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CorrespondenceI Correspondence Mailing to residents re: public hearing on trail easements dated May 8, 2001. : Fire/Rescue Calls-Week of April 30 - May 6, 2001. AMM Fax News dated May 7 - I 1,2001. May 8, 2001 Fax from League of Minnesota Cities re: Shooting Range Legislation. Memo from Todd Hoffinan re: Rec. Center/Bluff.Creek Elementary Tennis Courts dated May 7, 2001. League of Minnesota Cities Friday Fax dated May 4, 2001. AMM Fax News dated April 30 - May 4, 2001. Article re: The Voice of the Public - May Issue Public Management. League of Minnesota Cities Memo re: Hous6 Omnibus Tax Bill dated April 30, 2001. Letter to M-Con, Inc. dated May 3, 2001. May 2, 2001 League of Minnesota Cities Fax re: Local Ordinances Nullified: Legislative Alert. May 2, 2001 League of Minnesota Cities Fax re: Addendum Local Ordinances Nullified: Legislative Alert. AMM Fax News dated April 30 - May 4, 2001. AMM Fax News dated April 30 - May 4, 2001 (no. 2). Memo from Todd Hoff.man re: Commendation dated April 30, 2001. Fire/Rescue Calls - Week of April 23 -29, 2001. AMM Fax News dated April 30 - May 4, 2001. Article titled "Muni Days are Here Again" - May issue Governing. League of Minnesota Cities 2001 Awards Program. League of Minnesota Cities Friday Fax dated April 27, 2001. AMM Fax News dated April 23 - 27, 2001. League of Minnesota Cities memo re: Board of Directors Vacancies dated April 24,'2001. Letter to Carol Egyhazi re: traffic concerns of Powers Blvd. Dated April 25, 2001. Fire/Rescue Calls- Week of April 16 -22, 2001. Lettex from Chanhassen Chamber of Commerce dated April 17, 2001. League of Minnesota Cities Friday Fax dated April 20, 2001. AMM Fax News dated April 16 - 20, 2001. Letter from Carver County Health Partnership dated April 17, 2001. CITYOF HANHAS EN 690 CiO, Core. Drive, PO Box' 147 Cha~hassen, Minnesota 55317 Phone 612.93Z 1900 General lax 612, 937. 5739 &~gi, ee~i,g Fax' 612.93Z9152 Public Safety Far 612.93(2524 Web www. ci.c/.~anhasse,.mn, us May 8, 2001 Dear Resident: In 1988, a permanent easement for a trail connection between Fox Chase and Carver Beach was recorded against Lots 19 and 20, Fox Chase. This connection has never been officially improved as a public trail. However, those residents aware of its existence have routinely used it as a public walkway. In 1998, a neighborhood mailing regarding a separate issue prompted an inquiry requesting that the public easement be improved. In response, the City's Park and Recreation Commission held a public meeting on January 26, 1999, to present options' for constructing a bituminous trail connection at this location. After hearing from those residents in attendance that evening, considering the written correspondence they had received, and discussing the options amongst themselves, the commission tabled action on a pedestrian trail connection for further investigation. Specifically, the commission directed staff to work with the owners of Lots 19 and 20, Fox Chase to identify a "preferred" trail alignment. An alignment calling for a ten foot permanent trail easement along the western side of Lot 19 and a five foot permanent trail easement along the east side of Lot 20 has been proposed. Within that easement, the city would construct a six-foot concrete walkway. While the final location might be slightly modified as proposed, the trail would be constructed on Lot 19 within six inches or so of the lot line separating Lots 19 and 20. If the walkway were to be widened in the future, it would expand toward Lot 20. In order to record these new easements, the city must hold a public hearing on the vacation of the existing trail easementS over i.ots 19 and 20 Fox Chase. Please find a copy of the public hearing announcement attached to this letter. If you are unable to attend the public hearing but would like to forward comments to the City Council, please mail them to my attention or send them by e-mail to thoffinanOci.chanhassen.mn.us Sincerely, Park and Recreation Director THins c: Scott Botcher, ~ity Manager g:\park\th~residentnoticefoxchase NOTICE OF PUBLIC HEARING CHANHASSEN CITY COUNCIL MEETING TUESDAY, MAY 29, 2001 AT 7:00 P.M. CITY HALL COUNCIL CHAMBERS 690 CITY CENTER DRIVE PROPOSAL: Vacate a Trail Easement APPLICANT: City of Chanhassen LOCATION: Lots 19 & 20, Fox Chase NOTICE: You are Invited to attend a public hearing about a proposal in your area. The applicant, City of Chanhassen, is requesting vacation of the trail easement described as the easterly 15 feet of Lot 20, Block 1, Fox Chase and the southerly 10 feet of Lot 19, Block 1, Fox Chase. What Happens at the Meeting: The purpose of this public hearing is to inform you about the applicant's request and to obtain input from the neighborhood about this project. During the meeting, the Mayor will lead the public hearing through the following steps: 1. Staff ~n'll give an overview of the proposed project. 2. The applicant will present plans on the project. 3. Comments are received from the public. 4. Public hearing is closed and the City Council discusses the project. Questions and Comments: If you want to see the plans before the meeting, please stop by City Hall during office hours, 8:00 a.m. to 4:30 p.m., Monday through Friday. If you wish to talk to someone about this project, please contact Sharmin at 937-1900 ext. 120. If you choose to Submit written comments, it is helpful to have one copy to the' department in advance of the meeting. Staff will provide copies to the City council. · NolJce of this public hearing has been published in the Chanhassen Villager on May 10, 2001. LI _i j \ Trail Easement Proposed to be Vacated Moil Tues Tues Tues Tues Tues Weds Weds Weds Weds Sat Sat Sat Apr 30 May 1 May 1 May 1 May 1 May 1 May 2 May 2 May2 May 2 May 5 May 5 May 5 2:03 PM . 3:54 AM 9:39 AM 12:09 PM 4:55 PM 11:46 PM 6:18 PM 6:31 PM 10:36 PM 11:06 PM 3:55 PM 8:10 PM 9:23 PM CHANHASSEN FIRE DEPARTMENT FIRE/RESCUE WEEK OF APRIL 30, - MAY 6, 2001 Highway 5 & Highway 41 Chippewa Trail Chanhassen Road Lake Drive West Santa Vera Drive Lake Lucy Road Highover Drive Watertown Fire Dept Watertown Fire Dept Greenbriar Drive West Lake Court Chan View Car accident, cancelled, no injuries Medical- person in convulsions Medical - person fell Medical - chest pains Weather watch Medical - cut hand Medical - person fell Fire alarm - false alarm, no fire Mutual aid - dive team Assist with boat, cancelled Medical - unknown problem Medical - unknown problem Medical - person fell AMM FAX May 7 - 1 1,2001 Association of Hetropoijtan Municipalities Senate Omnibus Tax Bill On Monday the Senate Tax Cemmittee released drafts of their Omnibus bill. It will be marked up Wednesday, on the Senate floor Thursday, and possibly in confer- ence' Friday or Saturday. ,The major difference between the Senate and House is the overall spending level. The Senate has $609 million ii] permanent spending compared to twice that for the House. The Se~ate's rebate is $425 million, half that of the House. .~The Senate bill does not have levy limits a~s of yet nor reverse referen- dum. The LGA formula is modified, HACA is rolled into LGA and $30 million is added. According to Tax Chair Pogemiller, the changes are tO get most cities on formula. No city will get less LGA than current LGA plus HACA. ,The Senate targets the average house ($70,000 to $200,000) for property tax relief, benef~ng metro homeowners significantly. The 1" tier (with a class rate) is increased from $76,000 to $200,000 and the 2~ tier rate drop.~; from 1.65% to 1.5%. The ma×imum homestead property tax refund is increased to match the renters' credit. A new homestead ~g~'~ and ad~nistr~o~, legisl~pe conta~'; ~d Bo~d ~mb~. Pl~e share thZg f~ wffh your ~o~, aoun~~ers and alq~ to ke~ them ~reast ~t ~tro ~ ff45 Universlty Avenue West St. Patti: MTV 55103-2044 Phon~ (651) 2I ~4000 cred!t is created to replace the current education credit and agricul- ture credit programs. , State Education levy buy down is $100 million compared to House at abo ut $800 million. Education per pupil spending is increased. .'Limited Market Value (LMV) is phased out over three years com- mencing with assessment year 2002 by adding one-third of the LMV to full market difference each year. The House plan phases LMV out over 5 years. , Other class rates are reduced and tiers adjusted. Single family rent:al is th(: same as homestead 1% up to $200,000 and then t .5%, Duplex/ Triplex will be the same in pay 2003, Apartments drop from 2.4 to 1.8%, and C/I goes to 2.0 from 2.4% and 3.0 from 3.4% with the lower tier increasing from $150,000 to $300,000. .Gas tax is indexed annually by inflation starting January 1,2003. · S ales Tax P..~ ~ h.e{¢ (~-~25 million) of surplus becad~e ~he Senate spends about $300 million on one-time transportation projects and the rest in education and other areas. Tax Increment Financing (TIF) ,Amendments to the tax increment financing act and special TIF laws are included in the Local Government Aiticle. The article also includes provisions related to tax abatement, airport noise abatement, and border city development and continuation of ~ Richfield redevelopment. Tne TIF s~=,ct, ions: ~, Include the technical TIF bill · Transfer the annual TIF reporting function from the Office of State Auditor (OSA) to the Department of Revenue. e Transfer the enforcement of the TIF law from the OSA to the county attorneys. · Provides for a ten-year rule for ~edevelopment and soils districts. The provision is effective for districts certified afferApri130,1996. The provision can not be implemented until the county board approves the city's request. · Makes the housing replacement TIF district general law. Therefore a city would not need to obtain legislative authorization to establish a housing replacement district. · Authorize special laws for Aurora, Brooklyn Park, Duluth, Minneapolis, Gaylord, and St. Paul. The article does not include a new definition of substandard building nor does it propose a time limit for pre - 1 .~_~0 dist~cts. Metropolitan Council The Metropolitan Area Financing and Governance Article relates to the governance of the Metropolitan Council. The article contains Senator Orfield's elected Metropolitan Council/county commissioner bill. The article provides for a twenty-five member Metropolitan Council. The article also includes a provision that permits the Metropolitan Council to issue bonds or other obliga- tions to finance transit capital improve- rc~s. The lim~ for the first year is $45~0 million. ~n sub~equ~ y~ars the limit amount is adjusted for inflation. 2001 14:34:27 ~iet Fax l~u,qu,: ,,f Minnesota Cili~.,r -> fl12 937 5739 fidninistratnr Page 881 Of tiff3 14~5 L.!T,iver~ity Avc'T,uc. \Vc.~t, St. I'~m], bIN 551 (Y3~2()4,4~ Iq.mc': ((5.5 I) 2.81-12()() · (8()()) 92.5-I 1'2'2. t-',,x, (05 ~) 2-8 ~-~ 299 · '1'1.)1) (O5 ~ ) 2.8~-~ 2.9() May 8, 2001 SHOOTING RANGE LEGISLATION: IN BLACK AND WHITE It has been brought to my attention several legislators are telling their cities that the LMC is distributing misleading information regarding the shooting range amendment. The following is the text of the amendment as ,adopted by the House. Please read it. A simple reading of the amendment will let you know whether the amendment simply prohibits cities from adopting an ordinance to close down a shooting range, or whether the amendment is far more broad than that simple concept. While many legislators may have voted for the simple concept of protecting shooting ranges from local government ordinances, the effect of the amendment is much more complex. It exempts shooting ranges from every single, future local ordinance a city may choose to implement. It prohibits any public or private nuisance lawsuits. It sets the noise standards to those established by the MPCA, only. It requires the DNR to be the sole arbiter as to whelher ia shooting range is dangerous to adjacent property. And if the DNR says it is dangerous, a range may only be closed if it is dangerous to adjacent NEW development. And if so requested, when possible the local government must relocate the range and use eminent domain to acquire the new site. Finally, cities should view this amendment as being about whether land use decisions and balancing all property ,, owners rights and interests should be done at the local level or be pre-empted by the state. Contact me at 651.281.12256 or rstone('&lmnc.om if you have any questions or concerns. Thanks. Remi SHOOTING RANGE AMENDMENT: Hackbarth; Mahoney; Howes; Milbert; Dempsey; Sviggum; Tuma; Wenzel; Rukavina; Boudreau; Erickson; Finseth; Bakk; Walz; Solberg; I_arson; Clark, J.; Kielkucki; Holberg; Schumacher; Smith and Seifert moved to amend S. F. No. 2351, the unofficial engrossment, as amended, as follows: Page 55, after line 4, insert: T "Sec. 28. [87A.01 ] [DEFINITIONS.] Subdivision 1. [APPLICABILITY.] The definitions in this section apply to sections 87A.01 to 87A.06. Subd. 2. [PERSON.] "Person" means an individual, association, proprietorship, partnership, corporation, club, political subdivision, or other legal entity. Subd. 3. [SHOOTING RANGE OR RANGE.] "Shooting range" or "range" means an area or facility designated or operated for the use of firearms as defined in section 97A.015, subdivision 19, or archery, and includes shooting preserves as described in section 97A.115 or any other Minnesota law. Subd. 4. [GENERALLY ACCEPTED OPERATION PRACTICES.] "Generally accepted operation practices" means those voluntary guidelines adopted by the commissioner of natural resources for the safe operation of AN EQUAL OPPORTUNITY/AFFIRMATIVE ACTION EMPLOYER Ma~ OB 2801 14:35:04 Via Fax -> 612 937 5739 fi&mioistrator Page 082 0£ 883 shooting ranges. In developing the guidelines, the commissioner shall consult with range operators. The generally accepted operation practices shall be reviewed at least every five years by the commissioner of natural resources and revised as the commissioner considers necessary for safe operation of a shooting range. The commissioner shall adopt initial guidelines by July 1, 2001. Subd. 5. [UNIT OF GOVERNMENT.] "Unit of government" means a home rule charter or statutory city, county, town, municipal corporation, or other political subdivision, or any of their instrumentalities. Sec. 29. [87A. 02] [LOCAL ORDINANCES; EXISTING OPERATIONS.] (a) A shooting range that is in operation and is in material compliance with existing law at the time of the enactment of an ordinance of a unit of government affecting, directly or indirectly, operation or use of a shooting range must be permitted to continue in operation even if the operation of the shooting range at a later date does not conform to the new ordinance or an amendment to an existing ordinance. (b) A shooting range that operates in material compliance with generally accepted operation practices, even if not in compliance with an ordinance of a unit of government affecting, directly or indirectly, operation or use ora shooting range, must be permitted to do all of the following within its geographic boundaries if done in accordance with generally accepted operation practices: (1) repair, remodel, improve, replace, construct, or reinforce any conforming or nonconforming building or structure as may be necessary or desirable in the interest of safety or to secure the continued use of the range, building, or structure; (2) reconstruct, repair, restore, remodel, improve, replace, or resume the use of any conforming or nonconforming building or structure damaged by fire, collapse, erosion, explosion, act of God, or act of war; and .. (3) do anything not prohibited by generally accepted operation practices, including: (i) expand or increase its membership or opportunities for public par~cipation; and (ii) make those repairs or improvements necessary or desirable under generally accepted operation practices. (c) Nothing in sections 87A.01 to 87A.06 exempts any newly constructed or remodeled building on a shooting range from compliance with fire safety, handicaPped accessibility, elevator safety, bleacher safety, °r other provisions of the State Building Code that have mandatory statewide application. Sec. 30. [87A.03] [CLOSING OR RELOCATING SHOOTING RANGES; PAYMENT OF CERTAIN COSTS.] Subdivision 1. [WHEN CAN CLOSE OR RELOCATE.] A shooting range may be closed under subdivision 3, or relocated under subdivision 4, by a state agency or unit ofgovernment only if, because of new, permitted development of adjacent land, the range becomes a clear~ immediate, and proven safetv hazard to the adjacent population ann i~ cannot be brought in~_o m~ia~: c~m?.~ance wi:~ general{y a~epted operation practices with range or operation improvements. Subd. 2. [PROCEDURE.] The clear and immediate safety hazard must be proven at a contested case hearing. The hearing must be held after the commissioner provides notice to the owner and operator of the shooting range that includes a clear and precise statement of the factual basis for alleging a safety hazard. The owner and operator of the shooting range must be given an opportunity to be heard and meet the allegation. The commissioner must make written findings and conclusions as to the hazard and whether range improvements can bring the range into material compliance with the generally accepted operation practices. If the commissioner concludes that there is a clear and immediate safety hazard and the operation of the shooting range can be brought into material compliance with the generally accepted operating practices with range improvements, the state agency or unit of government that permitted the development must pay for the range improvements. Subd. 3. [CLOSURE.] Ifa clear and immediate safety hazard is proven as required under subdivisions 1 and 2, a shooting range may be closed by the state agency or the unit ofgovernment if the agency or unit of tlau 8~ Z001 14:35:50 ~ia Pax -> Pa§e 0B3 0f B03 government closing the shooting range pays the/'air market value of the range operation as a going concern to the operators and the fair market value of the land, including improvements, to the owner of the land. Subd. 4. [RELOCATION.] Upon request by the operator of the shooting range, the agency or unit of government must relocate the shooting range to a suitable new location if available. The agency or unit of government may use its power of eminent domain to acquire the new location. Subd. 5. [TRANSFER OF TITLE.] The shooting range owner and operator shall transfer their interests in the property to the agency or unit of government after full and final payment under subdivision 3, or after the relocation is completed under subdivision 4. Sec. 31. [87A.04] [IRREBUTTABLE PRESUMPTION; NUISANCE LIABILITY.] la all relevant actions, there shall exist an irrebuttable presumption that a shooting range that is conducted in material compliance with generally accepted operation practices is not a public or private nuisance and does not otherwise invade or interfere with the use and enjoyment ofany other land or property. Sec. 32. [87A. 05] [SHOOTING RANGES; NOISE STANDARDS.] A person who owns or operates or uses a shooting range in this state is subject only to the noise standards set forth in Minnesota Rules, part 7030.0040, subpart 2, in effect on March 1, 1999o Sec. 33. [87A. 06] [NUISANCE ACTIONS; SUBSTANTIAL COMPLIANCE WITH GENERALLY ACCEPTED OPERATION PRACTICES.] A person who owns, operates, or uses a shooting range in this state which is in material compliance with generally accepted operation practices is not subject to any action for nuisance, and no court of this state may enjoin or restrain the use or operation of such a range. This section does not prohibit an action for personal injury resulting from recklessness or negligence iii the operation of the range or by a person using the range in a reckless or negligent manner. CITYOF CHANHASSEN ~90 Ci7 Center Ddve, PO Box 147 Chanhassen, Minnesota 55317 Pho,e 612.937.1900 General Fax' 612. 937. 5739 E, gineering Fax' 612.937.9152 Public Safety Fax' 612.934.2524 Web ww~v. ti. chanhassen, m,. us MEMORANDUM TO: FROM: Scott Botcher, City Manager Todd Hoffman, Park and Recreation Director DATE: May 7, 2001 SUB J: Chanhassen Recreation Center/Bluff Creek Elementary Tennis Courts Both the Mayor and I received a resident inquiry concerning the condition of the tennis courts at the Recreation Center/Bluff Creek Elementary School. There are 4 courts at this location, configured in a rectangle. The courts were constructed in 1994/95 in conjunction with the school and recreation center. The cost of constructing the courts was split 50%-50% between Independent School District 112 and the City. Prior to the courts being accepted, the south battery began to show pronounced settlement areas. I attended the first inspection of the courts scheduled prior to their acceptance, and stated that it was the city's position that the construction was unacceptable. Mr. John Gockel, the District's construction coordinator, instructed the contractor to patch the courts. I disputed Mr. Gockel's position contending that when the City invests in a new tennis court we want a new court, not one that has been patched. Restricted by the fact that the City was not a party to the contact with the tennis court manufacturer, Mr. Gockel prevailed. Upon finishing the patching, I was again called out to inspect the courts. Upon arriving, I knelt down to inspect the patching and peeled the material up with my thumbnail. I walked off the project. Ultimately, Mr. Gockel accepted the courts on behalf of the district and the City. The condition of the "new" court has continued to deteriorate ever since. Our new courts no longer met "specs" six months after Mr. Gockel's acceptance. I have made numerous inquires with the District about participating in a project to re-build the courts. It is their position that many of the other courts they manage are in worse condition. As such, they cannot justify investing in the Bluff Creek courts. In an effort to make the best of a bad situation, the city's park crew cut a trench into the courts adding drain tile and a catch basin. This unorthodox approach was relatively inexpensive and drains the "lake" which continues to form on these courts. Scott Botcher, City Manager 5/8/2001 Page Regarding wind fencing, it is the city's current policy that our courts are maintained for recreation play and that the expense and maintenance of windscreen is unwarranted. G:kpark\thkrecctrtenniscourts ITY OF 690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317 (612) 93:7-1900 · FAX (612) 937-5739 MEMORANDUM TO: FROM: DATE: Dave Leschak, HGA Greg Szypulski, Borson John Gockel, Gockel & ASsociates Todd Hoffman, Director of Parks and Recreation November 4, 1997 SUB J: Bluff Creek Elementary SchooI/Chanhassen Recreation Center Tennis Courts The enclosed photograph was taken from an aerial ladder truck on October 29, 1997. The silt deposits documented indicate the areas of the courts that do not drain. These low areas catch and retain rainwater for up to three days. Only one Court remains p.layable under these conditions. HGA has informed me that the courts have been accepted. The residents of District 112 and the community of Chanhassen who sit in my office yelling at me cannot understand how this could be. The question I have been seeking an answer to for nearly two years is: Who is responsible for the reconstruction of these courts? pc'. Don Ashworth, City Manager Nancy Mancino, Mayor Dave Clough, Superintendent of District 112 g:\parkXth~IGA BorsonGockel C -Y O-- 690 COULTER DRIVE · P.O. BOX 147 · CHANHASSEN, MINNESOTA 55317 (612) 93~-1900 · FAX (612) 937-5739 MEMORANDUM TO: Mayor Nancy Mancino FROM: Todd Hoffman, Park & Recreation Director DATE: September 18, 1997 SUB J: Chanhassen Recreation Center/Bluff Creek Elementary School and Response to Inquiries Concerning Youth Sporting Activities CHANHASSEN RECREATION CENTER/BLUFF CREEK ELEMENTARY SCHOOL Current problem areas include: · Landscaping: An extensive punchlist is outstanding (see attached). Minnesota Valley is the responsible contractor, but is not showing good effort in getting the job done. According to Dave Leschek of HGA, their pe~ormance bond is our only remaining leverage. . "- ~~. ennis Courts'.