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HomeMy WebLinkAbout1998 12-07 City Council Special Meeting PacketAGENDA MAPLEWOOD CITY COUNCIL 7:00 P.M., Monday, December 7, 1998 Council Chambers, Municipal Building Meeting No. 98 -27 Special Meeting D. APPROVAL OF MINUTES 1. Minutes of Meeting 98 - 26 .(November 23. 1998) F. PRESENTATIONS NONE 1 PUBLIC HEARINGS 1. 7:'00 P.M.: Pu 1. 2. 3. 4. 5. 6. blic Hearing on Proposed 1998 Budget and Taxes City Manager Comments Video Presentation of Proposed 1999 Budget Citizen Comments Council Discussion Determination of Need for Continuation Hearing Announcement of Hearing to Adopt the 1999 Budget and Taxes ill P e ] =3 11 �1 J. UNFINISHED BUSINESS NONE K. NEW BUSINESS NONE L. VISITOR PRESENTATIONS NONE M. COUNCIL PRESENTATIONS 1. Committee Reports 2. 3. 4. N. ADMINISTRATIVE PRESENTATIONS 1. 2. 3. MINUTES OF MAPLEWOOD CITY COUNCIL 7:00 P.M., Monday, November 23, 1998 Council Chambers, Municipal Building Meeting No. 98 -26 C. ROLL CALL George F. Rossbach, Mayor Sherry Allenspach, Councilmember Dale H. Carlson Councilmember Kevin Kittridge, Councilmember Marvin C. Koppen, Councilmember Present Present Present Pres Present D. APPROVAL OF MINUTES 1. Minutes of Special City Council Meeting 98 -24 (November 4, 1998) DI Counci I member Al 1 enspach moved to approve, the mi nutes of Meeti n No. 98-24 (Voveuber 4-1998A as - -n -d Seconded by Councilmember Koppen Ayes - all 2. Minutes of Meeting 98 -25 (November 9, 1998) Councilmember Kittrid moved to awrove the minutes of Meetin No. 98-25 (November 9, 1998) as - en -d Seconded by Councilmember Koppen Ayes - all Mayor Rossbach moved to aDDrove the Agenda as amended go M -1. Mayor's Mailbox Seconded by Councilmember Allenspach Ayes - all 9154414 Hill 1 (11 �1 11 -23 -98 1 Seconded by Councilmember Allenspach Ayes - all 1. Approval of Claims Approved the following claims: ACCOUNTS PAYABLE: $ 117.756.18 Checks #7685 - #7698: Dated 11 -2 -98 thru 11 -06 -98 $ 167 631 07 Checks #40626 - #40767: Dated 11 -10 -98 $ 1,242:97 Checks #7699 - # Dated 11 -12 -98 thru 11 -13 -98 $ 122 821 47 Checks #40773. - #40887: Dated 11 -17 -98 $ 409,451.69 Total Accounts Payable $ 295,999.83 Payroll Checks and Direct Deposits Dated 11 -15 -98 $ 22,343.58 Payroll Deduction Checks Dated 11 -13 -98 $ 318,343.41 Total Payroll $ 727,795.10 GRAND TOTAL 2. Financial Transfers for Unassessed Utility Improvements Approved the following transfers: TO DEBT FROM FUNDS $ 6,010 Water Fund $ 2,050 Sewer Fund $67,720 Water Fund $33,460 Water Fund TO DEBT SERVICE FUNDS 1979 Bonds (316) 1979 Bonds (316) 1992 Bonds (325) 1990 Bonds (322) 3. Increase in Community Development Department Service Charges Approved revisions in Community Development Department license /permit fees and services listed and approved first reading of an ordinance to increase the planning fees. 4. Increase in Miscellaneous Service Charges Approved increases in miscellaneous service charges by 2.6% effective January 1, 1999. 5. Certification of Delinquent Sewer Service Bills Adopted the following resolution certifying delinquent sewer service bills: 98 -11 -112 RESOLVED, that the City Clerk is hereby authorized and directed to certify to the Auditor of Ramsey County the following delinquent sewer service bills for certification against the tax levy of said property owners for the year 1998, collectible in 1999 and which 11 -23 -98 2 includes interest at the rate of eight percent (8%) on the total amount for one year: STREET ADDRESS Craig Place PIN 11- 29 NUMBER -0031 AMOUNT $ 944.04 2272 -22 -34 1376 Sophia Street 15- 29 -22 -33 -0103 $ 680.94 2494 Harvester Avenue 25- 29 -22 -31 -0001 $ 52.16 3001 Chippewa Court North 01- 29 -22 -21 -0061 $ 815.08 TOTAL $ 2492.22 6. Conditional Use Permit Review - Countryside Volkswagen /Saab (Highway 36) Reviewed the Conditional Use Permit at 1180 Highway 35 East review again only if problem arises or it the property owner proposes any changes to the buildings on site. 7. 1998 Comprehensive Plan Update Time Extension Approve the following resolution requesting a 6 -month time extension for completing the Comprehensive Plan update. 98 -11 -113 RESOLUTION REQUESTING AN EXTENSION OF THE DECEMBER 31, 1998 DUE DATE FOR REVIEW OF THE MAPLEWOOD COMPREHENSIVE PLAN FOR CONSISTENCY WITH AMENDED METROPOLITAN COUNCIL POLICY PLANS WHEREAS, state statutes (Minn. Stat. §473.175- 473.871) (1996) requires that cities review and revise their comprehensive plans for consistency with Metropolitan Council policy plans; and WHEREAS, the Metropolitan Council has amended.its policy plans and has provided system statements outlining Council policy relative to the city; and WHEREAS, Maplewood is required to review its comprehensive plan for consistency with the amended policy plans and to prepare a revised comprehensive plan for submission to the Metropolitan Council by December 31, 1998; and WHEREAS, Maplewood has scheduled and budgeted to complete a major review and update of its comprehensive plan by June 30, 1999; NOW, THEREFORE, BE IT RESOLVED, that Maplewood requests that the Metropolitan Council grant Maplewood a six -month extension to the deadline to complete its comprehensive plan; circulate - the revised document to the adjacent governmental units and affected school districts for review and comment; and following approvals by the planning commission and after consideration by the city council, submit the plan to the Metropolitan Council for review. 8. Donation from N. St. Paul /Maplewood Rotary Club Accepted a donation of $3,700 from the N. St. Paul /Maplewood Rotary Club to be used by the Maplewood Police D.A.R.E. Program. 9. Close Public Improvement Projects Authorized the Finance Director to make the appropriate adjustments to close projects 88 -13, 93 -02 and 95 -17. 10. Tax Forfeit Property 11 -23 -98 3 Adopted the following resolution authorizing staff to make application for convenience of these tax - forfeit parcels to the city for right -of -way purposes. 98 -11 -114 AUTHORIZING AN APPLICATION FOR CONVEYANCE OF CERTAIN TAX - FORFEITED PARCELS WHEREAS, the City of Maplewood has determined that the following- described tax- forfeited land is required for street right-of-way: PIN 10- 29- 22 -33- 0040 -2 PIN 16- 29- 22 -41- 0021 -8 NOW, THEREFORE, BE IT RESOLVED, that the proper City o f f i c i a l s be and hereby are authorized to make an application for conveyance of said tax - forfeited land for street right- of-way purposes; and BE IT FURTHER RESOLVED, that the City Clerk be and hereby is authorized to file a certified copy of this resolution and application for conveyance of said tax - forfeited land in the office of the land commissioner. 11. State Aid Resolutions Adopted the following resolution establishing County Raod B and Prosperity Road as municipal state aid streets. 98 -11 -115 RESOLUTION ESTABLISHING MUNICIPAL STATE AID HIGHWAYS WHEREAS, it appears to the City Council of the City of Maplewood that the streets hereinafter described should be designated municipal state aid streets under the provisions of Minnesota law. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Maplewood that the roads described as follows, to -wit: County Road B from Edgerton Street to Arcade Street Prosperity Road from Larpenteur Avenue to County Road B be, and hereby are established, located, and designated municipal state aid streets of said city, subject to the approval of the Commissioner of Transportation of the State of Minnesota. BE IT FURTHER RESOLVED, that the city clerk is hereby authorized and directed to forward two certified copies of this resolution to the commissioner of transportation for consideration, and that upon approval of the designation of said roads or portions thereof, that same be constructed, improved and maintained as municipal state aid streets of the City of Maplewood to be numbered and known as municipal state aid streets. 