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From YouTube: August 15, 2016 Ways & Means
Description
Minneapolis Ways & Means Committee Meeting
A
Good
afternoon,
everyone
welcome
to
the
regularly
scheduled
meeting
of
the
Ways
and
Means
Committee
I'm
John
Quincy,
the
chair,
joined
by
council
vice-president
glidden,
councilmember
bender
and
councilmember
at
Andrew
Johnson,
and
we
are
a
quorum
of
this
committee.
Do
you
want
to
point
out?
Councilmember
yang
is
out
of
town
at
the
moment
and
councilmember
Palma
Sandow
is
attending
a
business
meeting
related
to
City
business,
so
we
are
a
quorum,
so
we
can
continue
to
do
the
city's
work
here.
A
Information
technology
department
has
a
contract
amendment
with
Hennepin
County
Medical
Center,
for
changes
to
the
scope
of
services
agreement.
We
also
have
a
contract
amendment
with
the
Sierra
or
yes
Sierra,
cedar
Inc
for
ongoing
Enterprise
Land
Management
System
production
and
training
regulatory
services
brings
for
the
gift
acceptance
from
the
American
Society
for
the
Prevention
of
Cruelty
to
Animals
for
equipment
and
supplies.
So
that's
a
gift
acceptance
resolution
for
the
Metro
Minneapolis
animal
care
and
control
from
transportation
and
Public
Works
Committee.
A
We
have
advanced
metering
infrastructure
request
for
proposals,
I'm
going
to
be
postponing
that
item
to
our
August
twenty-ninth
meeting
the
next
meeting
of
this
committee.
In
one
cycle
we
also
have
the
Federal
Highway
Safety
Improvement
Program
funds,
2016
applications.
We
have
construction
of
traffic
signal
and
pedestrian
ramps
at
60th
and
xerxes
stormwater
specialty
vegetation
management.
It's
a
contract
men
with
wetland,
habitat
restoration.
We
also
have
the
intelligent
transportation
system
enhancement
project
as
a
contract.
A
A
This
is
the
2017
license
fee
schedule.
There
are
no
changes
to
the
fee
schedule,
but
that
because
of
their
that
committee,
not
meeting
on
its
regular
cycle
because
of
the
election
last
week,
it
was
held
this
morning.
So
it's
now
on
this
agenda,
so
I
think
that
covers
all
of
those
items.
Did
I
catch
all
those
correct
postponements
and
who
walk
on
item.
So
all
those
in
favor
of
the
consent
agenda
or
unless
anybody
has
any
questions
would
like
to
pull
anything
not
seeing
any
all.
A
Those
in
favor,
please
signify
by
saying
aye
aye,
and
so
those
items
are
move
forward.
So
now
we
get
to
have
our
presentation
so
we'll
begin
I
think
with
our
controller
County
Griffith.
Is
she
walks
us
through
and
we're
looking
forward
to
her
presentation
from
our
treasurer
Bruce
plant
on
the
cash
management.
A
This
is
a
really
good
time
to
look
at
this
in
this
committee,
as
this
is
the
second
quarter
of
2016
kind
of
information
and
as
we
just
had
the
mayor's
recommended
budget
presentation
last
week
and
the
next
committee
meeting
on
August,
twenty-ninth
I
believe
ms
green
will
be
doing
overview
of
some
budgets
or
we
start
to
get
set
up
for
the
budget
process
with
our
department
hearings,
but
also
a
chance
for
us
to
look
at
where
we're
going
to
be
for
the
rest
of
the
year,
so
miss
Griffith.
Take
it
away.
Chair.
B
Quincy
and
members
of
the
committee
I'm
Connor,
Griffith
I'm,
the
controller
for
the
city
and
every
year
we
start
the
process
of
reporting
quarterly
on
the
financials
with
the
second
quarter
of
each
year.
So
we'll
have
reports
through
the
end
of
the
year.
We've
also
reported
on
the
comprehensive
annual
financial
report
at
the
end
of
the
year.
B
This
is
reflective
of
our
better
than
expected
collection
of
our
non
tax
revenues
that
continues.
Even
though,
for
example,
our
development
and
construction
activity
tends
to
wind
down
a
little
bit
after
the
stadium
was
built,
the
higher
than
anticipated
earnings
on
the
city's
cash
and
investment
balances,
the
continued
effective
management
of
our
department,
expense
budgets
and
also
the
planned
issue
of
net
debt
bonds
and
assessment
bonds
in
the
fall
of
two
thousand
sixteen,
which
will
provide
the
funding
for
capitol
and
infrastructure
project
costs.
