HomeMy WebLinkAbout08-17-2020-WSAGENDA ITEMS
Segregation Of Duties Discussion
Gayle Bauman, Finance Director
MEMO.PDF
ATTACHMENT A.PDF
ATTACHMENT B.PDF
Recycling Contract Discussion
Mike Mrosla, Community Development Manager/City Planner
MEMO.PDF
ATTACHMENT A.PDF
Chickens And City Ordinance Discussion
Joe Hartmann, Associate Planner
MEMO.PDF
ATTACHMENT A.PDF
Preliminary General Fund Budget
Gayle Bauman, Finance Director
MEMO.PDF
ATTACHMENT A.PDF
ATTACHMENT B.PDF
Council Tracker
Dave Perrault, City Administrator
MEMO.PDF
COUNCIL/STAFF COMMENTS
ADJOURN
Mayor:
David Grant
Councilmembers:
Brenda Holden
Fran Holmes
Dave McClung
Steve Scott
City Council Work Session
Agenda
August 17, 2020
5:00 p.m.
City Hall
Address:
1245 W Highway 96
Arden Hills MN 55112
Phone:
651 -792 -7800
Website :
www.cityofardenhills.org
City Vision
Arden Hills is a strong community that values its unique environmental setting, strong residential
neighborhoods, vital business community, well -maintained infrastructure, fiscal soundness, and our
long -standing tradition as a desirable City in which to live, work, and play.
This meeting can be accessed remotely by joining via Zoom
T o join the Zoom Meeting via your computer, click this link (or copy and paste it
into a new browser): https://us02web.zoom.us/j/84584363929
CALL TO ORDER
1.
1.A.
Documents:
1.B.
Documents:
1.C.
Documents:
1.D.
Documents:
1.E.
Documents:
2.
AGENDA ITEMSSegregation Of Duties DiscussionGayle Bauman, Finance Director MEMO.PDFATTACHMENT A.PDFATTACHMENT B.PDFRecycling Contract DiscussionMike Mrosla, Community Development Manager/City Planner MEMO.PDFATTACHMENT A.PDFChickens And City Ordinance DiscussionJoe Hartmann, Associate Planner MEMO.PDFATTACHMENT A.PDF
Preliminary General Fund Budget
Gayle Bauman, Finance Director
MEMO.PDF
ATTACHMENT A.PDF
ATTACHMENT B.PDF
Council Tracker
Dave Perrault, City Administrator
MEMO.PDF
COUNCIL/STAFF COMMENTS
ADJOURN
Mayor:David Grant Councilmembers:Brenda Holden Fran HolmesDave McClungSteve Scott City Council Work SessionAgenda August 17, 2020 5:00 p.m. City Hall Address:1245 W Highway 96 Arden Hills MN 55112 Phone:651 -792 -7800 Website : www.cityofardenhills.org City VisionArden Hills is a strong community that values its unique environmental setting, strong residential neighborhoods, vital business community, well -maintained infrastructure, fiscal soundness, and our long -standing tradition as a desirable City in which to live, work, and play.This meeting can be accessed remotely by joining via ZoomTo join the Zoom Meeting via your computer, click this link (or copy and paste it into a new browser): https://us02web.zoom.us/j/84584363929CALL TO ORDER1.1.A.Documents:1.B.Documents:1.C.Documents:
1.D.
Documents:
1.E.
Documents:
2.
AGENDA ITEM – 1A
MEMORANDUM
DATE: August 17, 2020
TO: Honorable Mayor and City Councilmembers
Dave Perrault, City Administrator
FROM: Gayle Bauman, Finance Director
SUBJECT: Segregation of Duties Discussion
Budgeted Amount: Actual Amount: Funding Source:
N/A N/A N/A
Council Should Consider
City Council feedback is requested regarding the Segregation of Duties finding the City receives in
its audit each year. Discussion
Attachment A is a copy of the finding we received in the 2019 audit. This comment is not just
looking at possible fraud and intentional acts, but also ensuring proper financial reporting and the
prevention of honest errors. Even knowledgeable staff is capable of coding or classifying an entry
incorrectly. This is why it is always best multiple individuals are trained in each area so that no
one individual can have responsibility to execute a transaction, have physical access to the related
assets, and have responsibility or authority to record the transaction.
A deficiency in internal control exists when the design or operation of a control does not allow
management or employees, in the normal course of performing their assigned functions, to prevent,
or detect and correct, misstatements on a timely basis.
A material weakness is a deficiency, or a combination of deficiencies, in internal controls, such
that there is a reasonable possibility that a material misstatement of the entity’s financial statements
will not be prevented, or detected and corrected, on a timely basis.
A significant deficiency is a deficiency, or a combination of deficiencies, in internal controls that
is less severe than a material weakness, yet important enough to merit attention by those charged
with governance.
The City receives a material weakness finding related to Segregation of Duties in its audit each
year. The finding is primarily caused by the limited size of the City’s finance department staff. It
is not unusual for a City of our size to receive this finding.
Staff met with Mr. Aaron Nielsen from MMKR to go through the audit areas/transaction classes
related to this finding shown in Attachment B. This was a good exercise for both the City and the
auditors to work through. It revealed the specific areas where additional checks and balances were
needed. Below is the city’s response/remedy in each of the different areas.
1. Cash and Investments
Will adjust the bank reconciliation process to have the City Administrator sign off on it
once it is complete each month. The current City Administrator has been involved in the
bank reconciliation process in the past and would have sufficient knowledge to review the
work. City Administrator already signs off on investment purchases.
2. Revenue/Receivables – Taxes/Special Assessments/Other
Finance Director will need to train the Accounting Analyst on taxes and special assessments
so that one can prepare the entry and one can review and approve it. Would also need to
determine how comfortable the Accounting Analyst is with any other journal entries she
may need to review and approve, and train as necessary.
Finance Director needs to add a process to look for write offs not approved. This would
most likely involve creating a new report to pull adjustments made to accounts and
reconciling them against approved adjustments.
3. Revenue/Receivables – Utility Funds
The majority of this work is completed by the Accounting Clerk and reviewed by the
Finance Director. Will need to set up a new process for the Accounting Analyst to regularly
reconcile the aging report to the general ledger.
4. Accounts Payable and Prepaid Items
Currently the Finance Director prepares these work papers. Need to train the Accounting
Analyst on preparing them and only have the Finance Director review them. Looking at
expanding the positive pay program to include matching of the vendor name. Should checks
be put in mail by someone not involved in the payable process to ensure vendor names
match the check proof list?
5. Payroll, Pensions, OPEB
Review access permissions for Springbrook. Only allow VIEW permissions for employees
needing access but not involved in processing, such as the City Administrator. The auditors
currently assist to develop the entries needed for pensions and OPEB and I don’t see how
this can be changed.
6. Inventories
The City only carries an inventory for water meters on its books. The amount is not
significant enough to warrant any changes.
7. Capital Assets
This is an area where the City would probably need additional staffing or to contract out for
someone to prepare the year end work papers and then have the Finance Director review
them. This is not recommended by staff.
8. Interfund Transactions and Balances
The auditor is comfortable with the City process.
9. Debt and Debt Service
Currently the Finance Director prepares these work papers. Determine the feasibility of
training the Accounting Analyst on preparing them and only have the Finance Director
review them.
10. Unearned/Unavailable Revenue and Accruals
Currently the Finance Director prepares these work papers. Determine the feasibility of
training the Accounting Analyst on preparing them and only have the Finance Director
review them.
11. Net Position and Fund Balances
The auditor is comfortable with the City process.
12. Grants and Similar Programs
Accounting Analyst will need training to become comfortable with reviewing these work
papers.
13. Insurance/Risk Management
City Administrator and Finance Director complete the application materials each year. Staff
relies on insurance provider to let City know if it is adequately insured or not.
14. Budget
Currently the Finance Director establishes the budget in Springbrook. Need to have
someone else review the imported data and match against the budget approved by Council.
15. Financial Close and Reporting
Finance Director handles this task. Currently there is no other employee with the City that
has the knowledge or expertise to review the work.
16. Adjusting Journal Entries
Both the Finance Director and the Accounting Analyst prepare journal entries. The preparer
has the other review and approve. Unsure of the comfort level or knowledge base of the
Accounting Analyst to approve all entries prepared by the Finance Director. Look into the
possibility of designing a report to look for entries that didn’t go through a review process.
Finance Director and City Administrator currently have access to all aspects of the financial
software. The auditor needs to establish a comfort level on if operations staff notes a concern on
anything, would they stand up to the Finance Director and/or City Administrator. Budget Impact
Staff feels they could implement enough of the changes noted above to reduce the finding from a
material weakness to a significant deficiency with existing staffing. To entirely eliminate this
finding, the City would need to consider additional staffing or contract out with someone each
year to either prepare or review certain financial transactions throughout the year. At this time
staff does not believe this to be a cost-effective solution. We will continue to monitor our controls
on an ongoing basis and adapt as needed for changes in our processes and reporting environment. Attachments
Attachment A: 2019 Audit Finding
Attachment B: Internal Controls – Segregation of Duties – Risk Assessment
CITY OF ARDEN HILLS
Schedule of Findings and Responses
Year Ended December 31, 2019
-4-
FINDINGS – MATERIAL WEAKNESS IN INTERNAL CONTROL OVER FINANCIAL
REPORTING
2019-001 SEGREGATION OF DUTIES
Criteria – Internal control over financial reporting.
Condition – The City of Arden Hills, Minnesota (the City) has limited segregation of duties
in a number of areas.
Context – This is a current year and prior year finding.
Cause – The limited segregation of duties is primarily caused by the limited size of the City’s
finance department staff.
Effect – One important element of internal accounting controls is an adequate segregation of
duties such that no one individual should have responsibility to execute a transaction, have
physical access to the related assets, and have responsibility or authority to record the
transaction. A lack of segregation of duties subjects the City to a higher risk that errors or
fraud could occur and not be detected in a timely manner in the normal course of business.
Recommendation – This condition is common to organizations of your size. We recommend
that the City segregate duties as best it can within the limits of the staff available. Any
modifications in internal control in this area should be viewed from a cost-benefit
perspective.
Management Response – There is no disagreement with the audit finding. The City reviews
and makes improvements to its internal control structure on an ongoing basis and attempts to
maximize the segregation of duties in all areas within the limits of the staff available.
However, the City does not consider it cost-beneficial at this time to increase the size of its
staff in order to further segregate accounting functions.
City of Arden Hills
Internal Controls – Segregation of Duties – Risk Assessment
July – 2020
Audit Areas/Transaction Classes
1. Cash and Investments
(Processing Cash Receipts and Disbursements, Managing Investments)
• Does anyone review bank reconciliation
• Does anyone monitor investment handling besides Finance Director
2. Revenue/Receivables – Governmental Funds – Taxes/Special Assessments/Other
(Processing and Managing Billings, Processing Billing Adjustments, Recording Unavailable
Revenue, Estimating the Allowance for Uncollectible Accounts, Maintaining Master Files)
• Finance Director is the only one involved in the recording of taxes and special
assessments for the financial statements.
• Process to write-off receivables
3. Revenue/Receivables – Proprietary Funds
(Processing and Managing Billings, Processing Billing Adjustments, Recording Unavailable
Revenue, Estimating the Allowance for Uncollectible Accounts, Maintaining Master Files)
• Write-off process
• Booking any unbilled receivables
• Reconciling sub-ledgers to the general ledger
4. Expenditures/Expenses for Goods/Services and Accounts Payable and Prepaid Items
(Recording Purchases, Processing Accounts Payable and Accruals, Processing Disbursements,
Maintaining the Supplier Master File)
• Reconciling a/p listing to the general ledger
• Determining prepaid items
5. Payroll and Related Liabilities Including Termination and Health Benefits – Pensions and OPEB
(Processing Payroll, Maintaining the Employee Database Master File)
• Who can adjust payroll amounts and who monitors/approves changes
• Who can adjust withholding amounts
6. Inventories
(Recording Purchases, Receiving and Storing Inventory, Costing Inventory, Managing Inventory,
Estimating Excess and Obsolete Inventories)
• Water meters only?
7. Capital Assets
(Acquiring and Safeguarding Capital Assets, Depreciating/Amortizing Capital Assets, Disposing
of Capital Assets, Maintaining the Capital Assets Sub-ledger, Assessing Assets for Impairment)
• Is this managed entirely by Finance Director?
8. Inter-fund Transactions and Balances
(Managing Transfers and Borrowings between Funds)
• Who is involved in this process?
9. Debt and Debt Service
(Managing Borrowings)
• Is this handled by Finance Director entirely?
10. Unearned Revenue, Unavailable Revenue, and Deferred Inflows of Resources
(Processing Unearned Revenue, Unavailable Revenue, and Accruals)
• Is there a preparer and reviewer with this process?
11. Net Position and Fund Balances
(Recording Equity Transactions, Preparing Financial Statement Reconciliations)
• Is there a preparer and reviewer with this process?
12. Grants and Similar Programs
(Recording Grants and Similar Programs, Processing Program Receipts, Processing Program
Expenditures, Reporting Grants and Similar Programs)
• Is there a preparer and reviewer with this process?
13. Self–Insurance
(Recording and Processing Claims Payable, Estimating the Reserve for Claims Incurred but Not
Reported)
• Is there a preparer and reviewer with this process?
14. Budget
(Managing Budget Approval and Financial Reporting)
• Is there a preparer and reviewer with this process?
15. Financial Close and Reporting
(Defining the Financial Closing and Reporting Process, Performing the Accounting Period Close,
Capturing and Processing Other Non-routine Information Requiring Significant Estimates and
Judgments from Management, Preparing and Reviewing Financial Statement Disclosures,
Reviewing and Approving the Financial Statements)
16. Adjusting Journal Entries
(Processing financial statement adjustments and approval)
• Is there a preparer and reviewer with this process?
General Notes
A. Finance Director has access to all aspects of the finance system.
B. Some of Finance Director’s work is likely not reviewed by anyone else. Bank statement we
viewed was not reviewed by anyone else at the City.
C. Accounting Clerk is primary person on cash receipts/utility billing.
D. Accounting Analyst is primary person on accounts payable and payroll.
E. Maintaining Master Files – System tracks changes, but changes usually made by person assigned
to process the areas (A/P, UB, Payroll).
F. Reminder – Segregation of Duties should not only consider fraud and intentional acts, but also
proper financial reporting and prevention of honest errors. The auditor is not part of internal
controls.