~There is extensive pooling of water on the tennis courts. HGA and the - district-trove ae"depted the courts. I was present at the site visit when this action was taken and disputed that decision. I continue to be of the position that the owner's best interests were not upheld in this process. Other notes: BorSon, the general contractor, will replace the concrete stoops at each entryway for the third time later this fall at their own expense. The district has agreed to pay for drain tile around a portion of the school building. HGA is paying for repairs to the crumbling brick at the comers of the building and repairs of the window sills. Hoffman, Todd From: Sent: To: Subject: LC Jansen2 @ aol.com Thursday, April 19, 2001 6:10 PM thoffman @ci.chanhassen.rnn.us "Coulter tennis courts" Todd, I have received a phone message from Mr. Jed Jacobson (sp?) regarding the state of disrepair of the "Coulter tennis courts" He mentioned that he had spoken with you. The two points he made in his message were a.) the condition of the 2 southern courts and b.) the need for wind screens. Could you please provide us with a report on this situation and any scheduled maintenance. What actions have been or will be made to remedy this situation? Thank you, Linda l'Jau 84 2881 15:88:25 Via Fax -> ill2 937 5739 ~ ~~ ~ A weekly legislative update from the League of Minnesota Cities Page 881 Of 882 Number 1 May 4,200 House To Act on Tax BillmSenate in Limbo? On the floor today, the House of Representatives will consider its version of the omnibus tax bill. With only a little more than two weeks remaining in the regular session, the Senate Tax Committee has yet to unveil its version of the omnibus tax bill. As of Friday morning, the Senate Tax Committee has a hearing scheduled for 1:00 p.m. today. However, if the week's activities follow suit and rumors of a lack of Senate progress on a direction for their tax bill are true, the hearing could very well be cancelled. This lack of progress is rather unprecedented. As described in this week's edition of the C/t/es Bullet/n, the most prominent feature of the House omnibus tax bill is the property tax reform article. The House plan includes many of the ideas contained in the governor's Big Plan reform initiative, including a state takeover of the K-12 general education levy and significant property class rate compression. To fund the $880 million cost of the levy takeover, House plan uses state resources, including city HACA, to fund the state-deter- mined portion of school finance. The loss of city HACA is offset by a total increase in city LGA of $104 million. The House bill includes two years of levy limits--for taxes payable in 2002 and 2003. After levy limits expire, a new reverse referendum process is enacted that would allow voters to challenge levy increases. The provision would require cities over 2,500 population to hold a reverse referendum on a levy increase if a petition is signed by a number of voters equal to five percent of the votes cast-tn the last general election. Although the bill is not pretty for cities, perhaps a saving grace is the projected net impact on taxpayers. Overall, House Research analysis of the impact of the bill shows that net property taxes paid by all broad classes of property in all regions of the state are reduced. These esti- mated reductions are based on the assumption that all cities will increase their property tax levies to replace 100 percent of the lost HACA. The House bill includes more than 550 pages of tax changes. We will be working to moderate the content of the bill. Please see this week's edition of the Cities Bulletin for a more complete description of the bill or contact Gary Carlson at the League. PERA Pension provisiqns move forward in House, Last evening, Rep. Harry Mares (R-White Bear Lake) offered an amendment to State Government Finance Committee Chair Phil Krinkie's omnibus state departments bill that will begin to address the PERA coordinated plan's projected deficiency. Rather unexpectedly, Rep. Mares was able to secure $8.9 million for each of the first two years to offset the need for employer arid employee contribution increases. The amendment was signed and supported by Rep. Krinkie, a fiscal conservative who frequently chal- lenges state spending increases. Amendments to omnibus bills must maintain fiscal balance of the entire bill. The additional $18 million to fund the state contribution to PERA was generated by funding a Depart- ment of Revenue budget request to increase their income tax filing compiiance effo~s. Appare~tiy. the For more information on city legislative issues, contact any member of the League of Minnesota (651) 281-1200 or (800) 925-1122 department had estimated the increased compliance efforts would raise $9 million per year. The amendment includes plan modifications supported by the League, including a partial service credit adjustment for part-time employees and a delay in the plan's full-funding amortization date. The employer contribution will be increased by .35 percent beginning Jan. 1,2002. Employee contribu- tions will be increased by a similar amount. The amendment did not include a second employer/ employee increase for 2003. The Senate bill must still clear the Senate Finance Committee. That bill contains a smaller $2 million annual state appropriation and a .7 percent increase in the employer and employee contribution phased- in over two years. The committee was scheduled to hear the bill on Wednesday; however, the meeting ended unexpectedly when a hand- gun conceal-carry amendment was offered to another bill on the agenda. The Finance Committee may meet early next week. Conference committee scheauie With just two weeks remaining in the legislative session, the confer- once committees will most likely begin their work next week. Confer- ence committee members should be announced in the next few days. Chief authors of the bills are almost always chairs of the conference committee and the lead negotiator for their side. At this point, lobbying efforts can be directed to them. Conferring this year's omnibus bills wiii be ~ jug§iin~ act. Senate and Cities Intergovernmental Relations team, Xa~ 04 ZBB1 15:Bg:3G g~a ~ax -> GIZ 937 5?39 ~&m~n~s~ra~o~ ?~gc BOZ Of BOZ =RIDA YFAX MAy 4, 2001 m PAGE 2 House budget bills do not line up directly between committees; for example Sen. Cohen's State Government, Economic Development & Judiciary Budget Committee lines up with three committees on the House side. Nevertheless, the following is an educated guess on how the bills will line up. (Bill numbers with an asterisk indicate which bill is actually moving.) · Omnibus Transportation Bill SF 2340'/HF 2189--Sen. D.E. Johnson (DFL-Willmar); Rep. Molanu (R-Chaska) · Omnibus Environment & Natural Resources/Agriculture Bill SF 2351'/HF 766 (also, HF 1266 Ag.)mSen. Price (DFL-Woodbury); Rep. Holsten (R-Stillwater); Rep. Ness, Ag. (R-Dassel)) · Omnibus Economic Development Bill SF 2360'1HF 2486*roSen. Cohen (DFL-St. Paul); Rep. McEIroy (R-Burnsville) Omnibus State Departments Bill SF 2360'1HF 218~Sen. Cohen (DFL-St. Paul); Rep. Phil Krinkie (R-Shoreview) Omnibus Corrections/Judiciary Bill SF 2361/HF 351--Sen. Berglin (DFL-Minneapolis); Rep. Stanek (R-Maple Grove) Omnibus Health & Human Services Bill SF 2361/HF 1832wSen. Berglin (DFL-Minneapolis); Rep. Goodno [R-Moorhead) Omnibus Bonding Bill , SF 1402/HF 1266--Sen. Langseth (DFL-Glydon); Rep. Ness, (R-Dassel) (Ag. bill substituted as bonding bill.) Sign up for the LMC legislative issues listerv Sign up for the up-and-running I ntergovern mental Relations Legislative Listserv! Visit the LMC web site at www. lmnc. org/forms/llstserv, cfm to sign up and receive periodic up-to- the-minute legislative news. We hope members will find this service especially informative as the Legislature completes its work over the next few weeks. A conference geared exclusively to the needs of Hinnesotn city leaders! League of Minnesota Cities 200 I Annual Conference LMC's 88'h Annual Conference June 19-22, 2001 Duluth, Minnesota www. cl~? Attend LMC's premier conference event of the year and renew your ideas, energT, and commitment to your city's leadership. Registration information was mailed to your city clerk---check the March/April or May issues of&~innesora Ciries maaS_ne for more ~a~:s, or ~"~_'.s*,~ c-._dlne eight now at Mark your calendar and we'll see you in Duluth in June[ Conference High lights: · Outstanding speakers - Camille Cate~ Barnett, Ph.D. widely regarded as one of America's most ~alented city managers - Rod Raymond Duluth triathle~e and OOunpian · LMC's Web For Citie~ the ekc~ed officials' introduction ~v e-governmen~ · Topi~ to ~uit every city · Door Priz~ every city can really use · LMC Bayfront Blue~ and Cruise · City Night at the Great Lake~ Aquarium REGISTER ONLINE ANYTIHE: WWW. LMNC.ORG ' AMM FAX April 30- May 4, 2001 (no. 3) Association of Fletropolitan Flunicipalities ~ iII _ .. II I Tax and Spending Bills Taking Shape The House and Senate have approved their spending bills and conference committees to resolve differences between the bills should begin work next week. The House tax bill should be debated on the floor today (May 4), while the Senate tax bill should be off the floor eady next week. A summary of some of the issues of concern to local governments contained in the bills is as follows: The House State Departments bill was amended Thursday night to include a comprehensive pension amendment. The amendment, which was offered by Rep. Harry Mares, modifies several pension provisions and contains provisions regarding the Public Employee Retirement Association (PERA). The PERA amendment provides approximately $!8.0 million in state pension aid and increases the employee and employer contribu- AMM News Fax is foxed to all AMM city managers' and administrators, legislative contacts and Board members. Please sh ate this fax with your mayors, cottncilrrternber$ ~nd slaff to keep lhtrn abreast of lrttflor- lan! metro city issues. 145 University A venue }Fast St. Paul, MTv 55103-2044 , Phone: (651) 215-4000 Fax.: (651) 281~1299 ~-rnail: amn~,..~amm14 5. org tion in each of the next two years by 0.35%. The Senate PEP, A bill is scheduled for a hearing in the Finance Committee on Monday. The Senate bill contains similar language and rates but the pro- posed appropriation is currently only $2.0 million. Trak,sit Funding The, House tax bill would remove the metropolitan transit operations levy f:om the property tax and replace it with state general fund- ing. 'r'ransit debt would continue'to be paid from the property tax. Hou. slng Funding The, House Housing and Eco- nomic Development Finance bill appropriates $129.6 million to the Minnesota Housing Finance Agency (MHFA). Ortho total $14.9 million is from federal funds (Tem- porary Assistance for Needy FSmilies) and the reE~_i.:',der is from ;:he state general fund. The federal funds are -"one time fund- ing." The; Senate appropriates a similar amount in base funding for the MHFA and $75.0 million in "one time" general funds. The one time money will be used to fund such programs as the inclusionary housing program ($4.0 million), the challenge fund ($20.639 million), and the Housing Trust Fund ($23.017 million). Inclusio#ary Housing The Senate bill contains provi- sions regarding a developer initi- ated affordable housing program. If a developer proposes to have 20 percent of its units affordable to households having incomes at or below 80 percent of the area median income, the city is required to provide the developer with a 30 percent density bonus and one additional regulatory relief mea- sure. There are no similar provi- sions in the House bill. Legislative Commission on tho Metropollta# Council The House tax bill includes the legislative commission as pro- posed in HF 981. The Senate companio~ as amended is in the & z~ae T&x Committee. T~,e Sen- ate version proposes an elected Metropolitan Council. Additional information on these and other issues is included in the tracking report to be sent later today or accessed now on the AMM website. Once the Senate tax bill is introduced, a future fax will summarize the bill and compare it to the House bill. COVER STORY The V,o!ce of the Public: 'Nh'.t C: zen'flor < Thomas I. Miller and Michelle Kobayashi ust how in touch with the citizens of your juris- diction do you or your elected officials have to be? After all, there are the town meetings, the budget hearings, and the neighborhood talk- back sessions, as well as conversations With the chamber, school board, planning board, liquor board, board of zoning adjustment, Rotarians, Shriners, Odd Fellows, Grange, Elks, Lions, and like clubs r3presenting all manner of fauna and flora. Open-mike titne at council meetings can get to look like bug-house square at a carnival. The Usual Suspects The truth is--and most staff suspect this--that the varied community activists who show up for every input opportu- nity are members of a single cadre of irate, enthusiastic, agi- tated curmudgeons who care deepiy about the community in general, or their blocks in particular. When the dust set- tles and the budgets and policies have been written, the Sus- picion lingers that the typical resident still has not been heard from. Decision making by "wheel decibel" (a squeaky wheel gets the oil), after all, could simply be dismissed as the American way, by which those people with enough interest, energy, or money get to call the tunes. Although this genre of cynicism has been raised almost to a religion for the politi- cally savvy, giving in to it won't work when you come to the apolitical questions that managers need answered if they in- tend to run their communities well and to run them for all. MAY 2001 The C'rtizen Survey Defined The way to capture that much-vaunted voice of the typical resident is by a citi- zen survey, a scientifically conducted survey whose purpose is to gather the opinions ora sample of adults who rep- resent the entire adult population of a jurisdiction. A citizen survey finds and gives voice to all types of citizens, the poorer as well as the better-off residents, those whose health may keep them from attending meetings and those in better health, shy people and outgoing people, newcomers and old-timers, and those who have a dispassionate point of view as well as those who are emotionally in- -volved. The representative sample tapped in a citizen survey provides the point of view that can be found only in the community at large. We have found that about 15 percent of respondents to citizen surveys have attended any public meeting in the past 12 months. This means that 85 percent of the voices heard in a citizen survey are new. This article, then, addresses citizen surveys that include an evaluation of local government services, that provide a kind of consumer scorecard. Common ,practice in local government service evaluation is to count citizen com- plaints. Typically, these "evaluations" of services come when there is a crisis--for example, right after a snowstorm, when ,treets are impassable and motorists are kate. But snowstorms of criticisn-, are no way to judge the quality of services. Be- muse evaluative surveys collect so much information so much more efficiently than any other kind of citizen participa- tion, they are among the local govern- ment administrator's most useful man- agement tools. 1Nhat's the Point of Surveying? It's not that surveying is the only way or the most accurate way to know what cit- izens in a community think or do: Citi- zen surveying is a compromise made in In the real world-- where time flies and money talks--surveys are the quickest, cheapest, and most accurate way to reckon the state of public opinion.' the face of a scarcity of resources. If time was boundless and money ran like water from a spigot, no one would bother with surveys. In the world of wishes, everyone in a community would be asked and everyone would respond to the questions of interest. There would be no guessing about what the people wanted or what they liked or what they did. In the real world--where time flies and money talks--surveys are 'the quickest, cheapest, and most accurate way to reckon the state of public opin- ion. Survey researchers are stuck with the unenviable job of figuring out what ever?one would say after hearing from only a few. In the typical Gallup poll, pretty good guesses are made about the likely behavior of 100 million Ameri- cans based on reports from only about 2/300 of' *~' ,,em---~ sample of' cn!y about 0.002 percent. The trick to survey research, if there is one, is not in getting x many people to be surveyed but in ensuring that the people surveyed represent well the pop- ulation about whom you're trying to make estimates (inferences). Imagine a 'citizen survey undertaken in New York City that sampled more than a million people. Wouldn't this survey give highly accurate estimates for this city of seven million? Probably not, if all those sur- veyed were from the Bronx. Or if they were all women. Or if riley all worked on Wall Street. With a lot of experience under their belt, survey researchers have proved to offer an accurate and affordable way to determine the predilections, fears, and activities of large numbers of people. Many kinds of errors can occur when public administrators or elected officials use surveys to inform them- selves about their communities. But survey errors are largely controllable. In contrast, the extent of misjudgment as- sociated with other methods of taking a community pulse is hopelessly beyond estimate. There is no way to judge whether the information that public officials get from complaint counts, liability suits, newspaper straw polls, public meetings, conversations with friends, or letters to the editor really represents of all community residents. At least, survey strengths and limita- tions are well understood and can be used to make reasoned estimates of what constituents want. Rules of ThUmb for Good Citizen surveys Maximize the representativeness of: the sample. Give all residents a chance to participate. · Select households at random. · Offer translations to other languages~'.~.~.;.'~i"i~: '~ ' · · Select p~ticipafi~:~hin - households iv, ~o include.selected ho~eholds. Comvare your resffits w~th-resulu.. ~om s~mflar commumttes:~'?~: 'ind t6.rec6mmend &i ne~-stepS.· Cooperate w~th s.~mfla?;. communid~? 