06-12-07 Worksession
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CITY COUNCIL MINUTES
Richfield, Minnesota
Special Worksession
June 12, 2007
CALL TO ORDER
The meeting was called to order by Mayor Goettel at 6:03 p.m.
I ROLL CALL
Members Present:
Debbie Goettel, Mayor; Sue Sandahl; Fred Wroge; Bill Kilian; and Susan
Rosenberg.
Steven Devich, City Manager; Bruce Palm borg, Community Development
Director; Kathy Farris, Human Services Planner/Coordinator; and Cheryl
Krumholz, Recording Secretary.
Staff Present:
Item # I DISCUSSION REGARDING 2008 OTHER AGENCIES BUDGET - HUMAN
SERVICES PROGRAMS FUNDI~G ASSISTANCE (COUNCIL MEMO NO. 100)
Jo Romer, Richfield Community Human Services Planning Council (RCHSPC) Chair and
Advisory Board of Health representative, explained the role of the RCHSPC and that tonight a
request is being made to increase funding for human services grants. The funding level has
remained static for seven years. Demographic trends indicate increased population of new
immigrants, frail elderly and persons in poverty. .
Ms. Romer said the RCHSPC strongly requests consideration of a 3.2% increase for 2008, in
addition to regular consideration of increases of 3% in ensuing years.
Council Member Sandahl asked about. the funding source.
City Manager Devich stated the source is the General Fund. He explained the funding has
been held flat since 2001 because of decreased Local Government Aid (LGA) allocations from the
State resulting in an increased tax rate and laying off of City employees. The Other Agencies funding
was not reduced. .
Council Member Sandahl asked about the anticipated LGA allocation for 2008.
City Manager Devich explained the allocation could be $1.6 million which is $400,500 less
than in 2007 unless there is a special legislative session or special concessions by the Legislature.
Council Member Rosenberg stated Minnesota is No.1 in the increased or growing number of
people in poverty. . There are 60% of the children on free or reduced lunch in the school district.
Funding is a constant fight.
Beth Fagin, RCHSPC member representing the Richfield Community Council, said there is
competition for the dollars to address the basic needs.
Special Worksession Minutes
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June 12,2007
Council Member Kilian asked about human service needs being a factor in determining LGA.
City Manager Devich said the LGA formula is very complicated. Factors considered are a
city's tax base, population increase/decrease and number of vehicular accidents. Socio-economic
changes are not considered.
Council Member Kilian asked about the process to choose the agencies to be funded.
Kathy Farris, Human Services Planner/Coordinator, explained the Request for Proposal (RFP)
process and the criteria considered, which includes several variables.
Mayor Goettel asked about the funding source if an increase is to be considered.
City Manager Devich explained that if the City Council instructs staff to increase the funding, it
will be considered in the overall budget and paid by taxes and LGA the same as other General Fund
services.
Council Member Sandahl said the 3% increase is not a huge amount of money.
Council Member Rosenberg stated this 3% increase is a start for 2008 and could be
discussed again for 2009.
Mayor Goettel agreed with Council Member Rosenberg.
Council Member Wroge said the majority of the funds cannot be diverted to Latino
agencies/services. He asked about an increase in 2007.
Ms. Romer said no increase is requested.
City Manager Devich explained the allocation process as it's indicated in the current budget.
Ms. Romer said the RCHSPC is requesting an increase in 2008 and ensuing years to avoid a
flat market again because the needs are greater.
Council Member Kilian requested the logic be provided next year to explain how and why
certain agencies/programs are selected for funding, including the kinds of needs.
Council Member Rosenberg said the amount of the funding may not be the point but rather
the effort it shows of community support for human services.
Ms. Fagin stated city funding seems to be a stamp of approval to other funding agencies.
The City Council consensus was to increase the Other Agencies budget by 3% ($3,000) for
2008.
I ADJOURNMENT
The meeting was adjourned by unanimous consent at 6:30 p.m.
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Date Approved: June 26, 2007
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Recording Secretary