AGENDA ITEM – 1B
MEMORANDUM
DATE: August 17, 2020
TO: Honorable Mayor and City Councilmembers
Dave Perrault, City Administrator
FROM: Mike Mrosla, Community Development Manager/City Planner
SUBJECT: Republic Recycling Contract Extension
Budgeted Amount: Actual Amount: Funding Source:
N/A N/A N/A
Council Should Consider
Staff is looking for Council direction in regards to either extending the current contract with
Republic Services or start the RFP process to select a new recycling provider. The existing
contract with Republic Services requires the city to notify them at least six months prior to the
expiration of the contract in the event the city decides to go out for RFP.
Background
Republic Services has been the city’s recycling hauler since 2015. The existing contact
(Attachment A) is very favorable for the city and was set to expire in May 2020. However, the
existing contact has a clause that states the city has the sole discretion to elect to extend the
contract annually or five (5) year increment. At its November 12, 2019 meeting, the City
Council extended the current contract one (1) year or until May 4, 2021. The current contract
may be extended four (4) more times.
Staff is recommending extending the current contract with Republic Services for another year or
from May 3, 2021, to May 2, 2022. Staff is proposing this extension because it would be
difficult to secure a similar contact due to the unstable recycling markets. The proposed one (1)
year extension will continue to utilize the existing terms and conditions.
Budget Impact
The proposed one (1) year extension will continue to utilize the fee structure as previously
approved in the currently approved contract. Under the current contract, any rate increase shall
not exceed three (3) percent. The estimated contract rate based on a maximum three (3) percent
increase will be $102,000 for 2021.
Page 2 of 2
Recycling Contract Discussion
1. Should the city continue to utilize the current contract with Republic Services? Any
extension would utilize the existing terms and conditions. The city will have the ability
to extend the contact up to three (3) more times.
2. Should the city go out for RFP for a new recycling provider?
Attachment
A. Approved Republic Services Contract
CONTRACT FOR THE COLLECTION OF RESIDENTIAL
RECYCLABLE MATERIALS
CITY OF ARDEN HILLS, MN
CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page i
CITY OF ARDEN HILLS
CONTRACT FOR THE COLLECTION OF RESIDENTIAL
RECYCLABLE MATERIALS
Table of Contents
1. Term of Contract .....................................................................................................................2
2. Definitions ...............................................................................................................................2
3. Scope of Work: General Provisions ........................................................................................6
4. Operations ................................................................................................................................8
5. Collection Services ..................................................................................................................9
6. Collection Equipment ............................................................................................................11
7. Employees .............................................................................................................................12
8. Indemnity 3 .............................................................................................................................13
9. Insurance ................................................................................................................................13
10. Payment and Performance Bonds/Letter of Credit ................................................................14
11. Transferability of Contract ....................................................................................................14
12. Reporting and Promotional/Educational Activities ...............................................................15
13. Default and Termination ........................................................................................................17
14. Payment for Base Collection Services ..................................................................................18
15. Miscellaneous Provisions ......................................................................................................21
Appendices
Appendix A Map of Route Sectors by Collection Day
Appendix B City Building(s) and Park(s) to be serviced by the Contractor
CITY OF ARDEN HILLS, MN
CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page 1
CITY OF ARDEN HILLS
CONTRACT FOR THE COLLECTION OF RESIDENTIAL
RECYCLABLE MATERIALS
This Contract, is made and entered into this 23rd day of February, 2015, by and between the City of
Arden Hills, a Municipal Corporation under the laws of the State of Minnesota (hereinafter called the
“City”) and Republic Services, Inc. a corporation under the laws of the State of Minnesota, having its
principal place of business at 9813 Flying Cloud Drive, Eden Prairie, MN 55347 (hereinafter called the
“Contractor”).
WITNESSETH
WHEREAS, the City requires the collection and proper management of recyclables within the
corporation limits of the City; and
WHEREAS, the Contractor is engaged in the business of collecting, processing, and marketing
recyclables; and
WHEREAS, the City released a request for proposals (RFP) for recyclables collection,
processing, and marketing services on September 10, 2014; and
WHEREAS, the Contractor (Republic Services) submitted a proposal in response to the City’s
RFP on October 17, 2014; and
WHEREAS, the City desires to hire the services of the Contractor (Republic Services) and the
Contractor (Republic Services) desires to provide the services to the City; and
NOW, THEREFORE, IT IS AGREED BY AND BETWEEN BOTH PARTIES:
That the Recycling Contact for Residential Recycling Services with Republic Services
(Contractor) outlines the requested services by the City and costs for these said services for eligible
Residential Dwelling Units (RDU) and Multi-Dwelling Units (MDU).
CITY OF ARDEN HILLS, MN
CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page 2
1. Term of Contract
1.1. This Contract shall commence on May 4, 2015, and shall remain in full force and
effect through May 4, 2020, unless terminated in accordance with Section 13 of this
Contract.
1.2. The City at its sole discretion may elect to extend the Contract for five (5), one (1)
year increments or the City at its sole discretion may elect to extend the Contract for
one (1), five (5) year extension. The terms and conditions of this Contract shall apply
to any such Contract extension. Nothing in this Contract shall be interpreted to imply
or infer that the City is committing to such extensions.
1.3. At least six months prior to the expiration of this Contract (or any extension period),
the City shall notify the Contractor of its decision as to whether or not to exercise its
extension option. The Contractor may request an early decision by the City for a
contract extension by submitting a written request.
2. Definitions
The following terms, whenever used in this Contract, shall have the meanings set forth in this
Section unless otherwise limited or expanded elsewhere in this Contract.
Aluminum Cans Disposable containers fabricated primarily of aluminum, commonly used
for soda, beer, juice, water or other beverages.
Aseptic Packaging
and Milk Cartons
Containers designed to maintain the sterility of a sterile (aseptic) product
such as food. (e.g. gable-top milk cartons, juice boxes and aseptic
packaging used for soup, broth, soy milk, etc.
Base Collection
Services
The base level of recyclables collection services, which services are paid for
by the City to the Contractor as specified in this Contract.
Bulky Waste
All large, bulky household materials which do not fit within a garbage cart,
and include (but are not limited to) carpeting and padding, mattresses,
chairs, couches, tables, appliances, electronics and car parts including
wheels, rims and tires.
Carrier Stock Paperboard coated with resins to resist moisture and used for containers to
carry products such as beer, water and soft drinks.
Carts The wheeled, lidded carts in which recyclable materials can be stored and
placed for curbside collection as approved by the City.
CITY OF ARDEN HILLS, MN
CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page 3
City The City of Arden Hills, Minnesota.
Clothes and
Linens
Towels, sheets, blankets, curtains, tablecloths, rags, and clothes including:
belts, coats, hats, gloves, shoes and boots which are dry, clean and free of
mold, mildew and excessive stains.
Collection Route
Sector
A geographic area within the City determined by the City that will be
serviced by one or more collection vehicles within one, specified day each
week and which may be used to measure collection progress.
Collection Vehicle Any vehicle licensed and inspected as required by State and County and
approved by the City for recyclables collection within the corporate
boundaries of the City.
Collection Hours The time period during which collection of recyclables is authorized by the
City.
Commodity Any individual material, including specific industrial grades of material.
Contract Price for
Recyclables
Collection Service
The amount of money per Residential Dwelling Unit (RDU) or Multi-
Dwelling Unit (MDU) charged by the Contractor to the City per the terms
and conditions of this Contract for costs attributable to the base recyclables
collection service, including transport of these recyclables to the City-
designated recycling center.
Contractor Republic Services, Inc.
County Ramsey County, MN
Curbside That portion of right-of-way adjacent to paved or traveled City roadways.
“Curbside” as used in this Contract shall be interpreted to include alleys.
Curbside
Collection
The collection of recyclables in accordance with this Contract, City
ordinances, and City guidelines regulating the placement of the same.
Detailed
Collection Route
Plans
The Contractor-established and City-approved truck travel patterns on the
City residential streets (e.g., start points, stop points, truck direction) within
each daily route sector.
Door-Step
Collection
The collection of household waste and recyclable materials at a RDU at a
point close to the dwelling unit, in lieu of curbside collection, for producers
or occupants who have a documented physical infirmity and when there is
not a person living in the dwelling that is able to move wastes to the curb.
(Also referred to as “walk-up” service.)
Dwelling Unit See Residential Dwelling Unit (RDU).
CITY OF ARDEN HILLS, MN
CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page 4
Field Route Audits Semi-annual counts of all eligible residential dwelling units served through
actual field surveys (such as dwelling unit counts by recycling route).
Glass Jars And
Bottles
Glass jars, bottles, and containers (lids/caps and pumps removed) that are
primarily used for packaging and bottling of food and beverages.
Holidays Any of the following: New Year’s Day, Memorial Day, Independence Day,
Labor Day, Thanksgiving Day, and Christmas Day.
HDPE Plastic bottles and non-bottle plastic containers made from high density
polyethylene resin.
Missed Collection The failure of the Contractor to provide collection service to an RDU
subject to this Contract during collection hours on the scheduled day of
collection.
Multiple-Unit
Dwellings (MDUs)
A building or a portion thereof containing five or more dwelling units.
Materials
Recovery Facility
(MRF)
A facility in which recyclable materials are processed for marketing and
sale. The facility will conform to all applicable rules, regulations and laws
of the state, local or other jurisdictions.
Paper Products Paper products include the following: newspapers including inserts (ONP);
household office paper and mail; boxboard; carrier stock cardboard; old
corrugated cardboard (OCC) including boxes for delivery and take out of
pizzas; phone books; Kraft bags; and magazines/catalogs (OMG).
Participation Rate Documentation of which specific households on a recycling route set out
recyclable materials during one calendar month as a percentage of the
overall number of eligible households.
Plastic Food And
Beverage
Containers
Bottle and rigid plastic containers made of PET (plastic type #1), HDPE
(plastic type #2), and PP (plastic type #5).
PET
PP
Plastic bottles and non-bottle plastic containers made from polyethylene
terephthalate (e.g. soft drink, water, other bottles, deli clamshells, etc.).
Containers made from polypropylene.
CITY OF ARDEN HILLS, MN
CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page 5
Process Residuals The materials that cannot be recycled due to material characteristics such as
size, shape, color, cross-material contamination, etc. which must be
disposed as mixed municipal solid waste. Process residuals include (but are
not limited to): bulky items, contaminants, sorted tailings, floor sweepings
and rejects from specific processing equipment (e.g. materials cleaned from
screens). Process residuals do not include materials that are normally
processed and prepared for shipment to markets as commodities but which
are of relatively low value because of depressed market demand conditions.
Processing The sorting, volume reduction, baling, cleaning, containment or other
preparation of recyclable materials delivered to the processing center for
transportation or marketing purposes.
Processing Fee Agreed upon unit fee allocated towards Contractor’s cost of processing
various types of recyclables.
Producer Occupants of a RDU or MDU property who generate recyclable materials.
Recyclable
Materials Or
Recyclables
The current list of household recyclables established through guidelines
released under the authority of the City. The current list of recyclables, as
of the date of Contract Execution, includes: Newspaper and Newspaper
Inserts; Magazines and Catalogs; Junk Mail and Envelopes; Cardboard;
Office and School Paper; Phone Books; Cereal and Cracker-type boxes;
Shoeboxes; Brown Paper Sacks/Bags; Aluminum, Steel and Tin Cans,
Scrap Metal less than 3 feet in length; Glass Bottles and Jars, Plastic Bottles
and Cups; Plastic Food Containers, Tubs, Bowls, Yogurt Cups and
Margarine/Whip Cream Tubs; Plastic Milk Jugs and Paper Milk Cartons;
Juice Boxes; and other Paper/Aseptic Cartons.
Recyclables
Collection
The collection of all recyclable materials properly set out by residents or
property managers from eligible RDUs or MDUs into specially identified
recyclable carts. Collection shall also include transporting the recyclable
materials to the City-designated recycling center where materials can be
processed for the marketplace.
Recyclables Carts Carts provided by the City for retaining recyclable materials for collection.
Residential
Dwelling Unit
(RDU)
Any eligible, occupied single-family dwelling, duplex, triplex or fourplex
within the City occupied by a person or group of persons. A RDU shall be
deemed occupied when water is being supplied thereto.
Scheduled
Collection Day
The day or days of the week (Monday through Friday) on which collection
by the Contractor is to occur, as specified in the Contract with the City,
including Saturdays for weeks that include Holidays.
CITY OF ARDEN HILLS, MN
CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page 6
Single-Stream
Recycling
(Also referred to as “single-sort recycling.”) The recycling system whereby
residents set out recyclables in one category without further sorting by
residents and which materials are later processed at a central materials
recovery facility, including sorting into their individual marketable
commodities.
Solid Waste Garbage, rubbish and other discarded solid materials (except animal waste
used as a fertilizer), including solid waste materials resulting from
industrial, commercial and agricultural operations, and from community
activities. Solid waste does not include earthen fill, boulders, rock and
other material normally handled in construction operations, solids or
dissolved material in domestic sewage or other significant pollutants in
waste resources, such as silt, dissolved or suspended solids in industrial
waste water effluents, dissolved materials in irrigation return flows, or other
common water pollutants. For purposes of this Contract, solid waste does
not include recyclables, yard waste, source separated organics, bulky items,
appliances or electronic waste. (Also referred to as “mixed municipal solid
waste”)
Source Separated
Organics (SSO)
Food waste, non-recyclable papers, house plants, and other household
organics designated by the City that, once separated by residents, may be
recovered for composting or other forms of organics recovery. SSO does
not include yard waste for purposes of this Contract.
Steel Cans Metal containers fabricated primarily of steel and/or tin used to contain food
or beverages.
3. Scope of Work: General Provisions
3.1. The work under the Contract shall consist of all the items contained in the Contract,
including all the supervision, materials, equipment, labor, customer service operations,
and all other items and functions necessary to complete such work in accordance with
the Contract.
3.2. The City’s RFP (including all addenda) and Contractor’s proposal (including
responses to City questions) are incorporated by reference into this final Contract. If
there is any discrepancy between this final Contract and the City’s RFP or the
Contractor’s proposal, this final Contract shall take precedence.
3.3. Recycling services will be provided to all RDUs, with opportunities for MDU
buildings to “opt-in” to the service. Recyclables collection will occur weekly on
Tuesdays for properties south of I-694 and weekly on Wednesdays for properties north
of I-694. Appendix A includes a map of route sectors by collection day.
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3.4. The Contractor will acquaint itself with all pertinent City Ordinances and other City
guidelines and comply with said ordinances and guidelines.