12. MIS /GIS Temporary Position Approved a three year temporary position for an MIS /GIS technician. 1. 7:00 P.M. Easement Vacation - Saint John's Boulevard, east of Hazelwood Street (Saint John's Hospital) 11 -23 -98 4 a. Mayor Rossbach convened the meeting fora public hearing. b. Manager McGuire introduced the staff report. c. Community Development Director Coleman presented the specifics of the report. d. Commissioner Mike Miller presented the Planning Commission report. e. Mayor Rossbach opened the public hearing, calling for proponents or opponents. The following person was heard: Kyle Davis, representing Health East f. Mayor Rossbach closed the public hearing. --- s$#o I m I i 98 -11 -116 EASEMENT VACATION RESOLUTION WHEREAS, Mr. Kyle Davis, representing HealthEast and Saint John's Hospital, applied for the vacation of the following- described easement: The 60- foot -wide roadway and public utility easement known as Saint John's Boulevard (as recorded as Document No. 2276523), lying east of Hazelwood-Street in Section 3, Township 29, Range 22, Maplewood, Minnesota. WHEREAS, the history of this vacation is as follows: 1. On November 2, 1998, the planning commission recommended that the city council approve this vacation. 2. On November 23, 1998, the city council held a public hearing. The city staff published a notice in the Maplewood Review and sent a notice to the abutting , property owners. The council gave everyone at the hearing a chance to speak and present written statements. The council also considered reports and recommendations from the city staff -, and planning commission. WHEREAS, after the city approves this vacation, public interest in the property will go to the following abutting properties: The West 727.75 feet, as measured at right angles, of the Southwest Quarter of the Northeast Quarter of Section 3, Township 29, Range 229 Ramsey County, Minnesota, except that part thereof described as follows: Commencing at the southwest corner of said Southwest Quarter of the Northeast Quarter, being the center of said Section 3, said point being marked by a Ramsey County monument: thence along the west line of said Southwest Quarter of the Northeast Quarter, North 00 degrees, 01 minute 40 seconds East, assumed basis of bearings, a distance of 703.29 feet: thence on a bearing of East 437.93 feet to the point of beginning, thence continuing on a bearing of East 264.24 feet: thence on a bearing of South 124.13 feet: thence on a bearing of West 264.24 feet: thence on a bearing of North 124.13 feet to the point of beginning. Subject to roads, and: 11 -23 -98 5 All that part of the West 727.75 feet, as measured at right angles, of the Southwest Quarter of the Northeast Quarter of Section 3, Township 29, Range 22, Ramsey County, Minnesota, more particularly described as follows: Commencing at the southwest corner of said Southwest Quarter of the Northeast Quarter, being the center of said Section 3, said point being marked by a Ramsey County monument; thence along the west line of said Southwest Quarter of the Northeast Quarter, North 00 degrees, 01 minute 40 seconds East, assumed basis of bearings, a distance of 703.29 feet; thence on a bearing of East 437.93 feet to the point of beginning, thence continuing on a bearing of East 264.24 feet; thence on a bearing of South 124.13 feet; thence on a bearing of West 264.24 feet; thence on a bearing of North 124.13 feet to the point of beginning. NOW, THEREFORE, BE IT RESOLVED that the city council approve the above - described vacation for the following reasons: 1. It is in the public interest. 2. The city and the adjacent property owners 'have no plans to build a street or utilities in this location. 3. The adjacent properties have access to public streets and utilities. Seconded by Councilmember Allenspach Ayes -all 2. 7:10 P.M. Bulk Storage Warehouse (1300 McKnight Road North) 1. Conditional Use Permit for Warehouse Expansion and Outdoor Storage 2. Conditional Use Permit for New Office Building 3. Parking Reduction Authorization 4. Design Approval a. Mayor Rossbach convened the meeting for a public hearing. b. City Attorney Kelly explained the procedure for public hearings. C. Manager McGuire introduced the staff report. d. Community Development Director Coleman presented the specifics of the report. e. Commissioner Matt Levine presented the Planning Commission report. f. Boardmember Marie Robinson presented the Community Design Review Board report. g. Mayor Rossbach opened the public hearing, calling for proponents or opponents. The following persons were heard: John C. Fallin of FP & S, representing applicant Build Storage Warehouse, 1300 N. McKnight Road Dave Bruechert, 1380 Currie Street Randy Batterson, 2321 Tilsen Avenue Bill Paddock, 2281 E. Arlington Linda Larson, 1295 Myrtle Street East Marcie Kohn, 1369 Myrtle Street Karl Kohn, 1369 Myrtle Street Kelly Larson, 1416 Myrtle Court Tom Sue 1 f 1 ow , 1389 Myrtle Street 11 -23 -98 6 Tom Custad, 1359 Myrtle Street John C. Fallin, second appearance Larry De Graw, 2322 Tilsen Avenue Bob Lite, 2270 Arlington John C. Fallin, third appearance h. Mayor Rossbach closed the public hearing. • '• �. I l •• Wilmne •7,0wo - • •� . �• • �• •�• mgr: 11 • aku.. •. , .. well thn fn1Mwin reasons: 1. The proposed warehouse addition is substantiall screened from nei sin dwelling 2. The applicant is storing mineral feed additives, not food -type feed products. 3. The applicant's business hours are from 7 a.m. to 3 p.m. so there would not be evening noise generated from his business. 4. The proposed shipping -dock addition would benefit the site by containing shipping activities that are presently taking place outdoors. 5. Lakewood Drive is an arterial roadway designed to handle traffic volumes that would exceed the current usage and any increase anticipated by the proposed addition. 98 -11 -117 CONDITIONAL USE PERMIT RESOLUTION WHEREAS, Mr. John C. Fallin, of FP &S Company, applied for a conditional use permit for the expansion of a building in an M -1 (light manufacturing) district closer than 350 feet to a residential district, for outdoor storage and for the expansion of a nonconforming use due to the lack of designated paved parking areas. WHEREAS, this permit applies to 1300 N. McKnight Road. The legal description is:/ ALL THAT PART OF* THE NORTHEAST QUARTER OF THE ..SOUTHWEST QUARTER 'OF SECTION 24, TOWNSHIP 29, RANGE 22, RAMSEY COUNTY, MINNESOTA THAT LIES SOUTHERLY OF A LINE DRAWN PARALLEL WITH AND DISTANT 95 FEET SOUTHEASTERLY, AS MEASURED AT RIGHT ANGLES, FROM THE CENTER LINE OF THE MAIN TRACK OF THE CHICAGO, ST. PAUL, MINNEAPOLIS, AND OMAHA RAILWAY COMPANY, AS NOW LOCATED AND ESTABLISHED; ALSO THAT PART OF THE WEST HALF OF THE SOUTHWEST QUARTER OF SAID SECTION 24, BOUNDED AS FOLLOWS: ON THE NORTH BY A LINE DRAWN PARALLEL WITH AND DISTANT 95 FEET SOUTHEASTERLY, AS MEASURED AT RIGHT ANGLES, FROM THE CENTER LINE OF THE MAIN TRACK OF SAID RAILWAY COMPANY, AS NOW LOCATED AND ESTABLISHED; ON THE WEST BY THE EAST LINE OF THE WEST 66 FEET OF THE SOUTHWEST QUARTER OF SAID SECTION 24; ON THE SOUTH BY A STRAIGHT LINE DRAWN FROM THE NORTHEAST CORNER OF THE SOUTHWEST QUARTER OF THE SOUTHWEST QUARTER OF SAID SECTION 24 TO A POINT ON THE WEST LINE OF SAID SECTION 24 WHICH IS DISTANT 450 FEET SOUTH OF THE SOUTHERLY LINE OF THE 100 FOOT RIGHT OF WAY OF SAID RAILWAY COMPANY, SAID SOUTHERLY LINE BEING A LINE DRAWN PARALLEL WITH AND DISTANT 56 FEET SOUTHEASTERLY AS MEASURED AT RIGHT ANGLES, FROM THE CENTER LINE OF THE MAIN TRACK OF