09-08-1993 SpecialCITY OF RICHFIELD, MINNESOTA
SPECIAL CITY COUNCIL MEETING
September 8, 1993
(Reconvened from September 1, 1993)
MEMBERS PRESENT: Martin Kirsch, Mayor; Russ Susag; Michael
Sandahl; Susan Rosenberg; and Don Priebe.
STAFF PRESENT: James Prosser, City Manager; Steven Devich,
Administrative Services Director; Thomas
Ferber, City Clerk; Donald Fondrick,
Community Services Director; Byron Wallace,
Community Development Director; Jack
Erskine, Public Safety Director; William
Fillmore, Liquor Operations Director; Nancy
Stroth, Sr. Clerk Typist; and Bridget
Walstrom, Finance Manager.
OTHERS PRESENT: Bill Morris, Decision Resources, Ltd.
The meeting was called to order by Mayor Kirsch at 7:00 p.m.
Item #1 CONTINUATION OF CONSIDERATION AND DISCUSSION OF 1993
REVISED/1994 PROPOSED BUDGET, PROPOSED 1994
PRELIMINARY TAX LEVY AND SET TRUTH IN TAXATION HEARING
DATES. C.L. No. 249
Bill Morris, Decision Resources, Ltd. reviewed the results
of the City Services Survey given to 400 Richfield households.
The survey asked questions regarding City taxes, City services,
community problems, and health care. Mr. Morris stated the
results were very favorable and that City services rated highest
in the metro area. He indicated answers regarding communications
favored more frequent, shorter publications regarding City
issues.
City Manager Prosser stated discussion will be held at the
October Study Session regarding reformatting the communications
program of the City.
Camillo DeSantis, Chair of the Richfield Community Human
Service Planning Council (RCHSPC), reviewed the following reasons
for proposing a new human services planning coordinator position:
• SHeRPA assists regionally, local planning still needed
• Community based services for families, children, and elderly
• City and Schools working together
• Richfield is changing
Jean Fox, Vice Chair RCHSPC, stated Richfield needs to
obtain their fair share of human service needs noting that four
adjacent cities have a human services professional.
Betty Carr, 6633 Lynwood Boulevard, stated there is a great
advantage when services are determined by local units of
government.
Special Meeting Minutes -2- September S, 1993
Barbara Amram, 7026 Lyndale Avenue, stated it was very
important for people in Richfield to be represented in the human
services area.
City Manager Prosser stated the need for more resources
other than traditional City services. He indicated that shaping
City services is an important policy issue for the Council.
Council Member Susag stated concerns regarding funding for
this position and the lack of potential for growth.
City Manager Prosser indicated the need for a clear City
Council policy statement. He stated this position would provide
planning and coordination but no direct services.
Council Members Rosenberg and Priebe stated support for a
human services planning coordinator position.
City Manager Prosser indicated the Council is not approving
the budget tonight but only reviewing recommendations for the
final budget approval in December.
M/Sandahl, 5/Rosenberg to direct staff to prepare funding
needs and funding alternatives for a human services AlanninQ
coordinator position for the City of Richfield.
Motion carried 5-0.
Community Development Director Wallace reviewed and
answered questions regarding the Community Development Department
proposed budget. He reviewed changes in labor credits as a
result of the 77th Street construction project. He indicated the
New Ford Town buyout may impact these credits next year. He
reviewed the status of the following programs: comprehensive plan
update, revision of the zoning ordinance, Richfield Rediscovered
Housing Program, Transformation Housing, Habitat Housing,
apartment revitalization, Section 8, Education Projects, Fix-Up
Street, and Cloverleaf redevelopment project.
Community Services Director Fondrick reviewed and answered
questions regarding the Community Services proposed budget. He
discussed issues related to funding for recreation, the 77th
Street Project storm sewer initiatives, federal and Municipal
State Aid (MSA) transportation funding concerns, the proposed I-
494 expansion, and the proposed I-35W corridor improvements.
Council Member Priebe criticized the lack of specificity of
the division goals in the budget narratives. He stated he wanted
to be able to fudge department performance against those
performance goals.
Community Services Director Fondrick reviewed how
departments and division managers do develop specific goals and
objectives by which their performance is evaluated.
~I~
1
Special Meeting Minutes
-3- September 8, 1993
City Manager Prosser stated that he had already directed
staff to review and revise the budget narratives to include the
more specific division goals that staff utilizes in their
divisions.
Council Member Sandahl complimented staff on their efforts
in minimizing the disruption from the 77th Street Pro,~ect.
Council Susag suggested the possibility of site signs to
explain and identify the 77th Street Project.
Community Services Director Fondrick reviewed the street
maintenance budget recognizing the future needs for maintenance
and reconstruction. City Manager Prosser indicated that street
reconstruction funding would be a part of the 1994 Legislative
Initiative proposals.
Community Services Director Fondrick reviewed and answered
questions regarding the LHN Maintenance, Government Buildings,
Community Services Administration, Park Maintenance, Wood Lake
Nature Center, Recreation, Community Center, and Forestry
Divisions proposed budgets. He discussed issues regarding energy
efficiency efforts, Richfield Lake drainage solutions, the Fourth
of July Celebration, and replacement of the Community Center bus.