3.5. The Contractor has made its own examination, investigation and research regarding
the proper method of doing the work, and all conditions affecting the work to be done
(including street layout, alley layout, overhead obstructions preventing automated
lifting of carts, other geography, daily route sector boundaries, etc.) and the labor,
equipment and materials needed thereon, and the quantity of work to be performed
(including the Contractor’s own field verification of RDU and MDU estimates
provided by the City), and the Contractor agrees that it has satisfied itself by its own
investigation and research regarding all of such conditions, and that this conclusion to
enter into the proposed Contract is based upon such investigation and research, and
that it shall make no claim against the City because of any of the estimates, statements,
or interpretations made by any official officer or agent of the City which may prove to
be in any respect erroneous. The Contractor so assumes the risk of all conditions
foreseen and unforeseen and agrees to complete the work without additional
compensations under whatever circumstances may develop other than as herein
provided.
3.6. Household recyclables collection service from eligible RDUs shall be performed
exclusively by the Contractor.
3.7. The Contractor shall be obligated to protect all public and private utilities whether
occupying public or private property. If such utilities are damaged by reason of the
Contractor’s operations under this Contract, it shall repair or replace same or, failing to
do so promptly, the City shall cause repairs or replacements to be made and the cost of
doing so shall be deducted from payment to be made to the Contractor.
3.8. In performing any actions or services under this Contract, the Contractor shall comply
with any and all federal and state statutes, rules and regulations and any and all City
and County ordinances and regulations pertaining to or regulating the provision of
such services or actions, including those now in effect or hereafter adopted.
Any violation of such statutes, ordinances, rules or regulations by the Contractor shall
entitle the City to take appropriate corrective action. Any material violation by the
Contractor shall entitle the City to terminate this Contract upon twenty-one (21) days
written notice of termination to the Contractor except as provided elsewhere herein.
Prior to exercising the right of termination, the City shall notify the Contractor in
writing and consult with the Contractor in an effort to resolve the dispute. The
Contractor may have up to twenty-one (21) days to cure a violation prior to the City’s
exercise of its termination right, provided that such an opportunity to cure is not in
conflict with the provisions of the subject law, ordinance, rule, or regulation.
However, the opportunity to cure shall not apply to subsequent and repeated violations
of the same law, ordinance, rule or regulation.
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Amendments to existing regulatory laws, ordinances, regulations and enactment of
new laws, ordinances and regulations shall not serve as justification for the Contractor
to terminate its obligations hereunder, unless such changes make the completion of
this Contract impossible.
3.9. No person shall be illegally excluded from employment rights in, participation in, or
be denied the benefits of the program which is the subject of this Contract on the basis
of race, religion, color, creed, sex, age, disability, handicapped status, national origin
or any other protected class defined under the Minnesota Department of Human Rights
and/or federal law. The Contractor agrees to undertake all efforts at reasonable
accommodations as may be required by state or federal law.
3.10. The Contractor shall obtain all required licenses and permits to perform the Contract
and promptly pay all fees required or taxes assessed by the City or any other
Governmental agency.
3.11. Contractor agrees that no member, officer, or employee of the City shall have any
direct or indirect interest in this Contract or the proceeds thereof. Violation of this
provision shall cause this Contract to be null and void and Contractor will forfeit any
payments to be made under this Contract.
3.12. Neither the Contractor nor the City shall be liable for the failure to perform their duties
if such failure is caused by a catastrophe, riot, war, fire, act of God, power failure,
flood, disaster or other similar contingency beyond the reasonable control of the City
or the Contractor. Labor disputes do not constitute situations beyond reasonable
control.
3.13. The laws of the State of Minnesota shall be used to interpret this Contract.
4. Operations
4.1. Collection of recyclables shall not start before 7:00 a.m. or continue after 6:00 p.m.
Exceptions to collection hours shall be effected only by prior permission of the City.
The Contractor shall request permission from the City for any exception first via
telephone and then in writing to the City Recycling Coordinator with an explanation as
to the reason for the exception request.
4.2. When a holiday falls on the day that recycling should normally be collected, each
subsequent collection day will be delayed one day. For Example – if July 4 is on
Tuesday, regular collection services that week will be Wednesday and Thursday.
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4.3. The Contractor’s employees shall handle the carts with reasonable precautions to
prevent spilling or scattering of recyclable materials. The Contractor shall replace all
carts in an upright position and shall immediately clean up and dispose of any contents
thereof which may be spilled, regardless of whether the spill occurred on public or
private property.
4.4. If the Contractor fails to clean up any scattered or spilled material or leaked material or
fluids from recycling trucks within three hours after oral or written notice (email is
acceptable) from the City, the City may cause such work to be done and deduct the
reasonable cost thereof from any payments due and owing the Contractor, in addition
to any other remedies provided herein.
5. Collection Services
5.1. The recyclables collection service shall be provided every week from a 35-gallon, 64-
gallon, 95-gallon or similar sized wheeled recycling cart(s).
5.2. Collection shall occur in the same location (i.e., at “curbside”) and similar manner as
household solid waste collection.
5.3. Recyclables “door-step” collection may occur for eligible residents who apply for and
receive City approval. Eligible residents may be disabled or handicapped. There will
not be an additional charge to residents who are entitled to “door-step” collection.
5.4. All occupants of RDUs in the City that set out recyclables for municipal collection
shall be required to place their household recyclables in the City-supplied cart(s).
5.5. The current list of household recyclables is established under the authority of the
City’s Recycling Coordinator. The current list of recyclables as of the date of Contract
execution are listed under the definition of “Recyclable Materials” in Section 2. This
list may be amended by mutual agreement between the City and the Contractor.
5.6. All recyclable materials placed for collection by residents or management from
eligible RDUs or MDUs shall remain the responsibility and ownership of the residents
or property owner until picked up by the Contractor. The City requires that all
collected recyclables must be delivered to the Contractor’s MRF in a manner
acceptable to Ramsey County.
5.7. Residential recyclables collected from the City under this Contract will be kept
separate from other materials until delivery to the MRF. Residential recyclables
generated in Arden Hills shall be weighed on Certified Truck Scales and the weights
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reported to the City. The Contractor shall retain truck scale weight tickets for City
inspection upon request for a period of at least three years.
5.8. The Contractor shall not landfill, incinerate or otherwise dispose of recyclable
materials collected for recycling under this Contract without the specific, prior written
approval of the City.
5.9. When requested by the City, the Contractor shall submit a plan for how the City may
be able to add SSO to its residential curbside collection. This plan shall have specifics
on added costs and collection methods/operations. The City shall have sole discretion
to accept the SSO plan and/or to initiate negotiations with the Contractor to modify the
plan, or reject the plan.
5.10. Cart Ownership and Management
5.10.1. The City shall own the recycling carts.
5.10.2. The Contractor shall be responsible and pay for all aspects of cart
management and operations including (but not limited to), receiving,
assembly, distribution (aka new cart “roll out”), management of excess
cart inventory, (i.e., provide “warehouse” and inventory control services),
cart switches/replacements, cart maintenance, repair or replace damaged
carts, and manage all aspects of warranty repairs. Contractor shall
deliver 64 gallon carts to all RDUs and exchange with other sizes as
requested within one week of a valid request.
5.10.3. The Contractor shall serve as the City’s agent for purposes of
implementing cart warranty service and replacements. The Contractor
will make its best efforts to help assure eligible cart warranty repairs and
replacements are paid for by the cart manufacturer and not the City.
5.10.4. The Contractor’s cart distribution services shall include both the initial
cart rollout and ongoing cart replacements (i.e. new customers, service
changes, replacement of damaged containers, etc.) during the term of the
Contract.
5.10.5. Damaged carts and old recycling bins that are not reusable must be
recycled. All costs incurred in recycling old curbside bins and new carts
damaged beyond repair shall be the responsibility of the Contractor at no
additional cost to the City. Residents may be allowed to keep their City-
provided recycling bin for other uses.
5.11. Recyclable and Solid Waste collections from City Buildings and Parks
5.11.1. The Contractor shall provide recycling and solid waste collection services
at the City owned and operated buildings and parks as listed in Appendix
B.
5.11.2. Collection services shall be extended to all new City owned buildings and
parks created during the term of the contract.
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5.11.3. The Contractor shall provide the recycling and solid waste services at no
additional cost to the City. The cost of these collections from City
buildings and parks shall be factored into the Contractor’s base contract
price for residential collections.
5.11.4. The Contractor shall provide containers necessary for said services
including, but not limited to dumpsters.
5.12. Customer Service
5.12.1. The Contractor shall maintain throughout the duration of the Contract a
designated single contact who is located in Minnesota and who has
sufficient authority to resolve issues when officially notified by City
staff.
5.12.2. The Contractor shall provide responsive, friendly customer service at all
times including interactions with residents by drivers/crews on the
collection route, on the phone, emails, web sites, and other forms of
communication.
5.12.3. In the case of alleged missed collections, the Contractor shall investigate,
and, if such allegations are verified, the Contractor shall then arrange for
the collection of the recyclable materials no later than 6 p.m. the
following business day.
5.12.4. The Contractor shall establish and maintain an office or call service with
continuous supervision to accept complaints and customer calls. The
office shall be in service during the hours of 8:00 a.m. until 5:00 p.m.
Central Standard Time on all days except Saturday, Sunday and legal
holidays. The call service shall be available from 8:00 a.m. to 12:00
(noon) on Saturdays. The address and toll free telephone number of such
office shall be posted on the City’s web site.
6. Collection Equipment
6.1. When collecting recyclables under this Contract the Contractor shall use separate
collection vehicles for recyclables.
6.2. It shall be the Contractor’s sole responsibility to comply with all road weight
restrictions. The Contractor shall immediately inform the City of any notices of
exceeding such restrictions. The City retains the right to inspect and/or weigh the
Contractor’s trucks at any time.
6.3. All vehicles shall be kept in a clean and sanitary condition; and all collection vehicles
shall be cleaned with pressurized hot water at least once a month. It may be necessary
to wash these vehicles more often to improve the appearance of the vehicle, eliminate
or control insect infestation, and to control odor, if so directed by the City.
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6.4. The vehicle bodies shall be painted and numbered, and shall have the Contractor’s
name and telephone number painted in letters of a contrasting color, at least four (4)
inches high or easily readable under normal conditions.
6.5. The trucks shall be maintained in good working order. They shall be equipped to meet
all federal, state and municipal regulations concerning vehicles used on City streets
and alleys and maintained to meet these standards.
6.6. All vehicles shall be equipped with the safety equipment as required by any local, state
or federal laws.
7. Employees
7.1. All employees shall be competent and skilled in the performance of the work to which
they may be assigned. Failure or delay in the performance of this Contract due to the
Contractor’s inability to obtain employees of the number and skill required shall
constitute a default of the Contract.
7.2. The employees shall not use loud or profane language, shall be courteous at all times
(arguing will not be tolerated) and shall perform their work as quietly and quickly as
possible.
7.3. The employees (and vehicles) shall not drive over private property unless requested by
property owners.
7.4. The City or its authorized agent may inspect the work performed for compliance with
the Contract. The Contractor shall furnish all reasonable assistance required by the
City or its representative for the proper inspection of the Contractor’s premises,
facilities, equipment and the MRF to which the City’s recyclables are taken.
7.5. The Contractor shall maintain, separate from all other records and accounts, complete
records and an accurate ledger of accounts of all revenues and expenses relating to the
collection of the City’s recyclables. Such records and accounts shall, at all reasonable
times, be open to inspection by the City and its agents. With reasonable notice, the
City shall have the right to audit any portion of the Contractor’s records relating to
services provided under this Contract.
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8. Indemnity
8.1. The Contractor shall indemnify, keep and save harmless the City and its respective
officers, agents and employees against all suits or claims that may be based upon any
injury or damage to persons or property that may occur, or that may be alleged to have
occurred, in the performance of this Contract by the Contractor, whether or not it shall
be claimed that the injury was caused through an negligent act or omission of the
Contractor, its employees, it subcontractors or their agents or in connection with any
claim based on lawful demands of subcontractors, workers, or suppliers; and whether
or not the persons injured on whose property was damaged were third parties,
employees of the Contractor or employees of an authorized subcontractor; and the
Contractor shall, at its own expense, defend the City in all litigation, pay all attorneys’
fees and all costs and other expenses arising out of the litigation or claim or incurred in
connection therewith; and shall, at its own expense, satisfy and cause to be discharged
such judgments as may be obtained against the City, or any of its officers, agents or
employees.
8.2. When requested by the City, the Contractor shall submit satisfactory evidence that all
persons, firms or corporations who have done work or furnished supplies under this
Contract, for which the City may become liable under the laws of the State of
Minnesota, have been fully paid or satisfactorily secured. In case such evidence is not
furnished or is not satisfactory, an amount may be retained from compensation due the
Contractor, which will be sufficient in the opinion of the City’s Attorney, to meet all
claims of the persons, firms, and corporations as aforesaid. Such sum shall be retained
until the liabilities are fully discharged or satisfactorily secured.
9. Insurance
9.1. The Contractor shall provide and maintain in full force and effect during the entire
term of this Contract, regular Contractor’s Public Liability Insurance, with the City as
an additional insured, providing for a limit of not less than Two Million Dollars
($2,000,000.00) for all damages arising out of bodily injuries or death of one person,
and subject to that limit for each person, and regular Contractor’s auto, property
damage liability insurance providing for a limit of not less than Five Hundred
Thousand Dollars ($500,000.00) for all damages arising out destruction of property in
any one accident, and subject to that limit per accident. The Contractor shall also
provide workers’ compensation insurance and employers’ liability insurance as
required by law. Policies or coverage required shall be updated as necessary to meet
at least the amounts specified in Minn. Stat. § 466.04 for each year of the Contract.
Contractor shall provide Environmental Impairment Liability (Pollution Legal
Liability) for sudden and non-sudden (gradual) pollution occurrences covering all
facilities and equipment owned and used by Contractor, or its agents or employees.
Limits of liability shall be no less than $5,000,000 for each occurrence and $5,000,000
aggregate, and shall continue for a two year period following termination of this
Agreement.
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Such policies shall provide for ten (10) days’ notice to the City of any change,
cancellation, or lapse of such policy. The Certificates of Insurance shall name the City
as an additional insured, and state that the Contractor’s coverage shall be the primary
coverage in the event of a loss. Acceptance of the insurance by the City shall not
relieve, limit or decrease the liability of the Contractor.