SAID RAILWAY COMPANY AS ORIGINALLY LOCATED AND ESTABLISHED; AND ON THE EAST BY THE EAST LINE OF THE NORTHWEST QUARTER OF THE SOUTHWEST QUARTER OF SAID SECTION 24; EXCEPTING THEREFROM THAT PART THAT LIES NORTHWESTERLY OF A LINE DRAWN PARALLEL WITH AND DISTANT 8.5 FEET SOUTHEASTERLY, AS MEASURED AT RIGHT ANGLES, FROM THE CENTER LINE OF THE MOST SOUTHERLY 11 -23 -98 7 SIDE TRACK I.C.C. NO. 114 OF SAID RAILWAY COMPANY, AS NOW LOCATED AND ESTABLISHED, ALL IN THE COUNTY OF RAMSEY, STATE OF MINNESOTA. WHEREAS, the history of this conditional use permit is as follows: 1. On November 2, 1998, the planning commission recommended that the city council approve this permit. f 2. The city council held a public hearing on November 23, 1998. City staff published a notice in the paper and sent notices to the surrounding property owners as required by law. The council gave everyone at the hearing a chance to speak and present written statements. The council also considered reports and recommendations of the city staff and planning commission. NOW, THEREFORE, BE IT RESOLVED that the city council approve the above - described conditional use permit, because: 1. The use would be located, designed, maintained, constructed and operated to be in conformity with the city's Comprehensive Plan and Code of Ordinances. 2. The use would not change the existing or planned character of the surrounding area. 3. The use would not depreciate property values. 4. The use would not involve any activity, process, materials, equipment or methods of operation that would be dangerous, hazardous, detrimental, disturbing or cause a nuisance to any person or property, because of excessive noise, glare, smoke, dust, odor, fumes, water or air pollution, drainage, water run -off, vibration, general unsightliness, electrical interference or other nuisances. 5. The use would generate only minimal vehicular traffic on local streets and would not create traffic congestion or unsafe access on existing or proposed streets. 6. The use would be served by adequate public facilities and services, including streets, police and fire protection, drainage structures, water and sewer systems, schools and parks. 7. The use would not create excessive additional costs for public facilities or services. 8. The use would maximize the preservation of and incorporate the site's natural and scenic features into the development design. 9. The use would cause minimal adverse environmental effects. 10. The Droposed warehouse addition is substantially screened from neighboring single dwellings. 11. The applicant is storing mineral feed additives, not food -type feed products. 12. The applicant's business hours are from 7 a.m. to 3 p.m. so there would not be evening noise generated from his business. 13. The proposed shipping -dock addition would benefit the site by containing shipping activities that are presently taking place outdoors. 14. Lakewood Drive is an arterial roadway designed to handle traffic volumes that would exceed the current usage and any increase anticipated by the proposed addition. R Approval is subject to the following conditions: 11 -23 -98 8 1. All construction shall follow the site plan approved by the city. 2. The proposed construction must be substantially started within one year of council, approval or the permit shall become null and void. The council may extend this deadline for one year. 3. The city council shall review this permit in one year. 4. A designated paved parking area shall not be required unless the site usage changes in some fashion warranting the need for such parking spaces. 5. Update the alarm system at the facility, subject to the approval of the Director of Public Safety. 6. Provide a locked gate system at the Lakewood Drive entrance, subject to the approval of the Police Chief. 7. Provide several signs along the wetland edge on the warehouse site. The number and placement of these signs shall determined b y staff. These signs shall prohibit . . . p any building, mowing, cutting, filling or dumping in or around the wetland. 8. Submit an industrial storm water protection to the Minnesota Pollution Control Agency for their review and approval. 9. Provide planting or screening fencing along the north side noear the scale building and landscape materials. Seconded by Councilmember Koppen Ayes - Mayor Rossbach Councilmember Koppen & Allenspach Nay - Councilmember Carlson & Ki ttri dge lisi r, k, to Me a o s I Me, i iLsmr..i*@jM, ateitarnsisi WeEws Iloilo Met .� • - � � �• �- � - -1 � ►� •t ►•.� .�� ., -�••� 1 - 1 •1 V •1 11:1 1 98 -11 -118 CONDITIONAL USE PERMIT RESOLUTION WHEREAS, Mr. John C. Fallin, of FP &S Company, applied for a conditional use permit to build an office building in an M -1 ( l i g h t manufacturing) district closer than 350 feet to a residential district. WHEREAS, this permit applies to the property between McKnight Road and Lakewood Drive west of 1300 N. McKnight Road. The legal description is: ALL THAT PART OF THE NORTHEAST QUARTER OF THE SOUTHWEST QUARTER OF SECTION 24, TOWNSHIP 29, RANGE 22, RAMSEY COUNTY, MINNESOTA THAT LIES SOUTHERLY OF A LINE DRAWN PARALLEL WITH AND DISTANT 95 FEET SOUTHEASTERLY, AS MEASURED AT RIGHT ANGLES, FROM THE CENTER LINE OF THE MAIN TRACK OF THE CHICAGO, ST. PAUL, MINNEAPOLIS, AND OMAHA RAILWAY COMPANY, AS NOW LOCATED AND ESTABLISHED; ALSO THAT PART OF THE WEST HALF OF THE SOUTHWEST QUARTER OF SAID SECTION 24, BOUNDED AS FOLLOWS: ON THE NORTH BY A LINE DRAWN PARALLEL WITH AND DISTANT 95 FEET SOUTHEASTERLY, AS MEASURED AT RIGHT ANGLES, FROM THE CENTER LINE OF THE MAIN TRACK OF SAID RAILWAY COMPANY, AS NOW LOCATED AND ESTABLISHED; ON THE WEST BY THE EAST LINE OF THE WEST 66 FEET OF THE SOUTHWEST QUARTER OF SAID SECTION 24; ON THE SOUTH BY A STRAIGHT LINE DRAWN FROM THE NORTHEAST CORNER OF THE SOUTHWEST QUARTER OF THE SOUTHWEST QUARTER OF SAID SECTION 24 TO A POINT ON THE WEST LINE OF SAID SECTION 24 WHICH IS DISTANT 450 FEET SOUTH OF THE SOUTHERLY LINE OF THE 100 FOOT RIGHT 11 -23 -98 9 OF WAY OF SAID RAILWAY COMPANY, SAID SOUTHERLY LINE BEING A LINE DRAWN PARALLEL WITH AND DISTANT 56 FEET SOUTHEASTERLY AS MEASURED AT RIGHT ANGLES, FROM THE CENTER LINE OF THE MAIN TRACK OF SAID RAILWAY COMPANY AS ORIGINALLY LOCATED AND ESTABLISHED; AND ON THE EAST BY THE EAST LINE OF THE NORTHWEST QUARTER OF THE SOUTHWEST QUARTER OF SAID SECTION 24; EXCEPTING THEREFROM THAT PART THAT LIES NORTHWESTERLY OF A LINE DRAWN PARALLEL WITH AND DISTANT 8.5 FEET SOUTHEASTERLY, AS MEASURED AT RIGHT ANGLES, FROM THE CENTER LINE OF THE MOST SOUTHERLY SIDE TRACK I.C.C. NO. 114 OF SAID RAILWAY COMPANY, AS NOW LOCATED AND ESTABLISHED, ALL IN THE COUNTY OF RAMSEY, STATE OF MINNESOTA. WHEREAS, the history of this conditional use permit is as follows: 1. On November 2, 1998, the planning commission recommended that the city council approve this permit. 2. The city council held a public hearing on November 23, 1998 City staff published a notice in the paper and sent notices to the surrounding roperty owners as required by law. The council gave everyone at the hearing a c ance to speak and present written statements. The council also considered reports and recommendations of the city staff and planning commission. NOW, THEREFORE, BE IT RESOLVED that the city council approve the above - described conditional use permit, because: 1. The use would be located, designed, maintained, constructed and operated to be in conformity with the city's Comprehensive Plan and Code of Ordinances. 2. The use would not change the existing or planned character of the surrounding area. 3. The use would not depreciate property values. 