'cd'Pare survey res ~ ~'s. :. -;' PUBIJC ~/'~t~IAGEME~T 7 Telephone's Unspeakable Problem In the National Research Center's analysis of surveys from around the country conducted from 1981 to 1991, the median response rate for telephone interviews was 65 percent. It was 35 percent by mail. In its update, conducted in 1998, the median response rate was 38 percent by phone and 35 percent by mail, among the few jurisdictions whose survey contractors still reported telephone response rates. In fact, response rates by telephone have declined so rapidly and so far that it has become uncommon for telephone survey research firms to report their response rates. The American Association for Public Opinion Research has quite specific rules for response rate calculations that, when followed, produce response rates that go from bad (when the most liberal rules are applied) to worse (when stricter requirements for assumptions are applied). It is not difficult to understand what has happened to the telephone survey research industry. In 1990, only 37 percent of American households had answering machines. By 1999, more than 80 percent had some kind of answering device or caller ID or call blocking. The practice of pretending to administer a telephone survey as a ruse for marketing is so prevalent that it has its own name--"sugging"--an acronym taken from the first letters of "selling under the guise" of a survey. A journalist concluded in 1996 that "...an increasing reluctance among Americans to participate in surveys is distorting all polling data. At a time when abuse of the telephone by sleazy sales reps masquerading as pollsters is widespread, refusal rates are soaring."' In fact, a study done in the early 1990s showed that most Americans thought that telephone surveys and telemarketing were the same thing, or didn't know if they were different. One telephone market researcher admitted that "the market research industry has pretty much abandoned the response rate as a tSrimary indicator of survey quality. Despite response'rates in the range of 10 percent to 15 percent, telephone surveying continues because the market research industry is heavily invested in the infrastructure used for telephone interviewing.2 Although there are noticeable differences in response rates for properly conducted phone, mail, and in-person surveys, the differences tend to be small, and the response rates for all methods are low enough to require some investigation of--or adjustment for--non response bias. It is generally accepted that a well-conducted mailed survey can net between a 35 percent and a 50 percent response. For phone surveys, good response rates now tend to between 25 percent and 40 percent, while in-person interviews, which once netted around an 85 percent response, are so expensive-and liability-prone that almost no one does them for citizen surveys. The response rates for intercept surveys vary by the environment and by the task asked of potential respondents. For example, two questions asked of riders sitting on a bus will get more than an 80 percent response but a two-minute survey asked of busy shoppers at an outdoor mall in the winter will get under a 30 percent response. The differences in response rates between the methods, excluding in-person surveys, is not large enough to recommend one method over another. tlohn Liscio for Barron's (November 25, 1996). ':Reg Baker, Marketing Research, Vol. 8, No. 1 (Spring 1996), pp. 22-24. Judging Service quality Evaluative surveys are conducted in many communities across the country, but their proper interpretation remains elusive. For example, what does it mean to discover that citizens are more satis- fied with services from the parks depart- ment than with the services of street maintenance workers? Because most cit- izens prefer parks to potholes, it is better not to base the interpretation of results on absolute percentages but rather to at- tend to changes in residents' evaluations of one service from one survey to the next, and to compare your jurisdiction's results with those garnered across the nation or in similar locales. Many jurisdictions do use the results of citizen surveys to assess the perfor- mance of local government services. In- deed, while it is right to acknowledge that citizen opinion is only one measure of service quality, citizen opinion also may be the most important measure. If you collect trash three times a day, and your residents still rate trash hauling as poor, you have a problem. When you conduct a citizen survey, however, it is important not to presume that you can determine the best services by comparing ratings of one service with those of another. In this "competition;' fire services will always win, and street repair will always lose. Fairer is a com- parison of your fire services with those of other communities and of your street repairs with those of others. Yl/ho Is Doing Citizen Surveys? In 1991, the National Research Center' estimated that citizen surveys were con- ducted each year by 30 to 60 jurisdic- tions of over 25,000 population. By 1998, the center's estimate, derived from a survey of more than 1,000 larger juris- dictions, had risen six-fold, to more than 250 such surveys per year. Evidence from an e-mail survey conducted earlier this year suggests that the use of surveys is continuing to grow. In 1998, many citizen surveys in- MAY 2001 · Look to ICMA ICMA?s special report on citizen surveys, Citizen Surveys: How to Do Them, How to Use Them, What They Mean (second edition) describes the best practices of jurisdictions with successful track records of surveying on everything from local trash pickup to long-term land-use planning. Written by Thomas I. Miller and Michelle Miller Kobayashi of the National Research Center, Inc., Boulder, Colorado, the book incorporates step-by-step guidance for conducting surveys. It answers questions like · What makes a survey reliable? · How can we be sure results really reflect the sentiments of citizens? · How can we interpret the results we get? - How can we be sure our results are comparable from one year to the next? o How much does it cost to conduct a citizen survey? The book summarizes ten principles for using surveys effectively and explains how to integrate citizen survey results into decision making and service improvement. Six case studies illustrate how local governments have used citizen surveys to promote excellence in service delivery and program planning. " Citize, Surveys: How to Do Them, How to Use Them, What They Mean, second edition. 2000. 176 pages. Special Report (42551), $45.00. To order, visit ICMA's Online Bookstore at bookstore.icma.org, or call 800/745-8780. duded questions about service quality and quality of community life. Slightly less popular are questions about the im- portance of various services, resident de- mography; and policy issues. Some sur- veys ask about residents' willingness to pa), for proposed improvements, their use of facilities, and trust in government. Among the communities conducting citizen surveys, almost half intended to measure resident satisfaction with city services, and about a third were gauging community support for policies and funding options. Close to a third in- tended to use the citizen survey over time as a device to monitor change. About a quarter of communities con- ducting citizen surveys used them as part ora planning process, and about 20 percent used the surveys for general in- formation or public relations outreach. More than two-thirds of communities in 1998 characterized the surveys as "very useful," and another third said that their citizen surveys had been "somewhat use- ful." But when it came to identifying ac- lions taken based on the results eta dtizen survey, findings were less positive. About a third of the communities reported using dtizen survey results to assist in policy malting, and about a quarter used tine re- sults for budget decisions or communica- tion with community residents. About a fifth used the results in making decisions about land use or other plans. , Using Survey Results ' So as more and more local governments begin to conduct citizen surveys, the most important question may be: How can we use our citizen survey results once we get them? Here are a few suggestions on how to use survey results. In general, seek help by appointing a joint committee charged with taking survey results and, from them, recommending action (or watchful t~ , waiting). Derisions can affec, zc~mmun~t7 policy, personnel policy, and budget: · Refer to results whenever citizens tell you they know what the community thinks. · Bring results into discussions with elected officials about strategic planning. · Monitor results to track the quality of service delivery. Allocate resources where they seem most needed. · Compare results with those of similar communities to identify opportunities to benchmark service performance. · Consider holding department direc- tors to agreed-upon targets for con- sumer satisfaction. · Decide whether to press for a com- munity policy that you've tested in a citizen survey. · "Jawbone" the results in your citizen newsletter and at press conferences. Thomas L Miller, Ph.D., is president of the National Research Center, Inc., Boul- der, Colorado. Michelle Kobayashi, M.S. EH., is vice president of the National Research Center. Coming in GASB 34 This is the day the playground came to me. And my sister followed oil my rules. And my mom just never stopped smiling. is the day we all got to forget I wos sick. · .-:-. - "vn~tw.~sh~grg"~ :! ' "-" · · If you know a child with - d life4hrealening illness, ' please coil 1-80D-722-W!SH.:'.:.~ ]C~IBLfC MANAGEMENT 9 · 145 University Avenue West, St. Pa~l, MN 55103-2044 Phone: (651) 281-1200 ° (800) 925-1122 TDD (651) 281-1290 LMC Fax: (651) 281-1299 ° LMCIT Fax: (651) 281-1298 Web Site: http://www.lrnnc.org TO: FROM: DATE: MEMORANDUM ~'~"' g 2001 TIF task force members CiTY 01-- GHAi:~iH^$$F~N Andrea Steams, Intergovernmental Relations Representative April 30, 2001 House omnibus tax bill- Article 12 Local Development I have enclosed for your review a summary and the actual language of the TIF and related provisions of the House omnibus tax bill released this morning. As expected, the bill contains Rep. Abrams' H.F. 187 as amended in the Tax Committee, Rep. McElroy's TIF consultant registration bill, and the entirety of the TIF tech/fical bill. · Since the House omnibus tax bill eliminates the general education levy and makes additional property tax class rate changes, $206 million is pumped into the TIF grant program for grants to address deficits caused by those changes through January 1, 2006. Additionally, the existing special taxing authority and pooling authority are expanded to address deficit situations. The House Tax Committee'will reconvene after today's floor session for continued presentation of the omnibus tax bill and for the purpose of taking testimony on its contents. As always, please feel free to contact me with any feedback at 651.281.1258 or stearns~lmne.or[,. The Base Bill Version: Base Document Section April 30, 2001 Page 67 Article 12: Local Deyelopment ol 2 Overview This article makes a number of chahges in local economic development powers. It narrows the "blight test" used to qualify areas as redevelopment districts Under the tax increment financing CrIl~ law and imposes a one-year time limit on most pre- 1990 TIF districts to put in place the spending for their remaining projects. It requires outside T~ consultants who work for cities and development authorities to register with the state. The 'article a[~o makes a lar/~e'number of min6r policy and technical type changes in various TIF and abatement laws. It grants special TIF authority to five cities: · Aurora · Gaylord * North St. Paul * Park Rapids · Robbinsdale An additional $1.5 million is allocated for border city enterprise zone credits, and the city of Luveme is given border cify development zone powers.' Iron Range f'rscal disparities. Adds a cross reference in the fiscal-disparities law for the taconite tax relief area to make it clear that all pre-existing TIF districts are . exempt from contn'buting to the fiscal disparities pool until they are decertified. It is effective retroactive to the effective date of the taconite area fiscal disparities law. The new language is consistent with the way in which the law is being, administered. Additional enterPrise zone allocations. Directs the commissioner of the Department of Trade and Economic Development (DTED) te allocate $1.5 million for additional border city enterprise zone credits for cities along the western, border. These credits are to be allocated among the qualifying cities (Breckenridge, Dilworth, East Grand Forks, Moorhead, and Ortonville) on a per capita basis. Based on 1999 population, the $1.5 million would be allocated approximately as follows: Breckenridge $108,705 Dilworth . 88,882 East Grand Forks 243,245 Moorhead 998,553 Ortonville 60,613 Article 12: I_zx:al Development -4 . 5 .6 .7 The Bas~ Bill Version: Base Document Section April 30, 2001 Page 68 These enterprise zone credits can be used for a variety of tax reductions under present law: ,, exemption for the sales tax on building materials and equipment ,..an income tax credit for a percentage of debt financing to construct new or expanded facilities ,- a state paid property tax credit Also authorizes the allocationg to be used for any other taxes imposed on businesses located in the zone... Imposes. a.:'but-£or'..' .type. finding as a condition on the 'city awarding the tax reductions (i.e., the city must find that the reductions are needed to attract or retain the business). ~ . Scope definitions. Extends the application of defirdtions under the tax incremefit financing act to include the special taxing authority, the pre-1990 district spending · rules, and the registration of TIF consultants. Bonds. Includes interfund loans and advances in the definition of bonds. Section 26 explicitly authorizes repayment of interfund loans with tax increments. · Blight test. Substitutes the term "similar structures" for "improvements" in the blight test for redevelopment districts and renewal and reno~,ation districts. This clarifies that gardens, lawns, landscaping, farm fields, and simil~ items do not meet the occupancy test. This section also narrows the definition of "substandard buildings" used in the blight test. The blight definition requires 50 percent of the buildings in an area to be "substandard" to qua/i~ as a redevelopment district. Under present law, this is defined generally to include defects in "structural elements" or a "combination of deficiencies in essential utilities and facilities" that are of "sufficient total significance" to justify renovation ~r removal. The section substitutes two alternative tests for substandard buildings: ,. A dilapidation type test that focuses on the repair condition of building - i.e., "advanced state of disrepair or neglect of necessary repairs" as shown by a documented building analysis showing major repair Or removal is needed; or ,. Major defects in secondary components of the building which would cost 25 percent of the appraised value of the building to correct. Cross reference correction. Corrects erroneous cross references in the renewal and renovation district statute to the redevelopment district definition and makes a similar change in the use of the term Lmprovement to that contained in section 5. Economic development districts. Elimin~ates the proMbition on creatktg an economic dev,.,ov~,,t disrfi~,~ ff it could qu~ as ax~other type of district. Article 12: Local Develor~ment The Base Bill Varzion: Base Document April 30, 2001 Page 69 Section -9 10 ,11 ,12. Definition of increment. Clarifies that the interest clause ia the definition of increment only applies to interest earned on idle cash (e.g., bank deposits and similar amounts) and not interest paid on developer loans and similar obligations. This change makes a substantive difference only because.repayment of developer advances and loan.q' has a different (delay .ext) effective date than interest. The change, in effect, treats interest on developer loans made before July 1, 1997 as not subject to the ~pending restrictions on increments. Contents of TIF plans. Makes two changes in the TIF plan requirements. Required contents., of the TIFplan. It limits the.budget to. the district, rather than the project as under present law, and to the amount of increment. (Other revenues could still be included 'in the budget, but would not be required to be included and they. would need to be budgeted separately.) It requires a plan to separately budget for (if increment is to be spent within these categories): · Administrative'expenses · Property acquisition and site preparation (including related public improvements that are part of site preparation, such as sewer and water connections) · · Public improvements · Payments for private improvements and other.eligibl~ costs The amounts budgeted in each category would be binding; if the authority wishes to spend more than the budget item, a plan amendment would be required. - Authority to waive increments. The authority to waive increments for redevelopment, h.ousing, and hazardous substance subdistricts is repealed. · Municipality approval Eliminates the conclusive effect of the fmdings~by the development authority and the municipality in approving a TIF plan. These findings include the fmd~gs under the b!/ght test, the bu~-,,, tes~_~ ~6 the consistency of rne TIF plan with the general plan for development of the muniqipality. Filing of TIF plans With the state. Reinstates the requirement that copies of the TIF plan and amendments to the plan be fried with the commissioner of revenue. The commissioner is to provide a copy to the State Auditor on the request of the Auditor. Filing must be done within 60 days of the latest of the (1) request for certification of the district, (2) approval of amendments to the plan by the municipality, or (3) adoption of amendments to the plan by the development authority for plan amendments that do not require municipal approval. Annual financial reporting. Eliminates the requirement that budget amounts be included in the annual report for a TIF district. This change conforms to the changes rhade in the line item requirements for the T~ p~ in section 9. Article 12: Local Development The Base Bill Version: Base Document Section April 30, 2001 Page 70 13 .14 Cross reference correction.. Elin-dnates a cross reference to, a repealed statute. Duration Hmlts, Makes two changes in the basic duration limit statute: · It eliminates the shorter duration limits for redevelopment, housing, and ' hagardous substance subdistricts that .waive increments. These districts would not be permitted to waive increments under the amendment'in section. 9. · It provides that receipt by a hazardous substance subdistrict of an increment (i.e., an increment as a'result of the wHte-down of original tax capacity) does not start the duration lin:fit running on the overlying TIF district itself. The district's duration limit' will only l~gi_n to run when the tax capacity of the district increases over the original tax capacity for the district (rather than the subdistrict). .15 Pre-1979 districts. Makes three changes in the spending and duration limits that apply to pre-1979 distridts. These districts are allowed to use increments after April' 1,2001, to paY the administrative costs that are imposed by the county for administering the district. Interest or similar investment earnings on pre-1979 increments are subject to the spending limit. This change is effective f6r earnings received after December 31,2001. · A pre-1979 district must be decertified once it has collected enough increments to pay all of the outstanding pre-1990 bonds. .16 Hazardous waste subdistricts, waiving increments. Repeals the shorter duration limit for hazardous substance subdistricts that waive increments. · 17 . 18 Administrative expenses. Modifies the limitation on administrative expenses to provide that the limit will be calculated relative to increments from the district, rather than the expenditures for the project. Th/s change is effective for new districts. Restrictions on spending increments. Makes changes in the statute .specifying the permitted purposes for spending increments to be consistent with the changes in budgeting of items in the TIF plan. as provided in section 9. If the budget includes no amount for an item, it is deemed to be zero. If the authority decides to include more specification than the required items, the amounts in these subcategofies would not be binding (i.e., the authority could move money among these subcategories within the items without a plan amendment). -19 General government use. Moves the restrictions on the uses of increments for social and recreational facilities to.a separate subdivision and eliminates the need for the mun/cipal/ty to approve operating and management policies for social and recreational facilities financed with incre, n;~ents. Article 12: Local Development The Base Bill Version: Base Document April 30. 2001 Page 7 t Section · 20 - 22 23 24 · 25 Social and recreational facilities. Re, codifies (without substantive change) the prohibition on using increment for social, recreational, and similar facilities. The effective date includes the grandfather provision that was contained in the 1999 legislation and permits assigned binding contracts and letter of intent to qualify under the grandfather provision. .- Pooling permit'/ed. Redefines when pooling is permitte~ for deficits in increment revenues. The permitted u'~es are expanded to include binding contracts (e.g., "pay as" you go" agreements). This change makes the pooling authority consist with the grant program. The new allow~mce is for districts for which the request for certification · . was made before June--2~. 2001; andcovers- reductionS-in-increments as a result of the class rate changes and the elimination of the general education tax levy under this act. This change allows the pooling to be used to cover deficits created by the property tax reform changes. ... Adjustment to original net tax capacity for exempt property. Allows the development authority to exclude improvements the authority makes to exempt property from original net tax capacity when the exempt property becomes taxable. - State tax and increment computation. Provides that the state property tax does not generate tax increment. .. Deduction for enforcement costs. Changes th~ portfgn of tax increments dedicated to the office of the state auditor for enforcement from 0.25% to 0.34% to mainta~ approximately the current level of funding in light of the elimination of the general education tax levy. Enforcement scope. Extends the scope Of the section relating to enforcement (both . private actions and State Auditor's powers) to include the special taxing district authority to eliminate deficits. - 26 Interfund loans. Authorizes the authority or municipality to pay project costs with interfund loans and receive reimbursement, with interest, from increments. In order to do so, the authority or municipality must aaopt a res-~u~,~e, zuthorizing the loan and setting its terms, in writing. These terms must include, at least, the principal, interest, maturity, and a repayment schedule. The interest that may be charged is limited to the higher of the judgment interest rate or the rate on unpaid state taxes. Pre-existing interfund loans are ratified, if the interesi rates comply with the maximum rate limits. Article 12: Local Development The Base Bill Vm'sion: Base Document April 30, 2001 Page 72 Section 27 28 29 30 Special taxing authority foe deficits. Expands the special tax authority for Tn:: deficits caused by property tax rate compression. This taxing authority allows a city to levy a special tax on properties in a Tn:: district that have either developmeht agreements or assessment agreements to recoup (on behalf of the TIF district) some or all of the property iax savings resulting from 1997-98 class rate compression.. The section changes these dates to include the changes made in the 2001 session and to include districts created through June 2, 2001. Under present law, the authority is limited to cities. The bill expands it to all municipalities (e.g., towns and counties). Special taxing authority for deficits, Extends the special taxing authority to include the effects ofcIass rate compression proposed, in the bill:. Special taxing authority, calculation 'of maximum' tax. Extends this authority to the 2001 property tax compression and clarifies how the limit will be calculated. Under present law, the maximum special tax that a property can be required to pay is either the amount of tax specified in the development agreement or the market value in the assessment agreement multiplied by the tax rate differential. The bill provides a method of calculating this limit ff neither a dollar amount of tax nor an minimum market value is specified. In this case, it would be the dollar amount the development agreement requires the authority to spend on behalf of the district's development. If no dollar amounts are specified, then no limit applies, Pre-1990 districts. Prohibits modifications ofTIF pla~s for pre-1990 TIF districts after April 30, 2001 and imposes a time limit on spending increments from these districts paralleling the 5-year rule.for post-1990 districts. This time limit is set as April 30, 2002. One of the following must be completed by April 30, 2002 to permit increments to be spent after that date: Bonds are issued and the proceeds of the bonds have been spent or deposited in a reserve or replacement fund. ,- Binding contracts are'entered into with a third party to pay for the costs. ,. ~'lt~e costs are paid (e.g., by the authorky or the city) and the increments are used to repay the city or authority. After April 30, 20002, increments may only be used to pay these obligations. When: they are paid, the district must be decertified. Exemptions. The following districts are exempt from the time limits: ,. The county board approves, by resolution, an exemption for the district by April 1, 2002. ,. Increments are spent to match federal funds. ,- A special law-authorizes the ~,,~'~;~',- Article 12: Local Development The Base Bill Version: Base Document Section April 30. 