The Contractor shall further guarantee and save harmless and indemnify the City of
and from any and all loss, damage, claims, suits, judgments and recoveries which may
be asserted, made or may arise or be had, brought or recovered against the City by
reason of any of the foregoing claims except such as are caused by the existence of the
disposal sites at the locations specified or contemplated in the Contract; and that it
shall immediately appear and defend the same as its own cost and expense.
Prior to the effective date of this Contract, the Contractor shall file a copy of such
policies with the Recycling Coordinator.
10. Payment and Performance Bonds/Letter of Credit
10.1. Before the Contract shall be valid or binding against the City, the Contractor shall
provide both a Payment Bond and a Performance Bond to the City of Arden Hills for
the use of said City, and also for the use of anyone who may perform or cause to be
performed any work or labor, or furnish or cause to be furnished any skill, labor,
equipment, or materials in the execution of such Contract, which bonds shall be signed
by the Contractor and shall be in the amount of fifty (50) percent of the yearly
Contract amount. The Bonds shall at all times be kept in full force and effect. The
Bonds or Letters of Credit shall be approved by the City Attorney and filed with the
City Clerk or designee.
10.2. The conditions of the Bonds or Letters of Credit shall be that the Contractor shall fully
and faithfully perform all conditions of the Contract and these specifications; shall pay
anyone who may perform or cause to be performed any work or labor, or furnish or
cause to be furnished any skill, labor, equipment or material in the execution of such
Contract; and such Bonds or Letters of Credit shall provide the full amount thereof and
shall be forfeited upon the Contractor’s failure to comply therewith.
11. Transferability of Contract
11.1. Other than by operation of law, no transfer or assignment of the Contract or any right
accruing under this Contract shall be made in whole or in part by the Contractor
without the express written consent of the City. In the event of an assignment, the
Contractor shall act as a guarantor of the assignee’s satisfactory performance of all
Contractual obligations.
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12. Reporting and Promotional/Educational Activities
12.1. Monthly and Annual Materials Reports. Monthly reports and annual reports
regarding the City’s recycling program will be submitted to the City. At a minimum,
the monthly reports should include the following information:
12.1.1. Total number of stops collected, total number of possible stops (set out
numbers).
12.1.2. Gross amounts of materials collected, by recyclable material (in tons).
12.1.3. Net amounts of materials marketed, by recyclable material (in tons).
12.1.4. Amounts of materials stored, by recyclable material (in tons), with any
notes as to unusual conditions.
12.1.5. The markets used for the sales of each of the recyclable commodities
during that month.
12.1.6. The amounts of process residuals disposed (in tons) and the location(s) of
disposal facility.
12.1.7. Revenue share credits back to the City, with the calculations by which
those credits were determined.
12.1.8. Customer information collected on routes:
12.1.8.1. The locations of damaged and replaced carts.
12.1.8.2. Addresses that do not participate in the recycling program.
Monthly reports shall be due to the City by the 15th day of each month subsequent to
the month of the report. The first monthly report in 2015 shall be due on June 15,
2015.
Annual reports shall be due by January 15 and shall be a compendium of the previous
monthly reports with an annual summary of trends. The annual report will include
recommendations for continuous improvement in the City’s recycling program (e.g.,
public education, multi-unit recycling, etc.).
12.2. Customer Relations Report. The City will be provided with
12.2.1. A quarterly list of all customer complaints, including a description of
how each complaint was resolved.
12.2.2. The number, address and results of the Annual Cart Checks. Annual Cart
Checks are completed by looking inside the cart of 100 residential
properties to check for contaminants.
12.2.3. A quarterly list of all missed pickups reported to the Contractor.
Quarterly reports shall be due the 15th of the months of February, April, July and
October, with the 2015 quarterly reports beginning in July. Annual reports shall be
due by January 15th of each year.
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12.3. Annual Performance Review. Meeting to Discuss Recommendations for Continuous
Improvement. The City shall schedule an annual meeting to include (but not be
limited to):
12.3.1. Review annual report, including trends in recovery rate and participation.
12.3.2. Review efforts made to expand recyclable markets.
12.3.3. Review performance based on feedback from residents.
12.3.4. Review recommendations for improvement in the City’s recycling
program, including enhanced public education and other opportunities.
12.4. Promotional/Educational Activities
12.4.1. The Contractor and the City shall work together in the preparation and
distribution of educational materials to insure accurate information and
program directions. The Contractor shall pay for the annual design,
printing and mailing of a curbside program flyer with an additional 200
fliers to be placed at City Hall. The flyer shall be approved by the City in
writing prior to printing or distribution. The flyer shall be delivered to
homes no later than January 31 of each year.
12.4.2. The publicity and promotion program may include articles for City
newsletters, public appearances, provision of information for local
environmental groups, or attendance at public events sponsored by the
City. The Contractor shall at a minimum provide one (1) newsletter
article per year. The Contractor is encouraged to develop new public
education and outreach materials each year.
12.4.3. The Contractor will work with the City to prepare guidelines for residents
of eligible RDUs and MDUs with recycling instructions.
12.4.4. Each year by January 31st, the Contractor shall send a mailing to each
residential property that is served by the Contractor with a specific list of
instructions for sorting recyclable materials and setting out recycling
carts.
12.4.5. The yearly mailing will include instructions for residents of eligible
RDUs to have their recyclables carts set out to curbside by 7:00 a.m. on
their designated recycling collection day.
12.4.6. The Contractor shall conduct its own promotions and public education to
increase participation. The Contractor shall submit a draft of any public
education literature for approval by the City at least one month before
printing and release of any such literature.
12.4.7. The annual work plan shall include initiatives to improve the City’s
recycling program. These initiatives may include (but are not limited to)
expansion of materials collected, voluntary expansion to businesses,
effective education of residents with measurement, community
involvement, outreach to low participating communities, and outreach
using electronic communications including e-mail reminders and apps.
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13. Default and Termination
13.1. If the work to be done under this Contract is abandoned by the Contractor; or if this
Contract is assigned by it without the written consent of the City Council; or if the
Contractor is adjudged bankrupt; or if a general assignment of assets is made for the
benefit of the Contractor’s creditors; or if a receiver is appointed for the Contractor of
any of its property; or if, at any time, the City determines that the performance of the
work under this Contract is being unnecessarily delayed or that the Contractor is
violating any of the conditions of this Contract, or that it is executing the same in bad
faith or otherwise not in accordance with the terms of this Contract, then the City may
serve written notice upon the Contractor and its surety of the City’s intention to
terminate this Contract.
13.2. Unless within twenty-one (21) days after the servicing of such notice, a satisfactory
arrangement is made for continuance, this Contract shall terminate and the Contractor
and its surety shall be liable to the City for all costs.
13.3. The City May Withhold Payments or Performance Bond. In the event of
Contractor’s default under the terms of this Contract, all payments due the Contractor
shall be retained by the City and applied to the completion of the Contract and to
damages suffered and expenses incurred by the City by reason of such default, unless
the surety on the performance bond shall assume the Contract, in which event all
payments remaining due the Contractor at the time of default, less amounts due the
City from the Contractor and less all sums due the City for damages suffered and
expense incurred by reason of such default shall be due and payable to such surety.
Thereafter, such surety shall receive monthly payments equal to those that would have
been paid to the Contractor had such Contractor continued to perform the Contract.
13.4. Liquidated Damages
13.4.1. The imposition of liquidated damages is not a penalty, but recognition of
the difficulty of ascertaining the damages resulting from certain types of
performance breaches. The assessment of liquidated damages shall be at
the reasonable discretion of the City and shall be in lieu of other
remedies, if imposed.
13.4.2. The City may deduct the full amount of any liquidated damages from any
payment due to the Contractor, but any liquidated damages not so
deducted shall remain the obligation of the Contractor and be payable to
the City on demand.
13.4.3. The City may assess liquidated damages in lieu of other remedies
available to the City for breach of the Contract or violation of the City’s
ordinances. Failure to impose liquidated damages for lack of
performance shall not constitute a waiver of the City’s other rights and/or
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remedies under either the Contractor or the City’s ordinances or any
subsequent failure of performance.
13.4.4. The Contractor shall be liable to the City for liquidated damages, in the
amount of $75.00 for the first incident, $100.00 for the second incident
and $200.00 per incident thereafter; upon determination by the City that
performance has not occurred consistent with the following provisions of
the Contract:
13.4.4.1. Failure to pick up missed collections by 6:00 p.m. on the day
following scheduled collection day.
13.4.4.2. Failure to complete City-wide or route-wide collection by
6:00 p.m. on the scheduled collection day, unless prior
approval is received by the City.
13.4.4.3. Failure to adequately address legitimate complaints, whether
submitted by residents or the City.
13.4.4.4. Failure promptly to clean up any spills or leaks caused by the
Contractor.
13.4.4.5. Failure to clean up scattered or spilled material spilled by the
Contractor within three hours of written or oral notice from
the City.
13.4.4.6. Disposal of recyclables by the Contractor in a landfill,
resource recovery facility or other disposal facility without
receiving prior written City permission.
13.4.4.7. Failure to adhere to other collection restrictions and
requirements set forth in the Contract. If the Contractor has
violated or failed to follow collection restrictions or
requirements in general, the City may treat each violation or
failure as a separate incident for the purpose of calculating
liquidated damages.
13.4.4.8. Failure to request and obtain permission from the City for
collecting on the residential routes earlier than 7 a.m. or later
than 6 p.m.
14. Payment for Base Collection Services
14.1. The City shall be responsible for invoicing and collecting the utility rate fees from all
eligible RDUs and MDUs receiving collection services.
14.2. The City may give the Contractor oral notice of discontinuation of service to RDUs or
MDUs, promptly followed by written confirmation of the order. Upon reinstatement
of service at the RDU or MDU by the City, the Contractor shall resume collections on
the next scheduled collection day.
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14.3. The Contractor shall bill the City for any collection services rendered to mutually
agreed-upon, eligible RDUs and MDUs according to the collection service Contract
prices set forth in this Contract. The Contractor shall invoice the City on a monthly
basis within ten (10) days following the end of each month in a format to be specified
by the City. The Contractor shall itemize applicable charges by county, state or
federal agencies.
14.4. The City shall pay the Contractor within 35 days after receiving and approving the
invoice from the Contractor. The City’s payment to the Contractor shall be based on
the approved invoice and the collection service Contract prices set forth in this
Contract. The Contractor shall be entitled to payment for services rendered provided
an approved invoice is submitted to the City pursuant to the terms of this Contract
regardless of whether or not the City collects the utility rate fee from the specific RDU
or MDU for such services. However, the Contractor shall not be entitled to receive
payment for dwelling units for which the Contractor has received notice from the City
of discontinuance of service. The City shall be entitled to offsets in its payments to
Contractor amounts for Contractor errors or omissions as specified in the Liquidated
Damages Section 13.
14.5. The City will compensate the Contractor through the base Contract prices set for
recyclable collection services for RDUs. Commencing May 4, 2015, the base Contract
prices will be:
Recyclables Collection shall be $3.03 per eligible RDU per month for weekly
recycling service. Eligible RDUs with more than one (1) cart will be charged an
additional fee of $2.00 per household per month per cart.
14.6. City will compensate the Contractor through the base Contract prices set for recyclable
collection services for MDUs. Commencing May 4, 2015, the base Contract prices
will be:
Recyclables Collection shall be $55.00 per eligible MDU per month for each four yard
container serviced once per week or $4.25 per eligible MDU per month for each 65
gallon cart serviced once per week.
14.7. The City shall provide a count of eligible RDUs and MDUs by January 1 of each year.
These annual counts may include additional RDUs and MDUs added due to new
development, redevelopment or other such changes.
14.8. The Contract price will be multiplied by the total number of RDUs and MDUs as
determined by the City to result in the monthly payment amount to Contractor.
CITY OF ARDEN HILLS, MN
CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page 20
14.9. Annual Contract Price Increase
The City agrees that the price per residential dwelling unit will increase each year by
the Consumer Price Index for the Upper Midwest as determined by the Federal
Reserve Bank of Minneapolis or by three (3) percent, whichever is less. The price
change shall go into effect on May 4 of each year. The City will notify the Contractor
by the last week of January of the compensation rate for the subsequent contact year.
14.10. Processing Fees and Revenue Share
14.10.1. The processing fee for all recyclable material commodities shall be
$66.00 per ton. The city agrees that the processing rate will increase each
year by the Consumer Price Index for the Upper Midwest as determined
by the Federal Reserve Bank of Minneapolis or by three (3) percent,
whichever is less. The price change shall go into effect May 4 of each
year. The City will notify the Contractor by the last week of January of
the compensation rate for the subsequent contact year.
14.10.2. The Revenue Share on all commodities shall be split between the City
and the Contractor at a rate of 80% (City) and 20% (Contractor).
14.10.3. The revenue will be calculated by multiplying the tons of individual
materials collected, times the agreed upon material price. Total revenue
shall be calculated by adding all of the revenue generated for each of the
materials collected and processed. Contractor shall guarantee a minimum
price on all materials of $0.00 per ton. If a particular material price is
negative, a price of $0.00 per ton shall be used.
14.10.4. Processing fee will be calculated by multiplying the tons of individual
materials collected by the agreed upon processing fee as described in
Section 14.10.1. Total Processing Fees will be calculated by adding all of
the processing fees generated for each of the materials collected and
processed.
14.10.5. Revenue share received by the City will be calculated by subtracting the
Total Processing Fee from the Total Revenues. If the remainder is
positive, that number represents the revenue that shall be split between
the City and the Contractor 80% (City) and 20% (Contractor).
14.11. Annual Residual Waste Evaluations.
A load evaluation shall be made in the presence of both parties on a date mutually
agreed upon to validate or re-establish the residual percentages used in the payback
matrix. The annually validated and agreed upon percentage will be used until the next
annual review. The City of Arden Hills and Republic Services agree that the
commodity percentages listed on the Revenue Share Matrix are a reasonably accurate
approximation of the percentages of each commodity of Recyclable Materials. The
Revenue Share Matrix will be updated monthly by the actual percentages of residential
single stream material shipped by Republic that month and the agreed upon residual
percentages.
CITY OF ARDEN HILLS, MN
CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page 21
14.12. Change in Law Provision.
The City and Republic Services agree that any change in law that materially affects the
performance or pricing of the agreement will be reviewed within 30 days of such law
taking affect. Both the City and Republic Services agree that following the review the
parties will negotiate in good faith to return this agreement to substantially similar
terms, conditions, or pricing that were present prior to change in law.
