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HomeMy WebLinkAboutCCP 06-21-2004 Mayw: Beverly Ap1lkews1d ~HILLs MdeDHiUs City Council WORK SESSION - C.~mben; . DlMd Gra8!t Breada IJaIdeD . Greg ......... Lols Rem . Michelle Wolfe; Bob MusIL, Ci'B Executive DiYel;tOr; A41T>>I Back>>um, CPB'Presid_t Murtuza SirJdiquiaM'i Michelle Wclfit Tom Moore 4:45 p.m. Monday, Juoe21, 1004 Agenda 1. Call to Order :z. . A2eBd!I Items A. Lake Jolt.... VehmteerJl'ire Departmeut Update B. Ramsey C01lBty Slteriff - Di8e8ssIoDs aud ExpeetadOBS C. CODveado...d Touriml B1Ire.. ~ Fire Chief Tim Boellre and Michelle Wolfe . Michelle Wolfe D. :ZOOS Bitdget Update aad De8criptiOII of FoRds E. Di$positIcqI of Old Strut Slgus 3. Council RePOrts A. CouncUmember lIekteB B. CouReilmember Lane. C. C01lDeiJmember Relll D. COllDdlmeDlber Gnmt E. Mayor ApIikowSkI . -' ,. _ . ,,,,_,_~ .",ct'-.~ '. ._~'.'__:'__ ~.k..':,~_ . ,1145W.IIJ&hway9lJ ArdeJi BiIIIl,"'--l1IillCa 55112 651SI.S1%0 wWw.et~ l'JIDl 4:45 5:38 6:15 6:45 7:30 <.,. ;,."...",_,,,, ":';'.a._'~_' . . . ~ ~ILLS MEMORANDUM DATE: TO: FROM: SUBJECT: AGENDA ITEM: 2A June 15, 2004 Mayor and City Council Michelle Wolfe, City Administrator ~u/ Lake Johanna Fire Department Update This agenda item is scheduled with the goal of continuing our communication efforts between the City of Arden Hills and the Lake Johanna Fire Department. Attached is a copy of the presentation prepared by Fire Chief Tim Boehlke. In general the intent is for an update and also to continue discussions about planning for capital equipment and buildings. \\EarthlAdminICi(Y Adminisirator\Memo\2004\6-21-04 Work Session LJFD.doc Arden Hills City Council 6/21/04 Workshop Lake Johanna Fire Department Update Presented by: Fire Chief Tim Boehlke Deputy Chief Ralph Adair District #1 Chief Chad Jansen . 2003 Fire Runs- Our fire department responded on 552 calls last year. Arden Hills Shoreview North Oaks 37% 46% 13% 2003 204 254 73 2002 167 246 100 2001 153 324 87 . 2003 Dollar Loss- Total dollar loss for all three cities was $835,141. 2003 2002 Arden Hills Dollar loss- $454,050 $543,690 Shoreview Dollar loss- $305,341 $ 88,400 North Oaks Dollar loss- $ 75,550 $ 45,000 . Contracts- In 2003 the Fire Department placed a bid for fire protection for 650 acres of the TCAAP property controlled by the U.S. Army. We were the low bidder and now have an automatic renewing contract consisting of a base year and 4 option years. Cost per year is $18,000. We also negotiated with the National Guard to provide fire protection for the 1500 acres under their control. This is a multi-year automatic renewing contract consisting of a base year and 4 option years. Cost per year is $15,000. . FEMA Grant- We applied for a grant to be used for fire department equipment, the total grant amount totaled $50,300. Of that amount $45,270 was federal money;, the fire department contributed $5,030 as a match. Equipment purchased was SCBA Fill Stations, Supplied Air Breathing Equipment, 2 additional Thermal Imaging cameras, and a 14' Zodiac rescue boat. . . . . . . . PERA- The fire department hired an attorney to help our full-time employees be eligible to join PERA. Because we are a Private Non-profit Corporation 501 c (3) and not a city owned department, special legislation would need to be passed in order for us to join. The special legislation was passed this year allowing all current and future full-time employees to join either the PERA Police & Fire fund, or a PERA coordinated plan. . Mandated Medical Training- I required all firefighters to bc trained to a minimum level of 1st Responder by 7/1/2005. At present 95% of our firefighters are trained. We have 36-EMT's, 16_1" Responders, and 3-Paramedics. The remaining firefighters will be trained by this fall. . Accident with Injuries calls- On June 1,2004 our department began responding to motor vehicle accidents with injuries calls (MV A). Previously we only responded to extrication calls or accident clean-ups. Because of significant delays in being dispatched to some of the extrication calls we needed to be dispatched at the same time that the paramedics and sheriffs are called. This would eliminate delays, increase patient survivability, provide sufficient manpower for patient assessment and packaging, and reduce some of the burden on the Sheriffs Department. We anticipate a total of approximately 150 MV A's calls per year. (Department wide) . 800 MHz- We have been very involved in the discussions and planning of the new 800 MHz system. We believe it is a good system to switch to, but from the very start there has been a push to try to consolidate the 4 Dispatch Centers (PSAP) into I. The Cities of Maplewood and White Bear have made it clear they are not interested in giving up their own Dispatch Centers. That leaves Ramsey County Sheriffs Dispatchers and St. Paul Dispatchers as the only agencies to merge. The County Commissioners and City of St. Paul would like to see the consolidation. We think it is very important to keep the Ramsey County Sheriffs Department as our Dispatchers. . Water Rescue- we will be responding to water rescues in our three cities. We can respond in a timely manner and provide assistance. This is in cooperation with the Sheriffs Department Water Patrol. 2 . Purchased AED's- We have purchased 2 additional Automatic External Defibrillators for the Chief and Deputy Chiefs vehicles. We now have a total of 6 AED' s, one at each station on the I st response engine. Grant money was used to purchase 3 of the 6 defibrillators_ . Station 3 & 4 Additions- We are in the process of designing additions to the two Shoreview stations. Station 3 which is the headquarters is going to add office space for the full-time staff. Station 4 will be adding office space along with an additional apparatus bay. Station 4 is where our Duty Crew operates out of during the weekdays. . Name and Address Change- We have officially changed the legal name of our Department from "Lake Johanna Volunteer Fire Department" to "Lake Johanna Fire Department". Our mailing address for Station 3 (headquarters) will change as a result of the new County Road I reconstruction. . Additional Engine- We are still in need of an additional rated engine at Station I. It is important to have a second truck that can carry hose, water, equipment and firefighters to the scene. Currently the 2nd truck at station I does not have a pump; carry water or hose. We are in the process of working with the Board of Directors to devclop a