4. The use would not involve any activity, process, materials, equipment or methods of operation that would be dangerous, hazardous, detrimental, disturbing or cause a nuisance to any person or property, because of excessive noise, glare, smoke, dust, odor, fumes, water or air pollution, drainage, water run -off, vibration, general unsightliness, electrical interference or other nuisances. 5. The use would generate only minimal vehicular traffic on local streets and would not create traffic congestion or unsafe access on existing or proposed streets. 6. The use would be served by adequate public facilities and services, including streets, police and fire protection, drainage structures, water and sewer systems, schools and parks. 7. The use' would not create excessive additional costs for public facilities or services. 8. The use would maximize the preservation of and incorporate the site's natural and scenic features into the development design. 9. The use would cause minimal adverse environmental effects. Approval is subject to the following conditions: 1. All construction shall follow the site plan approved by the city. 2. The proposed construction must be substantially started within one year of council approval or the permit shall become null and void. The council may extend this deadline for one year. 3. The city council shall review this permit in one year. 11 -23 -98 10 Seconded by Councilmember Koppen Ayes - al 1 '160 IUMMW 1010MOr-mean IT 04=1162raslo) ANOMM 91104MOM W Mlt�ffl Mok gra mme 1 �•. • 1• �. I•_ 0 & O. i _ .Ili- -� -� OaAw ••' j- a' ition), none are required. This waiver is based o the following reasons: 1. Bulk Storage is not a typical business with typical parking needs. The majority of the vehicular activity is truck transit that would not benefit from paved parking and drive areas. 2. Paved parking and drives would not enhance the appearance of the site. Six paved parking stalls (there are six employees at the warehouse facility) amid acres of unpaved space would provide no esthetic benefit 3. It is better to leave the ground unpaved to absorb storm runoff instead of sheet- draining large areas into the wetlands. The city council may require the owner /operator to add paved parking and driveways if the city council determines the use of the site and building has changed to warrant paving. Seconded by Councilmember Koppen Ayes - a 11 • .• �• = • . w - • - T' �. - .�t� -� • •�- . 4 • •o- ..; a MV 1. Repeat this review in two years if the city has not issued a building permit for this project. 2. Provide the following before getting a building permit for the proposed office building: a. A grading, drainage, utility and erosion control lan to the city engineer for approval. The erosion control plan shal comply with ordinance requirements. The grading and drainage plan shall show the wetland delineation line to verify compliance with setback requirements. b. A revised landscape plan for staff approval indicating the sizes and types of plantings proposed for the office site frontage. C. Revised building elevations, for review and approval by the community design review board, if the applicant proposes to change the building design. 3. Complete the following before occupying the office building: a. Restore and sod damaged boulevards. b. Install handicap - parking signs for the handicap - parking space. C. Screen roof - mounted equipment, if used, that would be visible from residential property. d. Construct a trash dumpster enclosure if there will be any outdoor storage g of refuse. The enclosures must match the building in color and materials. There must be a closeable gate that is 100% opaque. 11 -23 -98 11 e. Install an in- ground sprinkler system for all landscaped areas. f. Repair and repaint the existing warehouse building and remove graffiti. 4. If any required work is not done on the office or office site when the applicant requests a certificate of occupancy, the city may allow temporary occupancy if : a. The city determines that the work is not essential to the public health, safety or welfare. b. The city receives cash escrow or an irrevocable letter of credit for the re uired work. The amount shall be 200 percent of the cost of the unfinished work. Any unfinished landscaping shall be com leted by June 1 if the building is occupied in the fall or winter, or wit in six weeks of occupancy if the building is occupied in the spring or summer. 5. Provide several signs along the wetland edge on the warehouse site. The number and Placement of these signs shall be determined by staff. These signs shall prohibit any building, mowing, cutting, filling or dumping in or around the wetland. 6. All work shall follow the approved plans. The director of community development may approve minor changes. Seconded by Councilmember Koppen Ayes - Mayor Rossbach Councilmembers Allenspach, Carlson & Koppen Nay - Councilmember Kittridge 1. 1999 State Contract for the printing of Maplewood in Motion a. Manager McGuire introduced the staff report. b. Parks and Recreation Director Anderson presented the specifics of the report. Mayor Rossbach moved to reject all Drior bids and to bring back next month to Council Seconded by Councilmember Koppen Ayes -all Due to prior public discussion already held on the items under unfinished business Councilmember Kittridge moved to limit public testimony listed under unfinished business to thirty minutes in favor and thirty minutes against each issue. Seconded by Koppen 1. Bruentrup Farm Ayes - all a. Manager McGuire introduced the staff report and presented the specifics of the report. b. Mayor Rossbach asked if anyone wished to speak before the Council regarding this matter. The following persons were heard: 11 -23 -98 12 Victoria Cox, President of White Bear Lake Center of the Arts Peter Boulay, President Maplewood Historical Society Victoria Cox, second ap earance Lynn Haugen, Director W ite Bear Lake Center of the Arts The issue will be brought back to the December meeting. Fundraising will continue with the Maplewood Historical Society and the White Bear Association . City Staff will speak with Decision Resources, a marketing research firm, with the intent to solicit private funds to pay for their services. 2. Dispatch Services a. Manager McGuire introduced the staff report and presented the specifics of the report. b. Assistant to the City Manager Mike Erickson C. Police Chief Don Winger gave a presentation on current staffing and procedural manners and what those staffing and procedural manners will be if the City contracts with the County. d. Ramsey County Sheriff Bob Fletcher and staff responded to a flyer that had been distributed to the public that contained incorrect information. e. Mayor Rossbach asked if anyone wished to speak before the Council regarding this matter. following persons were heard: Dominic Ramacier, 865 Lakewood Drive Bruce Jerome, 1637 Currie Street John Olzenak, 1004 S. Dennis Street Michael Smith, 7485 Knowlood Drive, Moundsview Bob Pavlak Jr., 3030 Standridge Place Greg Engfer, 533 S. Lakewood Drive Cabot Welchin, 1830 E. County Road B Tim Flor, 1641 Brooks Avenue John Melander, 458 S. Sterling Bob Vorwerk, 2306 E. Maple Lane Kathleen Juenemann, 721 Mt. Vernon East Dorthy Larson, 1077 S. Sterling Street Dick Dreger, Sturgeon Lake Tom Pulma, 1844 Anne Fosburg, 2516 East Idaho Fran Juker,1965 Barkley Councilmember Kittridge moved to direct staff enter into an agreement i Ramsey • . to Drovide-di-suatchin services for the cit Seconded by Councilmember Koppen Ayes - Councilmembers Carlson. Kittridge & Koppen Nays - Mayor Rossbach & Councilmember Allenspach Mayor Rossbach moved to complete the agenda exceeding the time beyond policy. Seconded by Councilmember Kittredge Ayes - all 11 -23 -98 13 1. Fuel Station ordinance Amendment