10. PRSR of Item #: 10
Lyl' 1 MEMORANDUM
River
13065 Orono Parkway TO: Park and Recreation Commission
Elk River,MN 55330 �
FROM: Michele McPhers )Director of Planning
DATE: November 13, 2002
SUBJECT: Informational/Update Items for November
13, 2002 Meeting
B. Park/Trail Developments
1. Park Dedication Fund Balance
The balance as of month end was $799,514.39.
2. River City Snow Riders Newsletter
3. Article: "Soccer Dad Cites a Wrong"
4. October 28, 2002 Budget Memo from City Administrator
5. October 28, 2002 Memo from City Administrator re:Boys 6- Girls Club
Phone: 763.441.7420
Fax:763.441.7425
wwwci.elk-river.mans
BALANCE SHEET
OCTOBER 31, 2002 Date: 11/05/02
Time: 4:25pm
CITY OF ELK RIVER Page: 1
As of: 10/31/02 Balance
f Type: SR SPECIAL REVENUE
Fund: 225 PARK DEDICATION
Assets
CURRENT ASSETS
1010 Cash 799,514.39
1012 Fair Value-Investments 439.00
1380 Interest Receivable 8,401.00
CURRENT ASSETS 808,354.39
Total Assets 808,354.39
Reserves/Balances
FUND EQUITY
2400 Fund Balance 840,287.39
2600 Change In Fund Balance -31,933.00
FUND EQUITY 808,354.39
Total Reserves/Balances 808,354.39
Total Liabilities & Balances 808,354.39
0 M
rn
0 a
cm N V a V O O O a'n >.tr,C 0 N Z � Z N N N N w d `�..
LU
' � � I C.> ' E Eba m •si
O N O a ea O L H L E .Ea E
ct
.p..
�� C M m c m co O i T�.U r,Y
d O ^ 3 } ^ a 0 E w o w _
o ° o � a o � � I— mooaz €�
0 0 0 a- 0 v) Zoo m p
a .o N: �N''i
a _o o _0 I— 'm In
I— V F- v (a UJ 0a FL •0
L m ° a o o 'O y
w m v o
� � Q o c° cc)) ac °' °' — „
it `m L c m a) r 3 ti v a -
aEn3 ° m ° E a° R
N O q E E co 0 a,
1�7� 77 O °O 0 lg.' CO = C •c *_ > b o 3a) °' E o) °>�,'�, El' = wiz
T N 'C Nj .d O U .O N � > >, b '''' :L' y
E C O (o E C a) > a .c -. YH a,
0 a 03 `- m a ._ 0 Y ac m o Y E a .. ° o v _c 3
n a E g 3 c N o 5. E v +' x a) 1'. u :u nn a) 0
. 070 - 0 C 'N m or vi -O 0 N ( Z --- N a: t _C a a
C •N 0 N C 'U O U Z' o) C ° Q) C G a'D c a, on
(o O n N n V) O C "O N O O Y N '6 7J Q .� 0 1 C c
O c E _1 N N 0 Y CO '00 f'�o o m a _� 3 O 0 c.)
Uy 0 0 ° Q ® C C a 0 3 E k a 0 0 v 0 cu
... C ° 0 a m a co W a -0 O N a) 3 O CL 'O � �.. O '�t T d =..
n3 0 L N G E' O 9 C -C
M (6 ..0 ,..0 E O 'D
m ° a m C = a
C) m €- a t Pm E 3 w r E ° m a," 2 c o o ❑ m
•nM E C C N _C .0. U C .S O C O E 32 0 E 0 N
aN N U O O C C �c ' = 0 `p 0 0 2 .O O N O c Y “. -D E A a' _ d
m 0_ o m v 7 [d n Z .� ° 3 > a w 3 m 0 on w 3 3 a. -.