plan. We believe that we can purchase a good used engine for $125,000 to $200,000; this truck would be kept in service for at least 10 years. . Station 1 Replacement- this station was built in 1947, with an addition in 1987. It is important that the City of Arden Hills and the fire department both agree on when this station is to be replaced. We would like to see this station get replaced within the next 10 years. Today's cost for a new station would be in the area of $1.5 to $1.8 million dollars. · Fire Marshal's Position- Currently our Fire Marshal's position is part-time. We are in need of making his position full-time in the next year or two. It takes us over IV, years to make cover all of the businesses in the three cities. Plan review and inspections for building construction, both new and remodels takes up a lot of Fire Marshal's time. Schools, gas stations and liquor establishments require annual inspections. Having accurate information on all buildings is crucial for pre-planning, this is important for firefighter safety. 3 . . . . . . ~ ~LLS MEMORANDUM DATE: Agenda Item 2.D June 16, 2004 TO: Honorable Mayor and City Council FROM: Murtuza Siddiqui, Finance Director/Treasurer ""'-.S SUBJECT: 2005 Budget Update & Overview of Funds BACKGROUND: Staff is in the process of developing a Preliminary 2005 Budget. As we progress forward and take the next steps, staff needs direction from the Council with regards to changes for the coming year. Goals and objectives that were previously discussed at the various Council meetings are being incorporated in the budget. Attached to this document is a chart that provides an overview of the 2004 Adopted Budget, breaking it down to the fund level and subsequently to the individual department and program level. In addition to the expenditure budgets, another chart is also provided that summarizes the 2004 Revenue Budget. This information will allow the Council and newer staff, to become more familiar with the financial structure of the City. DISCUSSION: This year, the State Legislature eliminated levy limits. Historically, the City limited the annual levy increases to about 3%. In 2004, the increase from prior year was slightly less than 3 percent. The elimination of the levy limits allows the City the opportunity to fund capital projects, as well as allow for inflationary increases in the overall operating budget. Staff, along with direction from the Council, has identified a number of factors that will influence the 2005 Budget. The factors, to name a few, are identified as follows: . Levy Limits - how much to increase? . Rate Studies - sewer and water. . Overall budget increases? . Implementation of the LaborlUnion contract . Salaries and Benefits. Employee step/COLA increases. . Increase in employee benefits costs (health and dental). It is estimated that the premiums will increase by about twenty (20) percent. Current City contribution towards health and Memo 2005 Budget Memo 2 dental is $462 per month. A twenty percent increase in premium translates into $142 per month. How much of this share should be absorbed by the City? . New staff positions. Civil Engineer has already been approved by the Council- $70,000 (includes salary & benefits and associated costs). Currently, we are sharing our Inspector position with the Lake Johanna Fire Department. It is contemplated that the Fire Department will propose to have this position full-time. Due to TCAAP and perhaps the difficulty in hiring a part-time inspector, we would like to start discussion and consider the option of changing the part-time position to full-time. . Copier lease will terminate in July 2005. Renew lease or purchase a copier? . On-going City Hall building issues/repairs. . Credit card serving fees - $10,000 . The following items are part of our previously approved CIP and Technology Plan. · Implementation of on-line credit card system - $25,000. Staff is in the process of evaluating different Recreation Software packages. Will come back to Council with a recommendation. · Hardware upgrades (includes copiers iflease not renewed) - $55,800 . Replacement of two trucks - $110,000 . Dewater Pump - $1,700 . Water Project - cross connect to Shoreview - $15,000 · Replace two trail signages - $21,000 . Gateway Monument signs - $30,000 . Fire capital upgrades - $45,000 . Re-construct 3 Lift Stations - $350,000 . RECOMMENDED ACTION: Staff is seeking direction from the Council as it continues with the 2005 Budgeting process. . . . o OJ CO to "tJ M C 0> O>~ ::le..... LL:;:;"'<j- ro~0 ~"'- ~ g- 0 Q) (/) ~ Cl",,,, .."0'1;5 !!.:!c: o () I1l Z _~.o . CITY OF ARDEN HILLS 2004 ADOPTED BUDGET REVENUES GENERAL FUND . Property Taxes 2,179,192 Licenses and Permits 360,100 Intergovernmental Revenue 75,179 Charges for Services 139,620 Fines and Forfeits 29,600 Interest Income 8,000 Miscellaneous 50,250 Other Internal Revenue 33,990 Other Financing Uses 42,000 Total General Fund 2,917,931 SPECIAL REVENUE FUNDS Community Services Fund 70,800 Program Fund 0 Park Fund 62,000 Cable TV Fund 54,600 TCAAP Fund 372,000 Risk Management Fund 26,000 EDA General Activities Fund 30,000 EDA Business Revolving Fund 2,500 EDA TIF Dist #1 0 . EDA TIF Dist #2 338,450 EDA TIF Dist #3 40,200 Total Special Revenue Funds 996,550 DEBT SERVICE FUNDS Advance Refunding Bonds 0 GO TIF Bonds of 1998 288,450 Total Debt Service Funds 288,450 CAPITAL PROJECTS FUNDS Municipal Land and Buildings 90,938 Non-Assessible Road Improvemcnts 143,328 Capital Equipment Fund 4,000 Public Safety Capital Equipment Fund 55,000 Permanent Improvement Revolving Fund 384,000 Total Capital Projects Funds 677,266 Total Governmental Funds 4,880,197 ENTERPRISE FUNDS Water Utility 1,211,450 Sauitary Sewer Utility 1,069,700 Recycling 64,450 . Surface Water Management 198,100 Total Enterprise Funds 2,543,700 GRAND TOTAL 7,423,897 . . e City of Arden Hills Description of Funds Jnne 15, 2004 General Fund The general fund is the City's primary operating fund. This fund is used to account for resources traditionally associated with government, which are not required legally or by sound principal management to be accounted for in another fund. In order to breakdown down costs or identify costs by various functions, the City has established thirteen departments/programs under this fund. This is the fund where all tax levy funds are receipted. Since taxes are received twice a year, a reasonable balance is required for cash flow purposes. A strong fund balance helps the City in maintaining and improving its bond rating. Special Revenue Funds I. Commu'!ity Service Fund. This is the fund where charitable gambling funds are receipted. Revenue from this fund is directed to the Recreation Program and Public Safety Capital fund. 2. Park Fund. This fund is used to finance and plan future park capital improvements. 