a. Manager McGuire introduced the staff report. b. Community Development Director Coleman presented the specifics of the report. c. Mayor Rossbach asked if anyone wished to speak before the Council regarding this matter. The following person was heard: Mark Nelson, Manager of Real Estate for Holiday Companies C ouncilmomber ,: Ko ' ppen moved to amend the following Ordinance _11'1 1• motor fuel •n r eauiremen ts. AN ORDINANCE AMENDING MOTOR FUEL STATION REQUIREMENTS The Maplewood City Council approves the following changes to the Maplewood Code of Ordinances: Section 1. This section changes Sections 36 -6 and 36- 151(b)(9 )(h) as follows (additions are underlined and deletions are crossed out): Section 36 -6. Definitions. Minor Motor Fuel Station: A retail business engaged in the sale of motor vehicle fuels with a maximum of �� -} dispensers. Fuel dispensers shall be designed to serve only two cars at once. Major motor fuel station: A retail business engaged in the sale of motor vehicle fuels that has more than �wa-�} dispensers. Sections 36- 151(b)(9)(h). Conditional Uses. Section 2. This ordinance shall take effect after the city publishes it in the official newspaper. Seconded by Councilmember Kittridge Ayes - all 2. NSP Franchise Agreements a. Manager McGuire introduced the staff report. b. Assistant City Manager Ericson presented the specifics of the report. C. Mayor Rossbach asked if anyone wished to speak before the Council 11 -23 -98 14 regarding this matter. The following person was heard: John Wertish, NSP Community Service Manager Mayor Rossbach moved to table for two weeks. Seconded by Councilmember Koppen Ayes - all NONE NONE N. ADMINISTRATIVE PRESENTATIONS NONE 0. ADJOURNMENT Councilmember Carlson moved to adjourn the meeting at 11:10 P.M. Seconded by Councilmember Allenspach Ayes - all Karen Guilfoile, City Clerk 11 -23 -98 15 AGENDA NO. H "o I AGENDA REPORT TO: City Manager ]FRONT: Finance Director RE: PUBLIC IHEARING ON PROPOSED 1999 BUDGET AND TAXES DATE: November 25, 1998 A public hearing on the proposed property taxes and budget for 1999 has been scheduled for December 7 at 7:00 p.m. in the Council Chambers. At the beginning of the hearing a video presentation of the proposed budget will be shown. Then citizen comments will be received. If additional time is needed for citizen comments, the hearing has been scheduled to reconvene at 7:00 p.m. on December 14. The date, time and place for the continuation hearing must be announced prior to adjournment of the public hearing on December 7. If additional time is not needed for citizen comments, a motion should be passed to cancel the scheduled continuation hearing. State law requires that cities must adopt their 1999 budget and final property tax levy for taxes payable in 1999 at a subsequent public hearing. Therefore, another public hearing has been scheduled for December 14 at 7:05 p.m. in the Council Chambers. The date, time and place for this hearing must also be announced prior to adjournment of the public hearing on December 7. .Attached is a copy of the public hearing notice that was published. It indicates a proposed 1999 that is over $9 million less than the amount in the budget document. This difference is due to a state law on the public hearing notice which specifies that the budget amount include only governmental funds rather than all funds. Also attached is the handout that will be distributed to citizens that attend the hearing. Please note that on page A -1 it includes the phone number for the Ramsey County Assessor's office and the procedure to follow if a person thinks their property is incorrectly assessed. Page A -4 is a listing of property tax changes on homes with market values from $70. to $160. PARNANCEIWPIAGM99PRORTAX Notice of Proposed Total Budget and Property Taxes The Maplewood city council will hold a public hearing an its budget and on the amount of property taxes it is proposing to collect to pay for the costs of services the city will provide in 1999. SPENDING: The total budget amounts below compare the city's 1998 total actual budget with the amount the city proposes to spend in 19990 1998 Total AdmW Bu, $23 Proposed 1999 Bud $19,166,950 Change From 12" --� .1...999 � - 16.9% TAXES: The property tax amounts below compare that portion of the current budget levied in property taxes in the city of Maplewood for 1998 with the property taxes the city proposes to collect in 19990 1998 Property Proposed 1999 Change from T . mes rr Takes 1998 — 1999 $7,42'Z,712 _ _ _ $7,427,710 0.00% Attend the Public Hearing All Maplewood residents are invited to attend the public hearing of the city council to express their opinions on the budget and the proposed amount of 1999 property taxes. The hearing will be held on: Monday, December 7, at 7:00 p.m. City Council Chambers Maplewood City Hall 1830 East County Road B Maplewood You are also invited to send your written comments to: Finance Director, City of Maplewood, 1$30 East County Road B Maplewood, MN 55109 CITY OF MAPLEWOOD 1999 PROPOSED PROPERTY TAXES U"l 1999 PROPOSED BUDGET PUBLIC HEARING DECEMBER 7, 1998 P :\FINANCE \WP\BUDDOC\BDGTHEAR.NOT Your Property's 1998 Estimated Market Value In March you received from Ramsey County a NOTICE OF YOUR PROPERTY'S 1998 ESTIMATED MARKET VALUE. Please read this notice. It will affect how much property taxes you will pay in 1999. Every year Ramsey County sends you a notice advising you of the estimated value of your property. Since property taxes are based on the value of your property, your property taxes will increase as the value of your property increases. The value on the notice is the amount that the county assessor estimates your property would sell for based on sales of property in your area. If you think your property is incorrectly assessed, follow these steps: Talk to County Appraisal Services Staff • Call 266 -2141 • Check the facts • Review sales of similar neighboring properties IF NOT SATISFIED _+ F eal to the Minnesota Tax Court •The deadline for filing is March 31 of the year the taxes are due Regular Division • Attorney recommended • Decisions appealable to Supreme Court • Can be used for any property • Property assessed over $100,000 must file here Appeal to County "Board of Equalization" • File an appeal by April deadline • Board meets late in June • Appeal in person or by letter • Call County Assessor's Office for information IF NOT SATISFIED Small Claims Division (You must go through the Board of Equalization process first.) • Attorney not necessary • Decisions are final *-Use for your home, or any property assessed under $100,000 PARNANCEM MOTIOWNEWS98.MAR A -1 HOW YOUR PROPERTY TAXES ARE DETERMINED Box 1 Box 4 Total Proposed Local Assessor's Budget Market Value -minus x times Box 2 Box 5 All Non - Property State Tax Revenue, eg: Mandated * State Aid Class Rates * Fees, Etc. = equals = equals Box 3 Box 6 Property Tax divided b Total Revenue Needed Y "Tax Capacity" (Levy) (Formerly Assessed Value) = equals Box 7 Property Tax Rate ( "Tax Capacity" Rate) YOUR PROPERTY TAX = Your Property's Market Value X Class R X " Tax Capacity " Rate Source: "Understanding Your Property Taxes. 