15. Miscellaneous Provisions
15.1. In the event that any provision or portion thereof of any Contract Document shall be
found to be invalid or unenforceable, then such provision or portion thereof shall be
reformed in accordance with the applicable laws. The invalidity or unenforceability of
any provision or portion of this Contract shall not affect the validity or enforceability
of any of the remaining provisions or portions of the Contract.
15.2. Any notice or demand required herein shall be in writing and shall be effectively made
if delivered to either party in person or, if mailed, sent by certified mail as follows: To
the City of Arden Hills at 1245 West Highway 96, Arden Hills, MN 55112; and to the
Contractor at 9813 Flying Cloud Drive, Eden Prairie, MN 55347; or to such other
address as either party may furnish the other in writing. Any change must be agreed
upon by both parties in writing.
IN WITNESS WIIEREOF, the parties hereto have caused this instrument to be duly executed of
a one (I) year extension on this 12 1h day or November 2019.
CITY OF ARDEN III LLS, MN:
l�Y
--------------
DI\ VID CiRJ\NT. iv!;\ YOR
BY do/a.uuJ&u..�.uJt-
1);\ VF Pl-:RRAUI.T. CITY ADl'vllN ISTRATOR
APPROVED AS TO FORM:
l�Y --------------
JOEL .IAivlNIK. CITY ATTORNEY
CITY OF ARDEN HILLS, MN
CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page 23
Appendix A
Map of Route Sectors by Collection Day
(Tuesdays for properties south of I-694 and on Wednesdays for properties north of I-694)
CITY OF ARDEN HILLS, MN
CONTRACT FOR THE COLLECTION OF RESIDENTIAL RECYCLABLE MATERIALS Page 24
Appendix B
City Facilities to be serviced by the Contractor.
*City Hall and 14 City Parks
(Park Recyclables may be collected from a central location as determined by the
Public Works Department)
Page 1 of 3
AGENDA ITEM – 1C
MEMORANDUM
DATE: August 17, 2020
TO: Honorable Mayor and City Councilmembers
Dave Perrault, City Administrator
FROM: Joe Hartmann, Associate Planner
SUBJECT: Chickens and City Ordinance Discussion
Budgeted Amount: Actual Amount: Funding Source:
N/A N/A N/A
For Council Consideration
The City Council may consider potential ordinance changes relating to the keeping of chickens
on residential properties.
Background
It was requested by the City Council to discuss how the City Code applies to keeping chickens
on residential properties. The Arden Hills’ City Code doesn't necessarily prohibit the keeping of
chickens, but the majority of residential lots don't meet the setback requirements for chicken
coops. City Code 1305.04 classifies chickens as "farm animals", traditionally kept or raised on a
farm for the purpose of providing food or products for sale or use. The keeping of farm animals
is regulated in Section 1325.07, Subd. 6, A. The code section states:
Location for Buildings Housing Farm Animals. Any building in which farm animals are kept
shall be located a distance of two hundred (200) feet or more from any lot line. Any open
structure in which farm animals are kept shall be a distance of four hundred (400) feet or more
from any lot line.
Although the minimum lot length in the R-1 Single Family Residential District is 130 feet and
the length in the R-2 Single and Two Family Residential District is 120 feet, few residential
properties can meet the setback requirements for chicken coops.
Page 2 of 3
Review of Neighboring Cities’ Ordinances
Below is a brief summary of adjacent community’s regulations on keeping of chickens on
residential properties.
Mounds View
Residents on properties zoned R-1, Single Family Residential, may be permitted to keep and
raise up to eight (8) chickens and/or ducks under the certain conditions and restrictions.
Residents seeking approval to keep and raise chickens or ducks shall submit an application,
application fee, site plan and coop specifications incorporating generally held best practices.
Initial applications shall be considered by the City Council after holding a public hearing on the
matter. Renewals may be approved administratively unless the City has received substantiated
complaints or related violations have been noted during the previous year.
Coop structures shall be set back at least twenty (20) feet from property lines and the subject
home; coops shall only be located in rear yards. New coops shall require a permit and shall be
considered an accessory building subject to all other conditions referenced in the Zoning Code.
Coops and the subject property shall be maintained in a clean and sanitary manner and may be
subject to City inspection as may be deemed necessary.
Backyard areas within which chicken or ducks are allowed to roam shall be fenced to confine
said birds to subject property. Neither roosters nor drakes shall be permitted. No slaughtering or
beheading shall be permitted on the subject premises. Food shall be stored in watertight, rodent-
proof container. Permits are valid for one year and shall be renewed annually. Permits may be
revoked or denied by the City Council based on cruelty, negligence or nuisance. In such event,
the property owner shall be provided with an opportunity to be heard.
New Brighton
The keeping of fowl shall not exceed a total of six (6) per property on all property throughout the
City. Any property owner who keeps fowl shall notify the City’s Code Compliance Inspector, or
designee, of all flock locations within the City. No outdoor butchering of fowl is permitted.
Under no circumstances shall coop size be less than three (3) square feet per fowl kept. All coops
shall be clean and sanitary made of sound construction and craftsmanship be maintained so they
remain structurally sound, protect the fowl from the weather, be located in the rear/back yard and
meet the most restrictive building setbacks required under the Zoning Code.
Roseville
Roseville allows homeowners to raise chickens and bees. Chicken coops are required and are
considered sheds so must meet code standards.
Shoreview
Chickens may be kept within the city limits on residential properties located in the RE,
residential estate zoning district and the R1, detached residential district, subject to certain
conditions. On residential properties two (2) acres or less, maximum number of chickens allowed
is four (4) hen chickens, or pullets, but no roosters. A conditional use permit may be required for
more than four hen chickens or pullets, roosters may be permitted.
Page 3 of 3
Chickens shall be fully contained on the property at all times through the use of fencing. Shelters
must comply with all requirements of the development code. Food materials are stored outside
shall be in closed containers with lids. All containment areas and shelters shall be maintained in
a clean, sanitary, and odor free environment and shall be free from the presence of rodents or
vermin at all times. The butchering of chickens is prohibited. Chickens shall not be raised or kept
for fighting. Cockfighting is prohibited.
Ordinance Discussion
Staff is looking for Council direction in regards to expanding the keeping of chickens in Arden
Hills.
1. Should the staff review options to amend the language in the Zoning Code in Section
1325.07, Subd. 6 to relax restrictions on raising chickens and chicken coops in residential
districts, based on examples of similar communities’ ordinance restrictions?
Budget
N/A
Attachment
A. Additional municipalities that permit chickens
Additional municipalities that permit chickens
Andover, MN
The City of Andover permits chickens and chicken coops as long as poultry are kept to a
distance of 100 feet or more from any other occupied residence, and any open or roofed
enclosure in which such animals are kept be a distance of fifty (50) feet or more from any
occupied residential lot. The City Council may order the owner of any such animals to apply for
a Conditional Use Permit if it is deemed to be in the interest of the public health, safety, or
general welfare. There is no limit to the number of birds permitted.
Anoka, MN
The City of Anoka permits chicken coops as accessory buildings in their zoning code and must
follow those provisions, but does not include a provision for the minimum distance specifically
for the use of a chicken coop. Coops must be clean, sanitary, fully enclosed and comply with
their zoning regulations. Fowl and poultry must be confined to the holding facility except for
short periods of time of exercise. A maximum of four (4) chickens is allowed. No roosters shall
be permitted. Their City Code specifies that the City reserves the right to eliminate all fowl and
poultry within city limits if a pandemic regarding fowl and poultry is declared.
Bloomington, MN
The City of Bloomington permits chickens in residential district under certain conditions. No
person shall keep more than four (4) total hen chickens on any single-family or two-family
residential property. This is in addition to the maximum of four domestic animals or pets.
Chickens are not allowed on properties with three or more dwelling units. No person can keep
roosters on any property within the city. Chickens over the age of four weeks cannot be kept
inside of a dwelling or garage. Chickens must be properly protected from the weather and
predators in a shelter or coop, and have access to the outdoors in an enclosure or fenced area but
cannot run at large.
The shelter must be setback a minimum of thirty (30) feet from the property lot line and set back
a minimum of fifty (50) feet from any dwelling on an abutting parcel. A shelter must be situated
closer to the chicken owner’s dwelling than to any of the neighboring dwellings and must be
located in the rear or side yard and set back at least fifty (50) feet from any adjacent street.
Screening from abutting residentially used properties is required in the form of a solid privacy
fence of at least six (6) feet in height constructed according to the fence standards in City Code.
A coop cannot exceed 120 square feet in size and shall not exceed six feet in height; an enclosure
or fenced area for chickens shall not exceed twenty (20) square feet per bird and shall not exceed
six feet in height and shall have protected overhead netting to prevent attracting predators and
other animals running at large; an enclosure or fenced area may be constructed with wood and/or
woven wire materials that allow chickens to contact the ground; and must be constructed in a
workmanship-like manner to deter rodents and predators.
Cottage Grove, MN
The City of Cottage Grove defines chickens as urban livestock and permits them in residential
districts with restrictions. All urban livestock animals are required to have a structure designed
and constructed to provide shelter from the weather, with a roof and a minimum of two (2) walls.
These structures shall comply with all development standards (setback, height, lot coverage,
building and specialty permits) for accessory structures in applicable land use districts.
Where urban livestock animals are allowed, they shall conform to the following standards, which
are intended to allow personal-use scale urban farming while ensuring compatibility with nearby
uses. Up to one (1) chicken or domestic fowl per 1000 square feet, with a maximum of fifteen
(15) total per property are allowed. Roosters, geese, peacocks and turkeys are prohibited.
Maplewood
The keeping of up to ten (10) poultry is allowed in any zoning district with a permit. The initial
permit must be approved by 60% of the property owners adjacent to the property. A coop is
required to house the poultry. Coops must be constructed and maintained to meet the minimum
construction standards in the City Code. A fenced run or exercise yard is required; sixteen (16)
square feet minimum is required for a run or 174 square feet minimum is required for an exercise
yard.
Ramsey
Chickens (hens only, no roosters or crowing hens) may be maintained on parcels less than three
acres. Their City Code prescribes a sliding scale for the number of chickens that can be
maintained on lots, based on the size of the lot ranging from a maximum of six (6) chickens on a
lot less than 0.24 acres in size to a maximum up to forty-eight (48) chickens for a lot between
2.75 and 2.99 acres in size. Maintenance of more animals than the prescribed number is
permitted only with a conditional use permit.
Page 1 of 3
AGENDA ITEM – 1D
MEMORANDUM
DATE: August 17, 2020
TO: Honorable Mayor and City Councilmembers
Dave Perrault, City Administrator
FROM: Gayle Bauman, Finance Director
SUBJECT: Preliminary General Fund Budget
Budgeted Amount: Actual Amount: Funding Source:
N/A N/A N/A
Council Should Consider
Staff is requesting City Council to review and provide feedback to the attached preliminary General
Fund budget for the 2021 fiscal year.
Background
Annually, City staff prepares and submits a preliminary budget to the City Council for review and
feedback. Attached to this memo is the City’s preliminary General Fund budget for the 2021 fiscal
year. Each department provided their respective forecasts for this budget.
The proposed 2021 budget is $5,193,530, an increase of $175,220 or 3.5%. For the purpose of this
discussion, there is a 3% ($124,060) tax levy increase reflected in the budget, $74,060 for the
General Fund and $50,000 for the Public Safety Capital Fund. As presented, the General Fund
Budget is underfunded by $81,210, which is less than the budget shortfall projected in the 2020
budget of $121,590. This practice is not sustainable in the long term. A tax levy increase of 5.0%
would be needed to balance the budget in 2021.
Projected 2021 property information is not yet available from Ramsey County. Because of this,
staff is unable to calculate tax rates or levy impacts.
The 2021 preliminary budget is currently being prepared assuming a 3.0% wage adjustment for all
staff; the IUOE Local 49 Union Contract was approved back in December 2019 at 3% for 2021.
There is also a 3% increase assumed for health, a 0.0% increase for dental and a 0.0% increase for
life insurance premiums. No new positions are included in the budget but there were changes to
some of the wage allocations.
2021 budget information was received from Ramsey County and Lake Johanna Fire Department
for public safety. The police contract is expected to rise by 3.7%, or $50,080 for 2021. Information
provided by Ramsey County on this increase is as follows:
Page 2 of 3
The major cost drivers include:
• Personnel costs, including a 2.5% cost of living adjustment and increases for retirement
contributions.
• Automotive repair increases due to County garage rates, which are currently $90 per hour.
• An additional $15,000 budgeted for first aid supplies based on demand.
The budget also provides funding for:
• Body-worn and in-car cameras at the same rate as 2020.
• Training to meet newer state mandates (crisis intervention, mental health, conflict
management and mediation, implicit bias, diversity, etc.).
Estimated revenue is decreased by $127,514.00 (20.65%) from the 2020 budget as a result of
COVID-19 (i.e., less administrative citations and security services). In addition, estimated
revenue for state aid is budgeted conservatively.
Dispatch costs will be increasing by 22.4%, or $10,220. This is mainly due to an error in the way
report queries undercounted medical calls in previous years for cities served by Allina. This means
an increase in call counts and an increase in cost sharing for the next three years. The impact of
this shift will happen over a three-year period as the use of a three-year rolling average of call
counts smooths out variability in annual call fluctuations.
The fire costs are expected to rise by 5.7%, or $35,410 for 2021. This is mainly due to increased
personnel costs ($51,690), the addition of family health insurance ($28,000) and an increase in
routine maintenance repairs ($26,720), all of which Arden Hills’ cost share portion is 25%.
The $74,060 tax levy increase being proposed for the General Fund is $21,650 less than the increase
needed to cover police and fire services ($95,710).
A summary of the major changes is as follows:
Description Effect on Levy
Reduce use of fund balance 40,380
Increase in building permit fees (146,120)
Decrease in other revenues 4,580
Increase in RamCo Sheriff 50,080
Increase in RamCo Dispatch 10,220
Increase in LJFD 35,410
2020 Local 49 contract impact (new wage schedule)7,440
2021 Local 49 contract impact (3% COLA)7,640
Wage allocation changes 16,900
3% COLA for non union employees 32,230
Step increases and other changes 28,320
Net decreases in other GF budget areas (13,020)
Increase levy for Public Safety Capital Fund 50,000
124,060
Page 3 of 3
Included in building permit revenue is $245,000 for two significant projects expected to move
forward next year. One is a senior housing project and the other is a commercial office/warehouse.
