4.1. SR 09-15-1997~.ty of
iver
MEMORANDUM
Item #4.1.
TO:
FROM:
DATE:
SUBJECT:
Mayor and City Council
Patrick Klaers, City Administrator
September 15, 1997 ~
Community Recreation Board Update
The City of Elk River is a member of the Community Recreation
organization. Councilmember Roger Holmgren is our city representative on
the Board and JeffAsfahl is the Community Recreation Director. This
organization and Jeff are in charge of the city recreation programs.
The Community Recreation Board meets at least monthly. The Board is
scheduled to meet on September 15, 1997. Attached for your review is the
meeting agenda and relevant background material. Either Jeff or Roger will
be able to update the City Council on recent Community Recreation activities
at our September 15th meeting.
s:\council\comrecud.doc
13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 · TDD & Phone: (612) 441-7420 · Fax: (612) 441-7425
Community Recreation Board
Notice of Meeting
Monday September 15, 1997 - 11:45 am
LaRose's Pizza - Elk River
* Your attendance is always important! If you cannot make the meeting please arrange to send an
altemate or notify me at 241-3523 that you will not be in attendance. Thank you!
AGENDA
A. Routine Matters:
1 .) Approval of meeting minutes fr: 8/18/97
2.) Changes or additions to the agenda
3.) Staff reports & updates:
3.A) Youth Initiatives
3.B) 1997 Fall Program Updates
3.C) Insurance Update
3.D) Special meeting notification protocol
B. Items of Information / Discussion:
1.) Discuss: Otsego concem
2.) Consider: payroll administration change
3.) Review: program fee data
4.) Review: fiscal agent budget coding improvements in progress
Agenda Item Information;
1 .) Otsego Concern: Please find enclosed Otsego's notification memo and related information that followed from the Star
News. I was in attendance at the Otsego Park and Recreation Commission meeting on Tuesday September 9, 1997
where they met with City Council related to the Council's action. They have requested that Mark Beming discuss
considerations with the Recreation Board to minimize the cost of their communities participation.
2. Consider payroll administration change: Currently the city of Otsego is the payroll agent for our Program Specialist and
Secretarial position. If Otsego does not continue with their partnership with us, we will need to make other arrangements.
3. Review: Program fee d~te,; At the August meeting, Roger Holmgren requested a report on program fees. J. Asfahl will
be prepared to review information related to program fees that we administer as part of the various recreation programs
throughout the communities.
4, Review: Fiscal agent budget coding impr(~vement,~' At our July 9, 1997 meeting discussion took place about difficulty
in understanding the budget coding system, lSD 728 is our program fiScal agent. They are held to certain coding
;tdctions that is not necessarily suited for our actual needs. I have worked closely with the lSD 728 accounts manager
To improve our coding system. I will review the changes/improvements.
COMMUNITY RECREATION BOARD
Minutes Fr: 8/18/97
Attendance: Staff: J. Asfahl- Comm. Rec., Community Representatives: Doug Thompson - Hassan, G. Eitel - City of
.~togers, M. Berning - City of Otsego, R. Holmgren - City of Elk River, J. Gongoll- lSD 728, Jason Osgard - City of Dayton,
Roy Johnson - Livonia, Pat Klaers - City of Elk River
Community Representatives absent: None
- The meeting was called to order at 12:00 by Roger Holmgren.
A. Routine matters:
1 .) Approval of past minutes: On a motion by J. Gongoll, seconded by Roy Johnson, the minutes from July 9, 1997 &
June 16, 1997 were approved. Motion carried.
2.) Agenda changes/additions: None
3.) Staff Reports: JA reviewed the staff reports as presented with the agenda packets. We have had a very busy
summer. Participation was very good.
B. Items of Information ! Discussion:
B.1) Budget Committee reoort: Gary Eitel presented the budget committees' 1998 budget considerations. Gary reviewed
the various revenue generating concepts that were considered and that each 1998 wage determination was the result of
recent review and study of each positions responsibility and market competitiveness. Each community population was
also updated according to the most recent demographic data available.