C co° ° ° m E .0.c o q c C m C c c o a o -—
'O = a L co R. N -O D_ a f C - j N cr O O o C 0 c C C 8
N N C C 0 . C O 0 0 O) ° C Cri O = 0 C C O C y C = E p
p d 'E o n m E o N o .0 a) Y a '3 = C a _ — a o E N
= C N C O C 0 n U N C
O d N a -0 a. N ° 'C m o N E o w E C O = L O) C a
N U O Ol C (0 N a) C °'(Ni O 3 m (n a C O a a s N C CO E
00 5 N N to O N C aJ 0 ">O C O 0 Cn a 0 m C 0 .u) _C a)0 a)r( C_ .O - N a CO C N o C - (o 2 _ (o O
_ O <= -On C = m •o
Q N ° C .y n U = m m N E °) U o >: 3 3 3 0 ° a m C cn
U N c Q to O O >i= E .= a C co w_ '- N O co n o w T
L� = LL T O p) Y co L O O C ° > - 0 cn
3 = O C y
Q o m _i 0 aa)i -o a) .@ .Y a E 3 al) m 3 E S Q :_ m N 3 U
>, ` N to .L- W a CO H ) O C C O
c to E co O - -O C
❑+ 0 E Q .a) C 0 a) a) N n O1:... O S _G L U — >
d a D. - CI) Y •) U O _c o U O C C C N (= zoo N € E Cn H y C �O
r/] � � 3 0o ?' o )n 0 ; N c � L U 0a g — DU U m c •E m Ems =
I co n no 3 ° > Y co m 03 a > C ` x cu 3 � .� 3 y
d U - O -0 N N 0 m C N .D O .c to aa) () O` L -c a C E > E C ° C O O A _
+-' 0 m °- 0 H N m o E a 2 N m H �. cm L ° E E •CU o N U O s
C3 .tn rs o' 0 E -o m o O N E c O - m -( ® H ti o ° , '0 E < >; c0
a a) o a) a) a) • au (oa`) a) � E ° a) a � Uoo co 0m m ,ac
co 15 amain � ° •� m E L E = O E E9 0 ° z Ea) -, m 40 'ac m - a'c
E o o . U -0 E -U w a)CD C a) T = a) O C v co n c co O C a 0 C N m r C m .c ca to o N Q CO c c is a)
0o cv mco c m o ° ma.` ° E > ' N •? ° 4 ° L m a >
2H f 3 H2 )i ° y 3r ou= CO g ` up CO cmi H` m 0 ° > a) 0 = a) E c m H as C ,_ � •
co c o EN Q (n -C (o i): = H ° ) C
ELK RIVER, MILAN.
Lir) 'Soccer
. .
dad'
u....1 .,.
' `Soccer dad' i
cites a tion, said she has no informa- the second half, Hawkins
tion about the lawsuit and no warned his son that he wouldn't
wrong comment. be allowed rule play soccer if he
,..--, Z
The conduct of parents and broke the rule again.
a+ coaches has received national When Jacob looked away in
x attention in cases where the pres- disgust, according to court
w ra sure of youth sports resulted in papers, Hawkins grabbed his
Z
physical harm and even murder. son's shirt and twice asked, "Do
0.--, Suit faults comments One of the most publicized you understand me?"As soon as
a after COi1f1 OTitlllg 5011 instances was the January con- the conversation ended, Tanya
' assinej viction of a Massachusetts man Peplinski, the Maplebrook coach,
in the beating death of his 10- approached Hawkins, yelling,
d BY HANNAH ALLAM year-old son's hockey coach. `That's physical abuse!" court
Pioneer Press There are dozens of other reports papers state.Hawkins told Peplin-
of coaches attacking parents,par- ski to mind her own business.
: < - An Elk River, Minn., father ents attacking officials and play- The next month, Peplinski
accused of grabbing and yelling ers attacking one another. and the Maplebrook soccer
at his son during a game is suing Such instances leave many board filed a complaint with the
Ls) the Minnesota Youth Soccer parents and players calling for a Minnesota Youth Soccer Associ-
Association and others, claiming return to sportsmanship and ation,accusing Hawkins of"ver-
his right to free speech.was vio- the creation of complex ethics Bally abusing players, verbally
lated by other parents who said and conduct codes for youth abusing opposing coaches and '
he should be banned from coach- sports. physically assaulting a player."
0 ing. The Minnesota Youth Soccer Peplinski, who could not he
Eric Hawkins said a complaint Association has an 11-point reached for comment, and the
brought to the association after
he confronted his 10-year-old son
ethics code for coaches that others asked for a lifetime coach-
includes the words, "Coaches ing suspension for Hawkins.
during a game in May violates shall refrain from all manner of A subsequent letter from the
his free speech rights, according personal abuse and harassment association's hearing board
to a lawsuit filed Thursday in fed- of others." found the most serious accusa-
eral court in Minneapolis. Hawkins' case stems from a Sons without merit, but
Although association officials May 28 soccer game in which stressed that, "the actions of
found accusations of verbal and boys younger than 11 from the grabbing a player's shirt,even if
physical abuse without merit, Elk River United Soccer Club it is a relative, is an unwanted
according to court papers, a played against their counter- act during a game," according
hearing board decided that parts from the Maplebrook Soc- to court papers.
