2014.11.13 Work Session Packet4141 Douglas Drive North • Crystal, Minnesota 55422-1696
Tel: (763) 531-1000 • Fax: (763) 531-1188 • www.crystalmn.gov
AL
CRYSTAL CITY COUNCIL
WORK SESSION AGENDA
Thursday, November 13, 2014
6:30 p.m.
Conference Room A
Posted: November 7, 2014
Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the City
Charter, the work session of the Crystal City Council was held at p.m. on Thursday,
November 13, 2014 in Conference Room A located at 4141 Douglas Drive, Crystal, Minnesota.
I. Attendance
Council members Staff
Adams
Norris
Budziszewski Therres
Deshler Hansen
Hoffmann Mathisen
Libby Revering
Peak Norton
Selton
II. Agenda
The purpose of the work session is to discuss the following agenda items:
1. Preview of December 2 hearing regarding issuance of bonds
2. Discuss 2015 Budget
III. Adjournment
The work session adjourned at p.m.
Auxiliary aids are available upon request to individuals with disabilities by calling the City Clerk at (763)
531-1145 at least 96 hours in advance. TTY users may call Minnesota Relay at 711 or 1-800-627-3529.
Memorandum
CITY of
CRYSTAL
DATE: November 6, 2014
TO: Mayor and City Council
1
FROM: Anne Norris, City Managerk{�-f
SUBJECT: Preview of December 2 Hearing -Adoption of CIP and Issuance of Bonds
- Public Works Facility
At its September 2 meeting, the City Council adopted Resolution #2014-68 (attached)
calling for a public hearing on December 2 to consider a capital improvement plan (CIP)
and the issuance of bonds relating to the Public Works facility. At the December 2
hearing, the City Council will consider whether to issue bonds, in what amount and what
type of bonds.
Resolution #2014-68 authorizes the issuance of up to $13,500,000 in bonds. The City
Council can issue either general obligation (GO) CIP or lease -revenue bonds. GO CIP
bonds require approval of a Capital Improvement Plan as well as authorization to sell
the bonds, and both approvals require a supermajority (5 of 7 councilmembers voting
affirmatively.) Such bonds are also subject to a 30 -day reverse referendum period.
Lease -revenue bonds require approval by a simple majority but are more restricted in
the amount that can be issued, as the City is prohibited from having any equity in the
facility at the time the bonds are issued.
Attorney Martha Ingram will be at the November 13 work session to review the different
bond options and the actions the Council could consider at its December 2 hearing.
Attach:
CITY OF CRYSTAL, MINNESOTA
RESOLUTION NO. 2014-68
RESOLUTION CALLING PUBLIC HEARING ON THE
ADOPTION OF A FIVE-YEAR CAPITAL IMPROVEMENT
PLAN AND THE ISSUANCE OF GENERAL OBLIGATION
BONDSTHEREUNDER
BE IT RESOLVED By the City Council of the City of Crystal, Hennepin County, Minnesota (the
"City"), as follows:
I. Pursuant to Minnesota Statutes, Section 475.521, as amended (the "Act"), the City may
issue general obligation bonds to finance capital expenditures under a five-year capital improvement plan
without an election provided that, among other things, prior to issuing the bonds the City holds a public
hearing regarding adoption of the Plan and the issuance of bonds thereunder.
2. The City has caused to be prepared its Capital Improvement Plan, 2014-2019 (the
"Plan"), pursuant to the Act.
3. In accordance with the Act, the City Council hereby calls for a public hearing to be held
on Tuesday, December 2, 2014, at approximately 7:00 PM, to consider the adoption of the Plan and the
issuance of bonds thereunder.
4. The Council hereby authorizes and directs the City Clerk and City staff to publish a
notice of public hearing in substantially the form set forth in EXHIBIT A attached hereto in the official
newspaper of the City or a newspaper of general circulation in the City at least 14 but not more than 28
days before the date of the public hearing.