1994 Edition." Minnesota Taxpayers Association, p. 6 P :\FINANCE \WP\BUDDOC\BDGTHEAR.NOT A -2 FORMULA FOR 1999 PROPERTY TAXES Step 7 — Calculate Tax CaDacit MARKET STATE HOMESTEAD VALUE X FORMULA $100, 000 $ 75,000 X .01 = $ 25,000 X .017 = $100,000 Ster) 2 — Calculate Tax Based on Tax CaDacit TAX X TAX CAPACITY RATE $1,175 134.877% _ TAX CAPACITY $ 750 $ 425 $1,175 _ PROPERTY TAX $1,584.80 (Note: Tax rate is for home in ISD 622 and Battle Creek portion of the Metro Watershed.) Step 3 — Calculate Tax Based on Market Value: MARKET X TAX TAX = VALUE RATE CAPACITY $100,000 0.09768% $97.68 Ster) 4 — Calculate Total Tax TAXES BASED ON TAX CAPACITY + $1,584.80 TAXES BASED _ TOTAL ON MARKET VALUE TAX $97.68 $1,682.48 A -i ESTIMATED 1999 CITY PROPERTY TAX CHANGES TAX RATE CHANGES Tax rate on tax capacity Tax rate on market value for open space bonds Payable 1998 Local Tax Rate 20.893% 0.02521% Estimated Payable 1999 Local Tax Rate 20.982% 0.02351% Percent C hange +0.4% -6.7% PROPERTY TAX CHANGES ON HOMES Estimated Market Value * Tax Capacity Tax Increase (Decrease) Increase (Decrease) Percent $ 7000 $ 700 $ 163 $ 10 6.5% 10000 1,175 271 19 7.5% 104 ** 1 285 17 6.3% 120 1 346 18 5.5 % 140 1 422 16 3.9% 160,000 2 499 16 3.3% *The values listed for 1999 are 7.0% more than for 1998, which was the average change according to the Ramsey County Assessor's Office. **Average value home in Maplewood P: \FINANCE \WP \BUDDOC \BDGTHEAR.NOT A -4 PROPERTY TAX RELIEF The legislature provides several different types of property tax relief. The homeowner's and renter's rebates are given to taxpayers whose property taxes are disproportionate to their income. More a importantly, targeting tar etin refund is available for homeowners whose taxes increase by more than 12% from the prior year. No income limits apply to this refund. Property owners file for the refunds usin g state form Ml- PR which is sent out with state income tax instructions. The M1-PR form can also be obtained at post offices, libraries and most banks or by calling 296 -3781 (24 hours /day) or by writing to: Minnesota Tax Forms Mail Station 1421 St. Paul, MN 55146 -1421 P: \FINANCE \WP \BUDDOC \BDGTHFAR.NOT A -5 THE FOLLOWING PAGES ARE AN EXCERPT FROM THE PROPOSED 1999 BUDGET P AFINANCE \WP \BUDDOC \BDGTH EAR. NOT August 12, 1998 Honorable Mayor and Council Members: I am pleased to transmit the 1999 Proposed Budget for the City of BUDGET Maplewood for your review and approval. The document is in a format AWARD similar to the 1998 Budget which received the Award for Distinguished Budget Presentation from the Government Finance Officers Association of the United States and Canada. It is hoped that the format of this document and the information contained within it will clearly communicate the City's 1999 financial plans and provide an operations guide for all City departments. The Budget is divided into three main sections: Operations, Capital Improvements, and Debt Service. Within the Operations section, the basic focus is on 1999 performance objectives for each department and the planned expenditures to accomplish the objectives. The focus of the Capital Improvements section is the construction projects planned for 1999. The Debt Service section focus is on the scheduled bond issue principal and interest payments due in 1999. The mission statement of the City of Maplewood is "to provide high - OBJECTIVES quality and cost effective public services. " The major objectives of the 1999 AND MAJOR Budget are designed to help the City accomplish this mission. These budget INITIATIVES objectives include the following: keep the property tax increase under the inflation rate and population growth rate, decrease the net loss at the Community Center to $50,000 or less and maintain the level of services provided by all other departments. Other major objectives are listed on page 2 -1 and objectives for each department are listed in Section 3. There are not any major initiatives in the 1999 Budget. FINANCE DEPARTMENT 1 -5 612 CITY OF MAPLEWOOD 0 1 830 EAST COUNTY ROAD B MAPLEWOOD, MN 55109 The City's tax levy for 1999 is $7,427,710 which is the same as 1998. TAX LEVY This is the third consecutive year that the tax levy has been held at $7.4 FOR 1999 million! It is the result of a budget preparation process that involves close SAME AS scrutiny of proposed expenditures and a constant search for non -tax 1998 revenues . Approximately 83 % of the 1999 tax levy is for operations financed by the General Fund. Most of the remaining levy (15%) is for debt service costs on bond issues. ., The remaining 2% of the tax levy is for capital improvements. Decreases in the tax levies for debt service and capital improvement offset the increase in the levy for operations. The 1997 Legislature enacted a tax levy limitation law which is effective for taxes payable in 1999. The levy limit formula allows an increase in the tax levy for inflation, housing growth and commercial /industrial growth. Also, certain special tax levies such as debt service. are exempt from the limit. The levy limit law makes it virtually impossible for the city to expand or add services for its residents. In 1998 the City received 18.8 % of the property taxes on property within CITY the City. It is anticipated that this rate will not change significantly in RECEIVES 1999. The following indicates the allocation of property tax dollars by 18,8% OF government type: TAXES .�E "i NOTE MR ALL OEfTS � E, 10 C J61729 '^ 10 • '� \ \ a f %......��. rN was .!11 V i _ Lk V P - PV E Z.A IL ... .« 7..I -W �- ..r •.....-- •... is LEGAL Tt 0O10 P11S1IC AND vRMATL ;! J 61729445 A l j � 1 10 • i w 445A � ,' 10 LAI 6.8% 18.8% 36.7% 37.8% Other City Schools County It should be noted that the above data is for property in Maplewood that is located within School District 622. 1 -6 1998 EXPENDITURES BUDGET $ 28.9 MILLION Expenditures in the 1999 Budget are 12.7 % lower than 1998. The breakdown by section is listed in the following table: REVENUES AND EXPENDITURES BY SECTION Comparison of 1998 and 1999 Budget REVENUES EXPENDITURES Amount Change Amount Change Operations $ 23,195,455 +4.3% $ 23,397,740 + 3.6% Capital Improvemen 1 -46. 1 -38.5 Debt Service 1,401,390 -22.8 3 -51.4 Totals $26,331,945 -3.4% $28,921,370 - 12.7% The difference between total revenues and expenditures will be financed by the use of surplus fund balances and bond issues. OPERATING BUDGE This portion of the budget covers basic City services such as police, firefighting, street maintenance, recreation programs, park maintenance, planning, building inspections and utility maintenance. The expenditures for the funds within this portion of the budget are grouped by department and subdivided into divisions for each department. Budget performance is measured based on the accomplishment of the objectives, for 1999 listed for each department and by the percentage of budgeted expenditures that are spent. Operating budget revenues for 1999 are 4.3 % more than 1998. The OPERATING revenue category with the largest increase is taxes which is up $512,510 BUDGET due to an increase in the tax levy for the General Fund. Charges for service REVENUES revenues for 1999 are projected to increase by $124,535 and most of this UP 4.3% increase is for the community center. Revenues in the charges for service category include a planned increase in ambulance rates effective January 1 1999 as indicated in the following table. 