2001 Page 73 3'1 The district's duration was extended by special law, .the extension was · approved by.the county, city, and school and the state aid offset apples to the duration extension. TIF consultants. Subd. 1. Definitions. Defines terms for purposes of th~ b~: Act means the TIF act and the state aid offset.. Commissioner is the commissiOner of revenue. . . Consultant includes an both individuals and entities (e.g., corporations and partnerships).providing consulting serVices. Consulting services means providing professional advice (e.g., legal, accounting, and fiscal services) regarding the TIF act to a municipality or development authority. Providing services to a private entity (e.g., a business) would not be covered. Subd. 2. Registration. Requires consultants who provide consulting services to municipalities and development auth°rities to register with the commissioner of revenue. To do so, a consultant must: · Agree in writing to abide by the act. ' · Agree in writing to make its records available for inspection by the State Auditor, the Commissioner of Revenue, or the Commissioner of Commerce for field or financial audits under the TIF act. · Certify knowledge of the TIF act and published guidelines of the State Auditor. · Submit certificates of required insurance coverage. The commissioner ~ to mainF~- a ~ vf registered consukants. Only regmtered consultants may provide consulting services to mur2cipalities.. The registration requirements do not apply to employees of the authority or municipality. Increments may not be used to pay unregistered consultants. Development authorities and municipalities may not hire consultants on a contingent fee.basis (e.g., compensation is dependent upon creation of a distric~ or is a percentage of increment or TIF spending). Registered consultants are to file supplemental information promptly, if the information on file becomes inaccurate or incomplete. Registration takes effect . 30 days after the application is filed and remains in force until voluntarily terminated or until suspended by the commissioner of commerce. Article 12: Local Development The Base Bill Version: Base Document Section April 30, 200I Page 74 - 32 · 35' A registration fee of $100 applies to the initial registration and $25 to annual renewals. The fee is deposited in the general fund. Subd. 3. Sanctions. Authorizes the commissioner of commerce to revoke or suspend the registration or censure a registrant. A maximum civil penalty of $10,000 applies. Violations subject to sanctions includ, e: · . Failing to conform to minimal standards of acceptable and prevailing legal, accounting, or fiscal practices under the act · Committing fraud, embezzlement, theft, and similar acts · Being subject to discipline by a licensing body in Minnesota or another state · Failing to comply with the ongoing registration requirements . : · Failing to comply with a provision of or order under the TIF act or the commerce department's powers · · Providing services without being registered · Being incompetent, untrustworthy, or financially irresponsible · Making material misrepresentations or omissions to the municipality, authority, or commissioner. ', · Entering a contingent fee type compensation·'agreement. Subd. 4. Orders. Authorizes the commissioner of commerce to issue orders revoking, suspending, censuring, or denying applications for registration. This includes authority to enter sunumry orders suspending registrations pending a final ~termination. An administrative hearing must be held within 30 .days. *. Effective for Consulting services provided after July 1, 2002. Abatements by towns. Cia~fifies that for prepe~.' ~ abatements 0y towns, the board of supervisors is the governing body. The 1999 legislature authorized town boards (rather than the annual meeting) to approve abatements. When this change was made, the reference in the definition of governing body was not changed. This section corrects that mistake and is made retroactive to the date of the 1999 change. Abatement, relationship to TIF. Prohibits dropping parcels from a TIF district in order to grant an abatement. It would not-affect the authority to grant an abatement after decertification of the entire TIF district. .34 Duration limit on abatements. Cia,rifles that the duration extension for abatements (from 10 to 15 years) when only two political subdivisions approve an. abatement applies to both politica~ subdivisions, not j,,~t_,,. ,~h,...,., ."'-."."'~:'~',,~,~,~, unit of g~ve~ar~nt. Article 12: Lacal Development The Base Bill Version: Base Document Section April 30, 2001 Page 75 · 35 · 36 · 37 · 38 39 40 Abatement bonds. Limits the referendum exemption for abatement bonds. Abatement bonds used for buildings primarily used to conduct the business of a unit of govemment would require approval by the voters in a referendum. · Increment definition, effective date. Amends the effective date of the definition of increment to make it clear that the basic definition (i.e., property tax paid by captured tax capacity) applies to all increments of pre-1979 districts and to in.terest and similar investment earnings received after December 31, 2001. Effective date, housing outside project area. Extends the 2000 legislation permitting spending of a share.of increments onlow income housing activities outside of the project areas to all post-1982 districts. Hollman housing, exemption for low-rent public' housing. Provides that low-rent punic housing built under the Hollman decree qualifies for the property tax -.- exemption and the requirement to make payments in lieu of property taxes, even if the properties are owned 'by municipalities or other entities. Under present state law, this · exemption extends only to housing and redevelopment authorities. Federal law requires these properties to be exempt from property taxes. Aurora, TIF. Allows the city of Aurora to extend the duration of a pre-1979 TIF district through December 31, 2009. This will allow the city six additional years of increment. This district is scheduled to be decertified a~; the end of 2003. The section' allows the district's increments to be spent on public redevelopment costs anywhere within the project area. General law prohibits use of increments from pre- 1979 districts after April 1, 2001, except to pay for bonds issued before April 1, 1990 (or bonds issued to refund them). Gaylord T1F, effective date. Authorizes the city of Gaylord to extend the duration of a pre-1979 TIF district. The extension may not extend beyond December 31, 2008. The 1997 legislature authorized an extension of the duration of this district, but the city, county, and school district apparently failed to act. The authority to approve ~ -. ~ 2',-~ special legislation expires on the first day ~.,t the ne~ bi~.e~.-,Jal le~s~ive sessiori~ Thus, the authority to approve this legislation expired in January i 999. Because this is a pre-1979 district without pre-1990 bonds' outstanding, this district was effectively decertified at the 2000 and, thus, will generate no increment in 2001. As a result, the bill would, in effect, revive the district in 2002. In addition, the section provides authority to spend increments during the extension period. Effective upon local approval by the city, county, and school district. Article 12: LOcal Development The Base Bill Version: Base Document Section April 30, 2001 Page 76 41 42 43 North St. Paul, TIF grant. Directs the commissioner of revenue to pay a $12,800 grant to the city of North St. Paul. This grant is to be charged against the appropriation to make up TIF deficits caused by the 1997, 1998, and 1999 property tax class rate compressions. The bill cites that thiS. grant is to compensate the city' for a 1999 calendar year deficit determined on an accrual basis. The commissioner is to pay the grant within 60 days ager enactment. Effective day .following final enactment Without local approval. Park Rapids, TIF. Extends the 5-year rule by one .year for a redevelopment district in Park Rapids. Effective upon local approval by the.city of Park Rapids. . . Background information. 'The 5-year rule requires the "in-d/strict" portion of increments to be spent (or bonds to be issued) within 5 years after the TIF district is certified. The pooling rules require either 80% of increments (most districts) or 75% of increments (redevelopment districts) to be spent on activities actually located inside the TIF district. This percentage is the "in-district" percentage. After the end of the 5-year period, the in-district portion of the increment must be spent only to pay obligations incurred to finance these activities completed during the first 5 years. When they are paid, the district must be de. certified. The pooling percentage (i.e., the rest of the increments, either 20% or 25%) can continue to be spent on new activities after the end of the 5-year period. ,. Robbinsdale, Tn*. Allows the city of Robbinsdale to spend.increment from a pre- 1979 district on general project costs through June 30,'2001. This will allow the .city three additional months (from April 1, 2001, to June 30, 2001) to pay for these project costs with increments. General law prohibits use of increments from these districts after April 1, 2001, except to pay for bonds issued before April 1, 1990 (or bonds issued to refund them). Effective the day following final enactment and after filing of the local approval by the.city with the secretary of state. Luverne; Border city development zone. Allows the city of Luverne to designate up to six areas of the city as border city development zones. Each area or zone is limited to no more th~ I00 acres. The general law rules for border city development zones apply to these zones. The bill allocates $183,000 to the city to be used in providing tax reductions for the zones. This limit or cap on the zone tax reductions does not apply, if the commissioner of revenue waives the limit. 45 Repealer. Repeals both of the state aid offsets (i.e., the one for new districts and for extensions of district duration limits), effective for taxes payable in 2002. With the state takeover of the education levy, the state aid impact of Tn:: is minimal. Article 12: Local Development Thc B~se B~ll ¥cr~ion: B~c ~ocumcn~ Section April 30, 2001 Page 13 34 35 36 Rental housing tax base replacement aid. Subd. 1. Aid amount. Provides aid to counties and cities in 2003 and subsequent years based on the reduction in tax capacity resulting from rental housing class rate reductions for taxes payable in 2003 and 2004. The aid is equal to the jurisdiction's reduction in tax capacity for 2003 in excess of 0.4 percent of the jurisdiction's total net tax capacity times ttie jurisdiction's local tax rate for taxes payable in 2003. Subd. 2. County aid. Provides that a county's aid amount under subdivision 1 is permanently added to the county's HACA amount for 2003 and subsequent years, and then the same amount is permanently added again.for.2004 and subsequent years. Subd. 3. City aid. Provides that a city's aid amount under subdivision 1 is added to the city's grandfathered LGA base for 2003, and then the same amount is added again for 2004.and.subsequent years. Subd. 4. Appropriation increase. Provides for an increase in the overall city LGA appropriation limit by the amount of additional aid provided under this section for 2003 and 2004. Electric generation tax base replacement aid. Provides that for taxes payable in 2002 only, the county auditor must compute all local tax rates as ff the class rate for electric generation machinery was 2 percent instead of 1.5 perc. ent. When taxes are levied on electric generation machinery, the actual class rate of 1,5 percent will be used. The state Will provide aid to each affected local taxing jurisdiction equal to the difference between the tax intended to be levied and the tax actually levied due to the provisions of this section. Effective for taxes payable in 2002 only. TIF grants. Subd. 1. TIF grants. Provides for grant payments to municipalities in 2003, 2004 and 2005 for deficits in tax increment financing districts caused by the changes in class rates and the elimination of the state-determined general education levy under this article. Requires a municipality to impose the special tax under article 12: sectio~ 27 to 29, in order te qualify for a graat und~ .~c u.c~. set,om T~ ~.mount of the grant is equal to the lesser of (1) the reduction in the district's revenues from the class rate changes and the elimination of the general education levy, or (2) the amount needed by . the district to pay off bonds issued before and binding contracts entered into before June 2, 2001, less the municipality's total tax increments including unspent increments from previous years and the revenues derived from the special tax under article 12, sections 27 to 29. Payments will only be made to districts for which certification was requested before June 2, 2001. Article 2: Property Tax Reform The Base Bill Version: B~se Document Section April 30, 2001 Page 14 37 38 39 Subd. 2. Appropriation. Appropriates $184 million in FY 2002 and $22 million in FY 2003 fi.om the general fund to make grants under this section. Provides that the appropriations are available until spent. Provides that if the amount of grant entitlements for a year exceeds the amount available, all grants shall be proportionately reduced. Subd. 3. Expiration. Provides that the grant payment program expires on January 1.2006. Assessment guidelines. Requires the commissioner of revenue to develop instructional materials and issue guidelines to assist.local assessors in valuing land and buildings separately in the case of commercial-industrial property subject to the state general tax by December 31, 2002. Appropriation. (a) Appropriates $6 million from the transit fund to the commissioner of transportation to finance nonmetrop01itan transit systems for FY 2003. Provides that grants to recipient systems in calendar year. 2002 must provide funding to compensate for the elimination of transit levy authority under section 7. (b) Appropriates $105.2 million from the transit fund to the metropolitan council to fund the operating costs of transit services in the metropolitan area for FY 2003. Repealer. Repeals the general education levy, the education homestead credit and the education agricultural credit for taxes payable in 2002.. Also repeals technical provisions -related to transit zones (eliminated in section 11) and the education homestead credit. Article 2: Property Tax Reform C]TYOF CH SEN 690 C#y Center Drive PO Box I 47 5ha~d~25sen, Minnesota 553I 7 Phone 952.937.I900 Go~eral Fax 952.937. 5739 En~neering Deparmlent Fax 952.937.9152 Building Dqoartment Fax 952.934.2524 Web Site ~ut,utci. chanhassen, mn. us May 3,2001 M-Con, Inc. Jon McDonald, President 109814th Street NE Hanover, MN 55341 Dear S' . Thank you for your bid on the City of Chanhassen's Roundhouse pavilion renovation. The City has elected to postpone commencement of this project due to higher than anticipated costs. Your bid bond is enclosed. Again, thank you for your interest in Working for the City of Chanhassen. Sincerely, Todd Hoffman Park and Recreation Director TH:ns C-' Scott Botcher, City Manager City Council Park and Recreation Commission g:\park\thXroundhousepostponementltr BID BOND The American Institute of Architects, AIA Document No. A310 (February, ] 970 Edition) KNOW ALL MEN BY THESE PRESENTS, that we M-Co;~., Inc. as Principal hereinafter called the Principal, and Merchants Bonding Company as Surety, hereinafter called the Surety, are held and firmly bound unto City of Chanhassen, Department of Natural Resources as Obligee, hereinafter called the Obligee, in the sum of Five Percent (5%) of amount of bid Dollars ($ ), for the payment of which sum well and truly to be made, the said Principal and the said Surety, bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, firmly by these presents. WHEREAS, the Principal has submitted a bid for Renovation of Chanhassen Round House Pavllion 'NOW, THEREFOR_E, if the Obligee shall accept the bid of the Principal and the Principal shall enter into a Contract with the Obligee in accordance with the terms of such bid, and give such bond or bonds as may be specified in the bidding or Contract Doduments with good and sufficient surety for the faithful performance of such Contract and for the prompt payment of 1 .a;bor and material furnished in the prosecution thereof, or in the event of the failure of the Principal to enter such Contract and give such bond or bonds, if the Principal shall pay to the Obligee the difference not to exceed the penalty hereof between the amount specified in said bid and such larger amount for which the Obligee may in good faith contract with another party to perform the Work covered by said bid, then this obligation shall be null and void, otherwise to remain in full force and effect. Signed and sealed this 5th day of December , 2000 M-Con. Inc. Principal Witdess Merchants Bonding Company Surety (Seal) Lauri~ Hag~ 0 Attorney-in-Fact lv . cchants Bonding Corral. any (MUTUAL) POWER OF ATTORNEY Know All Persons By These Presents, that the MERCHANTS BONDING COMPANY (MUTUAL), a corporation duly organized under the laws of the State of Iowa, and having its principal office in the City of Des Moines, County of Polk, State of Iowa, hath made, constituted and appointed, and does by these presents make, constitute and appoint Angela Sue Cofield, I~urie L. Rmge, Edythe Dankert, Cecile M. Fraley, Roberta L. Hoskins of .t~.'u~. eap.oli.s, and State of Mizmesota its true and lawful Attorney-in-Fact, with full power and authority hereoy conTerreo in its name, place and stead, to sign, execute, acknowledge and deliver in its behalf as surety any and all bonds, undertakings, recognizances or other written obligations in the nature thereof, subject to the limitation that any such instrument shall not exceed the amount of: FOUR MILLION ($4,000,000.00} DOLIJLRS and to bind the MERCHANTS BONDING COMPANY (MUTUAL) thereby as fully and to the same extent as if such bond or undertaking was signed by the duly authorized officers of the MERCHANTS BONDING COMPANY (MUTUAL), and all such acts of said Attorney-in-Fact, pursuant to the authority herein given, are hereby ratified and confirmed. This Power-of-Attorney is made and executed pursuant to and by authority of the following Amended Substituted and Restated By-Laws adopted by the Board of Directors of the MERCHANTS BONDING COMPANY (MUTUAL) on October 3, 1992. ARTICLE II, SECTION 8. -The Chairman of the Board or President or any Vice President or Secretary shall have power and author- ity to appoint Attorneys-in-Fact, and to authorize them to execute on behalf of the Company, and attach the Seal of the Company thereto, bonds and undertakings, recognizances, contracts of indemnity and other writings obligatory in the nature thereof. ARTICLE II, SECTION 9.- The signature of any authorized officer and the Seal of the Company may be affixed by facsimile to any Power of Attorney or Certification thereof authorizing the execution and delivery of any bond, undertaking, recognizance, or other suretyship obligations of the Company, and such signature and seal when so used shall have the same force and effect as though manually fixed. ' in Witness Whereof, MERCHANTS BONDING COMPANY (MUTUAL) has caused these presents to be signed by its President and its corporate seal to be hereto affixed, this 7th day of December ,1999 . SS. STATE OF IOWA COUNTY OF POLK , MERCHANTS BONDING COMPANY (MUTUAL) · Pr~s~.rt On this 7th day of December , 1999 , before me appeared Larry Taylor, to me personally known, who being by me duly sworn did say that he is President of the MERCHANTS BONDING COMPANY (MUTUAL), the corporation described in the foregoing instrument, and that the Seal affixed to the said instrument is the Corporate Seal of the said Corporation and that the said instrument was signed and sealed in behalf of said Corporation by authority of its Board of Directors. In Testimony Whereof, ! have hereunto set my .... hand anO affixed mv C~,'im.~ Seai at th~ ,~, of Des Moine.. lc. wa. the (~ay =n_' year first above written. ee ~ ee · --~- O0 · .',,~ ...... .<L'. · 12:: %~ · · : IOWA ~ . ' · · · · · · · ~'. :~ · · · ee · · 0,,~_'..oo....,...~[~/_~ · STATE OF IOWA COUNTY OF POLK ss. · · Notary Public, Polk Countj4 Iowa ~SC O814 (P./98J I, William Warner, Jr., Secretary of the MERCHANTS BONDING COMPANY (MUTUAL), do hereby certify that the above and foregoing is a true and correct copy of the POWER-OF-ATTORNEY, executed by said MERCHANTS BONDING COMPANY (MUTUAL), which is still in force and effect. In Witness Whereof, I have hereunto set my hand and affixed the Seal of the Company on this day of , ~a9 OZ Z001 14;IS;44 ~i~ F~x -> filZ 937 57219 Administrator Page I]fll 0£ 0FI1 ' . . ' .