Hawkins violated conduct codes cer Association. Hawkins Hawkins wrote that the accu-
on inappropriate language and coached the Elk River team, sations caused him "loss of
harassment of club players and which included Ms son Jacob. enjoyment of life, humiliation,
coaches. During a break in the game, embarrassment and injury to
w Hawkins, 39, did not return a Hawkins noticed Jacob break- reputation."
phone message seeking com- ing an unspecified family rule Hawkins didn't specify dam-
;4 w ci ment. Ellie Singer, president of that was not"related to the cur- ages.
= o the Minnetonka-based associa- rent game under way or related
r4 O c-i to the game of soccer in gener- Hannah Allam can be reached at
J 'SOCCER DAD,'5B al," Hawkins wrote in court hallam @pioneerpress.com or
0 papers. As players prepared for (651)228-2172.
Item 5 . 10
City of
Elk
River
MEMORANDUM
TO: Mayor and City Council
i
FROM: Pat Klaers, City Adrryrwiy
DATE: October 28, 2002
Budget Memo
On September 9, 2002, the City Council approved the proposed maximum tax levy resolution.
At this time there was a $79,100 gap between projected revenues and expenditures. Revenues
were proposed at$7,653,950 and expenditures were projected at$7,733,050. Based on
expenditures, the 2003 budget was projected to increase 7.17%.
Prior to this September 9, 2002 meeting, the City Council had a worksession where the budget
gap between revenues and expenditures was adjusted from $362,100 down to $79,100.
Attached is an August 26, 2002 memo (with some hand written notes), which identifies the
adjustments that were made in order to bring the 2003 budget gap down to $79,100.
Since the September 9, 2002, City Council meeting, a number of issues have surfaced which
impact the proposed 2003 budget. These issues are identified as follows:
$79,100...9/9/02 budget gap
$21,500...school liaison revenue
$4,000...decrease in revenue for Police services
$3,000...lower expenditure for VisionAlR service contract—Police
$3,000...juvenile grant revenue reduction (received in 2002 and not in 2003)
$15,000...higher recreation program expenses for leasing gymnasium space A.�,�
$10,000...higher building maintenance expenditures being projected Ajo
$86,600...new budget gap p
-t /S ono Lgoc-r-
As you can tell there has not been any progress since September 9 in closing the budget gap in
spite of receiving school liaison revenues. Additionally, staff had concerns that the 2003
problem was going to get even worse as we began to analyze year-end 2002 revenue
projections. In this regard, consider the following:
1. It looks like we will slightly exceed the building permit budget in 2002 but the 2003
building permit budget is $30,350 more (7.8% more) than the 2002 budget.
2. We do not believe we will reach the 2002 plan check fees budgeted amount of
$255,300. The 2003 proposal for plan check fees is $252,300.
3. The court fines revenue for 2002 is going to fall far below the $230,000 budget. The
revenue for fines has averaged about$12,500 per month for the last three months.
The 2003 budget for court fines is $150,000.
With these court fine and growth related revenue concerns, the city will have to be very
careful in monitoring 2003 expenditures. Furthermore, in looking at the 2003 budget it
appears that the school payment for the little theatre ($112,600 for installment number three
in 2003) will have to come from the reserves and not from funds available within the general
fund budget. While the above revenue figures for 2002 and the projections for 2003 are not
very positive, the "good news" in the story is that expenditures in 2002 are at or slightly below
the budgeted amounts.
Without making any additional reductions in projected revenues (other than what's noted in
the list on the previous page) we are looking at a 2003 budget gap of$86,600. Before
commenting on trying to balance the budget, two other issues should be noted regarding 2003
expenditures. First, there is not an approved work plan for GIS. At this time, there are limited
funds available within the Engineering budget for GIS activities. Until a GIS work plan is put
together and considered,it is difficult to know how much work can be done with city staff,
how much equipment should be purchased before the remodeled City Hall is available in
2004, and how much work the city can afford to have our consulting engineering firm
complete. The second item to note regarding 2003 expenditures has to do with the Park and
Recreation Commission request for a Park and Recreation Director. The city established its
own Recreation Department when the Community Recreation joint powers agreement
dissolved at the end of 2001 and the City Council has discussed the need for a Park and
Recreation Director at a couple meetings in 2002. Earlier in the year, I was not too concerned
about the timing for filling this position, but I am beginning to see the urgency. The reason
for this issue becoming more time sensitive to me is the increased park work load that is
falling on the Director of Planning, who is already very busy with planning responsibilities,
and the increasing responsibilities in the recreation area, especially with Lions Park Center and
taking over the management of the softball complex (including the concessions). While there
is some money in the 2003 budget within the Engineering Department for GIS services, there
is not any money in the 2003 budget for a Park and Recreation Director and we may not be
able to wait another whole year before this position needs to get established and filled.
