public. Different than other kinds of data, body-camera data use involves the unique complexities of the sensitive nature in its use in private homes as well as the sheer volume of data in daily use. In 2016, the Legislature contemplated all of these issues and passed compromise legislation regulating use of body cameras, classification of body camera data, retention period for body camera data, release of body camera data, audit requirements, and written policy requirements. In July 2021, the Minnesota Chiefs of Police Association found that more than 100 municipal police departments in Minnesota use body-worn camera technology. The use has nearly doubled in the last five years, and more police departments are considering deploying body-worn cameras in the near future. The longer body-camera technology is used in Minnesota, the more nuanced questions have become. For example, the Legislature recently has engaged in more discussion about how law enforcement uses body-camera technology, when the data should be released, etc. Cities have found redaction for private data and non-public data to be more extensive than anticipated, particularly as data practices requests for body-camera data have grown larger in scope and breadth and the number of first responders, such as city and county firefighters, paramedics, and 139 mental health professionals, responding to calls has increased as well. Response: The League supports the continued use of police-worn body cameras under the terms of the 2016 legislation. However, if the Legislature makes changes to the body-worn camera law, the League encourages the Legislature to update the law by adequately balancing the competing values of transparency of police work, privacy interests of data subjects, and integrity of police investigations. DP-10. Open Meeting Law Issue: The purpose of the Open Meeting Law generally requires that all meetings of public bodies must be open to the public. This presumption of openness serves three vital purposes: to prohibit actions from being taken at secret meetings, to assure the public’s right to be fully informed, and to afford the public an opportunity to present views to the public body. Technology has outpaced the Open Meeting Law. Recent city response to COVID-19 has illustrated that remote participation for meetings can allow for meaningful interaction with the city and the public. While the legislature recently changed the law to allow for greater participation by interactive technology when a state of emergency has been declared, this change was for a limited amount of time. Cities are in need of greater flexibility now to utilize technology for meetings to protect the health of elected officials, city staff, and the public. Cities also need to keep pace with the virtual world by having discretion to use remote technology in the future. Response: The League of Minnesota Cities encourages the Legislature to authorize cities greater flexibility to allow remote participation under the Open Meeting Law, while addressing the public’s needs to be fully informed of city decision-making and to have the opportunity to present views to the public body. The League opposes any change to the Open Meeting Law that would expand the award of attorney’s fees to unintentional violations. DP-11. Needed Closed Meeting Exceptions to the Open Meeting Law Issue: The League of Minnesota Cities supports the Open Meeting Law and recognizes the important role it plays in maintaining the public trust and the accountability of elected officials. The Open Meeting Law must, however, balance the need for public information and the need to protect privacy rights and certain negotiation strategies to protect the use of public resources. Currently, there are seven exceptions to the open meeting laws that authorize the closure of meeting to the public. Under these exceptions, some meetings may be closed at the discretion of the governing body and some must be closed. Two challenges exist with current law. The first concern is the hiring process for management level positions. While existing law allows a governing body to close a meeting to evaluate the performance of an individual subject to its authority, the statute doesn’t grant the same level of privacy for the city council and prospective applicants. The statute should allow a governing body to close a meeting to interview applicants for employment if there is a quorum present; and, to allow a governing body to close a meeting to discuss the terms of an 140 employment agreement to offer to a candidate to whom a job offer has been extended. This would be consistent with the existing authority for the governing body to close a meeting to discuss labor negotiations strategy. Allowing a closed meeting so that a council can discuss the results of an interview process for a management-level position will allow council members to express opinions or ask questions they may have concerns about discussing in a public meeting and preserves the integrity of the interview process of subsequent candidates. The second concern with existing law is the inability for public bodies to conduct strategic negotiations. Current law allows the public body to close a meeting to discuss the purchase or sale of property and labor negotiations but does not allow the public body to close a meeting to discuss negotiation strategies for an agreement with private parties, non-profit organizations, and/or public entities. The ability for public bodies to close meetings in these situations provides public bodies the opportunity to form strategies in the best financial interest of the community, which is consistent with the importance of negotiation regarding purchase or sale of property and labor contracts. Further, the City may create documents outlining the negotiation strategy, which should be protected for the same reasons as for closing the meeting. Such data should be protected during negotiations of the contract until a contract for the goods or services is signed or abandoned, which is similar to the protection allowed for request for proposals under Minn. Stat. § 13.591. Response: The Legislature should amend the Open Meeting Law: a) To allow a governing body or a committee created by a governing body to close a meeting to interview candidates for management-level positions such as city manager, administrator, clerk-treasurer, city attorney, superintendent, or department head, and to close a meeting to evaluate and discuss the candidates, and discuss salary and benefit negotiations. b) To allow a governing body to close a meeting to discuss negotiation strategies for proposed contracts and/or agreements with private parties, non-profit organizations, and/or public entities and keep that data private or nonpublic until the contract is signed by the governing body or a decision is made to abandon a contract for those goods or services. Such closed meetings should follow the same or similar procedures for conducting closed meetings currently required under the Open Meeting Law. DP-12. Remote Participation under the Open Meeting Law Issue: The League of Minnesota Cities supports the Open Meeting Law and recognizes the important role it plays in maintaining the public trust and the accountability of elected officials. The Open Meeting Law must, however, balance the need for public information and the need to effectively run meetings. City councilmembers, along with advisory board and commission members, from time to time want to remotely participate in meetings as may be needed. While cities want these members to participate in city business to their fullest extent, it is also important to protect the public’s right to see how government works. Currently under the interactive technology exception to the Open Meeting Law in Minn. Stat. § 13D.02, subd. 1, members of public bodies can remotely 141 participate in meetings if they meet certain requirements: (1) all members, wherever their physical location, can hear and see one another and can hear and see all discussion and testimony presented; (2) members of the public present at the regular meeting location of the body can hear and see all discussion and testimony and all votes of the members of the body; (3) at least one member of the public body is physically present at the regular meeting location; and (4) each location at which a member is present is open and accessible to the public. The current law allows an exemption from this last requirement if a member (1) is in the military and deployed and (2) has been medically advised not to be in a public place for medical reasons when a state of emergency has been declared. The military and medical exceptions may only be used three times per year. On occasion, members of public bodies want to remotely attend meetings, but when members have made their remote location “open and accessible,” no city resident shows up at the remote location. COVID-19 has taught us that remote participation can allow for meaningful remote participation and public interaction. However, members of public bodies may want to fulfill their responsibility despite medical reasons outside of a state of emergency, travel due to work, or personal travel. Removing the requirement for remote locations to be “open and accessible to the public” still preserves the public’s ability to hear and see all discussion, testimony, and voting by all participating members while allowing willing members to participate in city business. Response: The Legislature should amend the Open Meeting Law to allow city councilmembers and city board/commission members to participate in meetings without making their remote location open and accessible to the public as otherwise required under Minn. Stat. § 13D.02, subd. 1.In light of the other safeguards in state law to ensure transparency, the Legislature should also amend the Open Meeting Law to allow the medical exception to be used without the declaration of a state of emergency, and the Legislature should remove the three-times-per-year cap for the medical and military exceptions. Federal Employment Law FED-1. Consolidated Omnibus Budget Reconciliation Act (COBRA) Issue: The federal Consolidated Omnibus Budget Reconciliation Act (COBRA) law, which requires employers to offer continued health and dental insurance group benefits after an employee terminates, has been interpreted to apply to Employee Assistance Programs (EAPs) which provide any form of medical care, including short term counseling for drug and alcohol addiction. The application of COBRA to these programs results in unlikely and impractical outcomes and reduces the likelihood that employers will make them available. Final regulations issued in 2014 exempt EAPs that do not provide “significant benefits in the nature of medical care,” including EAPs that provide short term drug and alcohol counseling, from requirements of the Patient Protection and Affordable Care Act (ACA). Response: Congress should clarify that EAPs which do not provide significant benefits in the nature of medical care are not subject to COBRA. 142 FED-2. Flexible Spending Accounts Issue: Health care costs are rising dramatically and employees need financial relief. Flexible spending accounts provide some relief, but the current “use it or lose it” provision for medical spending discourages employees from participating in this program. Though the IRS permits carryovers of up to $500, employers that offer this option may not offer the 2 ½ month grace period after the end of the plan year to incur eligible expenses. The Consolidated Appropriations Act (CAA) provides temporary relief, allowing employers to permit employees to carry over all or some of their unused health and/or dependent care FSA funds from a plan year ending in 2020 or 2021. In addition, the $5,000 annual maximum limit on dependent care accounts has not increased substantially since the program’s inception in 1986 and childcare costs continue to rise significantly. The American Rescue Plan Act of 2021 (ARP) provides temporary relief, increasing the annual maximum limit for dependent care to $10,500 for taxable years beginning after December 31, 2020, and before January 1, 2022. Response: The League of Minnesota Cities supports legislation that would make permanent the changes in the CAA to allow employees to roll all unused funds in a health or dependent care flexible spending account into the next plan year, or to allow unused funds to be contributed into a tax-qualified retirement plan, or a 457 plan. The League of Minnesota Cities also supports making permanent the $10,500 maximum limit for dependent care accounts, with a cost-of-living inflationary increase each year after the initial adjustment. FED-3. IRS Regulations on Death Benefits Issue: Current IRS regulations do not allow any type of death benefit to be included in a health reimbursement arrangement (HRA) or tax-free, account-based group health plans. If a participant of the HRA or account-based group health plan dies, they cannot leave the remaining funds to a designated beneficiary unless the beneficiary is a spouse or dependent child who remains enrolled in the HRA. Public sector HRAs are often treated as fully vested even when unfunded. If the employee does not have a spouse or dependent child, the funds revert to the employer (who may then credit the balance among plan participants). A death benefit provision is an attractive feature for many employee groups. In 2008, Section 105 of the Internal Revenue Code was amended, with a further amendment in 2015, to include limited exceptions to this general rule but not all city plans meet the requirements of these limited exceptions. Response: Congress should amend Section 105 of the Internal Revenue Code to allow all HRAs and account-based health plans for both active employees and retirees to include a provision that allows the employee to designate beneficiaries other than spouses and dependents. Such beneficiaries should be able to, at a minimum, receive reimbursement for their medical expenses from the inherited account. FED-4. Federal Public Safety Collective Bargaining Bill Issue: Congress is considering a bill that would require all states to establish collective bargaining procedures for all public safety employees. The bill directs the Federal Labor Relations Authority (FLRA) 143 to determine, state by state, whether it meets the bill’s requirements with regard to collective bargaining rights for public sector employees. While it appears Minnesota is likely to pass the tests set out by the bill, federal public sector lobbyists have expressed serious concern that the bill is very much open to interpretation. In addition, the bill directs the FLRA to “consider and give weight, to the maximum extent practicable, to the opinion of affected employee organizations.” Response: The League of Minnesota Cities opposes the federal collective bargaining bill for public sector employees. Public sector collective bargaining should be left to the determination of each state. FED-5. Federal Health Care Reform Issue: Certain provisions of the Patient Protection and Affordable Care Act (commonly referred to as the federal health care reform law or Affordable Care Act (ACA)) are problematic for cities. These issues range from administratively difficult to very costly. Tracking employee hours, particularly hours of seasonal and temporary employees and council members, is burdensome and will require significant administrative time and effort. Because most of these employees will not qualify for coverage under the ACA, the effort does not result in a worthwhile outcome. There are also situations where employees who are currently working more than 30 hours per week in a city will now be eligible for health care coverage by that city, which will drive up city costs significantly, particularly for cities using the “duty crew” concept at fire stations to ensure adequate daytime response. Finally, there are provisions which require the city to offer coverage to full-time students who are already covered by their parents’ insurance and do not need the coverage through the city, which results in wasted effort. Response: The League of Minnesota Cities supports the intent of the ACA to provide affordable health care coverage to all Minnesota residents. However, Congress should: a) Exempt (from the offer of coverage requirements) employees under age 26 who are covered by their parents’ insurance; b) Exempt (from the offer of coverage requirements) employees who work in recreational facilities and programs owned and operated by governmental entities; and c) Exempt elected officials from being counted as “employees” for the purposes of the ACA. FED-6. Amended Internal Revenue Code Regarding 403(b) Retirement Plans Issue: Section 403(b)(1)(A)(ii) of the Internal Revenue Code allows an employer that is a State, a political subdivision of a State, or an agency or instrumentality of a State or a political subdivision of a State to establish a 403(b) retirement plan for employees who perform services for educational organizations as described in Section 170(b)(1)(A)(ii) of the Internal Revenue Code. This provision of the Internal Revenue Code allows employees to defer substantially more income for retirement savings than their city government employee counterparts. While government employees who do not perform services for an educational organization may participant in a 457(b) deferred compensation plan, they may not participate 144 in a 403(b) retirement plan. Government employees who perform services for an educational organization are able to participate in both a 403(b) plan and a 457(b) deferred compensation plan. Furthermore, as a result of the amendment to Section 457(c) of the Internal Revenue Code by the Economic Growth and Tax Relief Reconciliation Act of 2001, deferrals to a 457(b) plan are not coordinated with elective deferrals made to a 403(b) plan for purposes of complying with the limit on pre-tax contributions to either plan. Both employee groups serve the public and should be treated similarly under the Internal Revenue Code for purposes of tax-deferred retirement savings plans.” Response: Congress should amend Section 403(b)(1)(A)(ii) of the Internal Revenue Code to allow an employer that is a State, a political subdivision of a State, or an agency or instrumentality of a State or political subdivision to establish a 403(b) plan for all of its employees, regardless of whether they perform services for an educational organization. FED-7. Amended Internal Revenue Code Regarding Health Savings Account Eligibility and Medicare Enrollment Issue: Section 223(b)(7) of the Internal Revenue Code provides that the monthly limitation on contributions to a health savings account (HSA) is zero starting with the first month in which an individual is entitled to Medicare benefits. A person becomes entitled to Medicare benefits when their Medicare coverage becomes effective. In many cases, Medicare coverage is effective on a retroactive basis. Specifically, when an individual is required to submit an application for Medicare coverage, the Medicare coverage will be effective retroactively up to six months before the month in which the application is filed (depending on the date on which the individual first become eligible for Medicare coverage) as described in 42 CFR §406.6(d). The IRS has indicated that the monthly limitation on HSA contributions included in Section 223(b)(7) applies during any retroactive period of Medicare coverage. This rule is confusing to employees, employers, and benefit administrators and may lead to unintended and unexpected tax consequences for employees and employers who may not be aware at the time an HSA contribution is made that the monthly limitation for that month will be zero if the employee applies for Medicare within the following six months and the coverage is effective retroactively under this rule. Furthermore, if an employer provides contributions to an HSA as part of its benefit package, then the rule may limit the benefits an active employee can receive from their employer. Response: Congress should amend Section 223(b)(7) of the Internal Revenue Code to provide that the limitation on contributions to a health savings account for any month with respect to any individual shall be zero for each month beginning with the later of (i) the first month in which such individual is entitled to benefits under title XVIII of the Social Security Act or (ii) the month in which such individual submits a valid application for benefits under title XVIII of the Social Security Act. 145 IMPROVING FISCAL FUTURES FF-1. State-Local Fiscal Relations Issue: Since the 1970s, services provided by Minnesota cities have been largely funded through a combination of property taxes, state aids, and state property tax relief programs. This system of municipal finance has evolved to ensure that municipal services can be funded without excessive local tax burdens. Over the past decade, the state-local partnership has vacillated with the state budget, challenging the ability of city officials to plan for the future fiscal needs of their communities. Response: The League of Minnesota Cities supports a strong state-local fiscal partnership. The state-local fiscal system, and any future modifications, should be consistent with the following principles: Accountability. Cities believe a viable partnership with the state requires cities and the state to communicate effectively with each other and with the public about their roles and responsibilities. Cities and the state must also exercise sound financial stewardship, including maximizing efficiencies in service delivery and other means of cost containment whenever possible. Certainty. Cities need to have more certainty and predictability in all of their available revenue sources, including the property tax, the amount of funding they receive from local government aid and similar programs and from other sources of revenue. The past practice of retroactive adjustments to local government aid (LGA) and similar programs, unallotments of the appropriation and the imposition of levy limits do not facilitate prudent financial planning and decisions. In addition, during a past state government shutdown the Department of Revenue indicated that despite the standing LGA appropriation, the shutdown of many state government operations would prevent the distribution of the LGA. Adequacy. The revenue sources available to cities and the state must raise adequate funds to meet city needs, to fund mandates, and to maintain Minnesota’s long-term competitiveness. Flexibility. As cities become increasingly diverse in their characteristics and as existing aid and credit programs have eroded, a “one-size-fits-all” system that limits all cities to the property tax as the major, non-state aid revenue source is increasingly unworkable. Some cities have sufficient property tax base to sustain an adequate service level, but many do not. Cities should have greater access to other tax and revenue sources than currently permitted. Equity. All citizens should receive adequate levels of municipal services at relatively similar levels of taxation. This means that the state should provide financial assistance to cities that have high costs, including costs related to overburden created by non-resident users of city services, low fiscal capacity, or 146 both. State financial assistance should also reduce tax burden disparities among communities and between cities and surrounding areas. FF-2. State Budget Stability Issue: Legislative actions to address past state budget deficits have included permanent reductions in funding to local units of government for programs such as local government aid as well as the full elimination of programs such as the market value homestead credit. In addition, the Legislature has frequently relied on short-term solutions that have only shifted a large share of the deficit problem into the next biennium without permanently addressing the state budget problems. The legislature has taken steps to reduce state budget volatility. As required under Minn. Stat. § 16A.152, subd. 1, 33 percent of any state general fund budget surplus identified in the November state budget forecast must be directed to the state budget reserve until the account reaches a targeted level. Response: To increase the stability of the state budget and avoid or reduce the impact of future state budget deficits, the Legislature: a) Must consider all budget stabilizing options, including revenue increases, with a particular focus on changes that improve the stability of the state's revenue stream; b) Must not further reduce funding for property tax relief programs to cities and taxpayers; c) Must not accelerate the remittance of sales tax collections by retailers including municipal liquor operations, and should make steps to reverse past accelerations; d) Must consider the aggregate impact on Minnesota taxpayers of previous budget cuts and tax increases; e) Must reinstate detailed estimates of inflationary increases to expenditure estimates in the state budget forecast; f) Should maintain a budget reserve as recommended by Minnesota Management and Budget based on their assessment of volatility in Minnesota’s revenue system defined in Minn. Stat. §16A.152, subd. 8 with a minimum of a five percent reserve; g) Should modify the unallotment statute to place a reasonable statutory limit on the percentage and timing of the state’s budget that can be unallotted during a biennium without legislative approval; and h) Must emphasize long-term budget solutions and budget stability and the continuation of both state and local government operations. i) The League of Minnesota Cities supports the principle of representative democracy and opposes limiting the Legislature’s flexibility in making financial decisions through new Constitutional amendments. FF-3. Funding Local Government Aid Issue: Local government aid (LGA) is an important component in the state’s property tax relief system, and a critical tool to help equalize tax base to ensure needs for public services can be met. To avoid undue pressure on the property tax, funding for 147 LGA must keep pace with inflationary pressures. The 2021 legislature added $5.5 million in one-time supplemental aid to offset any LGA formula reductions for 96 cities with the expectation that the legislature would update the formula during the 2022 session. The legislature did not approve a formula update and the supplemental aid has now sunset. For 2023, the total unmet formula need (the difference between each city’s formula-determined need and ability to raise revenue) is $767.9 million, leaving the current formula appropriation $203.5 million below the total unmet need. In recent years, bills have been introduced that would have created offsets to a city’s LGA distribution if the city imposed a local sales tax, spent funds for activities related to lobbying or a World’s Fair, or would have reduced or eliminated LGA if the city enacted ordinances to ban plastic bags, impose certain local labor laws, ordinances, or policies that restrict city employees from enforcing immigration laws, unauthorized ordinances related to diversion programs. Such changes would have been a significant deviation from the practice of using the formula to distribute LGA and could have jeopardized the long-term stability of the program. For 2019 only, the Legislature included a one-time payment acceleration that distributed 14.6 percent of each city’s 2019 LGA by June 15, with a second payment of 35.4 percent on July 20 and a final payment of 50 percent on December 26. For 2020 and beyond, LGA payments will again be made to cities in two equal installments on July 20 and December 26 each year. In 2022, the House omnibus tax bill would have dedicated a portion of future state budget surpluses to phase-in an acceleration of the July 20 LGA distribution to March 15. The current distribution occurs late in the city fiscal year and can create short-term cash flow challenges for some cities. Current law (Minn. Stat. § 477A.017, subd. 3) prohibits the distribution of LGA and Small Cities Assistance Account funding (Minn. Stat. § 162.145) to cities that have not complied with all financial reporting requirements to the Office of the State Auditor. Frequently, failure to comply is due to factors outside the control of the city. Although many cities subsequently comply and seek special legislation to receive the withheld LGA, the growing regularity of the legislature’s failure to approve tax bills has jeopardized the restoration of these payments. Response: In order to reduce pressure on the property tax, and to equalize property tax bases, the League of Minnesota Cities continues to support the LGA formula as the appropriate mechanism to distribute LGA resources. In addition, the League supports: a) Regular increases in the LGA appropriation b) Updating the LGA formula, including the “need” formula factors, the appropriation increase and other modifications consistent with the most recent recommendations of the city association LGA working group established in 2021; c) Restoring the annual inflation adjustment to the LGA program to move toward funding the total unmet need of all cities. d) Permanently accelerating of the annual LGA payment schedule to assist cities with cash flow needs. 148 e) Establishing an administrative procedure that would allow cities that ultimately comply with financial reporting requirements to receive their withheld aid distributions. The League opposes targeting reductions to specific cities or groups of cities as well as reductions or offsets for local policy or expenditure decisions. The legislature should avoid creating side-pots or special appropriations through the LGA (Minn. Stat. ch. 477A) program. If special circumstances such as a natural disaster warrant additional state assistance to specific cities, the criteria for the additional aid should be specifically enumerated and the appropriation should be separate and in addition to the appropriation through the general LGA formula. FF-4. State Charges for Administrative Services Issue: Currently, some state agencies have wide discretion in setting the fees for special services they provide to local governments. Response: State agencies should be required to justify their service fees or for increases in existing service fees and not charge more than what is fair, reasonable, and proportionate to the cost of service. Agencies should give adequate notice of increases to allow local governments to budget for the increases. State agencies should set administrative service fees as close as possible to the marginal cost of providing the service. Local government should be given the option to self-administer or contract with the private sector for the service if the state cannot provide the service at a reasonable cost. FF-5. Reporting Requirements Issue: Budget and financial reporting requirements imposed on cities by the state often result in duplication and additional costs. In addition to the state mandated annual audits under Minn. Stat. §§ 471.697-.698, cities are required to prepare and submit or publish numerous other budget and financial reports including but not limited to: a) Summary budget reports (Minn. Stat. § 6.745); b) Summary budget information for the proposed budget, which is sent to the county for the annual tax hearing process (Minn. Stat. § 275.065, subd. 3b); c) Treasurers report to the city clerk (Minn. Stat. § 412.141); d) Statement of tax collections and other income by clerk to the city council (Minn. Stat. § 471.69); e) Report on outstanding obligations and the purpose for each issue filed with the county auditor (Minn. Stat. § 471.70); f) Publication of summary budget statement (Minn. Stat. § 471.6965); g) Publication of statement of liquor store operations (Minn. Stat. § 477A.017); h) Liquor store audited financial statements (Minn. Stat. § 471.6985); i) TIF district plan and amendments (Minn. Stat. § 469.175, subd. 4a); j) TIF district annual disclosure (Minn. Stat. § 469.175, subd. 5); k) TIF district annual financial report (Minn. Stat. § 469.175, subd. 6); 149 l) Business subsidy reporting (Minn. Stat. §§ 116J.993-.995); m) State required financial activity reports (Minn. Stat. § 6.74); n) Local improvement requirements (Minn. Stat. § 429.031); o) Development and permit fees report (Minn. Stat. § 326B.145); p) Utility annual financial statements (Minn. Stat. § 412.381); q) Housing and redevelopment authority annual financial report (Minn. Stat. § 469.013); and r) Federal single audit or a program-specific audit (31 U.S.C. § 7502 (a)(1)). s) A temporary reporting requirement for the federal American Recovery Plan Act distributions. Many cities have expanded the availability of information on their web sites in response to citizen requests and some cities have begun using new tools to assist citizens in understanding the city budget. Expanding state mandated financial reporting requirements could force cities to redirect scarce resources to the state mandate and stifle innovative ways to communicate with citizens. Response: Requirements for reporting and advertising financial and budget information should be carefully weighed to balance the need for information with the administrative costs of compiling and submitting this information. In addition, the legislature should direct all state agencies to review existing local government reporting mandates and eliminate redundant or superfluous requirements. To this point, the legislature should consolidate municipal government financial reporting requirements in the Office of State Auditor, include an electronic submission alternative to any remaining paper filing requirements and authorize the use of web publication where newspaper publication is currently required. Finally, the legislature must not increase reporting burdens for local units of government. Any new reporting requirement should have a clearly defined statement of purpose and public need not currently met with existing reports, a sunset date to facilitate a future discussion of the usefulness of the requirement as well as full state funding for the costs associated with a new reporting mandate. FF-6. Taxation Duplication Issue: In Minnesota, local governments occasionally provide residents and businesses similar types of services. For example, counties maintain a sheriff’s office while in many cities, police services are provided by the city to their residents and businesses. When the county levy for the sheriff’s operations is spread across the county, city residents and businesses are being taxed for services that are not being provided within the city or are being provided at a lower level. Similarly, in some areas, the county provides 9-1-1 dispatching services funded through the property tax that is spread across the county but the county may also require cities to contribute to the 9-1-1 operations through the city budget and property tax levy. As a result, city businesses and residents are effectively paying twice for dispatch services—once through the county levy and again through the city levy. 150 Response: Where similar services are provided by different levels of local government, property tax levies for those services should only apply to those areas receiving the service. Additionally, counties should be prohibited from requiring cities to contribute to services that are being funded through the county-wide property tax levy. FF-7. Direct Property Tax Relief Programs Issue: In 2013, the legislature expanded the homeowner property tax refund (PTR) program and renamed it the Homestead Credit Refund program. As a direct taxpayer relief program, the Homestead Credit Refund avoids the problems with the former Market Value Homestead Credit system where the state provided a credit on the homeowner’s property tax statement but did not always reimburse cities and counties for the amount of the credit. Response: The League of Minnesota Cities supports providing additional, direct property tax relief through an expansion of the Homestead Credit Refund program, the renters’ refund program, the targeting program or other programs that provide property tax relief directly from the state to taxpayers. In addition, the League supports the 2013 legislation that requires the Department of Revenue to notify potentially eligible homeowners of the program and would also support legislative modifications to these programs to eliminate the taxpayer filing requirement thereby making the tax relief payments automatic. The League opposes property tax credit programs that reimburse local units of government for reduced tax burden such as the former market value homestead credit system due to the fact that the reimbursements to local units of government can be cut while the credit to the taxpayer remains on the property tax statement. In addition, the League opposes reinstituting Limited Market Value, a program that reduces the taxable value of individual properties based on assessor’s valuation increase or freezes in property valuations. Limited Market Value or a valuation freeze create property tax shifts and tax burden inequities between similar properties. FF-8. Sales Tax on Local Government Purchases Issue: The local government sales tax exemption enacted in 2013 and expanded in 2014 does not apply to all city purchases. Some purchases for municipal enterprise operations, such as liquor stores and golf courses are excluded from the exemption. In addition, in order to receive the sales tax exemption on construction materials under current law, cities must bid labor and materials separately and also designate a contractor to be a purchasing agent on behalf of the city. The existing Department of Revenue rules (Minn. Rule 8130.1200, subp. 3) are complex and the implementation can be so complicated that it can cost cities more money to implement than they will save on the tax exemption. Finally, although cities currently do not pay the motor vehicle sales tax on marked police vehicles or firefighting vehicles, other city vehicles are not exempt from the motor vehicle sales tax. The 2021 legislature extended the sales tax refund process under Minn. Stat. § 297A.71 and Minn. Stat. § 297A.75 to contractor purchases of construction materials, supplies and equipment incorporated into public safety buildings for initial construction, remodeling, expansion and improvements for public safety facilities owned by local 151 units of government. The refund process also applies to materials used in related facilities such as access roads, lighting, sidewalks and utility components. Response: In order to ensure that taxpayers receive the full benefit of the local government sales tax exemption: a) The exemption should apply to all purchases made by local units of government; b) The process to receive the exemption for construction materials used in local government projects should be simplified or added to the refund process now available for local government public safety facilities; and c) The exemption should be extended to all local government purchases that would otherwise be subject to the motor vehicle sales tax in Minn. Stat. ch. 297B. FF-9. Taxation of Electronic Commerce Issue: The 2018 U.S. Supreme Court decision [South Dakota v. Wayfair, Inc., 585 U.S. ___ (2018)] overturned two earlier Supreme Court decisions [Quill Corp. v. North Dakota, 504 U.S. 298 (1992) and National Bellas Hess v. Department of Revenue, 386 U.S. 753 (1967)] that had prevented states from requiring retailers without a physical presence from collecting state and local sales taxes on purchases made by state residents and businesses. A group of 23 states participating in the Streamlined Sales Tax Project have worked together for more than 18 years to simplify the administration of state and local sales taxes and reduce the administrative burden on retailers. The success of this project was referenced in the Wayfair decision. Despite the Supreme Court’s Wayfair decision, new legal challenges could be filed by remote retailers or Congress could intervene to address remaining sales tax administration issues including the fact that more than 20 states with sales taxes have not adopted the SSUTP standards. Response: Federal tax policy should not place main street businesses at a competitive disadvantage to electronic retailers, must not jeopardize repayment of bonds backed by state and local sales tax revenues, and should ensure stability in state and local revenues. To address the challenges created by the growth of electronic commerce, the League of Minnesota Cities continues to support the multi-state effort to develop a streamlined sales tax system. Should Congress intervene, the League would support nation-wide sales tax administration standards based on the model developed by the Streamlined Sales Tax Project. The League will oppose Congressional efforts to reverse remote retailer collection requirements. FF-10. Local Lodging Taxes Issue: In 2011, the legislature amended Minn. Stat. § 297A.61 to define accommodation intermediaries and clarified that their services are subject to the state sales tax as part of the tax imposed on lodging. Local lodging taxes collected by the state for local units of government under Minn. Stat. § 469.190, subd. 7, also clearly apply to services provided by these accommodation intermediaries since these taxes are required under Minn. Stat. § 270C.171 to use the definition for tax base contained in the general sales tax statute. 152 Since 2011, some accommodation intermediaries have not been collecting and remitting locally-administered lodging taxes based on the full cost of the accommodation plus the accommodation intermediary services. There are currently 120 cities and towns that individually or jointly impose lodging taxes for tourism purposes under Minn. Stat. § 469.190. Another five cities impose a lodging tax that is administered locally under special law. Four local lodging taxes are currently administered by the state. Response: The League of Minnesota Cities supports legislation that will clarify that all lodging taxes, whether administered by the state or administered locally, apply to the total charges to the customer, including charges for services provided by accommodation intermediaries. FF-11. Taxation of Electric Generation Personal Property Issue: Investor-owned utilities (IOUs) have a longstanding relationship with Minnesota cities. IOUs site baseload power plants in host communities, and in exchange pay personal property tax on attached generation machinery to the cities, counties and school districts hosting the plants. These plants bring jobs to our communities, but they also create nuisances such as air pollution, nuclear waste, noise, vibration, and coal train traffic. They also create security risks and take up land that could be used for other, less disruptive commercial and industrial development. Cities believe personal property taxes paid by IOUs are a fair compensation for the environmental and economic costs of hosting baseload power plants. IOUs argue that personal property tax relief is important to pass along to their shareholders and ratepayers. However, only a few IOU shareholders and ratepayers actually live in the communities hosting baseload power plants. Further, almost all new power plants receive personal property tax exemptions from the Legislature, while host communities with existing, non-exempt baseload plants will continue to have them for decades to come. Currently the taxation of electric generation personal property represents the best method for reimbursing host communities for the cost of hosting IOUs. Response: Personal property taxes on attached electric generation machinery are a fair way to spread the environmental and economic costs of electric generation power plants among all IOU shareholders and ratepayers. The League of Minnesota Cities supports the continuation of personal property taxes paid by IOUs to host communities for existing and new facilities or a tax system which generates equal or greater revenue for host communities. If the Department of Revenue or the Legislature chooses evaluate new methods of utility taxation, the League supports the inclusion of these environmental and economic costs in assessing the appropriate property taxes paid to host cities by electric generation facilities. FF-12. Electric Generation Taxation Reform Issue: Currently, electric utilities are subject to a personal property tax on personal property which is part of an electric generating, transmission, or distribution system. This tax has a number of exemptions and exclusions which make a patchwork of taxation statewide. The Department of Revenue issued a report on February 15, 2015 which laid out the details of this tax system, stating, “The utility tax 153 base comprised of these energy producing facilities is not predictable. The unpredictability is a result of law and rule changes that determine the amount of utility tax base available for host communities.” Cities which host Investor-Owned Utility base load power plants have faced unpredictability in tax base from both changes to state law regarding the personal property tax on electric generation equipment and from changes in valuation due to the upgrade/depreciation cycle of equipment. In the past, the Minnesota Legislature has considered a reform to the system of taxing electric generation, which would repeal the personal property tax and all of its exclusions and exemptions, and replace it with new approaches to valuing utility property. More recently, the 2021 tax bill passed by the legislature ordered the Department of Revenue to initiate a review of the framework for valuations of property including utility property such as large electric generating facilities. Statutory changes to the system of electric generation taxation should not adversely affect host city tax revenues. Any proposal to change the system must include some form of replacement aid which compensates cities for adverse effects due to changing state law on electric generation taxation. Moreover, utility company appeals of Department of Revenue valuations of utility property can cause significant turmoil for local governments, including property tax shifts onto residents and businesses and—in the case of a successful tax court challenge by a utility—the possibility of being forced to pay back taxes that have already been collected and spent in prior years. As part if its review of Rule 8100, the Department of Revenue has engaged with stakeholders in hopes of identifying improvements that can benefit both local governments and the companies subject to personal property taxes to increase stability, predictability, and reduce impacts on other taxpayers. Response: The personal property tax on electric generation equipment as well as the exemptions, exclusions and sliding scales to that tax represent a patchwork of taxation rules statewide. Changes to state law which replace the personal property tax on electric generation equipment with a tax base valuation based on electric generation capacity, production, nuclear storage, transmission, and distribution will benefit IOU host cities so long as the change comes with a factor to increase the tax base valuation over time and reimbursement to cities for revenues lost due to a change in state law. Likewise, any changes to process by which investor owned utilities appeal the valuation of their property should be made with the goal of reducing negative impacts on local governments, and increasing stability, predictability, and transparency. FF-13. Support for Transitioning Communities Issue: Technological advancements and market forces are rapidly changing the electric generation industry. Investor-owned utilities (IOUs) in Minnesota are increasing the share of their electric generation portfolios that are made up of renewable generation sources like wind and solar, while planning to decrease the share of electric generation that is derived from baseload power plants that produce energy from coal or nuclear sources. Due to the deep and longstanding relationship IOUs have with some Minnesota cities, the possible retirement of these power plants 154 stands to have a significant disruptive effect on these cities. Cities that host baseload power plants make significant investments to support those plants, including infrastructure, public safety, and disaster preparedness. To compensate for this, IOUs pay personal property tax on electric generation machinery. For some cities, these revenues can account for over 50% of the city’s annual budget. Moreover, IOUs have other significant direct and indirect impacts on host communities. IOUs tend to employ significant numbers of employees at baseload power plants. Those employees are likely to live, work, attend school, and shop in and around the local community. Therefore, the of the retirement of these plants would have significant negative impacts on these communities. While the power that is generated at these facilities goes to support the entire state of Minnesota, the impacts of hosting these plants is felt most acutely in these local communities. In recent years, the State of Minnesota has taken steps to support cities facing these unique circumstances, including the creation of the Community Energy Transition Grant Program under Minn. Stat. § 116J.551, and the creation of the Energy Transition Office and Advisory Committee under Minn. Stat. § 116J.5491 – 5493. Response: The League of Minnesota Cities recognizes that the energy landscape is rapidly changing and supports state policies to replace tax base in communities facing the closure of a baseload power plant, as well as other policies or programs to help those communities replace their local tax base through economic development. The League of Minnesota Cities also support efforts by the state legislature and state agencies to study, analyze, and design policy solutions to address the unique challenges these communities face. FF-14. Taxation of Municipal Bond Interest Issue: The federal and state laws that grant a tax exemption to bondholders for municipal bond interest lowers borrowing costs for cities and reduces property tax levies. Recent proposed Internal Revenue Service rules would potentially restrict some local government entities such as housing and redevelopment authorities, economic development authorities and port authorities from issuing tax exempt bonds. Response: Congress and the state should maintain the tax exemption for municipal bond interest income. Congress should also clarify the law to supersede proposed IRS rules and thereby continue to allow housing and redevelopment authorities, economic development authorities and port authorities to issue tax exempt debt. FF-15. Pollution Control Exemption Issue: Minnesota grants electric utilities and several other industries a property tax exemption for personal and real property that is primarily used for pollution control. Minnesota adopted the property tax exemption that now extends to electrical generation systems, agricultural operations, and wastewater treatment facilities in 1967, before water and air pollution were heavily regulated by the Environmental Protection Agency and the Minnesota Pollution Control Agency. The language and the purpose of these statutes have evolved through the years. When states first began adopting these tax incentives in the 1960s, they hoped to encourage utilities, industrial plants, and others to install pollution control equipment. 