2004-12-06MOUND CITY COUNCIL MINUTES
DECEMBER 6, 2004
The City Council of the City of Mound, Hennepin County, Minnesota, met in special
session on Monday December 6, 2004, at 7:00 p.m. in the council chambers of city hall.
Members Present: Mayor Pat Meisel; Councilmembers Bob Brown, Mark Hanus, David
Osmek and Peter Meyer.
Others Present: City Manager Kandis Hanson, City Clerk Bonnie Ritter, Finance
Director Gino Businaro, Parks Director Jim Fackler, Docks Administrator Katie Hoff,
John Beise, Mike Specht, Tom Reese, Don McCarville, Cathy Younes
1. Open Meetin_~
Mayor Meisel called the meeting to order at 7:00 p.m.
2. Truth In Taxation Presentation and Public Hearin~
Kandis Hanson gave the background of the City of Mound's budget process, followed
by Businaro's presentation on the proposed budget for 2005. He stated that the
numbers he presented do not include the school referendum that was just passed, or
the special assessments that were just certified to Hennepin County. He also reviewed
how property taxes are determined and gave examples of the formula.
Mayor Meisel opened the public hearing at 7:25 p.m.
Tom Reese, 5641 Bartlett Blvd., asked for a rational explanation of what evaluations are
based on and whatthey mean. He believes that the levy should go down so the tax is
the same, plus inflation. He asked where all the money is going and how his taxes can
double. Discussion followed regarding the cut of programs at the city level, and the
status of programs at the state and federal level. Brown stated that, as Businaro's
information shows, if the value of your home doesn't go up, the taxes were going down.
Meisel stated that the County Assessor sets the home values. Reese stated that the
increase in taxes is hitting the retired people and they are being taxed right out of their
homes. He also questioned if Mound really needed the new Public Safety Building and
if it needed to be that fancy. Brown explained that the building was constructed on a
tight budget and where cost savings were realized.
Don McCarville, 3349 Warner Lane, stated he would like to see city government think in
terms of cutting instead of adding each year and asked what happened to just the 3%
inflation rate? He'd like to see the city cut back on their wants list and not go to
department heads to see what kind of toys they need, such as new trucks. Cuts need
to start with the city. Meisel stated that when talking about new trucks, especially
Public Works vehicles, some are 20 years old and have to be replaced to continue
supplying service to the public. McCarville also suggested cutting personnel to reduce
the 2005 budget. He also questioned the HRA levy, which was explained to him by
Businaro.
Mound City Council Minutes - December 6, 2004
Reese asked how the liquor store could be losing money. Businaro explained that in
2003 they actually came out even, and the same is projected for 2004, even with the
payment for the new building construction.
Cathy Younes, 4962 Bartlett Blvd., asked about an earlier statement about the
preliminary tax figures not including a levy. Businaro explained that the levy they are
speaking about is the school referendum levy that was passed at the November
election.
For the record, Meisel acknowledged receipt of letter from Connie Clair Szarke, 1956
Shoreline Lane, which expressed opposition to the increase in taxes.
Mayor Meisel closed the public hearing at 7:57 p.m.
Discussion followed regarding dock fees. Meisel explained that the Docks Commission
couldn't come to agreement regarding the dock fees. Included in the Council packet
were three charts with different dock fee raises, showing the affects on the budget
through 2010.
MOTION by Osmek, seconded by Brown, to increase the multiple dock fees $25 for
each unit for 2005, and $25 also inclusive across the system for 2005. A friendly
amendment was suggested to increase personal watercraft by $25 also, and to increase
shares $50. Osmek withdrew his motion and Brown withdrew his second.
MOTION by Osmek, seconded by Brown to accept the fees as stated on page 96 of the
council packet, being 2005 Dock Fee $275, 2005 Slip Fee $300,2005 pwc Slip Fee
$113, 2005 Share Fee $150, and showing 0 increase in subsequent years. Discussion
followed regarding the feasibility of adopting an increase for subsequent years, as
demonstrated in other presented scenarios, to keep the fund balance at around
$100,000 each year. The following voted in favor: Hanus, Osmek and Meyer. The
following voted against: Brown and Meisel. Motion carried.
The proposed City Hall Capital Outlay was also discussed. Osmek stated that he would
like to cut down on the proposed $16,000. Brown agreed, stating that he can' t see
spending that kind of money on concrete park benches and picnic tables. Osmek
suggested reducing the $16,000 to $8,500 and letting staff decide how to spend it on
City Hall.
Meyer questioned what was wrong with the picnic table there now. He won't even
consider $700 planters and picnic tables.
Hanus questioned the purpose of the bollard lights at the entrance to city hall. Hanson
stated that they were taken out when the sidewalk was replaced, they were rusted and
in bad shape. Hanus expressed concern over replacing those lights when there is
2
Mound City Council Minutes - December 6, 2004
already talk of replacing city hall. Fackler stated that the bollard lights were already
ordered for $2,075. Discussion followed as to why they were ordered when they are
budgeted for 2005.
MOTION by Osmek, seconded by Meisel to amend the proposed City Hall Capital
Outlay, line item 500, to $8,500 for 2005. The following voted in favor: Brown, Hanus,
Meisel and Osmek. The following voted against: Meyer. Motion carried.
Discussion followed regarding the fund balance and levy.
MOTION by Osmek, seconded by Brown to change the proposed budget to reflect a
7.5% tax levy increase, instead of the presented 10%, for Revenue - General
Purposes. The following voted in favor: Brown, Hanus, Meisel and Osmek. The
following voted against: Meyer. Motion carried.
MOTION by Brown, seconded by Osmek to cancel the Truth In Taxation Hearing
continuation scheduled for December 13, 2004, at 7:00 p.m. All voted in favor. Motion
carried.
3. Adjourn
MOTION by Osmek, seconded by Brown to adjourn at 9:25 p.m. All voted in favor.
Motion carried.
,~.ttest: Bonnie Ritter, City Clerk
Mayor Pat Meisel
3