HomeMy WebLinkAbout2014 04-28 City Council Workshop PacketAGENDA
MAPLEWOOD CITY COUNCIL
MANAGER WORKSHOP
5:00 P.M. Monday, April 28, 2014
City Hall, Council Chambers
A. CALL TO ORDER
B. ROLL CALL
C. APPROVAL OF AGENDA
D. UNFINISHED BUSINESS
1. Commission & Board Interviews
a. Human Rights Commission
2. Council Roles in Emergency Management
3. MCC Discussion
E. NEW BUSINESS
None
F. ADJOURNMENT
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MEMORANDUM
TO: Chuck Ahl, City Manager
FROM: Lois Knutson, Senior Administrative Assistant
DATE: April 21, 2014
SUBJECT: Commission and Board Interviews
a. Human Rights Commission
Introduction
The City Council will be conducting interviews of candidates for two openings on the Human
Rights Commission. These openings are due to terms expiring and resignations.
Budget Impact
None.
Recommendation
Staff recommends that the Council interview the candidates as indicated in the schedule below.
The suggested questions will be submitted under separate cover to the Council. During the
interview process, Council Members should fill out their ballots. Once the Interviews have
concluded, Council Members should submit their ballots to staff, which will be tallied with the
results brought back to the Council during the following regular meeting with recommendations
for appointments.
Time Candidate
5:00 Elizabeth “Marie” Garza
5:15 Annastacia Belladonna-Carrera
Attachments
Candidate Applications in order of interview schedule
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MEMORANDUM
TO: Charles Ahl, City Manager
FROM: Steve Lukin, Fire Chief
DATE: April 22, 2014
SUBJECT: Council Roles in Emergency Management
Introduction
A presentation to the city council regarding roles and responsibilities before, during and after a
disaster occurs in the city of Maplewood. Also, an update regarding the emergency
management training we received in our countywide training in Emmitsburg, Maryland.
Budget Impact
None
Recommendation
No action is required.
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MEMORANDUM
TO: Charles Ahl, City Manager
FROM: DuWayne Konewko, Parks and Recreation Director
DATE: April 22, 2014
SUBJECT: MCC Discussion
Introduction
The MCC is at a tipping point, and as a result staff is exploring creative and collaborative
solutions to several long-term existing challenges. Currently, the largest obstacles facing the
MCC are the facility’s operating budget, physical limitations of the building itself, and the lack of
clear and purposeful direction. With this in mind, staff will be discussing with council some of
the challenges we are facing at the MCC and ideas for addressing these challenges. Staff is
looking for direction from council regarding these items. We are looking at incorporating some
changes to operations. The vast majority of these changes are aimed at increasing revenue at
the MCC.
Building
The Asset Management Plan for the MCC that council authorized is complete. The plan
prioritizes future repair and maintenance issues and provides up-to-date cost information for
budgeting purposes. The results from the plan assigned the MCC a .24 Facility Condition Index
(FCI) value. The FCI is an industry standard metric that objectively measures the current
condition of a facility. The FCI is the percent of investment (compared to the cost of replacing
the facility in its entirety) that it will take to repair the facility to a like new condition. The FCI
allows you to quickly compare the condition of assets against an industry wide standard.
If a structure has a FCI of .50 or higher the owner may want to consider the option of a new
facility since the cost to correct deficiencies over the next five years is half the cost of the
current structure. The current replacement value of the MCC is approximately $22 million. The
Asset Management Plan identifies $5.2 million dollars of repairs over the next five years which
results in a .24 FCI value. Measured using an industry standard scale, .24 is considered fair.
Zero to .05 is excellent, .05 to .10 is considered good, and .10 to .5 is fair. In addition to the
$5.2 million for repairs over the next five years, the plan calls out for spending an additional $10
- $12 million dollars over the next five to ten years using an inflation index of 2.5%. In total, we
are looking at a figure of somewhere between $15 and $17 million over the course of the next
10 years according to the results of the plan. Staff has included these repairs in the 2015 –
2019 Capital Improvement Plan (C.I.P.) submittal.
In addition, the interior of the MCC facility has become outdated and aesthetically is showing
signs of wear and tear. The building is tired. We are being outpaced by our competition in both
building form and function. We need to create a facility that is inviting to our current and future
members, customers, and clients. Staff has identified approximately $950k of improvements
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that will create additional program space as well as providing a “facelift” to the interior of the
facility.