155 Gradually, as regulation increased, states adopted the exemptions to help companies offset the cost of the equipment. This tax benefit erodes local tax bases. In 2013, more than $1.8 billion of personal and real property for electrical generation was exempted from the market value of utilities. The incentive value of this benefit is low because utility companies are required to install the equipment anyway. In addition, these companies frequently recover the cost of the equipment through rate riders granted by the Public Utilities Commission. Allowing the pollution control equipment exemption places the cost of this equipment on the citizens of the host community, rather than the purchasers of electricity. Response: The pollution control exemption places an undue burden on host communities without incentivizing the environmentally responsible behavior that it was originally created to encourage. The League of Minnesota Cities supports narrowing or eliminating the pollution control equipment exemption for investor-owned electric generation facilities. The League would also support allowing utilities to continue to recover their costs relating to the pollution control equipment by spreading those costs to electricity users. FF-16. Representative Democracy and Local Control Issue: Local officials are elected by citizens to make decisions on behalf of their community, including important taxation and expenditure decisions. At times, the legislature has enacted blunt tools such as levy limits to supersede the discretion of city councils. Levy limits replace local accountability with a state judgment about the appropriate level of local taxation and local services. Additionally, state restrictions on local budgets, ordinances and fees can unnecessarily restrict the abilities of city councils to respond to local needs and also have a negative effect on a city’s bond rating due to the restriction on revenue flexibility. As city officials try to plan for future local needs, levy limits can be as much a floor as a ceiling on local government levies as local officials try to anticipate future state actions by “levying to the limit” to preserve future levy authority. Levy limits also fail to account for the decertification of tax increment financing districts. Upon decertification, the property taxes that were formerly collected and used to support the public improvements in the TIF district can no longer be collected at the same rate and used to support ongoing general city operations. Response: Local elected officials are elected to make decisions about local issues and concerns and act to meet community needs in the short-term and the long-term. City councilmembers and city mayors are elected by the citizens of their community to represent them in the decision-making processes for and on behalf of their communities. Those elected to serve are best suited to make decisions closest to the people most closely affected. They make decisions about their activities in their city which are reflective of their adopted municipal ordinances and annually adopted fee schedules. Local budgets, fees and ordinances are based on each particular city’s own particular unique community needs, attributes and considerations. The League of Minnesota Cities supports the principle of representative democracy that allows local officials to make decisions without state or other restrictions. 156 FF-17. Tax Hearing and Notification Process Issue: Cities must set a preliminary levy by September 30, which is the levy used to compute the parcel-specific property tax notification forms. With only a few limited exemptions (e.g., voter-approved levies, levies for natural disasters and levies for certain tort judgments), this preliminary levy, by law, becomes the maximum that cities can levy the following year. As a result, cities may be unable to budget for unforeseen needs that arise after September 30. In 2021, the legislature added Minn. Stat. § 275.065, subd. 3b that requires cities over 500 population to provide the county with summary budget information consistent with the summary budget report submitted to the State Auditor under Minn. Stat. § 6.745 for the proposed budget and the current budget. Although the requirement was delayed until the process to set 2023 budgets, cities will have a new, complicated reporting process that will add considerable information to the annual proposed property tax statement. In addition, rather than explaining city’s proposed budget, the amount of new information could overwhelm taxpayers. Response: Cities should have the authority to increase the final levy from the preliminary levy with the approval of the commissioner of the Department of Revenue, to meet additional, unforeseen and uncontrollable needs, including arbitrator awards resulting from labor negotiations, the impact of new and existing federal or state mandates including administrative rules, or other non-discretionary budget factors. The tax hearing and notification law should be carefully reviewed to assure that the legislative intent is reflected in the statutes. Specifically, the League of Minnesota Cities supports the following: a) Modifying Minn. Stat. § 275.065 to clearly and fully exclude cities of population 500 and under from the budget and levy hearing requirements; b) Reinstating the exception to the tax hearing and notification requirements for cities with more than 500 residents with a proposed levy increase below the implicit price deflator (IPD); and c) The summary budget information requirement enacted under the 2021 omnibus tax bill should be evaluated for effectiveness and value to taxpayers. The requirement should be converted to a suggested option and cities should be able to substitute their established local process and format to explain their proposed budget to taxpayers. In order to assist local officials with the challenge of explaining legislative changes to the property tax system, legislators should attend and be encouraged to participate in local government budget hearings in their districts. FF-18. General Election Requirement for Ballot Questions Issue: Under current state law, when cities are required to seek voter approval on a ballot question or where statutes allow voters to petition for an election on a council action (reverse referendum), these referenda can generally be held at a general or special election. This flexibility allows cities to 157 respond to local circumstances in a timely manner. Response: Cities should be allowed to conduct elections on ballot questions at a date and time set by the city council and that complies with existing election notification statutes. FF-19. City Fund Balances Issue: As a component of a prudent financial management plan, cities maintain a fund balance composed of cash flow funds, savings for projects, and rainy-day reserves to maintain high level bond ratings and to minimize borrowing costs. Although the size of a city’s fund balance should be determined through local financial needs and local preferences, some cities are being criticized for maintaining “excessive” reserves. As the recent pandemic unfolded, there were calls to delay tax payments by property owners, citing city fund balances as evidence that cities could absorb cash flow delays. The Office of the State Auditor (OSA) report measures city fund balances on December 31, shortly after the city receives its largest sources of revenue from the property tax and state aid distributions. Measuring at this time, however, yields a picture of a high fund balance even though the city will spend down these funds to cash flow the next five to six months of its operations. Response: The state should respect local decisions on adequacy of local fund balances. The League of Minnesota Cities opposes any attempt to divert local reserves to benefit the state budget or use reserves as a rationale for state aid cuts or property tax payment delays. FF-20. Local Option Sales Tax and City Revenue Diversification Issue: Under current state law, the property tax is the only generally accessible form of local tax revenue for cities. Allowing cities to diversify their revenue stream would help prevent rapid additional future reliance on the property tax. The basic public finance rationale for diversification of local tax systems is rooted in the fact that economists generally agree that there is no perfect tax. Each tax has unique strengths and weaknesses and the more intensively any single tax type is used, the more obvious its shortcomings become. For example, the property tax is generally regarded as being very stable throughout the economic cycle and it is considered to be a relatively easy tax to administer and enforce. However, when property tax burdens become too high, there may be negative consequences for other public policy objectives such as business development and home ownership. In addition to avoiding the problems created by excessive reliance on any single tax, a balanced and diversified revenue system for Minnesota cities may create a more favorable business climate and provide for greater stability of revenues to the recipient government unit throughout the course of the economic cycle. Under Minn. Stat. § 297A.99, the Legislature has created a set of local sales tax rules and a defined process by which cities and other political subdivisions can impose a general local option sales tax. Although the statutory process requires the city council to adopt a resolution supporting the local sales tax, the process continues to require the authorization of the local sales tax by the Legislature through the passage of 158 a special law before finally seeking voter approval at a general election. The 2019 requirement to have separate ballot questions for each project has challenged cities to draft ballot questions that are clear to voters. Each question must describe the project and the sales tax that will support the proposed project however, the requirement could confuse voters that each project would result in separate sales tax rate increases that would be cumulative. Cities are also currently prohibited from imposing a new sales tax for a period of one-year from the expiration of an existing local sales tax under Minn. Stat. § 297A.99, subd. 3(d), which creates an administrative challenge for retailers who collect the local sales taxes when local sales taxes blink off and then on again for a new project. City requests for sales tax authority continue to increase. In 2019, the legislature granted local sales tax authority to an additional 16 cities and in 2021, an additional 16 cities were authorized to conduct a referendum to impose new or expanded local sales taxes. In 2022, 15 cities followed the process and an additional four cities sought adjustments to their local sales taxes initially authorized in 2021 to cover unexpected cost increases in building materials and interest rates that occurred after their special laws were enacted, however, the legislature failed to pass a tax bill and therefore none of the authorizations were enacted. Response: Cities should be able to diversify their sources of revenues. The League of Minnesota Cities continues to support a statutory change to generally allow a city to enact a local sales tax for public improvements and capital replacement costs, including but not limited to those specified in the 2019 legislation: a) Convention or civic centers; b) Public libraries; c) Parks, trails, and recreational facilities; d) Overpasses, arterial and collector roads, or bridges, on, adjacent to, or connecting to a Minnesota state highway; e) Railroad overpasses or crossing safety improvements; f) Transportation infrastructure improvements, including construction, repair of roadways, bridges and airports; g) Flood control and protection; h) Water quality projects to address groundwater and drinking water pollution problems; i) Court facilities; j) Fire, law enforcement, or public safety facilities; or k) Municipal buildings. Local sales taxes would follow the process outlined in Minn. Stat. § 297A.99 but without the need for the approval by the Legislature and governor through the passage of special legislation. The existing general law governing local sales (Minn. Stat. § 297A.99) should be modified as follows: a) The local referendum requirement under Minn. Stat. § 297A.99, subd. 3(a) should be clarified to allow the referendum to occur at any November election, regardless of whether a city 159 has candidates or questions on the ballot or a special election. b) The requirement for separate ballot questions for each proposed project under Minn. Stat. § 297A.99, subd. 3(a) should be clarified, possibly through changes to the structure of the ballot, to avoid voter confusion. Alternatively, the legislature should consider allowing a city the option of combining projects into a single ballot question. c) The current prohibition on imposing a new local sales tax for a period of one-year from the expiration of an existing local sales tax under Minn. Stat. § 297A.99, subd. 3(d), creates administrative challenges for retailers and should be repealed. d) The general law outlining the local sales tax process or individual special laws should allow a city the flexibility to modify the ballot question to increase the total amount of the sales tax collected and extend the duration of tax to cover unanticipated project cost increases. State law should also be modified to generally authorize any city to impose other types of taxes such as a local payroll tax or an entertainment tax with the adoption of a supporting resolution by the city council and after approval by the voters at a general or special election. In addition, Minn. Stat. § 469.190 should amended to allow cities to impose up to a five percent local lodging tax and to allow cities to modify the uses of their local lodging tax revenues to meet local needs. Cities should also have general authority to create utilities, similar to the storm sewer utility authority, in order to fund local services where benefit or usage of the service can be measured. FF-21. City Franchise Authority Issue: Under Minn. Stat. ch. 216B and Minn. Stat. § 301B.01, a city may require a public utility furnishing gas or electric utility services or occupying streets, highways or other public property within a municipality to obtain a franchise to operate within the community. In addition, cable system operators are required to obtain a franchise under Minn. Stat. ch. 238. Under a franchise, the city may require the utility to pay a fee to the municipality to raise revenue or to defray increased municipal costs, such as maintenance and reconstruction costs, accruing as a result of utility operations, or both. State law currently allows the franchise fee to be based upon gross operating revenues or gross earnings of the utility from its operations in the municipality. In this manner, all utility users within the municipality contribute to the public costs associated with the utility operation. In the absence of franchise fees, municipal costs resulting from utility operations are currently being funded by property taxpayers. Many cities also have policies related to utility company services and products that could be supported under conditions of a franchise agreement, such as local renewable energy and energy efficiency programs. Current statutes do not explicitly provide city authority to include those types of performance conditions in a franchise agreement. Under current law, cities are permitted to engage citizens when discussing a new or renewed franchise fee arrangement in the 160 manner that best fits the community. A recent legislative proposal would have added a prescriptive notification and reverse referendum requirement to the process of imposing or renewing a franchise agreement with a gas or an electric utility. Response: Municipal authority to collect franchise fee revenues from utilities is an important and equitable mechanism to offset the costs of maintaining public right-of-way and to generate a return on a publicly held asset. Municipal franchise authority must be preserved and should be expanded to allow city policy priorities to be addressed through conditions in franchise agreements that have the cost covered by local ratepayers, where appropriate, and can be accomplished within the local franchise boundaries. The League opposes adding a one-size-fits-all notification requirement and a reverse referendum procedure to the gas and electric franchise fee process. In addition, in situations where a local provider decides to sell their operations, the city must have the right of first refusal to purchase the assets of the utility. FF-22. Utility Valuation Transition Aid Issue: In 2007, the Minnesota Department of Revenue revised its rules regarding the valuation of electric and natural gas utility property. This change in the rules resulted in valuation changes for utility property that dramatically reduced the amount of revenue that local governments will collect in property tax from these utilities. Recognizing that the communities that host these utilities bear extraordinary burdens connected with stress on local infrastructure, public safety, and public nuisance due to the presence of these facilities in their communities, the Legislature created the Utility Valuation Transition Aid program. This program compensates host communities that have lost more than 4 percent of their net tax capacity as a result of Department of Revenue’s rule changes. Currently the taxation of electric generation personal property represents the best method for reimbursing host communities for the cost of hosting IOUs. However, a 2015 MN Department of Revenue study on electric generation taxation has generated proposals to change the state system of taxing electric generation which raise equal or greater revenues for host cities. Response: The League of Minnesota Cities supports the continuation of the Utility Valuation Transition Aid program and opposes any efforts to change statutory language or to divert promised funds away from host communities for any purpose unless statutory language replaces promised funds with equal or greater revenue to host communities. If the Legislature does determine that it is necessary to re-allocate the funds in the Utility Valuation Transition Aid program for another purpose, the League supports other legislative efforts that would compensate the host communities for the economic and environmental costs of hosting these facilities through reimbursement from the investor-owned utilities. These other efforts could include, but are not limited to, increasing the class rate on utility property to the extent that it would offset the negative effects of the utility valuation rule change. FF-23. State Assistance for Property Tax Refunds for State- Assessed Property Issue: State law requires certain property, including pipelines, railroad, utility property 161 be assessed for property taxation purposes by the Minnesota Department of Revenue. When companies challenge the valuation of these properties, local units of government may be required to refund excess taxes, which in some cases, can create financial hardship for local units of government and their taxpayers. In 2021, the legislature appropriated $29.4 million from the state’s general fund to reimburse a pipeline company for the tax court judgment. However, this one-time appropriation will not provide assistance to other recent tax court decisions. Response: The state should establish a permanent program to provide financial compensation to all units of local government for court ordered property tax refunds where the state has determined values. FF-24. Transition for Property Acquired by Tax-Exempt Entities Issue: When an existing taxable property is acquired by a tax-exempt entity other than a city or a city development authority or otherwise becomes tax exempt and removed from the tax base, the taxes formerly paid by the property owner are shifted to other, remaining taxable properties within the jurisdiction. When the acquired property is a large percentage of the tax base of a city or other local unit of government, the shift in taxes can be substantial. Response: The state should establish a program to provide financial compensation to all units of local government for court ordered property tax refunds where the state has determined values. FF-25. Payments for Services to Tax-Exempt Property Issue: Taxable property in many cities is being acquired by nonprofit and government entities. Converting the property to tax- exempt status can lead to serious tax base erosion without any corresponding reduction in the service needs created by the property. In 2013, legislation was introduced that would have broadly exempted non-profit property from paying user fees or service charges for any service funded in part with property taxes over the previous five years. Under certain circumstances, this proposal could have potentially exempted non-profits from paying for even utility charges. Response: Cities should have the authority to collect payments from statutorily-exempt property owners to cover costs of service similar to the authority provided under the special assessment law. The League of Minnesota Cities opposes legislation that would exempt non-profits from paying for user fees and service charges that help fund services these organizations use. FF-26. Housing Improvement Areas and Special Service Districts Petitioned by Business Issue: In 1996, cities were granted general authority under Minn. Stat. §§ 428A.11-.21 to use Housing Improvement Areas (HIAs) in order to finance housing improvements for condominium and townhome complexes. Several cities around the state have used this tool and found it to be a useful mechanism for maintaining older association homes. The 2013 Legislature also granted HIA authority to a county Community Development Authority (CDA). As part of 162 that authority, the CDA is required to gather local approval before creating an HIA. In 1996, the Legislature also gave cities the general authority to create Special Service Districts (SSDs) under Minn. Stat. §§ 428A.01-.101. Cities around the state have used this tool to provide an increased level of service to commercial or industrial areas, commonly in areas of retail concentration. SSDs are established at the request of local businesses, who ultimately pay for and benefit from the increased level of service. A SSD may be established anywhere in a city but only business property (i.e. commercial, industrial, utility, or land zoned for commercial or industrial use) will be subject to the service charge. Some special services have included street and sidewalk cleaning, snow and ice removal, lighting, signage, parking, parking enforcement, marketing and promotion, landscaping, and security. A SSD may be established only by petition and the city adopts an ordinance to establish it. Minn. Stat. §§ 428A.09-10 establishes procedures for the business owners in the SSD to veto or end the SSD. The 2013 legislature extended the sunset for both tools for 15 years, making it set to expire on June 30, 2028. In 2017, the House considered legislation that was ultimately unsuccessful to repeal the general SSD authority for cities. There are currently over 15 cities that have established SSDs around the state. As cities work to develop and/or redevelop commercial, industrial, and residential areas, new ways of paying for and providing increased levels of service should be available to local entities. Use of Special Service Districts in mixed-use development is one tool that could be available for this purpose. Response: The Legislature should give cities permanent authority to create HIAs and SSDs. The League of Minnesota Cities supports the authority for cities to work with their business communities to establish SSDs and opposes efforts to restrict general authority of the tool. The League also supports the potential use of SSDs for mixed-use districts that include residential and commercial/industrial properties. The law should be reviewed to determine to what extent mixed-use properties can and should contribute to a Special Service District from which they will benefit. The League would support legislation that expands SSDs to include mixed-use development to the extent it balances the benefits and obligations of residential properties within the district. If the Legislature grants multi-jurisdictional entities the authority to create HIAs, creation of an HIA must require local approval. FF-27. Tax-Forfeited Properties and Local Special Assessments Issue: Special assessments are a charge authorized by the Legislature and state law, imposed on properties for a particular improvement that benefits those selected properties. Cities follow complex, time-consuming statutory special assessment procedures to specially assess the appropriate amount of the local infrastructure improvements to those properties. If a property with validly attached special assessments goes into tax-forfeiture, the county auditor cancels all of the local special assessments due and remaining unpaid on each parcel, which is authorized in Minn. Stat. § 282.07. Therefore, the city loses the funds previously budgeted and planned for to pay for the local 163 improvements. To underline this point, the funds have already been expended and if not collected, result in losses to the city. When tax-forfeited land returns to private ownership, and the parcel benefitted from an improvement for which the city canceled special assessments because of the forfeiture, the city may assess or reassess the parcel. But cities must go through the same cumbersome notice and hearing procedures in order to re-attach the assessments. Response: The Legislature should remove cancellation of local special assessments from state law, allowing cities to receive the funding validly assessed and counted on to fund local infrastructure improvements. FF-28. Distribution of Proceeds from the Sale of Tax-Forfeit Property Issue: When properties go into tax forfeiture all levels of government lose tax revenue that would otherwise support the services they provide. It is always in the best interest of taxpayers to return these properties to the tax rolls as quickly as possible. Although the tax forfeiture process is controlled by the county, and counties have a legitimate need to be reimbursed for reasonable administrative costs, the city often has more at stake financially in terms of costs fronted to facilitate development (e.g., assessments for public infrastructure and unpaid development or utility fees). While the tax forfeit procedure provides a process for the repayment of special assessments, it does not require the repayment of unpaid utility charges or unpaid building and development fees. Further, due to large assessments that some cities are left with, it may not be practical to sell a tax-forfeited property subject to a special assessment, and city taxpayers may be forced to absorb the sunk costs of a project in order to sell the property. State statutes governing the apportionment of the proceeds from the sale of tax forfeit property allow counties to first recover administrative costs related to the tax forfeiture process before subsequent allocations are made for special assessments and hazardous waste cleanup associated with the property. State law is unclear whether the proceeds from a tax forfeiture transaction should be used to reimburse the county only for the expenses associated with the transacted parcel, or if the proceeds can be used to reimburse the county for administrative costs associated with other parcels that were not transacted. When the latter allocation method is employed by a county, the transaction proceeds can be disproportionately applied to county administrative costs resulting in a lower allocation of remaining proceeds to cover existing special assessments, hazardous waste cleanup costs and ultimately the final allocation of residual tax forfeit sale proceeds to cities. In addition, counties are allowed to use 30 percent of the amount remaining after the deduction for administrative expenses and the repayment of special assessments for forest development projects and then 20 percent of any remaining proceeds for county parks and recreation projects. The structure of the distribution of the proceeds frequently results in cities receiving a very small percentage of the initial forfeit sale proceeds. As a result, cities may not recoup even a portion of the unpaid taxes or special assessments owed on a property. In most cases, cities and counties work collaboratively to ensure that properties are returned to the tax rolls quickly to benefit all taxpayers. However, when consensus is not 164 reached, the tax forfeiture statutes place cities at a disadvantage and can disproportionately burden the taxpayers of the city in which the properties are located. Response: The League of Minnesota Cities believes the tax forfeiture statutes should be reviewed and amended as necessary to ensure that the needs of city and county taxpayers are properly balanced. Specifically, the League supports changes in the distribution of the proceeds from the sale of tax forfeit property contained in Minn. Stat. § 282.08 to elevate the priority for repayment of unpaid charges for electricity, water and sewer charges certified pursuant to Minn. Stat. § 444.075 subd. 3(e), and any unpaid fees prescribed pursuant to Minn. Stat. § 462.353 subd. 4(a), to require those unpaid charges and fees to be repaid immediately after unpaid special assessments. The proceeds from the sale of a tax forfeited parcel should be used to pay the assessments and administrative and development costs for the transacted parcel. Minn. Stat. § 282.09 should be amended to prevent the proceeds from the sales of a tax forfeited parcel to be used to pay excessive administrative costs or the costs for other parcels in the county until the city is fairly reimbursed for unpaid assessments and development costs of the transacted parcel. Before the final distribution of any remaining proceeds from the sale of tax forfeited land are distributed to cities, counties, and school districts, Minn. Stat. § 282.08(4)(i) and (ii) give counties the right to take up to half of those proceeds for county forest development and county park and recreation areas. The League also supports the elimination of these separate statutory apportionments while allowing counties to use their designated 40 percent share of the remaining proceeds for these uses. FF-29. State Hazard Mitigation and Response Support Issue: Cities in Minnesota are exposed to extreme weather events such as winds, flooding, fires, and drought and are facing the severe financial consequences of the clean-up, repairs, and community social and economic recovery, even though damages may be deemed “not of such severity and magnitude” as to qualify for federal assistance. Response: The League of Minnesota Cities calls on our legislators and state executive agencies charged with hazard mitigation planning to address not only a response to extreme weather events but to also put into place a proactive strategy to minimize or mitigate the financial consequences. At a minimum, this effort should offer a reasonable loan funding program that is easily accessible by cities, businesses and homeowners to financially recover and rebuild, with the ultimate goal of preserving jobs, industries, and communities. The state response should allow for the use of new technology and best management practices for any reconstruction of infrastructure to lessen the impact of future disasters and to mitigate the effects of disasters resulting from future extreme weather events. FF-30. Library Funding Issue: State law requires that local governments maintain a minimum level of funding for public library services. This is collectively known as “state-certified levels 165 of library support,” or more commonly known as, “maintenance of effort (MOE)” and is described in Minn. Stat. § 134.34. A majority of public libraries in Minnesota belong a regional library system, which is the entity that receives library funding from the Minnesota Department of Education. Six of the 12 regional library systems are structured as a federated system where the individual libraries or library systems operate autonomously from the regional library system but they can utilize certain services such as inter-library loan distribution, digital card cataloging, which capitalize on economies of effort from partnering with the other libraries in the regional system. The MOE for any city that taxes separately for library services is now set at 90% of the amount established in 2011 (see Minn. Stat. § 275.761). In 2011, it was calculated using a formula that included payments made in the form of the library employee salaries, payments toward operating the facility, purchasing materials from the library, and other operating costs, adjusted net tax capacity, and several other factors. The other half of the state’s public library systems are consolidated systems, where the regional library system runs the libraries through a joint powers agreement with counties and participating cities. The regional library system has a board and hires the director. A city that participates in the regional system will have an MOE (calculated as described above). The city MOE may include dollars provided directly to the regional library system or operating dollars provided to support building costs (i.e. city-provided maintenance services). In the metropolitan area, the seven county library systems and one city library system belong to the Metropolitan Library Services Agency (MELSA), the metro area regional library system. Most of the cities that operate libraries independently from their county library system belong to MELSA as affiliates of their county library system. The funding of libraries in MELSA may be from a county levy, a city levy, a city library fund from the general city levy or a combination. Most libraries not only serve city residents, but also serve people that reside outside of city limits who, in some cases, are not fully contributing to the upkeep, maintenance or operations of the library through property tax levies. While counties do contribute to municipal libraries, this support falls well short of the per capita amounts contributed by city residents. City officials support libraries and believe that a system of equitably funded libraries is needed. One approach that has been previously approved by the Legislature is providing for funding through regional tax levies designated as “library districts.” A district would have the authority to levy for public library services in lieu of their member cities and counties. Under Minn. Stat. § 134.201, the Great River Regional Library System and the East Central Regional Library System already have authority to create “library districts.” Some cities also contribute a supplemental amount of funding separate from MOE requirements, usually to pay for building maintenance costs. When the state calculates the required MOE for each local unit of government, local building costs are included in city MOE requirements and all monies cities contribute to a library building, except capital, are taken into account. The MOE requirement is a mandate on cities that does not allow for local decision making. However, it provides a stable source of funding to protect the investment in library resources and services around the state. There are some groups that are advocating for a restoration of the MOE to levels at least as high as the 2010 level. 166 Response: The League of Minnesota Cities supports sufficient, stable and equitable funding for local libraries to allow for local budget decision making. The League urges the state legislature to increase funding for Regional Library Basic System Support in order to amend the distribution of these funds to provide more stability and equity to each of the 12 regional public library systems. Specifically, the LMC supports: a) Amending the distribution formula to increase the Basic System Services factor from 5% to 15% and reduce the Equalization factor from 25% to 15%; b) Increasing the total appropriation from the current $13.57M/year to an amount necessary to hold all 12 regional systems harmless through the formula change. The League supports changes to the library maintenance of effort by the Legislature as follows: a) The required annual payment should reflect the amount the city itself pays toward maintenance, upkeep, and capital improvements to the library in that year. b) If the MOE reduction in Minn. Stat. § 275.761 is restored to a level at least as high as the 2010 level, it should be phased in over three years. c) Any relief provided to the county MOE requirement should not result in additional funding requirements to cities. The League also supports the creation of general authority for library systems to create library taxing districts and the authority for municipal libraries to charge non-residents for membership and/or other services without the loss of any State or Federal aids. FF-31. Park and Library Land Tax Break Issue: As the price for land increases, it is becoming more difficult for cities and other local units of government to compete with developers to save and secure land and easements that are deemed appropriate for park, library, trail, and green spaces. Response: The state should amend the tax laws to provide tax incentives for property owners who sell land and easements to local units of government when the land is to be used for park, library, trail or green space purposes. FF-32. Increasing Safe School Levy Authority Issue: Strong partnerships between schools and local law enforcement are critical to school safety. Police School Resource Officers (SROs) are valued professionals in school communities and provide support, safety and security for students, staff and the public. Further, SROs can provide regular opportunities for informal, positive interactions between students and police personnel. Under Minn. Stat. § 126C.44, the Safe Schools Levy allows school districts to levy for costs associated with student and staff safety based on student enrollment numbers. Some eligible expenses include police liaison services; drug abuse prevention programs; gang resistance education training; school security; crime prevention; and implementation of student and staff safety measures. 