If one or both of these does not move forward and no other projects develop during 2021, the budget
for building permit fee revenues may be overstated.
This preliminary budget does not include any increases for business license or liquor license fees.
Staff had initially anticipated they would look at fee increases for 2021, but now with the
Coronavirus pandemic the thought is to push any increases out at least a year.
A survey was recently routed to various cities in the metro asking about proposed levy amounts
being considered. Below are the results of that survey.
Mounds View 0.00% Roseville 3.96%
Maplewood 0.00% Cottage Grove 3.99%
North St. Paul 0.00% Oakdale 4.00%
Little Canada 2.00% Apple Valley 4.30%
New Brighton 2.10% Brooklyn Center 4.50%
St. Louis Park 3.00% Shoreview 5.04%
Arden Hills 3.00% Golden Valley 5.15%
Shakopee 3.25% Richfield 5.50%
St. Anthony Village 3.37% Oak Park Heights 7.00%
Minnetonka 3.50% Blaine 7.10%
White Bear Lake 3.75% Savage 7.80%
Discussion
Staff is respectfully requesting the City Council to review the preliminary budget and provide
feedback for future budget meetings. The 2021 proposed levy and public meeting date need to be
set prior to the end of September 2020. Direction is needed from the City Council on the following
items:
• Does Council wish to look at license fee increases for 2021? This topic could be added to a
future work session.
• This preliminary budget contains a 3% levy increase. Is another work session needed to further
discuss this issue?
Attachments
A. Preliminary 2021 General Fund Budget Handout Presentation
B. Preliminary 2021 General Fund Budget
Preliminary2021 General Fund BudgetPRESENTED TO ARDEN HILLS CITY COUNCILAUGUST 17, 2020
Overall General Fund Budget Summary2018 2019 6/30/2020 2020 2021 $ Increase % IncreaseActual Actual YTD Budget Budget (Decrease) (Decrease)REVENUESTaxes 3,158,628$ 3,375,624$ 1,508,000$ 3,619,700$ 3,695,250$ 75,550$ 2.09%Special assessments 5,363 772 ‐ 1,190 1,060 (130) ‐10.92%Licenses and permits526,444 714,530 254,435 466,350 586,060 119,710 25.67%Intergovernmental149,097 162,041 (6,165) 151,680 166,030 14,350 9.46%Charges for services484,973 575,119 169,629 540,610 588,180 47,570 8.80%Fines & forfeits37,080 34,512 (7,253) 30,030 32,460 2,430 8.09%Investment earnings64,996 119,231 63,796 65,000 18,600 (46,400) ‐71.38%Miscellaneous36,103 23,073 (14,941) 22,160 24,680 2,520 11.37%TOTAL REVENUES4,462,682$ 5,004,904$ 1,967,502$ 4,896,720$ 5,112,320$ 215,600$ 4.40%EXPENDITURESGeneral government1,039,777$ 1,058,274$ 479,028$ 1,129,870$ 1,168,130$ 38,260$ 3.39%Public safety2,088,342 2,399,295 1,080,708 2,338,480 2,448,860 110,380 4.72%Public works579,533 632,530 199,957 723,730 755,010 31,280 4.32%Parks & recreation653,975 679,587 279,795 826,230 821,530 (4,700) ‐0.57%Transfers out400,000 360,000 ‐ ‐ ‐ ‐ N/ATOTAL EXPENDITURES 4,761,628$ 5,129,687$ 2,039,489$ 5,018,310$ 5,193,530$ 175,220$ 3.49%NET CHANGE IN FUND BALANCE (298,945)$ (124,783)$ (71,987)$ (121,590)$ (81,210)$ 40,380$ ‐33.21%1
Revenues by Source2021 Amount Over(Under) % Change OverBudget 2020 Budget 2020 BudgetProperty Taxes 3,687,080$ 76,330$ 2.1%Other Taxes 9,230 (910) -9.0%Licenses and Permits 586,060 119,710 25.7%Intergovernmental 166,030 14,350 9.5%Charges for Services 588,180 47,570 8.8%Fines and Forfeits 32,460 2,430 8.1%Investment Earnings 18,600 (46,400) -71.4%Miscellaneous 24,680 2,520 11.4% TOTAL REVENUES 5,112,320$ 215,600$ 4.4%The 2021 Budget includes building fee revenue of $245,000 for a new senior housing project and a commercial office/warehouse building expected to proceed in 2021.2
General Fund Revenues3
Expenditures by Department2021 Amount Over(Under) % Change OverBudget 2020 Budget 2020 BudgetGeneral Government 1,168,130$ 38,260$ 3.4%Public Safety 2,448,860 110,380 4.7%Public Works 755,010 31,280 4.3%Parks & Recreation 821,530 (4,700) -0.6% TOTAL EXPENDITURES 5,193,530$ 175,220$ 3.5%4
Expenditures by Type2021 Amount Over(Under) % Change OverBudget 2020 Budget 2020 BudgetPersonnel Services1,696,770$ 92,530$ 5.8%Supplies & Materials143,650(4,800) -3.2%Other Services & Charges 3,353,11087,4902.7% TOTAL EXPENDITURES 5,193,530$ 175,220$ 3.5%5
General Fund Expenditures6
Personnel Services20202021 Amount Over(Under) % Change OverBudget Budget 2020 Budget 2020 BudgetGeneral Government525,720$ 563,940$ 38,220$ 7.3%Public Safety268,930 279,94011,0104.1%Public Works291,530 302,80011,2703.9%Parks & Recreation518,060 550,09032,0306.2% TOTAL EXPENDITURES 1,604,240$ 1,696,770$ 92,530$ 5.8%2020 Local 49 contract impact (new wage schedule) 7,440 2021 Local 49 contract impact (3% COLA) 7,640 Wage allocation changes 16,900 3% COLA for non union employees 32,230 Step increases and other changes 28,320 92,530 7
Personnel FTE’sTotal FTE remained the same between the two years. Just some small allocation changes.2020Budget2021RequestGeneral Government 5.94 6.13Public Safety2.662.69Public Works12.7012.46Parks & Recreation5.335.35Total26.6326.638
Supplies & Materials20202021 Amount Over(Under) % Change OverBudget Budget 2020 Budget 2020 BudgetGeneral Government29,200$ 30,800$ 1,600$ 5.5%Public Safety2,7501,000(1,750) -63.6%Public Works38,00050,00012,00031.6%Parks & Recreation78,50061,850(16,650) -21.2% TOTAL EXPENDITURES 148,450$ 143,650$ (4,800)$ -3.2%9
Other Services & Charges20202021 Amount Over(Under) % Change OverBudget Budget 2020 Budget 2020 BudgetGeneral Government574,950$ 573,390$ (1,560)$ -0.3%Public Safety2,066,800 2,167,920101,1204.9%Public Works394,200 402,2108,0102.0%Parks & Recreation229,670 209,590(20,080) -8.7% TOTAL EXPENDITURES 3,265,620$ 3,353,110$ 87,490$ 2.7%Increase in RamCo Sheriff 50,080 Increase in RamCo Dispatch 10,220 Increase in LJFD 35,410 95,710 10
Tax Levy HistoryYEAR TAX LEVY % CHANGE TAX RATE % CHANGE2013 3,191,230 3.0% 27.931% 9.3%2014 3,257,456 2.1% 27.950% 0.1%2015 3,359,775 3.1% 27.294% -2.3%2016 3,478,775 3.5% 26.539% -2.8%2017 3,641,290 4.7% 27.211% 2.5%2018 3,786,942 4.0% 25.532% -6.2%2019 3,938,420 4.0% 25.555% 0.1%2020 4,135,340 5.0% 25.125% -1.7%2021 4,259,400 3.0% Data not available11
Proposed Tax LevyProposed Increase %2018 2019 2020 2021 (Decrease) ChangeGeneral Fund3,366,942 3,518,420 3,665,340 3,739,400 74,060 2.0%EDA Fund120,000 120,000 100,000 100,000 ‐ 0.0%Capital ImprovementsEquipment/Bldg Replacement 50,000 50,000 50,000 50,000 ‐ 0.0%PIR200,000 200,000 250,000 250,000 ‐ 0.0%Public Safety50,000 50,000 70,000 120,000 50,000 71.4%Total Capital Improvements 300,000 300,000 370,000 420,000 50,000 13.5%Debt Service‐ ‐ ‐ ‐ ‐ N/ATOTAL LEVY3,786,942 3,938,420 4,135,340 4,259,400 124,060 3.0%Change from previous year4.0% 4.0% 5.0% 3.0%12
General Fund Tax Levy AssumptionsReduce use of fund balance 40,380 Increase in building permit fees (146,120) Decrease in other revenues 4,580 Increase in RamCo Sheriff 50,080 Increase in RamCo Dispatch 10,220 Increase in LJFD 35,410 2020 Local 49 contract impact (new wage schedule) 7,440 2021 Local 49 contract impact (3% COLA) 7,640 Wage allocation changes 16,900 3% COLA for non union employees 32,230 Step increases and other changes 28,320 Net decreases in other GF budget areas (13,020) 74,060 13
Other Funds Relying on Tax Levy DollarsEDA Fund –There is a tax abatement agreement with Land O Lakes which may require payments from the City for 15 years (2020 – 2034). Based on the current tax levy, applying a 3% inflationary figure to expenditures and foregoing anymore gateway signs, a deficit cash balance is projected starting in 2030.Public Safety Capital Fund –Propose to increase the tax levy for this fund over the next five years. The 2021 budget currently includes a $50,000 tax levy increase.Equipment/Building Replacement Fund –The plan is to develop a replacement schedule for all City equipment. Based on the results, the tax levy will be adjusted accordingly. PIR Fund –More revenues are required to support City infrastructure projects.14
Council FeedbackQuestions?Comments?Additional meetings?Budget format?15
20182019 6/30/2020 20202021 $ Increase % IncreaseGENERAL FUNDActual ActualYTDBudget Budget (Decrease) (Decrease)REVENUESTaxes3,158,628$ 3,375,624$ 1,508,000$ 3,619,700$ 3,695,250$ 75,550$ 2.09%Special assessments5,363 772 ‐ 1,190 1,060 (130) ‐10.92%Licenses and permits526,444 714,530 254,435 466,350 586,060 119,710 25.67%Intergovernmental149,097 162,041 (6,165) 151,680 166,030 14,350 9.46%Charges for services484,973 575,119 169,629 540,610 588,180 47,570 8.80%Fines & forfeits37,080 34,512 (7,253) 30,030 32,460 2,430 8.09%Investment earnings64,996 119,231 63,796 65,000 18,600 (46,400) ‐71.38%Miscellaneous36,103 23,073 (14,941) 22,160 24,680 2,520 11.37%TOTAL REVENUES4,462,682$ 5,004,904$ 1,967,502$ 4,896,720$ 5,112,320$ 215,600$ 4.40%EXPENDITURESMayor & council61,962$ 66,988$ 48,727$ 72,100$ 75,150$ 3,050$ 4.23%Administration303,559 318,670 162,307 350,440 369,380 18,940 5.40%Elections22,869 23,777 10,192 23,000 31,350 8,350 36.30%Finance154,408 155,637 96,237 186,260 178,790 (7,470) ‐4.01%TCAAP146,360 96,152 25,918 87,610 85,350 (2,260) ‐2.58%Planning & Zoning176,913 200,771 72,033 206,210 231,030 24,820 12.04%Government Buildings173,706 196,279 63,615 204,250 197,080 (7,170) ‐3.51%Police1,161,955 1,356,029 601,322 1,338,120 1,389,200 51,080 3.82%Dispatch65,175 51,369 18,991 45,580 55,800 10,220 22.42%Fire541,663 573,680 310,493 620,990 656,400 35,410 5.70%Emergency Management9,837 5,659 2,752 5,840 5,810 (30) ‐0.51%Protective Inspections309,712 412,558 147,150 327,950 341,650 13,700 4.18%Street Maintenance579,533 632,530 199,957 723,730 755,010 31,280 4.32%Recreation260,653 284,893 101,138 346,110 263,520 (82,590) ‐23.86%Park Maintenance393,322 394,694 178,657 480,120 558,010 77,890 16.22%Transfers out400,000 360,000 ‐ ‐ ‐ ‐ N/ATOTAL EXPENDITURES 4,761,628$ 5,129,687$ 2,039,489$ 5,018,310$ 5,193,530$ 175,220$ 3.49%NET CHANGE IN FUND BALANCE(298,945)$ (124,783)$ (71,987)$ (121,590)$ (81,210)$ 40,380$ ‐33.21%1
2021 BUDGET ‐ GENERAL FUND ‐ SCHEDULE OF EXPENDITURES ‐ DETAIL BY FUNCTION
2018 2019 2020 2021 $ Increase % Increase
Actual Actual Budget Proposed (Decrease) (Decrease)
Mayor & council
Personnel Expenses 31,165$ 37,203$ 37,210$ 37,220$ 10$ 0.03%
Supplies and Materials 254 ‐ 150 150 ‐ 0.00%
Other Services and Charges 30,543 29,785 34,740 37,780 3,040 8.75%
61,962$ 66,988$ 72,100$ 75,150$ 3,050$ 4.23%
Administration
Personnel Expenses 182,235$ 194,459$ 214,890$ 231,900$ 17,010$ 7.92%
Supplies and Materials 297 389 550 650 100 18.18%
Other Services and Charges 121,027 123,822 135,000 136,830 1,830 1.36%
303,559$ 318,670$ 350,440$ 369,380$ 18,940$ 5.40%
Elections
Other Services and Charges 22,869$ 23,777$ 23,000$ 31,350$ 8,350$ 36.30%
22,869$ 23,777$ 23,000$ 31,350$ 8,350$ 36.30%
Finance
Personnel Expenses 47,231$ 52,839$ 58,340$ 60,920$ 2,580$ 4.42%
Supplies and Materials 14,424 12,816 20,500 20,500 ‐ 0.00%
Other Services and Charges 92,754 89,982 107,420 97,370 (10,050) ‐9.36%
154,408$ 155,637$ 186,260$ 178,790$ (7,470)$ ‐4.01%
TCAAP
Personnel Expenses 21,250$ 29,444$ 36,610$ 34,350$ (2,260)$ ‐6.17%
Supplies and Materials ‐ ‐ ‐ ‐ ‐ 0.00%
Other Services and Charges 125,110 66,709 51,000 51,000 ‐ 0.00%
146,360$ 96,152$ 87,610$ 85,350$ (2,260)$ ‐2.58%
Planning & Zoning
Personnel Expenses 87,540$ 128,979$ 138,260$ 167,770$ 29,510$ 21.34%
Supplies and Materials ‐ ‐ ‐ ‐ ‐ 0.00%
Other Services and Charges 89,373 71,792 67,950 63,260 (4,690) ‐6.90%
176,913$ 200,771$ 206,210$ 231,030$ 24,820$ 12.04%
Government Buildings
Personnel Expenses 37,356$ 42,037$ 40,410$ 31,780$ (8,630)$ ‐21.36%
Supplies and Materials 11,683 10,828 8,000 9,500 1,500 18.75%
Other Services and Charges 124,668 143,414 155,840 155,800 (40) ‐0.03%
173,706$ 196,279$ 204,250$ 197,080$ (7,170)$ ‐3.51%
Police
Other Services and Charges 1,161,955$ 1,356,029$ 1,338,120$ 1,389,200$ 51,080$ 3.82%
1,161,955$ 1,356,029$ 1,338,120$ 1,389,200$ 51,080$ 3.82%
Dispatch
Other Services and Charges 65,175$ 51,369$ 45,580$ 55,800$ 10,220$ 22.42%
65,175$ 51,369$ 45,580$ 55,800$ 10,220$ 22.42%
Fire
Other Services and Charges 541,663$ 573,680$ 620,990$ 656,400$ 35,410$ 5.70%