In trying to address the budget gap of$86,600, there are no additional growth related revenues
to help solve this problem. About the only additional revenue to look at is the liquor store
funds. The 2003 proposal is already $20,000 more than the 2002 budget (an 18%increase) but
I think we need to begin annually receiving another $15,000. Otherwise balancing the budget
may get to be too painful and we may end up making cuts that are truly undesirable. If we
accept another$15,000 from the liquor store fund, then the budget gap is at$71,600.
If we are going to close the 2003 budget gap, we are going to have to look at the additional
personnel services that are being requested. Attached is a personnel services page which
shows the new positions and additional work hours that are still in the 2003 budget proposal.
It may not seem like we are adding many staff hours or positions, but we need to remember
that included in the 2003 budget are expenses for positions that were unbudgeted but added in
2002. These positions include the Information Technology position, the Environmental
Assistant position, and increasing a Recreation Programmer position from half time to full-
time. These additional expenses that were not in the 2002 budget are slightly offset by the
elimination of the Drug Officer position that was in the 2002 budget, but which is no longer
in the 2003 budget. In reference to the attached personnel services page, I think that the most
vulnerable positions are the Truck Enforcement Officer ($23,250) and the Cable TV Assistant
position ($17,300). Next in line would be the Police Secretary/Receptionist ($8,150), reducing
the Recreation Building Supervisor ($9,000), and elimination of the Fire Specialist position
($9,900). The above five changes in personnel services equals $67,600.
1 am not necessarily recommending that all of the requested personnel noted in the above
paragraph be eliminated, but I do think that some of them have to be eliminated in order to
achieve a balanced budget. You need to know that if there are no additional hours for the
Cable TV program, then we will simply be maintaining our existing system and not expanding
programs. Also, if the Lions Park Center is used to the extent that we hope, then we will be
short on hours that will be needed to supervise this facility during the evenings. The Fire
Prevention Specialist is also a very desirable position and any hours that can be dedicated to
this program will be beneficial.
Another item to consider in trying to balance the 2003 budget is the capital outlay item that
remains in the general fund budget. Attached are proposed capital outlay expenditures for
2003. (Also attached is the 2002 capital outlay page for comparison purposes.) Most of the
Voice Playall System expense in the general fund could be eliminated and not purchased or
this item could be approved and moved to equipment reserves. However,if there are no
capital outlay expenses in the general fund budget in 2003, it makes it difficult to have$50,000
or so of capital expenses in the general fund in 2004. I don't believe it is a good practice to not
have any capital outlay expenditures in the annual general fund operating budget.
Another note regarding the items on the capital outlay page is the Truck Enforcement
expenditure in the amount of$57,200. If the Truck Enforcement position is eliminated then
this expense is also eliminated. However, if this equipment and truck are eliminated, then the
Police Department would like to add another marked squad. Even with this additional squad,
the equipment certificate amount would go down by $27,400, which would bring the total
expenditure for equipment certificates to just under $330,000.
I have already gone through the initial budget requests and made over$40,000 in reductions in
various departmental line items so it will be hard to "sharpen the pencil" much more.
Nonetheless, there was a sheet distributed on August 26, 2002, that was tided "Last resort
budget options" so everyone should know that we can make cuts into some programs. Asking
me to identify another $5,000 or so in reduction would not be too difficult. However, finding
another $10,000 in cuts would lead me to start looking at: the $10,000 Arts Contribution, the
$9,000 tree coupon program, the $95,000 street overlay/seal coating program, the $5,000
optical imaging contract for Police, the $10,000 snow removal contractual service program,
and other things of this type. No one desires to cut the items noted above but there are not
too many other choices left to consider.
After we get the budget balanced for 2003 there is one additional item that is unknown at this
time,which could impact 2003 activity. The item is a potential local government aid cut in
2003 that could be made by the 2003 State Legislature. It is impossible to know what will
happen but we should consider contingency plans in case there is a revenue reduction later in
2003. If this revenue reduction takes place, we will need to consider use of city reserves, or
hope that revenues exceed projections, or somehow limit expenditures.