167 Using Safe Schools Levy authority, local school boards may raise additional resources for school safety and security. Almost every Minnesota school district currently levies the full amount of $36 per pupil. This amount does not cover the full cost of providing this important service, and local law enforcement agencies are not being fully compensated for providing SROs. Response: The League supports increasing the maximum Safe Schools Levy from $36 per pupil up to $60 per pupil to ensure schools and communities are able to continue providing safe schools programming. FF-33. Equitable Funding of Community Education Services Issue: Under Minn. Stat. § 124D.20, school districts are authorized to levy for community education programs that can include youth recreational activities. However, state statute limits the total amount of revenue that can be raised by the school district to fund community education programs and this limit has not been sufficiently increased in recent years. In many instances, cities participate in the funding of these programs and with the statutory limit on the amount school districts can levy, the increased cost of these programs is increasingly falling on cities and their property taxpayers. In areas where the school district is significantly larger than the city, the burden of funding these programs is falling disproportionately on city taxpayers while the programs benefit the entire school district. Response: The League of Minnesota Cities supports a statutory increase in the community education revenue authorization for school districts. Increasing the amount of the community service revenue available to school districts would provide a steady source of revenue, which would be assessed against all properties in the school district, not just against properties in the city. FF-34. Street Reconstruction Bond Approval Issue: Under Minnesota law, financing the maintenance of streets can be a challenge for city councils. Minn. Stat. § 475.58 subd. 3b, authorizes a city council, by two-thirds vote, to approve the issuance of bonds to finance street reconstruction or bituminous overlays without voter approval. The two-thirds council approval requirement is further subject to a reverse referendum process whereby a number equal to five percent of those voting in the last municipal general election can petition for a referendum to approve the issuance of the bonds. Response: Street maintenance is one of the essential functions of cities in Minnesota. The laws governing issuance of bonds to maintain streets should be amended to allow the approval of the bonds by a simple majority of the council. The existing reverse referendum process assures that taxpayers could trigger a referendum on the issuance of bonds if they can meet the five percent petition threshold. FF-35. Special Assessment Election Requirements Issue: City Councils are best situated to recognize the need to replace infrastructure and when to schedule the replacement projects. Cities are often only able to carry out these and other vital improvements by issuing bonds and assessing some amount of the cost to property owners. Issuing bonds to finance most local improvement projects requires a special 168 election unless the city can legally collect at least 20% of the project costs through special assessments. As a legal limit, cities cannot collect special assessments from any property greater than the increase in fair market value bestowed to that property by the improvement (the "special benefit test"). On occasion, the increase in property values as a result of the improvement can fail to add up to the 20% threshold necessary to finance projects without requiring a special election. Response: In order to facilitate the financing of public infrastructure projects, the threshold for requiring voter approval for issuance of improvement bonds under Minn. Stat. 429.091 should be reduced to 15 percent. This change would provide more flexibility for cities with their construction/bonding/assessment decisions and may be more likely to survive a challenge while still providing value to the property owner. FF-36. Homestead Market Value Exclusion Issue: In 2011, the legislature repealed the existing homestead market value credit program and replaced it with a new Homestead Market Value exclusion (Minn. Stat. § 273.13, subd. 35). Under the homestead market value exclusion, an amount equal to 40 percent of the assessor’s estimate of the home’s market value for a home up to $76,000 in market value is excluded from taxation. For homes in excess of $76,000 of market value, the exclusion phases out as home values increase until it is totally phased out for homes over $413,800. The general parameters of the program have not changed since 2011. Recent trends in residential home values have significantly reduced the value of the exclusion for many homeowners. According to the Minnesota Association of Realtors, in 2011, the median sales price of homes in Minnesota, was $135,000, which received an exclusion of $25,090 or nearly 19 percent of the total value of the home. In 2021, the median sales price was $306,750, which received an exclusion of $9,633, or just 3.1 percent of the total value of the home. During the 2022 legislative session, legislators considered proposals to increase the homestead market value exclusion. The House would have increased the exclusion to 40 percent of the value on the first $80,300 of value and extended the full phase-out to homes valued at up to $437,100. The Senate would have increased the exclusion to 40 percent of the value on the first $95,000 of value and extended the full phase-out to homes valued at up to $517,200. Response: Due to the recent rapid increase in home values, the League of Minnesota Cities supports modifications to the homestead market value exclusion program to increase the benefit of the exclusion to qualifying homeowners. Changes to the homestead market value exclusion should be considered in concert with the impact of the homestead credit refund program FF-37. State Fund for Non-weather- related Disaster/Catastrophe Relief Issue: Municipalities and other governmental units are at risk of experiencing disastrous events affecting their communities beyond natural disasters, whether from civil disturbances, industrial catastrophes, or other disastrous events. Such events may result in unbudgeted and unfunded costs related to clean-up, repairs, “social” and economic recovery, infrastructure restoration, rebuilding 169 structures, and other damage repair which may not be qualify for relief from Federal resources. While some limited State resources may be available, cities do not have the resources to respond to such disasters. Response: The League of Minnesota Cities supports the creation of a state fund to assist local communities in repair and response to these disastrous events with the ultimate goal of preserving jobs, industries, and communities. League of Minnesota Cities 145 University Avenue West St. Paul, MN 55103-2044 TEL: (651) 281-1200 (800) 925-1122 FAX: (651) 281-1299 WEB: www.lmc.org 160 Legislative Policies January 2023 Metro Cities Association of Metropolitan Municipalities 145 University Ave. W. St. Paul, Minnesota, 55103-2044 Phone: (651) 215-4000 Website: www.MetroCitiesMN.org Fax: (651) 281-1299 Twitter: @MetroCitiesMN Ms. Patricia Nauman Mr. Charlie Vander Aarde Mr. Michael Lund Ms. Jennifer Dorn Executive Director Gov’t Relations Specialist Gov’t Relations Specialist Office Manager (651) 215-4002 (651) 215-4001 (651) 215-4003 (651) 215-4004 Patricia@MetroCitiesMN.org Charlie@MetroCitiesMN.org Michael@MetroCitesMN.org Jennifer@MetroCitiesMN.org Table of Contents 2023 Legislative Policies Municipal Revenue & Taxation 1 1-A State and Local Fiscal Relationship 1 1-B COVID-19 Pandemic Assistance 2 1-C Revenue Diversification and Access 2 1-D Restrictions on Local Government Budgets 3 1-E Budget and Financial Reporting Requirements 3 1-F Local Government Aid (LGA) 3 1-G State Property Tax Relief Programs 4 1-H Property Valuation Limits/Limited Market Value 4 1-I Market Value Homestead Exclusion Program (MVHE) 5 1-J Metropolitan Area Fiscal Disparities Program 5 1-K Constitutional Tax and Expenditure Limits 6 1-L State Property Tax 6 1-M Class Rate Tax System 6 1-N Regional Facility Host Communities 6 1-O Sales Tax on Local Government Purchases 7 1-P City Revenue Stability and Fund Balance 7 1-Q Public Employees’ Retirement Association (PERA) 7 1-R State Program Revenue Sources 8 1-S Post-Employment Benefits 8 1-T Health Care Insurance Programs 9 1-U State Budget Stability 9 1-V Taxation of Electronic Commerce 9 1-W Payments for Services to Tax Exempt Property 9 1-X Proceeds from Tax Forfeited Property 9 1-Y Vehicle Title and Registration System (VTRS) 10 1-Z Special Assessments 10 General Government 11 2-A Mandates, Zoning & Local Authority 11 2-B City Enterprise Activities 11 2-C Firearms on City Property 11 2-D 911 Telephone Tax 12 2-E 800 MHz Radio System 12 2-F Building Codes 12 2-G Administrative Fines 13 2-H Residential Programs 14 2-I Annexation 14 2-J Statewide Funding Sources for Local Issues with Regional Impact 15 2-K Urban Forest Management Funding 15 Table of Contents 2023 Legislative Policies Housing & Economic Development 23 Policies 3-A to 3-J: Introduction 23 3-A City Role in Housing 23 3-B City Role in Affordable and Life Cycle Housing 24 3-C Inclusionary Housing 25 3-D Metropolitan Council Role in Housing 26 3-E Allocation of Affordable Housing Need 27 3-F Housing Policy & Production Survey 28 3-G State Role in Housing 28 3-H Federal Role in Affordable and Workforce Housing 30 3-I Vacant, Boarded, and Foreclosed Properties and Properties at Risk 32 3-J Housing Ordinance Enforcement 33 3-K Economic Development, Redevelopment and Workforce Readiness 33 3-K (1) Economic Development 34 3-K (2) Redevelopment 35 3-K (3) Workforce Readiness 36 3-L Tax Increment Financing (TIF) 36 3-M Eminent Domain 38 3-N Community Reinvestment 39 3-O Business Incentives Policy 40 3-P Broadband Technology 40 3-Q City Role in Environmental Protection and Sustainable Development 41 3-R Impaired Waters 42 2-L Pollinator Habitat Resources 15 2-M Regulation of Harmful Substances and Products 16 2-N Private Well Drilling Restriction Authority 16 2-O Organized Waste Collection 16 2-P Election Administration 17 2-Q Utility Franchise Fees, Accountability and Cost Transparency 17 2-R Water Supply 18 2-S Regulation of Massage Therapists 19 2-T Peace Officer Arbitration Reform 19 2-U Public Safety Training and Resources 19 2-V Race Equity 20 2-W Street Racing 20 2-X Carjacking 21 2-Y Catalytic Converter Theft 21 Table of Contents 2023 Legislative Policies Metropolitan Agencies 43 4-A Goals and Principles for Regional Governance 43 4-B Regional Governance Structure 43 4-C Comprehensive Analysis and Oversight of Metropolitan Council 44 4-D Funding Regional Services 45 4-E Regional Systems 45 4-F Regional Water Supply Planning 45 4-G Review of Local Comprehensive Plans 46 4-H Comprehensive Planning Process 47 4-I Comprehensive Planning Schedule 47 4-J Local Zoning Authority 48 4-K Regional Growth 48 4-L Natural Resource Protection 49 4-M Inflow and Infiltration (I/I) 50 4-N Sewer Availability Charge (SAC) 51 4-O Funding Regional Parks & Open Space 52 4-P Livable Communities 52 4-Q Density 53 Transportation 54 Transportation Policies and Funding Introduction 54 5-A Road and Bridge Funding 54 5-B Regional Transit System 55 5-C Transit Financing 57 5-D Street Improvement Districts 57 5-E Highway and Bridge Turn Backs & Funding 58 5-F “3C” Transportation Planning Process: Elected Officials’ Role 58 5-G Electronic Imaging for Enforcement of Traffic Laws 58 5-H Transportation Network Companies and Alternative Transportation Modes 58 5-I Airport Noise Mitigation 59 5-J Funding for Non-Municipal State Aid (MSAS) City Streets 59 5-K County State Aid Highway (CSAH) Distribution Formula 60 5-L Municipal Input/Consent for Trunk Highways and County Roads 60 5-M Plat Authority 61 5-N MnDOT Maintenance Budget 61 5-O Transit Taxing District 61 5-P Complete Streets 61 Table of Contents 2023 Legislative Policies Committee Rosters 63 Municipal Revenue & Taxation 63 Housing & Economic Development 64 Metropolitan Agencies 65 Transportation & General Government 66 2023 Legislative Policies Municipal Revenue & Taxation 1-A State and Local Fiscal Relationship A functional state and local fiscal relationship must emphasize adequacy, equitability, sustainability and accountability for public resources and communication among the state, cities, and public. An effective partnership must also emphasize practices that strengthen collaboration and partnership between the state and local units of government. Services provided by cities are traditionally funded through a combination of property taxes, fees, and state aids. Increasingly, cities are bearing more costs for services that have historically been the responsibility of the state. Metro Cities supports a state and local fiscal partnership that emphasizes the following: •Strong financial stewardship and accountability for public resources thatemphasizes efficiencies in service delivery and effective communicationamong the state, local units of government, and the public. •Reliable and adequate revenue sources including the property tax and local government aids, and dedicated funds to meet specific local needs. Metro Cities opposes diverting dedicated funds or local aids to balance state budgets. •Sufficient revenue sources available to cities that allow cities to address local needs and citizens to receive adequate services at relatively similar levels of taxation, and that maintain local, regional, and state economic vitality and competitiveness. •Full state funding to cover mandates enacted by the state, and flexibility for local governments in implementing state mandates to ensure local costs are minimized. •Local decision-making authority regarding the terms and conditions ofemployment for local government employees, including compensation, recognition,and benefits. •Adequate and timely notification regarding new legislative programs or modifications to existing programs or policies to allow cities time to plan for implementation and manage any effects on local budgeting processes. •Support for cooperative purchasing arrangements between the state and local units of government. Such arrangements must be structured to be able to address unexpected delays or other challenges in the procurement of goods, so that any disruptions to local government operations and services that may result from such delays are minimized. State officials should seek local feedback in the vetting of product vendors. •The concept of performance measuring, but opposition to using state established measurements to determine the allocation of state aids to local governments or restrict the ability of local governments in establishing local budgets and levies. 1 2 Municipal Revenue & Taxation 2023 Legislative Policies 1-B COVID-19 Pandemic Assistance Metro Cities supported the distribution of federal funds distributed under the Coronavirus Relief Fund and State and American Rescue Plan Act Local Fiscal Recovery Fund, to assist cities in addressing service needs and expenses related to the COVID-19 pandemic, including certain personnel costs as well as local service and operational improvements and modifications required to ensure public health and safety. Metro Cities will continue to support federal and state funding to assist cities in addressing local needs and costs related to the pandemic. Metro Cities is monitoring federal rules and requirements for funds, and supports clarity in the guidance on the uses of funds and flexibility in eligible uses that allows local officials to address varied needs and challenges resulting from the pandemic. Metro Cities supports state financial assistance to address the long-term financial effects of the pandemic on local government budgets and revenues, and changes to state laws to allow cities temporary flexibility in the use of unobligated tax increment financing (TIF) increment and unobligated local sales and lodging tax revenues, to address local financial challenges resulting from the pandemic. Metro Cities supported 2021 statutory changes that allow unobligated increment to be used to assist businesses. 1-C Revenue Diversification and Access Metro Cities supports a balanced and diversified revenue system that acknowledges diverse city characteristics, needs and capacities and allows for greater stability in revenues. Metro Cities continues to support the ability of a city to impose a local option sales tax for public improvements and capital replacement costs using local processes specified by law but without the need for special legislation. Metro Cities supports changes to state laws governing local taxes to include the following: •A statutory clarification to allow a referendum to occur at any November election or special election. •A clarification of laws governing separate ballot questions for each proposed local project,or allowing a city to combine projects into a single question, to avoid voter confusion. •A repeal of the prohibition on imposing a local sales tax for one year from the expiration of an existing local sales tax. •Changes to laws on the local sales tax process to allow a city flexibility to modify a ballotquestion to increase the amount of the collected tax and extend the duration of tax to coverunanticipated cost increases. The Legislature should recognize equity considerations involved with local sales taxes and continue to provide aids to cities that have high needs, overburdens and/or low fiscal capacity. 3 Municipal Revenue & Taxation 2023 Legislative Policies Metro Cities supports a modification to laws governing local lodging taxes to allow cities to impose up to a five percent lodging tax, and the ability of cities to modify the uses of revenues to meet local needs. Metro Cities supports current laws providing for municipal franchise fee authority and opposes statutory changes such as reverse referendum requirements or other constraints that would reduce local authority and flexibility for establishing, amending, or renewing franchise fees and interfere with local public processes and goals for establishing such fees. 1-D Restrictions on Local Government Budgets Metro Cities strongly opposes levy limits, reverse referenda, super majority requirements for levy and valuation freezes, or other restrictions on local government budgeting and taxing processes. Such restrictions undermine local budgeting and taxing processes, planned growth, and the relationship between locally elected officials and their residents by allowing the state to decide the appropriate level of local taxation and services, despite varying local conditions and circumstances. 1-E Budget and Financial Reporting Requirements State laws require cities to prepare and submit or publish numerous budget and financial reports. These requirements often create significant costs to cities, and some requirements result in duplication. Additional reporting requirements should have a clearly defined statement of public purpose and need not be covered under existing requirements and should balance the need for additional information with the costs of compiling and submitting the information. Considering the numerous existing reporting requirements, Metro Cities supports reducing the number of mandated reports. Metro Cities supports efforts to consolidate municipal government financial reporting requirements in the Office of the State Auditor, including an electronic submission alternative to any remaining paper filing requirements, and to authorize the use of web publication where newspaper publication is currently required. While Metro Cities recognizes that enacted statutory requirements to the local truth-in-taxation process enacted in 2022 are intended to enhance citizen involvement in budget processes, the new requirements are significant and will be administratively challenging to produce and disseminate. Existing requirements are expansive and were designed to maximize citizen engagement in budgeting processes. Metro Cities will continue to monitor the new law and its effects on local government processes and budgets. 1-F Local Government Aid (LGA) The state’s prosperity and vitality depend significantly upon the economic strength of the metropolitan region, and cities within the region play critical roles in fostering the economic development, job creation and business expansion that underpin the state’s economic health. Metro Cities supports the city Local Government Aid (LGA) program as a means of ensuring cities remain affordable places to live and work while meeting the public service needs of residents and businesses. 4 Municipal Revenue & Taxation 2023 Legislative Policies Metro Cities supports updates to the LGA formula factors and an increase in the program appropriation consistent with recommendations by a work group of city associations. Recommended updates will ensure the LGA program adequately reflects and addresses city needs. To ensure appropriation levels are adequate to meet program objectives, Metro Cities supports increasing the LGA appropriation to address cities’ unmet need as defined by the LGA formula as well as increases in the LGA appropriation to account for inflation. By way of reference, the total need identified in the LGA formula for 2023 is estimated at $767.9 million, whereas the current funding is set at $564.3 million, putting the remaining need at $203.5 million. Metro Cities supports formula-based allocations for increases to the LGA appropriation, and opposes freezes of the LGA appropriation, reductions of LGA for balancing state budget deficits, and diversions of the LGA appropriation to other purposes or entities. Metro Cities also opposes artificial limits or reductions that single out specific cities, and further opposes using LGA as financial leverage to influence activities and policy decisions at the local level. 1-G State Property Tax Relief Programs Metro Cities supports state funded property tax relief programs paid directly to homestead property taxpayers such as the “circuit breaker” program and enhanced targeting for special circumstances. Metro Cities also supports the renter’s credit program. Metro Cities supports an analysis of property tax relief programs to determine their effectiveness and equity in providing property tax relief to individuals and families across the state. Metro Cities supports efforts by the Minnesota Department of Revenue to expand outreach and notification efforts about state property tax relief programs to homeowners, and notifications to local units of government to support such efforts. Metro Cities also supports legislative modifications to make tax relief payments to taxpayers automatic. Metro Cities supports the use of the Department of Revenue’s Voss database to link income and property values, and the consideration of income relative to property taxes paid in determining eligibility for state property tax relief programs. Updates to the database should occur in a timely manner, with data reviewed periodically to ensure the database’s accuracy and usefulness. 1-H Property Valuation Limits/Limited Market Value Metro Cities opposes the use of artificial limits in valuing property at market for taxation purposes since such limitations shift tax burdens to other classes of property and create disparities between properties of equal value. 5 Municipal Revenue & Taxation 2023 Legislative Policies 1-I Market Value Homestead Exclusion Program The Market Value Homestead Exclusion Program (MVHE) provides property tax relief to qualifying homesteads, through reductions in property tax values, which shifts property taxes within jurisdictions. The MVHE replaced a former Market Value Homestead Credit Program, which provided credits on local government tax bills to qualifying properties, with reimbursements provided by the state to local governments. Metro Cities opposes restoration of the former Market Value Homestead Credit, as reimbursements to local governments were inconsistent, and encourages further study of the exclusion program, with input by city officials, to determine the program’s overall efficacy and its effects on local tax bases. Due to the recent rapid increase in home values, Metro Cities supports modifications to the homestead market value exclusion program to increase the benefit of the exclusion to qualifying homeowners. Changes to the homestead market value exclusion should be considered in concert with the impact of the homestead credit refund program. 1-J Metropolitan Area Fiscal Disparities Program The Metropolitan Area Fiscal Disparities Program, enacted in 1971, was created for the purposes of: •providing a way for local governments to share in the resources generated by the growth of the metropolitan area without removing existing resources; •promoting orderly development of the region by reducing the impact of fiscalconsiderations on the location of business and infrastructure; •establishing incentives for all parts of the area to work for the growth of the area as a whole; •helping communities at various stages of development; and •encouraging protection of the environment by reducing the impact of fiscalconsiderations to ensure protection of parks, open space and wetlands. Metro Cities supports the Fiscal Disparities Program. Metro Cities opposes any diversion from the fiscal disparities pool to fund specific state, regional or local programs, goals or projects as such diversions contradict the purposes of the program. Legislation that would modify or impact the fiscal disparities program should only be considered within a framework of comprehensive reform efforts of the state’s property tax, aids, and credits system. Any proposed legislation that would modify or impact the fiscal disparities program must be evaluated utilizing the criteria of fairness, equity, stability, transparency, and coherence in the treatment of cities and taxpayers across the metropolitan region and must continue to serve the program’s intended purposes. 6 Municipal Revenue & Taxation 2023 Legislative Policies Metro Cities opposes legislation that would allow for capturing and pooling growth in residential tax capacity to fund specific programs or objectives. Further studies or task forces to consider modifications to the fiscal disparities program must include participation and input from metropolitan local government representatives. 1-K Constitutional Tax and Expenditure Limits Metro Cities strongly opposes including tax and expenditure limits in the state constitution, as it limits flexibility by the Legislature or local governments to respond to unanticipated critical needs, emergencies, or fluctuating economic situations. When services such as education, public safety and health care require increased funding beyond the overall limit, other publicly funded services potentially stand to receive inadequate resources. Constitutional limits result in reduced revenue bases during times of economic downturn and the inability to recover to previous service levels when economic prosperity returns. 1-L State Property Tax The state levies a property tax on commercial/industrial and cabin property. Since cities’ only source of general funds is the property tax, Metro Cities opposes extension of the state property tax to additional classes of property. Metro Cities opposes using the state property tax to fund specific programs or objectives generally funded through state income and sales tax revenue. To increase transparency, Metro Cities supports efforts to have the state provide information on the property tax statement regarding the state property tax. Metro Cities opposes exempting specific classes of property under the tax as such exemptions shift the costs of the tax onto other classes of property. 1-M Class Rate Tax System Metro Cities opposes elimination of the class rate tax system or applying future levy increases to market value since this further complicates the property tax system. 1-N Regional Facility Host Communities Municipalities hosting regional facilities such as utilities, landfills or aggregate mining incur costs and effects such as environmental damage or lost economic development opportunities. Communities should be compensated for the effects of facilities that provide benefits to the region and state. Metro Cities supports efforts to offset the negative effects of these facilities and activities on host communities. Metro Cities would prefer that municipalities be allowed to collect a host fee that may be adjusted when state decisions affect those fees. 7 Municipal Revenue & Taxation 2023 Legislative Policies 1-O Sales Tax on Local Government Purchases Metro Cities supported the 2013 reinstatement of the sales tax exemption for purchases of goods and services made by cities. This reinstatement does not apply to all local government purchases. To ensure citizens receive the full benefit of this exemption, the law should treat purchases of all local government units the same, including purchases made by special taxing districts, joint powers entities, or any other agency or instrumentality of local government. Metro Cities supports simplifying the process on the exemption for construction materials that is complex and cost ineffective or converting the process to a refund program. Metro Cities supported the law enacted in 2021 that exempts construction materials purchased to construct public safety facilities from state sales tax. Metro Cities supports granting an extension of the motor vehicle sales tax exemption to all municipal vehicles that are used for general city functions and are provided by governmental entities. Currently, only certain vehicles, including road maintenance vehicles purchased by townships, and municipal fire trucks and police vehicles not registered for use on public roads, are exempt from the MVST. 1-P City Revenue Stability and Fund Balance Metro Cities opposes state attempts to control or restrict city fund balances, or to use city fund balances as a rationale for reducing state aids or property tax payment delays. These funds are necessary to maintain fiscal viability, meet unexpected or emergency resource needs, purchase capital goods and infrastructure, provide adequate cash flow and maintain high level bond ratings. 1-Q Public Employees’ Retirement Association (PERA) Metro Cities supports employees and cities sharing equally in the cost of necessary contribution increases and a sixty percent employer/forty percent employee split for the PERA Police and Fire Plan. Metro Cities also supports state assistance to local governments to cover contribution burdens placed on cities over and above contribution increases required by employees. Cities should receive sufficient notice of increases so that they may take them into account for budgeting purposes. Metro Cities opposes benefit improvements for active employees or retirees until the financial health of the PERA General Plan and PERA Police and Fire Plan are restored. Metro Cities supports modifications to help align PERA contributions and costs, and reduce the need for additional contribution increases, including a modification of PERA eligibility guidelines to account for temporary, seasonal, and part-time employment situations, the use of pro-rated service credit and a comprehensive review of exclusions to simplify eligibility guidelines. Further employer contribution rate increases should be avoided until other cost alignment mechanisms are considered. Metro Cities supports cities and fire relief associations working together to determine the 8 Municipal Revenue & Taxation 2023 Legislative Policies best application of State Fire Aid. Flexibility in the application of aid, where combination departments exist, will ensure that fire services can be provided in the most cost- effective means possible. Regarding police pension contributions, Metro Cities supports a proactive review of factors contributing to the financial status of police and fire pension plans, to ensure that structural adjustments are considered in conjunction with potential increases in employee and employer contribution rates. Specifically, an area that could be considered is contractual overtime impacts on pension levels. In recent years, the number of public safety employees seeking duty disability determinations through the Public Employees Retirement Association (PERA) and making workers’ compensation claims for line-of-duty injuries has accelerated. The current system for processing and addressing duty disability benefits can be incompatible with the goal of restoring good health and returning employees to work and the fiscal implications of the increasing number of claims are unsustainable for employers and, ultimately, taxpayers. Metro Cities supports efforts by the League of Minnesota Cities and cities to invest resources into mental and physical injury, education, prevention, and treatment, and to gather empirical evidence related to the treatability of mental health injuries and provide early treatment. Metro Cities further supports full state funding for the Public Safety Officer Benefit account that reimbursees employers for continued health insurance to police officers and firefighters injured in the line of duty, funding to reimburse local governments for providing paid time off to public safety employees who experience work related trauma and/or are seeking treatment for a mental injury, and funding for trauma training, early intervention, and mental health treatment. Metro Cities supports removing the sunset of the PERA aid that is paid to local units of government to help address increased employer contribution costs. 1-R State Program Revenue Sources Metro Cities opposes any attempt by the state to finance programs of statewide value and significance, that are traditionally funded with state revenues, with local revenue sources such as municipal utilities or property tax mechanisms. Statewide programs serve important state goals and objectives and should be financed through traditional state revenue sources such as the income or sales tax. Metro Cities further opposes substituting traditionally state funded programs with funding mechanisms that would disparately affect taxpayers in the metropolitan area. 1-S Post-Employment Benefits Metro Cities supported statutory changes that allow local governments to establish trusts from which to fund post-employment health and life insurance benefits for public employees, with participation by cities on a strictly voluntary basis, in recognition of differing local needs and circumstances. Cities should retain the ability to determine the level of post-employment benefits to employees. Municipal Revenue & Taxation 2023 Legislative Policies 1-T Health Care Insurance Programs Metro Cities supports legislative efforts to control health insurance costs but opposes actions that undermine local flexibility to manage rising insurance costs. Metro Cities encourages a full examination of the rising costs of health care and the impacts on city employers and employees. Metro Cities also supports a study of the fiscal impacts to both cities and retirees of pooling retirees separately from active employees. 1-U State Budget Stability Metro Cities strongly supports a state revenue system that provides for stability, flexibility, and adequacy in the system, reduces the volatility of state revenues and improves the long- term balance of state revenues and expenditures. Metro Cities supports a statutory budget reserve minimum that is adequate to manage risks and fluctuations in the state’s tax system and a cash flow reserve account of sufficient size so that the state can avoid short- term borrowing to manage cash flow fluctuations. Metro Cities also supports an examination of the property tax system and the relationships between state and local tax bases, with an emphasis on state budget cuts and effects on property taxes. State budget deficits must be balanced with statewide sources and must not further reduce funding for property tax relief programs and aids to local governments that result in local governments bearing more responsibility for the costs of services that belong to the state. 1-V Taxation of Electronic Commerce Metro Cities supports efforts to develop a streamlined sales and use tax system to simplify sales and use tax collection and administration by retailers and states. Metro Cities supports policies that encourage remote retailers to collect and remit state sales taxes in states that are complying with the Streamlined Sales and Use Tax Agreement. Metro Cities opposes legislation that allows accommodation intermediaries such as online travel companies a tax exemption that terminates obligations to pay hotel taxes to state and local governments, or otherwise restricts legal actions by states and localities. The Legislature in 2011 clarified that these services are subject to state sales tax. Metro Cities supports statutory changes to further clarify that all lodging taxes, whether administered by the state or locally, apply to total charges, including charges for services provided by accommodation intermediaries. 1-W Payments for Services to Tax Exempt Property Metro Cities supports city authority to collect payments from tax exempt property owners to cover the costs of services to those entities, similar to statutory authority for special assessments. Metro Cities opposes legislation that would exempt nonprofit entities from paying user fees and service charges. 1-X Proceeds from Tax Forfeited Property Metro Cities supports changes to state laws governing the proceeds for tax forfeited properties. Currently, counties can recover administrative costs related to a property before other allocations are made, and the law allows for the county to recoup a percentage of 9 Municipal Revenue & Taxation 2023 Legislative Policies assessment costs once administrative costs are allocated. The result is often no allocation or a very low allocation, and usually insufficient level of proceeds available for covering special assessments, unpaid taxes, and fees to cities. State processes addressing tax-forfeited properties can have implications for local land use plans and requirements and can result in unexpected and significant fiscal impacts on local communities. The current process also does not require the repayment of unpaid utility charges or building and development fees. Metro Cities supports statutory changes that balance repayment of unpaid taxes and assessments, utility charges and other fees and that more equitably allocates the distribution of proceeds between counties and cities. 1-Y Vehicle Title and Registration System (VTRS) Issues associated with the rollout of the state MN Licensing and Registration System (MNLARS) have caused significant unanticipated and ongoing disruptions to services provided by local deputy registrars. Some registrar offices have relied on other local revenues, such as the property tax, to manage normal expenses due to unresolved glitches in the system and a shift from the state to the local level for additional processing time. These challenges have also created a high potential for negative public perceptions on local government services, on an issue over which local governments have no ability to control. In 2019, state officials elected to replace the MNLARS system with the Vehicle Title and Registration System (VTRS). Metro Cities supports state funding to compensate local deputy registrars for unanticipated, increased costs associated with implementation of the new system, and the shifting of per-transaction processing burdens that may result from the implementation of VTRS. As the state works to identify efficiencies in the vehicle registration process and system, policy makers must consider the effects of changes on the financial viability of deputy registrars resulting from decreases in transaction fees collected by local registrars. Metro Cities supports increases to existing transaction fee levels that are set by state law, to ensure that local deputy registrars can sufficiently function and meet continually evolving local registrar service needs and address any necessary modifications to registrar operations to ensure these services can be provided safely to the public. 1-Z Special Assessments When property owners challenge special assessments based on application of the special benefit test, some courts have interpreted “benefits received” to mean the one-year increase in property value that is directly attributable to a construction project. There is currently no consistency between state laws and rulings by some courts on the term “benefits received”. Metro Cities supports modifications to state laws governing special assessments for construction projects or other improvements arising from legislative authority to clarify the definition of “benefits received”. The modified definition should more closely align with how special assessments are calculated and recognizes that the benefit of the improvement to a property may be realized over time and not within one year. 10 2023 Legislative Policies General Government 2-A Mandates, Zoning & Local Authority To serve their local citizens and communities, city officials must have sufficient local control and decision-making authority. Metro Cities supports local decision-making authority and opposes statutory changes that erode local authority and decision making. Minn. Stat. § 462.357, subd. 1, provide cities authority to regulate and set local ordinances for zoning. Metro Cities supports existing state laws that provide for this authority. Metro Cities supports statutory changes that give local officials greater authority to approve or deny variances to allow flexibility in responding to the needs of the community. Metro Cities also supports the removal of statutory barriers to uniform zoning ordinance amendment processes for all cities, regardless of city size classification. Metro Cities opposes the imposition of legislative mandates that increase local costs without a corresponding state appropriation or funding mechanism. Unfunded mandates potentially increase property taxes and impede cities’ ability to fund traditional service needs. To allow for greater collaboration and flexibility in providing local services, Metro Cities encourages the removal of barriers to coordination between cities and other units of government or entities. 2-B City Enterprise Activities Creation of an enterprise operation allows a city to provide a desired service while maintaining financial and management control. The state should refrain from infringing on this ability to provide and manage services for the benefit of a local community and residents. Metro Cities supports cities having authority to establish city enterprise operations in response to community needs, local preferences, or state mandates, or that help ensure residents’ quality of life. 2-C Firearms on City Property Cities should be allowed to prohibit handguns and other weapons in city-owned buildings, facilities, and parks and to determine whether to allow permit-holders to bring guns into municipal buildings, liquor stores, city council chambers and city sponsored youth activities. It is not Metro Cities’ intention for cities to have the authority to prohibit legal weapons in parking lots, on city streets, city sidewalks or on locally approved hunting land. Metro Cities supports local control to allow or prohibit handguns and other weapons on city-owned property. 11 General Government 2023 Legislative Policies 2-D 911 Telephone Tax Public safety answering points (PSAPs) must be able to continue to rely on state 911 revenues to pay for upgrades and modifications to local 911 systems, maintenance and operational support, and dispatcher training. Metro Cities supports state funding for technology and training necessary to provide the number and location of wireless and voice over internet protocol (VoIP) calls to 911 on computer screens and transmit that data to police, fire and first responders. 2-E 800 MHz Radio System Metro Cities urges the Legislature to provide cities with the financial means to obtain required infrastructure and subscriber equipment (portable and mobile radios) as well as provide funding for operating costs, since the prime purpose of this system is to allow public safety agencies and other units of government the ability to communicate effectively. Metro Cities supports the work of the Metropolitan Emergency Services Board (previously the Metropolitan Radio Board) in implementing and maintaining the 800 MHz radio system so long as cities are not forced to modify their current systems or become a part of the 800 MHz Radio System unless they so choose. 2-F Building Codes Thousands of new housing units as well as commercial and industrial buildings are constructed annually in the metropolitan area. The State Building Code (SBC) sets statewide standards for the construction, reconstruction, alteration, and repair of buildings and other structures governed by the code. A building code provides many benefits, including uniformity of construction standards in the building industry, consistency in code interpretation and enforcement, and life- safety guidance. Metro Cities supports an equitable distribution of fees from the Construction Code Fund, with proportional distribution based on the area of enforcement where fees were received. Metro Cities further supports efforts by the state, cities, and builders to collectively identify appropriate uses for the fund, including education, analysis of new materials and construction techniques, building code updating, building inspector training, and development of performance standards and identification of construction “best practices.” Metro Cities supports including the International Green Construction Code as an optional appendix to the State Building Code to allow cities to utilize appropriate parts of those guidelines in their communities. Metro Cities also supports adopting the international energy conservation code to the state building code without amendments. Metro Cities does not support legislative solutions that fail to recognize the interrelationships among builders, state building codes and cities. Metro Cities supports efforts to increase awareness of the potential impacts and benefits of requiring sprinklers in new homes and townhouses. Metro Cities supports discussion and 12 General Government 2023 Legislative Policies the dissemination of information on these impacts via the code adoption process through the Department of Labor and Industry. Metro Cities supports adopting and amending the State Building Code through the rulemaking process and opposes legislative changes to building codes absent unusual or extraordinary circumstances. As energy costs continue to rise, more attention must be paid to the poor energy efficiency of much of the existing housing stock as well as commercial and industrial buildings. Homes and other buildings that are energy inefficient are more costly to maintain and create added cost to ownership and occupancy. Making homes and buildings more energy efficient will make them more affordable to operate and will help the state achieve energy demand goals and will reduce greenhouse gas emissions. This includes supporting legislation to increase the efficiency of buildings on a pathway toward net zero energy. Metro Cities supports state funding and technical support for programs that provide support for property owners for weatherization and energy efficiency improvements, including programs available for local governments. While a single set of coordinated codes helps provide consistency in code administration and enforcement, implementation of sustainable building design, construction, and operation does not readily integrate with the existing state building and energy code system. As a result, many cities are interested in adopting stronger local standards for sustainable development and conservation. Metro Cities supports authorizing cities to employ stronger local standards for sustainable development and conservation that will help inform the state code development process. The state should include an optional sustainable appendix to the State Building Code to allow cities to utilize appropriate parts of guidelines in their communities. Metro Cities also supports the state adopting an advanced energy building standard for buildings within the State Building Code and allowing cities to adopt their own enhanced standards. 2-G Administrative Fines Traditional methods of citation, enforcement and prosecution have met with increasing costs to local units of government. The use of administrative fines is a tool to moderate those costs. Metro Cities supports the administrative fine authority that allows cities to issue administrative fines for defined local traffic offenses and supports further modifications to enhance functionality of this authority. Metro Cities continues to support cities’ authority to use administrative fines for regulatory ordinances such as building codes, zoning codes, health codes, and public safety and nuisance ordinances. Metro Cities supports the use of city administrative fines, at a minimum, for regulatory matters that are not duplicative of misdemeanor or higher-level state traffic and criminal offenses. Metro Cities also endorses a fair hearing process before a disinterested third party. 13 General Government 2023 Legislative Policies 2-H Residential Programs Sufficient funding and oversight is needed to ensure that residents living in residential programs have appropriate care and supervision and that neighborhoods are not disproportionately impacted by high concentrations of residential programs. Historically, federal and state laws have discouraged the concentration of residential group homes so as not to promote areas that reinforce institutional quality settings. Under current law, operators of certain residential programs are not required to notify cities when they intend to purchase single-family housing for this purpose. Cities do not have the authority to regulate the locations of residential programs. Cities have reasonable concerns about high concentrations of these facilities in residential neighborhoods, and additional traffic and service deliveries surrounding these facilities when they are grouped closely together. Municipalities recognize and support the services residential programs provide. However, cities also have an interest in preserving balance between residential programs and other uses in residential neighborhoods. Providers applying to operate residential programs should be required to notify the city when applying for licensure to be informed of local ordinance requirements as a part of the application process. Licensing agencies should be required to notify the city of properties receiving licensure to be operated as residential programs. Metro Cities supports changes to Minn. Stat. § 245A.11, subd. 4, to allow for appropriate non-concentration standards for all types of cities to prevent clustering. Metro Cities supports statutory modifications to require licensed agencies and licensed providers that operate residential programs to notify the city of properties being operated as residential programs. Metro Cities also supports the establishment of appropriate non-concentration standards for residential programs, to prevent clustering, and supports enforcement of these rules by the appropriate county agencies. 