541,663$ 573,680$ 620,990$ 656,400$ 35,410$ 5.70%
Emergency Management
Personnel Expenses 4,422$ 4,768$ 4,690$ 4,860$ 170$ 3.62%
Supplies and Materials 27 ‐ ‐ ‐ ‐ 0.00%
Other Services and Charges 5,388 891 1,150 950 (200) ‐17.39%
9,837$ 5,659$ 5,840$ 5,810$ (30)$ ‐0.51%
Protective Inspections
Personnel Expenses 245,917$ 226,861$ 264,240$ 275,080$ 10,840$ 4.10%
Supplies and Materials 188 415 2,750 1,000 (1,750) ‐63.64%
Other Services and Charges 63,607 185,283 60,960 65,570 4,610 7.56%
309,712$ 412,558$ 327,950$ 341,650$ 13,700$ 4.18%
Street Maintenance
Personnel Expenses 239,079$ 267,797$ 291,530$ 302,800$ 11,270$ 3.87%
Supplies and Materials 59,934 57,623 38,000 50,000 12,000 31.58%
Other Services and Charges 280,520 307,111 394,200 402,210 8,010 2.03%
579,533$ 632,530$ 723,730$ 755,010$ 31,280$ 4.32%
Recreation
Personnel Expenses 182,173$ 208,158$ 237,830$ 179,430$ (58,400)$ ‐24.56%
Supplies and Materials 26,283 18,785 35,250 24,250 (11,000) ‐31.21%
Other Services and Charges 52,197 57,950 73,030 59,840 (13,190) ‐18.06%
260,653$ 284,893$ 346,110$ 263,520$ (82,590)$ ‐23.86%
Park Maintenance
Personnel Expenses 205,199$ 241,972$ 280,230$ 370,660$ 90,430$ 32.27%
Supplies and Materials 32,927 35,151 43,250 37,600 (5,650) ‐13.06%
Other Services and Charges 155,196 117,571 156,640 149,750 (6,890) ‐4.40%
393,322$ 394,694$ 480,120$ 558,010$ 77,890$ 16.22%
Transfers Out 400,000$ 360,000$ ‐$ ‐$ ‐$ 0.00%
TOTAL EXPENDITURES 4,761,628$ 5,129,687$ 5,018,310$ 5,193,530$ 175,220$ 3.49%
2
2020 PERCENT
ORIGINAL OVER(UNDER)
Total By Program ACTUAL ACTUAL BUDGET BUDGET 2020 BUDGET
City Council 61,962$ 66,988$ 72,100$ 75,150$ 4.2%
City Administration 303,559 318,670 350,440 369,380 5.4%
Elections 22,869 23,777 23,000 31,350 36.3%
Finance 154,408 155,637 186,260 178,790 -4.0%
TCAAP 146,360 96,152 87,610 85,350 -2.6%
Planning & Zoning 176,913 200,771 206,210 231,030 12.0%
Government Buildings 173,706 196,279 204,250 197,080 -3.5%
Totals 1,039,777 1,058,274 1,129,870 1,168,130 3.4%
Total By Classification
Personnel Services 406,776 484,961 525,720 563,940 7.3%
Commodities 26,657 24,033 29,200 30,800 5.5%
Contractual Services 606,344 549,280 574,950 573,390 -0.3%
Capital Outlay 0000 N/A
Other Charges 0000 N/A
Totals 1,039,777 1,058,274 1,129,870 1,168,130 3.4%
Staffing
Full-time equivalents 3.70 4.69 4.51 4.70
Expenditures
CITY OF ARDEN HILLS, MINNESOTA
GENERAL GOVERNMENT SUMMARY
EXPENDITURE ANALYSIS
2018 2019 2021
950
1,000
1,050
1,100
1,150
1,200
ACTUAL
2018
ACTUAL
2019
BUDGET
ORIGINAL
2020
BUDGET
2021Thousands
3
CITY OF ARDEN HILLS, MINNESOTA
Function: General Government 101
Activity:Mayor & Council 41100
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services 31,165$ 37,203$ 37,210$ 37,220$
Commodities 254 - 150 150
Contractual Services 30,543 29,785 34,740 37,780
Total 61,962$ 66,988$ 72,100$ 75,150$
Percent Change 8.1% 7.6% 4.2%
Expenditures by Classification
In 2021, the Mayor and Council budget is proposed to increase by 4.2% or $3,050. NYFS amount is increasing
by 14% or $2,389 over 2020.
2021 BUDGET
Fund # :
Activity # :
The Mayor and City Council are responsible for the formulation of policy and the passage of laws governing the
City of Arden Hills. Members participate in various committees, as well as direct staff, through the City
Administrator, as to their overall goals for the City. This department provides for Mayor and Council
compensation, Council meetings and work sessions, management consultants and memberships. Participation in
NYFS is included in this budget, as is funding for the City Council Retreat Facilitator.
1. Adopt policies and ordinances consistent with Council's position on growth, zoning and financial strategy.
2. Continue to work on the redevelopment of the TCAAP property.
Creating funding sources to build reserve balances to fund future capital improvements while maintaining current
City services.
50%
50%
Personnel Services
Commodities
Contractual Services
4
CITY OF ARDEN HILLS, MINNESOTA
Function: General Government 101
Activity:Administration 41300
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services 182,235$ 194,459$ 214,890$ 231,900$
Commodities 297 389 550 650
Contractual Services 121,027 123,822 135,000 136,830
Total 303,559$ 318,670$ 350,440$ 369,380$
Percent Change 5.0% 10.0% 5.4%
Full-Time Equivalent positions 1.73 1.85 1.85 1.94
Expenditures by Classification
The 2021 Administration budget is increasing by 5.4% over 2020. The increase in personnel services is partly
due to an increase in fte allocations.
2021 BUDGET
Fund # :
Activity # :
City Administration provides the overall direction of the City, as determined by the City Council. The City
Administrator serves as Chief Administrative Officer for the City, ensuring that laws, ordinances, and resolutions
of the City Council are enforced and implemented. The Administration Department is responsible for
administering Council policies, coordinating Council agendas, and providing support to other functional areas
within the City.
1. Assist City Council in setting policies and procedures in accordance with Council's position.
2. Provide direction and leadership on major city projects, budget management, oversee performance evaluations
and long-range planning.
1. Long-range planning to maintain current City services while creating funding sources for reserves.
2. Long-range comprehensive TCAAP planning.
63%
37%
Personnel Services
Commodities
Contractual Services
5
CITY OF ARDEN HILLS, MINNESOTA
Function: General Government 101
Activity:Elections 41410
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services -$ -$ -$ -$
Commodities - - - -
Contractual Services 22,869 23,777 23,000 31,350
Total 22,869$ 23,777$ 23,000$ 31,350$
Percent Change 4.0% (-3.3%) 36.3%
Expenditures by Classification
The Elections budget has a 36.3% increase for FY21.
2021 BUDGET
Fund # :
Activity # :
This department covers the cost of administering all Federal, State and Municipal elections. This includes the
preparation of any and all absentee ballots, organizing the polling places, election judges, and vote tabulations.
The City contracts with Ramsey County for all the required election services.
Stay current on election laws.
Stay current on election laws.
100%
Personnel Services
Commodities
Contractual Services
6
CITY OF ARDEN HILLS, MINNESOTA
Function: General Government 101
Activity: Finance 41500
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services 47,231$ 52,839$ 58,340$ 60,920$
Commodities 14,424 12,816 20,500 20,500
Contractual Services 92,754 89,982 107,420 97,370
Total 154,408$ 155,637$ 186,260$ 178,790$
Percent Change 0.8% 19.7% (-4.0%)
Full-Time Equivalent positions 0.48 0.49 0.52 0.52
Expenditures by Classification
This budget decreased by 4.0% in 2021 or $7,470 mainly because of the new copier contract that was recently
approved.
2021 BUDGET
Fund # :
Activity # :
Conducts the financial affairs of the City in accordance with the Government Accounting Standards Board
(GASB) and Generally Accepted Accounting Principles (GAAP). This includes protecting the assets of the City,
the initiation of financial plans, investment and debt management, review and implementation of internal
controls, and accounting for financial transactions including accounts payable, accounts receivable and payroll.
1. Continue working to refine the financial management plan for the City.
2. Continue to produce a Comprehensive Annual Financial Report (CAFR) and reports for the public (Popular
Annual Finance Report - PAFR) that receive the GFOA's award for excellence in reporting.
3. Provide meaningful and timely financial reports and information to Council, Commissions and other City
Departments.
1. Implement improved reporting procedures to inform Council, Commissions and Departments.
2. Work with other Departments to find ways to reduce costs of City operations.
3. Analyze and implement ways to reduce transaction processing and costs.
34%
12%
54%
Personnel Services
Commodities
Contractual Services
7
CITY OF ARDEN HILLS, MINNESOTA
Function: General Government 101
Activity:TCAAP 41600
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services 21,250$ 29,444$ 36,610$ 34,350$
Commodities - - - -
Contractual Services 125,110 66,709 51,000 51,000
Total 146,360$ 96,152$ 87,610$ 85,350$
Percent Change (-34.3%) (-8.9%) (-2.6%)
Full-Time Equivalent positions 0.14 0.63 0.28 0.23
Expenditures by Classification
Ramsey County purchased the property and established a Joint Development Authority (JDA) with the City.
Revenues and expenditures are for City costs and are estimated, but placeholders have been included for
consulting costs, and staff time has been allocated for the City Administrator, Community Development Manager,
and Public Works Director as they act as the City’s support staff to this Authority. The 2021 budget shows a
decrease of 2.6%, largely due to a change in fte allocations.
2021 BUDGET
Fund # :
Activity # :
This department was established to account for revenue and expenditure activity related to the City’s
comprehensive re-use planning at the Twin Cities Army Ammunition Plant (TCAAP) site.
1. Coordination of TCAAP redevelopment planning activities while continuing to meet the needs of the City of
Arden Hills.
2. Work with Ramsey County through the Joint Development Authority (JDA).
1. Economic conditions.
2. Coordinating with multiple entities/players.
40%
60%
Personnel Services
Commodities
Contractual Services
8
CITY OF ARDEN HILLS, MINNESOTA
Function: General Government 101
Activity:Planning & Zoning 41910
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services 87,540$ 128,979$ 138,260$ 167,770$
Commodities - - - -
Contractual Services 89,373 71,792 67,950 63,260
Total 176,913$ 200,771$ 206,210$ 231,030$
Percent Change 13.5% 2.7% 12.0%
Full-Time Equivalent positions 0.93 1.34 1.49 1.73
Expenditures by Classification
The budget for 2021 is an increase of 12.0% over the 2020 budget. The fte allocations have been increased.
2021 BUDGET
Fund # :
Activity # :
Responsible for all planning and zoning related functions of the City. Activities administered by this department
include requests for variances, subdivisions, re-zonings, zoning code amendments, signs, conditional use permits,
compliance with City Ordinances and other land use issues. The Planners work closely with Protective
Inspections, Code Enforcement, and Community Development.
The Planning Commission, consisting of seven members appointed annually by the City Council, meets monthly
to review the above requests and to make recommendations to the City Council in an advisory capacity.
1. Continue to work on Rental Housing registrations.
2. Continue improvements of the City's planning process.
1. Rental Housing registrations.
2. Refine Building Permit process.
3. Research and refine an Administrative Fines process.
73%
27%
Personnel Services
Commodities
Contractual Services
9
CITY OF ARDEN HILLS, MINNESOTA
Function: General Government 101
Activity:Government Buildings 41940
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services 37,356$ 42,037$ 40,410$ 31,780$
Commodities 11,683 10,828 8,000 9,500
Contractual Services 124,668 143,414 155,840 155,800
Total 173,706$ 196,279$ 204,250$ 197,080$
Percent Change 13.0% 4.1% (-3.5%)
Full-Time Equivalent positions 0.42 0.38 0.38 0.28
Expenditures by Classification
The 2021 budget is a decrease of 3.5% from the previous year’s budget mainly due to a decrease in fte
allocations.
2021 BUDGET
Fund # :
Activity # :
This department captures all of the operation/maintenance related costs for the City Hall and Government Building
facilities.
The City entered into a contract with Ramsey County for a joint maintenance facility located just west of City Hall
off County Road 96 on Paul Kirkwold Drive. The new facility was completed and occupied as of October 2004.
45% of the City’s portion of the Ramsey County maintenance facility is charged to this budget.
Maintain a reputable facility to house meetings and staff.
Normal maintenance and repair issues as the building (City Hall) has now been in operation since 2002.
