03-906r
80
HRA RESOLUTION NO. 906
RESOLUTION ADOPTING A PUBLIC PURPOSE EXPENDITURE POLICY
WHEREAS, the Housing and Redevelopment Authority (HRA) finds it necessary to
establish a policy to clearly determine the public purpose for expenditures; and
WHEREAS, the HRA has determined that in order to attract, recruit, retain and
motivate employees and community volunteers the HRA wishes to recognize hard work
and service through other than monetary payment; and
WHEREAS, the HRA has further determined certain expenditure for typical
business costs are necessary for the efficient delivery of public service; and
WHEREAS, the HRA has reviewed and discussed the public purpose expenditures
as detailed in Exhibit 1.
NOW THEREFORE, BE IT RESOLVED that the Housing and Redevelopment
Authority in and for the City of Richfield hereby adopts Exhibit 1 entitled, "Public Purpose
Expenditures Policy".
Adopted by the Housing and Redevelopment Authority in and for the City of
Richfield, Minnesota this 17th day of November, 2003. I
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Thomas E. Harms, Chair
ATTEST:
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Kristal Stokes, Secretary
Exhibit 1
Page 1 of 4
CITY OF RICHFIELD
HOUSING AND REDEVELOPMENT AUTHORITY
DATE:
November 17, 2003
SUBJECT:
Public Purpose Expenditure Policy
GENERAL
Pursuant to provisions of statutes and laws of the State of Minnesota, which permit and
require the expenditure of public funds for public purposes, the Housing and
Redevelopment Authority in and for the City of Richfield (HRA) believes it necessary and
appropriate to provide assistance and guidance to the officials, employees and
representatives of the HRA to aid in the determination of when public funds may be
spent for a public purpose.
DEFINITION
A public purpose expenditure is one which relates to the purpose for which the HRA
exists and the duties and responsibilities of the HRA its appointed officials, employees
and other representatives.
PUBLIC PURPOSE GUIDELINES
1. Training and development programs for HRA employees serve a public purpose
when the training and development programs are directly related to the performance
of the employee's job-related duties and are directly related to the programs/services
for which the HRA is responsible.
2. Payments of employee work-related expenses, including travel, lodging and meal
expenses, serves a public purpose when those expenses are necessarily incurred by
HRA employees in connection with their actual work assignments or official duties
and those expenses are directly related to the performance of the governmental
functions for which the HRA has responsibility.
3. Appropriate safety and health programs for HRA employees serve a public purpose
because they result in healthier and more productive employees and reduce certain
costs to the HRA and the tax payments of Richfield, including various costs
associated with workers' compensation and disability benefit claims, insurance
premiums and lost time from employee absences.
4. Public expenditures for appropriate HRA employee and volunteer recognition
programs serve a public purpose because formally recognizing employees and
volunteers who make significant contributions and demonstrate their commitment
during the performance of their duties result in higher morale and productivity among
all HRA employees and volunteers, and therefore help the HRA to fulfill its
responsibilities efficiently and more cost effectively.
Exhibit 1
Page 2 of 4
5. Public expenditures for food and refreshments associated with official HRA functions
serve a public purpose when the provision of food or refreshments is an integral part
of the function and is deemed necessary to ensure meaningful participation by the
participants.
6. Public expenditures for appropriate community and customer outreach and similar
activities serve a public purpose when those expenditures are necessary for
Richfield to ensure the efficient operation of its programs/services, promote the
availability and use of HRA resources, and promote coordinated, cooperative
planning actives among and between the public and the private sectors.
SPECIFIC PROGRAMS AND EXPENDITURES
Every HRA expenditure must be valid based upon the public purpose for which it is
purchased. The following items are deemed to meet the HRA definition of public
purpose expenditures
EMPLOYEE RECOGNITION PROGRAM
While the HRA purchases employee time from the City of Richfield, it is appropriate for
the HRA to indicate its support for the recognition given by the City for the hard work and
service performed by City employees through an Employee Recognition Program. The
HRA believes the benefits of attractive retaining and motivating employees through such
a program impacts cooperation and productivity as well. Such outcomes provide
excellent public and customer service to better serve the interests of the citizens of the
community.