City Manager Prosser reviewed the Special Revenue Fund
which is financed by earnings of the Municipal Liquor Fund and
then used for capital improvement projects.
Council Member Priebe suggested a reduction of the
Municipal Liquor Store Fund cash balance by transferring it to_.:.
the Special Revenue Fund for capital improvements, indicating the
current balance of almost $1 million was excessive.
City Manager Prosser stated that it is a Council policy
decision whether to utilize the cash balance for alternatives
such as the redevelopment of the Penn store, consideration of
developing a fourth liquor store in the I-494/Lyndale Avenue
area, or to reduce it by transferring it as Council Member Priebe
suggested.
City Manager Prosser reviewed and answered questions
regarding the Contribution Fund, Community Block Grant (CDBG)
Fund, Drug/Felony Forfeiture Fund, Tourism Administration Fund,
and the Cable TV/Program Fund.
Council Member Priebe suggested the possibility of
utilizing Cable TV funds to finance communication publications to
free up general fund money for the proposed human services
planning coordinator position.
Special Meeting Minutes -4- September 8, 1993
Council Member Sandahl discussed the need to enhance the
ability for the Council, audience, and cable TV viewers to see
the graphics and displays used in presentations to the Council.
City Manager Prosser indicated there was a large range of
graphic display enhancement options from minor improvements to
comprehensive changes in the Council Chambers.
It was the consensus of the Council that staff investigate
options and prepare a list of alternatives for enhancement of
graphic display capabilities for the Council Chambers/Cable TV
for Council discussion during 1994.
Community Services Director Fondrick reviewed and answered
questions regarding the Central Garage and Equipment Internal
Service Fund.
Council Member Priebe asked if the City had looked at using
an outside vendor for vehicle/equipment maintenance.
Community Services Director Fondrick indicated that a
review of this issue revealed hourly rates were in excess of in-
house staff and the ?~!. hour emergency flexibility Baas problematic
for private vendors.
City Manager Prosser discussed the possibility of
utilization of a private vendor on a test basis for a small
portion of equipment to provide a comparison.
Administrative Services Director Devich reviewed and
answered questions regarding the Central Services Internal
Services Fund. He reviewed the mayor initiatives related to the
main copier, computer hardware, and computer software systems.
Administrative Services Director Devich then reviewed the Self
Insurance Internal Services Fund and safety initiatives.
Liquor Store Operations Director Fillmore reviewed the
Liquor Stores Department proposed budget. He reviewed the
implementation of the computer inventory system, emphasis on
customer satisfaction, responsible distribution of alcohol
beverages, and sales promotions.
Council Member Priebe criticized the content of the Liquor
Fund narrative, division goals, and division expenditure comment.
Liquor Store Operations Director Fillmore stated it would
be rewritten.
Council Member Priebe questioned the accounting methods
used to report liquor store net profits. He indicated he had
talked to the City's auditor Jeff Radunz, Deloitte & Touche, who
discussed a preferred method that Robbinsdale uses.
Special Meeting Minutes -5- September 8, 1993
Council Member Priebe stated that if this was a private
business that had to pay property and income taxes, it would not
be doing very well.
City Manager Prosser stated the Liquor Stores are doing
very well in comparison to industry standards. He stated that
Mr. Radunz had never indicated ;dissatisfaction or suggested
changes in the Liquor Fund accounting in any of his audits or
communication to the City. Mr. Prosser stated the reporting
could be changed if the Council desires.
Council Member Sandahl stated that the bottom line is the
same with either accounting method.
Council Member Priebe stated opposition to a fourth liquor
store.
City Manager Prosser stated that staff would develop the
proforma data regarding a fourth liquor store proposal for
consideration by the City's auditor and City Council for a
Council decision.
It was the consensus of the Council that the staff proceed
to develop the proforma data of a fourth liquor store for future
Council consideration.
Community Services Director Fondrick reviewed and answered
questions regarding the Water Maintenance, Sanitary Sewer, and
Storm Sewer Divisions proposed budgets. He reviewed a proposal
for a new electrician position to reduce contractual electrician
services and increase maintenance capabilities.
City Manager Prosser suggested that the Council complete
questions on the preliminary draft budget review in order to be
comfortable with setting the maximum levy on September 13. He
stated another budget meeting would be scheduled to discuss the
mayor unresolved budget issues. He stated consideration of the
final budgets and tax levy will be scheduled for December.
Administrative Services Director Devich stated that the
maximum levy must be submitted to the county by September 15.
The City Council can reduce the levy in December but cannot
increase it. The County will use the maximum levy in the Truth-
in-Taxation notices mailed to property owners.
Council Member Susag asked questions regarding the
reporting of the airport studies in the HRA budget.
City Manager Prosser stated that City general fund money is
transferred to the HRA to fund these costs.
~J
Special Meeting Minutes -6- ~~p-t+ambbr 8, 1993
City Manager Prosser reviewed the status of FAA funding for
the New Ford Town/Rich Acres buyout.-
Council Member Susag announced he had been appointed to the
Metropolitan Waste Control Commission.
ADJOURNMENT
The meeting was adjourned by unanimous consent at 10:40
p.m.
Date Approved:
9/27/93
O 3'L~ 0 ~~
Thomas P. Ferber
City Clerk