2-I Annexation Attempts have been made in recent years to reduce tensions between cities and townships in annexations. A Municipal Boundary Adjustment Task Force worked to develop recommendations regarding best practices annexation training for city and township officials to better communicate and jointly plan potential annexations. While the task force defined differences between cities and townships, no significant advancements were made in creating best practices. Metro Cities supports continued legislative efforts to develop recommendations regarding best practices and annexation training for city and township officials to better communicate and plan for potential annexations. Further, Metro Cities supports substantive changes to the state's annexation laws that will lead to better land use planning, energy conservation, greater environmental protection, fairer tax bases, clarification of fee reimbursement and fewer conflicts between townships and cities. Metro Cities also supports technical annexation changes that are agreed to by cities and townships. 14 General Government 2023 Legislative Policies 2-J Statewide Funding Sources for Local Issues with Regional Impact Many issues including, but not limited to, a metropolitan area groundwater monitoring network, emerald ash borer management, perfluoroalkyl and polyfluoroalkyl substances (PFAS/PFOS), and the cleanup of storm-water retention ponds, come with significant local costs, and have effects that reach beyond municipal boundaries. Metro Cities supports the availability of statewide funding sources to address local issues that have regional or statewide significance or are caused by state or regional actions. Metro Cities opposes any requirement to enact ordinances more restrictive than state law in exchange for access to these funds. 2-K Urban Forest Management Funding Urban forests are an essential local infrastructure component. Dutch elm disease, oak wilt disease, drought, storms, and emerald ash borer threaten public investments in trees and controlling these issues can be greatly consequential for city budgets. The Minnesota Department of Natural Resources, through its Urban and Community Forestry program, and the Minnesota Department of Agriculture, through its Shade Tree and Invasive Species program, have regulatory authority to direct tree sanitation and control programs. Although these programs allow for addressing some tree disease, pest, and other problems, funding has been inadequate to meet the need of cities to build capacity for tree programs and respond to catastrophic problems. Cities share the goal of the state’s Re-leaf Program – promoting and funding the inventory, planning, planting, maintenance, and improvement of trees in cities throughout the state. In addition, economic and environmental gains for storm water management, climate change mitigation, air quality management, tourism, recreation, and other benefits must be protected from tree loss. A lack of timely investment in urban forests costs cities significantly more in the long run. Metro Cities supports funding for a state matching grant program to assist cities with building and increasing capacity for urban forest management, meeting the costs of preparing for, and responding to, catastrophic urban forest problems and preventing further loss and increasing canopy coverage. Specifically, direct grants to cities are desperately needed for the identification, removal, replacement, and treatment of trees related to management of emerald ash borer (EAB). The state should establish an ongoing grant program with annual funding that is usable for those activities. 2-L Pollinator Habitat Resources Recent declines in the abundance of pollinator insects, such as bees and butterflies, have been identified by the United Nations Food and Agriculture Organization as a threat to food security, as these insects are an important method of plant pollination. According to the US Fish and Wildlife Service, the main threats facing pollinators are habitat loss, degradation and fragmentation. Pollinators lose food and nesting sites they need to survive when native vegetation is replaced by roadways, manicured lawns, crops and non-native gardens. This can have added detriment to pollinators that migrate. Research has shown that providing these insects 15 General Government 2023 Legislative Policies with more habitat can create the conditions for these insect populations to recover. Converting traditional grass lawns has been identified as way to increase pollinator habitat. The Minnesota Legislature created the Lawns to Legumes program, which provides grants to private homeowners to convert traditional lawns to pollinator friendly landscape. Metro Cities supports state funding for the Lawns to Legumes program and supports expanding eligibility of this program to cities. Metro Cities supports state funding to programs that create pollinator habitat on both public and private lands. 2-M Regulation of Harmful Substances and Products In metropolitan regions where most cities share boundaries with other cities, local bans of harmful drugs and substances such as synthetic drugs, which have been found to be dangerous, do not eliminate access to these products unless all cities take the same regulatory action. Metro Cities supports statewide regulation and prohibition of products or substances in circumstances where there is evidence that products present a danger to anyone who uses them, where there is broad local support for a ban and where corresponding regulatory issues have regional or statewide significance. In addition, the Legislature should provide for the regulation of products that are known to damage water quality, sewer collection, and storm and wastewater treatment systems, not just at the treatment and infrastructure maintenance levels, but at the consumer and manufacturing levels, through accurate labeling of products, public education, and recycling and re-use programs. 2-N Private Well Drilling Restriction Authority Cities are authorized to enact ordinances that disallow the placement of private wells within city limits to ensure both water safety and availability for residents and businesses. This authority is important for the appropriate management of local water supply conservation efforts. Municipal water systems are financially dependent upon users to operate and maintain the system. A loss of significant rate payers resulting from unregulated private well drilling would economically destabilize water systems and could lead to contamination of the water supply. Metro Cities supports current law authorizing cities to regulate and prohibit the placement of private wells within municipal utility service boundaries and opposes any attempt to remove or alter that authority. Metro Cities supports funding that can be used to cap private wells. 2-O Organized Waste Collection Cities over 1,000 in population are required by law to ensure all residents have solid waste collection available to them. A city can meet the statutory requirement by licensing haulers to operate in an open collection system, authorize city employees to collect waste, or implement organized collection through one or multiple haulers to increase efficiency, reduce truck traffic and control costs to residents. 16 General Government 2023 Legislative Policies Metro Cities supports current laws that allow cities to work with existing haulers to achieve the benefits of organized collection or investigate the merits of organized collection without the pressure of a rigid timeline and requirement to pass ‘an intent to organize’ at the beginning of the discussion process. Metro Cities opposes any legislation that would further increase the cost or further complicate the process cities are required to follow to organize waste collection or prohibit cities from implementing, expanding or using organized waste collection. Metro Cities supports state funding to local governments to increase the availability of material and organic recycling. 2-P Election Administration Cities play a critical role in managing and ensuring the integrity of elections. Any changes made to election laws should not place undue financial or administrative burdens on local governments. Metro Cities supports reimbursement by the state to local units of government for any costs associated with changes to election laws. Metro Cities supports laws to increase efficiencies in administering absentee ballots, to reduce the potential for errors and to improve absentee balloting processes. State laws that allow the filling of municipal vacancies by special election on one of four days specified in law, can create logistical and financial challenges for municipalities. Metro Cities supports changes to state laws that allow sufficient flexibility for municipalities in addressing vacancies in municipal offices. Metro Cities further supports: •Laws allowing in-person absentee voters to place their ballots in a secure tabulator,and statutory changes to allow this for the duration of absentee voting; •Establishing an earlier deadline for ending in-person absentee voting; •Revising absentee ballot regulations to allow any person 18 and older to witness theabsentee process and sign the envelope as a witness; and •Authorizing cities with health care facilities to schedule election judges to conductabsentee voting at an earlier date in health care facilities. 2-Q Utility Franchise Fees, Accountability and Cost Transparency Minnesota cities are authorized by Minn. Stat. 216B and Minn. Stat. § 301B.01 to require a public utility (gas or electric) that provides services to the city or occupies the public right of way within a city to obtain a franchise. Several metro area cities have entered agreements that require the utility to pay a fee to help offset costs of maintaining the right of way. Cities are also adopting energy policies that use renewable energy resources to light or heat 17 General Government 2023 Legislative Policies public facilities. Policies and programs have also been instituted in cooperation with the public utility franchisee to increase energy efficiency for all users. Cities also contract, at city expense, with public utilities to “underground” wires. State laws also require energy companies to provide more electric energy from renewable sources. The specific amounts vary by type of utility. Metro Cities supports state policies adopted by legislation or through rules of the Public Utility Commission that provide cities with the authority to include city energy policies and priorities in a franchise or similar agreement with a franchisee. Metro Cities supports greater accountability and transparency for city paid costs associated with underground utility and similar work performed by electric utilities as part of a local project. 2-R Water Supply Municipal water suppliers are charged with meeting the water supply needs of their communities and work to do so with safe, reliable, and cost-effective systems that are sustainable both for established cities and for all future growth. The aquifers in the metropolitan area cross municipal boundaries and therefore require a coordinated regional approach to planning for their future availability. Currently, approximately 75% of municipal water supply in the metropolitan area comes from groundwater. With proper management of the resource, the current water supply in the region is adequate; however, Metropolitan Council projections predict localized declines in aquifer availability due to population growth estimates if current usage levels are maintained. Regulation of water is complex and compartmentalized. Various agencies permit its use, plan for its availability, regulate stormwater, treat wastewater and protect the safety of water. To ensure that water supply remains adequate and sustainable across the region, we must understand how much water can be sustainably drawn from the aquifers and what effect increases in re-use, conservation and recharge can have on the sustainability and availability of both groundwater and surface water. Many of these strategies cross agency jurisdictions and will require improved coordination and cooperation. Municipal water suppliers have made significant infrastructure investments in their systems based on calculated water availability and DNR permits. Proposals to reduce the reliance on groundwater by switching municipal water systems from groundwater to surface water supplies will come with significant costs that could place excessive burdens on local resources. The outcomes and benefits of re-balancing the mix of groundwater and surface water use for specific municipalities and the region must be identifiable before any projects are undertaken. The sustainability of our water supply is an issue of regional and statewide significance and the expense of any necessary projects that benefit the region should not fall on individual cities. Any attempts to address water supply sustainability must also take into account all water users, including municipal water suppliers, industry, private wells, agriculture and contamination containment. The metropolitan region must consider the effects of groundwater use beyond the borders of the 18 General Government 2023 Legislative Policies metropolitan area on the region’s groundwater availability and the cost of treating contaminants in surface water that comes into the metropolitan area for use. Metro Cities supports the removal of barriers to wastewater and storm water re-use, improved inter-agency coordination, clarifying the appropriate roles of local, regional and state governments with respect to water, streamlining and consolidating permit approval processes and the availability of statewide resources to plan for and ensure the future sustainability of water supply in the metropolitan area. Metro Cities also encourages the Metropolitan Council, in consultation with municipalities, to find ways to re-use wastewater and to develop other strategies to improve conservation. Metro Cities supports state funding for costs associated with converting water supply from groundwater to surface water and funds to encourage and promote water conservation as a strategy to improve water sustainability and to improve and protect water quality. 2-S Regulation of Massage Therapists In the absence of statewide regulation for massage therapy practitioners, many cities have enacted local ordinances that require massage therapists to obtain a local professional license to assist law enforcement in differentiating between legitimate providers and illegitimate businesses fronting as massage therapy establishments. Metro Cities supports statewide registration or licensure of massage therapists to aid local law enforcement efforts in this area. Metro Cities supports cities’ ability to continue to license massage therapy businesses. 2-T Peace Officer Arbitration Reform Many municipalities in the metropolitan area provide law enforcement services and employ licensed peace officers. To ensure the public’s safety and trust, and to strengthen collaboration between citizens and peace officers, cities must have the authority to effectively govern local law enforcement agencies. City officials are ultimately responsible for the safety and protection of the local community. Metro Cities supports statutory arbitration reforms to allow for the discipline, including removal, of law enforcement officers who have been found to have violated local law enforcement agency policies. Metro Cities further supports a reasonable standard of review in law enforcement arbitration cases, which would limit the determination of arbitrators to whether the actions of an employer were reasonable and consistent with city and agency policies. Metro Cities further supports using administrative law judges (ALJs) or arbitration to address grievances and discipline related to police misconduct. 2-U Public Safety Training and Resources Metro Cities acknowledges that the tasks public safety responders have been asked to address 19 General Government 2023 Legislative Policies are increasingly the result of inadequate social services and programs. Metro Cities recognizes the need for adequate resources for social service and mental health services and programs to help reduce the need for public safety responders to perform these services. Metro Cities supports state funding for public safety responders training, including training for crisis management, cultural awareness and implicit bias, mental health and de-escalation, and supports funding for equipment such as body cameras. Metro Cities supports state funding for public safety innovation at the local level. This could include funding for imbedded social workers or mental health crisis response. 2-V Race Equity In the seven-county metropolitan region, people of color represent 28% of the population, and this percentage is expected to grow to 44% by 2050, according to the current population forecast from the Metropolitan Council. As racial and ethnic diversity increases in the region, people of color continue to experience significant barriers in housing, employment, criminal justice, public infrastructure, health, and education, and disparities are becoming more apparent with the COVID-19 pandemic and civil unrest that is occurring in many communities. Across the metropolitan region, many cities are working to examine local policies and systems, to revise the delivery of public services, and to allocate resources to help advance race equity. All levels of government as well as the nonprofit and business sectors have roles to play in addressing race inequities and must work collaboratively to ensure that services and resources are considered, designed and implemented in a comprehensive, purposeful, informed and inclusive way to achieve race equity. Metro Cities supports: •An examination and revision of existing state, regional, county and city laws,ordinances and policies to address racial disparities; •State, regional, county and city resources to assist with comprehensive datacollection, disaggregation and sharing to ensure informed policy and fundingdecisions at all levels of government; •Funding to assist in the development of tools and resources that advance raciallyequitable outcomes; •Activating partnerships among state, regional, and local governmental institutionsand other entities to advance race equity. 2-W Street Racing Street racing is an issue of increasing concern for cities across the metropolitan region. This activity is 20 General Government 2023 Legislative Policies highly mobile, is strongly associated with other illegal activity and poses significant public safety risks for participants, third-party observers, and the general public. Metro Cities supports modifications to state laws to prohibit street racing and activities associated with promoting and undertaking the activity of street racing. Specifically, Metro Cities supports statutory changes that address the activity and associated risks posed by street racing, sliding, and drifting. These could include penalties such as license suspension, minimum impoundment periods, and vehicle forfeiture. Metro Cities supports state funding to help prevent and respond to street racing activity. This could include funding for State Patrol air supports and funding for costs, including overtime, associated with targeted law enforcement saturations and Toward Zero Deaths initiatives. Metro Cities also supports state resources to increase the Bureau of Criminal Apprehension’s intelligence gathering capabilities and to enhance existing coordination efforts among law enforcement agencies. Metro Cities further recognizes the importance and value of diversion programs that emphasize behavior modifications, which can help curb illegal activity and minimize recidivism. 2-X Carjacking The crime of carjacking has increased significantly in the metropolitan region, with serious consequences for individual and community public safety. Metro Cities supports the consideration by the Legislature of statutory changes to address the severity of this crime. This includes state funding to help state and local law enforcement agencies prevent and respond to carjacking. This could include funding for State Patrol air supports and for costs, including overtime, associated with targeted law enforcement saturations. Metro Cities also supports state resources to increase the Bureau of Criminal Apprehension’s intelligence gathering capabilities and to enhance existing coordination efforts among law enforcement agencies. Metro Cities further recognizes the importance and value of diversion programs that emphasize behavior modifications, which can help curb illegal activity and minimize recidivism. 2-Y Catalytic Converter Theft Catalytic converter thefts have increased significantly across the metropolitan region and state. Stolen catalytic converters are sold to scrap metal dealers because they contain precious metals like platinum, palladium, and rhodium. Catalytic converter thefts have consequences for both individual and community public safety. Metro Cities supports statutory changes making it illegal to be in possession of one or more catalytic converters unless an individual can show that it belongs to a vehicle they own, or they can provide a legal receipt of the catalytic converter from the vehicle owner. Metro Cities further supports statutory changes making it illegal for a scrap metal dealer to purchase a 21 General Government 2023 Legislative Policies catalytic converter from any person other than a legitimate automobile recycling facility or an individual who can provide evidence of the catalytic converter’s lawful removal. 22 2023 Legislative Policies Housing & Economic Development Policies 3-A to 3-J: Introduction While the provision of housing is predominantly a private sector, market-driven activity, all levels of government – federal, state, regional and local – have a role in facilitating the production and preservation of affordable housing in Minnesota. Adequate affordable housing is a significant concern for the metropolitan region and effective approaches require participation from all levels of government, the private sector, and nonprofit groups. 3-A City Role in Housing Cities in Minnesota are responsible for most ground-level housing policy, including land use planning, code enforcement, rental licensing, and often the packaging of multi-level financial incentives. Cities are responsible for ensuring local health and safety and the structural soundness and livability of the local housing stock through building permits and inspections. Cities are charged with providing public infrastructure to serve current and future residents and must assess the effects of a new development on parks, local roads, water, sanitary sewer, and stormwater capacities to ensure that additional needs for infrastructure are assumed by the new development and not current taxpayers. It is the city that assumes the future financial responsibility, management, and maintenance for improvements and infrastructure after a developer has completed a project. It is also the responsibility of cities to periodically review local requirements such as land use regulations and ordinances, and make long range plans consistent with state statute, to ensure that they are consistent with these purposes. While local government financial resources constitute a relatively small portion of the total costs of providing housing, many cities take on a significant administrative burden by providing financial incentives and regulatory relief, participating in state and regional housing programs, and supporting either local or countywide housing and redevelopment authorities and community development agencies. When a developer seeks to advance a development proposal that does not meet straight housing and mixed-use zoning codes and requirements, the developer may request a planned unit development (PUD) agreement with a city. PUDs, where appropriate, can provide zoning flexibility to develop a site that is otherwise not permitted by a city code. The use of PUDs may allow for more variety and creativity in land uses, increased density on a site, internal transfers of density, construction phasing, reduced setbacks, and a potential for lower development costs. In the interest of adhering to local long-range plans and managing local health, safety, viability, and welfare needs, a city may request certain public benefits from a developer, including but not limited to additional open space, preservation of wooded land and environmentally sensitive areas, landscaping along major roadways, providing a mix of housing types, and enhanced design and landscaping features. Cities may also provide a developer with credit for investments in public infrastructure greater than would be minimally required, including water, sanitary sewer, stormwater, or road infrastructure. 23 Housing & Economic Development 2023 Legislative Policies Metro Cities strongly opposes any effort to reduce, alter or interfere with cities’ authority to carry out these functions in a locally determined manner. Metro Cities supports exceptions to the land use timelines in Minn. Stat. § 15.99 in the event of extenuating local and state circumstances. Metro Cities supports local authority determination when exercising the use of exceptions, recognizing projects may be in different stages of approval. If a state of emergency limits the ability of city staff to complete a land use review, it should not result in de facto approval of an application. 3-B City Role in Affordable and Life Cycle Housing Metro Cities supports housing that is affordable and appropriate for people at all stages of life. A variety of housing opportunities are important to the economic and social well-being of local communities and the metropolitan region. The region faces challenges in meeting the existing and future housing needs of low and moderate-income residents. Existing housing stock is aging, with roughly half older than 40 years old, according to the U.S. Census Bureau. Older housing stock can be more affordable; however, it requires investments to remain viable. Private investors have purchased subsidized and unsubsidized rental units, made improvements, and charged higher rents that have made access to previously affordable units prohibitive for low and moderate-income residents. This investor ownership has converted owner-occupied houses to rental houses, which has impacted the ability of lower-income renters to become homeowners and build wealth. Neighbors and cities have seen a lack of investment in these rental homes that has led to the deterioration of the housing stock. The Metropolitan Council has projected the region will add nearly 35,000 households between 2021 and 2030 that will need affordable housing and require a subsidy of $5 billion to meet the needs of households earning up to 50 percent area median income. Cities should work with the private and nonprofit sectors, counties, state agencies and the Metropolitan Council to ensure the best use of new and existing tools and resources to produce new housing and preserve existing affordable housing. Cities can facilitate the production and preservation of affordable and life cycle housing by: •Applying for funding from available grant and loan programs; •Using city and county funds to support affordable housing. This can include creating alocal or regional housing trust fund to support affordable housing; •Providing information, encouraging participation and incentivizing participation in theSection 8 Housing Choice Voucher program to landlords; •Working with developers and residents to blend affordable housing into new and existingneighborhoods, including locations with access to amenities and services; •Working with the state and Metropolitan Council to recognize the relationship between 24 Housing & Economic Development 2023 Legislative Policies housing and mobility options, including transit and pedestrian routes; •Periodically examining local requirements, policies and review processes to determinetheir impacts on the construction of affordable housing; •Considering criteria under which a city may change its fee structure in support ofadditional affordable housing; •Supporting housing options that meet a city’s current and future demographics, includingfamily size, age, mobility, and ability levels; •Supporting housing design that is flexible, accessible and usable for residents with variedabilities at multiple stages of life; •Supporting housing with supportive services for people with disabilities; •Employing innovative strategies to advance affordable housing needs such as public- private partnerships or creative packaging of regulatory relief and incentives; •Using available regulatory mechanisms to shape housing communities; •Recognizing the inventory of subsidized and unsubsidized (naturally occurring)affordable housing; •Tracking the impacts on the housing market of investor-owned homes and enacting local strategies and policies that support home purchases by ownerswho reside in the homes; •Supporting state solutions to provide cities with tools to mitigate any negativeimpacts on city housing stock and prospective homebuyers due to investor- owned purchasing of homes; and •Working collaboratively with buyers and sellers of naturally occurring affordable housingto retain affordability. 3-C Inclusionary Housing While Metro Cities believes there are cost savings to be achieved through regulatory reform, density bonuses as determined by local communities, and fee waivers, Metro Cities does not believe a mandatory inclusionary housing approach can achieve desired levels of affordability solely through these steps. Several cities have established local inclusionary housing policies, in some cases requiring the creation of affordable units if the housing development uses public financial assistance or connecting the policy to zoning and land use changes. The Metropolitan Council, in distributing the regional allocation of housing need, must recognize both the opportunities and financial limitations of cities. The Council should partner with cities to 25 Housing & Economic Development 2023 Legislative Policies facilitate the creation of affordable housing through direct financial assistance and/or advocating for additional resources through the Minnesota Housing Finance Agency. Metro Cities supports the location of affordable housing in residential and mixed-use neighborhoods throughout a city. Metro Cities supports a city’s authority to enact its own inclusionary housing policy. However, Metro Cities does not support passage of a mandatory inclusionary housing state law imposed on local governments that would require a certain percentage of units in all new housing developments to be affordable to households at specific income levels. 3-D Metropolitan Council Role in Housing The Metropolitan Council is statutorily required to assist cities with meeting the provisions of the Land Use Planning Act (LUPA) under Minn. Stat. § 473. The LUPA requires cities to adopt sufficient standards, plans and programs to meet their local share of the region’s overall projected need for low and moderate-income housing. The Council’s responsibilities include the preparation and adoption of guidelines and procedures to assist local government units with accomplishing the requirements of the LUPA. The Metropolitan Council also offers programs and initiatives to create affordable housing opportunities, including the Livable Communities Act programs and operation of a metropolitan housing and redevelopment authority. Unlike parks, transit and wastewater, housing is not a statutory regional system. The Metropolitan Council’s role, responsibilities and authority are more limited in scope, centered on assisting local governments by identifying the allocation of need for affordable housing, projecting regional growth and identifying available tools, resources, technical assistance and methods that cities can use to create and promote affordable housing opportunities in their communities. The Metropolitan Council should work in partnership with local governments to ensure that the range of housing needs for people at various life cycles and incomes can be met. Metro Cities opposes the elevation of housing to “Regional System” status. Metro Cities supports removing the Metropolitan Council’s review and comment authority connected to housing revenue bonds under Minn. Stat. § 462C.04. In 2014, the Metropolitan Council released a housing policy plan, the first of its kind in nearly 30 years. A housing policy plan should include defined local, regional, and state roles for the provision of housing in all sectors, identify the availability of and need for tools and resources for affordable and life-cycle housing, be explicit in supporting partnerships for the advocacy for state and federal resources for housing, and encompass policies, best practices, and technical guidance for all types of housing. A plan should also recognize the diversity in local needs, characteristics, and resources. Metro Cities supports strategies such as regional and sub-regional cooperation and the sharing of best practices among local governments and other entities and partners to address the region’s affordable housing needs. 26 Housing & Economic Development 2023 Legislative Policies A policy plan should allow for ongoing research and analysis by the Metropolitan Council to provide communities with timely and updated information on regional and local housing needs and market trends as regional and local needs change and evolve. Metro Cities supports the solicitation and use of local data, inputs and analyses and local governments’ review of such data. Metro Cities supports continued city representation in any updated or new regional housing policy plan and other regional housing policy considerations. 3-E Allocation of Affordable Housing Need The affordable housing need allocation methodology determines the number of needed affordable housing units for the metropolitan region and distributes the need by assigning each city its fair share through an affordable housing need number. Minn. Stat. § 473.859 requires cities to guide sufficient land to accommodate local shares of the region’s affordable housing need. Metro Cities supports additional Metropolitan Council resources to assist cities in meeting cities’ share of the region’s affordable housing needs. Metro Cities supports the creation of a variety of housing opportunities. However, the provision of affordable and lifecycle housing is a shared responsibility between the private sector and government at all levels, including the federal government, state government and Metropolitan Council. Land economics, construction costs, labor costs, and infrastructure needs create barriers to the creation of affordable housing that cities cannot overcome without assistance. Therefore, Metro Cities supports a Metropolitan Council affordable housing policy and allocation of need methodology that recognizes the following tenets: •Regional housing policies characterize individual city and sub-regional housingnumbers as a range of needs in the community; •Cities need significant financial assistance from the federal and state government,as well as the Metropolitan Council, to make progress toward creating additionalaffordable housing and preserving existing affordable housing; •Metropolitan Council planning and policies must be more closely aligned to helpensure that resources for transportation and transit are available to assist communities inaddressing their local share of the regional affordable housing need and to ensurethat all populations have adequate mobility to reach jobs, education and otherdestinations regardless of where they live; •The Metropolitan Council will not hold cities responsible if a city does not meet itsaffordable housing need number. However, efforts to produce affordable housing maybe considered when awarding grants; •The Metropolitan Council, with input by local government representatives, shouldexamine the allocation of need methodology with respect to the relationship between 27 Housing & Economic Development 2023 Legislative Policies the regional allocation and the local share of the need. The formula should also be routinely evaluated to determine if market conditions have changed or if underlying conditions should prompt readjustment of the formula; •The Council should use a methodology that incorporates data accumulated byindividual cities and not limited to census driven or policy driven growthprojections; •The formula should be adjusted to better reflect the balance and breadth ofexisting subsidized and naturally occurring affordable housing stocks; and •The Council should work with local governments through an appeals process inorder to resolve any local issues and concerns with respect to the needallocations. 3-F Housing Policy and Production Survey The Metropolitan Council calculates a city’s housing production annually. Production information is collected through an annual city survey as well as Council data. Cities participating in Livable Communities are required to include their housing action plan and ALHOA funding amounts in their survey responses. Beginning in 2022 the Council will compile the data in a report to share city practices and funding sources that support the creation of new affordable housing units. Metro Cities supports a regular review of the survey questions and use of data, with city input. Any proposed new, deleted, or expanded uses or programs in which data from the Housing Policy and Production Survey would be used should be reviewed by local officials and Metro Cities. Metro Cities supports a consistent schedule for sending the annual housing production survey to cities. 3-G State Role in Housing The state must be an active participant in providing funding for housing, including direct funding, financial incentives, and initiatives to assist local governments and developers to support affordable housing and housing appropriate for people at all stages of life. State funding is a major and necessary component for the provision of housing. Current resource levels are insufficient to meet the spectrum of needs in the metropolitan region and across the state. Primarily through programs administered by the Minnesota Housing Finance Agency (MHFA), the state establishes the general direction and prioritization of housing issues, and financially supports a variety of housing, including transitional housing, privately and publicly-owned housing, supportive housing, senior housing, workforce housing, and family housing. Minnesota’s low-income rental property classification, commonly known as class 4d, allows landlords to certify qualifying low-income rental property. The state must continue to be an active partner in addressing life cycle and affordable housing needs. Workforce housing is generally defined as housing that supports economic development and job 28 Housing & Economic Development 2023 Legislative Policies growth and is affordable to the local workforce. A statewide program, administered through the Minnesota Housing Finance Agency, supports workforce homeownership efforts in the metropolitan area. State policies and funding should recognize that affordable housing options that are accessible to jobs and meet the needs of a city’s workforce are important to the economic competitiveness of cities and the metro region. In addition, significant housing related racial disparities persist in Minnesota, especially as it relates to the percentage of households of color who pay more than 30 percent of their income in housing costs and as it relates to the significant disparity gap in homeownership rates. Metro Cities supports: •Increased, sustainable and adequate state funding for new and existing programs that support life cycle, workforce and affordable housing, address homeownership disparities, address foreclosure mitigation, address housing for families with children, and support senior, transitional and emergency housing for the metro region; •A state match for local and regional housing trust fund investments and local policies in support of affordable housing. State funds should be issued on a timeline that works with a city’s budget process; •Private sector funding for workforce housing; •Housing programs that assist housing development, preservation and maintenance of existing housing stock, including unsubsidized, naturally occurring affordable housing that is affordable to residents throughout the low-to-moderate income range; •State funded housing programs, including housing assistance, to help with affordability; •Housing programs designed to develop market rate housing in census blocks with emerging or high concentrations of poverty, where the private market might not otherwise invest, as a means of creating mixed-income communities and reconciling affordable housing with community development goals; •Continuing the policy of using the Minnesota Housing Finance Agency’s investment earnings for housing programs; •City input into state legislation and administrative policies regarding distribution of tax credits and tax-exempt bonding; •Exemptions from, or reductions to sales, use and transaction taxes applied to the development and production of affordable housing; •Consideration of the use of state bond proceeds and other appropriations for land banking, land trusts, and rehabilitation and construction of affordable housing; •Programs that help avoid foreclosures, improve homeownership rates and reduce 29 Housing & Economic Development 2023 Legislative Policies racial disparities through homeownership assistance programs and counseling services, including down payment assistance and pre-purchasing counseling to improve financial wellness and inform homeowner and potential homeowners of their rights, options, and costs associated with owning a home; •State tenant protection policies as well as a city’s ability to enact tenant protectionsto support access to affordable housing and housing stability for tenants; •Housing stability for renters through policies that mitigate the impact of or reduces the number of evictions filed; •Policies that encourage public housing authorities and owners of federally assisted housing to consider a holistic approach to selecting tenants during the application and screening process, and avoid excluding tenants solely based on criminal records; •Exploring best practices toward increased housing affordability for residents, housing maintenance standards and providing quality housing for residents. Cities should work with rental housing owners and operators when establishing best practices; •Preserving the state 4d low-income property tax classification which provides a property tax benefit to qualifying low-income rental properties. Metro Cities supported a 2021 Department of Revenue evaluation and report of the 4d low- income property tax classification to determine how program changes could affect renters, landlords and property taxpayers. Metro Cities opposes any changes to the 4d program that substantially increases the tax responsibility for residents and businesses or increases the tax benefit for landlords without including increased benefits for renters of 4d units including but not limited to deeper affordability or property reinvestment. Metro Cities supports the implementation of a reporting process for landlords and a sunset period for any changes made to the program to evaluate the range of impacts that expanding the program may have; •An affordable housing tax credit to help spur construction and secure additional private investment. This incentive could be used in conjunction with city, regional, or other state incentives; and •Maintaining existing municipal authority to establish a housing improvement area (HIA). If the Legislature grants multi-jurisdictional entities the authority to create HIAs, creation of an HIA must require municipal approval. 3-H Federal Role in Affordable and Workforce Housing Federal funding plays a critical role in aiding states and local governments in their efforts to maintain and increase affordable and workforce housing. Providing working families access to housing is an important piece to the economic vitality of the region. Metro Cities encourages the federal government to maintain and increase current levels of 30 Housing & Economic Development 2023 Legislative Policies funding for affordable and workforce housing. Federal investment in affordable and workforce housing will maintain and increase the supply of affordable and life cycle housing as well as make housing more affordable through rental assistance programs such as the Section 8 housing choice voucher program. In July 2015, the U.S. Department of Housing and Urban Development (HUD) released a final rule on affirmatively furthering fair housing (AFFH) with an aim to provide communities that receive HUD funding with clear guidelines to meet their obligation under the Fair Housing Act of 1968 to promote and reduce barriers to fair housing and equal opportunity. HUD has since provided new guidance to comply with the AFFH rule. Opportunity Zones is a community development program established by Congress in the Tax Cuts and Jobs Act of 2017 to encourage long-term investments in low-income urban and rural communities nationwide. The Opportunity Zones program provides a tax incentive for investors to re-invest their unrealized capital gains into Opportunity Funds that are dedicated to investing into Opportunity Zones. The tax incentive is available for up to ten years. 