3. Cable Television. Funds from the Cable Franchise fees are receipted in this fund. The funds are used for cable/audio equipment and programming activities at the City Hall. 4. TCMP Fund. The Council established this fund in 1994 for TCAAP planning purposes. Generally, this fund balance has accumulated via the dedication of portions of year end surpluses ofthe general fund. 5. Risk Management. This fund exists to pay deductible costs on insurance claims. The revenue comes from insurance dividends received from the League of Minnesota Cities Insurance Trust. These funds are dedicated to reducing the City's insurance and liability insurance premiums by allowing for a higher deductible financed out of this fund. 6. EDA Funds. The Economic Development Authority has activity for the first time in 1997 and accounts for tax increments and projects within the TIP districts. Debt Service Funds This is the fund from where the debt service payments are made. Currently, there is one outstanding GO Tax Increment Bond. Capital Proiects Funds . I. Municipal Land & Building Fund. This fund is used to improve existing City buildings or provide for new buildings. The new City Hall was constructed using resources from this fund. 2. Non-assessable Road Improvement Fund. This fund was originally created in 1992 to fund the City's portions of some improvements to Lexington Avenue. Since that time, it has served to fund the City's portion of cost participation in other County projects. 3. Capital Equipment Fund. This fund was created to minimize spikes in year to year non-public safety capital expenses. The purpose is to finance major equipment purchases. 4. Public Safety Capital Equipment. The intent of this fund is the same as the Capital Equipment Fund. Generally, public safety capital needs are fairly constant, in certain years there may be a need to replace larger capital items such as a fire pumper truck. 5. Permanent Improvement Revolving Fund (PIR). The City up to this point has not issued bonds to finance street projects or capital facilities. This fund serves to finance these costs. Money borrowed from this fund to other City funds is repaid with interest. Part of the fund balance in this fund represents a receivable from another fund which resulted from the acquisition of the Indy property. Funds received from the special assessments are deposited into this fund. . Enterprise Funds 1. Water Utility Fund. This fund provides operating and capital financing for the City's water operations. The fund balance is declining. A rate study is planned. 2. Sanitary Sewer Fund. This fund provides operating and capital financing for the City's sewer operations. The fund balance is declining. A rate study is planned. 3. Recycling Fund. This fund was set up to account for revenue and expenditures associated with the recycling program. 4. Surface Water Management Fund. This fund finances the City's storm water management and maintenance function. The fund balance is declining. A study is planned. . e ~ ~LLS MEMORANDUM DATE: AGENDA ITEM: 2B June 14,2004 TO: Mayor and City Council FROM: Michelle Wolfe, City Administrato~~ SUBJECT: Ramsey County Sheriffs Department Update BACKGROUND When the City Council committed to continuing our contractual agreement with Ramsey County Sheriffs (RCS) Department for police services, the Council expressed a desire for more and better on-going communication between the two organizations. In addition, it was noted that there were some follow-up items for discussion that needed to be addressed. e DISCUSSION At the May work session, Council briefly brainstormed some topics that they wished to discuss with the RCS. I forwarded that information to Undersheriff Altendorfer so that they could be prepared to address the topics. Representatives from the department will be present for the work session and were provided the following list: . . . . . . . . . . . Increased yisibility in neighborhoods (drive through the neighborhoods, be more visible) Review of the City's financial share ofthe Rice Street squad Review of enhancements toward a "neighborhood policing" model Notice to ,the City when various meetings are going to be held, such as Block Watch captain meetings Increased :graffiti patrol/initiate immediate clean-up The Sheriffs role in addressing Human Rights/diversity issues Speed on County Road E Speed in general (who to contact at the department) Time spent at the Fire Station or businesses (Perception: spend more time at businesses than patrolling neighborhoods) Response. to problem areas (i.e. receiving a number of complaint calls for the same residence) Page 2 of2 I also indicated that it would be helpful to have Traffic Deputy Tim Entner discuss the speed studies he's completed on Lake Johanna Boulevard (a follow-up to neighborhood meeting concerns). Also, Deputy Dan Reutimann has some information regarding call activity at Arden Manor which could be discussed: 2001 2002 2003 Total Calls Arden Manor 235 280 394 Total Calls City 3949 3875 3963 Percentage 11.02% 11.60% 9.95% With the budget process underway, it would be a good item to discuss any possible enhancements of service for 2005. In addition, there may be equipment purchases to consider as part of the budgct process (for example a speed board.) It is anticipated that we will try to do these updates periodically throughout the year, perhaps quarterly if possible. The above list is not all-inclusive but rather a discussion guide. \\\\Earth\Admin.