(The 1998 budget and related data is attached to these minutes.)
i'he 1998 proposed budget of 119,810 Expendtures & 15,810 Revenue requiring an assessment of $104,000 to be
shared on a per capita basis of $4.35 by each member community.
The meeting adjourned on a motion by J. Gongoll, seconded by Gary Eitel. Motion Carried.
Next regular meeting: Monday September 15, 1997.
Respectfully Submitted,
9/1 O/97
Community Recreation Board
J. Asfahl - Staff Report for 9/15/97
programming: Fall program registration began Sept. 6th. The fall brochure featured a new cover design that includes all
program Iogos. (CE, ECFE and Com. Rec.) We have already begun planning for Winter activities. Our next brochure will
be delivered on October 22. That brochure will cover activities for November and December. The brochure after that will
be delivered December 31.
I will have brochures available at our 9/15/97 meeting for your reviewal.
Miscellaneous Updates:
- Youth Initiatives: The "Youth Initiatives" process continues. We have been meeting regularly since July of 1996. We are
considering hosting another large community meeting similar to the July 1996 meeting. It is our hope that a meeting such
as this may breathe some fresh air to the process and spreads our network of support and ideas.
Continuing to work closely with the Arena Manager on a variety of program developments and program needs.
- Assisting The Elk River Park Commission with their continued efforts associated with a September park improvement
bond referendum.
- Continually working to address the need for increased opportunities for youth. Along with CE staff, we are planning to
submit a grant to increase opportunities for youth. This grant was wdtten by Pam Black from the CE staff. I will have
copies of the grant at our 9/15 meeting.
- Working with the lSD accounts manager to develop a more efficient budget coding system for our program
responsibilities.
- Beginning policy determinations with the Elk River Park Commission related to the opening of the Youth Athletic Sports
;omplex in the Spring of '98.
- First time participation in Rogers Old Tyme days and Heritage Festival celebrations.
- The 2001 committee will be hosting a m Fall Conference" Enriching our Communities: The Power of the Arts." Copy
enclosed.
- Working with the Nordic ski club to co-sponsor the First Annual, Woodlands Loppet - Nordic Ski Race. This event Will
take place this coming January 11, 1998.
- Have offered input to lSD 728 and the city of Elk River with the need to develop additional soccer fields related to the
loss due to the ALC project.
8899 Nashua Avenue N.E.
Elk River, MN 55330
~~ T~~~ ~ oITY OF
ON THE GREAT RIVER ROAD
(612) 441-4414
Fax: (612) 441-8823
August 27, 1997
Mr. JeffAsfahl, Coordinator
Community Recreation Board
1230 School Street NW
Elk River, Minnesota 55330
RE: COMMUNITY RECREATION BOARD
Dear Jeff.'
This letter is to inform you that at the Council Meeting of August 26, 1997, the Otsego
Council motioned to drop out of the above Community Recreation Program. (The vote
was 4 to 1 for this motion). It was noted that they realize Otsego would remain with the
board for a six month period following the date of this letter as required by our Joint
Powers Agreement.
A list of concerns of Otsego's Council will be brou~t forth by Council Member Mark
Berning at the next Community Recreation Board Meeting.
The Council noted they liked the programs for children, but Otsego% amount for
Community Recreation has doubled since 1994. Livonia Township and Zimmerman are
no longer participating. The budget for 1998 Community Recreation Board has
increased 6% and our city is under a levy limit for 1998 and 1999. Otsego% resident
participation in Community Recreation has declined and Otsego's Comunity Recreation
Budget has increased. It was also noted that the "user pay" system is preferred.
Jeff, Otsego Mayor, Council and Staff wish to thank you and your staff for your support
and hard work.
Sincerely,
City Clerk/Zoning Administrator
eb
Otsego drops recreation program
by Charmaine Barranco gram last year.
Staff writer
After seeing the city's
Community Recreation cost
more than double from 1994 to
1998, Otsego council members
voted 4-1 to drop out of the
program.