B
The
city
expects
to
continue
to
meet
its
minimum
fund,
balance
net
position,
reserve
requirements
for
all
funds
while
at
the
same
time
increasing
its
investment
in
the
city,
including
its
infrastructure,
development
and
technology
capital
assets.
There
are
a
number
of
projects
on
going
to
do
this,
and
then
we
also
look
at
the
planned
expenditures
for
the
parks
and
streets
that
was
voted
on
earlier.
Most
of
the
balances
in
the
various
funds
within
the
city
are
classified
as
non
spendable,
restricted,
committed
or
assigned.
B
When
we
look
at
the
general
fund
as
planned,
the
fund
balance
and
cash
balance
in
the
general
fund
are
expected
to
decrease
compared
to
2015,
and
at
this
point
in
time
and
looking
at
what
we're
projecting
for
year-end
fund
balance
year-end
is
expected
to
be
eighty
2.8
million.
This
is
a
twenty
three
point:
two
million
or
twenty
one
point:
nine
percent
decrease
compared
to
2015,
though
this
seems
like
a
significant
decrease.
This
is
actually
the
general
fund
doing
better
than
planned.
B
We
had
built
into
the
2016
general
fund
budget,
the
use
of
fund
balance
to
the
tune
of
24
million
dollars.
This
was
increased.
This
plan
use
of
unbalanced
by
another
4.2
million
in
appropriation
rollovers
from
2015
to
2016,
so
all
together
that
we
had
built
into
the
revised
budget,
a
plan
use
of
just
over
28
million
of
imbalance,
and
this
general
fund
is
actually
projected
based
on
the
80
2.8
million
dollars
expected
from
balance
at
the
end
of
the
year.
This
provides
us
with
a
little
over
23
million
in
from
balance
I'm.
A
B
A
B
B
We
expect
to
continue
to
meet
the
city's
financial
policy
for
the
general
fund
fund
balance,
which
is
to
maintain
seventeen
percent
of
the
following
years
expenditure
budget
and
in
this
case
right
now
that
expenditure
budget
is
83
million
and
with
rounding
we're
at
83
million.
The
city
has
continued
to
right-size
the
general
funds,
revenue
and
expenditure
budgets
to
more
closely
reflect
the
actual
revenues
that
will
come
in
and
what
city
departments
will
actually
spend.
This
has
been
a
very
important
effort
in
the
last
couple
of
years.
B
Total
revenues
are
likely
to
equal
or
slightly
exceed
budget
with
non-tax
revenues
like
licenses
and
permit
fees
continuing
to
come
in
higher
than
expected
as
a
result
of
ongoing
development
and
construction
activity,
along
with
our
investment
earnings
increasing
over,
but
they
have
been
in
the
past
few
years.
Our
expenditures
are
expected
to
come
in
roughly
5.1
million
under
budget,
and
this
is
due
the
savings
in
most
departments
as
a
result
of
a
variety
of
factors,
including
the
mild
snow
year
that
we've
had
over
the
last
year.
B
The
position
vacancies
are
untapped,
contingency
funding
and
other
similar
type
actions
that
are
being
held
by
the
being
done
by
the
department's
one
of
the
things
that
they
get
into
is
we
continue
to
work
on
cars
projects,
and
this
is
our
capital
asset
request
system.
These
are
primarily
technology
projects
and
some
of
those
technology
projects
actually
coming
in
on
your
budget.
Also,
okay,.
B
Not
only
do
we
need
to
look
at
our
budget
versus
actual
expenditures,
but
we
also
need
to
look
at
how
the
end
revenues,
but
how
these
expenditures
and
revenues
have
been
operating
over
time,
and
so
what
we
have
added
to
this
time.
This
actual
report
and
the
last
page
is
a
schedule
that
shows
the
historical
analysis
of
the
general
fund,
revenues
and
expenses
by
category
and
we've
done
quite
a
bit
of
information
in
there.
So
what
I've
done
is
actually
summarized
it
in
these
following
slides.
B
What
we're
showing
in
this
slide
here
is
general
fund
major
revenues
and
we're
showing
it
in
year
by
year.
The
actual
categories
are
property
taxes,
obviously
being
the
biggest.