~ ~ . I~ax: (651) 281 1299 1'1)1)(651)~61 129() Local Ordinances Nullified: Legislative Alert May 2, 2001 'Yesterday on the House floor Representative Tom Hackbarth (R-Cedar) amended the Omnibus Environment Finance bill to include legislation exempting shooting ranges from afl_[ future local ordinances. Rather than adopting sound measures guiding the harmonious coexistence between ranges and adjacent property owners, the House chose instead to adopt bad publlc policy in what appears to be a political statement for the benefit of a narrow special interest. The bill exempts this business from all future ordinances. For example, your city may wish to enact an ordinance relating to the building code, fire code, garbage collection, signage, noise pollution, septic systems, adult businesses, dangerous dogs, alcohol or tobacco, crc, Shooting ranges WILL NOT be subject to any of those ordinances. Additionally, the law exempts shooting ranges from any liability for being a nuisance. For example, ifa shooting range is an attractive nuisance and draws small children to it out of curiosity, the range will be held harmless from any claim arising from damage due to its attractive nuisance quality. The only way a shooting range will be closed is if the DNR says it is a safety hazard to new development. Existing adjacent property owners have no righ! to petition their local government for protection. In the event a shooting range is determined to be a safety hazard by the DNR, it may be closed if the local government unit pays for all costs, including the purchase of all real & personal property and value of the business, Then it requires the local government to buy a new site to give Io the range operator, if so requested. ' The irony is that under the bill a range may operate 24 hours a day, change its shooting configurations, expand its operation, refuse to provide signage, increase noise, put up spot lights, ignore local soil and water conservation programs and there is nothing a local government can do about it. The following legislators voted in support of this legislation. Anderson, I. Finseth .luhnke Milbert Pugh Thompson Bakk Fuller Kalis Molnau Rhodes Tingelstad Bishop Gerlach Kielkucki Mulder Rifenberg Tuma Boudreau Goodno Knoblach Murphy Rukavina Walz Bradley Goodwin K-inkie r-~ess R:.tth V,:-'asiluk Buesgens Gunther Kubly Noraes Szhumacher Wenzel Carlson Haas Kuisle Olson Seagren Westerberg Cassell Hackbarth I_arson Osskopp Seifert - West rom Clark J. Harder Lieder Osthoff Sertlch Wilkin Daggett Holberg Lindner Ot remba Skoe Wi nter Davids Holsten Lipman Ozment Smith Wolf Dempsey Howes Luther Paulsen Solberg Workman .-)(- Dorman Huntley Mahoney Pawlenty Stanek Spk. Svlggum The LMC and AMC have been working with proponents to draft legislation that protects shooting ranges from unwarranted closure. The Hackbarth amendment is not the answer. Please let your legislators know this is bad law and ask them to work with local communities to create a solution that protects all private property rights, not just the rights of a special interest. If you have questions please comaci Remi Stone at 65.1..281,1256 or AN EQUAL OPPORTUNITY/AFFIRMATIVE AC'NON EMPLOYER (?it;a,; pr,.nnt;;~,~7 axce//~.,~..~ -> 937 5739 fl&ministrator Page 001 0£ 001 ] -~5 L.l,~ive. rsity Avenue. West, St'. I)aul, hi 1N 551 ()3-2()~4 I'hone: (651) 281-] 200 (800) 92.5-1122 I~ax: (6.51) 281-1299 '1'1)1) (651) 281-1290 Local Ordinances Nullified: Legislative Alert May 2, 2001 ADDENDUM: The following 12 Representatives were inadvertently omitted from the previous fax containing the list of legislators voting to support legislation exempting shooting ranges from local ordinances. I apologize for any inconvenience this may have caused. Abeler Eastlund Jacobson Mares Pelowski Stang Abrams Erhardt Jennings Marquart Penas Swenson Anderson, B. Erickson Johnson, J. McElroy Peterson Sykora Again, the LMC and AMC have been working with proponents to draft legislation that protects shooting ranges from unwarranted closure. The Hackbarth amendment is not the answer. Please let your legislators know this is bad law. Ask them to remove it from the Omnibus Environment Finance bill, SF 2351. If you have questions please contact Remi Stone at 651.281.1256 or rstone(_~.imnc.or~ AN I~QUA L OPPORTUNITY/AFFIRMATIVE ACTION EMPLOYER Ma6~ B1 2BBZ 14:IB:3G V~a Fax -> Gl2 937 5?39 FAX April 30- May 4, 2001 {no. 2) III ~1 _.1 II A_ MM NgW. S Fax is faxed to all AMM ¢1~ managtr~ ~d ad~n~tr~o~, l~g~lative ~nt~s ~ ~ard ~e~, Ple~e share ~ f~x with your ~yor& counea~en ~d ~ff to ~ep them ~r~ of 145 Unive~ Av~ W~ ~ ~au~ MN 55107-2044 ~ho~: (650 215~000 F~ (651) 281-12~ ~. ~I 45.o~ Association of Hunicipalities House Omnibus Tax Bill Update HF2498, (Rep. Ron Abrams) can be found on the Intemet in its 554-page entirety, as well as a House Research Summary. To view the bill or the summary go to the AMM's website (www.amm 145.org) and select "Minnesota Legislature" from.the options in the left-hand column. From there, select "Minnesot~i Legislature's Bill Tracking Sys- tem'' and then "House Bills." Enter"HF2498" into the space given for bill number and hit "search." You may select to view the full text of the bill or the House Research Bill Summary. Ifyou do not wish to print the entire docu- ment, you may r~i~h[igh~_ ~ par-- ticular section and select "pr'int selection" from your print menu. Apparently there was some confusion after yesterday's,~A,1M News Fax concerning levy limits. The wording in the bill (Article 4, Section 8, pages 100-103)is somewhat confusing. However, cities do not lose a year of popu- lation or inflation. The base is increased for two years for inflation plus current population. Also, as indicated yesterday, if a city's actual levy in 2000 (pay- able 2001 ) exceeds the levy limit calculated for 2001 (payable 2002) the city may levy the greater amount for 2002. Al- though the city will not see an increase under this scenario at least the city will not have to reduce its levy. Testimony is being taken today ~ .d toni§hr, The comm~'~ee · mark up the bill tonight, it will go to Rules and then the floor by Friday. The Senate Tax bill may be available Wednesday. l'bg El ZBBl 14:1B:36 Via Fax -> 612 937 S739 Scott Botcher AMM FAX lie April 30- May 4, 2001 (no. 2) ., AMM News Fax i~ faxed to all AMM el~y mtmagers and administrators, legislative contacts and Board mernb~rs. Please share this ftrx with your mayors, councilmembers and staff to keep them abreast of impor- tant mctro city issue~ 145 University A venue West St. t'aul, MN $$105-2044 Phone: (651) 215-4000 Fa~' (651) 281-1299 F-mai/: ~un145.org Association of Iqetropolitan Municipalities House Omnibus Tax Bill Update HF2498, (Rep. Ron Abrams) can be found on the Internet in its 554-page entirety, as well as a House Research Summary. To view the bill or the summary go to the AMM's website (www.amm145.org) and select "Minnesota Legislature" from the options in the left-hand column. From there, select "Minnesot~ Legislature's Bill Tracking Sys- tem'' and then "House Bills." Enter"HF2498" into the space given for bill number and hit "search." You may select to view the full text of the bill or the House Research Bill Summary. If you do not wish to print the entire docu- ment, you may hi~,~, h[i~ht a par- ticuiar section and seiect ~prir,[ selection" from your print menu. Apparently there was some confusion after yesterday's,~dVIM News Fax concerning levy limits. The wording in the bill (Article 4, Section 8, pages 100-103) is somewhat confusing. However, cities do not lose a year of popu- lation or inflation. The base is increased for two years for inflation plus current population. Also, as indicated yesterday, if a city's actual levy in 2000 (pay- able 2001) exceeds the levy limit calculated for 2001 (payable 2002) the city may levy the greater amount for 2002. Al- though the city will not see an increase under this scenario at least the city will not have to reduce its levy. Testimony is being taken today and tonight. The committee will mark up the biii tonight, i~; ~,~ii go to Rules and then the floor by Friday. The Senate Tax bill may be available Wednesday. CITYOF CHANHASSEN 690 CiO, Cemer Drive PO Box I47 Chanhassen, _Mi, nesota 55317 Phont 952937.1900 General Fax 952.937.5739 £,ffneeffng Depamnent Fax 952.937.9152 .B~dlding Depart,~n Fax 352.934.2524 ~b Site ~t~:ci. cha,/~ssen, m,.us MEMORANDUM TO: FROM: Recreation Center Dance Staff Susan Marek, Recreation Center Manager Todd Hoffman, Park and Recreation Director DATE: April 30, 2001 SUB J: Commendation As you £malize plans for your spring dance recital, I want to take a moment to commend you on a job well done! What a huge task! Your dedication to this important program does not go unnoticed. Putting on two shows with 750 people attending each performance is truly a remarkable feat. I look forward to hearing the reviews. Again, thank you for all your hard work! ¢: Scott Botcher, City Manager Todd Gerhardt, Asst. City Manager ~l~layor and City Council Park and Recreation Commission G:\park\th\dancerecital Mon Apr 23 12:30 AM Tues Apr 24 9:50 AM Tues Apr 24 5:52 PM Tues Apr 24 6:06 PM Weds Apr 25 9:19 AM Weds Apr 25 4:04 PM Weds Apr 25 8:24 PM Thurs Apr 26 4:20 AM Thurs ~ Apr 26 11:11 AM Fri Apr 27 10:07 AM Fri Apr 27 6:49 PM Sat Apr 28 1:27 PM Sat Apr 28 2:53 PM Sat Apr28 3:47 PM Sun Apr 29 12:45 AM CHANHASSEN FIRE DEPARTMENT FIRE/RESCUE WEEK OF APRIL 23, - APRIL 29, 2001 Bluff Circle Utica Lane Summerfield Drive Chanhassen Road Pond Promenade Chaska Fire Dept Big Horn Drive Cardinal Avenue Hazeltine BOulevard Elm Tree Bridle Creek Trail Highway 7 & Greenbriar Ave West 78th Street Lakeview Road East Lotus Lake Fire alarm - false alarm, no fire Medical - possible heart attack Medical - trouble breathing Medical - possible stroke Medical - cut chin Mutual Aid- structure fire Medical - difficulty breathing Medical - seizures Fire alarm - false alarm, no fire Medical - possible heart attack Propane gas tank fire Possible car fire - cancelled enroute Medical- seizures Smoke in the apartment Water rescue ~pr 38 2881 15:52:1G Via Fax AMM FAX NE April 30- May 4, 2001 (2 pages) -> G1Z 93? 5?39 Scott Botcher Page 88Z 0£ 883 A sodadon of Hetropolitan Hunicipalities House Tax Bill Impacts Cities Class Rate Reduction The property tax section of the House tax bill would significantly reduce and compress the class rates applied to all types of properties. For residential homesteads, the bill eliminates the second tier and applies the current first tier rate of 1.0% to the entire value of the properly. For residential non-homestead, there would continue to be a tier break at $76,000, but the first tier rate would fall from 1.2% to 1.0% and the second tier rate would fall from 1.65% to t .5%. Under the proposal, the class rate for all apartments would change gradually to arrive at 1.0% (the same as residential homesteads) by payable 2004. The class rate for regular apart- ments woutd decline from 2.4% to 1.5% for payable 2002, then to 1.25% for 2003 and 1.0% for AMM News' Fax is'fax, ed to all ,,tMM city manager~ anti administrators, legislative contacts and Board members. Please share thb'fax with your mayors, counclImembem and staff lo l~eep tttem abreast of impor- tant metro city issues. 145 Univers#y /lvenue We~t St. Paul, M'N $SI03-2044 Phone: (651) 215-4000 Ia.x: (651) 281-1299 .E.mnE: ~mmJ 45. org 2004. Low-income apartments would decline from 1.0% to 0.9% for payable 2002, but then creep back up to 0.95% in 2003 and return to 1.0% in 2004. The rate for small city apartments would decline from 2,15% to 1.5% for payable 2002, and then fall to 1.25% for 2003 and 1.0% for 2004. A 1.0% rate would aisc be applied to all seasonal recr¢~, ational property-- both cornmer- cial and residential, starting with payable 2002. The class rate difference between homestead and seasonal resorts would be eliminated. Seasonal resorts would be exempt from referen- dum market value taxes, but would pay a state property tax. As with residenti~! the second tier of seasonal recreational residential would be eliminated, with a 1.0% class rate applied to the entire value of the property. The rates for C/I property would also fall, and the tier break would increase from $150,000 to $200,000. The class rate for the first tier (up to $200,000) would be 1.5%, down from 2.4%, while the rate for the se~ tier R,,ver $200,000) would fall from 3. to 2.0%. The rate on electric generation machinery would fall from 3.4% to 1.5%. The bill includes a state prop- erty tax on commercial-industrial and seasonal recreational prop- erty, with the same class rates for the state tax as for local taxes. Finally, the bill would reduce the number of tiers for agricultural homesteads from three to two. Currently, the first tier (up to $115,000) is at 0,35% and second tier ($115,000- $600,000) is at 0,8%. These tiers would be combined under a 0.55% rate. The rate forthe upper tier (over $600,000) would decline from 1.2% to 1.0%. Non- homestead agricultural land and buildings would also decline from '~,2% to 1.0%. Homestead Credit Provided new homestead credit equal to 37 percent of net tax capacity of each homestead to a maximum of $256. Levy Limits Levy Limits are imposeQ for cities over 2,500 for taxes levied 2001 payable 2002 and 2002 CO~lJ~llgff ~g.~l pagg... Apr 38 Z081 15:53:07 Via Fax -> G1Z 937 5739 Scott Botcher Page 883 0£ 883 ...continued from previous page 2001 is the adjusted levy limit base for levy year 1999 plus specials plus one year household and inflation growth. Levy base is adjusted each year for household and inflation (Implicit Pdce Defla- tor). The property tax levy limit is the adjusted base minus general purpose aids. The allowable levy is the greater of (1) the calcu- lated amount, or (2) the amount actually levied in 2000 less any amount for specials. Thus, a city whose levy increased over what the limit for 2000 would have been will not have to reduce their levy but will not be able to in- crease above the limit calcula- tion. Maintains special levies other than 1997/98 flood and tornado related specials. LGA/HACA HACA is eliminated, LGA is increased by $81 million to $505 million in 2002. Limits Metro first class city increase to 55% of HACA loss. Limits other cities increase to 50% of net levy for taxes payable 2001. Also in- creases aid base for cities losing electric generation property tax through compression. In 2003 and beyond a Rental Housing Tax Base replacement aid is provided for net tax capacity reduction in excess of.4 percent due to rental housing class rate compression. similar to those contained in HF 1505. Among the major provisions of the article are the following: Metropolitan Council Leg isla- five Commission The contents of HF 981 have been included in the omnibus bill. Sales Tax/Education/General · Although there were about 40 requests for sales exemption for city buildings, NONE were granted. The general sales tax on city purchases was not elimi- nated. State determined education levy is eliminated. A statewide property tax on C/! and seasonal recreational is provided to raise $429.4 million in 2002. Tax Increment Financing (TIF) Article XI! of the omnibus bill addresses TIF. Many of the . general law provisions included in the technical bill or separate bills have been placed into the bill. In some instances the lan- guage has been modified. For example, the pre- 1990 provi- sions retain the dates - plan modification by April 30, 2001 and activities completed or commenced by A[~ri130.2002 bL'. aiso permi[=., e;~mptions · Registration of TIF consultants · Definition of substandard building to be either dilapi- dated or deteriorating. The effective date for this provision is prospective for new districts (Sept. 1,2002) · Redefines use of increments from pooled districts and expands the use of special taxing authority for deficits. Another article of the bill (Ar- ticle Section 36) establishes a TIF grant program to assist districts to cover deficits caused by the tax class changes and the elimination of the general educa- tion levy. The appropriation for the grants is $184.0 million in fiscal year 2002 and $22.0 million in 2003. Transit Property Tax The bill transfers 19.5 percent of-motor vehicle sales tax (MVS'I') to replace metro council transit property tax for opera- tions. Does not affect capital levy. Protects optouts by requiring a proportional amount be allo- cated. FINANCE Muni Days Are Here Again A reinvigorated municipal bond market is attracting investors, as well as helping issuers lower their costs. BY PENELOPE LEMOV asdaq's nosedive is good news for the municipal bond market. Jittery traders are now looking for safer places to park their money. And there's more good news: U.S. Treasuries a~e en route to being zeroed out. That means muni bonds--particu- larly triple-A rated government obligation bonds---could become the Object of the fixed-income investor's affections. The municipal bond market may be short on cachet; but when risk rises in the gtitzier, high-profile markets, the Plain Jane starts looking like a pretty' good place to be. Technology has lowered his county's bond-bldding co~ts by 90 percent, say. s Tim Flrestlne, Montgomery County, l~arylard's finance director. Moreover, during the decade in which other markets captured all the attention, the old-fashioned and tradition-laden muni marketplace updated itself. Muni bond investors can now buy some bonds over the Intemet, click on Web sites to check out the fiscal stability of an issuer and go online to get a handful of real-time bond quotes. In other words, e- trading is underway, disclosure is faster and more widely available, and price transparency--well, it's still in the fledg- ling stage, but it's moving forward. This is all well and good for investors. But what does it mean for issuers? In general, by' making munis more investor-friendly, the modernization ef- fort should bring more individual in- vestors to the market, and increased activity Usually translates into lower interest 62 G O V E I~ N I hi O May 2001 rates issuers have to pay to borrow money. Beyond interest rates, though, other changes in the $1.3 trillion marketplace are bringing down issuance costs dramati- cally, even while some of the evolutions are creating more responsibility for issuers. Two major forces have been converg- ing to lower issuance costs. One is the 'seemingly endless squeeze on underwrit- ing spreads--the profits Wall Street firms make when they bring a bond to market. Ten years ago, underwriters enjoyed spreads of more than 11 points between buy and sell prices; today the average spread is nearly half that. As fees get squeezed, the industry con- solidates. Major and minor firms have been getting out of the business. For issuers, this side effect does not create unalloyed joy. When a bond deal is com- plicated and the issuer is looking for cre- ative ideas in structuring its debt, under- writer service becomes important. And that's what may suffer when profitability is squeezed. "Having been on the under- writer side of the business myself, I know · that if you keep cutting fees, something · has to give somewhere," says Frances Walton, the chief financial officer for New York's Empire State Development Corp. "It's not to anyone's advantage to try to keep beating fees down further." Not surprisingly, as president of the Bond Association, a trade group that rep- resents municipal bond dealers, Micah Green points to another negative scenario. If large Wall Street firms or major regional companies leave the marketplace, it could result in an issuer having fewer purchasers a.5 btcS. aers ~0r ~rs t~an'~. 'q.f there's over- · capacity, the market has to adjust," he says. "To the extent the marketplace has to be more efficient to be profitable, the marketplace is doing what it can." ' In addition to consolidating, the muni market is also turning to technology to hammer down bidding costs. Electronic bidding is where a lot of firms and issuers are moving. With e-bidding, an issuer puts its bond proposal up on an electronic net- work and underwriters respond electroni- cally with their bids for the business. "It works like a whistle," says South Carolina Treasurer Grady Patter,on. "It saves a ~ of mone~' and also s~,5.. ~'..gs u.~,~ Goverrling,com The Long-Squeeze .' - - -~~. ~t~.munlcil:~_. llssu~nce'~ ~ :~.~ ¥.~?~?: 1990. :. 1991 ~'..1992 ':1993 t'(~ 1 ~94 ?) 1 ~6 c::.1996 ;~1997)~ 1998 ;41999 ;;: 2000 '~7~ Instead of the day or two it used to take for underwriters to hand in written bids and then have the issuer calculate the offers to determine the winner, it now takes only two or three hours for the whole shebang. "I can remember six or seven years ago when a bond sale tied up the county's computers all day to analyze the bids," ,says Tim Firestine, finance director for Montgomery County, Mary- land.