1 -7 AMBULANCE RATES UP 7.0% The 1999 ambulance rates are based upon the average 1998 ambulance rates charged by other providers. The increase in rates will produce additional revenues of approximately $67,700. The increase in rates will decrease the property tax subsidy for paramedic services. Operating budget revenues for 1999 produced by utility service charges UTILITY RATES will total $3,943,890 which represents 17.0% of the total revenues. Utility UP 21.7% service charges consist of hydrant charges ($239,220), sewer service charges ($3,512,320) and recycling charges ($192,350). Current hydrant charges and recycling charge rates will be sufficient to finance the 1999 Budget. However, sewer rates will need to be increased by 25.6% to finance the 1999 Budget. The last sewer rate increase was January 1, 1998. Most of the revenues from the sewer rates finance the Metropolitan Council sewage treatment charges to Maplewood which will be 74.6 % of the operating expenses for the Sanitary Sewer Fund in 1999. The large increase in sewer rates is necessary to compensate for the reduction in revenues that began July 1, 1997. This was when the residential rates were revised from flat rates to a flow -based rate. The flat rates that had been in effect assumed that the average single - family home had an annual average of 80,000 gallons of flow. The actual annual average flow was less than this because sewer charge revenues decreased in 1997 to $2,899,484 from $3,109,310 in 1996. The revenues for 1998 are projected to decrease to $2,801,960. Sewer charge revenues needed for the 1999 Budget are $3,512,320 which is 25.6% higher than the 1998 projection. However, it is important to note that the $3,512,320 needed for 1999 is only 13 % higher than the 1996 sewer charge revenues. 1 -8 AMBULANCE RATE INCREASES Increase 1998 1999 Amount Percent Basic life support: Resident $ 285 $ 305 $ 20 7.0% Non - resident 310 330 20 6.5 Advanced life support: Resident: 555 605 50 9.0 Non - resident 615 665 50 8.1 Charge per mile 8.05 8.30 0.25 3.1 The 1999 ambulance rates are based upon the average 1998 ambulance rates charged by other providers. The increase in rates will produce additional revenues of approximately $67,700. The increase in rates will decrease the property tax subsidy for paramedic services. Operating budget revenues for 1999 produced by utility service charges UTILITY RATES will total $3,943,890 which represents 17.0% of the total revenues. Utility UP 21.7% service charges consist of hydrant charges ($239,220), sewer service charges ($3,512,320) and recycling charges ($192,350). Current hydrant charges and recycling charge rates will be sufficient to finance the 1999 Budget. However, sewer rates will need to be increased by 25.6% to finance the 1999 Budget. The last sewer rate increase was January 1, 1998. Most of the revenues from the sewer rates finance the Metropolitan Council sewage treatment charges to Maplewood which will be 74.6 % of the operating expenses for the Sanitary Sewer Fund in 1999. The large increase in sewer rates is necessary to compensate for the reduction in revenues that began July 1, 1997. This was when the residential rates were revised from flat rates to a flow -based rate. The flat rates that had been in effect assumed that the average single - family home had an annual average of 80,000 gallons of flow. The actual annual average flow was less than this because sewer charge revenues decreased in 1997 to $2,899,484 from $3,109,310 in 1996. The revenues for 1998 are projected to decrease to $2,801,960. Sewer charge revenues needed for the 1999 Budget are $3,512,320 which is 25.6% higher than the 1998 projection. However, it is important to note that the $3,512,320 needed for 1999 is only 13 % higher than the 1996 sewer charge revenues. 1 -8 The following table summarizes the proposed utility rate increases for an average home. Operating budget expenditures for 1999 are $23.4 million which is 3.6 OPERATING higher than 1998. The largest increase is for the General Government BUDGET Department which is up 8.5 %. Approximately half of the increase is due EXPENDITURES to an increase in the contingency account to provide a greater reserve for UP uncertainties in 1999 (e.g. new employee union contracts). 3.6% Population growth and commercial development requires budget increases in excess of the inflation rate in order to maintain the present level of City services. The size of population increases is directly related to the number of new housing units built. Commercial development can be monitored based on the valuation of non - residential building permits. For the past three years the amounts have been as follows: DEMAND FOR CITY SERVICES BASED ON GROWTH PROPOSED UTILITY RATE INCREASES IMPACT ON AN AVERAGE HOME NON- Quarterly Charge RESIDENTIAL GROWTH Increase 1998 1999 Amount Percent Water (hydrant $3.70 $3.70 $0 0.0% charge) Valuation of Housing Sewer service* 39.80 50.00 10.20 25.6 Recycling charge 3.60 3.60 0 0.0 Total $47.10 $57.30 $10.20 21.7% *Rate per 1,000 gals $1.99 $2.50 $0.51 25.6% Operating budget expenditures for 1999 are $23.4 million which is 3.6 OPERATING higher than 1998. The largest increase is for the General Government BUDGET Department which is up 8.5 %. Approximately half of the increase is due EXPENDITURES to an increase in the contingency account to provide a greater reserve for UP uncertainties in 1999 (e.g. new employee union contracts). 3.6% Population growth and commercial development requires budget increases in excess of the inflation rate in order to maintain the present level of City services. The size of population increases is directly related to the number of new housing units built. Commercial development can be monitored based on the valuation of non - residential building permits. For the past three years the amounts have been as follows: DEMAND FOR CITY SERVICES BASED ON GROWTH NON- RESIDENTIAL GROWTH RESIDENTIAL GROWTH New Number of Valuation of Housing New Percent Non - Residential YEAR Units Residents Population Increase Building Permits 1995 279 630 33,533 1.9% $69,334,842 1996 230 475 34 1.4% $18 1997 182 763 34,771 2.2% $35,595,000 1 -9 The average annual population increase for 1995 through 1997 was 1.8 %. If this rate of increase continues, the city's population in 1998 will be 35,397 and in 1999 will be 36,034. + 1 FULL -TIME EMPLOYEES The number of full -time employees included in the 1999 Budget is 145. This is an increase of one position. The change in budgeted positions by department is as follows: - 1 Fire Department - The full -time secretary position has been changed to part-time. + 1 General Government Department - Eliminate the deputy city clerk position, add secretary and clerk typist positions. 55% OF OPERATING BUDGET IN GENERAL FUND + 1 Public Works Department - Add street maintenance position. The staffing changes in the Fire Department and General Government Department (City Clerk Administration Division) were made early in 1.998 after the City Council approval of 1998 Budget changes. The additional street maintenance position in the Public Works Department is proposed due to a 10 % increase in street mileage. The increase is primarily due to the transfer of streets from Ramsey County to the City as a part of the re- jurisdiction program that we agreed to. All of the turn -back mileage is eligible for additional state aid of approximately $52,000. This additional aid will pay for the cost of the additional street maintenance position. Approximately 55 % of the Operating Budget is accounted for in the City's General Fund. Revenues projected for 1999 will be 5.0 % higher than the 1998 Budget. Expenditures will be 4.1 % higher in 1999 than the 1998 Budget. The 1999 Budget for the General Fund is a deficit budget as 1999 expenditures exceed revenues by $190,300. Transfers to other funds will increase this deficit to $563,295. The deficit will be financed by using part of the surplus fund balance. It has been common for the past several years to have a General Fund deficit budget. Despite this practice the fund balance in the General Fund has increased and has been maintained at an appropriate level. This is because it is city budget policy to make conservative revenue estimates and liberal expenditure estimates. Consequently, the General Fund ending balance is usually much higher than budgeted and provides a resource for financing the deficit in the annual budget. 