128 census tracts were designated as Opportunity Zones in 2018. The United States Treasury released rules on April 17, 2019 which provide guidance and clarification for investors and fund managers. It is anticipated that the Act may be a useful tool in spurring development in low- income communities and could help with business development and jobs. There are also questions about what impact the Act will have on the residents that live and businesses that operate in these communities today. For example, while development may have positive impacts such as increasing tax base or job opportunities, robust development could have unintended consequences such as displacement of current residents and businesses. Metro Cities urges the federal government to seek regular input from communities, especially from individuals and businesses within Opportunity Zones, regarding how the tool is being used, whether the tool is encouraging new development opportunities, and how community members who live in the Zones are impacted. The State of Minnesota should utilize community development resources to stimulate investment in Opportunity Zones and adopt policies that ensure that local residents, workers and businesses benefit from the investments. Metro Cities supports: •Preserving and increasing funding for the Community Development Block GrantProgram (CDBG) and the federal HOME program that are catalysts for creatingand preserving affordable housing; •Preserving and increasing resources and incentives to sustain existing publichousing throughout the Metro Area; •Maintaining the federal tax credit program to help spur construction and secureadditional private investment, including making the four percent Low Income HousingTax Credit a fixed rate as was done with the nine percent credit in 2015; 31 Housing & Economic Development 2023 Legislative Policies •Creating and implementing a more streamlined procedural method for local units ofgovernment to participate in and access federal funding and services dealing withgrants, loans, and tax incentive programs for economic and community developmentefforts; •Additional resources to assist communities to meet obligations to reduce barriers toand promote fair housing and equal opportunity; •Maintaining and increasing resources to Section 8 funding and to support incentivesfor rental property owners to participate in the program; •Federal funding programs for renters with limited income or fixed income; •Rental increase caps when the rent increase exceeds a 5-year running average; and •Federal funding to provide short-term assistance for HRAs to facilitate the sale oftax-exempt bonds. 3-I Vacant, Boarded, and Foreclosed Properties and Properties at Risk Abandoned residential and commercial properties can harm communities when vacant buildings result in reduced property values and increased crime. The additional public safety and code enforcement costs of managing vacant properties are a financial strain on cities. Metro Cities supports solutions to vacant and boarded properties that recognize: •Prevention is more cost effective than a cure; •The causes of this problem are many and varied, thus the solutions must be as well;and •It is not simply a “city” problem so cities must not be expected to bear the bulk ofthe burden of mitigation. Further, Metro Cities supports: •Registration of vacant and boarded properties; •Allowing cities to acquire vacant and boarded properties before deterioration andvandalism result in unsalvageable structures, including providing financial toolssuch as increasing eminent domain flexibility; •Improving the ability of cities to recoup the increased public safety, management,and enforcement costs related to vacant properties; •Improvement of the redemption process to provide increased notification to renters, 32 Housing & Economic Development 2023 Legislative Policies strengthen the ability of homeowners to retain their properties, and reduce the amount of time a property is vacant; •Expedition of the tax forfeiture process; •Increasing financial tools for neighborhood recovery efforts, including taxincrement financing; and •Year-round notification by utility companies of properties not receiving utilityservice. 3-J Housing Ordinance Enforcement A Minnesota State Supreme Court ruling, Morris v. Sax, stated that provisions of the city of Morris’ rental housing code were invalid because there were subjects dealt with under the state building code and the city was attempting to regulate these areas “differently from the state building code.” Minn. Stat. § 326B.121, subdivision 1 states: “The State Building Code is the standard that applies statewide for the construction, reconstruction, alteration, repair, and use of buildings and other structures of the type governed by the code. The State Building Code supersedes the building code of any municipality.” Subdivision 2 states: “A municipality must not by ordinance, or through development agreement, require building code provisions regulating components or systems of any structure that are different from any provision of the State Building Code. This subdivision does not prohibit a municipality from enacting or enforcing an ordinance requiring existing components or systems of any structure to be maintained in a safe and sanitary condition or in good repair, but not exceeding the standards under which the structure was built, reconstructed, or altered, or the component or system was installed, unless specific retroactive provisions for existing buildings have been adopted as part of the State Building Code. A municipality may, with the approval of the state building official, adopt an ordinance that is more restrictive than the State Building Code where geological conditions warrant a more restrictive ordinance. A municipality may appeal the disapproval of a more restrictive ordinance to the commissioner.” Metro Cities supports the ability of cities to enforce all housing codes passed by a local municipality to maintain its housing stock. 3-K Economic Development, Redevelopment and Workforce Readiness The economic viability of the metropolitan area is enhanced by an array of economic development tools that create infrastructure, revitalize previously developed property, provide incentives for business development, support technological advances, support a trained workforce, and address disparities in economic development and workforce development. It should be the goal of the state to champion development and redevelopment by providing adequate and sustainable funding to assure competitiveness in a global marketplace. The state 33 2023 Legislative Policies Housing & Economic Development should recognize the relationship between housing and economic development. Access to affordable child care supports working families and allows parents to enter or remain in the workforce. Economic development and redevelopment are not mutually exclusive – some projects require a boost on both counts. The State of Minnesota should recognize cities as the primary unit of government responsible for the implementation of economic development, redevelopment policies, and land use controls. 3-K (1) Economic Development For purposes of this section, economic development is defined as a form of development that can contain direct business assistance, infrastructure development, technical assistance, and policy support with the goal of sustainable job creation, job retention, appropriate state regulation or classification, or to nurture new or retain existing industry in the state. The measure of return on investment of public business subsidies should include the impact (positive or negative) of “spin-off development” or business development that is ancillary and supportive of the primary business. A strength of the regional economy is its economic diversity. Multiple industry clusters and sectors employ a specialized, trained workforce and support entrepreneurs in developing new businesses. Partnerships and collaborations among the state and local levels of government, higher education and industry should continue to develop, to commercialize new technologies and to support efforts to enhance the economic vitality of the region. While cities are the unit of local government primarily responsible for the implementation of economic development, counties have an interest in supporting local economic development efforts. Any creation of a county CDA, EDA or HRA with economic development powers should follow Minn. Stat. § 469.1082 that requires a city to adopt a resolution electing to participate. Cities can work with the public and private sectors to support the region’s economic growth by reducing barriers to economic participation by people of color. Metro Cities supports state funded programs that support new and expanding businesses, infrastructure development and public-private partnerships. This includes the Minnesota Investment Fund, Job Creation Fund and Angel Tax Credit. Programs using statewide funding should strive to award funds balanced between the metro region and greater Minnesota. Metro Cities supports competitive funding for statewide grant programs such as the Minnesota Investment Fund (MIF) as opposed to direct legislative appropriations for projects from these funds. Metro Cities supports a percentage of MIF loan repayments to cities. The state should provide administrative support and technical assistance to cities that administer these programs. Applications for state MIF funds should allow a city to indicate support for a MIF grant or a loan. Metro Cities supports economic tools that facilitate job growth without relying solely on the property tax base; green job development and related innovation and entrepreneurship; programs to support minority business start-ups; small business financing tools including a state new markets tax credit program mirrored on the federal program; tools to attract and retain data centers and other IT facilities; access to affordable child care; and maintaining existing municipal authority to establish a special 34 Housing & Economic Development 2023 Legislative Policies service district (SSD). Metro Cities supports further study of allowing mixed-use buildings that have both commercial and residential uses to be included in an SSD. 3-K (2) Redevelopment Redevelopment facilitates the re-use of previously developed land, thereby leveling the playing field between greenfield and brownfield sites so that a developer can choose to locate on land that has already been used. Redeveloping properties supports community vibrancy and revitalization. Redevelopment increases the local property tax base, increases land values, provides more efficient use of new or existing public infrastructure (including public transit), reduces urban sprawl, and enhances the livability of neighborhoods. Jobs are created three times – at demolition and cleanup, during construction, and ongoing jobs tied to the new use. Redevelopment may occur on non-polluted land or on brownfields. Brownfields are abandoned, idled, or underused industrial and commercial properties where financing or redevelopment is complicated by actual or suspected environmental contamination. Federal, state, regional and local governments fund investigation and cleanup of blighted or other brownfield properties that allows for redevelopment without risking human health or potential environmental liabilities. Correcting and stabilizing polluted soils and former landfill sites allows cities to redevelop and reuse properties. For many cities in the metropolitan region, redevelopment is economic development. Metro Cities supports increased funding from federal, state and regional sources. The Metropolitan Council’s Livable Communities Act programs fund redevelopment activities that support cleanup and tax base revitalization. Metro Cities supports allowing a maximum levy amount for this program, as provided under law. Metro Cities supports increased and sustained state funds for DEED-administered programs like the Redevelopment Grant and Demolition Loan Program, dedicated to metropolitan area projects, innovative Business Development Public Infrastructure grants, as well as increased, flexible and sustained funding for the Contamination Cleanup and Investigation Grant Program. The expansion of transit service throughout the region brings opportunity for redevelopment and transit-oriented development (TOD). Metro Cities supports financing, regulatory tools and increased flexibility in the use of Tax Increment Financing (TIF) to nurture TOD. Metro Cities supports funding Transit Improvement Areas (TIAs) and ensuring that the eligibility criteria encourage a range of improvements and infrastructure and accommodate varying city circumstances and needs. Metro Cities supports expansion of existing tools or development of new funding mechanisms to correct unsuitable soils as well as city authority to redevelop land previously used as landfills and dumps. If a city receives initial approval from a state regulatory authority, a city’s redevelopment project approval should be considered final. Local governments and cities may choose to revitalize historic structures rather than construct new buildings. Metro Cities supports extension of the sunset of the state income tax credit and 35 Housing & Economic Development 2023 Legislative Policies maintaining the federal tax credit for preservation of historic properties. Metro Cities supports collection of the state refund for the historic expenditures over one year. Metro Cities supports state funding to allow cities and/or their development authorities to assemble small properties so that business expansion sites will be ready for future redevelopment. 3-K (3)Workforce Readiness A trained workforce is important to a strong local, regional, and state economy. Cities have an interest in the availability of qualified workers and building a future workforce based on current and future demographics, as part of their economic development efforts. Cities can work with the public and private sectors to address workforce readiness to include removing barriers to education access, addressing racial disparities in achievement and employment gaps, addressing the occupational gender gap, and support training and jobs for people with disabilities. The state has a role to prepare and train a qualified workforce through the secondary, vocational, and higher education systems and job training and retraining programs in the Department of Employment and Economic Development (DEED), including youth employment programs. Metro Cities supports: •Increased funding for the Job Skills Partnership, youth employment programs andother workforce training programs administered by the state that lead to jobs thatprovide a living wage and benefits, support workers of all abilities, and help address racial disparity gaps in employment; •Innovative workforce programs and partnerships that foster workforce readinessfor a full range of jobs and careers, including skilled municipal jobs and currenthigh opportunity areas such as manufacturing and construction; •Investments in programs that address the gender wage gap, including training forwomen to enter nontraditional careers; •A payroll tax credit for job training programs that invest in employees; and •A city’s authority to tie workforce requirements to local public finance assistance. 3-L Tax Increment Financing (TIF) Tax Increment Financing (TIF) continues to be the primary tool available for local communities to assist economic development, redevelopment, and housing. Over time, statutory changes have made this critical tool increasingly difficult to use. At the same time, federal and state development and redevelopment resources have been steadily shrinking. The cumulative impact 36 Housing & Economic Development 2023 Legislative Policies of TIF restrictions, shrinking federal and state redevelopment resources and highly restrictive eminent domain laws constrain cities’ abilities to address problem properties, which leads to an accelerated level of decline of developed cities in the metropolitan area. Thus, the only source of revenue available to accomplish the scope of redevelopment necessary is the value created by the redevelopment itself, or the “increment.” Without the use of the increment, development will either not occur or is unlikely to be optimal. Metro Cities urges the Legislature to: •Not adopt any statutory language that would further constrain or directly or indirectly reduce the effectiveness of TIF; •Not adopt any statutory language that would allow a county, school district orspecial taxing district to opt out of a TIF district; •Incorporate the Soils Correction District criteria into the Redevelopment District criteria so that a Redevelopment District can be comprised of blighted and contaminated parcels in addition to railroad property; •Expand the flexibility of TIF to support a broader range of redevelopment projects; •Amend MN Statutes to clarify that tax increment pooling limitations are calculated on a cumulative basis; •Increase the ability to pool increments from other districts to support projects; •Continue to monitor the impacts of tax reform on TIF districts and if warranted provide cities with additional authority to pay for possible TIF shortfalls; •Allow for the creation of transit zones and transit-related TIF districts in order to shape development and related improvements around transit stations but not require the use of TIF districts to fund the construction or maintenance of the public transit line itself unless a local community chooses to do so; •Allow TIF eligibility expansion to innovative technological products, recognizingthat not only physical items create economic value; •Support changes to TIF law that will facilitate the development of “regional projects”; •Shift TIF redevelopment policy away from a focus on “blight” and “substandard” to “functionally obsolete” or a focus on long range planning for a particular community, reduction in greenhouse gases or other criteria more relevant to current needs; •Encourage DEED to do an extensive cost-benefit analysis related to redevelopment, including an analysis of the various funding mechanisms, and an analysis of where the cost burden falls with each of the options compared to the distribution of the benefits 37 Housing & Economic Development 2023 Legislative Policies of the redevelopment project; •Support TIF for neighborhood recovery efforts in the wake of the foreclosure crisis; •Consider creating an inter-disciplinary TIF team to review local exception TIFproposals, using established criteria, and make recommendations to the legislature ontheir passage; •Encourage the State Auditor to continue to work toward a more efficient andstreamlined reporting process. There are an increasing number of noncompliancenotices that have overturned longstanding practices or limited statutorily definedterms. The Legislature has not granted TIF rulemaking authority to the State Auditor andthe audit powers granted by statute are not an appropriate vehicle for making administrative or legislative changes to TIF statutes. If the State Auditor is to exercise rulemakingauthority, the administrative power to do so must be granted explicitly by the Legislature.The audit enforcement process does not create a level playing field for cities to challenge theAuditor’s interpretation of statutes. The Legislature should provide a process through whichto resolve disputes over TIF policy that is fair to all parties; •Clarify the use of TIF when a sale occurs after the closing of a district; •Revise the substandard building test to simplify, resolve ambiguities and reducecontinued threat of litigation; and •Amend TIF statutes to address, through extending districts or other mechanisms,shortfalls related to declining market values. •Metro Cities supports statutory modifications to TIF statutes to provide temporaryflexibility for municipalities in the use of unobligated TIF increment as cities addresslocal revenue challenges resulting from the COVID-19 pandemic. Metro Cities opposeschanges to TIF laws that would mandate the forgiveness of loans by a TIF authority to abusiness. 3-M Eminent Domain Significant statutory restrictions on the use of eminent domain have resulted in higher public costs for traditional public use projects like streets, parks, and sewers, and have all but restricted the use of eminent domain for redevelopment to cases of extreme blight or contamination. The proper operation and long-term economic vitality of our cities is dependent on the ability of a city, its citizens, and its businesses to continually reinvest and reinvent. Reinvestment and reinvention strategies can occasionally conflict with the priorities of individual residents or business owners. Eminent domain is a critical tool in the reinvestment and reinvention process and without it our cities may deteriorate to unprecedented levels before the public reacts. Metro Cities strongly encourages the Governor and Legislature to revisit eminent domain laws to allow local governments to address redevelopment problems before those conditions become 38 Housing & Economic Development 2023 Legislative Policies financially impossible to address. Specifically, Metro Cities supports: •Clarifying contamination standards; •Developing different standards for redevelopment to include obsolete structures or toreflect the deterioration conditions that currently exist in the metropolitan area; •Allowing for the assembly of multiple parcels for redevelopment projects; •Modifying the public purpose definition under Minn. Stat. § 117 to allow cities to moreexpediently address properties that are vacant or abandoned in areas with high levelsof foreclosures, as well as address neighborhood stabilization and recovery; •Providing the ability to acquire land from “holdouts” who will now view a publiclyfunded project as an opportunity for personal gain at taxpayer expense; i.e. allow fornegotiation using balanced appraisals for fair relocation costs; •Examining attorney fees and limit fees for attorneys representing a property owner; •Allowing for relocation costs not to be paid if the city and property owner agree to asale contract; •A property owner’s appraisal to be shared with the city prior to a sale agreement; and •Appropriately balanced awards of attorney fees and costs of litigation with the outcomeof the eminent domain proceeding. 3-N Community Reinvestment Communities across the metropolitan region have aging residential and commercial structures that need repair and reinvestment. Reinvestment prevents neighborhoods from falling into disrepair, revitalizes communities and protects a city’s tax base. Metro Cities supports state programs and incentives for reinvestment in older residential and commercial/industrial buildings, such as, but not limited to, tax credits and/or property tax deferrals. Historically, the state has funded programs to promote reinvestment in communities, including the “This Old House” program, that allowed owners of older homestead property to defer an increase in their tax capacity resulting from repairs or improvements to the home and “This Old Shop” for owners of older commercial/industrial property that make improvements that increase the property’s market value. 39 Housing & Economic Development 2023 Legislative Policies 3-O Business Incentives Policy Without a thorough study, the Legislature should not make any substantive changes to the Business Subsidy Act, as defined in Minn. Stat. § 116J.993, but should look to technical changes that would streamline both state and local processes and procedures. The Legislature should distinguish between development incentives and redevelopment activities. In addition, in order to ensure cohesive and comprehensive regulations, the legislature should limit regulation of business incentives to the Business Subsidy Act. Metro Cities supports additional legislation that includes tools to help enhance and facilitate economic development and job creation. Metro Cities supports increased flexibility for meeting business subsidy agreements during a state of emergency. 3-P Broadband Technology Where many traditional economic development tools have focused on managing the costs and availability of traditional infrastructure – roads, rail, and utilities – the 21st century economy is dependent on reliable, cost effective, high bandwidth communications capabilities. This includes voice, video, data, and other services delivered over cable, telephone, fiber-optic, wireless, and other platforms. The state has increased its role in expanding broadband infrastructure across the state by funding broadband access for residents and businesses. The Governor’s Broadband Task Force regularly recommends updates to state broadband speed goals and funding levels to expand statewide broadband access. The Office of Broadband Development in the Department of Employment and Economic Development (DEED) supports the role of broadband in economic development. The Office coordinates broadband mapping and administers state broadband grant funds. Cities play a vital role in achieving significantly higher broadband speeds. Local units of government are contributing to increasing broadband capacity and ensuring internet connectivity, reliability, and availability. However, attempts have been made in Minnesota and other states to restrict or stop cities from facilitating the deployment of broadband services or forming partnerships with private sector companies to provide broadband services to unserved or underserved residents or businesses. Restricting municipal authority is contrary to existing state law on electric utility service, telecommunications, and economic development. Metro Cities opposes the adoption of state policies that further restrict a city’s ability to finance, construct or operate broadband telecommunications networks. Metro Cities supports: •State policies and support programs that substantially increase speed and capacity ofbroadband services statewide, including facilitating solutions at the local level. Thestate should offer incentives to private sector service providers to respond to local or regional needs and to collaborate with cities and other public entities to deploybroadband infrastructure capable of delivering sufficient bandwidth and capacity tomeet immediate and future local needs as well as policies which seek to positionMinnesota as a state of choice for testing next-generation broadband; 40 Housing & Economic Development 2023 Legislative Policies •Metro eligibility for broadband funds, including increased capacity for areas withexisting levels of service; •Testing and review of street-level broadband speeds and updating of comprehensivestatewide street-level mapping of broadband services to identify underserved areas andconnectivity issues. •Programs and projects that improve broadband adoption, achieve significantly higherbroadband speeds, and support efforts to improve digital inclusion by ensuring thatrobust and affordable Internet connectivity is widely available to all Minnesotans. •Municipal authority and encouragement of local governments to play a direct role inproviding broadband service. This includes repealing Minn. Stat. § 237.19. The stateshould clarify that cities have the authority to partner with private entities to financebroadband infrastructure using city bonding authority; •Local authority to manage and protect public rights-of-way including public andprivate infrastructure, to zone, to collect compensation for the use of public assets, or towork cooperatively with and respond to applications from the private sector. Citiesmay exercise local authority over zoning and land-use decisions for siting, upgrading, oraltering wireless service facilities and exercise regulations of structures in the publicright-of-way; and •Public-private collaborations that support broadband infrastructure and services at thelocal and regional level, including partnerships and cooperation in providing last-mileconnections. 3-Q City Role in Environmental Protection and Sustainable Development Historically, cities have played a major role in environmental protection, particularly in water quality. Through the construction and operation of wastewater treatment and storm water management systems, cities are a leader in protecting the surface water of the state. In recent years, increased emphasis has been placed on protecting ground water and removing impairments from storm water. In addition, there is increased emphasis on city participation in controlling our carbon footprint and in promoting green development. Metro Cities supports public and private environmental protection efforts to reduce greenhouse gas emissions and to further protect surface and ground water. Metro Cities also supports “green” design and construction techniques to the extent that those techniques have been thoroughly tested and are truly environmentally beneficial, economically sustainable and represent sound building practices. Metro Cities supports additional, feasible environmental protection with adequate funding and incentives to comply. Metro Cities supports state funding for municipal renewable energy objectives. Green jobs represent employment and entrepreneurial opportunities that are part of the green economy, as defined in Minn. Stat. § 116J.437, including the four industry sectors of green 41 Housing & Economic Development 2023 Legislative Policies products, renewable energy, green services and environmental conservation. Minnesota’s green jobs policies, strategies and investments need to lead to high quality jobs with good wages and benefits, meeting current wage and labor laws. 3-R Impaired Waters Local units of government should not bear undue cost burdens associated with completed TMDL reports. As recent Total Maximum Daily Load (TMDL) reports show, non-point agricultural sources are producing more runoff pollution than urban areas at a rate of 13:1. Cities must not be required as primary entities for funding the clean-up and protection of state and regional water resources. Benefits of efforts must be proportional to the costs incurred and agricultural sources must be held responsible for their share of costs. Metro Cities supports continued development of the metropolitan area in a manner that is responsive to the market but is cognizant of the need to protect the water resources of the state and metropolitan area. Since all types of properties are required to pay storm water fees, Metro Cities opposes entity-specific exemptions from these fees. Metro Cities supports the goals of the Clean Water Act and efforts at both the federal and state level to implement it. Metro Cities supports continued funding of the framework established to improve the region’s ability to respond to market demands for development and redevelopment, including dedicated funding for surface water impairment assessments, TMDL development, storm water construction grants and wastewater construction grants. 42 2023 Legislative Policies Metropolitan Agencies 4-A Goals and Principles for Regional Governance The Twin Cities metropolitan region is home to a majority of the state’s population and businesses and is poised for significant growth in the next two decades. The region faces both significant challenges and opportunities, the responses to which will determine the future success of the metropolitan region and its competitiveness in the state, national and world economies. The Metropolitan Council was created to manage the growth of the metropolitan region, and cities are responsible for adhering to regional plans as they plan for local growth and service delivery. The region’s cities are the Metropolitan Council’s primary constituency, with regional and local growth being primarily managed through city comprehensive planning and implementation and the delivery of public services. To function successfully, the Metropolitan Council must be accountable to and work in collaboration with city governments. The role of the Metropolitan Council is to set broad regional goals and to provide cities with technical assistance and incentives to achieve these goals. City governments are responsible and best suited to provide local zoning, land use planning, development, and service delivery. Any additional roles or responsibilities for the Metropolitan Council should be limited to specific statutory assignments or grants or authorization and should not usurp or conflict with local roles or processes unless such changes have the consent of the region’s cities. Metro Cities supports an economically strong and vibrant region, and the effective, efficient, and equitable provision of regional infrastructure, services, and planning throughout the metropolitan area. Metro Cities supports the provision of approved regional systems and planning that can be provided more effectively, efficiently, or equitably on a regional level than at the local level by individual local units of government. The Metropolitan Council must involve cities in the delivery of regional services and planning and be responsive to local perspectives on regional issues and be required to provide opportunities for city participation on Council advisory committees and task forces. The Metropolitan Council must involve cities at all steps of planning, review and implementation of the regional development guide, policy plans, systems statements, and local comprehensive plan requirements to ensure transparency, balance and Council adherence to its core mission and functions. These processes should allow for stakeholder input before policies and plans are released for comment and finalized. Any additional functions for the Metropolitan Council should not be undertaken unless authorized specifically by state law. 4-B Regional Governance Structure Metro Cities supports the appointment of Metropolitan Council members by the Governor with four-year, staggered terms for members to stabilize ideological shifts and provide for continuity of knowledge on the Council, which is appropriate for a long-range planning body. The appointment of the Metropolitan Council Chair should coincide with the term of the Governor. Metro Cities supports a nominating committee process that maximizes participation and 43 Metropolitan Agencies 2023 Legislative Policies input by local officials. Metro Cities supports expanding the nominating committee from seven to 13 members, with a majority of a 13-member committee being local elected officials. Of the local officials appointed to a nominating committee, two thirds should be elected city officials, appointed by Metro Cities. Consideration should be given to the creation of four separate nominating committees, with committee representation from each quadrant of the region. Metro Cities supports having the names of recommended nominees or other individuals under consideration for appointment to the Council by the Governor to be made public at least 21 days prior to final selection by the Governor, and a formal public comment period before members are appointed to the Council. Metro Cities supports the appointment of Metropolitan Council members who have demonstrated the ability to work with cities in a collaborative manner, commit to meet with local government officials regularly and who are responsive to the circumstances and concerns of cities in the district that they represent on the Council. Council members should understand the diversity and the commonalities of the region, and the long-term implications of regional decision-making. A detailed position description outlining the required skills, time commitment and understanding of regional and local issues and concerns should be clearly articulated and posted in advance of the call for nominees. Metro Cities supports opportunities for local officials to provide input during the decennial legislative redistricting process for the Metropolitan Council and supports transparency in the redistricting process. 4-C Comprehensive Analysis and Oversight of Metropolitan Council A comprehensive analysis of the Metropolitan Council’s functions and structure was conducted by a Governor’s Blue-Ribbon Committee in 2020. Metro Cities supports specific findings by the committee that recommend four-year staggered terms for Metropolitan Council members with members appointed by the governor, an expanded nominating committee with a majority of local officials on the committee, and the publication of nominees prior to their appointment. These findings are consistent with Metro Cities’ legislative policy on regional governance. The metropolitan region will continue to expand while simultaneously facing significant challenges for the effective, efficient, and equitable provision of resources and infrastructure. Metro Cities supports an objective study of the Metropolitan Council’s activities and services as well as its geographical jurisdiction to ensure that the Metropolitan Council’s services are positioned to be effective and adequate in addressing the future needs of the region. Such work must include the participation of local officials. The Metropolitan Council should also examine its scope of services to determine their benefit and efficiency and be open to alternative methods of delivery to assure that services are provided at high levels of effectiveness for the region. Metro Cities supports appropriate legislative oversight of the Metropolitan Council to regularly review the Council’s activities, and to provide transparency and accountability of its functions and operations. 44 Metropolitan Agencies 4-D Funding Regional Services The Metropolitan Council should continue to fund regional services and activities through a combination of user fees, property taxes, and state and federal grants. The Council should set user fees through an open process that includes public notices and public hearings. User fees should be uniform by type of user and set at a level that supports effective and efficient public services based on commonly accepted industry standards and allows for sufficient reserves to ensure long-term service and fee stability. Fee proceeds should be used to fund regional services or programs for which they are collected. Metro Cities supports the use of property taxes and user fees to fund regional projects so long as the benefit conferred on the region is proportional to the fee or tax, and the fee or tax is comparable to the benefit cities receive in return. 4-E Regional Systems Regional systems are statutorily defined as transportation, aviation, wastewater treatment and recreational open space. The purpose of the regional systems and the Metropolitan Council’s authority over them is clearly outlined in state law. The Metropolitan Council must seek a statutory change to alter the focus or expand the reach of any of these systems. Systems plans prepared by the Metropolitan Council should be specific in terms of size, location, and timing of regional investments to allow for consideration in local comprehensive planning. Systems plans should also clearly state the criteria by which local plans will be judged for consistency with regional systems. Additional regional systems should be established only if there is a compelling metropolitan problem or concern best addressed through the designation. Common characteristics of the existing regional systems include public ownership of the system and its components and established regional or state funding sources. These characteristics should be present in any new regional system that might be established. Water supply and housing do not meet necessary established criteria for regional systems. Any proposed additional system must have an established regional or state funding source. 4-F Regional Water Supply Planning The Metropolitan Council is statutorily authorized to carry out planning activities to address water supply needs of the metropolitan area. A Metropolitan Area Water Supply Advisory Committee (MAWSAC) that includes state agency representatives and local officials was established to assist the Council in developing a master water supply plan that includes recommendations for clarifying the roles of local, regional, and state governments, streamlining and consolidating approval processes and recommending future planning and capital investments. The Master Water Supply Plan serves as a framework for assisting communities in water supply planning, without usurping local decision-making processes. Many cities also conduct their own analyses for use in water supply planning. As the Metropolitan Council continues its assessment of the metropolitan region’s water supply and water sustainability, it must work cooperatively with local policymakers and local professional staff on an on-going structured basis to ensure a base of information for water supply decision-making that is sound, credible and verifiable, and considers local information, data, cost-benefit analyses and projections before any policy recommendations are issued. 45 2023 Legislative Policies Metropolitan Agencies Metro Cities encourages the Metropolitan Council to consider the inter-relationships of wastewater treatment, storm water management and water supply. Any state and regional regulations and processes should be clearly stated in the Master Water Supply Plan. Further, regional monitoring and data collection benefits should be borne as shared expenses between the regional and local units of government. Metro Cities supports Metropolitan Council planning activities to address regional water supply needs and water planning activities as prescribed in statute. Metro Cities opposes the insertion of the Metropolitan Council as another regulator in the water supply arena. Further, while Metro Cities supports regionally coordinated efforts to address water supply issues in the metropolitan area, Metro Cities opposes the elevation of water supply to “Regional System” status, or the assumption of Metropolitan Council control and management of municipal water supply infrastructure. Metro Cities supports the technical advisory committee to the MAWSAC that maximizes participation by municipal officials and helps to ensure sound scientific analyses and models are developed with local expertise and input before legislative solutions are considered. Metro Cities supports efforts to identify capital funding sources to assist with municipal water supply projects. Any fees or taxes for regional water supply planning activities must be consistent with activities prescribed in Minn. Stat. § 473. 1565, and support activities specifically within the metropolitan region. 4-G Review of Local Comprehensive Plans Local officials identified concerns with the submission and review processes for 2018 local plans including requests for information beyond what should be necessary for the Metropolitan Council to review local plans for consistency with regional systems, regional requirements that evolved as local plans were prepared and finalized and finding plans to be incomplete or requiring detailed information on items of a local rather than regional nature, among others. The Metropolitan Council must work with Metro Cities and local officials to address challenges and concerns identified with the 2018 comprehensive planning process and undertake any necessary improvements in advance of the next comprehensive planning cycle. This work should be conducted with opportunities for ongoing input and consultation with local officials as any modifications to the comprehensive planning review processes are considered, including but not limited to a recently established regional planning advisory group that includes Metro Cities and municipal officials. This work shall include reviewing processes for comprehensive plan amendments and identifying areas for improvement. In reviewing local comprehensive plans and plan amendments, the Metropolitan Council should: •Recognize that its role is to review and comment, unless it is found that the local plan is morelikely than not to have a substantial impact on or contain a substantial departure from one ofthe four system plans; •Be aware of statutory time constraints imposed by the Legislature on plan amendments anddevelopment applications; •Provide for immediate effectuation of plan amendments that have no potential for substantial impact on systems plans;46 2023 Legislative Policies Metropolitan Agencies •Require the information needed for the Metropolitan Council to complete its review, butnot prescribe additional content or format beyond that which is required by theMetropolitan Land Use Planning Act (LUPA); •Work in a cooperative and timely manner toward the resolution of outstanding issues. When a city’s local comprehensive plan is deemed incompatible with the MetropolitanCouncil’s systems plans, Metro Cities supports a formal appeal process that includes apeer review. Metro Cities opposes the imposition of sanctions or monetary penaltieswhen a city’s local comprehensive plan is deemed incompatible with the Metropolitan Council’s systems plans or the plan fails to meet a statutory deadline when the city has made legitimate, good faith efforts to meet Metropolitan Council requirements; •Work with affected cities and other organizations such as the Pollution Control Agency,Department of Natural Resources, Department of Health and other stakeholders to identifycommon ground and resolve conflicts between respective goals for flexible residentialdevelopment and achieving consistency with the Council’s system plans and policies; and •Require entities, such as private businesses, nonprofits, or local units of government, among others, whose actions could adversely affect a comprehensive plan, to be subjectto the same qualifications and/or regulations as the city. 4-H Comprehensive Planning Process Metro Cities supports examining the comprehensive planning process to make sure that the process is streamlined and efficient and avoids excessive cost burdens or duplicative or unnecessary planning requirements by municipalities in the planning process. Metro Cities supports resources to assist cities in meeting regional goals as part of the comprehensive planning process, including planning grants and technical assistance. Metro Cities supports funding and other resources from the Metropolitan Council for the preparation of comprehensive plan updates, including grant funding. Grants and other resources should be provided to all eligible communities through a formula that is equitable, and recognizes varying city needs and capacities. 4-I Comprehensive Planning Schedule Cities are required to submit comprehensive plan updates to the Metropolitan Council every 10 years. A city’s comprehensive plan represents a community’s vision of how the city should grow and develop or redevelop, ensure adequate housing, provide essential public infrastructure and services, protect natural areas and meet other community objectives. Metro Cities recognizes the merit of aligning comprehensive plan timelines with the release of census data. However, the comprehensive plan process is expensive, time consuming and labor intensive for cities, and the timing for the submission of comprehensive plans should not be altered solely to better align with census data. If sufficient valid reasons exist for the schedule for the next round of comprehensive plans to be changed or expedited, cities should be provided with financial resources to assist them in preparing the next round of plans. Metro Cities opposes cities being forced into a state of perpetual planning because of regional and legislative actions. Should changes be made to the comprehensive planning schedule, Metro Cities supports financial and other resources to assist cities in preparing 47 2023 Legislative Policies Metropolitan Agencies and incorporating policy changes in local planning efforts. Metro Cities supports a 10-year time frame for comprehensive plan update submissions. Metro Cities supports the Metropolitan Council’s consideration to reduce requirements for 10-year Comprehensive Plan updates for cities under 2,500 residents. 