Program elements may include:
1. Years of service awards
2. Volunteer Recognition dinner
3. Annual Holiday Party and summer picnic
4. Events that are planned and paid for by employees
5. Recognition plaques for employees, volunteers and appointed officials.
Cost incurred by the HRA related to this program are included in the annual budget.
Emplovee Wellness and Safety Proqram.
The HRA recognizes the importance of employee fitness and health as it relates to the
overall work and life satisfaction of the employee and the overall impact on the City's
health insurance program. As such, the HRA supports an Employee Wellness Program,
which has been designed to educate employees on fitness/health issues.
The Employee Safety Program is funded by the City's Self-Insurance Fund. The HRA
supports the programs created by the Human Resources Division and the Safety
Committee to promote and retain a safe work environment. Safety incentive programs
such as Richfield's Safety Bingo, which provide the opportunity for cash prizes for
accident/injury-free work days, is an example of such programs.
Exhibit 1
Page 3 of 4
Meetinq Food/Meals
The HRA recognizes that situations in which business needs to be discussed can and do
occur during meal hours (Le. luncheon meetings). In addition, there are public and
employee meetings and events in which reasonable refreshments may add to the
success of the meeting and/or event and create a more productive work force. The
following items are deemed to meet the HRA's definition of public purpose expenditures
in regards to food and meals.
1. Meals and refreshments are allowed at HRA meetings and events that have a
purpose of discussing HRA issues. These meetings would normally have a pre-
planned agenda.
2. Meals and refreshments are allowed at employee meetings and events that have
a purpose of discussing HRA issues. These meetings would also normally have
a pre-planned agenda. This does not include routine staff meetings.
3. Meals and refreshments are allowed when they are part of a
breakfast/lunch/dinner meeting for official HRA business when it is the only
practical time to meet. Usually these meals involve meeting with HRA members,
business or civic organizations. Payment for fees relating to a special event,
such as a Chamber of Commerce event, may also be allowed when approved b
the Executive Director and when attendance is deemed to meet the public
purpose guidelines for community or customer outreach and marketing of the
City.
4. Meals and refreshment may be provided during official meetings of the HRA and
taskforces that have purpose of discussing HRA business. These meetings
would normally have a pre-planned agenda.
5. Travel expenses for employees as outlined in the Richfield Travel
Reimbursement Policy.
6. Meals and refreshments are allowed where employees or volunteers are
participating in a HRA sponsored special event, participating in an outside event
as an official representative of the HRA, or working additional hours and where
the Department Director deems appropriate as recognition of efforts above those
normally required. Because emergency personnel are often called to perform for
extended periods of time and duties where refreshments are important to duty
performance, emergency response personnel may be provided refreshments or
food when it is deemed appropriate by the Executive Director or Department
director to assure the delivery of quality emergency response service.
7. No purchase of alcoholic beverages is allowed at any time.
The cost of these meals or fees is included in the departments' travel/conferences line-
item in the HRA's Annual Budget. These items are approved annually by the HRA as a
part of the overall budget approval process.
Exhibit 1
Page 4 of 4
Membership. Dues. and Donations
The HRA has determined that the HRA will fund memberships and dues (individual or
organization) in professional organizations and HRA social and community organizations
when the purpose is to promote, advertise, improve or develop the resources and
relationship and not personal interest or gain.
The cost of membership/dues is included in the departments' dues and subscriptions
line-item in the HRA Annual Budget. These items are approved annually by the HRA as
a part of the overall budget approval process.
All donations much be approved by the HRA during the annual budget process and/or by
HRA resolution. Donations provided by the HRA must be for programs that serve our
citizens and are deemed to meet the public purpose guidelines.
Clothinq and Other Sundrv Items
Employees may receive T-shirts, and other sundry items of nominal value ($10.00) when
these items; are made available to the general'public or if thew items are determined by
the Executive Director to be important to the successful involvement of employees in
special sponsored or HRA supported events.
CONCLUSION
The HRA has determined that the above expenditures are valid and serve a public
purpose.
Approved:
Executive Director