Upon learning Otsego's deci-
sion last Wednesday, Program
Coordinator Jeff Asfahl said,
"I'm stunned. We provide qual-
ity programs for kids and
we've never gotten any com-
plaints from the people who
participate in our programs."
Community Recreation,
based out of Elk River, pro-
vides area youth with orga-
nized activities such as soccer,
baseball, hockey, wrestling
and tennis.
But the quality of the pro-
gram is not the problem, said
council members. It's the cost.
"And if they bring the cost
down, we'll reconsider it," said
Mayor Larry Fournier.
Council Member Virginia
Wendel, who added the discus-
sion of Community Recreation
to the city's Aug. 26 agenda
Tm stunned. We
provide quality pro-
grams for kids and
'we've never gotten
any complaints
from the people
who participate in
our programs.'
Jeff Asfahl
that night, said Otsego is sim-
ply paying 'too much for the
service.
"This year we have to pay
them $23,000 and we only
have 610 people from Otsego
participating," Wendel said.
"That's a lot of money right
now and I'm just wondering if
it's really necessary or if we
can do something on our own
for less money."
Wendel noted that Zim-
merman and Livonia Town-
ship dropped out of the pro-
"Then they raised our rate
from $3.73 to $4.35," Wendel
said. "Non-residents pay $9.30
and if you break it down we're
paying about $38 per resident
for 610 people."
After a moment of silence,
Fournier said, "Well, in 1994
our contribution was~a little
over $11,000. Now it's doubled
three years later. It is getting
expensive. Maybe that money
would be more appropriately
given to our parks board if
there is such a need."
Wendel also questioned the
program coordinator's (Jeff
Asfahl) $45,390 yearly salary.
"And the city is paying the
PERA, insurance and work-
man's compensation," Wendel
said. "I think this is terribly
expensive for what we're get-
ting out of it."
Council Member Mark
Berning, who is the city's
Community Recreation repre-
sentative, said, "From what
they proposed in 1997 to what
they're proposing in 1998, I
believe it's a 6.2 percent
Recreation board unaware
of city's financial concerns
by Don Heinzman
Editor
Community Recreation Board Chair Roger Holmgren
said his board had no idea Otsego was concerned over the
costs of the program.
He met Tuesday with program director Jeff Asfahl to
map out ways to keep Otsego in the regional recreational
program.
· Holmgren said he had no correspondence from the city of
Otsego regarding their continuing with the program.
"If they are concerned about making some adjustments
on the way they are being assessed, we can deal with
that," Holmgren said.
Otsego Mayor Larry Fournier told the Elk River Star
News that the action was taken to get the Community
Recreation Board's attention.
He said the costs are too high, but he added, "I think ~ve
Holmgren continued to page 8
increase and their justifica-
tion was that cities' tax levies
go.up about 5 percent a year.
"Hold it," Fournier said. "We
have levy limits for the next
two years."
Berning said, "But your val-
uations of your properties go
up about that. The reason for
Recreation to page 8
8 / Elk River Star News / Wednesday, September 3, 1997
Recreation.
Continued from page 1
the rate jump from $3.73 to
$4.35 is because Zimmerman
and Livonia
backed out."
Council
Member Vern
Heidner said,
"But ffthere's
people back-
lng out, you
would think
there would
be less work
Jeff Asfahl
for the people there to do. So'
you should get a percentage
drop.
'"there was a 12 percent drop
in overall participation, yet
there was a 6 percent
increase," Heidner continued.
"So, there's an 18 percent dif-
ference. There's fewer people
being served, yet they're rais-
ing the rates."
Wendel then made a motion
to drop out of the program.
Council Member Suzanne
Ackerman seconded.
Heidner commented that
under the joint powers agree-
ment, Otsego's tie to the pro-
gram would be officially sev-
ered only after a six-month
notification period had
elapsed.