4-J Local Zoning Authority Local governments are responsible for zoning and local officials should have full authority to approve variances to remain flexible in response to the unique land use needs of their own community. Local zoning decisions, and the implementation of cities’ comprehensive plans, should not be conditioned upon the approval of the Metropolitan Council or any other governmental agency. Metro Cities supports local authority over land use and zoning decisions and opposes the creation of non-local appeals boards with the authority to supersede city zoning decisions, and statutory modifications that would diminish the ability of cities to set and implement local zoning ordinances and policies. 4-K Regional Growth The most recent regional population forecast prepared by the Metropolitan Council projects a population of 3,746,000 people by 2040 and 4,001,000 by 2050. Metro Cities recognizes cities’ responsibility to plan for sustainable growth patterns that integrate transportation, housing, parks, open space, and economic development that will result in a region better equipped to manage population growth, to provide a high quality of life for a growing and increasingly diverse metropolitan area population and improved environmental health. In developing local comprehensive plans to fit within a regional framework, adequate state and regional financial resources and incentives and maximum flexibility for local planning decisions are imperative. The regional framework should assist cities in managing growth while being responsive to the individual qualities, characteristics and needs of metropolitan cities, and should encourage sub-regional cooperation and coordination. In order to accommodate this growth in a manner that preserves the region’s high quality of life: •Natural resource protection will have to be balanced with growth anddevelopment/reinvestment; •Significant new resources will have to be provided for transportation and transit; and •New households will have to be incorporated into the core cities, first and second-ringsuburbs, and developing cities through both development and redevelopment. In order for regional and local planning to result in the successful implementation of regional policies: •The State of Minnesota must contribute additional financial resources, particularly in the 48 2023 Legislative Policies Metropolitan Agencies areas of transportation and transit, community reinvestment, affordable housing development, and the preservation of parks and open space. If funding for regional infrastructure is not adequate, cities should not be responsible for meeting the growth forecast set forth by the Metropolitan Council; •The Metropolitan Council and Legislature must work to pursue levels of state and federaltransportation funding that are adequate to meet identified transportation and transit needs inthe metropolitan area; •The Metropolitan Council must recognize the limitations of its authority and continue to workwith cities in a collaborative, incentives-based manner; •The Metropolitan Council must recognize the various needs and capacities of its manypartners, including but not limited to cities, counties, economic development authorities and nonprofit organizations, and its policies must be balanced and flexible in their approach; •Metropolitan counties, adjacent counties and school districts must be brought more thoroughly into the discussion due to the critical importance of facilities and services such as county roads and public schools in accommodating forecasted growth; and •Greater recognition must be given to the fact that the “true” metropolitan region extendsbeyond the traditional seven-county area and the need to work collaboratively with adjacentcounties in Minnesota and Wisconsin, and the cities within those counties. The region facesenvironmental, transportation, and land use issues that cannot be solved by the seven-county metro area alone. Metro Cities supports an analysis to determine the impacts ofMetropolitan Council’s growth management policies and infrastructure investments onthe growth and development of the collar counties, and the impacts of growth in thecollar counties on the metropolitan area. Metro Cities opposes statutory or other regulatory changes that interfere with established regional and local processes to manage growth in the metropolitan region, including regional systems plans, systems statements, and local comprehensive plans. Such changes erode local planning authority as well as the efficient provision of regional infrastructure, disregard established public processes and create different guidelines for communities that may result in financial, environmental and other impacts on surrounding communities. 4-L Natural Resource Protection Metro Cities recognizes the Metropolitan Council’s efforts to compile and maintain an inventory and assessment of regionally significant natural resources for providing local communities with additional information and technical assistance. The state and region play significant roles in the protection of natural resources. Any steps taken by the state or Metropolitan Council regarding the protection of natural resources must recognize that: •The protection of natural resources is significant to a multi-county area that is home to more than 50 percent of the state’s population and a travel destination for many more. Given thelimited availability of resources and the artificial nature of the metropolitan area’s borders,and the numerous entities that are involved in protecting the natural resources of the regionand state, neither the region nor individual metropolitan communities would be well servedby assuming primary responsibility for financing and protecting these resources; •The completion of local Natural Resource Inventories and Assessments (NRI/A) is not a 49 2023 Legislative Policies Metropolitan Agencies regional system nor is it a required component of local comprehensive plans under the Metropolitan Land Use Planning Act; •The protection of natural resources should be balanced with the need to accommodategrowth and development, reinvest in established communities, encourage moreaffordable housing and provide transportation and transit connections; and •Decisions about the zoning or land use designations, either within or outside a public park,nature preserve, or other protected area are, and should remain, the responsibility of local units of government. The Metropolitan Council’s role with respect to climate change, as identified in the 2040 regional development guide, should be focused on the stewardship of its internal operations (wastewater, transit) and working collaboratively with local governments to provide information, best practices, technical assistance and incentives around responses to climate change. Metro Cities urges the Legislature and the Metropolitan Council to provide financial assistance for the preservation of regionally significant natural resources. 4-M Inflow and Infiltration (I/I) The Metropolitan Council has identified a majority of sewered communities in the metropolitan region to be contributing excessive inflow and infiltration (I/I) into the regional wastewater system or to be on the threshold of contributing excessive inflow and infiltration. Inflow and infiltration are terms for the ways that clear water (ground and storm) makes its way into sanitary sewer pipes and gets treated, unnecessarily, at regional wastewater plants. The number of identified communities is subject to change, depending on rain events, and any city in the metropolitan area can be affected. The Metropolitan Council establishes a surcharge on cities determined to be contributing unacceptable amounts of I/I into the wastewater system. The charge is waived when cities meet certain parameters through local mitigation efforts. Metro Cities recognizes the importance of controlling I/I because of its potential environmental and public health impacts, because it affects the size, and therefore the cost, of wastewater treatment systems and because excessive I/I in one city can affect development capacity of another. However, there is the potential for cities to incur increasingly exorbitant costs in their ongoing efforts to mitigate excessive I/I. Therefore, managing I/I at a regional as well as local level, is critical to effective mitigation and cost management. Metro Cities continues to monitor the surcharge program and supports continued reviews of the methodology used to measure excess I/I to ensure that the methodology appropriately normalizes for precipitation variability and the Council’s work with cities on community specific issues around I/I. Metro Cities supports state financial assistance for metro area I/I mitigation through future Clean Water Legacy Act appropriations or similar legislation and encourages the Metropolitan Council to partner in support of such appropriations. Metro Cities also supports resources, including identified best practices, information on model ordinances, public education and outreach, and other tools, to local governments to address inflow/infiltration mitigation for private properties. Metro Cities recognizes recommendations made by a 2016 Inflow/Infiltration Task Force that 50 2023 Legislative Policies Metropolitan Agencies support considering the use of a portion of the regional wastewater charge for private property inflow/infiltration mitigation. Any proposal to utilize the wastewater fee for this purpose must include the opportunity for local officials to review and comment on specific proposals. Metro Cities supports continued state capital assistance to provide grants to metropolitan cities for mitigating inflow and infiltration problems into municipal wastewater collection systems. 4-N Sewer Availability Charge (SAC) Metro Cities supports a SAC program that emphasizes equity, transparency, simplification, and lower rates. Metro Cities supports principles for SAC that include program transparency and simplicity, equity for all served communities and between current and future users, support for cities’ sewer fee capacities, administrative reasonableness, and weighing any program uses for specific goals with the impacts to the program’s equity, transparency, and simplicity. As such, Metro Cities opposes the use of the SAC mechanism to subsidize and/or incent specific Metropolitan Council goals and objectives. Input from local officials should be sought if the SAC reserve is proposed to be used for any purpose other than debt service, including pay-as-you-go (PAYGO). Metro Cities opposes increases to the SAC rate while the reserve is projected to exceed the Metropolitan Council’s minimum reserve balance, without the express engagement of city officials in the metropolitan area. Metro Cities supports modifications that were recommended by local and business officials and adopted by the Metropolitan Council in 2018 to use gross rather than net square feet in making SAC determinations, to combine use categories, to adjust the grandfather credit date and to not require a new SAC determination for business remodels that do not change the use of the property. These changes were intended to simplify the SAC program for users, and to reduce incidents of “surprise” SAC charges. Metro Cities supports current SAC policy that enhances flexibility in the SAC credit structure for redevelopment purposes and supports continued evaluation of SAC fees to determine if they hinder redevelopment. Metro Cities supports the Metropolitan Council providing details on how any proposed changes to the SAC rate are determined. Metro Cities supports a periodic review of MCES’ customer service policies, to ensure that its processes are responsive and transparent to communities, businesses, and residents. Metro Cities supports continued outreach by MCES to users of the SAC program to promote knowledge and understanding of SAC charges and policies. Any modifications to the SAC program or structure should be considered only with the participation and input of local officials in the metropolitan region. Metro Cities supports a “growth pays for growth” approach to SAC. If state statutes are modified to establish a “growth pays for growth” method for SAC, the Metropolitan Council should convene a group of local officials to identify any technical changes necessary for implementing the new structure. Metro Cities supports allowing the Council to utilize a SAC ‘transfer’ mechanism when the SAC reserve fund is inadequate to meet debt service obligations. Any use of the transfer mechanism must be done so within parameters prescribed by state law and with appropriate 51 2023 Legislative Policies Metropolitan Agencies notification and processes to allow local official input and should include a timely ‘shift back’ of any funds that were transferred from the wastewater fund to the SAC reserve fund. Efforts should be made to avoid increasing the municipal wastewater charge in use of the transfer mechanism. 4-O Funding Regional Parks & Open Space In the seven-county metropolitan area, regional parks essentially serve as state parks, and the state should continue to provide capital funding for the acquisition, development, and improvement of these parks in a manner that is equitable with funding for state parks. State funding apart from Legacy funds should equal 40 percent of the operating budget for regional parks. Legacy funds for parks and trails should be balanced between the metropolitan region and greater Minnesota. Metro Cities supports state funding for regional parks and trails that is fair, creates a balance of investment across the state, and meets the needs of the region. 4-P Livable Communities The Livable Communities Act (LCA) under Minn.Stat. 473.25 is administered by the Metropolitan Council and provides a voluntary, incentive-based approach to affordable housing development, tax base revitalization, job growth and preservation, brownfield clean up and mixed-use, transit-friendly development, and redevelopment. Metro Cities strongly supports the continuation of this approach, which is widely accepted and utilized by cities. Since its inception in 1995 the LCA program has generated billions of dollars of private and public investment, created thousands of jobs and added thousands of affordable housing units in the region. Metro Cities monitors the LCA programs on an ongoing basis and supports any necessary program modifications to ensure that the LCA program criteria are flexible and promote the participation of all participating communities, and to ensure all metropolitan area cities are eligible to participate in the Livable Communities Demonstration Account (LCDA). Metro Cities supports increased funding and flexible eligibility requirements in the LCDA to assist cities with development that may not be exclusively market driven or market proven in the location, in order to support important local development and redevelopment goals. Metro Cities supports the findings of a recent local official working group that identified the need for the Metropolitan Council to expand its outreach to cities on the LCA programs and to continue efforts to ensure that LCA criteria are sufficiently flexible to meet the range of identified program objectives. These efforts should include ongoing opportunities for structured input by Metro Cities and local officials. Metro Cities supports the statutory goals and criteria established for the Livable Communities Act and opposes any changes to LCA programs that constrain flexibility in statutory goals or program requirements and criteria. Metro Cities is monitoring 2021 modifications to the LCA program to ensure that program criteria are responsive to local needs within the context of overall LCA objectives. Metro Cities opposes funding reductions to the Livable Communities Act programs and the transfer or use of these funds for purposes outside of the LCA program. Metro Cities supports statutory modifications in the LCDA to reflect the linkages among 52 2023 Legislative Policies Metropolitan Agencies the goals, municipal objectives, and Metropolitan Council system objectives. Metro Cities supports the use of LCA funds for projects in transit improvement areas, as defined in statute, if funding levels for general LCA programs are adequate to meet program goals and the program remains accessible to participating communities. Any proposed program modifications should be considered with input by local officials before changes to LCA programs are enacted or implemented. Use of interest earnings from LCA funds should be limited to covering administrative program costs. Remaining interest earnings should be considered part of LCA funds and used to fund grants from established LCA accounts per established funding criteria. 4-Q Density Metro Cities recognizes the need for a density policy, including minimum density requirements, that allows the Metropolitan Council to effectively plan for and deliver cost-efficient regional infrastructure and services. Regional density requirements must recognize that local decisions, needs and priorities vary, and that requirements must be sufficiently flexible to accommodate local circumstances as well as the effect of market trends on local development and redevelopment activity. The Metropolitan Council asks cities to plan for achieving minimum average net densities across all areas identified for new growth, development, or redevelopment. Because each community is different, how and where density is guided is determined by the local unit of government, regional density requirements should use minimum average net densities and provide flexibility to accommodate individual city circumstances. Metro Cities opposes parcel-specific density requirements as such requirements are contrary to the need for local flexibility in a regional policy. Any regional density policy must use local data and local development patterns and must accommodate local physical and land use constraints such as, but not limited to, wetlands, public open space, trees, water bodies and rights-of-way, and any corresponding federal and state regulations imposed on local governments when computing net densities. The Metropolitan Council must coordinate with local governments in establishing or revising regional density requirements and should ensure that regional density and plat monitoring reports comprehensively reflect local densities and land uses. 53 2023 Legislative Policies 2023 Legislative Policies Transportation Transportation Policies and Funding Introduction Metro Cities supports a comprehensive transportation system as a vital component in planning for and meeting the physical, social, and economic needs of the state and metropolitan region. A comprehensive transportation system includes streets and bridges, transit, and multi-modal solutions that work cohesively to best meet state, regional and local transportation needs. Adequate and stable sources of funding are necessary to ensure the development and maintenance of a high quality, efficient and safe transportation system that meets these needs and that will position the state and region to be economically competitive in the years ahead. Failure to maintain a functional transportation system will have adverse effects on the state’s ability to attract and retain businesses and create jobs. Transportation funding and planning must be a high priority for state, regional and local policymakers so that the transportation system can meet the needs of the state’s residents and businesses as well as projected population growth. Funding and planning for regional and statewide systems must be coordinated at the federal, state, regional and local levels to optimally achieve long-term needs and goals. 5-A Road and Bridge Funding Under current financing structures that rely primarily on local property taxes and fees as well as the motor vehicle sales tax (MVST) receipts, road and bridge needs in the metropolitan region continue to be underfunded. Metro Cities strongly supports stable, sufficient, and sustainable statewide transportation funding and expanded local tools to meet the transportation system needs of the region and local municipal systems. Consideration should be given to using new, expanded, and existing resources to meet these needs. Metro Cities supports the use of dedicated taxes and fees to fund transportation infrastructure. In addition, cities lack adequate tools and resources for the maintenance and improvement of municipal street systems, with resources restricted to property taxes and special assessments. It is imperative that alternative revenue generating authority be granted to municipalities and that state resources be made available for this purpose to aid local communities and relieve the burden on the property tax system. Metro Cities supports Municipal State Aid Street (MSAS) funding. MSAS provides an important but limited revenue source that assists eligible cities with street infrastructure needs and is limited to twenty percent of a city’s street system. Metro Cities supports state funding to assist cities over-burdened by cost participation responsibilities from improvement projects on the state’s arterial system and county state aid highway (CSAH) systems. Metro Cities supports state funding for state highway projects, including congestion, bottleneck and safety improvements. Metro Cities also supports state financial assistance, as well as innovations in design and construction, to offset the impacts of regional transportation construction projects on businesses. 54 55 Transportation 2023 Legislative Policies Metro Cities opposes statutory changes restricting the use of local funds for transportation projects. Metro Cities opposes restrictions on aesthetic related components of transportation projects, as these components often provide important safety and other benefits to projects. Metro Cities supports further research into the policy implications for electric and automated vehicles on roadways, transit, and other components of transportation systems. Metro Cities encourages the state to study the impact of electric and automated vehicles on transportation related funding and policies. 5-B Regional Transit System The Twin Cities Metropolitan Area needs a multi-modal regional transit system as part of a comprehensive transportation strategy that serves all users, including commuters and the transit dependent. The transit system should be composed of a mix of high occupancy vehicle (HOV) lanes, high occupancy toll (HOT) lanes, a network of bike and pedestrian trails, bus rapid transit, express and regular route bus service, exclusive transit ways, light rail transit, streetcars, and commuter rail corridors designed to connect residential, employment, retail, and entertainment centers. The system should be regularly monitored and adjusted to ensure that routes of service correspond to current and forecasted changes in the region’s transit service needs and priorities. Metro Cities supports strategic expansion of the regional transit system. Current congestion levels and forecasted population growth require a stable, reliable, and growing source of revenue for transit construction and operations so that our metropolitan region can meet its transportation needs to remain economically competitive. Metro Cities supports an effective, efficient, and comprehensive regional transit system as an invaluable component in meeting the multimodal transportation needs of the metropolitan region and to the region’s economic vibrancy and quality of life. Metro Cities recognizes that transit service connects residents to jobs, schools, health care, and activity centers. Transit access and service frequency levels should recognize the role of public transit in addressing equity, including but not limited to racial and economic disparities, people with disabilities and the elderly. Metro Cities supports efforts to transition the fleets of transit providers in the metropolitan region to low or zero emission buses and supports using equity and environmental criteria identified in transit providers’ zero emission bus transition plans to prioritize the deployment of zero or low-emission buses. Metro Cities supports a regional governance structure that ensures a measurably reliable and efficient system, recognizes the diverse transit needs of our region and addresses funding needs for all components of the system. These structures must work with and be responsive to the needs of the communities they serve. 56 Transportation 2023 Legislative Policies Metro Cities supports an open and collaborative regional transportation planning process that fully engages all public transit providers as partners in ongoing policy development to achieve desired outcomes, including establishment of transit project criteria that promote fair and equitable selection of projects throughout the region and transparent regional distribution of available funding. Metro Cities recognizes the need for flexibility in transit systems for cities that border the edges of the seven-county metropolitan area to ensure users can get to destinations outside of the seven-county area. Metro Cities encourages the Metropolitan Council to coordinate with collar counties so that riders can get to and from destinations beyond the boundaries of the region. Metro Cities opposes statutory changes restricting the use of local funds for planning or construction of transit projects. Restricting local planning and funding limits the ability of cities to participate in transit corridor planning and development. State and regional policymakers must coordinate with local units of government as decisions are made at the state level on transit projects that also involve municipal planning, funding, and policy decisions. Metro Cities is opposed to legislative or Metropolitan Council directives that constrain the ability of metropolitan transit providers to provide a full range of transit services, including reverse commute routes, suburb-to-suburb routes, transit hub feeder services or new, experimental services that may show a low rate of operating cost recovery from the fare box. In the interest of including all potential options in the pursuit of a regionally balanced transit system, Metro Cities supports the repeal of the gag order on the Dan Patch Commuter Rail Line and opposes the imposition of legislative moratoriums on the study, planning, design, or construction of specific transit projects. In the interest of safety and traffic management, Metro Cities supports further study of rail safety issues relating to water quality protections, public safety concerns relating to derailments, traffic implications from longer and more frequent trains and the sensitive balance between rail commerce and the quality-of-life impacts on the communities through which they pass. The COVID-19 crisis has had dramatic effects on public transit service, including changing business practices that are likely to substantially reduce transit demand for the foreseeable future. Adverse economic effects threaten revenues available to fund transit operations. Suburban transit providers are concerned that funding challenges may be used to attempt to justify a repeal of their authorizing legislation and to consolidate transit services into a single regional entity. This would result in reverting to conditions existing nearly 40 years ago when inadequate service caused twelve suburbs to elect not to be part of the traditional transit system. Metro Cities strongly supports the autonomy of suburban transit providers to conduct operations to meet demonstrated and unique needs in their designated service areas independent from the operations of other regional transit providers. 57 Transportation 2023 Legislative Policies 5-C Transit Financing Shifting demographics in the metropolitan region will mean increased demand for various modes of transit in areas with and without current transit service. MVST revenue projections are unpredictable, and the Legislature has repeatedly reduced general fund support for Metro Transit, which contributes to persistent operating deficits for regional transit providers. Operating subsidies necessary to support a regional system should come from regional and statewide funding sources and not local taxpayers. In recent years, state and regional resources for transit have diminished, with costs shifting to local taxpayers in the metropolitan area. A system of transit provides significant economic benefits to the state and metropolitan region and must be supported with state and regional revenue sources. In addition, capital costs for the expansion of the regional transit system should be supported through state and regional sources, and not the sole responsibility of local units of government. Metro Cities supports stable and predictable state and regional revenue sources to fund operating and capital expenses for all regional transit providers and Metro Mobility at a level sufficient to meet the growing operational and capital transit needs of the region and to expand the system to a reas that lack sufficient transit service options. Metro Cities continues to support an advisory role for municipal officials in decisions associated with local transit projects. Metro Cities supports the early engagement of local governments in transit project planning and development including project scoping, cost estimating, funding requests and coordination with overlapping initiatives to achieve successful corridor-based projects. 5-D Street Improvement Districts Funding sources for local transportation projects are limited to the use of Municipal State Aid Street Program (MSAS), property taxes and special assessments. In addition, cities under 5,000 in population are not eligible for MSA. With increasing pressures on city budgets and limited tools and resources, cities are finding it increasingly difficult to maintain aging streets. Street improvement districts allow cities in developed and developing areas to fund new construction as well as reconstruction and maintenance efforts. The street improvement district is designed to allow cities, through a fair and objective fee structure, to create a district or districts within the city in which fees are raised on properties in the district and spent within the boundaries of the district. Street improvement districts would also aid cities under 5,000 with an alternative to the property tax system and special assessments. Metro Cities supports the authority of local units of government to establish street improvement districts. Metro Cities also supports changes to special assessment laws to make assessing state-owned property a more predictable process with uniformity in the payment of assessments across the state. 58 Transportation 2023 Legislative Policies 5-E Highway and Bridge Turn Backs & Funding Cities do not have the financial capacity and in many cities the technical expertise other than through significant property tax increases, to absorb additional roadway or bridge infrastructure responsibilities without new funding sources. The existing municipal turnback fund is not adequate based on contemplated turn backs. Metro Cities supports jurisdictional reassignment or turnback of roads (Minn. Stat. § 161.16, subd. 4) on a phased basis using functional classifications and other appropriate criteria subject to a corresponding mechanism for adequate funding of roadway improvements and continued maintenance. Metro Cities does not support a wholesale turnback of county or state roads or bridges without the consent of the municipality and the total cost, agreed to by the municipality, being reimbursed to the city in a timely manner. The process for establishing state policies to assign a shared cost participation for newly constructed or rebuilt bridges over trunk highways to local officials, must include input by the local municipalities affected, and any assigned shared costs and responsibilities must be agreed to by the municipalities. 5-F “3C” Transportation Planning Process: Elected Officials’ Role The Transportation Advisory Board (TAB) was developed to meet federal requirements, designating the Metropolitan Council as the organization that is responsible for a continuous, comprehensive, and cooperative (3C) transportation planning process to allocate federal funds among metropolitan area projects. Input by local officials into the planning and prioritization of transportation investments in the region is a vital component of these processes. Metro Cities supports continuation of the TAB with a majority of locally elected municipal officials as members and participating in the process. 5-G Electronic Imaging for Enforcement of Traffic Laws Enforcement of traffic laws with cameras and other motion imaging technology has been demonstrated to improve driver compliance and safety. Metro Cities supports cities having the authority to use such technology, including photos and videos, to enforce traffic laws. 5-H Transportation Network Companies and Alternative Transportation Modes The introduction of transportation network companies (TNC) such as Lyft and Uber, vehicle sharing and other wheeled transportation modes such as bicycles and scooters, require the need for local officials to determine licensing and inspection requirements for these modes, and to address issues concerning management over public rights-of-way. Cities have the authority to license rideshare companies, inspect vehicles, license drivers, and regulate access to sidewalks 59 Transportation 2023 Legislative Policies and streets. The use of autonomous delivery robots and aerial drones in public rights-of-way is also becoming more prevalent and cities must maintain and enhance the authority necessary to regulate the use of these vehicles to ensure safe use of the public right of way. Metro Cities supports the authority of local officials to regulate and establish fees on these transportation modes. Emerging and future transportation technologies have potentially significant implications for local public safety and local public service levels, the needs and impacts of which vary by community. 5-I Airport Noise Mitigation Communities closest to MSP and reliever airports are significantly impacted by noise, traffic, and other numerous expansion-related issues. Metro Cities supports the broad goal of providing MSP-impacted communities greater representation on the Metropolitan Airports Commission (MAC). Metro Cities encourages continued communication between MAC commissioners and the cities they represent. Balancing the needs of the MAC, the business community, and the airport host cities and their residents requires open communication, planning and coordination. Cities must be viewed as partners with the MAC in resolving differences that arise out of airport projects and the development of adjacent parcels. Regular contact between the MAC and cities throughout a project proposal process will enhance communication and problem solving. The MAC should provide full funding for noise mitigation for all structures in communities impacted by flights in and out of MSP. Metro Cities supports noise abatement programs and expenditures and the work of the Noise Oversight Committee to minimize the impacts of MAC operated facilities on neighboring communities. The MAC should determine the design and geographic reach of these programs only after a thorough public input process that considers the priorities and concerns of impacted cities and their residents. The MAC should provide full funding for noise mitigation for all structures in communities impacted by flights in and out of MSP. 5-J Funding for Non-Municipal State Aid (MSAS) City Streets Cities under 5,000 in population do not directly receive non-property tax funds for collector and arterial streets. Cities over 5,000 residents have limited eligibility for dedicated Highway User Tax Distribution Fund dollars, which are capped by the state constitution as being available for up to twenty percent of streets. Current County State Aid Highway (CSAH) distributions to metropolitan counties are inadequate to provide for the needs of smaller cities in the metropolitan area. Possible funding sources include the five-percent set-aside account in the Highway User Tax Distribution Fund, modification to county municipal accounts, street improvement districts, and/or state general funds. The 2015 Legislature created a Small Cities Assistance Account that is distributed through a formula to cities with populations under 5,000. The Account has received periodic one-time appropriations, but no stable or dedicated source of funding. 60 Transportation 2023 Legislative Policies Cities need long-term, stable, funding for street improvements and maintenance. Metro Cities supports additional resources and flexible policies to meet local infrastructure needs and increased demands on city streets. Metro Cities also supports sustainable state funding sources for non-MSAS city streets, including funding for the Small Cities Assistance Account as well as support for the creation and funding of a Large Cities Assistance Account. 5-K County State Aid Highway (CSAH) Distribution Formula Significant resource needs remain in the metro area CSAH system. Revenues provided by the Legislature for the CSAH system have resulted in a higher number of projects being completed. However, greater pressure is being placed on municipalities to participate in cost sharing activities, encumbering an already over-burdened local funding system. When the alternative is not building or maintaining roads, cities bear not only the costs of their local systems but also as much as fifty percent of county road projects. Metro Cities supports special or additional funding for cities that have burdens of additional cost participation in projects involving county roads. CSAH eligible roads were designated by county engineers in 1956 and although only 10 percent of the CSAH roads are in the metro area, they account for nearly 50 percent of the vehicle miles traveled. The CSAH formula passed by the Legislature in 2008 increased the amount of CSAH funding for the metropolitan area from 18 percent in 2007 to 21 percent in 2011. The formula helps to better account for needs in the metropolitan region but is only the first step in addressing needs for additional resources for the region. Metro Cities supports a new CSAH formula more equitably designed to fund the needs of our metropolitan region. 5-L Municipal Input/Consent for Trunk Highways and County Roads State statutes direct the Minnesota Department of Transportation (MnDOT) to submit detailed plans, with city cost estimates, at a point one-and-a-half to two years prior to bid letting, at which time public hearings are held for community input. If MnDOT does not concur with requested changes, it may appeal. Currently, that process would take a maximum of three and a half months and the results of the appeals board are binding on both the city and MnDOT. Metro Cities supports the municipal consent process and opposes changes to weaken municipal consent or adding another level of government to the consent process. Metro Cities opposes changes to current statutes that would allow MnDOT to disregard the appeals board ruling for state trunk highways. Such a change would significantly minimize MnDOT’s need to negotiate in good faith with cities for appropriate project access and alignment and would render the public hearing and appeals process meaningless. Metro Cities also opposes the elimination of the county road municipal consent and appeal process for these reasons. 61 Transportation 2023 Legislative Policies 5-M Plat Authority Current law grants counties review and comment authority for access and drainage issues for city plats abutting county roads. Metro Cities opposes any statutory change that would grant counties veto power or that would shorten the 120-day review and permit process time. 5-N MnDOT Maintenance Budget The state has failed in its responsibility for maintaining major roads throughout the state by requiring, through omission, that cities bear the burden of maintaining major state roads. MnDOT should be required to meet standards adopted by cities through local ordinances, or reimburse cities for labor, equipment and material used on the state’s behalf to improve public safety or meet local standards. Furthermore, if a city performs maintenance, the city should be fully reimbursed. Metro Cities supports MnDOT taking full responsibility for maintaining state-owned infrastructure and property, including, but not limited to, sound walls and right of way within city limits. Metro Cities supports cooperative agreements between cities and MnDOT, which have proven to be effective in other parts of the state. Metro Cities supports adequate state funding for the maintenance of state rights-of-way. 5-O Transit Taxing District The transit taxing district, which funds the capital cost of transit service in the Metropolitan Area through the property tax system, is inequitable. Because the boundaries of the transit taxing district do not correspond with any rational service line nor is being within the boundaries a guarantee to receive service, cities within and outside of the taxing district are contributing unequally to the transit service in the Metropolitan Area. This inequity should be corrected. Metro Cities supports a stable revenue source to fund both the capital and operating costs for transit at the Metropolitan Council. However, Metro Cities does not support the expansion of the transit taxing district without a corresponding increase in service and an overall increase in operational funds. To do so would create additional property taxes without a corresponding benefit. 5-P Complete Streets A complete street may include sidewalks, bike lanes (or wide paved shoulders), special bus lanes, comfortable and accessible public transportation stops, frequent and safe crossing opportunities, median islands, accessible pedestrian signals, curb extensions, narrower travel lanes and more. A complete street in a rural area will differ from a complete street in a highly urban area, but both are designed to balance safety and convenience for everyone using the road. 62 Transportation 2023 Legislative Policies Metro Cities supports options in state design guidelines for complete streets that would give cities greater flexibility to: •Safely accommodate all modes of travel; •Lower traveling speeds on local streets; •Address city infrastructure needs; and •Ensure livability in the appropriate context for each city. Metro Cities opposes state-imposed mandates that would increase street infrastructure improvement costs in locations and instances where providing access for alternative modes including cycling and walking are deemed unnecessary or inappropriate as determined by local jurisdictions. Name Title OrganizationDaniel Buchholtz City Administrator Spring Lake ParkGary Carlson**IGR Director League of MN CitiesCasey Casella Management Analyst Savage Jim Dickinson City Administrator Andover Lori Economy-Scholler* Chief Financial Officer Bloomington LaTonia Green Finance Director Brooklyn Park Dana Hardie City Manager Victoria Alex Hassel** IGR Representative League of MN Cities Chris Heineman City Administrator Little Canada Steven Huser Government Relations Representative Minneapolis Tom Lawell City Administrator Apple Valley Daniel Lightfoot** IGR Representative League of MN Cities Madeline Mitchell Senior Budget Analyst St. Paul Darin Nelson Finance Director Minnetonka Loren Olson IGR Director Minneapolis Hannah Pallmeyer** Community Relations Specialist Metropolitan Council Cara Schulz Councilmember Burnsville Steven Stahmer City Administrator Rogers Christian Taylor IGR Director St. Paul Christina Volkers City Administrator Oakdale *Committee Chair**Guest/Non-City Official 2022 Municipal Revenues Committee Members 63 Name Title Organization Karen Barton Community Development Director St. Louis Park Ryan Baumtrog** Asst. Commissioner, Policy & Community Development MHFA Josh Berg Councilmember Elko New Market Kim Berggren Community Development Director Brooklyn Park Jody Brennan Councilmember Shakopee Jenn Brewington Community & Economic Development Director Victoria Kirt Briggs Mayor Prior Lake Connie Buesgens Councilmember Columbia Heights Heather Butkowski City Administrator Lauderdale Gary Carlson** IGR Director League of MN Cities Aaron Chirpich Community Development Director Columbia Heights Jeffrey Dahl City Manager Wayzata Ben Gozola Asst. Director of Community Assets and Development New Brighton Janice Gundlach Community Development Director Roseville Maurice Harris Councilmember Golden Valley Alex Hassel** IGR Representative League of MN Cities Stephanie Hawkinson Affordable Housing Development Manager and Planning Edina Chris Heineman City Administrator Little Canada Joe Hogeboom Community & Economic Development Director Maple Grove Steven Huser Government Relations Representative Minneapolis Cheryl Jacobson City Administrator Mendota Heights Irene Kao** IGR Counsel League of MN Cities Dan Kitzberger** Legislative Director MHFA Daniel Lightfoot** IGR Representative League of MN Cities Steve Morris Councilmember Woodbury Bruce Nordquist Community Development Director Apple Valley Loren Olson IGR Director Minneapolis Hannah Pallmeyer** Community Relations Specialist Metropolitan Council Richard Paul Councilmember Blaine Michael Sable Assistant City Manager Bloomington Rebecca Schack Councilmember Minnetonka Cara Schulz Councilmember Burnsville Eric Searles Asst. Community Development Director Woodbury Alex Sharpe Planner & Economic Development Specialist Apple Valley Tracy Shimek* Housing & Economic Development Coordinator White Bear Lake Cherie Shoquist Housing & Economic Development Manager Golden Valley Lori Sommers Senior Planner Plymouth Mike Supina Councilmember Eagan Christian Taylor IGR Director St. Paul Julie Urban Housing & Redevelopment Manager Richfield Jason Wedel City Manager Prior Lake Julie Wischnack Community Development Director Minnetonka 2022 Housing & Economic Development Committee Members *Committee Chair **Guest/Non-City Official 64 Name Title OrganizationDeb Calvert Councilmember Minnetonka Macheal Collins City Clerk Burnsville Jim Dickinson City Administrator Andover Thomas Fletcher Councilmember Greenwood Gary Hansen Councilmember Eagan Alex Hassel** IGR Representative League of MN Cities Dana Hardie City Manager Victoria Steven Huser Government Relations Representative Minneapolis Cheryl Jacobson City Administrator Mendota Heights Elizabeth Kautz Mayor Burnsville Gregg Lindberg City Manager Burnsville Amada Marquez Simula Mayor Columbia Heights Deb McMillan Mayor Victoria Hugo McPhee Assistant City Manager Burnsville Loren Olson IGR Director Minneapolis Hannah Pallmeyer** Community Relations Specialist Metropolitan Council Izaak Peterson Senior Planner Victoria Jay Stroebel* City Manager Brooklyn Park Christian Taylor IGR Director St. Paul Nyle Zikmund City Administrator Mounds View 2022 Metropolitan Agencies Committee Members *Committee Chair**Guest/Non-City Official 65 2022 Transportation & General Government Committee Members Name Title Organization Josh Berg Councilmember Elko New Market Jody Brennan Councilmember Shakopee Kissy Coakley Councilmember Minnetonka Anne Finn** Assistant IGR Director League of MN Cities Thomas Fletcher Councilmember Greenwood Mike Funk City Manager Minnetonka Gary Hansen Councilmember Eagan Alex Hassel** IGR Representative League of MN Cities Mike Huang* Councilmember Chaska Steven Huser Government Relations Representative Minneapolis Craig Johnson** IGR Representative League of MN Cities Irene Kao** IGR Counsel League of MN Cities Dan Kealey Councilmember Burnsville Larry Kraft Councilmember St. Louis Park Brad Larson City Administrator Savage Daniel Lightfoot** IGR Representative League of MN Cities Amáda Márquez Simula Mayor Columbia Heights Mary McComber Mayor Oak Park Heights Deb McMillan Mayor Victoria Justin Miller City Administrator Lakeville Steve Morris Councilmember Woodbury Heidi Nelson City Administrator Maple Grove Loren Olson IGR Director Minneapolis Hannah Pallmeyer** Community Relations Specialist Metropolitan Council Chelsea Petersen Assistant City Administrator Shakopee Ryan Peterson Public Works Director Burnsville Dan Ruiz Public Works Director Brooklyn Park Judd Schetnan** Director of Government Affairs Metropolitan Council Dave Shoger Public Works Director Victoria Christian Taylor IGR Director St. Paul Michael Thompson Public Works Director Plymouth Patrick Trudgeon City Manager Roseville Wally Wysopal City Manager Fridley Nyle Zikmund City Administrator Mounds View *Committee Chair ** Guest/Non-City Official 66 HF 600 Summary League of MN Cities Dec. 12, 2022 Regulatory Structure Cannabis Management Board as regulating entity and administers all licenses. 