08 16 21 Work Session MinutesCity Council Work Session August 16, 2021
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City of New Hope
4401 Xylon Avenue North
New Hope, Minnesota 55428
City Council Minutes
Work Session Meeting
August 16, 2021
Northwood Conference Room
CALL TO ORDER The New Hope City Council met in work session pursuant to due call and notice thereof;
Mayor Hemken called the meeting to order at 6:30 p.m.
ROLL CALL Council present:
Kathi Hemken, Mayor
John Elder, Council Member
Andy Hoffe, Council Member
Michael Isenberg, Council Member
Jonathan London, Council Member
Staff present:
Kirk McDonald, City Manager
Brandon Bell, Community Development Assistant
Vicki Holthaus, AEM (via Zoom)
Beth Kramer, Communications Coordinator
Blake Torbeck, AEM
Stacy Woods, Assistant City Attorney
Also present: Sarah Larson, West Metro Fire‐Rescue District Chief
WMFRD 2022
BUDGET
Item 11.1
Mayor Hemken introduced for discussion item 11.1, Discuss West Metro Fire‐Rescue
2022 Budget.
Mr. Kirk McDonald, city manager, and Ms. Sarah Larson, West Metro Fire‐Rescue
District Chief, reported on the 2022 budget. Mr. McDonald stated West Metro Fire‐
Rescue District’s proposed budget is $2,782,100, an increase of $108,050 over the prior
year. New Hope’s percentage share of the budget is 50.9767%. Mr. McDonald
explained that the budget is on the agenda for the August 23 New Hope City Council
Meeting, and that per the joint powers agreement, both cities must approve West
Metro’s budget by August 31. Mr. McDonald noted that the Crystal City Council
discussed the budget at its work session and will consider the budget at their August
17 meeting.
Discussion ensued regarding the higher calls for service in New Hope and lift
assistance. Chief Larson noted that New Hope has more commercial properties than
Crystal and it also has a number of nursing homes. She attributed these two items to
the higher number of calls for service. Chief Larson explained the department’s process
for lift assists and noted the department responds to the requests when requested by
the police department or when the fire department is supporting police department
response as EMS standby.
Council thanked Chief Larson for the budget presentation.
City Council Work Session August 16, 2021
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CITY CODE 7‐6
NUMBER OF
DOMESTIC
ANIMALS ALLOWED
Item 11.2
Mayor Hemken introduced for discussion item 11.2, Discuss City Code 7‐6, number of
domestic animals allowed.
Mr. Brandon Bell, community development assistant, and Ms. Stacy Woods, assistant
city attorney, noted that this item stems from denial of a permit to exceed number of
animals at the June 14, 2021 city council meeting. Mr. Bell reviewed New Hope’s
current city code related to number of allowed animals and noted that he has discussed
potential updates with the city clerk and animal control officer, who is currently a
shared resource with the City of Crystal. Mr. Bell explained that Crystal’s code differs
from New Hope regarding the permit to exceed limitations on cats and dogs as well.
Crystal City Code states that a person may keep up to three cats or dogs, and up to
four of a combination of the two animals, without having to obtain a multiple animal
license. A multiple animal license allows the holder of the permit to have up to five of
a combination of cats and dogs, and no more than that number. New Hope City Code
allows for households to have up to three cats and three dogs without a permit to
exceed limitation. There is no cap on the amount of cats and dogs a person can be
granted through a permit to exceed limitations.
Mr. Bell asked Council to consider the following options:
1. Retain Section 7‐6(8) and establish a maximum number for the “Permit to Exceed
Limitations”
2. Delete Section 7‐6(8) “Permit to Exceed Limitations” and grandfather in the
existing four permits.
3. Change Section 7‐6(4) definition of Fowl to be limited to Chickens.
a. Increase maximum allowed number of chickens from three to four.
b. Prohibit roosters/adult male chickens.
c. Add additional language similar to Crystal’s code (shelter/coop structure, sale
of eggs, prevention of nuisance conditions for care of chickens).
Mr. Bell stated staff recommends options 2 and 3. He explained if Council directs staff
to amend the city code, staff will work with the city attorney to draft an ordinance
amendment for consideration at a future Council Meeting.