16%5%
79%
Personnel Services
Commodities
Contractual Services
10
2020 PERCENT
ORIGINAL OVER(UNDER)
Total By Program ACTUAL ACTUAL BUDGET BUDGET 2020 BUDGET
Police 1,161,955$ 1,356,029$ 1,338,120$ 1,389,200$ 3.8%
Dispatch 65,175 51,369 45,580 55,800 22.4%
Fire 541,663 573,680 620,990 656,400 5.7%
Emergency Management 9,837 5,659 5,840 5,810 -0.5%
Protective Inspections 309,712 412,558 327,950 341,650 4.2%
Totals 2,088,342 2,399,295 2,338,480 2,448,860 4.7%
Total By Classification
Personnel Services 250,339 231,629 268,930 279,940 4.1%
Commodities 215 415 2,750 1,000 -63.6%
Contractual Services 1,837,787 2,167,251 2,066,800 2,167,920 4.9%
Capital Outlay 0000 N/A
Other Charges 0000 N/A
Totals 2,088,342 2,399,295 2,338,480 2,448,860 4.7%
Staffing
Full-time equivalents 2.39 2.56 2.66 2.69
Expenditures
CITY OF ARDEN HILLS, MINNESOTA
PUBLIC SAFETY SUMMARY
EXPENDITURE ANALYSIS
2018 2019 2021
1,900
2,000
2,100
2,200
2,300
2,400
2,500
ACTUAL
2018
ACTUAL
2019
BUDGET
ORIGINAL
2020
BUDGET
2021Thousands
11
CITY OF ARDEN HILLS, MINNESOTA
Function: Public Safety 101
Activity:Police 42100
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services -$ -$ -$ -$
Commodities - - - -
Contractual Services 1,161,955 1,356,029 1,338,120 1,389,200
Total 1,161,955$ 1,356,029$ 1,338,120$ 1,389,200$
Percent Change 16.7% (-1.3%) 3.8%
Expenditures by Classification
Arden Hills portion of the Ramsey County Sheriff’s Contracting Communities 2021 budget increased 3.7% over
2020. Animal control costs and boarding are included within this budget.
2021 BUDGET
Fund # :
Activity # :
Law Enforcement services for Arden Hills are provided on a contractual basis with the Ramsey County Sheriff’s
Department. Animal control services are included in this budget.
Continue contracting for law enforcement and animal control services through the Ramsey County Sheriff’s
Department.
1. Resident concerns over police coverage and visibility.
2. Response times.
100%
Personnel Services
Commodities
Contractual Services
12
CITY OF ARDEN HILLS, MINNESOTA
Function: Public Safety 101
Activity:Dispatch 42150
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services -$ -$ -$ -$
Commodities - - - -
Contractual Services 65,175 51,369 45,580 55,800
Total 65,175$ 51,369$ 45,580$ 55,800$
Percent Change (-21.2%) (-11.3%) 22.4%
Expenditures by Classification
Arden Hills portion of the Ramsey County 911 Dispatch Department operation budget increased by 22.4%.
2021 BUDGET
Fund # :
Activity # :
Emergency dispatch services are provided by Ramsey County.
Continue contracting dispatch services though Ramsey County.
Continue to maintain service levels at a reasonable cost.
100%
Personnel Services
Commodities
Contractual Services
13
CITY OF ARDEN HILLS, MINNESOTA
Function: Public Safety 101
Activity:Fire 42200
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services -$ -$ -$ -$
Commodities - - - -
Contractual Services 541,663 573,680 620,990 656,400
Total 541,663$ 573,680$ 620,990$ 656,400$
Percent Change 5.9% 8.2% 5.7%
Expenditures by Classification
Arden Hills’s portion of the Lake Johanna Fire Department operating budget increased 5.7%. This budget reflects
increases to operating costs.
2021 BUDGET
Fund # :
Activity # :
Fire protection for Arden Hills is provided by the Lake Johanna Volunteer Fire Department on a contractual basis.
Lake Johanna Volunteer Fire Department presently provides services to the cities of Arden Hills, Shoreview, and
North Oaks. Arden Hills pays a percentage of operating and capital costs based on a formula approved by the
Lake Johanna Fire Department and Arden Hills City Council.
Continue contracting for fire protection services through Lake Johanna Volunteer Fire Department.
Continue to maintain service levels at a reasonable cost.
100%
Personnel Services
Commodities
Contractual Services
14
CITY OF ARDEN HILLS, MINNESOTA
Function: Public Safety 101
Activity:Emergency Management 42300
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services 4,422$ 4,768$ 4,690$ 4,860$
Commodities 27 - - -
Contractual Services 5,388 891 1,150 950
Total 9,837$ 5,659$ 5,840$ 5,810$
Percent Change (-42.5%) 3.2% (-0.5%)
Full-Time Equivalent positions 0.02 0.02 0.02 0.02
Expenditures by Classification
The 2021 budget is a decrease of 0.5% from the 2020 budget or $30.
2021 BUDGET
Fund # :
Activity # :
Emergency Management coordination for the City is required by the Federal Government. This department works
closely with Ramsey County Department of Homeland Security, as well as the Ramsey County Sheriff and Lake
Johanna Fire Department. The City contracts with a consultant to provide these services.
1. Update City's Emergency Response Policy and Procedures.
2. Train staff in emergency management procedures.
Coordinate with Ramsey County’s emergency response procedures and policies.
84%
16%
Personnel Services
Commodities
Contractual Services
15
CITY OF ARDEN HILLS, MINNESOTA
Function:Public Safety 101
Activity:Protective Inspections 42400
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services 245,917$ 226,861$ 264,240$ 275,080$
Commodities 188 415 2,750 1,000
Contractual Services 63,607 185,283 60,960 65,570
Total 309,712$ 412,558$ 327,950$ 341,650$
Percent Change 33.2% (-20.5%) 4.2%
Full-Time Equivalent positions 2.37 2.54 2.64 2.67
Expenditures by Classification
The 2021 operating budget is an increase of 4.2% from the previous year’s budget.
2021 BUDGET
Fund # :
Activity # :
This department is responsible for all building construction, plumbing, sewer, water and mechanical inspections
within the City. Electrical inspections are contracted with an independent inspection firm. This department is also
responsible for enforcement of the Zoning Code and other sections of the City Code of Ordinances.
1. Continue implementation of the building codes.
2. Continue to work on Building Permit software to produce Council reports.
1. Managing and prioritizing department workloads.
2. Keep up with rental license inspections of investor owned residential properties.
3. Continue implementation and design of new Building Permit software and reports.
81%
0%
19%
Personnel Services
Commodities
Contractual Services
16
2020 PERCENT
ORIGINAL OVER(UNDER)
Total By Program ACTUAL ACTUAL BUDGET BUDGET 2020 BUDGET
Streets 579,533$ 632,530$ 723,730$ 755,010$ 4.3%
Totals 579,533 632,530 723,730 755,010 4.3%
Total By Classification
Personnel Services 239,079 267,797 291,530 302,800 3.9%
Commodities 59,934 57,623 38,000 50,000 31.6%
Contractual Services 280,520 307,111 394,200 402,210 2.0%
Capital Outlay 0000 N/A
Other Charges 0000 N/A
Totals 579,533 632,530 723,730 755,010 4.3%
Staffing
Full-time equivalents 1.99 2.37 2.42 2.37
Expenditures
CITY OF ARDEN HILLS, MINNESOTA
PUBLIC WORKS SUMMARY
EXPENDITURE ANALYSIS
2018 2019 2021
0
200
400
600
800
ACTUAL
2018
ACTUAL
2019
BUDGET
ORIGINAL
2020
BUDGET
2021Thousands
17
CITY OF ARDEN HILLS, MINNESOTA
Function: Public Works 101
Activity: Street Maintenance 43100
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services 239,079$ 267,797$ 291,530$ 302,800$
Commodities 59,934 57,623 38,000 50,000
Contractual Services 280,520 307,111 394,200 402,210
Total 579,533$ 632,530$ 723,730$ 755,010$
Percent Change 9.1% 14.4% 4.3%
Full-Time Equivalent positions 1.99 2.37 2.42 2.37
Expenditures by Classification
The 2021 operating budget is an increase of 4.3% from the previous year’s budget. There was a minor shift in
some wage allocations and commodities was adjusted to better reflect actual costs based on historical analysis.
2021 BUDGET
Fund # :
Activity # :
This department is responsible for maintaining City streets, including snowplowing, minor street repair, street
signs, and street sweeping.
1. Maintain street infrastructure utilizing all available techniques including crack sealing, seal coating, patching
and overlays.
2. Recommend a cost effective program for reconstructing/reclaiming street surfaces when maintenance
techniques no longer provide the desired results.
3. Maintain and update equipment and vehicles.
1. Implement a capital improvement program for City infrastructure.
2. Balance the public works department needs with available funds.
3. Aging equipment.
4. Increased safety regulation for equipment and vehicles.
40%
7%
53%
Personnel Services
Commodities
Contractual Services
18
2020 PERCENT
ORIGINAL OVER(UNDER)
Total By Program ACTUAL ACTUAL BUDGET BUDGET 2020 BUDGET
Recreation 260,653$ 284,893$ 346,110$ 263,520$ -23.9%
Parks 393,322 394,694 480,120 558,010 16.2%
Totals 653,975 679,587 826,230 821,530 -0.6%
Total By Classification
Personnel Services 387,373 450,130 518,060 550,090 6.2%
Commodities 59,210 53,937 78,500 61,850 -21.2%
Contractual Services 207,393 175,521 229,670 209,590 -8.7%
Capital Outlay 0000 N/A
Other Charges 0000 N/A
Totals 653,975 679,587 826,230 821,530 -0.6%
Staffing
Full-time equivalents 4.41 5.29 5.33 5.35
Expenditures
CITY OF ARDEN HILLS, MINNESOTA
CULTURE & RECREATION SUMMARY
EXPENDITURE ANALYSIS
2018 2019 2021
0
200
400
600
800
1,000
ACTUAL
2018
ACTUAL
2019
BUDGET
ORIGINAL
2020
BUDGET
2021Thousands
19
CITY OF ARDEN HILLS, MINNESOTA
Function: Parks and Recreation 101
Activity:Recreation 45120
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services 182,173$ 208,158$ 237,830$ 179,430$
Commodities 26,283 18,785 35,250 24,250
Contractual Services 52,197 57,950 73,030 59,840
Total 260,653$ 284,893$ 346,110$ 263,520$
Percent Change 9.3% 21.5% (-23.9%)
Full-Time Equivalent positions 2.04 2.47 2.47 1.72
% of costs covered by revenue 41.7% 35.8% 35.7% 44.3%
Expenditures by Classification
The 2021 operating budget is a decrease of 23.9% from the previous year’s budget. The wage allocations have
been adjusted to better reflect where staff is actually spending their time. Commodities and contractual services
were adjusted based on historical analysis.
2021 BUDGET
Fund # :
Activity # :
This department provides all recreational activities to residents of Arden Hills, as well as residents from
neighboring communities.
To provide recreational activities to residents of Arden Hills.
1. Develop senior programming.
2. Budget constraints.
68%
9%
23%
Personnel Services
Commodities
Contractual Services
20
CITY OF ARDEN HILLS, MINNESOTA
Function: Parks and Recreation 101
Activity:Park Maintenance 45200
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services 205,199$ 241,972$ 280,230$ 370,660$
Commodities 32,927 35,151 43,250 37,600
Contractual Services 155,196 117,571 156,640 149,750
Total 393,322$ 394,694$ 480,120$ 558,010$
Percent Change 0.3% 21.6% 16.2%
Full-Time Equivalent positions 2.37 2.82 2.86 3.63
Expenditures by Classification
The 2021 operating budget is an increase of 16.2% from the previous year’s budget. This is mainly due to
changes in wage allocations.
2021 BUDGET
Fund # :
Activity # :
Responsible for maintenance of City parks and trails as well as administration of the diseased tree/forestry
program. This includes maintaining and improving playground and picnic facilities, fertilizing and mowing of grass,
maintaining athletic fields, flooding and maintenance of outdoor ice rinks, snow and ice removal, and tree
preservation within the parks system of the City. These assets of the City are extensively used by the residents,
and improvements must be made to uphold the safety, functionality and beauty the City represents.
1. Continue pathway maintenance.
2. Continue implementing City's Comprehensive Park and Trails plan.
1. Other maintenance concerns coming up and not allowing completion of existing projects.
2. Budget constraints for future and existing projects.
66%
7%
27%
Personnel Services
Commodities
Contractual Services
21
2020 PERCENT
ORIGINAL OVER(UNDER)
Total By Program ACTUAL ACTUAL BUDGET BUDGET 2020 BUDGET
Unallocated 400,000$ 360,000$ -$ -$ N/A
Totals 400,000 360,000 0 0 N/A
Total By Classification
Personnel Services - - - - N/A
Commodities - - - - N/A
Contractual Services - - - - N/A
Capital Outlay - - - - N/A
Other Charges 400,000 360,000 - - N/A
Totals 400,000 360,000 0 0 N/A
Staffing
Full-time equivalents 0.00 0.00 0.00 0.00
Expenditures
CITY OF ARDEN HILLS, MINNESOTA
MISCELLANEOUS SUMMARY
EXPENDITURE ANALYSIS
2018 2019 2021
0
100
200
300
400
500
ACTUAL
2018
ACTUAL
2019
BUDGET
ORIGINAL
2020
BUDGET
2021Thousands
22
CITY OF ARDEN HILLS, MINNESOTA
Function: Unallocated 101
Activity:Transfers 49300
Activity Scope
Objectives
Issues
Budget Commentary
2018 2019 2020 2021
Budget Summary ACTUAL ACTUAL BUDGET BUDGET
Personnel Services -$ -$ -$ -$
Commodities - - - -
Contractual Services - - - -
Other Charges 400,000 360,000 - -
Total 400,000$ 360,000$ -$ -$
Percent Change (-10.0%) (-100.0%) 0.0%
Expenditures by Classification
This budget is used to account for transfers out of the General Fund to other funds of the City. $400,000 was
transferred to the Equipment and Building Replacement Fund in 2018 and $360,000 was transferred to the PIR
Fund in 2019.
2021 BUDGET
Fund # :
Activity # :
The transfers to other funds budget is utilized to account for the transfer of general fund revenues to other funds
within the City financial structure.
1. To build reserves for capital equipment replacement.
2. To subsidize infrastructure improvements.
Budget constraints.
0%
Personnel Services
Commodities
Contractual Services
Other Charges
23
Page 1 of 1
AGENDA ITEM – 1E
MEMORANDUM
DATE:
TO:
FROM:
August 17, 2020
Honorable Mayor and City Councilmembers
Dave Perrault, City Administrator
SUBJECT: Council Tracker Update
Budgeted Amount: Actual Amount: Funding Source:
N/A N/A N/A
Council Should Consider
The Council should provide further direction on items presented on the Council Request Tracker.
Background
City Council will receive a verbal update on items the Council has previously directed staff to
research and/or bring forward.
Discussion
N/A
Budget Impact
N/A
Attachments
N/A