5 members appointed by: •Speaker of the House •Leader of minority caucus in the House •Senate Subcommittee on Committees •Leader of the minority caucus in Senate •Governor Board appoints executive director and may employ additional employees. Duties include developing, maintaining, enforcing regulation system; establishing standards for testing, labeling, and packaging; issue and renew licenses; promote economic growth; prevent unauthorized access to cannabis by individuals under the age of 21, and; establish limits on potency of cannabis. Includes creation of a statewide monitoring system. Cannabis Advisory Council comprised of 28 appointed or designated individuals, including a representative from the League of Minnesota Cities. Makes recommendations to the Cannabis Management Board Cultivator (Craft and Bulk) Medical Cannabis Business Delivery Service Event Organizer Microbusiness Testing Facility Transporter Wholesaler Manufacturer Retailer Personal Use A person 21 years of age or older may: 1.Use, possess, or transport cannabis paraphernalia, 2.Possess or transport 2 ounces or less of adult-use cannabis in a public place, 3.Possess ten pounds or less of adult-use cannabis in a person’s private residence, 4.Possess or transport eight grams or less of adult-use cannabis concentrate, 5.Possess or transport an edible cannabis product infused with 800 milligrams or less of THC, 6.Give 2 ounces or less of adult-use cannabis, 8g or less of cannabis concentrate, or an edible cannabis product infused with 800mg or less of THC to a person who is at least 21 years of age, 7.Use adult-use cannabis in the following locations: a.Private residence b.Private property, not generally accessible by the public, unless the person is explicitly prohibited from consuming cannabis on the property by the owner c.On the premises of an establishment or event licensed to permit on-site consumption. Home cultivation:up to eight cannabis plants, with four or fewer being mature, flowering plants may be grown at a single residence without a license to cultivate cannabis issued under this chapter provided that it takes place at the primary residence of a person 21 years of age or older and in an enclosed, locked space that is not open to public view. Personal Use A person may not: 1.Use, possess, or transport cannabis or cannabis products if the person is under the age of 21, 2.Use cannabis or cannabis products in a motor vehicle, 3.Use cannabis or cannabis products at any location where smoking is prohibited, 4.Use or possess cannabis or cannabis products in a public school, 5.Use or possess cannabis or cannabis products in a state correctional facility, 6.Operate a motor vehicle under the influence of cannabis or cannabis products, 7.Give for no remuneration cannabis or cannabis products to a person under 21 years of age, 8.Give for no remuneration cannabis or cannabis products as a sample or promotional gift if the giver is in the business of selling goods or services. Local Control a)A local unit of government may not prohibit the possession, transportation, or use of cannabis or cannabis products authorized under this chapter. b)A local unit of government may not prohibit the establishment or operation of cannabis business licensed under this chapter. c)Can adopt reasonable time, place, and manner restrictions, and can prohibit operation within 1,000 feet of a school, day care, nursing home, union headquarters, house of worship, or the Capitol or Capitol grounds. d)The board shall work with local units of government to develop model ordinances for reasonable restriction on the time, place, and manner of the operation of a cannabis business. e)A local government may adopt an interim ordinance applicable to all or part of its jurisdiction for the purposes of protecting the planning process and the health, safety, and welfare of its citizens through January 2, 2024. Delegation Agreements: The board may enter into an agreement with any community health board, or a county or city that has an established delegation agreement as of January 1, 2014, to delegate all or part of the licensing, inspection, reporting, and enforcement duties authorized under this chapter. Local Involvement in License Application •Upon receipt of an application for a license issued under this chapter, the board shall contact the local unit of government in which the business would be located and provide the local unit of government with 30 days in which to provide input on the application. •The local unit of government may provide the board with additional information relevant to the board’s decision, including concerns about the proposed location of a cannabis business or sharing public information about an applicant. •Within 30 days of receiving a copy of an application from the board, a local unit of government shall certify on a form whether a proposed cannabis business complies with local zoning ordinances and state fire and building code. •The board shall establish an expedited complaint process to receive, review, and respond to complaints made by a local government about a cannabis business. The board is required to: o Provide an initial response to the complaint within 7 days. o Perform any necessary inspections within 30 days. Cannabis Retailer Licensing Cannabis retail licenses: •A person, cooperative, or business holding a cannabis retailer license may also hold a cannabis delivery service license, a medical cannabis license, and a cannabis event organizer license. •No person, cooperative, or business may hold a license to own or operate more than one cannabis retail business in one city or county. •A city or county may establish, own, and operate a municipal cannabis store subject to the restrictions in this chapter. •License and applicant data is private. Retailer operations: •Prior to initiating a sale, an employee must verify that the customer is at least 21 years of age. •A cannabis retailer must designate a retail area where customers are permitted where samples of cannabis and cannabis products available for sale are displayed. All other cannabis and cannabis products must be stored in the secure storage area. A cannabis retailer may display one sample of each type of cannabis or cannabis product available for sale, and they must be stored in a sample jar or display case. •A cannabis retailer may not sell cannabis or cannabis products between 2:00 AM and 8:00 AM on Monday- Saturday, or between 2:00 AM and 10:00 AM on Sunday. A city or county may adopt an ordinance to permit sales between 2:00-8:00 AM/2:00-10:00 AM. •Must maintain compliance with security requirements established by the board including requirements for video surveillance records, use of specific locking mechanisms, secure entries, and the number of employees working at all times. Cannabis Retailer Licensing A retailer can sell: •Immature cannabis plants and seedlings, •Adult-use cannabis, •Adult-use cannabis products, •The following products that do not contain cannabis or THC: •Drinks that do not contain alcohol, •Books and videos on the cultivation and use of cannabis, •Magazines and other publications primarily for information and education on cannabis, •Multiple-use bags, •Clothing marked with the specific name, brand, or identifying loco of the retailer, and •Hemp products. A retailer cannot: •Sell to a person who is visibly intoxicated, •Sell more product than a customer is legally permitted to possess, •Give away immature plants or seedlings, cannabis, or cannabis products, •Operate a drive-through, •Allow for the dispensing of products in vending machines, and •Sell products if the retailer knows that any required security or statewide monitoring systems are not operational. Cannabis Event Organizer Licensing •License entitles the license holder to organize a temporary cannabis event lasting no more than four days. •Requires proof of local approval for the cannabis event, including obtaining any necessary permits or licenses issued by a local unit of government, before holding a cannabis event. •If approved by the local unit of government, a cannabis event may designate an area for consumption of adult-use cannabis, adult-use cannabis products, or both. Could cities hold as a condition of an event license that cannabis products are not sold or provided? Packaging, Advertising •Packaging requirements similar to hemp-derived THC products. Requires certain label contents (batch number, name and license number of cultivator/business, etc.) •Advertisements cannot have false or misleading statements, contain unverified health claims, promote overconsumption, depict a person under 21, or appeal to persons under 21 by including cartoons, toys, animals, or children. •Outdoor advertisement of cannabis, a cannabis business, a cannabis product, or a hemp-derived consumable or topical product is prohibited. •A business may erect 2 fixed outdoor signs that can include the name of the business and the address and nature of the business but cannot include a logo or image of any kind. Taxes •Property used for raising, cultivating, processing, or storage of adult-use cannabis, adult-use cannabis products, medical cannabis, or medical cannabis products for sale added to class 3/commercial and industrial property and utility real and personal property. •Gross receipts tax imposed equal to 10% of gross receipts from retail and on-site sales in MN of adult-use cannabis, adult-use cannabis products, and any heat devices containing adult-use cannabis. •A political subdivision of the state is prohibited from imposing a tax under this section solely on the sale of adult-use cannabis and adult-use cannabis products. Criminal Penalties •Cannabis possession crimes (first through fourth degree) •Cannabis sale crimes (first through fourth degree) •Cannabis cultivation crimes (first and second degree) •Penalties for unlawfully using cannabis or cannabis products while driving, operating, or being in physical control of any motor vehicle of up to 90 days imprisonment and/or a fine of up to $1,000. •A local unit of government may adopt an ordinance establishing a petty misdemeanor offense for a person who unlawfully uses cannabis or cannabis products in a public place. •A minor is guilty of a petty misdemeanor if the minor unlawfully sells cannabis or cannabis products. Employment Provisions An employer must not request or require a job applicant to undergo cannabis testing or drug and alcohol testing solely for the purpose of determining the presence or absence of cannabis as a condition of employment unless otherwise required by state or federal law. For the following positions, cannabis and its metabolites are considered a drug and subject to the drug and alcohol test provisions in sections 181.950 to 181.957: •Peace officer position,•Firefighter position, •Position requiring face-to-face care, training, education, supervision, counseling, consultation, or medical assistance to children, vulnerable adults, or patients who receive health care services…•Position requiring a CDL or requiring an employee to operate a motor vehicle for which state or federal law requires testing of a job applicant or employee,•A position of employment funded by a federal grant, or any other position for which state or federal law requires testing of an applicant or employee for cannabis An employer may discipline, discharge, or take other adverse personnel action against an employee for cannabis use, possession, impairment, sale, or transfer while an employee is working, on the employer’s premises, or operating the employer’s vehicle, machinery, or equipment. Must be in employee policy. Date: January 17, 2023 Agenda Item #: VII.A. To:Mayor and City Council Item Type: Other From:Jennifer Garske, Executive Assistant Item Activity: Subject:Update from Hennepin County District Court Chief Judge Toddrick Barnette Information CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: None. INTRODUCTION: Hennepin County District Court Chief Judge Toddrick Barnette will give a brief update about the work being done in Hennepin County Courts. ATTACHMENTS: Description Hennepin County District Court At-a-Glance To provide jusƟce through a system that assures equal access for the fair and Ɵmely resoluƟon of cases and controversies. Personnel:  63 judges (number set by Legislature) 12‐14 referees (specialized judicial officers) 564 staff (full‐Ɵme‐equivalent) Divisions:  Civil Criminal Family Juvenile Probate/Mental Health LocaƟons:  4 locaƟons in downtown Minneapolis and two suburban courts with county libraries and service centers: Brookdale, Brooklyn Center; Ridgedale, Minnetonka Large Urban Court:  22% of Minnesotans live in Hennepin County In 2021, handled 33% of the state’s trial court case filings (315,252) One of the largest urban counƟes in the naƟon M®ÝÝ®ÊÄ  FÊçÙã« J痮‘®ƒ½ D®ÝãÙ®‘ã:  H›Äě֮ĠCÊçÄãù D®ÝãÙ®‘ã CÊçÙã  Aã‐A‐G½ƒÄ‘›  Juror stats in 2021:  538 jury trials requested (461 criminal, 77 civil) Pre‐pandemic comparison: In 2019, there were 725 jury trials requested (633 criminal, 92 civil) 35,184 ciƟzens summoned FÊçÙã« J痮‘®ƒ½ D®ÝãÙ®‘ã:  H›Äě֮ĠCÊçÄãù D®ÝãÙ®‘ã CÊçÙã  Aã‐A‐G½ƒÄ‘› Focus on Quality of JusƟce: Treatment  Courts Model  Specialized treatment courts include Criminal Mental Health Court, Drug Court, DWI Court, and Veterans Court High‐risk, high‐need populaƟon with a treatable condiƟon Protects public safety and due process Non‐adversarial prosecutor/defense counsel Intensive judicial/probaƟonary supervision More immediate/Ɵmely incenƟves and sancƟons Challenges EvicƟon case backlog following pandemic evicƟon moratorium 4.2% increase in felony filings between 2015‐2019 (five‐year average) Criminal backlog of felony and gross misdemeanor cases due to pandemic Many criminal defendants suffer from drug or alcohol addicƟon or abuse, mental illness, or a physical disability. Many liƟgants are self‐represented. At least one party is without an aƩorney in most family and minor civil cases. Interpreter requests for more than 100 languages provided annually (14,097 requests last year)   AdopƟons  179 children adopted in Hennepin County last year   CÊÄパã UÝ Todd BarneƩe, Chief Judge Toddrick.BarneƩe@courts.state.mn.us Sara Gonsalves, District Court Administrator Sara.Gonsalves@courts.state.mn.us Mike Valleau, LegislaƟve Liaison Michael.Valleau@courts.state.mn.us Website: www.mncourts.gov/hennepin Fourth District Updates & InnovaƟons  An efficient, electronic court: paperless court files, effecƟve electronic workflows and queues, customer kiosks, and digital signage TexƟng and emailing to defendants to remind them of court hearings: reduced failure to appear for hearings by 35% Adult DetenƟon IniƟaƟve: focusing on pretrial detenƟon only for defendants who pose a public safety risk or risk of not reappearing Pioneered a validated and locally normed Pretrial Scale that has been used for decades and is race and gender neutral. This tool allows judges to make objecƟve release decisions. Juvenile DetenƟon AlternaƟves IniƟaƟve (JDAI): 59% decrease in daily populaƟon at Juvenile DetenƟon Center; 37% decrease in out‐of‐home placements Warrant Helpline: Adult defendants can get informaƟon about their warrant and possibly schedule a court hearing to take care of their case. 612‐543‐WRNT (9768) Date: January 17, 2023 Agenda Item #: VII.B. To:Mayor and City Council Item Type: Report / Recommendation From:Heidi Lee, Race & Equity Manager Item Activity: Subject:Proclamation: 2023 National Day of Racial Healing Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve proclamation acknowledging the 2023 National Day of Racial Healing. INTRODUCTION: The National Day of Racial Healing was established in January 2017 as an opportunity for people and communities to come together in their collective humanity to take action to create a just and equitable work and heal from the effects of racism. ATTACHMENTS: Description Proclamation: 2023 National Day of Racial Healing PROCLAMATION 2023 NATIONAL DAY OF RACIAL HEALING JANUARY 17, 2023 WHEREAS, we all have witnessed growing racial divisiveness across the nation in urban, rural, suburban and tribal communities today, that threatens the very core of democracy; and WHEREAS, we must all work intentionally to create courageous and supportive spaces that acknowledge the traumatic past; promote the healing of the wounds created by racial, ethnic and religious bias; and build an equitable and just society so that all people in the Edina community can thrive; and WHEREAS, residents have the right to be provided every opportunity to learn, grow, and thrive in nurturing environments that do not violate their safety, dignity or humanity; and WHEREAS, every person has the opportunity to exhibit an act of kindness to make a simple change within themselves that can have profound effect on an entire society; and WHEREAS, if we all dedicate ourselves to the principles of truth, racial healing and transformation, we can all bring about the necessary changes in thinking and behavior that will propel this great city of Edina forward as a unified force where racial biases will become a thing of the past; and WHEREAS, racial healing is an essential and fundamental commitment to the education, social, mental and overall, wellbeing of all residents in the city of Edina. NOW, THEREFORE BE IT RESOLVED, that the City of Edina does hereby proclaim Tuesday, January 17, 2023, as NATIONAL DAY OF RACIAL HEALING in Edina and urges all residents to promote truth, racial healing and transformation in the ways that are best suited for them individually, as a means to working together to ensure the best quality of life for every child. Dated this 17th day of January 2023. _________________________________ James B. Hovland, Mayor Date: January 17, 2023 Agenda Item #: VIII.A. To:Mayor and City Council Item Type: Report / Recommendation From:Sharon Allison, City Clerk Item Activity: Subject:Resolution No. 2023-10: Accepting Donations Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve Resolution No. 2023-10 accepting donations. INTRODUCTION: To comply with State Statute, all donations to the City must be accepted by resolution and approved by two- thirds majority of the Council. See attached resolution with list of donations. ATTACHMENTS: Description Resolution No. 2023-10: Accepting Donations RESOLUTION NO. 2023-10 ACCEPTING DONATIONS ON BEHALF OF THE CITY OF EDINA WHEREAS, Minnesota Statute 465.03 allows cities to accept grants and donations of real or personal property for the benefit of its citizens; WHEREAS, said donations must be accepted via a resolution of the Council adopted by a two thirds majority of its members. NOW, THEREFORE, BE IT RESOLVED, that the Edina City Council accepts with sincere appreciation the following listed grants and donations on behalf of its citizens. Police Department  Edina Crime Prevention Fund $4,836.00 Bike Patrol Expenses  Edina Crime Prevention Fund $2,101.66 Retired K9 Expenses  Edina Crime Prevention Fund $2,775.61 Motorcycle Patrol Expenses  Edina Crime Prevention Fund $5,000.00 Holiday Foot Patrol Expenses  Dr. J. Patrick and Linda Smith $ 500.00 General use Fire Department  Thurl M Quigley & Dolores A Quigley Trust $ 100.00 General use  Dr. J. Patrick and Linda Smith $ 500.00 General use  Little Memorial Hospice Inc $1,750.00 General use Public Works  John & Bonnie Crouch $ 250.00 Bart Voth Commitment to Service Edina Senior Center  Elaine Phillips $ 300.00 Framed Photograph Dated: January 17, 2023 Attest: Sharon Allison, City Clerk James B. Hovland, Mayor 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 January 17, 2023, and as recorded in the Minutes of said Regular Meeting. WITNESS my hand and seal of said City this _______ day of ___________________, 2023. City Clerk Date: January 17, 2023 Agenda Item #: VIII.B. To:Mayor and City Council Item Type: Report / Recommendation From:Kris Aaker, Assistant Planner Item Activity: Subject:Resolution No. 2022-114: Request to Modify Conservation Restriction at 6800 Indian Hills Road Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Motion to adopt Resolution No. 2022-114, denying a modification of existing Conservation Restriction. INTRODUCTION: The homeowners are proposing a new conservation easement to replace an existing conservation easement in the rear yard. The modified easement would allow existing parts of the home and a newly constructed screened room, currently in violation of the easement and setback requirements to remain. Staff has provided options for approval and denial for the City Council to consider. ATTACHMENTS: Description Staff Report Site Location Narrative Current conservation restriction Site Photos Highlighted survey Proposed conservation restriction Filed open space restriction Resolution 2022-114 Denying the Request to Modify Conservation Restriction at 6800 Indian Hills Road Resolution 2022-114 Approving an Existing Open Space Conservation Restriction Easement at 6800 Indian Hills Road Staff Presentation Site Photos 2 December 20, 2022 City Council Kris Aaker, Assistant City Planner Request to modify existing Conservation Restriction Easement at 6800 Indian Hills Road. Information / Background: The homeowners are proposing a modified open space conservation restriction easement to replace an existing conservation restriction easement encompassing most of the rear yard of their property located at 6800 Indian Hills Road. The property backs up to Arrowhead Lake. The modified easement would allow parts of the original home and a newly constructed detached screened porch, currently in violation and located in the easement, to remain in the rear yard, (See attached modified conservation restriction easement and narrative). The existing conservation restriction easement is approximately 100 feet upland from the Lake edge and overlaps some back walls of the home, a deck and a new detached, 116 sq ft screened porch. Required building setback from the Lake is 75 feet from the ordinary highwater elevation, (OHWE), of Arrowhead Lake. The home conforms to the 75-foot setback; however, the new detached screened porch does not conform to required setback. A 24-foot setback variance from the lake would be needed from the Planning Commission to allow the detached screened porch to remain within the setback. The request of Council is to address the conservation restriction easement prior to a variance ask of the Planning Commission. Next step if Council modifies the restriction:  Structure setback variance will need approval of the Planning Commission from 75 feet to 51 from the OHWE. The applicants originally hoped to construct a screened porch attached to the house, however, according to the applicants, there were no options for a screened porch location, subsequently they planned a detached screened room instead. Their planning process started in the summer of 2021, selecting a contractor and a location for the screened room. Once selected, the contractor cleared the brush and created a flat landing with boulders and packed dirt. The homeowners were not aware of the conservation restriction easement on their property. STAFF REPORT Page 2 Their chosen contractor was originally set to build the structure but due to supply chain and labor shortages, that plan fell through. A new contractor was hired and submitted permit paperwork to the City of Edina in April 2022. A building permit is not required for accessory structures that are 200 square feet in area or less. Construction was scheduled to start in June. The contractor indicated to the homeowner the free-standing, screened room, did not require a building permit, met standard codes of construction and Edina's setback and cover requirements per Building Inspections. Construction began and was completed in less than two weeks. Upon completion, the city received a complaint from a resident concerned about the proximity of the structure to Arrowhead Lake, so the Planning Department was notified to investigate. A setback violation was confirmed, and an open space conservation restriction easement was also discovered as impacting the property. SUPPORTING INFORMATION Surrounding Land Uses Northerly: Single-family homes; zoned R-1, Single Dwelling Unit District, and guided low density residential. Easterly: Single-family homes; zoned R-1, Single Dwelling Unit District, and guided Low Density Residential. Southerly: Single-family homes; zoned R-1, Single Dwelling Unit District, and guided Low Density Residential. Westerly: Single-family homes; zoned R-1, Single Dwelling Unit District, and guided Low Density Residential. Existing Site Features The subject property is 1.71 acres in size with a two-story home and an attached garage built in 2007. Planning Guide Plan designation: Low Density Residential Zoning: R-1, Single dwelling Unit District PRIMARY ISSUE  Is the change to conservation restriction easement justified? Recommendation A case could be made for approval or denial of the restriction change. Below provides options for the city council to consider: STAFF REPORT Page 3 Approval Approve the revised conservation restriction at 6800 Indian Hills Road based on the following findings: 1. The proposed restriction revision is reasonable for this site, as it allows existing encroachments to remain while protecting the remaining rear yard area. 2. The rear yard buildable area on the site is severely limited given the conservation restriction easement. The easement is up against the back wall of the home with a portion of the house, a deck and a small 116 square foot detached screened room currently overlapping the easement area. 3. Chapter 36 of the Zoning Ordinance suggests that the Planning Commission will consider exceptions to the setback requirements if there are practical difficulties in complying with the zoning ordinance and that the use is reasonable with a variance correcting extraordinary circumstance. The easement encompasses almost the entire back lot with no reasonable opportunity for structure location. 4. The difficulty is that practically any location for the screened porch in the rear yard is prohibited on the site. 5. The detached screened room structure was intended to be minimal in size and blend in with surroundings. Approval is conditioned on the following:  Planning Commission approval of a 24-foot structure setback variance from 75 feet to 51 feet from the OHWE of Arrowhead Lake for the screened porch. Denial Deny the revised conservation restriction easement request at 6800 Indian Hills Road. Denial is subject to the following findings: 1. The site area is a reasonable size and can accommodate some improvements without requesting a change to the conservation restriction or variance request. 2. The variance criteria will not have been met given location. All properties along Arrowhead Lake are subjected to the same 75-foot setback from the OHWE. There are no extenuating circumstances present on the site that are different from neighboring properties that allow location within the 75- foot setback area. 3. The building location is a self-created condition that resulted from actions of the property owner. STAFF REPORT Page 4 4. The proposal is not consistent with the intent of a conservation restriction. The conservation restriction states: “The purpose of this Conservation Restriction is to assure that the Easement Area shall at all times remain as open space and constitute scenic surroundings.” Staff Recommendation Staff recommends denial of the request subject to the findings above. 6800 Indian Hills Road Edina, Hennepin, MetroGIS December 7, 2022 0 140 28070ft 0 40 8020m 1:1,160 APPLICANT NARRATIVE Edina Council Members, Thank you for reviewing our case. I hope you will consider a modification to our property's conservation easement. BACKGROUND: My husband and I always hoped for a screened porch, having grown up with them. We spent countless hours as kids and teenagers in our respective screened porches - enjoying nature without fully braving the elements - and hoped for the same for our kids. When we bought our home, though, there was no option for a screened porch. So we pivoted towards building a screened room instead. During the summer of 2021, we worked with our landscaping team, Southview Design (2383 Pilot Knob Rd. St. Paul, MN 55120, (952) 881-2296), to select a location for our screened room. Once selected, Southview Design cleared the brush and created a flat landing with boulders and packed dirt. Southview Design was originally set to build our screened room but, due to supply chain and labor shortages, that plan fell through. We then worked with JRG Construction (17432 Honeysuckle Avenue, Lakeville, MN, 952-688-2141) to build our screened room. JRG submitted permit paperwork to the City of Edina in April, 2022. When they did not receive a response, they emailed and called the City of Edina in May and June. Construction was scheduled to start in June. But, by the end of June, there was no response from the city. JRG suspected that the lack of response was due to the nature of the project. They explained that our free-standing, screened room met standard codes of construction and Edina's setback and cover requirements. In essence, the project's straightforwardness was not worth the planning committee's time and effort to review. We trusted their professional experience and 2 months without a response from the city seemed to support their reasoning. Construction began and was completed in less than two weeks. CONSERVATION EASEMENT: Shortly after completion, we learned that our screened room did not meet the buffer requirement set forth in the Conservation Easement - a document we were previously unaware of. Our title company (All American Title Co, 7801 E. Bush Lake Road, Edina, MN, 952-944- 3537) admits that while this document was listed in our Commitment, it was neither mentioned nor reviewed during closing. Furthermore, a copy was not provided to us during or after closing. The prior owners (Bibi and Ehtesham Khoyratty - now living at 3547 Vista Dr, Macungie, PA 18062) and their realtor (Erick Ries - Edina Realty - 6800 France Ave S, Suite 200, Edina, MN 55435) were also unaware of the Conservation Easement - so could not disclose this to us prior to closing. NEXT STEPS: We have created a new conservation easement for your review. This easement would allow our screened room to remain. We have also discussed next steps with JRG should the city reject our screened room. The two options are clearing even more land and moving the screened room back or demolishing it. Both options, however, would be more environmentally destructive than keeping the structure as is. Both options would be counter to the very conservation we hope to preserve and never intended to overstep. We hope to work with the city of Edina towards a solution that avoids both waste and any further destruction. PLEASE NOTE: We have made significant improvements to our shoreline buffer area this year. Using a licensed shore restoration company (Natural Shore Technologies, Inc. 1480 County Rd 90, Independence, MN, 612-703-7581) we restored 6200 square feet of shoreline, killing weeds with an herbicide appropriate for upland or aquatic use, cutting and removing weedy plant material, and planting 2,800 plants (including 25 different native, plant species). This restoration has enhanced both the appearance and shoreline's ability to mitigate the damage caused by polluted runoff. Finally, both neighbors (Zac and Sarah Quayle - 6728 Indian Hills Road and Catherine Thurk - 6804 Indian Hills Road) are in support of the screened room. Thank you for your consideration, Cassandra and Rohan Lall 5709 McGUIRE ROAD EDINA MN 55439 952-854-9002 www.state-engineering.com State Engineering and Surveying Co mpany PREPARED FOR CASSANDRA LALL 6800 INDIAN HILLS RD EDINA MN 55439 SITE LOCATION 6800 INDIAN HILLS RD EDINA MN 55439 OCT 1 6 2022 5709 McGUIRE ROAD EDINA MN 55439 952-854-9002 www.state-engineering.com State Engineering and Surveying Co mpany PREPARED FOR CASSANDRA LALL 6800 INDIAN HILLS RD EDINA MN 55439 SITE LOCATION 6800 INDIAN HILLS RD EDINA MN 55439 OCT 16 2022 t- 1 13 1 1 CONSERVATION RESTRICTION Open Space) r 1 e-0 tAugG1 t?) THIS INDENTU E, Made this '31 day of August, 2005, between Legacy Holdings -ED, LLC, a innesota limited liability company (hereinafter called "Owner," where one or more), a d the CITY OF EDINA, a municipal corporation under the laws of the State of Minnesota (hereinafter called "Edina "). WITNESSETH: That Owner, in onsideration of One Dollar ($1.00) and other good and valuable consideration, the rec ipt of which is hereby acknowledged, does hereby Grant, Bargain, Sell and Con ey unto Edina, its successors and assigns, Forever, a Conservation Restricti n pursuant to Minnesota Statutes §84.64, for the purposes and on the terms hereinaft r specified, over, on and across the tract(s) or parcel(s) of land lying and being in the ounty of Hennepin and the State of Minnesota, described in Exhibit A attached her to and made a part hereof (said tract(s) or parcel(s) of land being hereinafter toge her called the "Easement Area ". TO HAVE AN TO HOLD THE SAME, Together with all the hereditaments and appurtenances thereu to belonging, or in anywise appertaining, to Edina, its successors and assigns, Forever. And Owner, for Owner and Owner's heirs, representatives, successors and assig s, covenants with Edina, it successors and assigns, that Owner is well seized in fee o the Easement Area, and has good right to convey pursuant hereto the interests h reby conveyed, and that the Easement Area is free from all encumbrances, exce t real estate taxes and installments of special assessments payable therewith whi h are not yet payable. And the Easement Area, in the quiet and peaceable possessio of Edina, its successors and assigns, for the purposed hereby granted against all pe sons lawfully claiming or to claim the whole or any part thereof, subject to the encum rances hereinbefore mentioned, Owner will warrant and defend. The purpose o this Conservation Restriction is to assure that the Easement Area shall at all times rem in as open space and constitute scenic surroundings. To accomplish this purp se, Owner, for Owner and Owner's heirs, representatives, successors and assi ns, does hereby covenant and agree that: 1. Except or deck support columns and footings, patio construction of no more than 500 sq. ft, ogether with appurtenant retaining walls, no buildings or other structures of any kind, and no utility equipme erected, installed, con constructed, on or and no roads, signs, billboards or other advertising of any kind, t poles, wires or other material of any kind, shall hereafter be tructed or placed, or allowed to be erected, installed, placed or e all of any part of the Easement Area without the express prior written approval of Edina. 2. No soil o other substances or material shall be dumped or placed, or allowed to be dumped or placed, as landfill or for any purpose, reason or cause on all of any part of the Easem nt Area without the express prior written approval of Edina. 3. No trash, waste or unsightly or offensive materials shall be dumped or placed, or allowed to b dumped or placed, on all or any part of the Easement Area without the express pri r written approval of Edina. 4. No loam, peat, gravel, soil, rock, or other material or substance shall be excavated, dredged, o removed, or allowed to be excavated, dredged or removed, from all of any part of the E sement Area without the express prior written approval of Edina. 5. No activi ies detrimental to drainage, flood control, water conservation, erosion control, or soil conservation, and no other acts of uses detrimental to the retention or preservati n of the Easement Area as a scenic open space, shall be conducted or permitte to be conducted on all or any part of the Easement Area without the express prior writt n approval of Edina. 6. The Eas ment Area shall at all time be kept planted, shrubbed, sodded and otherwise landsc ped (hereinafter collectively called "landscaping ") by Owner, Owner's heirs, repres ntatives 7. The Easem nt Area, including landscaping, shall be maintained at all times by Owner and Own is heirs, representatives, successors and assigns, in full compliance with all a p plicable ordinances of Edina now or hereafter enacted and in full compliance with th provisions of this Conservation Restriction. 8. Except as li ted in No. 1 herein, no surface use shall be made of all or any part of the Easement Area except for purposes consistent with the maintenance and preservation of the asement Area as open space without the express prior written approval of Edina. 9. This Conse ation Restriction shall not operate to grant to Edina the right to use or improve, or to ermit the public to use or improve, the Easement Area as or for a park. 2 10. The rights Minnesota, including, statute, as such status be available to Edina violate or breach, an Restriction, Edina ms person, firm or corpoi and remedies in law and in equity given by the laws of limitation, Minnesota Statutes § 84.65 or any successor may hereafter be supplemented, modified or amended, shall Uso, if there shall be a violation or breach, or an attempt to of the terms, covenants or conditions of this Conservation prosecute any proceedings at law or in equity against the on violating or breaching, or attempting to violate or breach, any such term, covenant or condition, to either prevent such violation or breach or to recover damages for uch violation or breach. Also, Edina, in the event of such violation or breach, wit out notice, may, at its option, enter upon the Easement Area with such personnel, a uipment and material as it determines necessary, to undertake and perform the term, covenant or condition so violated or breached, or to cure the violation or breach, an the cost incurred, including attorneys' fees, without interest at the highest rate then a lowed by law, or, if no maximum rate is applicable, then at the rate of twelve percent (12 %) per annum, shall be payable by Owner, and Owner's heirs, representatives, successors and assigns, on demand made by Edina, its successors and assigns, and Owner and Owner's heirs, representatives, successors and assigns shall also pay all costs of collection thereof, including attorneys' fees, with interest thereon as above provided, if payment is not made on demand, whether or not suit be brought. In addition to other remedies then available for collection of such costs and interest, Edina may levy such costs and interest against the Easement Area and any other property then included in the same tax parcel as the Easement Area, in the same manner asspecial assessments (without, however, any notice or hearing of any kind) and collect th same with the real estate taxes against the whole of such tax parcel which are paya le in the year following the year such costs and interest are so levied, and Owner, fo Owner and Owner's heirs, representatives, successors and assigns, hereby waive any and all objections to such levy, including, without limitation, the amount thereof, the hearing process (including the giving of, or failure to give, or error in giving of, any required motion), and including all rights of appeal from such levy. If such assessments are not paid before they become delinquent, the whole of such tax parcel may be sold and conveyed in the same manner as lands forfeited' for nonpayment of real est to taxes are sold and conveyed. 3 11. The terms, covenants and conditions hereof shall run with the land and shall be binding on all present and future owners and occupiers of the Easement Area, and shall only inure to the benefit of Edina, its successors and assigns, and may be amended or modified at any time and from time to time by the sole act of Edina and the then record owners of the Easement Area, and may be released in whole or in part at any time, and from time to time, by the sole act of Edina. 12. Each person) who is now or hereafter a record owner of all or any part of the Easement Area shall be liable hereunder for all liabilities and obligations accruing hereunder while such a record owner, and if there be more than one such record owner, such liability shall cease as except, however, for I owner. IN WITNESS executed the day and 1 rs shall be jointly and severally liable. However, such such record owner when no longer such a record owner, and obligations which accrued while such a record IEREOF, Owner has caused these presents to be r first above written. Legacy Holdings-ED, LLC Bye` Its: 4 This instrument is exempt from State Deed Tax. STATE OF MINNESO A ) ss COUNTY OF HENNE IN ) 5 The foregoing nstrument was acknowledged before me this 3( day of August, 2005, by Joh C. Brandt, the Chief Manager of Legacy Holdings -ED, LLC, a Minnesota limited liabil ty company, on behalf of the company. FRANK LEXANDERJANES NOTARY PUBLIC - MINNESOTA Iv Commi Sion Expires Jan. 31, 201 Drafted By: The City of Edina 4801 W. 501h St. Edina, MN 55424 Attention: Craig L 5 Notary EXHIBIT A Legal Description of Easement Area) H H H7! W IIORia r Aa r0 a so scus IN rest aoro A. „euc,r ab uri =— w s eon, x,W. nM A,rw,...w 4 A it[ epn, MR YlUftf rMPirR A4 1 f-j— L— rursrtrr.,eel,rmenw,stlbM /OPAI lOf Wfi MeAe . rRr 1 AllY.dOY61.f asr°aA°iss °r,ianiiK / earwn1°cr >re• a coq / / B L O' n'Lmortpr, sw+xdsrnar rrr or for r Qliv m1.rr atom K i sgnwtr cone or aor> PLEASE NOTE THAT THE PLAT OFARROWHEAD HEIGHTS IS CURRENTLY NOT A RECORDED PLAT DENOTES PROPOSED CONSERVAr10N RESTRICTION EASEMENT Proposed Legal Description for a Conservation Restriction Easement over Lot 1, Block 1, ARROWHEAD HEIGHTS August31.2005) An easement for conservation restriction purposes over, udder and across that part of Lot 1, Block 1, ARROWHEAD HEIGHTS, according to the recorded plat thereof, Hennepin County, Minnesota, lying northeasterly of s line described as follows: Commencing at the most southerly comer of Lot 2, said Block 1; thence northeasterly along the southeasterly, lips of said Lot 2 a distance of 187.00 feet; thence northwesterly, deflecting to the left 94 degrees 69 minutes 07 seconds, to the northwesterly line of said Lot 2 and the point of begirudng of the fine to be described; thence northwesterly, deflecting to the right 12 degrees 26 minutes 51 seconds to the northwesterly line of said Lot 1 and said line there terminating. Proposed Legal Description HEIGHTS August 31, 2005) An easement for conservation restriction purposes over, under and across that part of Lot 2, Block 1, ARROWHEAD HEIGHTS, according to the recorded plat thereof, Hennepin County, Minnesota, lying northeasterly of a line described as follows: Commencing at the most southerly comer of said Lot 2; thence northeastery along the southeasterly line of said Lot 2 a distance of 187.00 feet to the point of beginning of the line to be described; thence northwesterly, deflecting to the Wit 94 degrees 59 minutes 07 seconds, to the northwestedy line of said Lot 2 and said line there terminating. ARROWHEAD HEIGHTS Nortrord Group Inc 12100 Singletree Lane, Solve 120 Eden Prairie, MN 55344 ASSOCIATES KS PIS 0M sari- . PROPOSED CONSERVATION EASEMENT mart 03133 1 OF 1 CONSENT AND SUBORDINATION The undersig ed, being the holder of a Mortgage (the "Interest ") on the property defined as t e "Easement Area" in the Conservation Restriction to which this Consent and S bordination is attached, the document creating said Interest being dated Aug st 31 . 2005, and recorded as Document No. in the office of the County Recorder, Hennepin County, Minnesota, does he eby agree and consent to all of the terms and conditions of the Conservation estriction to which this Consent and Subordination is attached, and agree to be bound by all of the obligations of, and subject to all of the remedies availa le against, an owner in the event it becomes a record owner of all or any part of t e Easement Area. Crc By: Its: STATE OF MINNE OTA ) ss COUNTY OF HEN EPIN ) T e foregoing Consent and Subordi this day of Au ust, by of Crown Bank, a i . I was acknowledged before ,me the on behalf of the 0 F NK ALEXANDER DANES N TARP PUBLIC • MINNESOTA My ommission Expires Jan. 31, 2010 Notary 7 Doc No 8778713 04/13/2006 02:24 PM Certified filed and or recorded on above date: Office of the County Recorder Hennepin County, Minnesota Michael H. Cunniff, County Recorder Deputy 5 TranslD 201928 Fees 35.50 DOC 10.50 SUR 2.00 COPY 48.00 Total RESOLUTION NO. 2022-114 DENYING A REQUEST TO MODIFY AN EXISTING OPEN SPACE CONSERVATION RESTRICTION EASEMENT FOR 6800 INDIAN HILLS ROAD BE IT RESOLVED by the City Council of the City of Edina, Minnesota, as follows: Section 1. BACKGROUND. 