"If you look at the $23,000
that they want us to pay, I
don't think we could do it any
cheaper," Heidner said. "But
at the same time only 14 per-
cent of the participants in the
program were from Otsego.
But we're paying 18 percent or
22 percent of the total bill."
Berning, who was the only
council member to vote
against dropping out of the
program, said Elk River pays
58 percent.
Heidner replied, "What it
boils down to is Elk River and
Otsego pay more than what
their residents are using.
Only 10 percent of our people
are using it. Last year 800
eople used it and it cost us
18,000. Now 610 people use
it and it's costing us $23,000.'
Fournier said, "If we drop
out our residents can still 12ar-
ticipate in the activities, they
would pay a higher fee
though, but on the average it's
about $9.. What I like about
that is that the users are pay-
lng for the privilege to be in
those programs rather than
everyone paying. I support
Otsego Parks and Recreation
will discuss recreation program
The Otsego City Council will meet with the Otsego Parks
and Recreation Board to discuss Community Recreation at
7 p.m. Sept. 9 at the Otsego City Hall.
Otsego sent a letter to Community Recreation last week
stating that it was dropping out of the program due to the
cost.
users paying for things."
Berning said as the repre-
sentative to the group 'he
wanted the council's concerns
written down so that he could
· present them to the
Community Recreation board.
'That's what Hassan
ownship d~d, Bermng smd.
rom the ~ndications I get
they are going to stay in. And
you might reconsider your
decision to drop out. You've got
six months to think about it."
Heidner said, 'qVIy problem is
that the per capita costs
should be going down and the
fees that the people pay
should go up. I have no prob-
lem that we should still stay
part. of it, if we can stay in at a
lower rate and raise the prices
more. I'm also a firm believer
in the user pays principle."
Berning said the communi-
ties pay for the administration
fees associated with the' activ-
ities. Participants pay for the
cost of the activity for which
they register.
Wendel withdrew her
motion. She then made a
motion to send a letter to
Community Recreation stat-
lng the council's intent to drop
out of the program because of
the high cost and to request a
reduced rate. Ackerman .sec-
onded.
"Whatever we do, if we are
thinking about it, we should
notify them right away
because that preserves some
of our rights so that we don't
have to pay for another whole
year," Heidner said. ~The orig-
inal motion was more appro-
priate.'
SO Wendel withdrew her sec-
ond motion and restated her
first motion to drop out, which
passed 4-1.
Council members then unan-
imously voted to submit their
concerns to the Community
Recreation Board.
~The board makes the deci-
sions on the costs," Asfahl
said. "Otsego'obviously didn't
get any community input
when they made this decision.
The people in the community
are the ones that benefit and
we get good marks from them.
"As. far as the exact number
of Otsego residents who are
using the service is concerned,
we're not investigators," he
said. "We don't know for sure.
Many. Otsego residents have
Elk River addresses. SO, it's
hard to tell. There could be
many more Otsego residents
using the program than the
council thinks."
Holm en,
Continue'~ from page 1
will stay in it. We have to
look at it."
Holmgren
said, "We
want to keep
them in the
program but
ff they decide
in six
months they
don't want to
be in the pro- Holmgren
gram, the
Recreation Board will look at
· charging surcharges to com-
munities who are not mem-
bers of the Community
Recreation system."
The board will have this
matter on the agenda.
Otsego's decision is impor-
tant because Zimmerman
and Livonia have dropped
out of the program.
Hassan Township has
indicated it wants to drop out
after six months.
This leaves only Rogers,
Dayton and Elk River.
Despite Zimmerman and
Livonia's decision to leave,
the total number of young
people registering, is grow-
Zimmerman sponsored its
own recreation program,
spending $13,250 this year,
compared to the $7,038 it
would have been charged had
it been a member of the
Community Rec. Board.
Zimmerman said it had
lower fees and offered 11
more programs this summer
than were offered last sum-
mer by Community
Recreatiom
Zimmerman had 496 par-
ticipants in its summer pro-
The need for the recreation
programs is not going away,
said Holrngren. The funding
mechanism' may change,
meaning people not in the
program will have to pay
more to use it.