They
are
a
portion,
they
are
the
percentages
and
the
actual
dollars
associated
with
these
charts
are
on
an
following
page
and
the
property
taxes.
The
state
A's
stay
days
includes
grant
monies
anemones
the
MSA,
the
local
government,
as
LGA
amounts
that
we
get
every
year,
those
types
of
things:
local
taxes
which
are
the
sales
and
tainment
and
that
type
of
tax
the
service
charges
which
are
work.
B
We
do
for
others
and
the
fees
that
we
charge
their
licenses
and
permits
and
then
all
the
other
revenues
together.
And
if
you
look
at
the
next
slide,
you
can
see
where
these
revenues
have
what
the
dollar
amounts
are
that
are
associated
with
them.
For
each
of
the
four
years
that
we
put
five
years
that
we
present
and
also
the
percentages
in
the
2016
chart.
C
B
This
over,
but
if
you
can
see
property
taxes
are
around
thirty
five
percent
of
our
hour
of
the
total
and
that's
the
largest
obviously,
and
then
we
get
into
the
state
aids
and
it
just
goes
down
in
size.
From
that
point,
on
I
didn't
want
I
didn't
use
a
line
chart.
I
use
the
bar
chart
instead,
because
one
of
but
one
of
the
things
I
wanted
to
show
you
was
that,
and
if
you
look
at
these,
you
can
see
it
here.
B
Is
that
most
of
our
big
revenues
in
our
right
sizing
effort
most
of
our
big
revenues-
are
either
coming
down
slightly
or
are
leveling
off
in
these
last
few
years,
and
this
is
something
that
just
needs
to
be
looked
at
in
when
we
do
that
property
taxes
obviously
are
being
are
the
one
thing
that
you
can
vary
depending
on
what
you
do
in
the
budget.
Yeah.
A
Thank
you
much
grief.
I
just
wanted
to
interrupt
your.
I
appreciate
you
adding
that
slide
on
page
5,
which
is
that
the
data
table
because,
as
you
indicated,
if
you
just
looked
at
the
bar
chart,
it
doesn't
look
like
there's
very
much
variance
I
wonder
if
you
could
look
I'm
just
trying
to
look
at
a
couple
of
big
numbers.
First
is
the
property
taxes
in
2012
was
a
pretty
big
number
and
then
you
look
at
it.
2
2016
projected
it
goes
down
almost
20
million
dollars.
B
A
B
We're
looking
at
is
what
we
end
up.
Having
is
the
sales
tax
in
there
that
wasn't
included,
and
then
you
have
the
liquor,
taxes
and
those
types
of
taxes
in
local
taxes
and
as
a
result,
they
are
no
longer
being
reported
in
the
convention
center
revenues
there
and
we
are
instead
providing
the
convention
center
with
the
transfer
general
for
monies
right,
which
will
be
evident
in
the
expenditure
side
of
this.
A
That's
what
I
wanted
to
point
out:
it's
not
like.
We
suddenly
have
60
million
more
dollars
available
to
the
city.
Although
week
we
have
it
in
the
general
fund,
we'd
been
receiving
it
earlier.
It
was
just
going
into
the
convention
center
fund.
That's
what
this
has
just
becomes
a
little
bit
more
flexible
for
us
in
that
use
and.
B
B
A
D
A
B
The
next
fun
that
we
talk
about
is
the
special
revenue
funds.
The
special
revenue
funds
are
used
to
account
for
and
report
the
proceeds
of
specific
revenue
sources
that
are
restricted
or
committed,
and
what
we
have
in
here
that
the
biggest
category
obviously
and
the
biggest
special
revenue
fund
is
the
convention
center.
B
The
the
thing
that's
interesting
is,
for
example,
the
convention
center.
They
have
a
fairly
stable
fund
balance
and
they're
from
balances,
primarily
cash,
that
they've
had
for
a
number
of
years
and
have
used
in
the
past
to
fund
their
capital
expenditures.
They
are
still
doing
that,
but
it
is
an
amount
that
has
stayed
relatively
stable
at
around
60
million
dollars.
The
total
fund
balance
for
all
of
the
special
revenue
funds
at
year
in
2016
is
projected
to
be
320
point
two
million.
B
This
is
a
decrease
compared
to
2015
and
is
mainly
a
decrease
because
of
the
spending
we
just
incurred,
for
example,
for
capital
spending
and
that
type
of
thing
the
total
cash
at
year-end
is
projected
to
be
270.
7.8
million.