\City Administrator\Police Servjces\6-21~04 Work Sessjon.doc . e . . . . ~ /]'\~ HILLS MEMORANDUM DATE: AGENDA ITEM: 2C June 15,2004 TO: Mayor and City Council FROM: Michelle Wolfe, City Administrator ~ SUBJECT: Minneapolis Metro North Convention and Visitors Bureau BACKGROUND A few weeks ago I was visited by the Bob Musil, Executive Director and Aaron Backman, Board Chair of the Minneapolis Metro North Convention and Visitors Bureau (MMNCVB). They wanted to introduce themselves and provide me with information about the benefits of their organization. I have asked them to attend the work session to provide you with similar background inforrhation. If this something that the Council is interested in pursuing, we would be able to plan it accordingly with the 2005 budget preparation. DISCUSSION The MMNCVB isa tourism organization whose mission "is to promote economic growth for its members as a preferred destination for events, meetings, and tourism." Current, member cities include the following: Anoka Blaine Brooklyn Center Brooklyn Park Coon Rapids Fridley Ham Lake Maple Grove Mounds View Shoreview Some of the benefits of membership articulated by Mr. Musil and Mr. Backman include the following: . . Direct referrals for tourism inquiries for our area . Leads distributed to your properties for group business . Affiliation with the National Sports Center on sporting events taking pace there and in other areas . Advertising in state and regional publications . Printed visitors guides distributed through the Minnesota office of Tourism and other tourism related outlets . Promotion of public venues within member cities . Marketing of local festival Page 2 of2 . Partnership with local chamber of commerce . Overall sales and marketing activities which include: shows, direct mail, print ads, sales . calls, telemarketing, and WEB site marketing . Partnership with ten other cities in the North Metro area . Public relations with local and statewide media . Affiliation with dozens of industry associations and other Bureaus to promote the Twin Cities The MMNCVB is funded by a 3% local lodging tax. This is levied on hotels/motels by a municipality on gross room receipts. State Statute requires that 95% of the funds be utilized "to fund a local convention or tourism bureau for the purpose of marketing and promoting the city or town as a tourist or convention center." Five percent of the funds are retained by the municipality for administrative purposes. Additionally, $2000 is made available on an annual basis to a local community festival, and to the local chamber of commerce. Mr. Musil has been initiating conversations with the two hotels in Arden Hills to assess their interested in the program. He will be able to provide a verbal update on the status of those discussions. It is my understari4ing that the City staff time involved in processing this would be minimal. I have asked Finance Director Siddiqui to investigate this further by speaking to Finance staff in other cities. I've included some background materials for your information: . . Asset Appraisal prepared by MMNCVB . Relevant St"ate Statute . Sample Or~inance establishing a local lodging tax (from Shoreview) . Sample CVB Agreement (from Shoreview) REQUESTED ACTION Receivc the materials and information presented and provide direction to staff as to whether you wish to continue' consideration of a local lodging tax and participation in the MMNCVB. Options include: . No further consideration at this time . Keep working with the MMNCVB and hotel owners and bring a proposal to a future Council meeting . Keep working with the MMNCVB and hotel owners and include a proposal as part of the 2005 budget process . Hold as a topic for the Economic Development Commission to consider Attachments \\EarthlAdminICity Administralorl,Memo\2004\6-21-04 Work Session eVB.doc . . . . CITY OF ARDEN HILLS ASSET APPRAISAL Lodging Holiday Inn North, 156 guestrooms Super 8 Arden Hills. 66 guestrooms 222 total guestrooms Estimated annual Lodging tax $102,000 per year based on a $70.00 ADR and 60% occupancy $87,500 per year based on a $60.00 ADR and 60% occupancy Conferencing Amenities Holiday Inn Conference Center Bethel College facilities Community Centers n/a. Sports facilities at Bethel and Irondale H.S. Attractions Limited. Centrally located approximately 8 miles north of the downtown areas of both Minneapolis and St. Paul. Shopping Some retail off of Lexington. Rosedale is minutes away Restaurants Off of Lexington and Snelling Golf n/a Parks and Rec Tony Schmidt Park Crepeau Nature Preserve Chamber Member of Twin Cities North Chamber of Commerce Events Community Festival Population 9,692 est. Large Employers Land 0 Lakes, Deluxe, Guidant, and MSI Insurance Other Notes Home to many large corporations, numerous small to medium size businesses and two private colleges. The Twin Cities Army Ammunition Plant (TCAAP) occupies nearly one-third of the entire land area of Arden Hills. Portions of this tract are expected to be released by the Federal government for the purpose of re- development over the next 20 years. lVunnesota ~tatutes LUUJ, 4o~.I~U Page loLL lv!inn~~ot(LSJfltutes 2003,]'able of Chapters Ia.bk..oi<l9ntents for Chapter 46'-l . 469.190 Local lodging tax. Subdivision 1. Authorization. Notwithstanding section 9~7A.016 or any other law~ a statutory or home rule charter city may by ordinance, and a town may by the affirmative vote of the electors at the annual town meeting, or at a special town meeting, impose a tax of up to three percent on the gross receipts from the furnishing for consideration of lodging at a hotel, motel, rooming house, tourist court, or resort, other than the renting or leasing of it for a continuous period of 30 days or more. A statutory or home rule charter city may by ordinance impose the tax autborized under this subdivision on the camping site receipts of a municipal campground. Subd. 2. Existing taxes. No statutory or home rule charter city or town may impose a tax under this section upon transient lodging that, when combined with any tax authorized by special law or enacted prior to 1972, exceeds a rate of three percent. Subd. 3. Disposition of proceeds. Ninety-five percent of the gross proceeds from any tax imposed under subdivision 1 shall be used by the statutory or home rule charter city or town to fund a local convention or tourism bureau for the purpose of marketing and promoting the city or town as a tourist or convention center. This subdivision shall not apply to any statutory or home rule charter city or town that has a lodging tax authorized by special law or enacted prior to 1972 at the time of ehactment of this section. . Subd. 4. Unorganized territories. A county board acting as a town board with respect to an unorganized territory may impose a lodging tax within the unorganized territory according to this section if it determines by resolution that imposition of the tax is in the public interest. Subd. 5. Reverse referendum. If the county board passes a resolution under subdivision 4 to impose the tax, the resolution must be published for two successive weeks in a newspaper of general circulation within the unorganized