-"Now we know almost instanta- neously who the winner is." The savings for issuers are considerable. When Firestine thinks of the salaries that were tied up in the traditional bidding ~ocess and the amount of printing and mailing of documents that went on, he estimates that his county's bidding costs have dropped by as much as 90 percent. Several Wall Street firms have formed joint ventures to develop e-trading plat- forms, for both the primary market of new issues and for trading in the seconda~ mar- ket. There are currently dozens of these e- trading systems functioning, although only three or four are expected to survive. Most of them are for broker-dealers to buy new bonds from issuers and to sell to each other; few, if any, of them are designed to provide ' a marketplace for individual investors to buy or sell tax-exempt bonds. As to systems that give issuers a chance to sell bonds directly to investors, that's been happening but not as widely and not with as much momentum as the issuer- dealer system. Still, most jurisdictions that have tried it--Pittsburgh was the fl/st in 1998~have gone back for more. G. Louise Green, chief of Baltimore's Bureau of Trea- sury Management, reported that when her de~ issued bonds where individuals were allowed to purchase them online, it found a whole new market of investors who were now attracted to the city's bonds. Direct-to-investor e-trading doesn't work for all bonds--it's most effective for the plain-vanilla, general obligation issues that have strong credit ratings. In other words, bonds that stand to do well online are those that dorYt need a sales pitch to sell. Technology is also bringing issuers savings on the disclosure front. During Arthur Levitt's seven-year. chairmanship, which ended in February, the Securities and Exchange Commission pressured issuers to provide investors with more and better information about the issuer's fiscal situation--the ability to repay a bond, be it from general revenue funds or a more narrowly targeted revenue stream. If all that additional information--offi- cial statements and updates on fiscal events within the issuing jurisdiction, for example--has to be printed and mailed, it runs up quite a tab. And when disclosure rules were first being prom-b~t~-~ early !99C~s, issuers were co,c-creed a~ut the additional costs the new demands would create. But then came the Internet and the ability to send documents to underwriters, investors and government regulators electronically. While that's made compliance easier and cheaper, it can sometimes be overwhelming for the receiving end. "We're getting so many Official Statements by e-mail, it's overloaded our printing capacity," says Hyman Grossman, managing director for public finance at Standard & Poor's Corp. Credit-rating agencies and others who need to pore over disclosure doc~enrs are also 6a G 0 V I= R N I N G May 2001 having to use the World Wide Web to gain access to such items as state budgets. Most states are posting all their firiandal, budget and audit information on Web sites and dis- seminating notice of that information through e-mail. The state of Florida, for instance, no longer provides S&P with a hard copy of its documents. The Web certainly saves on Printing bills, but it also raises some legal and regu- latory issues. One of those is how to deal with hyperlinks imbedded in Web sites. That is, ff an issuer refers a potential investor to another Web site in which one of the issuer's documents resides, is the issuer incorporating all the information in that Web site into its disclosure docu- ments or just referring someone to the spe- cific information as a common courtesy? While neither the SEC nor its muni mar- ket ann, the Municipal Secutifies Rulemak- lng Board, has yet to rule on these kinds of Intemet-disclosure issues, there's no short- age of suggestions for solutions. Jeffrey Green, general counsel for the Port Author- ity of New York and New Jersey, would like to see rules for electronic disclosure syn- chronized with those for paper disclosure. On the question of hyperlinks, for instance, an issuer could put a pop-up screen on its Web site so that when investors click on a hypeflink, the pop-up alerts them to the fact that they are leaving the issuer's site, going somewhere else and that the issuer doesn't vouch for all the information on the other sites. "We need to have appropriate disclaimers and wamings and segregate information intended for bond holders from other information," Green says. Given that and other concerns about electronic access to information, many issuers are wary of 100 percent e-distribu- tion of disclosure documents. That's the case in Montgomery County. "We're not s::;1 c,.~cerned about the regulatory envi- £onlnent." One other area that the muni market hasn't mastered yet is price transparency: letting individual investors know what the price of a bond is on any given day. Even state-of-the-art technology has not been able to come up with a full-fledged, stock- exchange-style ticker tape. That's not too surprising, given that the trillion-dollar marketplace has hundreds of millions of outstanding bonds. Right now, price transparency depends on prototype buy and sell 'prices. The MSRB rum a re~rting ~stem o~actual Governing.com I The era of performance measurement is here! Government will never be the same. Governing's Guide to Performance Measurement for Geniuses [and Other Public Managers] JOHATflAH WALTERS "Measuring performance is about trying to understand what we are supposed to do and showing people ~that we did it. Measuring Up demystifies the sacred and focuses on the practical .... Measuring Up is the first book I have seen that recognizes the common sense basis for performance management." --G. Edward DeSeve Former Deputy Director for Management, U.S. Office of Management and Budget; Current Partner and National Industry Director, KPMG Feat Marwick Measuring Up is a hype-free primer on the ins and outs of perfor- mance measurement in the public sector. Told through the real experiences of those on the front lines, Measuring Up is a straight- forward guide to this management technique--how it works in the real world and how to make it work for you. To order, call CQ Books at 1-800-638-1710 (ISBN 1-56~0z-~o~.-4) $14.95 Quantity discounts 'available May 2001 muni bond transactions and that i~orma tion is available through several source~, including the Bond Market Association' site, investinginbonds.com. The bottom line on price transparen% according to S&P's Grossman, is this "We're creeping there." In addition to all of these changes issuers are now using a new type of cot. lateral to access capital. Securitizatior has become an important muni bond cate. gory and is enabling issuing govemment~ to turn i.O.U.s and expected payments intc money in the pipeline. Tax lien bonds, based on bundled collections of unpaid tax bills, were one of the first models. Today, tobacco bonds are the hottest entry. The biggest tobacco deal to date is South Car- olina's $935 million tobacco bond, which came to market this past March and was secured by the state's $2.4 billion share ot the national tobacco settlement ' Grant anticipation notes are based on a similar theory: Bonds are issued with the promise to repay investors from Payments scheduled to be collected in years to come. Massachusetts' grant anticipation{ notes for the Big Dig, for instance, promised to repay investors from federal payments that were scheduled for the next few years. An even more recent type of bond is a TIFIA--bonds issued under rules set out under the Transportation Infrastructure Finance and Innovation Act. TIFIA sup- plies credit enhancement to infrastructure projects that would normally be rated below investment grade. New York's Empire Development Fund is looking to a TIFIA bond to help pay for the redevel- opment of New York City's Penn Station. ":'. ¢,~ a gap we might blare had d~'~ult-~ ~Eng," says Frances W.'Aton. These innovations and enhancements are well and good, but they pale in parison to the prestige that could redound to the muni market if muni bonds become the benchmark for fixed-income debt--a role that's now played by Treasury bills. As the federal government cuts back on T-bill issuance, the investment markets may look to GO bonds with high credit ratings--North Carolina GO bonds played that role some 40 years ago. "There's nothing safer than a triple-A rated muni bond backed by the full force o{ a government taxing auth~_B','; ~ys Firesune. "k's almost as good as the U.S. Treasury." [] Governing.corn LEAGUE OF MINNESOTA CITIES 2001 AWARDS PROGRAM RECEIVED RPR $ 0 ?_0111 Recognizing Minnesota cities for building quali communities What is the LMC Awards Program? Each year, the League o£ Minnesota Cities Awards Program honors the out- standing contributions of elected and appointed city officials, and recognizes city innovation and excellence in service to citizens. The 2001 LMC Awards Program includes three opportunities for recognition: [] The C.C. Ludwig Award honors the accomplishments of an outstanding elected city official [] The Leademhip Award honors the accomplishments of an outstanding appointed city official. [] The City Achievement Awards recognize city'innovation and excellence in service to citizens in five categories: -' - Citizen, Community & Youth Development - Communications - Cooperation. - Housing, Economic Development & Community Spaces - Public Safety Help the League honor the accomplishments of your city's leaders and services in building quality communities across ~e sm~e. ~4case consider nominating an elected of appointed city official or entering your' city for recognition by May 18, 2001. Please see inside for details. ,LC _qC MINNESOTA CITIES 15uilding Quality Communities CITY ACHIEVEMENT AWARDS The League has a long tradition of promoting the important role of Minnesota cities and the lengths city officials and leaders will go to improve their communities. The annual City Achievement Awards spotlight city leaders and their work to enhance the quality of life and the vitality of our cities. What is an Achievement Award city? While each city's accomplishments vary, the underlying themes are the same. Award-winning cities: [] Involve citizens and youth in the local government process. · Improve city communications to better explain city services. [] Work together to promote effective and efficient local government. [] Create opportunities for unique projects. [] Approach challenges with creativity and ingenuity. [] Strive to do more with less. Does your city have a program to share? In 2001, the City Achievement Award categories are: Citizen, Community & Youth Involve- ment; communications; Cooperation: Housing, Economic Development & Community Spaces; and Public Safety. A total of two awards may be given in each category; one to a city under 10,000 population, and one to a city over 10,000 population. When can we share the success? City Achievement Award winners are notified prior to the LMC Annual Conference in June. Each entry is displayed at the LMC Booth and a brochure summarizing all of the entries is induded in the Annual Conference packet. The League also announces winners in LMC publications and submits press releases to the winners' communit7 newspapers° Deadline and details Entries must be submitted or postmarked by May 18, 2001 to: Erica Norris, LMC, 145 University Avenue West, St. Paul, MN 55103-2044. Each entry should consist of two sets of materials as detailed in the enclosed l~structions Form. Who do ! c~ll il: I have questions? Erica Norris can answer your questions about the City Achievement Awards. - Contact her at enorris@lmnc, org, (651) 215-4032, or (800) 925-1122. C.C. LUDWIG & LEADERSHIP AWARD The League celebrates the commitment and service of outstanding elected city officials through the C.C. Ludwig Award and outstanding appointed city officials through the Leadership Award. ~fi/hat mak~ them winner~? These city leaders are chosen for their breadth of vision, statesmanship, and unselfish concern for the general good. They regularly go above and beyond their job requirements and contribute to improving city government through national, state, county, city, professional or other public organizations. These awards also reward city oflqcials for their work in improving their communities, for the influence they have had in raising the prestige of local government service, and the number of years they have served their communities. Past award winners have demonstrated these qualities in a number of ways, from spearheading a community effort and obtaining funds to improve safety on a highway; or going the extra mile to connect citizens and promote their city through numerous public appearances, to creating a multi-city collaborative model for planning and coordinating the delivery of human services. How do ! nominate someone? Nominations are accepted from a council of an LMC member city or any civic organization concerned with local government and endorsed by the city council. ,, When can ! share the success? C.C. Ludwig Award and Leadership Award winners are announced at'the banquet during the LMC Annual Conference in June. The League also announces each w~nner in LMC publications and submits press releases to the winners' community newspapers. Deadline and details Nomination must be postmarked by May 18, 2001 to: Cathy Dovidio, LMC, 145 University Avenue West, St. Paul, MN 55103-2044. Please see enclosed Instructions and Nomination Form for additional requirements and information. 2000 LMC AWARD WINNERS C.C. Ludwig Award · Vince Schaefer, Mayor, City of Rockville (under 10,000 population) · Calvin "Kell7' Ferber, MaTor, City of Fergus Falls (over 10,000 population) Leadership Award [] Robert Erickson, Administrator, City of Lakeville (over 10,000 population) City Achievement Award Winners Citizen, Community & Youth Category · City of Rosemount (over 10,000 population) · City of AnokamHonorable Mention (over 10,000 population) Conununicafions Category , · City of Anoka ' (over 10,000 population) , · City of Burnsville~Honorable Mention (over 10,000 population) Cooperation Category · City of Brooldyn Center (over 10,000 population) Housing, Economic Development & Community Spacez Category · City of Brooklyn Park (over 10,000 popuhtion) Public SaK-ty Category · City of Minnetonka (over 10,000 population) league of Minnesota Cities 145 University Avenue West, St. Paul, Minnesota 55103-2044 [651) 281-1200 · (800) 925-1122 · Fax: (651) 281-1299 · TDD: (651) 281-1290 · www. lmnc.org 2 0 0:1. L M C A W A R D S P R O G RA M CITY ACHIEVEMENT AWARD RULES :1.. Establishment and purpose. The City Achievement Award shall be made in accordance with the following rules to a deserving Minnesota city that is a member of the League of Minnesota Cities. The award shall be made at an appropriate time during the LMC Annual Conference. 1. Eligibili~ for award. The award shall be made to a Minnesota city that has achieved excellence in city innovation and governance in one or more of the following categories: - Citizen, Community & Youth Involvement · Communications ° Cooperation ° Housing, Economic Development & Community Spaces ° Public Safety To be eligible, the subject of the award nomination must have been initiated and/or implemented between Jan. 2000 and April 2001. ~.. Enl./contents. Please submit two portfolios or two three ring binders that include the following information: · Completed Entry Form for LMC CityAchievementAward. o Specific information as detailed in Instructions for 2001 LMC City AchievementAward. - Supporting materials as described in Instructions for 2001 LMC City J~chievementAward. ag. 3udging. Judges may include experts from the various awards categories', city and state officials, and previous LMC City Achievement Award winners. If there are a large number of entries ih a category, a panel of League staff will conduct a preliminary screening. Judges will Select one award for each population category (over 10,000 and under 10,000) in each award category. If the quality of entries in a category does not meet the judging standards, judges have the right to withhold an award. $. Criteria. Evaluation of the award entries will include analysis of the following details: · Overall quality ° Planning and research o Meeting stated project objectives o Adherence to professional standards o Allocation ofbudget . ° Effective use of personnel and other resources o Innovation and effectiveness o Applicability to other cities Judges will provide written feedback on each entry. The League will return one entry and judges' evaluations following the LMC Annual Conference. League of Minnesota Cities 145 University Avenue West St. Paul, MN 55103-2044 Entry deadline. All entries must be submitted or postmarked by May 18, 2001 to: Erica Norris 7..l~lotification of winners. Winners will be notified prior to the Annual Conference. League of Minnesota Cities Cities promoting excellenee 2 0 0 I L I~1C A W A R D S P RO G RA M CITY ACHIEVEMENT AWARD INSTRUCTIONS All entries must include the following specific information: a. Category o Citizen, Community & Youth Involvement · Communications · Cooperation Housing, Economic Development & Community Spaces - I)ublic Safe~y b. Description and overview of project, including: - Strategy (purpose/process) o Goals and objectives "Implementation . Budget · Results/evaluation/applicability to other cities c. Summary statement of 100 words or less All entries may also include supporting materials; i.e., maps, newsletters, brochures, plans, etc. Each entry should consist of two complete sets of information, submitted in two portfolios or two binders. Name of city Population City/state/zip Contact l~erson Plmne number_ /~-mail address ENTRY FORM FOR 2001 LMC CITY ACHIEVEMENT AWARDS Please copy, cut, and mail with each entry to: Erica Norris League of Minnesota Cities 145 University Avenue West q~ Pad, ~,:N ~"' .... .,., x 03-2044 The deadline for entries is May 18, 2001. Mailed entries must be postmarked no later than the deadline for consideration. 2 0 0 I L M C A W A R D S P R 0 G R'A M C.C. LUDWIG & LEADERSHIP AWARD RULES Establishment and Purpose. The League of Minnesota Cities C.C. Ludwig Award and the League of Minnesota Cities Leadership Award shall be made in accordance with the following rules to a deserving elected/appointed Minnesota municipal official of a city or town that is a member of the League of Minnesota Cities. The award shall be made at an appropriate time during the LMC Annual Conference. Eligibility for Award. The award shall be made to the elected/appointed official who has, in the opinion of the judges, the most outstanding record of public service for a city among those nominated for the award. To be eligible, an official must have been in office during the year preceding the award deadline date (deadline for 2001 is May 18). In making their determination, the judges shall take the following factors into account: a. The extent to which breadth of vision, statesmanship, and unselfish concern for the general good have been characteristic of the nominee's public life. In evaluating this characteristic, importance shall be attached to the following: {[1} Service above and beyond that which is reqUired by the nominee's position. {2}Contributions of the nominee in the interests of improved municipal government through national, state, county, municipal, professional or other public organizations or agencies. b.The nature and extent of the improvement in municipal government'or nominee's municipality attributable to the nominee's service and the lasting character of such 'imprOvement. .~ , c. The respect in which nominee is held by the community and the influence the nominee has had in raising the prestige of municipal government service. The length of nominee's municipal service. This factor shall not be considered as important as other criteria except that service of the nominee should have been long enough to have established a pattern of continued, unselfish conduct in office. No award shall be made if, in the judges' opinion, no nominee meets the standards of excellence contemplated by these rules. The judges may make two awards in one year when, in their opinion, two nominees meet the standards contemplated by these rules. However, if two awards are made, 'one must be made to ap. official of ~ munidp~iw of less than 10,000 population. l~lominations. Nominations may be submitted by the council of a member city or any. civic organization concerned with local government as long as the organization has the endorsement of the city council. All nominations must be submitted or postmarked by May 18, 2001. Please refer to nomination form for specific mailing instructions. Suitable and timely announcements shall be made in soliciting nominations for the award. Questions should be directed to Cathy Dovidio at (651) 281-1250 or (800) 925-1122. League of Minnesota Cities shall choose three or five persons as judges to select the League of Minnesota Cities C.C. Ludwig Award/Leadership Award wS.n_ner for tlnat year. Judges shall be outstanding Minnesota citizens or public officials who are not eligible for the award, except that if five judges are appointed, no more than two may be members of the Board of Directors of the League of Minnesota Cities. aL .'hldges. No later than the last day for nominations each year, the president of the 2001 LMC AWARDS PROGRAM C.C. LUDWIG & LEADERSHIP AWARD INSTRUCTIONS Nominations for a League of Minnesota Cities C.C. Ludwig Award/Leadership Award may be made by a city council or by any civic organization concerned with local government function as long as that civic organization has the endorse- merit of the city council. The person nominated must be, or have been during the year, an elected (C.C. Ludwig Award)/appointed (Leadership Award) Minnesota municipal official, but not necessarily from the city making the nomination. The size ofthe city will not be a factor; the judges will evaluate individuals by their contributions as compared with the general nature of the problems and challenges facing the city. Please be specific in answering questions. Providing specific examples and situations will be of greater significance than general statements in evaluating the nominees. The nomination form may be supported by other materials showing the nominees's public service and dedication. This material may include, but is not limited to, newspaper articles, pictures, editorials highlighting accomplishments and/or municipal service; letters of appreciation from citizens or other public officials; and letters of recommendation from public officials or community leaders. While this type of supporting material is not required, it is highly encouraged. Those making the nomination will want to keep in mind the following factors the judges will take into account in determining the winners of the League of Minnesota Cities C.C. Ludwig Av~grd/Leadership Award. The extent of which breadth of vision, statesmanship, and unselfish concd'rn for the general good have been charac- zeristic of the nominee's public life. In evaluating this characteristic, importance shall be attached to the following: ~, Service above and beyond that which is required by the nominee's position. b. Nominee's contributions to improve municipal government, through national, state, county, municipal, professional, or other public organizations or agencies. The nature and extent of the improvement in municipal government or nominee's municipality attributable to the nominee's municipal service and the lasting character of such improvement. The respect in which the nominee is held by their community, and the inf!..aence the nominee has had in raising the prestige of municipal government service. Thelength of nominee's municipal service. This factor shall not be considered as important as other criteria except that service of the nominee should have been long enough to have established a pattern of continued, unselfish conduct in office. League of Minnexota Citle~ Cities promo~ng excellence 2001 LMC AWARDS PROGRAM C.C. LUDWIG & LEADERSHIP AWARD NOMINATION FORM It is very important to be as specific as possible when completing this nomination form. If additional space is required, please attach additional sheets. Deadline for completing this form is May 18, 2001. The nomination form may be supported by any other material bearing facts which the judges are required to take into account when selecting the League of Minnesota Cities C.C. Ludwig & Leadership Award recipient. This material may include, but is not limited to, newspaper articles, pictures, editorials highlighting accomplishments and/or municipal service; letters of appreciation from citizens or other officials; and letters of recommendation from public officials or community leaders. Person being nominated: City Title Nomination is submitted by: Name City (or Civic Organization) Address Office Phone ( ) Home Phone ( ) How long has the nominee held their current municipal position? From (Month, year) tO (Month, year) Please list any other positions/public offices, and the years served, that the nominee has held (e.g. Councilmember, 1990-1994). LUDWIG & LEADERSHIP AWARD -- NOMINATION FORM J Please list any positions/offices held, and the years served, in any city, county, regional, state, or national municipal organization (e.g., President, Managers Association, 1998-99). Please li~ any other public service, such as a member of a citizen's committee; involvement with committees or task forces involving state, county, or municipal government; involvement with the League of Minnesota Cities and/or the National League of Cities, etc. 5. Please highlight the nature and extent of the improvement in the nominee's municipality or surrounding area that is attributable to the nominee's municipal service. 