Following discussion, Council directed staff to prepare an ordinance amendment to
increase the number of chickens from three to four, change the language regarding
“fowl” in the city code so that only chickens are allowed (no roosters), eliminate the
section of code regarding Permit to Exceed Limitations, add language similar to the
city of Crystal’s regarding shelter/coop structure, sale of eggs, and prevention of
nuisance conditions concerning care of chickens.
Ms. Stacy Woods indicated she would prepare an ordinance amendment for
consideration at the September 13 Council Meeting.
BOND PROCEEDS
(IMPROVEMENT
PROJECT NO. 994)
Item 11.3
Mayor Hemken introduced for discussion item 11.3, Discuss bond proceeds from city
hall/police facility project 994.
Mr. Kirk McDonald, city manager stated in December of 2017 the city issued
$18,435,000 in General Obligation Capital Improvement Bonds for the construction of
the new city hall/police station. The city will soon be paying final invoices and staff
expects a balance of approximately $400,000 to $500,000. He stated AEM has obtained
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the opinion of bond counsel regarding options for utilizing the remaining proceeds,
and the funds can be transferred to another capital fund for improvements to a city
facility or used to pay down debt service. He stated if used to pay down the debt
service, the debt service levy would need to be increased the subsequent year. He
stated staff recommends utilizing the bond proceeds for improvements at the public
works facility taking place in 2021, and such action requires conducting a public
hearing.
Following discussion, Council concurred with staff’s recommendation and directed
staff to take the necessary steps to conduct a public hearing.
AMERICAN RESCUE
PLAN ACT FUNDS
Item 11.4
Mayor Hemken introduced for discussion item 11.4, Discuss acceptance of American
Rescue Plan funds.
Mr. Kirk McDonald, city manager, explained that Council will be asked to adopt a
resolution at the August 23 Council Meeting to accept the Coronavirus Local Fiscal
Recovery Fund established under the American Rescue Plan Act (ARPA). He stated
the city received the first installment of the ARPA at the end of July for $1,106,158.24;
and the city will receive the second distribution in 2022 for a similar amount for a total
of $2,195,235. The city must establish options for the use of the funding in accordance
with Federal guidelines and formally accept the funding. Mr. McDonald stated it is
recommended that the funding be utilized to offset 2021 and 2022 infrastructure project
costs.
Council expressed support for the use of the funds and directed staff to present the
resolution for consideration at the August 23 Council Meeting.
2022 PRELIMINARY
GENERAL FUND
BUDGET AND TAX
LEVY
Item 11.5
Mayor Hemken introduced for discussion item 11.5, Discussion regarding 2022
preliminary general fund budget and tax levy.
Mr. Kirk McDonald, city manager, stated the Council will be asked to set its maximum
2022 tax levy at the September 13 Council Meeting. The general fund budget will be
reviewed and refined this fall and the final budget and tax levy will be adopted in
December.
Mr. McDonald stated the proposed preliminary tax levy for the general fund is
$11,393,354, which is a 4.72% increase from last year. He stated the total tax levy
proposed for 2022, including the general fund, street and park infrastructure funds,
economic development and housing and redevelopment authorities, and prior debt
levies is $18,231,011 which represents a 4.67% increase over the 2021 levy.
Mr. McDonald stated the 2022 preliminary general fund budget is $16,179,193 which
is an increase of $242,216 (1.5%) over last year. He reviewed major changes in the
budget including increases for personnel costs, IT costs, fire district, election
coordination costs. He also noted a minor increase in LGA and a decrease in building
permit revenue. He stated all directors will be present at the September work session
to review the proposed budgets in detail.
Mr. McDonald stated the estimated overall impact of the city tax levy on residential
properties is 5% which is $41 to $131 for homes valued between $150,000 to $400,000. .
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Ms. Vicki Holthaus, AEM, explained the tax rate is preliminary and the actual tax
impact on residential homes could vary from the preliminary budget document.
Council agreed upon the recommended maximum tax levy and conducting the budget
hearing on December 6.
ADJOURNMENT The meeting was adjourned at 7:14 p.m. as there was no further business to come
before the Council at its work session.
Respectfully submitted,
Valerie Leone, City Clerk