Again,
that's
a
9.3
million
dollar
decrease.
So
basically,
what
you
have
in
in
the
special
revenue
funds
is
there
if
I'm
balance
being
mostly
cash
and
then
and
what
we
as
I
indicated
before
they're
decreases,
due
primarily
to
their
defer
capital
expenditures
and
again
in
the
Jenna
and
the
special
revenue
funds.
B
The
fund
balance
is
generally
assigned
some
cases.
It's
considered
non
spendable,
restricted
or
committed
internal
service
funds,
and
this
is
an
area
that
we've
always
had
some
scrutiny
over,
because
they've
had
some
difficulty
in
the
past,
making
sure
that
the
rates
they
charge
or
the
costs
that
they
allocate
out
are
enough
to
cover
their
costs
of
operation.
B
They
are
used
to
account
for
the
business
services
that
are
provided
internally
to
the
other
departments
and
again
engineering
materials,
testing,
lab
equipment,
the
fleet
services,
the
property
services,
Public
Works
stores
and
the
IT
and
self-insurance
fund
again
the
net
position
at
your
end
and
the
net
position
is
the
same
thing
as
fun:
balance
in
the
governmental
funds.
That
position
at
your
end
is
projected
to
be
a
hundred
and
eighty
eight
point.
Four
million.
This
is
an
increase
from
2015
and
13.4
million.
B
The
total
cash
at
year
n
is
projected
to
be
a
hundred
and
forty
point,
eight
million,
which
is
an
increase
of
3.6
million
or
a
decrease
of
3.6
million
from
2015.
But
this
is
a
sigma
signifies
that
they
have
utilized
their
cash
to
do
their
infrastructure,
maintenance
and
repair
and
work
in
the
past
years.
At
this
point
in
time,
we
always
have
the
decision
of
making
of
deciding
whether
to
use
cash
or
to
issue
bonds
to
do
that
type
of
work,
and
they
have
a
significant
amount
of
work
coming
up.
B
The
fund
balance
and
the
cash
balance
is
reflective
of
the
work.
That's
been
done
to
stabilize
these
funds,
along
with
the
amount
of
work
done
to
upgrade,
develop
and
implement
significant
technology
assets
within
this
group
of
specifically
IT
cash
and
phone
balances
have
improved
significantly
in
these
areas.
The
final
fund,
the
funds
category
that
we
talked
about,
are
the
enterprise
funds.
These
are
used
to
account
for
operations
that
sell
goods
and
services
to
external
third
parties,
and
again
we
have
rather
significant
operations
in
this
area.
B
The
utility
operations
which
are
sanitary,
sewers,
storm
water
and
water
utilities
are
solid
waste
of
recycling
and
then
the
parking
fun
and
the
seat
pad
enterprise
funds.
Our
total
net
position
at
year-end
for
these
funds
is
projected
to
be
a
billion
82.7
mil
ahead.
So
one
point
when
I
know
how
to
even
pronounce
this
now,
it's
the
billion
82.7.
B
It's
a
19
point:
1
million
dollar
increase
from
2015
as
cash
at
year
n
is
projected
to
only
be
a
hundred
and
twenty
seven
point:
eight
million
a
10.4
million
dollar
increase
from
2015,
but
again
they
use
their
cash
to
do
all
of
their
infrastructure.
So
the
difference
between
a
billion
and
127
million
is
primarily
in
their
infrastructure
and
their
capital.
D
B
They
have
built
with
all
of
this
money,
they
have
significant
ongoing
and
infrastructure
and
capital
needs,
and
this
will
require
that
they
use
most
of
their
cash
reserves
over
the
next
few
years
or
require
them
to
provide
for
borrowing
amendment.
Unless
you
have
any
questions,
the
next
part
of
the
presentation
will
be
the
treasury,
Cashin
investment
presentation.
D
D
I
wanted
to
point
out
to
you
the
cyclic
nature
of
our
cash
flows,
where
property
taxes
come
in
and
two
major
payments
in
july
and
december,
and
that's
where
you
see
the
peaks
there
and
then
the
rest
of
the
year
is
basically
drawing
down
on
those
revenue,
payments,
the
pair
bills
and
payroll
and
whatnot
other
than
we
have
new
bond
issues.
Catch
remains
relatively
flat.
You
can
see
the
close
correlation
there.
D
We
vacation
with
our
portfolio
with
in
fixed
income
securities
and
notice
that
there
are
no
stocks
or
equities
of
any
kind
in
a
portfolio
at
this
time.