1 -10 The 5.0% increase in General Fund revenues amounts to $606,710. The GENERAL FUND largest increase is in property taxes which is up $488,080. In 1999 REVENUES property taxes will be 48.1 % of total revenues for the General Fund. This UP 5% is a small increase from 1998 when property taxes were 46.4% of the revenues. Department expenditure requests for the General Fund were 4.8 % higher GENERAL FUND than the on final 1998 Budget. The 1999 Budget includes recommended g g g PER CAPITA expenditures that are 4.1 % higher than the 1998 Budget. On a per capita p g g p p EXPENDITURES UP 2.3 °0 basis p Y General Fund expenditures will increase b 2.3 % as indicated in the followin g table: Actual per capita expenditures for 1998 and 1999 may be significantly different than the budget amounts as population changes are difficult to estimate and expenditures are usually less than the budget. An analysis of the General Fund cash flow for 1996 and 1997 indicated that GENERAL FUND the 1 -1 -98 fund balance should be between 24.6% and 28.1% of the BALANCE revenues to finance cash flow needs. The fund balance also needs to be WILL BE large enough to finance unexpected expenditures that are in excess of the 36.1 % OF General Fund contingency account. Therefore, the budgeted 12 -31 -99 fund BUDGET balance has been set at 36.1 % of the 1999 budgeted revenues. This should provide a sufficient balance to cover cash flow needs and unexpected expenditures. Also, it is the same level that it was at in October, 1989 when the city's bond rating by Moody's Investors Services was increased to Aa. The budgeted 12 -31 -98 fund balance was 34.6% of the 1998 budgeted revenues. 1 -11 GENERAL FUND EXPENDITURES 1996 1997 1998 1999 ACTUAL A CTUAL BUDGET BUDGET Expenditures $11,234,246 $11,492,732 $12,436,450 $12,942,070 Population 34,008 34 35,397 36,034 Per capita expenditures for General Fund $330 $331 $351 $359 PERCENT CHANGES: Percent change in expenditures 9.0% 2.3% 8.2% 4.1% Percent change in population 3.4% 2.2% 1.8% 1.8% Per capita expenditures percent change 5.6% 0.1% 6.4% 2.3% Actual per capita expenditures for 1998 and 1999 may be significantly different than the budget amounts as population changes are difficult to estimate and expenditures are usually less than the budget. An analysis of the General Fund cash flow for 1996 and 1997 indicated that GENERAL FUND the 1 -1 -98 fund balance should be between 24.6% and 28.1% of the BALANCE revenues to finance cash flow needs. The fund balance also needs to be WILL BE large enough to finance unexpected expenditures that are in excess of the 36.1 % OF General Fund contingency account. Therefore, the budgeted 12 -31 -99 fund BUDGET balance has been set at 36.1 % of the 1999 budgeted revenues. This should provide a sufficient balance to cover cash flow needs and unexpected expenditures. Also, it is the same level that it was at in October, 1989 when the city's bond rating by Moody's Investors Services was increased to Aa. The budgeted 12 -31 -98 fund balance was 34.6% of the 1998 budgeted revenues. 1 -11 CAPITAL IMPROVEMENTS BUDGET This portion of the budget covers the acquisition and construction of major facilities other than those financed by the Operating Budget. The revenues and expenditures within the Capital Improvements Budget are grouped by fund. The money within each fund is restricted for major equipment purchases and construction projects costing in excess of $50,000. All other capital outlay is financed within the Operating Budget. The 1999 Budget implements the first year of the 1999 -2003 Capital Improvement Plan adopted by the City Council on 5-21-98. This five -year lan is updated P p annually through a comprehensive capital needs planning process. Revenues for 1999 in the Capital Improvements Budget are $1,481,370 and CAPITAL 46.1 %less than 1998. This decrease is caused primarily by a decrease in IMPROVEMENTS state street construction aid to finance improvement projects. Major REVENUES revenue sources for the 1999 Capital Improvement Budget are tax increment DOWN 46.1 % revenue ($754,910) and street construction state aid ($750,000). The largest Capital Improvement Budget expenditures planned for 1999 CAPITAL include public improvement projects ($950,000), park development IMPROVEMENTS ($350,000), and the continuance of the street overlay and sealcoating EXPENDITURES program ($100,000). The impact of these items on operating costs will not DOWN be significant. Total 1999 expenditures are $1,223,810 and 38.5% less than 38.5% 1998. DEBT SERVICE BUDGET This portion of the budget covers the payment of principal and interest on DEBT the City's bonded indebtedness. Each bond issue has a separate debt service SERVICE sinking fund. REVENUES DOWN 22.8% Revenues for 1999 are 22.8 % less than 1998 primaril y due to. a decrease in property taxes. Major revenue sources, as in past years, are property taxes ($1,070,730), special assessments ($195,380), and interest on investments ($135,280). Expenditures for 1999 are 51.4% less than 1998. The large decrease is DEBT partly caused by less prepayments on bonds being refinanced at a lower SERVICE interest rate. If prepayments were not included in the budget, debt service EXPENDITURES expenditures would be 31.3 % less in 1999 than 1998. This decrease is due DOWN 51.4% to lower scheduled principal and interest payments. The anticipated new W) debt issue for 1999 is $432,600 and consists of a bond issue for public works improvements and public safety equipment. Due to the small size, this bond issue may be delayed until the year 2000 when additional bonds will be issued. At the end of 1999, general long -term net debt payable will be $23,877,600 which is 3.3 % less than projected for the end of 1998. Operating Budget increases in the future will continue to exceed the FUTURE inflation rate because of population growth and increases in commercial GROWTH development. The City has experienced slow steady population growth since WILL IMPACT 1980. Average annual population increases between 1980 and 1990 were OPERATING 1.5 %. The City's latest population estimate is 34,771 for 1997 according BUDGET to the Metropolitan Council. This represents a 2.2% increase over 1996. It is anticipated that population growth may continue at an annual rate 1.8 in 1998 and 1999. In 1997 the City issued building permits with a total valuation of $58.4 million. In 1996 the City issued building permits with a total valuation of $46.4 million. Permit values over the last 10 years have ranged from $38.8 million to $94.6 million. Based on projections in the 1999 -2003 Capital Improvement Plan, the CAPITAL Capital Budget will range from $1.6 million to $6.6 million in 2000 -2003. IMPROVEMENT Major factors affecting the capital budgets will be (a) the referendum for EXPENDITURES replacement of the Gladstone Fire Station in 1999, (b) the number of public WILL improvement projects that are approved for construction and the DEPEND ON referendum in 1999 for park improvements. Bond issues and capital notes REFERENDUMS to finance the 1999 -2003 Capital Improvement Plan total $9,480,820. Conserving the financial resources of the City continues to be important. CONCLUSION The budgeting function is the prime tool you have to make sure the City's limited resources are wisely utilized and to establish department objectives for the coming year. We continue with the objectives of making Maplewood an affordable place to live while providing the services that make it a good place to live. The Council's cooperative effort in the review and adoption of the 1998 Budget will be greatly appreciated. I would also like to express my appreciation to all City personnel who assisted in the preparation of the 1998 Budget. Michael A. McGuire City Manager 1 -13