territory, together with a notice fixing a date for a public hearing on the proposed tax. The hearing must be held not less than two weeks nor more than four weeks after the first publication of the notice. After the public hearing, the county board may determine to take no further action, or may adopt a resolution authorizing the tax as originally proposed or approving a lesser rate of tax. The resolution must be published in a newspaper of general circulation within the unorganized territory. The voters of the unorganized territory may request a referendum on the proposed tax by filing a petition with the county auditor within 30 days after the resolution is published. The petition must be signed by voters who reside _in the unorganized territory. The number . http://www.revisor.leg.state.mn.us/stats/ 469/190 .html 6/17/2004 . MInneSOta ~talmes LVV.J, 'fO~.l~V of signatures must equal at least five percent of the number of persons voting in the unorganized territory in the last general election. If such a petition is timely filed, the resolution is not effective until it has been submitted to the voters residing in the unorganized territory at a general or special election and a majority of votes cast on the question of approving the resolution are in the affirmative. The commissioner of revenue shall prepare a suggested form of question to be presented at the referendum. Subd. 6. Joint powers agreements. Any statutory or home rule charter city, town, or county when the county board is acting as a town board with respect to an unorganized territory, may enter into a joint exercise of powers agreement pursuant to section .~B-O..?-.'l for the purpose of imposing the tax and disposing of its proceeds pursuant to this section. Subd. 7. Collection. The statutory or home rule charter city may agree with the commissioner of revenue that a tax imposed pursuant to this section shall be collected by the commissioner together with the tax imposed by chapter 297A, and subject to the same interest, penalties, and other rules and that its proceeds, less the cost of collection, shall be remitted to the city. HIST: 1987 c 291 s 191; 1989 c 277 art 1 s 30; lSp1989 c 1 art 8 s 1-3; 1990 c 604 art 6 s 6-8 . Copyright . 2003 by the Office of Revisor of Statutes, State of Minnesota. http://www.revisor.leg.state.IllTI.us!stats/469/l90 .html rage L or L 6/1712004 ~ ORDINANCE NO. 729 . AN ORDINANCE ESTABLISHING A LOCAL LODGING TAX AND ADDING CHAPTER 614 TO THE SHOREVIEW CITY CODE. THE SHOREVIEW CITY COUNCIL HEREBY ORDAINS THAT CHAPTER 6141S HEREBY ADDED TO THE SHOREVIEWMUNICIPAL CODE TO READ AS FOLLOWS: CHAPTER 614 614.01 Definitions: As used in this Chapter, the following words and terms shall have meanings given to them by this section. A. DIRECTOR. The Finance Director of the City. B. CITY. The City of Shore view. C. LODGING. The furnishing for consideration oflodging by a hotel, motel, rooming house, tourist court, or resort, except where such lodging shall be for a continuous period of thirty (30) days or more to the same lodger. . D. OPERATOR. A person who provides lodging to others, or any officer, agent of employee of such person. E. PERSON. Any individual, corporation, partnership, association, estate, receiver, trustee, executor, administrator, assignee, syndicate or any other combination of individuals. Whenever the term "person" is used in any provision of this Chapter prescribing and imposing a penalty, the term as applied to a corporation, association, or partnership, shall mean the officers, or partners thereof as the case may be. F. RENT. The total consideration valued in money charged for lodging whether paid in money or otherwise, but shall not include any charges for services rendered in connection with furnishing lodging other than the room charge itself. G. LODGER. The person obtaining lodging from an operator. 614.02 Imposition of Tax. There is hereby imposed a tax of three percent (3%) on the rent charged by an operator for providing lodging to any . 1 . . . person. The tax shall b~ stated and charged separately and shall be collected by the operator from the lodger. The tax collected by the operator shall be a debt owed by the operator to the City and shall be extinguished only by payment to the City. In no case shall the tax imposed by this section upon an operator exceed the amount of tax which the operator authorized and required by this Chapter to collect from a lodger. 614.03 Collections. Each operator shall collect the tax imposed by this Chapter at the time rent is paid. The tax collections shall be held in trust by the operator for the City. The amount of tax shall be separately stated from the rent charged for the lodging. 614.04 Exemptions. An exemption shall be granted to any person as to whom or whose occupancy it is beyond the power of the City to tax. No exemption shall be granted except upon a claim therefore made at the time the rent is collected and such a claim shall be made in writing under penalty of peljury on forms provided by the City. All such claims shall be forwarded to the City when the returns and collections are submitted as required by this Chapter. 614.05 Advertisinl!: No Tax. It shall be unlawful for any operator to advertise or hold out or state to the public or any customer, directly or indirectly, that the tax or any party thereof will be assumed or absorbed by the operator, or that it will not be added to the rent or that, if added, it or any part thereof will be refunded. In computing the tax to be collected, amounts of tax less than one cent shall be considered an additional cent. 614.06 Payments and Returns. The taxes imposed by this Chapter shall be paid by the operator to the City not later than twenty-five (25) days after the end of the month in which the taxes were collected. At the time of payment the operator shall submit a return upon such forms and containing such information as the City may require. The return shall contain the following minimum information: A. The total amount of rent collected for lodging during the period covered by the return. B. The amount of tax required to be collected and due for the period. C. The signature of the person filing the return or that of an agent duly authorized in writing. D. The period covered by the return. 