1.00 Cassandra and Rohan Lall requested an open space conservation restriction easement modification in the rear yard of their property. The homeowners proposed a modified restriction easement to replace an existing conservation restriction easement encompassing most of the rear yard of their property located at 6800 Indian Hills Road. The property backs up to Arrowhead Lake. The modified easement allows parts of the original home and a newly constructed detached screened porch, currently in violation and located in the easement, to remain in the rear yard. 1.01 The property is legally described as follows: LOT 2, BLOCK 1, ARROWHEAD HEIGHTS, ACCORDING TO THE RECORDED PLAT THEREOF: TOGETHER WITH THAT PART OF LOT 1, BLOCK 1, SAID ARROWHEAD HEIGHTS, WHICH LIES SOUTHEASTERLY OF THE FOLLOWING DESCRIBED LINE: COMMENCING AT THE MOST WESTERLY CORNER OF LOT 1, BLOCK 1, SAID ARROWHEAD HEIGHTS: THENCE SOUTHEASTERLY, ON AN ASSUMED BEARING OF SOUTH 50 DEGREES 22 MINUTES 27 SECONDS EAST, ALONG THE SOUTHWEST LINE OF LOT 1, BLOCK 1, SAID ARROWHEAD HEIGHTS, A DISTANCE OF 46.33 FEET TO THE POINT OF BEGINNING OF THE LINE TO BE DESCRIBED: THENCE NORTH 33 DEGREES 37 MINUTES 37 SECONDS EAST A DISTANCE OF 184.48 FEET, THENCE NORTH 46 DEGREES 27 MINUTES 51 SECONDS EAST A DISTANCE OF 111.68 FEET: THENCE NORTH 72 DEGREES 00 MINUTES 51 SECONDS EAST TO THE MOST NORTHEASTERLY LINE OF LOT 1, BLOCK 1, OF SAID ARROWHEAD HEIGHTS AND SAID LINE THERE TERMINATING. 1.02 The existing conservation restriction easement is approximately 100 feet upland from the Lake edge and overlaps some back walls of the home, a deck and a new detached, 116 sq ft screened porch. 1.03 Required building setback from the Lake is 75 feet from the ordinary high-water elevation, (OHWE), of Arrowhead Lake. The home conforms to the 75-foot setback; however, the new detached screened porch does not conform to required setback. 1.04 A 24-foot setback variance from the lake will be needed from the Planning Commission to allow a detached screened porch to remain within setback. RESOLUTION NO. 2022-114 Page 2 1.05 To accommodate the request, the following is requested:  Approval of the revised conservation restriction request by the City Council at 6800 Indian Hills Road subject to a variance approval for setback from the 75-foot requirement to 51 feet to the OHWE of Arrowhead Lake from the Planning Commission for the existing detached screened porch. 1.06 On January 17, 2023, the City Council denied the request. Section 2. FINDINGS 2.01 Denial is based on the following findings: 1. The site area is a reasonable size and can accommodate some improvements without requesting a change to the conservation restriction or variance request. 2. The proposed project would not meet the criteria for variance given location All properties along Arrowhead Lake are subjected to the same 75-foot setback from the OHWE. There are no extenuating circumstances present on the site that are different from neighboring properties that allow location within the 75-foot setback area. 3. The proposal is not consistent with the intent of a conservation restriction. The conservation restriction states: “The purpose of this Conservation Restriction is to assure that the Easement Area shall at all times remain as open space and constitute scenic surroundings.” Section 3. DENIAL NOW THEREFORE, it is hereby resolved by the City Council of the City of Edina, denies the request to modify existing Conservation Restriction Easement at 6800 Indian Hills Road. RESOLUTION NO. 2022-114 Page 3 Adopted by the City Council of the City of Edina, Minnesota, on January 17, 2023. ATTEST: Sharon Allison, City Clerk James B. Hovland, Mayor 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 January 17, 2023, and as recorded in the Minutes of said Regular Meeting. WITNESS my hand and seal of said City this day of , 2023. City Clerk RESOLUTION NO. 2022-114 APPROVING AN EXISTING OPEN SPACE CONSERVATION RESTRICTION EASEMENT AT 6800 INDIAN HILLS ROAD BE IT RESOLVED by the City Council of the City of Edina, Minnesota, as follows: Section 1. BACKGROUND. 1.00 Cassandra and Rohan Lall requested an open space conservation restriction easement modification in the rear yard of their property. The homeowners proposed a modified restriction easement to replace an existing conservation restriction easement encompassing most of the rear yard of their property located at 6800 Indian Hills Road. The property backs up to Arrowhead Lake. The modified easement allows parts of the original home and a newly constructed detached screened porch, currently in violation and located in the easement, to remain in the rear yard. 1.01 The property is legally described as follows: LOT 2, BLOCK 1, ARROWHEAD HEIGHTS, ACCORDING TO THE RECORDED PLAT THEREOF: TOGETHER WITH THAT PART OF LOT 1, BLOCK 1, SAID ARROWHEAD HEIGHTS, WHICH LIES SOUTHEASTERLY OF THE FOLLOWING DESCRIBED LINE: COMMENCING AT THE MOST WESTERLY CORNER OF LOT 1, BLOCK 1, SAID ARROWHEAD HEIGHTS: THENCE SOUTHEASTERLY, ON AN ASSUMED BEARING OF SOUTH 50 DEGREES 22 MINUTES 27 SECONDS EAST, ALONG THE SOUTHWEST LINE OF LOT 1, BLOCK 1, SAID ARROWHEAD HEIGHTS, A DISTANCE OF 46.33 FEET TO THE POINT OF BEGINNING OF THE LINE TO BE DESCRIBED: THENCE NORTH 33 DEGREES 37 MINUTES 37 SECONDS EAST A DISTANCE OF 184.48 FEET, THENCE NORTH 46 DEGREES 27 MINUTES 51 SECONDS EAST A DISTANCE OF 111.68 FEET: THENCE NORTH 72 DEGREES 00 MINUTES 51 SECONDS EAST TO THE MOST NORTHEASTERLY LINE OF LOT 1, BLOCK 1, OF SAID ARROWHEAD HEIGHTS AND SAID LINE THERE TERMINATING. 1.02 The existing conservation restriction easement is approximately 100 feet upland from the Lake edge and overlaps some back walls of the home, a deck and a new detached, 116 sq ft screened porch. 1.03 Required building setback from the Lake is 75 feet from the ordinary high-water elevation, (OHWE), of Arrowhead Lake. The home conforms to the 75-foot setback; however, the new detached screened porch does not conform to required setback. 1.04 A 24-foot setback variance from the lake will be needed from the Planning Commission to allow a detached screened porch to remain within setback. RESOLUTION NO. 2022-114 Page 2 1.05 To accommodate the request, the following is requested:  Approval of the revised conservation restriction request by the City Council at 6800 Indian Hills Road subject to a variance approval for setback from the 75-foot requirement to 51 feet to the OHWE of Arrowhead Lake from the Planning Commission for the existing detached screened porch. 1.06 On January 17, 2023, the City Council approved the request. Section 2. FINDINGS 2.01 Approval is based on the following findings: 1. The proposed restriction revision is reasonable for this site, as it allows existing encroachments to remain while protecting the remaining rear yard area. 2. The rear yard buildable area on the site is severely limited given the conservation restriction easement. The easement is up against the back wall of the home with a portion of the house, a deck and a small 116 square foot detached screened room currently overlapping the easement area. 3. Chapter 36 of the Zoning Ordinance suggests that the Planning Commission will consider exceptions to the setback requirements if there are practical difficulties in complying with the zoning ordinance and that the use is reasonable with a variance correcting extraordinary circumstance. The easement encompasses almost the entire back lot with no reasonable opportunity for structure location. 4. The difficulty is that practically any location for the screened porch in the rear yard is prohibited on the site. 5. The detached screened room structure was intended to be minimal in size and blend in with surroundings. RESOLUTION NO. 2022-114 Page 3 Section 3. APPROVAL NOW THEREFORE, it is hereby resolved by the City Council of the City of Edina, approves the modified open space conservation restriction easement at 6800 Indian Hills Road. Adopted by the City Council of the City of Edina, Minnesota, on January 17, 2023. ATTEST: Sharon Allison, City Clerk James B. Hovland, Mayor 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 January 17, 2023, and as recorded in the Minutes of said Regular Meeting. WITNESS my hand and seal of said City this day of , 2023. City Clerk Request to modify an existing Conservation Restriction Easement at 6800 Indian Hills Road. Site Location EdinaMN.gov 2 EdinaMN.gov 3 Existing conditions survey EdinaMN.gov 4 Proposed exceptions survey EdinaMN.gov 5 Exceptions and setback indicated EdinaMN.gov 6 Building Inspection photos EdinaMN.gov 7 Homeowner photos EdinaMN.gov 8 Homeowner photos EdinaMN.gov 9 Date: January 17, 2023 Agenda Item #: VIII.C. To:Mayor and City Council Item Type: Report / Recommendation From:Cary Teague, Community Development Director Item Activity: Subject:Sketch Plan Review for 5201 Grandview Lane Discussion CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: No action requested. Provide the applicant non-binding feedback on a potential future development application. INTRODUCTION: The City Council is asked to consider a sketch plan request to tear down the existing duplex at 5201 Grandview Lane and build a 3-unit townhome. Two units would gain access off Grandview Lane and the other off 52nd Avenue South. (See attached applicant narrative and plans.) The subject property is zoned R-2, Double Dwelling Unit District. T he site is guided low density attached residential, which allows between 4-8 units per acre. T he property is 12,938 square feet in size. The proposed density is 10 units per acre. The request would require the following: A Comprehensive P lan Amendment to re-guide the site from low density attached to medium density, which would allow up to 12 units per acre; and A Rezoning from R-2, Single-Dwelling Unit District to PRD-3, P lanned Residential District-3, and multiple variances including setbacks on all sides, building coverage and lot area per unit. ATTACHMENTS: Description Planning Commission Staff Memo Affordable Housing Manager Memo Aerial, Site Location, Zoning, & Comp. Plan Applicant Narrative Proposed Plans Required Setbacks Staff Presentation City of Edina • 4801 W. 50th St. • Edina, MN 55424 City Hall • Phone 952-927-8861 Fax 952-826-0389 • www.CityofEdina.com Date: December 14, 2022 To: Planning Commission From: Cary Teague, Community Development Director Re: Sketch Plan Review – 5201 Grandview Lane The Planning Commission is asked to consider a sketch plan request to tear down the existing duplex at 5201 Grandview Lane and build a 3-unit townhome. Two units would gain access off Grandview Lane and the other off 52nd Avenue South. (See attached applicant narrative and plans.) The subject property is zoned R-2, Double Dwelling unit District. The site is guided low density attached residential, which allows between 4-8 units per acre. The property is 12,938 square feet in size. The proposed density is 10 units per acre. The request would require the following:  A Comprehensive Plan Amendment to re-guide the site from low density attached to medium density, which would allow up to 12 units per acre; and  A Rezoning from R-2, Single-Dwelling Unit District to PRD-3, Planned Residential District-3, and multiple variances including setbacks on all sides, building coverage and lot area per unit. The table on the following page is a compliance table demonstrating how the proposed new building would and would not comply with a PRD-3, Planned Residential Development-3 standards on the lot. City of Edina • 4801 W. 50th St. • Edina, MN 55424 Compliance Table City Standard (PRD-3) Comprehensive Plan Proposed Front – Grandview Lane Front – 52nd Ave. South Side – South Rear 35 feet 35 feet 20 feet 35 feet 30 feet* 17 feet* 10 feet* 30 feet* Building Height 2.5 stories or 35 feet 2.5 stories Building Coverage .30 .34* Lot Area per Dwelling Unit 4,400 s.f. 4,312 s.f.* Density Allowed (units allowed on the site) 8 units per acre (2 units) 10 units per acre** (3 units**) *Variances required **Comprehensive Plan Amendment Required Highlights/Issues:  Affordable Housing. The average market value for the two units that exist on the site is $328,000, therefore, the units are considered naturally occurring affordable housing. The proposal would remove these units and replace them with market rate housing. (See attached memo from the affordable housing development manager.)  The properties to the west and south contain duplexes that are zoned R-2, Double Dwelling Unit District. The property to the east is an apartment zoned PRD-3, and guided medium density housing. (See attached Zoning Map & Comprehensive Land Use Plan).  Density/Comprehensive Plan. Increased density was not considered for this site as part of the recent Comprehensive Plan Update. While the proposal would add only one unit to this lot, a Comprehensive Plan Amendment would still be required.  The proposal requires variances for all setbacks, lot area and building coverage, indicating the proposed increase in density is too much for the site and not appropriate as proposed. The plans should be revised to meet setback and building coverage requirements. City of Edina • 4801 W. 50th St. • Edina, MN 55424  Staff would suggest that this entire block of Grandview Lane could be considered as a potential future area of change and studied further within the next Comprehensive Plan Update. Re-guiding this entire area to medium density residential could be considered at that time, as it would be consistent with medium density designations to the east and west. City of Edina • 4801 W. 50th St. • Edina, MN 55424 Department Name Phone 952-927-8861 • Fax 952-826-0390 • EdinaMN.gov Date: December 9, 2022 To: Cary Teague, Community Development Director From: Stephanie Hawkinson, Affordable Housing Development Manager Subject: 5201 Grandview Lane Townhomes I have reviewed the proposal for 5201 Grandview Lane entailing the demolition of a duplex to be replaced with a tri-plex, adding one unit to the site. The combined assessed value of this two-unit property is $657,700, which equates to $328,850 per unit, making this Naturally Occurring Affordable Housing (NOAH). According to the Metropolitan Council, a home valued at $355,600 is affordable to households with incomes at or below 80% of the Area Median Income. Due to the demolition of two NOAH properties to be replaced with three market rate townhomes that will be presumably valued at greater than $355,600 I do not support this proposal. Both the Housing Strategy Task Force Report and the Comprehensive Plan support ‘Missing Middle” development (medium density residential) and encourage investigating the possibility increasing density along transit corridors to allow for “Missing Middle”. Yet, both documents also support the preservation of Naturally Occurring Affordable Housing (NOAH). NOAH properties exist without public subsidy, and they cannot be replaced at the same price points. Since 2008 roughly 1,000 moderately priced housing units have been torn down and replaced with high end luxury housing. Through 2020 the average value of teardowns was $427,302 and the average value of the replacement housing was $1,205,308. The assessed values of the homes along Grandview Lane range from affordable to houses values in the high $600,000s. Homes with affordable values such as 5201 Grandview Lane provide opportunities for people who work in Edina to live in Edina: these house values are becoming increasingly rare. Tearing them down to be replaced with market rate housing serves to contribute to the housing crunch experienced locally and nationally. Furthermore, the reduction of affordable places to live conflicts with Edina’s value of equity and inclusion. I do not support the proposal as replacing two affordable homes with market rate homes does not appear to comply with any City policies or plans and fails to serve a larger public purpose. www.EdinaMN.gov 1 www.EdinaMN.gov 2 www.EdinaMN.gov 3 www.EdinaMN.gov 4 Site Site www.EdinaMN.gov 5 Site www.EdinaMN.gov 6 www.EdinaMN.gov 7 www.EdinaMN.gov 8 D o n n a y H o m e s, I n c. 9655 – 63rd Avenue North, Maple Grove, Minnesota 55369 Builder #594838, #594839 Date: November 15, 2022 Re: Grandview Lane Redevelopment 5201 Grandview Lane. PID 2811721330019 Background: Proposal: Project is a total of 3 townhome units on the subject property in 1 – 3 unit building. Submittal description: • Adjacent Properties are a mix of R-1, R-2, PRD-3 o Adjacent Uses are Low-, Medium- and High Density Residential • Unit count is 3. o Current Density is 6.7u/a o Project Density is 10u/a, but the increase in units is 1. o We will request Rezoning to PRD-3 and update the Comprehensive Plan to Medium Density. o Total Hardcover is 43.3%. o Building (Structural) Hardcover is 28.8% • Building is 1 – 3-unit Building. o Building offers reasonable side setback distances of 10-feet to the adjacent property line and 20- feet to 52nd street. o Rear Setback is 30-feet to the accessory decks. o Building would be built as a Walkout as the lot slopes to the rear. • Building Elevations are as shown. o Siding is a quality Composite product LP or equal. o ‘Stone’ accents are a composite stone product. o Material Board can be provided at PC and Council o Exterior finishes are the same as what we have used in many projects throughout the Edina area. See image Above. • Unit Pricing is estimated to start in the $600’s. (Building in the images below is a previously constructed twin home at 54th and Drew Ave So, Edina) Finish Options • Building information o Units have a full-sized 2-car garage o Units are Multi-level, with unfinished basement options offering a variety of finishes o Basement finishes are available from the builder, or can be done in the future by the owner o Units may have up to 4 bedrooms and 3 baths Conclusion: Donnay Homes is confident the redevelopment of this properties will enhance the neighborhood, offering a type of housing in short supply, help address a lack of Missing Middle housing in Edina, and modestly increase density of the neighborhood. The addition of this new building continues the redevelopment begun at Grandview Townhomes (at a more modest scale). • The neighborhood include a number of twin homes in the area, but also includes significant mid- and high-rise apartment buildings, as well as a strong retail presence along the Vernon Avenue Corridor. • Townhomes are an appropriate infill product in this area. • This neighborhood is walkable. It is adjacent to the Grandview Small Area. • Location provides the opportunity for new housing stock in an appropriate location. PDF created with pdfFactory Pro trial version www.pdffactory.com PDF created with pdfFactory Pro trial version www.pdffactory.com PDF created with pdfFactory Pro trial version www.pdffactory.com PDF created with pdfFactory Pro trial version www.pdffactory.com PDF created with pdfFactory Pro trial version www.pdffactory.com www.EdinaMN.gov 1 Required Setbacks Sketch Plan Review –5201 Grandview Lane www.EdinaMN.gov 2 www.EdinaMN.gov 3 www.EdinaMN.gov 4 www.EdinaMN.gov 5 Site Site www.EdinaMN.gov 6 Site www.EdinaMN.gov 7 www.EdinaMN.gov 8 www.EdinaMN.gov 9 www.EdinaMN.gov 10 www.EdinaMN.gov 11 www.EdinaMN.gov 12 City Standard (PRD-3) Comprehensive Plan Proposed Front –Grandview Lane Front –52nd Ave. South Side –South Rear 35 feet 35 feet 20 feet 35 feet 30 feet* 17 feet* 10 feet* 30 feet* Building Height 2.5 stories 2.5 stories Building Coverage .30 .34* Lot Area per Dwelling Unit 4,400 s.f.4,312 s.f.* Density Allowed (units allowed on the site) 8 units per acre (4 units) 10 units per acre** (3 units**) * Variances required ** Comprehensive Plan Amendment Required This Request Requires: EdinaMN.gov 13 ➢A Comprehensive Plan Amendment to re-guide the site from low density attached to medium density, which would allow up to 12 units per acre; and ➢A Rezoning from R-2, Single-Dwelling Unit District to PRD-3, Planned Residential District-3, and multiple variances including setbacks on all sides, building coverage and lot area per unit. www.EdinaMN.gov 14 Required Setbacks Discussion/Sketch Plan Review EdinaMN.gov 15 ➢ Affordable Housing. The average market value for the four units that exist on the site is $328,000, therefore, the units are considered naturally occurring affordable housing. The proposal would remove these units and replace them with market rate housing. (See attached memo from the affordable housing development manager.) ➢ The properties to the west and south contain duplexes that are zoned R-2, Double Dwelling Unit District. The property to the east is zoned PRD-3, and guided medium density housing. (See attached Zoning Map & Comprehensive Land Use Plan). ➢ Density/Comprehensive Plan. Increased density was not considered for this site as part of the recent Comprehensive Plan Update. While the proposal would add only one unit over the two lots, a Comprehensive Plan Amendment would still be required. ➢ The proposal requires variances for all setbacks, lot area and building coverage, indicating the proposed increase in density is too much for the site and not appropriate. Discussion/Sketch Plan Review EdinaMN.gov 16 ➢ Staff would suggest that this entire block of Grandview Lane could be considered as a potential future area of change and studied further within the next Comprehensive Plan Update. Re- guiding this entire area to medium density residential could be considered at that time, as it would be consistent with medium density designations to the east and west. www.EdinaMN.gov 17 www.EdinaMN.gov 18 Date: January 17, 2023 Agenda Item #: VIII.D. To:Mayor and City Council Item Type: Report / Recommendation From:Aaron T. Ditzler, P.E., Assistant City Engineer Item Activity: Subject:Approve Additional Sidewalks for the Morningside C Neighborhood Roadway Reconstruction, Improvement No. BA-462 Action CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: Approve additional sidewalks on Kipling Avenue, Monterey Avenue and West 40th Street. INTRODUCTION: On December 20, 2022, Council authorized the design phase to begin. Based on public hearing testimony, the Council requested staff prepare a survey requesting feedback on constructing sidewalks on Kipling Avenue, Monterey Avenue and West 40th Street. Staff prepared three separate surveys, one for Kipling Avenue and Monterey Avenue residents, one for Edina West 40th Street residents, and one for St. Louis Park West 40th Street residents. Staff also received one petition from residents living along Kipling Avenue requesting sidewalk installation along Kipling Avenue, and one petition from residents living along Grimes Avenue requesting sidewalk installations along Kipling Avenue, Monterey Avenue and West 40th Street. Staff recommends approval of additional sidewalks on Kipling Avenue, Monterey Avenue and West 40th Street. ATTACHMENTS: Description Staff Report: Sidewalks for Morningside C Neighborhood Roadway Reconstruction Sidewalk Petition - Kipling Avenue Residents Sidewalk Petition - Grimes Avenue Residents Sidewalk Postcard, Survey and Results Staff Presentation January 17, 2023 Mayor and City Council Aaron T. Ditzler, PE, Assistant City Engineer Approve Additional Sidewalks for the Morningside C Neighborhood Roadway Reconstruction, Improvement No. BA-462 Information / Background: Following the December 6, 2022 public hearing, the Council authorized the design phase to begin on December 20, 2022. Based on public hearing testimony, the Council requested staff prepare a survey soliciting feedback on constructing sidewalks on Kipling Avenue, Monterey Avenue and West 40th Street. Staff prepared three separate surveys, one for Kipling Avenue and Monterey Avenue residents, one for Edina West 40th Street residents, and one for St. Louis Park West 40th Street residents. Staff also received one petition from residents living along Kipling Avenue requesting sidewalk installation along Kipling Avenue, and one petition from residents living along Grimes Avenue requesting sidewalk installations along Kipling Avenue, Monterey Avenue and West 40th Street. The attached survey results show mixed results. When answering if the resident supported a sidewalk on their street without mention of location of the side of the street, there was 42% - 50% support for all three additional sidewalks. When answering if the resident supported a sidewalk on their side of the street, there was 25% - 50% support for all three additional sidewalks. 70 Edina properties were mailed a survey postcard and 34 Edina residents responded to the survey. 40% to 63% of Edina residents did not respond and 100% of St. Louis Park residents did not respond. Staff believes our survey had a low response rate because of the attached petitions in favor of the sidewalks. For reference, the Kipling and Grimes Avenue petitions were received prior to staff mailing the survey postcards to the residents. The Pedestrian and Cyclist Safety Fund (PACS) has budget to support constructing these additional sidewalks. Recall, authorizing sidewalk installation requires a minimum of 3 out of 5 Council votes in favor to pass. STAFF REPORT Page 2 Recommendation Staff recommends constructing additional sidewalks along Kipling Avenue, Monterey Avenue and West 40th Street in the Morningside C Neighborhood Roadway Reconstruction, Improvement No. BA-462. The preliminary locations are along the west side of Kipling and Monterey Avenues and the south side of W. 40th Street. Staff is recommending installation for the following reasons. 1. The petitions and surveys show support. Staff believes our survey had a low response rate because of the petitions in favor of the sidewalks. 2. Recommendation aligns with the guiding principles of the Pedestrian and Bicycle Master Plan, although these locations are not specifically identified in that plan. a. Provide safe routes for all ages and abilities b. Develops facilities and address network gaps c. Provide connectivity for everyday uses and needs 3. Installing during street reconstruction is more cost effective and efficient to reduce costs and impacts. 4. The PACS fund has budget to install these sidewalks. 5. The streets will be narrowed from a proposed 27 feet wide to 24 feet wide, reducing the estimated assessment per REU by a few hundred dollars. KIPLING AVENUE & 40TH ST W SIDEWALK PETITION Submitted by Ed Mathie, 4011 Kipling Avenue –December 19, 2022 During a recent Edina City Council meeting regarding the Morningside C Roadway Reconstruction, the council indicated that it will consider adding sidewalks to Kipling Avenue, Monterey Avenue, and the South side of 40th Street West, if residents indicate their interest. I was asked to survey the residents of Kipling Avenue, and adjacent residents of 40th Street West. Attached are the results of the petition circulated to residents, a quick summary of results, and general commentary regarding resident feedback. PETITION SUMMARY Total Households:31 TTL households in survey area (map attached) Yes/Signed:24 (77% of all HHs, 85% of HHs contacted) No/Refused:2 Still Considering:2 Unable To Contact:3 each HH tried 3+ times 85% OF HOUSEHOLDS, where contact was made, signed the petition supporting sidewalks OVERALL FINDINGS Generally the response was very positive, in favor of adding a sidewalk to Kipling Ave and 40th Street West. The most common feedback / questions were as follows: Walking in the street is a hardship for children, elderly, dog walkers. The most common refrain was that children/families, the elderly and dog walkers were in danger walking in the street. And, this made our street less accessible than others. Which side of the street? The primary question was ‘which side of the street?’. And, the most common concerns seemed to be any possible loss of large canopy trees, followed by conflicts with existing landscaping, and lastly the responsibility for snow removal. (Two residents were in support of sidewalks, but declined to sign without knowing their tree/trees would be retained.) Narrowing the street slows traffic (+), but makes walking in the street more dangerous (-). Many residents understood the benefits of narrowing the street to slow traffic, but worried that without adding a sidewalk, narrowing could be dangerous to pedestrians. Why aren’t we connected to the neighborhood? There was also a general curiosity as to why Kipling Avenue was not connected to the network of sidewalks in Morningside, and therefore a feeling of disconnection from the rest of the Morningside neighborhood. This is the right time to add sidewalks. Living adjacent to the reconstruction happening on 42nd St. W, residents are acutely aware of the work planned for Kipling Avenue in 2023. Many said adding sidewalks now, as part of the Kipling reconstruction, is the right timing. Please feel free to contact me with any questions emathie@designcue.com or 952-212-0491 HOMES INCLUDED IN THIS PETITION SHADED GREEN SIDEWALK Petition Instructions This petition form is to be used to ask the Edina City Council to consider the following types of improvements ALLEY PAVING WATER MAIN STORM SEWER PERMANEI{T STREET SURFACING WITH CURB AND GUTTER CURB AND GUTTER ONLY (WITHOUT PERMAD{ENT STREET SURFACING) SANITARY SBWER STREET LIGHTING or another improvement you describe (called OTHER on this form). You may use another petition form if you wish but the city council may reject such petitions unless they contain the following information: 1. Type of improvement(s) requested, e.g., SIDEWALIL STORM SEWER, WATER MAIN, ETC. 2. Precise locations(s) of the requested improvements. 3. A statement that all who sign the petition understand that the city council may assess the costs of these improvements against the properties benefiting from the improvements in amounts determined by the Council. 4. Printed name of property owner, owner's signature and phone number, and property address. 5. Signature of person circulating the petition. If you have questions, please call the City Clerk at952-927-8861 between 8:00 a.m. and 4:30 p.m. SHARON ALLISON CITY CLERK APRIL 2OO8 Cif.v of Edina, \Iinnesota CITY COUNCIL 4801 \\ est 50th Street . Edina, \Iinnesota 55424 (952) 927-8861 . (952) 927-7645 F-\.\ . (612) 927-5161 TDD PETITION TO THE CITY COLTNCIL - ALLE\ PAVING I serrr-{RY sEwER DATE RECEIVED: E w,q.rnR MAns I srnnnT LrcHTf\G I orunn f,srrr\4ALKI sronm sEwER I cunn AND GUTTER oNLY LOC-{TION OF T}IPRO\ E\fE\ t4,V7vtztv15 n4 PER\{AI{ENT STREET SURFACING WITH CURB AI{D GUTTER To the Mayor ano Citv Council The persons who have signed this petition ask &e City Council to consider the improvements listed abo locations listed below. €irlortn tU rw 40fu 6rtveL Xj aJ dh c?-a:c B \-{\tE {\IE -!.,r!.,1 beflr:::r {2-*( 1,_ll?.:ss \DDRESSU. n-.1udt lu LOC.\TTO\ OF IMPRO\E}IE\T BY \ ^\ arl LOC.{TIO\ OF INIPRO\'EMENT BY STREET \ LOCATIO\ OF IMPRO\:EMENT BY r r-;f l.:ss I ,..\\ ADDRESS and and o* ADDRESS .\r-- r)' IMPORTANT NOTE: THE PERSO\S \\EO H.{\-E SIG\ED THIS PETITION UNDER-iT$D TH.\T THE CIT\ COUNCIL }L\\ ASSESS THE COSTS OF THESE T}IPROVEMENTS AG{I\ST THE PROPERTTES BENEFITI\G FRO\I THE I}IPRO\-E\IE\TS I\ .\}IOUNTS DETER\II\ED B}- THE COL}CIL AS AUTHORIZED B\ CHAPTER 429, }IINNESOT.\ STATUTES. PROPERTY OWNER'S SIC\.\TURE O\\\ER'S NAME IPRrNTED) PROPERT\'ADDRESS (PRTNTED) /71o,,' *. lvar tr"e/rt_1l e 6 ut'tt^.t fuz SZ . Q.-.1. L(.^L 4 trt 6a^n ' ,4* G petition was circula h.,l vcl-h*t /=C lf A{tta 6 n',n-fu.h 6rt--bf6-/eZc ADDRESS There is space for more signatures on the back. NAME PHO\E 1--::4. b): PROPERTY OWNER'S t-/ OWNER'S NAME (PRTNTED) A'sen Ecrr.o{f PROPERTY ADDRESS (PRTNTED) ,V}Voe? g4|-*9e Y06 6v-iwv; frr< S /l-<A )( 4lo' 6k*,cs A'ta tOOo knrnzr fitra.S- \L t.t O 1 7t T '{CI zo C.r--r ru 4t -f Iart)'{oZ} hi opr A4/e S GN Li b tC 6'none8 Arx 5 tvt$V &r"/r.(t LfDto b{ffts ^1L5e-S \.0 Y l0g g, i,n. s 4-. t T,,V e-ltose 4ott' This petition was circulated by: /'hc^iv-c-y4av ff + gte 6 h',+-z-f f?lfC 3- € 1-L ' ?J " , ?. ) NAME ADDRESS PHONE The Minnesota Data Practices Act requires that we inform you of your rights about the private dato ite ue retluesting on this form. Under the law, your telephone number is private data. This petition v'hen submitted will become puhlic ittibrmation. There is no consequencefor refusing to supply this irlbrmation. You may attach extra pages with signatures. APRIL 2008 a/a *lvtti ( Pila,v, U Morningside C 2023 Neighborhood Roadway Reconstruction Sidewalk Survey  The City Council will consider authorizing the design and bidding phase for the Morningside C project on December 20. Council asked Engineering to get input from residents for support of a 5‐foot‐wide concrete sidewalk along Monterey and Kipling Avenues between West 40th and West 42nd Streets.    Visit https://www.surveymonkey.com/r/PW9T7R2 to complete the survey by January 4, 2023.  If you have questions, please submit them on the link referenced above or contact Edina Engineering at (952) 826‐0371.  Morningside C 2023 Neighborhood Roadway Reconstruction Sidewalk Survey  The City Council will consider authorizing the design and bidding phase for the Morningside C project on December 20. Council asked Engineering to get input from residents for support of a 5‐foot‐wide concrete sidewalk along Monterey and Kipling Avenues between West 40th and West 42nd Streets.    Visit https://www.surveymonkey.com/r/PW9T7R2 to complete the survey by January 4, 2023.  If you have questions, please submit them on the link referenced above or contact Edina Engineering at (952) 826‐0371.  Morningside C 2023 Neighborhood Roadway Reconstruction Sidewalk Survey  The City Council will consider authorizing the design and bidding phase for the Morningside C project on December 20. Council asked Engineering to get input from residents for support of a 5‐foot‐wide concrete sidewalk along Monterey and Kipling Avenues between West 40th and West 42nd Streets.    Visit https://www.surveymonkey.com/r/PW9T7R2 to complete the survey by January 4, 2023.  If you have questions, please submit them on the link referenced above or contact Edina Engineering at (952) 826‐0371.  Morningside C 2023 Neighborhood Roadway Reconstruction Sidewalk Survey  The City Council will consider authorizing the design and bidding phase for the Morningside C project on December 20. Council asked Engineering to get input from residents for support of a 5‐foot‐wide concrete sidewalk along Monterey and Kipling Avenues between West 40th and West 42nd Streets.    Visit https://www.surveymonkey.com/r/PW9T7R2 to complete the survey by January 4, 2023.  If you have questions, please submit them on the link referenced above or contact Edina Engineering at (952) 826‐0371.   Kipling & Monterey Sidewalk * 1. Are you supportive of sidewalk on your street? Please note before answering. The street width will be 24 feet wide from the face of curb to the face of curb. (Existing width is 30’.) Parking will be available only on the sidewalk side. The sidewalk will be separated from the curb by a grass boulevard approximately 3 feet wide. Sidewalks are not assessed. Walks are paid for by the Pedestrian and Bicyclist Safety (PACS) Fund Yes No No Opinion * 2. Are you supportive of sidewalk on your side of the street? Please note before answering. Maintenance of sidewalks will be the responsibility of the adjacent property owners. Maintenance includes removal of snow and ice within 48 hours and repair of concrete due to cracks, depressions, trip hazards, etc. Yes No No Opinion * 3. What is your address? Morningside C 2023 Neighborhood Roadway Reconstruction Sidewalk Survey  The City Council will consider authorizing the design and bidding phase for the Morningside C project on December 20. Council asked Engineering to get input from residents for support of a 5‐foot‐wide concrete sidewalk along the south side of West 40th Street between Natchez and Grimes Avenue.    Visit https://www.surveymonkey.com/r/8RWPRRG to complete the survey by January 4, 2023.  If you have questions, please submit them on the link referenced above or contact Edina Engineering at (952) 826‐0371. Morningside C 2023 Neighborhood Roadway Reconstruction Sidewalk Survey  The City Council will consider authorizing the design and bidding phase for the Morningside C project on December 20. Council asked Engineering to get input from residents for support of a 5‐foot‐wide concrete sidewalk along the south side of West 40th Street between Natchez and Grimes Avenue.    Visit https://www.surveymonkey.com/r/8RWPRRG  to complete the survey by January 4, 2023.  If you have questions, please submit them on the link referenced above or contact Edina Engineering at (952) 826‐0371. Morningside C 2023 Neighborhood Roadway Reconstruction Sidewalk Survey  The City Council will consider authorizing the design and bidding phase for the Morningside C project on December 20. Council asked Engineering to get input from residents for support of a 5‐foot‐wide concrete sidewalk along the south side of West 40th Street between Natchez and Grimes Avenue.    Visit https://www.surveymonkey.com/r/8RWPRRG to complete the survey by January 4, 2023.  If you have questions, please submit them on the link referenced above or contact Edina Engineering at (952) 826‐0371. Morningside C 2023 Neighborhood Roadway Reconstruction Sidewalk Survey  The City Council will consider authorizing the design and bidding phase for the Morningside C project on December 20. Council asked Engineering to get input from residents for support of a 5‐foot‐wide concrete sidewalk along the south side of West 40th Street between Natchez and Grimes Avenue.    Visit https://www.surveymonkey.com/r/8RWPRRG to complete the survey by January 4, 2023.  If you have questions, please submit them on the link referenced above or contact Edina Engineering at (952) 826‐0371.  West 40th Street Sidewalk * 1. Are you supportive of sidewalk on your side of the street? Please note before answering: The street width will likely be 24 feet wide from the face of curb to the face of curb. (Existing width is 30’.) Parking will likely be available only on the south side. The sidewalk will be separated from the curb by a grass boulevard approximately 3 feet wide. Sidewalks are not assessed. Walks are paid for by the Pedestrian and Bicyclist Safety (PACS) Fund. Maintenance of sidewalks will be the responsibility of the adjacent property owners. Maintenance includes removal of snow and ice within 48 hours and repair of concrete due to cracks, depressions, trip hazards, etc. Yes No No Opinion * 2. Are you supportive of sidewalk on your side of the street if parking is NOT allowed along the south side of the street? Please note before answering: The street width will likely be 24 feet wide from the face of curb to the face of curb. (Existing width is 30’.) Parking will likely be available only on the north side. The sidewalk will be separated from the curb by a grass boulevard approximately 3 feet wide. Sidewalks are not assessed. Walks are paid for by the Pedestrian and Bicyclist Safety (PACS) Fund. Maintenance of sidewalks will be the responsibility of the adjacent property owners. Maintenance includes removal of snow and ice within 48 hours and repair of concrete due to cracks, depressions, trip hazards, etc. Yes No No Opinion * 3. What is your address? 2023 Neighborhood Roadway Reconstruction Sidewalk Survey West 40th Street between Natchez Avenue and Joppa Avenue is scheduled for reconstruction in 2023 in association with the City of Edina’s Roadway Reconstruction Program.  Edina residents have requested that a 5‐foot‐wide concrete sidewalk be installed with the project along the south side of West 40th Street between Natchez and Joppa Avenue.  The City of St. Louis Park asked that the City of Edina to get input from St. Louis Park residents for support of the sidewalk.    Visit https://www.surveymonkey.com/r/YQB5VRK to complete the survey by January 4, 2023.    If you have questions, please contact Edina Engineering at (952) 826‐0371 or submit them at https://www.bettertogetheredina.org/morningside‐c.   2023 Neighborhood Roadway Reconstruction Sidewalk Survey West 40th Street between Natchez Avenue and Joppa Avenue is scheduled for reconstruction in 2023 in association with the City of Edina’s Roadway Reconstruction Program.  Edina residents have requested that a 5‐foot‐wide concrete sidewalk be installed with the project along the south side of West 40th Street between Natchez and Joppa Avenue.  The City of St. Louis Park asked that the City of Edina to get input from St. Louis Park residents for support of the sidewalk.    Visit https://www.surveymonkey.com/r/YQB5VRK to complete the survey by January 4, 2023.    If you have questions, please contact Edina Engineering at (952) 826‐0371 or submit them at https://www.bettertogetheredina.org/morningside‐c.   2023 Neighborhood Roadway Reconstruction Sidewalk Survey West 40th Street between Natchez Avenue and Joppa Avenue is scheduled for reconstruction in 2023 in association with the City of Edina’s Roadway Reconstruction Program.  Edina residents have requested that a 5‐foot‐wide concrete sidewalk be installed with the project along the south side of West 40th Street between Natchez and Joppa Avenue.  The City of St. Louis Park asked that the City of Edina to get input from St. Louis Park residents for support of the sidewalk.    Visit https://www.surveymonkey.com/r/YQB5VRK to complete the survey by January 4, 2023.    If you have questions, please contact Edina Engineering at (952) 826‐0371 or submit them at https://www.bettertogetheredina.org/morningside‐c.   2023 Neighborhood Roadway Reconstruction Sidewalk Survey West 40th Street between Natchez Avenue and Joppa Avenue is scheduled for reconstruction in 2023 in association with the City of Edina’s Roadway Reconstruction Program.  Edina residents have requested that a 5‐foot‐wide concrete sidewalk be installed with the project along the south side of West 40th Street between Natchez and Joppa Avenue.  The City of St. Louis Park asked that the City of Edina to get input from St. Louis Park residents for support of the sidewalk.    Visit https://www.surveymonkey.com/r/YQB5VRK to complete the survey by January 4, 2023.    If you have questions, please contact Edina Engineering at (952) 826‐0371 or submit them at https://www.bettertogetheredina.org/morningside‐c.    St. Louis Park W. 40th St Sidewalk Survey * 1. Are you supportive of sidewalk on the Edina side of the street? Please note before answering. The street width will likely be 24 feet wide from the face of curb to the face of curb. (Existing width is 30’.) Parking will be available only on the south side. The north side will be signed No Parking. The sidewalk will be separated from the curb by a grass boulevard approximately 3 feet wide. These improvements will be paid for using city funds, there are no proposed assessments to St. Louis Park property owners for this project. Yes No No Opinion * 2. Are you supportive of the sidewalk on the Edina side of the street if parking IS allowed along the north side of the street? Please note before answering. The street width will likely be 24 feet wide from the face of curb to the face of curb. (Existing width is 30’.) Parking will likely be available only on the north side. The sidewalk will be separated from the curb by a grass boulevard approximately 3 feet wide. These improvements will be paid for using city funds, there are no proposed assessments to St. Louis Park property owners for this project. Yes No No Opinion * 3. What is your address? Are you supportive of sidewalk on your street?Are you supportive of sidewalk on your side of the street?What street do you live on? Response Count % of actual responses% of possible responses Count % of actual responses% of possible responsesKipling Avenue Yes 5 42% 16% 3 25% 9%Kipling Avenue No 6 50% 19% 9 75% 28%Kipling Avenue No Opinion 1 8% 3% 0 0% 0%Kipling Avenue No Response 20 63% 20 63%Monterey Avenue Yes 8 44% 27% 6 33% 20%Monterey Avenue No 10 56% 33% 11 61% 37%Monterey Avenue No Opinion 0 0% 0% 1 6% 3%Monterey Avenue No Response 12 40% 12 40%West 40th Street ‐ Edina Yes 2 50% 25% 2 50% 25%West 40th Street ‐ Edina No 2 50% 25% 2 50% 25%West 40th Street ‐ Edina No Opinion 0 0% 0% 0 0% 0%West 40th Street ‐ Edina No Response 4 50% 4 50%West 40th Street ‐ St. Louis Park Yes 0 0% 0% 0 0% 0%West 40th Street ‐ St. Louis Park No 0 0% 0% 0 0% 0%West 40th Street ‐ St. Louis Park No Opinion 0 0% 0% 0 0% 0%West 40th Street ‐ St. Louis Park No Response 8 0% 100% 8 0% 100% The CITY ofEDINA Morningside C Neighborhood Roadway Reconstruction BA-462 Sidewalks January 17, 2023 The CITY ofEDINAApproved Sidewalks www.EdinaMN.gov 2 •Inglewood Ave –East Side •Grimes Ave –East Side •Lynn Ave –East Side The CITY ofEDINAPetitions / Survey Results www.EdinaMN.gov 3 •Grimes Ave Petition –requesting Kipling, Monterey and 40th sidewalks •Kipling Ave Petition –requesting Kipling sidewalk •City Survey –mid-December to January 5 Low response rate at 48.5% of Edina residents and 0% SLP residents Supported sidewalk on their street = 42 –50% supported Supported sidewalk on their SIDE of the street = 25 –50% supported The CITY ofEDINARecommended Sidewalks www.EdinaMN.gov 4 •Monterey Ave –West Side •Kipling Ave –West Side •40th Street –South Side •24-ft wide Streets •1-sided Parking •40th Street •Impacts Edina Side The CITY ofEDINARecommended Sidewalks www.EdinaMN.gov 5 •Petitions showed support •Aligns with Ped / Bike Master Plan Provide safe routes for all ages and abilities Develops facilities and addresses network gaps Provide connectivity for everyday uses and needs •More cost effective and efficient during street reconstruction •PACS fund has budget The CITY ofEDINAQuestions www.EdinaMN.gov 6 Date: January 17, 2023 Agenda Item #: IX.A. To:Mayor and City Council Item Type: From: Item Activity: Subject:Prep Memo Jan. 17, 2023 CITY OF EDINA 4801 West 50th Street Edina, MN 55424 www.edinamn.gov ACTION REQUESTED: INTRODUCTION: ATTACHMENTS: Description Prep Memo Jan. 17, 2023 From:Scott H. Neal To:jhovland@hovlandrasmus.com; James Pierce; Carolyn Jackson; Kate Agnew; Julie Risser Cc:Lisa Schaefer; Sharon Allison Subject:Prep Memo for the January 17, 2023 City Council Work Session and Meeting Date:Tuesday, January 17, 2023 3:12:05 PM Good Afternoon Everyone – The following is a summary of where things stand for tonight’s Council work session and meeting. Work Session Purpose of the work session is to share our legislative priorities with our state elected officials and ask for their support. Our two State Senators (Latz and Mann) will be present. Our two House Reps (Edelson and Youakim) will not be present. They both serve on the House Ways & Means Committee and have a night hearing tonight that they cannot miss. Our lobbyist partners from the League of Minnesota Cities, Metro Cities and Municipal Legislative Commission will attend. Council Member Pierce has a work conflict. He will not be able to attend the Work Session, but will be able to attend the Council meeting. Council Meeting I have received no requests to remove anything from the Consent Agenda I will not respond to last week’s Community Comment tonight. The questions and concerns were around our Fire Department. The Chief needs to be part of the response. He is not available tonight. We will address the questions and concerns at the Feb 7 Council meeting. I have shared this information with the resident who posed the questions. We will receive a “State of the Courts” address tonight from Hennepin County Chief Judge Toddrick Barnette Planning staff are ready to lead Council through the Indian Hills and Grandview Lane matters. That’s all I have for tonight right now. Scott Scott H. Neal, City Manager952-826-0401 | Fax 952-826-0390sneal@EdinaMN.gov | EdinaMN.gov Follow me on Twitter.