6. Please highlight contributions made by the nominee to improve municipal government. lC.C. LUDWIG & LEADERSHIP AWARD -- NOMINATION FORM 7- Has the nominee received other awards or citations for municipal accomplishments? If so, please provide the name of the award, the reason the award was presented, and when the award was presented. '8. Highlight any other evidence that the nominee is held in high public esteem. Other facts influencing the nominee's selection for the League of Minnesbta Cities C.C. Ludwig Award/ Imadership Award. If you have any questions concerning the nomination form or the League of Minnesota Cities Leadership Award process, please contact Cathy Dovidio at (651) 281-1250 or (800) 925-1122. Mail nominations to: Cathy Dovidio League of Minnesota Cities 145 University Avenue West St. Patti, MN 55103-2044 The deadline for nominations is May 18, 2001. Mailed nominations must be postmarked no later than the deadline ~r~- for consideration. -> FRI_)AYFAX A weekly legislative update from the League of Minnesota Cities Number 17 April 27, 2001 PERA legislation advances in Senate, stalls in House Contact your House member The recommendations of the Legislation Commission on Pensions & P,etirement to address the PERA coordinated plan deficiency have stalled in the House. Legislative inaction could increase the PEP, A coordinated plan's shortfall by an additional $70 million each year. League discussions with key mem- bers of the House indicate that the rank and file House membership currently does not believe the pension issue is a high priority. Although a delayed legislative response may prevent immediate pressure on property taxes to fund the necessary contribution increases, the funding deficiency will not magically disap- pear. In fact, the ultimate cost will only continue to rise. Action Needed Please contact your House member: o Urge them to address the PERA coordinated plan deficiency this year. o Also, urge them to approve an annual state contribution to the plan to reduce pressure or~ local property taxes. In the past, the state has contributed state resources to other plans to assist with those funding deficiencies. Given that the state sets benefit levels and contribution rates, we believe state assistance to the PERA shortfall is justified. On Wednesday, the Senate State Government Committee merged the two major pension bills and approved the bill including provisions that will begin to address the PERA coordi- nated plan's funding deficiency. Under the Senate bill, employer contributions would increase by 0.35 percent beginning on Jan. 1,2002, and an additional 0.35 percent on Jan. 1, 2003. Employee contributions would be increased by equivalent amounts. The Senate bill also appropriates a mere $2 million in state resources to reduce the needed employer/ employee contribution increases and would make modifications to the plan that will, over time, help address the fund's deficiency. These plan modifications include the implementation of a partial service credit and a delay in the amortiza- tion date until 2031. Although Education Minnesota, the state's teacher's union, has opposed a provision that would transfer school PERA employees to their retirement fund, the Senate bill still contain~ _ the transfer language. A Pension Commission recommendation that would have transferred the funding of excess mortality costs from the active fund to the post fund was eliminated from the final Senate bill. Tax committees delay omnibus bills Ti~e House Tax Comm~ee has delayed the release of its omnibbs tax bill until Monday. The delay was apparently forced by disagreement among House Republicans about the content of the bill, including the magnitude of income tax cuts and property tax reform. The bill will apparently contain many of the property tax reforms pro- posed by the governor, including additional property tax class rate compression, a state takeover of the general education propertytax levy, and a new state-imposed property tax that will be applied to businesses and possibly cabins. We believe it is likely that the House will use city HACA to pay for the state takeover of the general education levy, but we believe it is unlikely cities will be granted a sales tax exemption for their purchases· The bill will likely contain a reverse referendum provision for counties and cities over 2,500 population. The reverse referendum would require that a city hold an election if a number of citizens equal to 5 per- cent that voted in the last general election sign a petition challenging a property tax levy increase· If the voters do not support the levy increase, the city's levy would be reduced to the previous year's amount. On Monday morning, the' committee: chair will unveil the bill and the members will walk through the initial draft. On Tuesday, the committee will take public testimony on the bill· On Wednesday, the committee will mark up the bill. The Senate Tax Committee still has not unveiled the specifics of their finalize their bili in the near future. Currently, the Senate may be considering changes to the LGA formula and appropriation, additional property class rate compression, and at least a partial state takeover of general education property taxes. The Senate bill will not likely contain law limits, nor will it contain a reverse referendum. The sales tax exemption for local government purchases has not been ruled out, but the bill might only contain an ~For more information on city legislative issues, contact any member of the League of 3/Iinnesota Cin'es Intergovernmental Relations team, (651) 281-1200 or (800) 925-]122 t%pr 27 Z001 1Z:0Z:ZS Via Fax -> 61Z 937 5739 adainistrator Pase 00Z 0f 00Z .-RIDAY.'-AX exemption for certain purchases or a reduction in the sales tax rate applied to city purchases. Redevelopment Account lacks adequate funding Early indications of legislative support for state "funding for redevelopment activities now appears to be in question. Early in the session, Rep. Bob Gunther (R-Fairmont) and Sen. Randy Kelly (DFL-St. Paul) introduced legislation that would have appropriated $15 million for '[he Department of Trade and Economic Development's (DTED) Red eveiopm e nt Acco u nt. U nfo rtu- nately, funding anywhere near this level has not been included in the omnibus bills. The House Omnibus Jobs & Eco- nomic Development Finance bill does not contain an appropriation for the program, while the Senate has provided only ,$1.5 million. Efforts are underway to obtain funding through state bonding proceeds, but an appropriation is still critical. Please contact your legislators and share your concerns with the apparent lack of adequate funding for DTED's Redevelopment Account. House approves keg registration On Monday, the House approved on a 114-20 vote a bill introduced by Rep. Steve Dehler's (R-St, Joseph) that would enable beer kegs to be traced back to their original purchaser. While similar legislation has been introduced in the past, this is the first time it has made it all the way to the floor. Much of this success is attributable to support from several liquor industry trade groups. Others supporting the bill included the' League of Minnesota Cities, Mol~hers Against Drunk Driving, and organi- zations representing youth concerned with underage drinking. The Senate companion bill never made its way through the channels in that body, but the omnibus liquor bill still awaits floor action and is a possible vehicle for a keg registra- tion amendment. Transportation update House and Senate finance and tax committees reviewed and passed their respective omnibus transporta- tion bills this week, SF 2340 (Johnson, D., DFL-Willmar) and HF 2189 (Molnau, R-Chaska). The Senate bill is expected to be discussed on the floor Friday. The House will most likely take up their version of the transportation omni- bus bill on Tuesday. Aisc next week, each body will appoint five members for the conference committee, which will likely start at the end of the week. See next week's Bulletin for additional information, or contact Jennifer O'Rourke at (651) 281-1261 or jorourke@lmnc.org. A conference geared ex~'~' to the needs of lflinnesota city leaders! League of Minnesota Cities l Annual Conference LMC's 88'h Annual Conference June 19-22,2001 Duluth, Minnesota c h a I I:::e.n..g,e. Attend LMC's premier conference event of the year and renew your ideas, ener~, and commitment to your city's leadership, F e~isr, ravior~ information w~.? m~_i_led r_c, yottr ci~ clerk---check the !',.4arcki.4.pn.,'. or M~y iss=es o£Minnesora C/'rie~ rnaDzine for more details, or reg:.,,'ter online fight now at www. lmne. ot'g. Mark your calendar and we'll See you in Duluth in Junel Conference Highlights: · Outstanding speaker~ - Camille Catex Barnett, Ph.D. widely regarded as one of America'~ mos~ talem~d ci~y mana£er$ - Rod Raymond Duluth triathlete and Olympian · LMC'~ Web For Citie~ the elected officiak' introduction · Topics to suit every city · Door Prim every city can really use · LMC BayFront Blues and Cruise · City Night at the Great Lakes Aquarium REGISTER ONLINE ANYTIME: WWW. LMNC.ORG AMM FAX April 23-27, 2001 (2 pages) I I Association of Metropolitan Hunicipalitie Budget bills move toward conference committee Omnibus Bills of Note: The major budget bills have been or will be on the floor of both the House and Senate by Tuesday. The Housing and Economic Development bill has passed the House and will be on the Senate floor on Mon- day. The Transportation bill is being debated on the Senate floor today. The tax bills have not been introduced but the House Tax Committee has scheduled a Monday meeting to begin discus- sion on the proposal. The Senate Tax Committee will also begin marking-up its bill next week. House Omnibus Transporta- tion Bill HF2189 (Rep. Molnau) pro- vides very little new transporta- _AMd/[ N.e~,s Fax is fared to all AMM city managers and administrators, legislative contacts and Board members. Please share lltls fax with ),our ~0~oI~, counailm~mber3' and staff to keep them abrea~t of rant metro ~y issuea 145 tZniver~ity Avenue glZe~t S~ Paut, MN Phon.-' (651) 215-4000 Fax: (651) 281-1299 tion rnoney. It does contain two constitutional amendments, one to transfer 60% of MVST (auto sale.~ tax) to HUTDF (Highway distribution fund) and One to allow state general fund bond proceeds to be used for trunk highways. The bill provides a; very modest Metro transit operat- ing increase but eliminates $19 million from last years. $44 million exclusive bus transitwaY appro- priation. Itrequires Metro Council to create LRT special service districts to include C/! property within one-half mile of an LRT line except Amedca to pay 1,'"o r LRT opera- .. tional cost not recovered by fares. Any rail funding by MNDOT or metro council is further restricted unless specifically legislatively autho- rized. Also MNDOT, Metro Coun- cil nor TAB can fail to approve a project or withhold funds based o:, ~iiure of iocai unit to zo_r~ or impose housing densities re- quested by them. Finally the bill contains ability for cities to create 'quiet zones' around railroad tracks, auto registration fee increase from $3.50 to $4.50, 'choose life' license plates, a sane lane study, and TH62 crosstown de[ay for one year. Senate Omnibus Transporta- tion Bill SF2340 (Sen. Dean Johnson) provides about $300 million more in general fund appropria- tion for Transportation than the governor or ' ~ i~.ouse, most Tax ills be marked! of tfor up next week highways. ,Metro transit is increased $60 million over the governors recommendation for a total of $196.2 million, A local road improvement account is created and funded $18 million for high- way corridor, $18 million for local road development $8 million for small cities, $2 miiiion for towns and $4 million for noise wall. ., continued next page... ..,continued from previous page A Metropolitan Improvement Board is created if the metro area voters pass a haif~cent sales tax increase to be used for metro transit capital and metro major highway projects. The bill also provides local bridge fund- ing, a sane lane study, and auto license registration fee increase from $3.50 to $4.50. A constitu- tional amendment to transfer 32% of MVET to HUTDF and 18% MVST to transit operating is provided. Finally, a provision is included to allow cities to use cameras for red light enforce- men1: commonly referred to as 'photo cop'. Proceeds greater than actual cost must be applied to a crosswalk safety program. Originally included was a three cent gas tax increase and gas tax indexing. However, these were removed in Tax Committee for possible inclusion in the Senate Tax Bill. Economic Development Omnibus Bills The House and Senate Eco- nomic Development bills differ in funding levels and housing policy. Local Government Bills: Update Pensions SF451 includes the Public Employee Retirement Asso- ciation (PERA) short-fall provi- sions, cap bill has passed the Senate and is on the House floor. The House bill should be heard on the floor next week. Streamlining Development The bill provides for a simple majority for a rezoning of property to residential property and changes to the zoning statutes regarding afforaaDle housing, The House compan- ion is in the Local and Metro- politan Government Commit- tee. it is probable that the language of SF 1619 will be . included in another bill. Metropolitan Council Legis. lative Commission -l-he House bill will be in the House tax bill. The Senate companion, which has been amended to be an elected Metropolitan Council, has been referred to the Tax Committee. The House bill generally adopts the Governor's recommenda- tions for the Minnesota Housing Finance Agency (MHFA). There- fore, the MHFA program consoli- dation is included in the House bill and the total funding approxi- mates $100.0 million. The Sen- ate bill also includes the program consolidation but appropriates $75.0 million in one time funding. The bulk of the funds will be used for rental housing and the hous- ing trust fund. Approximately $6.7 million of the one time funding has been appropriated for the inclusionary housing program. The inclusionary housing pro- gram requirements, however, have changed from preference for lower income units to a re- quirement for lower income units. The Senate bill also provides for a developer initiated affordable housing program. If a developer proposes to have twenty percent of the development's housing unitA affordable to households whose incomes are at or below eighty percent of the area me- dian income, the city must offer a density bonus of at least thirty- percent and one other regulatory relief measure. The policy changes are not in the House bill. Neither bill includes mandatory inclusionary housing.. League y Minnesota Cities Cities promotSng excellence 145 University Avenue West, St. Patti, MN 55103-2044 Phone: (651) 281-1200 · (800) 925-1122 Fax: (651) 281-1299 · TDD (651) 281-1290 Web Site: http://www.hnnc.org TO: City Clerks, Administrators and Managers FROM: Jim Miller, Executive Director DATE: April 24, 2001 SUBJECT: Board of Directors Vacancies At the Annual Meeting in Duluth on June 21 st, the membership will elect four new Board members. These officials will replace: St. Paul Councilmember Jerry Blakey, Fosston Clerk- Administrator Chuck Lucken and Rochester Councilmember Marcia Marcoux, all of whose three-year terms expire. Also, the term of Austin Mayor Bonnie Rietz who was elected to fill the remaining one-year term of retiring Fergus Falls City Administrator Jim Nitchals will expire. By precedent, she is eligible to be elected to her own three-year term. As you will see from the accompanying Nominating Committee guidelines, the Board has "commitments" to the City of St. Paul (Jerry Blakey's position) and the Coalition of Greater Minnesota Cities (Bonnie Rietz's position). If these two entities recommend qualified individuals, it is likely that people meeting those specific criteria would be nominated to fill these two vacancies, although that ultimately is a membership decision. Nominations to fill the remaining two vacancies will probably be based on other, more general guidelines, such as gender and geographic balance. The League's strength has always been rooted in the Board's outstanding leadership. Continuing that tradition is critical as the League looks to meeting the ever-changing challenges facing our cities. If you or someone on your Council has an interest in serving on the Board, please apply now. Terms are for three years and service involves attendance at monthly Board meetings and two, two-day retreats. The League pays for most expenses, including mileage. A roster of current Board members and the application form are enclosed. I would be most happy to answer any questions and can be reached at 651-281-1205. Thank you for your help in this very important matter. RECEIVED APR 2 6 2001 CITY OF CHANHASSEN Application for 2001-02 LMC Board of Directors or 2001-02 LMC Officer Positions All candidates for LMC Board of Directors or LMC Officers (President, First Vice President, Second Vice President) positions are asked to submit the following items by June 1,2001: 1) ~) 3) 4) A cover letter stating your intent to run for an LMC Board or Officer position, addressing the following points: · Why you are interested in serving in this position; · What specific attributes or experiences you would contribute to the Board or Executive Co'mmittee (made up of the LMC Officers); and · Whether you will be able to make the time commitment necessary to fulfill your Board or Officer duties (monthly Board meetings, as well as two, two-day retreats). A completed "Nomination Form for LMC Board of Directors/LMC Officers Positions" (attached). Optionah A resume that provides an over¥iew of your municipal/professional experience and accomplishments. Oi~tiottal: Letters of reference. Please return these materials by June 1, 2001 to: Jim Miller League of Minnesota Cities 145 University Avenue West St. Paul, MN 55103-2044 Nomination Form- LMC Board of Directors PLEASE COMPLETE THE NOMINATION FORM PROVIDING AS MANY DETAILS AS POSSIBLE. You are encouraged to attach other materials that may be useful to the Nominating Committee during its deliberations, such as your resume and a letter stating your reasons for seeking a League office. Name: Title: Organization: Address: City/Zip: Home Phone: ( ) Work Phone: ( ) E-mail: 1. o Length of service in your present position: years Other municipal or related position(s) you have held and the number of years: 3. Previous League experience (e.g. committees, conferences, affiliate organizations, etc.) 4~ 5. Are you applying for (Please select one) President l'~t Vice President _2na Vice President Director _ If you are applying for Director, can you complete a full three-year term as a Board member? PLEASE RETURN THIS FORM BY JUNE 1, 2001 TO: Jim Miller League of Minnesota Cities 145 University Avenue West St. Paul, MN 55103-2044 Board Nominating Process and Selection Criteria Board nomination process. A. Nominating Committee Appointment and Orientation Process. o Beginning in April of every year the League will solicit individuals interested in serving on the nominating committee. Notice of solicitation of interest shall be placed in Cities Bulletin at least twice. When necessary in order to get a sufficient number on the committee, or to achieve appropriate balance, the Executive Director may directly solicit city officials to be on the committee. 2, On or before May 1 of each year the League President shall appoint a nominating committee of 8 to 12 city officials, consisting of both elected and appointed officials with appropriate attention paid to issues such as gender, city size, and geography. The immediate past president of the Board of Directors will sit as an ex-officio member of the Committee and shall be its Chair. At least one week prior to the annual conference, the Executive Director shall hold an orientation meeting of the nominating committee in order to explain the nominating committee process and to explain the Board selection criteria. B. Recruitment and Nomination Process . Beginning in April of each year the League will solicit Minnesota city officials interested in serving on the League of Minnesota Cities Board of Directors. Notice of Board openings and solicitation of interest shall be placed in the April Minnesota Cities Magazine and shall run at least twice in the Cities Bulletin. In addition, prior to May 1 of each year, the Executive Director shall mail to the chief administrative offic~:r of each member city a letter soliciting Board candidates and explaining the process and selection criteria. . All candidates who wish to be considered by the nominating committee, must submit an appropriate written expression of interest by June 1. Additional material in support of particular candidates may be submitted up to the date of the nominating committee meeting. . Once the list of Board candidates has been compiled, the Executive Director in co~u_n~ction with the nominating cormmittee chair shall of !n~,,~ ~ .,~'~. ll~qes. de'~'elop an a~e, nda and a scheo_.ule ' *,--,,;~ x, II. o After considering the presentations of the various candidates, the nominating committee shall make its recommendations based on the requirements of the League Constitution, Board Commitments, and the Guidelines set out herein. o In order to avoid the appearance of a conflict of interest, nominating committee members should refrain from participating in discussion involving candidates from cities that they represent. o Notice of the nominating committee's recommendations shall be posted at a predetermined time in at least two locations at the annual conference site. The location of the postings shall be included in the material provided to conference attendees and shall be directly communicated to prospective candidates. o The Chair of the nominating committee shall be responsible for presenting the report of the nominating committee at the Annual business meeting. Board selection requirements and guidelines. A. Constitutional Requirements. The League Constitution requires that the BOard of Directors shall consist of an "elected president, an elected first vice president, an elected second vice president, the immediate past president ex- officio, the president of the AssOciation of Metropolitan Municipalities ex-officio, the president or vice president of the National League of Cities ifa Minnesota City official ex-officio, and twelve directors. o "To be eligible to be elected to serve, or to continue to serve as an elective officer of the League, a person shall be an elected official [or], an appointed official... ," who is not an independent contractor. B. Board Commitments . The Board has made a commitment that representatives of the following organizations and entities will have a seat on the Board Co of Directors, if they desire and if the nominating committee believes that a qualified individual has been recommended by the particular organization or entity: ao Coalition of Greater Minnesota Cities Minnesota Association of Small Cities City of Minneapolis City of St. Paul 5~ Non-binding Guidelines for the Nominating Committee to Consider . 