2 E. The amount of uncollectible rental charges subject to the lodging tax. . F. A copy.ofthe Minnesota State Sales and Use Tax Return submitted by the operator for the period covered by the return. The operator may offset against the taxes payable with respect to any reporting period, the amount of taxes imposed by this Chapter previously paid as a result of any transaction the consideration for which became uncollectible during such reporting period, but only in proportion to the portion of such consideration which became uncollectible. 614.07 Examination of Return, Adiustments, Notices and Demands. The Director may rely upon the Minnesota State Sales and Use Tax Return filed by the operator with the State of Minnesota in determining the accuracy of a return filed under this Chapter. However, the Director shall be authorized to make any investigation or examination of the records and accounts of the person making the return, if the Director reasonably detennines that such steps are necessary for determining the correctness of the return. The tax computed on the basis of such examination shall be the tax to be the tax to be paid. If the tax due is found to be greater than that paid, such excess shall be paid to the City within ten (10) days after receipt of a notice thereof, given either personally or sent by registered mail to the address shown on the return. If the tax paid is greater than the tax found to be due, the excess shall be refunded to the person who paid the tax to the City within ten (10) days after determination of such refund. . 614.08 Refunds. Any person may apply to the Director for a refund of taxes paid for a prescribed period in excess of the amount legally due for that period, provided that no application for refund shall be considered unless filed within one year after such tax was paid, or within one year from the filing of the return, whichever period is the longer. The Director shall examine the claim and make and file written findings thereon denying or allowing the claim in whole or in part and shall mail a notice thereof by registered mail to such person at the address stated upon the return. If such claim is allowed in whole or in part, the Director shall credit the amount of the allowance against any taxes due under this Chapter from the claimant and the balance of said allowance, if any, shall be paid by the Director to the claimant. 614.09 Failure to File a Return. A. If any operator required by this Chapter to file a return shall fail to do so within the time prescribed, or shall make, willfully or . 3 . otherwise, an incorrect, false, or fraudulent return, the operator shall, upon written notice and demand, file such return or corrected return within five (5) days of receipt of such written notice and shall at the same time pay any tax due on the basis thereof. If such person shall fail to file such return or corrected return, the Director shall make a return or corrected return, for such person from such knowledge and information as the Director can obtain, and assess a tax on the basis thereof, which tax, less any payments theretofore made on account of the tax for the taxable period covered by such return shall be paid within five (5) days of the receipt of written notice and demand for such payment. Any such return or assessment made by the Director shall be prima facie correct and valid, and such person shall have the burden of establishing its incorrectness or invalidity in any action or proceeding in respect thereto. B. If any portion of a tax imposed by this Chapter, including penalties thereon, is not paid within thirty (30) days after it is required to be paid, the City may institnte such legal action as may be necessary to recover the amount due plus interest, penalties, the costs and disbursements of any action. . C. Upon a showing of good cause, the Director may grant an operator one thirty (30) day extension oftime within which to file a return and make payment of taxes as required by this Chapter provided that interest during such period of extension shall be added to the taxes due at the rate often percent (10%) per annum. 614.10 Penalties. If any tax imposed by this Chapter is not paid within the time herein specified for the payment, or an extension thereof, there shall be added thereto a specific penalty equal to ten percent (10%) of the amount remaining unpaid. The amount of tax not timely paid, together with any penalty provided by this section, shall bear interest at the rate of ten percent (10%) per annum from the time such tax should have been paid until it is paid. Any interest and penalty shall be added to the tax and be collected as part thereof. . 614.11 Administration of Tax. The Director shall administer and enforce the assessment and collection of taxes imposed by this Chapter. The Director shall cause to be prepared blank forms for the returns and other documents required by this Chapter and shall distribute the same throughout the City and furnish them on application, but failure to receive or secure them shall not relieve any person from any obligation required of him or her under this Chapter. 4 614.12 Examination of Records. The Director and those persons acting . on behalf of the Director, authorized in writing by the Director, may examine the books, papers and records of any operator in order to verify the accuracy of any return made, or if no return was made, to ascertain the tax as provided in this Chapter. Every such operator is directed and required to give to the Director, or such other authorized agent or employee, the means, facilities and opportunity for such examinations and investigations as are hereby authorized. 614.13 Violations. Any person who shall willfully fail to make a return required by this Chapter; or who shall fail to pay the tax after written demand for payment, or who shall fail to remit the taxes collected or any penalty or interest imposed by this Chapter, after written demand for such payment, or who shall refuse to permit the City to examine the books, records and papers under his or her control, or who shall willfully make any incomplete, false or fraudulent return shall be guilty of a misdemeanor. 614.14 Use of Proceeds. Ninety-five percent (95%) of the proceeds obtained from the collection of taxes pursuant to this Chapter shall be used in accordance with Minnesota Statutes 9469.190, as the same maybe amended from time to time, to fund a local convention or tourism bureau for the purpose of marketing and promoting the City as a tourist or convention center. . 