Adopted by the City Council of the City of Crystal, Minnesota, this 2nd day of September, 2014.
Mayor,.'
ATTEST:
City Clerk
449256v1 MNI CR205-30
EXHIBIT A
NOTICE OF PUBLIC HEARING
NOTICE OF PUBLIC HEARING REGARDING A FIVE-YEAR CAPITAL IMPROVEMENT
PLAN AND THE ISSUANCE OF GENERAL OBLIGATION BONDS THEREUNDER
NOTICE IS HEREBY GIVEN that the City Council of the City of Crystal, Minnesota (the "City")
will meet on Tuesday, December 2, 2014, at or after 7:00 PM in the City Council Chambers at City Hall,
4141 Douglas Drive North in the City, to hold a public hearing concerning (1) the adoption of a five-year
capital improvement plan for the City prepared in compliance with Minnesota Statutes, Section 475.521,
as amended (the "Plan"); and (2) the issuance of general obligation bonds (the "Bonds") thereunder for
the purposes set forth therein. The principal amount of the Bonds to be issued in 2014 under the Plan
shall not exceed $13,500,000.
If a petition requesting a vote on the issuance of the Bonds, signed by voters equal to five percent
(5%) of the votes cast in the City in the last general election, is filed with the City Clerk within thirty (30)
days after the public hearing, the City may issue the Bonds only after obtaining approval of a majority of
voters voting on the question at an election.
A copy of the Plan is available for inspection in the City Clerk's office at City Hall. Questions or
comments may be directed to the City Clerk at 763-531-1000.
All interested persons may appear and be hard at the public hearing either orally or in writing, or
may file written comments with the City Clerk before the hearing.
Dated: [Date of publication]
BY ORDER OF THE CITY COUNCIL OF
THE CITY OF CRYSTAL, MINNESOTA
/s/ Chrissy Serres
City Clerk
City of Crystal, Minnesota
A-1
449256v1 MNI CR205-30
Memorandum
CITY of
CRYSTAL
DATE: November 5, 2014
TO: Mayor and City Council
FROM: Anne Norris, City Manager
SUBJECT: 2015 Budget
General Fund
At its August 21 budget work session, the City Council suggested the preliminary 2015
general tax levy be closer to 2% rather than the 4.4% proposed in the original budget.
The City Council approved a preliminary levy of 2% on September 2. The following budget
adjustments were made:
Expenditures Savings
Eliminate exceptional performance awards 8,061.00
Delay start of accountant/project mgr — 4/1/15 16,764.00
Reduce finance overtime (assumes new
position is approved) 5,000.00
Miscellaneous reductions — PT staff (due to
staffing changes and retirement) 36,002.00
Reduce fueling costs — own fueling station 7,000.00
Pawn shop transaction fees -12,000.00
Savings — Police turnover 59,400.00
4/1/15 start for 31st police officer 17,250.00
Decrease operating supplies 4,000.00
RPveni iPc (;ainc
Additional pawn shop license fee
6,000.00
Additional pawn shop transaction fees
30,000.00
Additional beer/wine licenses
4,000.00
Increase point of sale revenues (2014 YTD)
5,000.00
Increase driveway/curb cut permits
3,000.00
Increase electrical permits
3,000.00
Increase mechanical permits
3,000.00
Increase court fines
5,523.00
Total Budget Amendments 201,000.00
2015 Permanent Improvement Revolving (PIR) Fund
The 2015 PIR is not balanced due to several 2014 PIR projects being carried over to 2015
and the existing backlog of needs in the 2015 PIR.
Post Employment Fund
The Post Employment Fund has assets to pay insurance benefits to a limited number of
retired employees. The last obligation of this fund has been paid and the fund needs to be
closed in 2014.
Approximately $173,000 remains in this Fund. The City Council needs to discuss which
capital fund this balance should be transferred to.
The public hearing for the 2015 budget is scheduled for December 2. In anticipation of that,
the Council should discuss any additional adjustments or revisions to the 2015 budget.