Council, this is a lot of money and at this point we have not identified a funding source for these
improvements and enhancements. If it is council’s desire to move forward with these necessary
updates, other city council priorities will obviously be impacted. Staff continues to work on
developing a sustainable financing plan for the MCC. However, it is likely that prioritizing
improvements at the MCC will take needed funding from other priorities in the City. Staff would
propose to do this work in phases; specifically, in three five year phases over the next fifteen
years. While the phasing may reduce the immediate impact on financing, it also could impact or
delay other priorities within City. The staff will be working to provide details on the choices and
priorities for the Council during 2014.
Operating Budget
Historically the MCC has struggled to reach its monetary goals and maintain a sustainable
budget. However, some progress towards stabilization has been made in recent years and
current operating losses have been averaging $350k – $375k per year. Staff continues to work
towards an operating loss target of $325k - $350k per year.
However, the MCC is currently at physical capacity. While we routinely lack the space required
to simultaneously run the programming and fitness classes needed to serve our varying
demographic groups, our existing space also does not allow room for the development of
additional amenities. The facility amenities that we do offer (locker rooms, group fitness
equipment, common areas, etc.) are quickly becoming outdated and are in need of repair and
refreshment.
Despite these challenges and a renewed effort to create a sustainable business model, staff is
taking aggressive steps to eliminate facility debt by 2018. This will begin with a commitment to
increase revenue and maintain expenditures. To do this, the MCC must grow its membership
base, enhance the level of customer service to existing members, and diversify our program
offerings outside of our traditional service lines.
For example, MCC staff will be exploring new ways to connect with our business community. To
this end we will be hiring, on a trial basis, a corporate services salesperson. This team member
will work approximately 24 hours a week and have a commission-based salary. We will
continue to offer meeting and event rental space and corporate memberships. In addition to our
current offerings, we will be marketing a new line of corporate wellness services, including
customized fitness plans, on-site exercise classes, and fitness assessments. We want the MCC
to be synonymous with, and serve as a resource for, a healthy community.
Staff is also proposing to conduct an operational audit of the facility aimed at improving
efficiencies, identifying areas for improvement regarding our services and programs, and
providing City Council with an unbiased assessment of the MCC facility. Staff will be bringing
this item to council for approval at the first council meeting in May. Coupled with the recently
completed Asset Management Plan, the operational audit will provide council with very useful
information on the operational side. Staff wants to ensure that council has all the necessary
information regarding the MCC for your review and subsequent discussion.
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Purpose
The MCC has historically positioned itself as a family-friendly facility. However, for the first time
over 50% of our membership base is actively aging adults. The needs of these two
demographics - families and seniors - often compete for the same spaces. While staff is
hopeful we can serve both demographics, we also understand that families are looking for
amenities we currently are lacking. This includes an exclusive play area for kids and program
opportunities for younger families.
In addition, families present potential untapped revenue opportunities. One example of this is
birthday parties. In the past two years our birthday party revenue has increased significantly
from $24K in 2012 to $40K in 2013. Staff expects this to increase slightly again in 2014.
However, we are at capacity with regard to available space for these parties. With additional
resources and amenities designed for families, this number could increase substantially. For
example, the New Brighton and Shoreview Community Centers have both demonstrated
notable success in generating additional revenue from dedicated play structures, expanded
party room access, and an overall commitment to child and family-based programming.
The City needs to determine who our target audience is and what we need to do to better serve
them. Again, staff is not convinced that we can serve all demographics effectively and
efficiently, however, this will require additional resources to serve both groups. While it would
be easier to emphasize one group over the other and then dedicate the limited resources to that
group; we believe may be a difficult and political decision, rather than a staff determination.
Two key questions will require additional discussion over the next six to nine months:
1) Who do we serve?
2) What is the purpose of the MCC moving forward?
The MCC has been and continues to be a mainstay in providing recreational opportunities for
residents and non-residents alike for the past twenty-years. The MCC also serves as a public
gathering space for the community.
Budget Impact
As discussed previously in this staff report, council needs to understand that this requires
spending additional resources over the course of the next fifteen years that likely will have an
impact on other program areas and departments and may require council to reprioritize it’s
goals.
Recommendation
This MCC Strategic Plan presentation is informational only, and no formal action is requested.
Staff anticipates that additional discussions with council will be necessary to address these
challenges and identify future funding sources for these repairs and updates.
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