614.15 Avveals. A. Any operator aggrieved by any notice, order or determination made by the Director under this Chapter may file a petition for review of such notice, order or determination detailing the operator's reasons for contesting the notice, order or detenmnation. The petition shall contain the name of the petitioner, the petitioner's address and the location of the lodging subject to the order, notice or determination. B. The petition for review shall be filed with the City within ten (10) days after the notice, order or determination for which review is sought has been mailed or served upon the person requesting review. C. Upon receipt of the petition, the City Manager, or the Manger's designee, shall set a date for a hearing and give the petitioner at least five (5) days prior written notice of the date, time and place of the hearing. D. At the hearing, the petitioner shall be given an opportunity to show cause why the notice, order or determination should be modified or . 5 . . . withdrawn. The petitioner may be represented by counsel of petitioner's choosing at petitioner's own expense. E. The hearing shall be conducted by the City Manager, or the Manager's designee, provided only that the person conducting the hearing shall not have participated in the drafting of the order, notice or determination for which review is sought. F. The person conducting the hearing shall make written findings of fact and conclusion based upon the applicable sections of this Chapter and evidence presented. The person conducting the hearing may affirm, reverse or modify the notice, order or determination made by the Director. G. Any decision rendered by the City Manager, or the Manager's designee, pursuant to this subdivision may be appealed to the City Council. A petitionerseeking to appeal the decision must file a written notice of appeal with the City within ten (10) days after the decision has been mailed to the petitioner. The matter will thereupon be placed on the Council agenda as soon as it is practical. The Council shall then review the findings of fact and conclusions to determine whether they are correct. Upon a determination by the Council that the findings and conclusions are incorrect, the Council may modify, reverse or affirm the decision of the City Manager, or the Manager's designee, upon the same standards as set forth in Subparagraph F. Effective Date. This ordinance shall be in full force and effect from the I st day of November, 2000. Adoption Date. Passed and adopted by the City Council of the City of Shoreview th the 5 day of September, 2000. Sandra C. Martin, Mayor ATTEST: Terry Schwenn, City Manager Publication Date. Published on the 26th day of September, 2000. 6 AN ORDINANCE SUMMARY On the 5th day of September, 2000, the Shoreview City Council adopted Ordinance No.729;and, by four affirmative votes, pursuant to Minn. Stat. 412.191, Subd. 4, directed that a summary of the ordinance be published. Shoreview Ordinance No. 729 is entitled "AN ORDINANCE ESTABLISHING A LOCAL LODGING TAX AND ADDING CHAPTER 614 TO THE SHOREVIEW CITY CODE." The Ordinance defines terms, imposes the lodging tax, describes a process for collecting and accounting for the lodging tax, specifies the appropriate uses for the lodging tax, and includes an appeal process. A copy of the Ordinance is available for inspection by any person during regular business hours at the office of the City Manager at 4600 North Victoria Street, Shoreview, MN 55126. Dated: September 20,2000 Terry Schwerm, City Manager 7 . . . . . . CONVENTION AND VISITORS BUREAU AGREEMENT THIS AGREEMENT made and entered into this 51h day of September, 2000 by and between the City of Shoreview, a Minnesota municipal corporation, hereinafter referred to as "City", and the Minneapolis North Metro Convention and Visitors Bureau, a Minnesota non-profit corporation, hereinafter referred to as the "BUreau". WITNESSETH: The City has enacted a tax on lodging with the City to fund a convention and visitors bureau in accordance with Minnesota Statutes, Section 469.190. The Bureau has the staff, facility, and experience to carry out the objectives of promoting the City as a tourist and convention center. The City desires the Bureau to provide the services of a convention and visitors bureau on behalf of the City, and the Bureau desires to provide those services. NOW, THEREFORE, in consideration of the mutual covenants and promises contained herein, sufficiency of which is hereby acknowledged, the parties hereto agree as follows: I. Term. The term of this Agreement shall commence on the 1st day of November, 2000 and continue until terminated by mutual agreement or by one of the parties hereto in accordance with the following provisions: a. The City may terminate this Agreement on the first anniversary of the Agreement provided that the City provides Wiitten notice to the Bureau of its intent to terminate no later than .~::~h .~\ ,2001. That notice may be rescinded at any time prior to the first anniversary date. Thereafter, this Agreement may be terminated only by mutual agreement of the parties or in accordance with the provisions of Subsection b of this Section. b. Either party may terminate this Agreement by providing written notice to that effect to the other party. Such termination shall be effective on December 31 of the calendar year following the year in which the notice of termination was given. 2. Services Rendered bv Bureau. The Bureau shall furnish the following services: a. Informational services in answering inquiries about the City via mail, computer, telephone and personal contacts. Provide planning, coordinating, and registration assistance to organizations and businesses. b. 1 c. Supply support material including, but not limited to, name badges, City maps, typewriters, accommodations list, and information in general. Prepare and present audio visual presentations to groups to attract visitors to the City. Distribute brochures, maps, and guides of the City to potential visitors and meeting planners. Provide representation at trade shows, conventions, and exhibits to attract new visitors to the City. Promote the City as a convention center for Minnesota by regional and statewide advertising of the City's hospitality industry and attractions, including the Shoreview Community Center featuring the Tropics Indoor Waterpark. d. e. f g. 3. Charges. Basic services provided pursuant to Paragraph 2 of this Agreement shall be without charge to the person or organization utilizing said services unless authorized by contractual agreement or action of the Bureau Board of Directors. 