Otsego City Council should reconsider its decision
We hope the decision by the
Otsego City Council to drop out
of the Community Recreation
program will be reconsidered.
Otsego Mayor Larry Fournier
said he believes an agreement
can be reached where the city
can continue to participate.
The decision was placed on the
agenda, discussed and voted on
with no notice to the public and
to the Community Recreation
Board. No recommendation was
sought from the community's
Park and Recreation
Commission.
Fournier said the action was
taken to send the Community
Recreation Board a message
that the costs are going up too
fast.
If that was the council's inten-
tion, it has gotten the attention.
Fournier said the council is
willing to schedule a meeting
with the Community Recreation
Board and discuss the matter.
He realizes the program is
good for the residents of Otsego,
but he questions at what cost.
This dropping from the pro-
gram because of a belief that it
was too expensive for benefits
received started with the City of
Zimmerman, followed by neigh-
boring Livonia Township.
The Township of Hassan also
has served notice it intends to
drop out of the program after
this year.
This would leave only the City
of Rogers, the City of Elk River
and the City of Dayton in the
program.
Unless Otsego can be persuad-
ed to stay in the program, it will
dissolve. Elk River will have to
run its own program and charge
higher fees to kids outside the
city who want to participate.
Charging extra could hurt indi-
viduals in the cemmunities who
do not even know all of this is
going on behind the scenes.
Otsego's action was unexpect-
ed, triggered by costs that have
gone up from $11,000 to $23,000
in three years, partly because
Zimmerman and Livonia
dropped out.
Roger Holmgren, chair of the
Community Recreation Board,
said the issues concerning
Otsego were never brought up
before the board, which meets
monthly.
Even Mark Berning, the
Otsego council representative
on the board, who is known to be
a cost-cutter, sees the need for
the programs. To his credit, he
voted to retain the program.
There was no clamor from the
public to cut out of the
Community Recreation
Program. In fact, we're led to
believe the public likes the pro-
gram. ·
Otsego has a good council. It
faces a host of tough decisions.
We concur with Mayor Fournier
that a meeting should be called
and that ways be found to keep
Otsego in a program that is good
for its citizens, particularly its
young people. - Don
Heinzman
.~ As',a Valued leader in our community, you are' cordially inVited .tO th~
~ENRICHING OUR. COMMUNI,T. IE$:.
.The Power ..of the Al'ts"
Please join us ,
Saturday, September }I7, 1997
' in the beautiful woodland setting of Camp Elk River
Gray Koch Program. Building (newly 6onstructed)
Elk River, 'Minnesota ..
Research shows that the' arts are a significant dnwng.force .in successful,
developing Cominunities. The arts stimulate economic.well being,
provide community conn.'eclion, and are important ~o the healthy
development of families and individuals:
8:00 fi.m~ Registration '
8:30 a.m.
Keynote spealc~r, john M6ndale
'Performance -"The Arts are a River"-
Panel of communities known for their
' ' success through the arts: " .
' ': - Mary Altman, Director of Minnesota Rt~ral Aris Initiative,'.
, " .' . COMPAS. John Davis, Founder & Executive Director,
~ New York Mills Regional Cultural Center, Sonja Peterson;
.. EXecutive Director,,I~dce Region Arts Council, Fergus Falls, '
Paul Steinman, Director of Econoraic Development, Elk River.
i2:30 p.m. Lunch (catered byOlde Main Eatery) ' ~
Grdup reflection: dreams-visions-actions
Cost is $,i5 "
R.S.V,P. By.september 19th 241-3520
Call District 728 Community Education Office or marl the enclosed reply card.
"Art captures'the eye rind. lifts the ~spirit. Art 'takes us out bf the realm of the
ordinary, stimulates our imagination, streiches our minds, and changes
the way we see the world: Art speaks to our humanity
and cherishes the. sounds of our souls." .,
.- -Joan ~dams Mondale