The pay resolution for the upcoming year is a budget item that the City Council annually
considers near the end of the budget discussions.Attached for your information is the pay
resolution that was put together by the finance director. All of the components within the pay
resolution are consistent with past City Council action and the listed items closely follow the
pay resolution from last year. We still have to discuss how to address the comparable worth
challenge we have with the building inspectors being paid above their pay range. The pay plan
reflects a three percent increase and the city contribution to employee benefits is proposed to
increase ten dollars per month per employee. The finance director will be in attendance at this
meeting to review the pay plan and to present information regarding health insurance
expenses for 2003.
Staff is looking for Council direction on October 28, 2002, in order to balance the 2003
budget. The truth in taxation is scheduled for December 2, 2002, at 6:00 p.m. and staff needs
some time to put the budget material together for this presentation.
Attachments
8/26/02 Budget Memo
Personnel Services Summary Page
Capital Outlay Summary Page for 2003 &2002
Revenues (Before 8/26/02 Adjustments)
Expenditure Summary Page (Before 8/26/02 Adjustments)
September 9, 2002 Tax Levy Resolution
2003 Pay Resolution
sAcuun it\patAbudgetA 1028budgetmemo.doc
\ ' Item 5 . 4 .
'►+/i
cgor
Elk
River
MEMORANDUM
TO: Mayor and City Council
FROM: Pat Klaers, City Admin. s..f or
DATE: October 28, 2002
SUBJECT: Boys & Girls Club Issues
The city has been a big supporter of the Boys and Girls Club. This support from the City
Council includes having the club located in Lions Park, incurring a sizeable legal bill in
development of the ground lease and other documents, and authorizing the city street crew
(and equipment) to assist in the preparation of the building construction site. The city
continues to have a strong interest in seeing that the Boys and Girls Club is successful.
The Boys and Girls Club ground lease states that the city must agree to the club taking on any
more debt which is tied to the building. In order to obtain an influx of cash for operating
expenses, the Boys and Girls Club desires to add to their current building debt. Due to a
variety of circumstances, including lower than anticipated local contributions and the turnover
of the Executive Director position, the club has fallen behind financially. The board of
directors for the Boys and Girls Club sees this as a short-term, temporary situation.
Representatives from the Boys and Girls Club will be at this City Council meeting to discuss
the request for the city to "sign off" on the club incurring more building debt.
There is one important point to bring to the attention of the City Council regarding this
request. This point is that under worse case scenario, if the Boys and Girls Club does not
make it financially and has to dissolve for whatever reasons, then the city is the likely buyer of
the building which includes assuming the building debt. Accordingly, agreeing to the club
taking on more debt does have a possibility - even if it is a small possibility - of costing the city
some money at sometime in the future. The current debt on the building is about $72,000.
A second item to discuss with the City Council is the possibility of the city leasing gym space
at the Boys and Girls Club. City Recreation is always looking for opportunities and building
space to provide programs and we have recently talked with the Boys and Girls Club about
leasing gymnasium space for running City Recreation programs. If this lease of the gym space
were to take place, all of the programs would be new and most of the programs would be of a
"break even" variety excludin the lease payment (i.e. program registration revenues would
cover payments to instructors). In this regard, any expenses that the city has for renting or
leasing space would be a City Recreation budget addition for 2003 with no revenues to offset
this leasing expenditure. Nonetheless, utilization of this gymnasium would be a good
opportunity for the city to offer more programs.
The suggested lease amount for the gymnasium space is $15,000 per year with a minimum of a
three-year commitment. The city would have access to the gymnasium all 52 weekends of the
year and the city would also have use of the gymnasium on school days before 2 p.m. The city
would not have use of the gymnasium during the weekdays during the summer. Based on
$15,000 per year, the cost to the city for use of the gymnasium to run programs would be
under $300 per week. The City Recreation Manager Michele Bergh has advised me that having
this space available on weekends year round (and for weekdays during the school year in the
mornings) would be a great addition to the City Recreation program offerings.
The City Council needs to consider this recreation expenditure in light of the current 2003
budget shortage that we are experiencing and which we could be experiencing for the next
several years.As with most budget issues, the decision to lease space at the Boys and Girls
Club relates to Council priorities.
s:\council\pat\boys&gids.doc