4. Budget. The Bureau shall submit its annual budget for review by the City Council on or before the first day of October of the year preceding the effective date of the budget. Such budget shall detail specifically the uses to which monies received shall be spent to provide the services described in Paragraph 2 of this Agreement. It is understood between the parties that the actual revenues being generated under Paragraph 5 may vary from the amount anticipated in the budget. For this reason it is agreed that the budget may be modified without prior consent of the City Council, providing that any adjustments shall be made by a two-thirds (2/3) vote of the Bureau Board of Directors. Notwithstanding any other language to the contrary the Bureau shall not expend any sums beyond its revenue. 5. Funding. On the 15th day of each month, the City shall remit to the Bureau, for funding of the Bureau, 95% of the lodging tax payments received by the City, less refunds, in the preceding month during the term of this Agreement. 6. Verification of Expenditures. The Bureau will provide the City a copy of the Bureau's monthly financial statements, showing monthly, year to date, and budget figures, properly itemized and verified by the Director of the Bureau. The Finance Director of the City shall have the right of access to the books and records of the Bureau at any time during normal business hours to audit any item of revenue or expenditure. 2 . . . . . 9. 7. Hold Hannless. Any and all employees of the Bureau or any other persons, while engaged in the performance of any service required by the Bureau under this Agreement, shall not be considered employees of the City, and any or all claims that mayor might arise under the Workers' Compensation Act of the State of Minnesota on behalf of said employees or other persons while engaged, and any and all claims made by a third party as a consequence of any act or omission on the part of the Bureau, or its agents or employees or other persons while so engaged in any of the services provided to be rendered herein, shall in no way be the obligation or the responsibility of the City. In connection therewith, the Bureau hereby agrees to indemnifY, save and hold harmless, and defend the City and all of its officers, agents, and employees from any and all claims, demands, actions, or causes of actions of whatever nature or character arising out of or by reason of the execution or performance of the services provided for in this Agreement. 8. Multiple City Participation. It is contemplated that the Bureau in addition to providing services to the City, will also provide similar services described in Paragraph 2 of this Agreement to other communities and that all cities may be jointly promoted as a unitary convention and visitors bureau. Therefore, it is specifically authorized that funding such joint promotion will be financed pursuant to this Agreement. Discrimination. The Bureau, in providing services hereunder shall comply with the provisions of Minnesota Statute, Section 181.59 as the same may be amended from time to time. The Bureau shall not discriminate against any person or firm in any of its activities pursuant to Minnesota Statute, Section 181.59 which is incorporated into this Agreement as though set forth in its entirety. 10. Insurance. The Bureau shall carry insurance to cover its employees and agents while performing services pursuant to this Agreement. Such insurance shall provide comprehensive general liability and property damage coverage to the Bureau and its - employees and agents in such amounts as will equal the applicable limits of liability to which the City may be held pursuant to state statute as the same may be amended from time to time. The Bureau shall also carry Workers' Compensation as required by Minnesota Statute, Section 176.182 and provide the City with proof of compliance with Section 176.182 before commencing to provide services thereunder. 11. Laws. The Bureau will comply with all applicable Federal, State and local laws in the performance of its obligations hereunder. . 3 12. Advertisement. All brochures, listings, or advertisements of specific lodging facilities shall include mention of all facilities paying the lodging tax imposed by the City. 13. Integration. This document is fully integrated, embodying the entire Agreement between the parties. Any amendment to this Agreement shall be in writing and executed in the same manner as the Agreement. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first above written. 4HOllliVfEW B. ~~~~~ Sandra C. Martm, Mayor By: - /€ r<"J~ Terry . Schwerm, CIty Manager MINNEAPOLIS NORTII METRO CONVENTION AND VISITORS BUREAU BY~~'~~ ~ President 4 . . . . ... o - VI ~ ..... o o '" ." I: .. '" o o '" .= VI J: - I: o :; J: " ... '" :; ... .E! ~ :; :; o - CIl " I: .. - "" E CIl 0:: )( .. 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'" ." u: "'x ~ '" => ;!! 0 m ;; " :5 '" m ;;; ~ ~ ~ ~ > .,; 0 o cr M <5 OJ ~ 'C v ~ OJ ~ '" '" = ~O '" ~ '" 1ll -" m r .., :;; Ii .., ~ m ~ ~ ~ '" ~ a c ZO ~ m m " ~ C " ii: ~ '" m 0 e l'l ~ c ~ ~ 0 C E m ~ a: CO m .:;- <( 0 ~. -" .., C ~ " m ~ 0 a. .a 21 c C m ~ ~ '" m m m x ~ c i,\' ~ x c a E a .m 0 'C C Q 0 'C m <( "' m m 0 ~ I <0 a '" x ..j o o OJ "" '" o o OJ .~ '" .c C o :> .g " u c f1 .E m 0:: x '" t- O> c .0, "0 o ~ -,; "0 6 u <D 0:: <D E o u c '" y. e . . ~ ~HILLS MEMORANDUM DATE: Work Session Agenda Item 2E June 14,2004 TO: Mayor and Council Michelle Wolfe, City Administrator Thomas 1. Moore, Director of Operations & Maintenance ~ ~ _ ~ SUBJECT: Disposition of Old Street Signs FROM: BACKGROUND At the April 26, 2004 Regular City Council Meeting, the City Council awarded the street sign replacement contract to Northern Traffic Supply, Inc. Councilmember Holden asked what would happen with the old street signs. Staff replied that all of the old street signs would be delivered to the maintenance shop for disposal. However, if the City Council wants to do something with the old signs, they would be available. REOUESTED COUNCIL ACTION Staff is requesting direction on the future of the old street signs. Possible options could be: 1. Sell the signs for scrape metal. Savings to the City would be approximately $200.00. 2. Have a 'first come' sale to the residents. Price per sign and sale dates/times to be determined by the City Council. Remaining signs sold for scrape metal. 3. Have a street sign auction. Minimum bid price per sign and sale dates/times to be determined by the City Council. Remaining signs sold for scrape metal.