Most
of
our
investments
are
in
US
government
backed
securities,
which
makes
them
high
quality
and
stable
and
safe
over
seventy
percent
in
federal
investments
their
overall,
the
last
12
months.
Our
investments
have
returned
one-point-three
percent.
D
This
is
the
first
time
in
several
years
that
our
investments
have
generated
over
one
percent
in
returns
and
if
things
go
as
planned,
we
should
finish
the
calendar
year
with
over
9
million
investment
income
and
continue
to
beat
our
benchmarks.
If
the
Federal
Reserve
raises
rates
even
further,
we
should
still
be
in
good
shape,
given
the
quality
and
short-term
nature
of
investments,
we
were
able
to
weather
the
brexit
boat.
D
That's
where
Britain
voted
to
get
out
of
the
EU,
and
there
was
a
sharp
reduction
in
markets
across
the
world,
including
in
the
US,
and
our
portfolio
actually
went
up
because
of
the
quality
investments
that
we
have.
So
thank
you
for
your
time.
At
this
point
and
I
stand
ready
to
take
any
questions
you
might
have
I'll.
A
D
This
point
being
an
election
year,
most
pundits
are
saying
that
there's
less
than
a
fifty
percent
chance
of
a
federal
rate
hike
that's
important
to
us,
because
as
interest
rates
go
up,
whatever
we're
holding
would
be
somewhat
lessened
value
from
a
market
perspective.
However,
since
we
hold
all
of
our
securities
to
maturity,
it's
only
if
we
liquidate
those
securities
that
we
realize
a
loss.
D
A
A
C
Mr.
chair
members
of
the
committee
mark
rough,
the
CFO
I
think
is,
as
the
report
in
your
packets
outlined,
we
are
seeing
a
few
revenue
increases
in
non
property
tax
revenues,
but
the
majority
of
the
revenues
are
flat,
and
that
is
part
of
what's
going
to
put
pressure
on
the
property
tax
levy.
The
mayor
mentioned
a
five
and
a
half
percent
increase,
which
is
a
function
both
of
the
parks
and
streets,
historic
funding
agreement,
but
also
just
inflation
on
all
of
our
costs.
So,
specifically,.
C
Aids
staying
relatively
flat,
I
think
it's
just
a
two-hundred-thousand-dollar
increase.
That's
a
big
number
in
our
budget.
You
know
local
government
aid
is
78
million
dollars
forecasted
for
next
year,
we're
actually
anticipating
them.
Some
decreases
in
revenues
for
2017,
specifically
in
the
area
of
fines
and
forfeits,
not
a
big
dollar
amount,
but
close
to
a
million
dollars.
We
are
also
seeing
some
decreases
in
franchise
fees
and
those
are
the
fees
that
the
city
charges
for
use
of
electricity
and
gas,
as
well
as
some
cable
fees.
C
That's
over
30
million
dollars
of
our
budget
in
total,
and
we
are
anticipating
at
least
another
million
dollars
decrease
in
that,
as
well
as
in
our
license
and
permit.
So
the
fact
that
we
do
have
activity
in
town
is
a
good
thing,
but
our
activity
was
greater
the
last
couple
of
years,
and
then
you
know
from
this
committee
in
the
2016
budget.
We
use
this
term
right
sizing
a
fair
amount.
C
Those
revenues
to
offset
inflation,
so
that's
part
of
what's
putting
pressure
on
property
tax,
that's
offset
by
the
fact
that,
with
the
opening
of
US
Bank
Stadium
move
generally
with
more
hotel
rooms
in
town
we
be
seeing
increases
in
the
entertainment
tax
in
the
and
the
local
sales
taxes
related
to
restaurants,
lodging
and
liquor,
as
well
as
just
the
half
cent
general
sales
tax.
So
if
it
were
not
for
that
increase
in
sales
tax,
we
would
be
seeing
even
more
pressure
on
the
property
taxes.
B
C
Well
as
to
specifically
the
property
taxes,
but
I
think
the
within
24
hours,
we
do
expect
the
details
of
the
of
the
mayor's
budget
to
be
released.
It
will
be
on
the
city's
website,
so
anyone
who's
interested
in
the
numbers
that
we've
been
talking
about
will
be
able
to
see
them
in
in
great
detail
and
certainly
be
happy
to
answer
any
questions.
Extent.
We
can
today,
from
the
committee
very.