3, o 1. Geography b. Co The nominating committee will attempt to respect an appropriate balance of representation between Greater Minnesota and the Metropolitan area. In this same regard, the Committee will strive to maintain a similar balance when making recommendations for the President, first vice-president, and second vice-president positions. No particular importance will be placed on where within Greater Minnesota or the Metropolitan area a given candidate comes from. Population. a. Board members should come from cities of differing size. Gender Every effort should be made to ensure gender equity on the Board. Position (Appointed v. Elected) a. A majority of the Board should be elected city officials. a~ b. Where there are other qualified candidates, Board members should generally serve only one term. An individual appointed to fill an unexpired Board term will not be prejudiced by this guideline so long as the unexpired term was for one year or less. LMC Board of Directors and Officers June 2000- June 2001 President First Vice President Second Vice President Directors Gary Doty, Mayor, Duluth Term expires: June, 2001 Lester Heitke, Mayor, Willmar Term expires: June, 2001 Joan Campbell, Councilmember, Minneapolis Term expires: June, 2001 Jerry Blakey, Councilmember, St. Paul Elected by Membership: June, 1998 Term expires: June, 2001 Marcia Marcoux, Councilmember, Rochester Elected by Membership: June, 1998 Tem~ expires: June, 2001 Chuck Lucken, Clerk-Administrator, Fosston Elected by Membership: June, 1998 Term expires: June, 2001 Bonnie Rietz, Mayor, Austin Elected by Membership: June 2000 to complete unexpired term of Jim Nitchals Term expires: June, 2001 (Coalition of Greater Minnesota Cities representative) Ronald Jabs, Mayor, Jordan Elected by Membership: June, 1999 Term expires: June, 2002 Judy Johnson, Councilmember, Plymouth Elected by Membership: June, 1999 Term expires: June, 2002 Mark Voxland, Councilmember, Moorhead Elected by Membership: June, 1999 Term expires: June, 2002 Joel Young, Clerk, Chatfield Appointed by MAOSC to fill unexpired term of Gail Lippert: January, 1999 Term expired: June, 1999 Elected by Membership: June, 1999 Term expires: June, 2002 (Minnesota Association of Small Cities representative) Marvin Johnson, Mayor Elected by Membership: June, 2000 Term expires: June, 2003 Don Levens, Administrator, Cokato Elected by Membership: June, 2000 Term expires: June, 2003 DeWayne Mareck, Councilmember, St. Cloud Elected by Membership: June, 2000 Term expires: June, 2003 Michael McCauley, City Manager, Brooklyn Center Elected by Membership: June, 2000 Term expires: June, 2003 Ex-officio seat Past President Del (Delvin) Haag, Councilmember, Buffalo Elected by Membership: June, 1998 Term expired: June, 1999 Karen Anderson, NLC 1 ~t Vice President Elected by NLC: December, 1999 Terry Schneider, AMM President Elected by AMM: May, 2000 Office of County Sheriff Carver County Government Center Justice Center 600 East Fourth Street ~ Chaska, Minnesota 55318-2190 CARVER Y OUNTY April 25, 2001 Ms. Carol Egyhazi 6720 Powers Blvd. Chanhassen, MN 55317 Bud Olson, sheriff Emergency: 9 ! 1 SheriffAdmin: (612) 361-1212 Admin. Fax: (612) 361-1229 Dispatch: (612) 361-1231 (Non-Emergency) Dear Ms. Egyhazi, This letter is a follow up to our conversation regarding your traffic concerns on Carver County Highway 17 (Powers Blvd), between Lake Lucy Road and Santa Vera Drive. You expressed two main concerns: the 50 mph speed limit is too fast, and there are no marked crosswalks in the area. I must qualify my comments by stating I am not a roadway engineer and do not know all the factors that go into setting speed limits, or installing marked crosswalks. As an officer concerned with traffic safety I believe your reasoning has merit. While I can only comment as to my own opinion, I do believe a review by road officials of the speed limit, road configuration, and crosswalks would be valuable, given the following: Residential and commercial development in the area has increased year by year. Increased development has certainly brought a continual increase in traffic volume. · There are several cross streets and driveways in the area with many vehicles turning onto or off' the highway. This causes further traffic congestion and safety concerns. · The roadway is relatively narrow with a heavily used walking/bike trail within a few feet of the roadway. In fact, the trail abuts the roadway south of Saddlebrook Curve. · There are no marked crosswalks in the'area, but there is a moderate to high number of pedestrians crossing at Lake Lucy Road, and perhaps Kerber Blvd. · It could also be noted that Co. 17, between State Highway 5 and Co. 18, is a 45 mph zone that has four lanes, right and left turn lanes, curbing, and marked crosswalks. You mentioned that in your contact with the County Highway Department you were told crosswalks would be the jurisdiction of the City. I've learned ti'om Chanhassen City Engineer Teresa Burgess that the City often works in conjunction with the County regarding crosswalks. Therefore, you may wish to consult with the City Engineering Department on that issue. Sincerely, Sgt. David Potts Patrol Division Chanhassen Station Affirmative Action/Equal Opportunity Employer Mort Mon Mon Tues Tues Tues Tues Weds Weds Thurs Thurs Fri Fri Fri Sun Sun Apr 16 Apr 16 Apr 16 Apr 17 Apr 17 Apr 17 Apr 17 Apr 18 Apr 18 Apr 19 Apr 19 Apr 20 Apr 20 Apr 20 Apr 22 Apr 22 4:16 AM 11:19 AM 5:08 PM 8:L13 AM 3:04 PM 5:34 PM 7:56 PM 3:41 PM 4:51 PM 4:08 AM 10:12 AM 9:16 AM 12:18 PM 5:21 PM 1:50 PM 2:49 PM CHANHASSEN FIRE DEPARTMENT FIRE/RESCUE WEEK OF APRIL 16, - APRIL 22, 2001 Nicholas Way Arboretum Boulevard Hunter Drive Highway 5 & Galpin Blvd Century Boulevard Medical - difficulty breathing Medical - difficulty breathing Broken water main Medical - unknown problem Car accident with injuries Highway 7 & Washta Bay Rd Car accident - no injuries, cancelled Carver Fire Department Mutual aid - sandbagging Audubon & Highway 5 Car accident with injuries Market Boulevard Great Plains Boulevard Lake Drive West Lone Cedar & Highway 5 West 78th Street Dell Road & Lake Drive East Powers Boulevard & Utica Ln Great Plains Boulevard Medical - trouble breathing Car accident - no injuries, cancelled Medical - chest pains Car accident with injuries Medical - person feeling faint Car accident - no injuries, cancelled Car accident with injuries Fire in the basement April 17, 2001  CH~J~J~E~ of Dear fellow Chanhassen Chamber member: At the board of director retreat this past December we discussed a book entitled "Who Moved the Cheese?" The book discussed the importance of accepting change. Little did we know at the time the amount of change the Chanhassen Chamber would experience in 2001. I am writing this letter to personally inform you of the major changes that are taking place with the Chanhassen Chamber. First of all, it is with sincere regret the board at its April meeting accepted the resignation of Pat Papenfuss as the Chamber's Executive Secretary. In addition, Chanhassen Secretarial Service terminated its contract with the Chamber. Both are effective May 1, 2001. Pat has thought about making a change for some time. She is looking forward to taking some time off from the Chamber. Pat and her husband are planning a seven-week trip to Alaska starting on May 15, 2001. She is also looking into some other business opportunities for Chanhassen Secretarial Service. Pat will probably return to an active role with the Chamber on a volunteer basis sometime later this year. The Chamber will be formally recognizing Pat for her many years of service and contribution to the Chamber at a special social event scheduled for May 2, 2001. Please mark your calendar. An invitation with the details will be sent to you within the next few days. On a more positive note, Linda Walton has accepted the new part time paid position of Chamber Executive Director. We are excited to have her on board. Her first official day was April 15, 2001. In addition, the Chamber will be relocating its office. Since the current office is connected with Chanhassen Secretarial Service, we quickly had to find a new location. The City of Chanhassen has allowed us to relocate the Chamber office to the old City Hall building located at 391 West 78th Street. ~t is the small whke turn of the century building located next to Colonial Church. We hope to be n-,oved in by the first of May. The Chamber's phone number will remain (952) 934-3903. - Please stop by and visit our new location as well as welcome Linda to her new position. The Chanhassen Chamber will continue to serve its members. If you have any questions or concerns regarding the Chamber, don't hesitate to give us a call. "David M. Krause Chairperson RECEIVED APR 2001 CiTY OF CHANHASSEN fl(}() V,*e.,l ?Sth Street · tl.O. B,~x 976 · Clmnha,:c:~. XJN 557,!? · 952-934-?()3 · fax 9.52-93-~-3561 Plpr 20 2891 15'15:18 Via Fax -> 617_ 937 , 5799 ~d~inistr~or FR DAYFAx ~ ~~ ~ A weekly legislative update from the Leapue of Minnesota Cities Page 801 Of 802 Number 16 April 20, 2001 Tax committee bills addressed next week The House and Senate tax commit- tees will be marking up their respec- tive omnibus tax bills next week. The Senate unveiled a skeleton bill at a meeting this past Wednesday. The bill reveals little about the direction of the Senate. In fact, the property tax and local adds articles only contain blanks for new property class rates and new LGA formula factors. The sales tax article, which could contain an exemption for local government purchases or a base extension to services or clothing, is entirely blank. The full Senate Tax Committee has a hearing scheduled for this after- noon and Saturday morning. Today's agenda lists the omnibus tax bill as the only legislation up for consideration. The House Tax Committee will unveil their bill next Wednesday and take public testimony on Thursday. At this time, we have only a few ideas of what the House bill might contain. Given the governor's property tax reform proposal, it is highly likely that the House will include another phase of class rate compression in their bill. The full state takeover of general education costs is a less certain provision. At a Thursday evening hearing on an LGA reform proposal by Rep. Andy Dawkins, Tax Chair Ron Abrams asked why the bill was being offered when much of the new census data that could be used to modify the formula is not yet available. This could mean the House will not attempt to rework LGA this year. More next week. TIF proposals considered as omnibus tax bills begin to take shape A draft version of the Senate omnibus tax bill described as being a "skeleton" at this point, meaning that many pieces are missing or will be further refined, was distributed Wednesday evening. The TIF article contains most of the provisions of SF 2198, Sen. Rest's TIF technical bill, the portion of SF 1798 that was amended onto the bill last week removing TIF enforcement authority from the OSA, and a number of special laws. At this point, the Senate omnibus bill does not contain any language that would limit activities in pre-1990 districts. The House held "TIF Day" in the Property Tax Division on Thursday morning. During the hearing, a ' number of TIF bills were amended. Probably the most notable provisions were amended onto HF 187, Rep. Abrams' pre-1990 bill, by two author's amendments. One of these amend- ments specified that districts created between 1979 (rather than 1982) and 1990 would be affected, and carved out a series of exemptions. The second amendment creates a more restrictive biight test for redevelopment districts, and deletes existing language that makes the creation of a district conclusive as to the underlying findings and necessity for the district. HF 2444, the TIF consultant registra- tion bill introduced by Rep. McEIroy, was amended to prohibit contingency fee arrangements. Rep. Abrams' TIF technical bill, HF 2447, was amended with several modifications that appear to be largely technical in nature. Rep. Lenczewski's pre-1990 bill, HF 1505, was heard but was not amended. We expect the House omnibus tax bill to be unveiled next Wednesday. Funding bill passes out of Senate Transportation Budget Committee The $535 million Senate transporta- tion funding bill passed out of the committee on Thursday night with provisions, including a 3 cent per gallon gasoline tax increase, and a 50 percent MVET dedication consti- . tutional amendment. Under the proposed constitutional amendment, highways would receive 32 percent ! of the transferred money, and transit would receive the remaining 18 per- cent. The appropriations for local roads include: $216 million from the municipal state aid fund for distribu- tion to cities, and $1 million for municipal turnbacks. Next stop for the bill is the Tax Committee, where is it very likely amendments will be offered for a 100 percent MVET dedication, and a potentially larger gas tax increase. Other stops for this bill next week, include zne Finance Committee and the Rules Committee. The House transportation package is expected to be available Monday and passed out of committee on Tuesday in the HOuse Transporta- tion Finance Committee in Room 5 of the State Office Building. For more information on city legislative issues, contact any member of the League of Minnesota Cities Intergovernmental Relations team. (65]) 2S]-]200 or (800) 925-]]22 flpr 28 2001 15:16:1Z Via Fax '-RIDA Y.'-AX A~mz. 20, 2001 -- P~E 2 -> 61Z 937 5739 fl&ministrator Page 002 0£ 00Z City Officials needed to serve on LMC Nominating Committee The Nominating Committee plays an important role in selecting the League Board of Directors. The commit- tee convenes on Wednesday, June 20 at the Annual Conference in Duluth to interview candidates for Board and officer positions. The Committee's recommendations are presented to member cities at the LMC business meeting. The Nominating Committee is made up of 8 to 12 city officials, consisting of both elected and appointed officials with attention to issues such as gender, city size, and geography. City officials interested in serving should contact Jim Miller at (651) 281-1205 or toll-free (800) 925-1122. LMC Board of Directors is expected to appoint the Nominating Committee by May 3. A conference geared exclusively to the needs of Hinnesota city leaders! League of Minnesota Cities 200 I Annual Conference LMC's 88'h Annual Conference June 19-22, 2001 Duluth, Minnesota Attend LMC's premier conference event of the year and renew your ideas, energy, and commitment to your city's leadership. ' Registration in£ormarion was mailed ro yoUr'city clerk-~ check the March/April or May issues of Minnesota Cities magazine for more derails, or register online right now at ~.lmn c. org. Mark your calendar and we'll see you in Duluth in June[ Conference Highlights: · Ou~tanding speaker~ - Camille Cares Barnett, Ph.D. widdy regarded as erie of - Rod Raymond Du[~h ~ria~h~t and ' LMC~ W~ For ~ti~ ~ t~c~d o~cia~' in~r~c~ion · Topics to suit every city · Door Prizes every city can really use · LMC Bayfront Blues and Cruise · City Night at the Creat Lakes Aquarium ' REGISTER ONLINE ANYTIME: WWW. LMNC.ORG , 2881 14:'L2:87 Via Fox AMM FAX N[ April 16-20, 2001 ~ ..I I -> 937 I _. II !Il Page BBZ 0£ 88Z A sociation ol Hetropolitan Hunicipalities Tax Bills to Contain Tax Increment Financing Articles: Contents Being Discussed The House Property Tax Division on Thursday heard and amended several bills that will be included in the omnibus tax bill. Among them are the registration of Tax Increment Financing (TI F) consultants (HF2444), the T1F technical bill (HF2447) and the two pre-1990 bills (HF187 and HF1505). HF2444. The registration bill was amended to prohibit TI F consultants fromworking on a fee contingency basis. The amended bill may impact howbond fees are structured. The bill's author Rep. McEIroy was made aware of the concern and is willing to discuss the impact. HF2447. The technical bill was amended to oladfy language regarding interfund loans and other references, HF'187andHF'IS05. The bills were heard jointly. Two amendments were made to HF187. One amendment included exemptions similar to those contained in HFt 505. The amended exemptions include the county board approval and special taw provisions but AMM ~_ ews Fa~. is fa. xed to all AMM clty managers and administrators, legislative aontacts and Board members. Please share thls fa~ with your mayors, councilmember~ and st,ff fo keep fhem abreast of impor- tant rnzlro city issues. 145 Urd v ersity Avenue FFe ,t St. ?~ui, ~ $$205-2044 Phone: (65]) 225-4000 Fax: (651) 282-1299 E-maE: ~ 4$.org not the housing district provision. A federal match exemption is also ;added. The time frames have not been changed. The second amendment deletes the definition of"structurally substandard" contained in the redevel- opment distdct section of the TIF act, The amended definition defines structur- ally substandard building to be: , "in an advanced state of disrepair or neglect of necessary repairs to the primary and structural components of the building that a documented building condition analysis determines that major repair is required or the defects are so serious and so exten- sive that the building must be re- moved; or has major defects in secondary building componen[s, such as doors, windows, porches, ;utters a,~d downspouts, and fascia., requiring repairs costing 25 percent of the appraised value of the building," The amendment also deletes in the municipality approval section of the act the sentence that states that the determination of the authority to under- take the project with TIF and the resolution of the governing body shall be conclusive. The Senate Tax Commiaee has released an initial draft of the TIF article. The article includes the fo~iow- ing sections: · Technical bill. , An amendment transferring the reporting requirements to the Department of revenue and the enforcement provisions to the county attomeys, , A provision making the housing replacement district a general law that does not require a city to request special legislation, · Modifications to the abatement statute; and · Special Yaws for eight cities including five metro cities. The metro cities are Brooklyn Park, N.of~ St. Paul, St. Louis ParK, St. Paul and Wayzata. It is probable that the Senate articte wilt be revised to include additiona~ 'sections. If you have any comments or concerns please contact Gene at 651- 215-4001. AMM Annual Meeting Tb..ursday. May 31. 2001 Fcur Po~ts $~e~mton Minneapolis Metrodome 1330 Industrial Boulevard ";:oc,a,~' "Hour ......... 5:7~0 - ¢:30 p.rn, ~uffet Dinner ...... 6:30 - ?:30 p.m. Business Meeting ........... 7:30 p.m. April 17, 2001 Carver County Health Partnership Scott Botcher 690 Coulter Chanhassen, MN, 55317 Dear Scott: On behalf of the Carver County Health Partnership, we cordially invite you to participate in the Second Annual State of Public Health in Carver County Address. As an energized and committed community leader you have the opportunity to play an important role in shaping and planning for the health of your community. Your involvement is important to create a shared vision of making Carver County the healthiest county in the United States. Join members of the Carver County Health Partnership as they share information about the changing health care needs of Carver County citizens, as our population continues to grow and our communities change. This is an opportunity to build partnerships, plan health at the local level, and make a difference for the health of all people in Carver County. 2nd Annual State of Public Health in Carver County Tuesday, May 15, 2001 from 7:00-9:00 p.m. Chaska Community Center- Theater Room (See enclosed-map for directions) Scheduled Speakers John Siegfried, Chair, Carver County Board Robert Stevens, President and CEO, Ridgeview Medical center Del Hurt, Director, Carver County Community Health Services Arthur Himmelman, Keynote Speaker, Nationally recognized consultant on healthy communities Key Findings and Recommendations in building a foundation for a healthier community for: -Youth - Diane O'Connor, League of Women Voters -Adults -Jonathan Larson M.D., Lakeview Clinic -Seniors - Bob Roepke, Mayor for City of Chaska RECEIVED APR 2 0 2001 CITY OF CHANHA$$EN Your attendance and participation is important as we work [ogetner towards our vision of making Carver County the healthiest in the United States! Please feel free to invite others who mi.qht be interested in attendin.q. Please RSVP to Carver County Community Health Services by May 1, 2001 at 952~442-3074. Sincerely, John Siegfried Chair Carver County Board Robert Stevens President and CEO Ridgeview Medical Center Del Hurt Director Carver County Comm. Health Serv. Carver County Health Partnership · 540 East 1st Street · Waeonia, MN 55387 · 952/442-4493 IVlap to Chaska Community Center 1661 Park Ridge Drive Chaska, MN 55318 U.S. HIGHWAY ~ ....... TO 494 0.5 0 0.5 1 1.5 2 Miles CARVER COUNTY OEOG/~APHIC LO CA T/OH 7 COUNTY ~ETItO AREA C 10 0 10 20 30 40 50 Miles ~ i