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From YouTube: August 28, 2018 Ways & Means Committee
Description
Minneapolis Ways & Means Committee Meeting
A
Good
afternoon,
everyone
I'll
call
this
regularly
scheduled
meeting
of
the
Ways
and
Means
Committee
to
order
I'm,
councilmember
Abdul
or
some
of
the
chair
of
the
committee
and
with
me
today
at
Dyess,
our
council,
member
Johnson,
councilmember
Palmisano
and
council
vice-president
Jenkins,
and
we
have
a
quorum
and
therefore
can
conduct
our
business.
Today
we
have
31
items
for
consideration
on
the
Ways
and
Means
Committee
today
and
I
will
read
out
the
consent
items
and
they
are
as
follows.
Item
number
1
is
a
legal
settlement.
A
Recife
properties,
inc
versus
the
city
of
minneapolis
item
number
2
is
a
legal
settlement.
The
University
of
Minnesota
versus
city
of
Minneapolis
item
number
3
is
a
gift
acceptance
of
city
staff,
travel
expenses
to
urban
sustainability
directors,
Network
annual
meeting
item
number
4
is
a
contract
amendment
with
urban
DRK
for
additional
scope
of
work
services.
A
Item
number
5
is
a
contract
amendment
with
electronic
design
company
for
contract
closeout
of
the
Convention
Center
audio
systems
upgrade
project
Idol
number
6
is
a
contract
with
I,
see
Systems
Inc
and
diversified
adjustment,
Services
Inc
for
full
pressure
for
professional
debt
collection
services.
Item
number
7
is
the
2018
election
elections
budget
appropriation
item
number
8
is
agreement
with
Hillcrest
development
for
public
works
parking
and
a
number
9
in
acquisition
settlement
for
226
25
University
Avenue
North
East
for
the
East
Side
storage
maintenance
facility.
A
A
Item
number
17
is
a
contract
with
Bracken's
consulting
and
psychological
services
for
police,
employee,
employee
mental
health
services.
I.
Remember
18
is
the
Washburn
Center
for
general
grant
for
mental
health
services.
Item
number.
19
is
a
side
agreement
with
AmeriCorps
to
host
the
Minnesota
opioid
response
hopes.
Member
item
number
20
is
a
grant
from
the
Minnesota
Department
of
Human
Services
for
clinical
training.
I
don't
know
were
21
it's
a
contract
with
NeighborWorks
home
partners
and
build
wealth
Minnesota
to
provide
lending
as
administration
services
for
the
2018
homeownership
opportunities.
A
Minneapolis
program
item
number
22
is
a
contract
amendment
with
Lamy
T
&
Sons
Inc
for
Lyndale
Avenue,
our
art
for
improvement
project
I,
don't
number
23
is
a
contract
amendment
with
maya
contracting
inc
for
Anderson
school
improvements.
Project
item
number
24
is
the
2018
capital
improvement
program,
appropriation
and
revenue
adjustment
within
the
city's
capital
projects.
Item
number
25
is
a
contract
amendment
with
Kimberly
horn
and
Associates
Inc
additional
professional
services
for
the
Hennepin
Avenue
reconstruction
project.
A
Either
number
26
is
a
contract
with
CDM
Smith
for
industrial
electrical
engineering
planning,
design
construction
services
for
the
upgrades
at
the
Fridley
softening
plan
iron
with
2017
iron
with
27
is
18th
Avenue
North
East
trail
gap,
easement
agreement
either
number
28
is
agreement
with
Canadian
Pacific
Railway
for
the
26th
Avenue
North
Street
reconstruction
Pro
project
either
number
29
is
a
myth.
City,
industrial
reconstruction
project,
cooperative
agreement
and
easement
item
number
30
is
an
easement
and
permit
agreement
for
replacement
of
water
main
crossing
the
Mississippi
River
item.
A
A
However,
I
also
have
a
walk-in
item
from
our
City
Attorney's
Office,
which
is
the
local
government
amicus
brief
Commonwealth
of
Massachusetts
versus
the
United
States
Department
of
Health
and
Human
Services
Alex
M,
as
are
at
our
and
I,
will
add
that
to
the
consent
items.
Is
there
any
discussion
on
the
consent
item
or
the
working
items
from
any
of
our
colleagues
and
we've
been
joined
by
councilmember
Fletcher
and
councilmember
Cunningham
thanks
for
joining
us
and
I
have
counsel
and
profession.
B
C
Chair
councilmember,
Fletcher,
I'm,
gonna,
admit,
I,
don't
know
a
lot
about
this
one,
but
the
the
walkin
item.
This
walk
on
I'm,
the
most
they're
most
recently
came
by.
There
was
no
fiscal
impact,
but
in
terms
of
providing
paid
greater
substantive
explanation
of
it,
I
would
have
to
get
back
to
you
on
that.
I
apologize,
okay,
Lee.
D
A
A
E
There
were
some
and
council
members
pleased
to
be
here
today
to
present
the
second
annual
for
a
second
quarter,
financial
report
and
I'd
like
to
introduce,
as
our
new
controller,
effective
July
Lyle
Hodges
Lyle
was
our
deputy
controller
prior
working
under
Mary
jutting.
So
he
had
a
great
opportunity
to
learn
from
a
fantastic
mentor.
Lyle's
been
here
for
many
years
and
in
the
city
is
in
very
good
hands
with
him
at
the
controllers
seat.
So
with
that
I'll
turn
it
to
him
to
make
the
presentation.
Thank
you.
F
So
chair
with
Sammy
and
members
of
the
committee
I
just
take
one
quick
second
to
also
introduce
our
new
deputy
controller
Don
Koenig.
She
joins
us
from
Hennepin
County
and
fills
out
my
staff,
so
we'll
be
proceeding
along
with
business
as
usual
in
the
controller's
division.
So
I'm
here
to
present
the
financial
status
of
the
city
of
the
second
quarter,
2018
a
brief
overview.
The
financial
picture
of
the
city
as
a
whole
continues
to
be
healthy
and
stable.
F
F
Jumping
into
the
general
fund,
this
is
used
to
account
for
the
financial
resources,
except
anything,
that's
required
to
be
a
card
for
elsewhere,
so
it
doesn't
include
our
utility
funds
or
in
turn,
service
funds
or
special
revenue
funds.
Fund
balance
for
the
general
fund
is
predicted
to
end
the
year.
At
eighty
four
point:
nine
million
dollars
this.
F
Two
million
dollar
decrease,
however,
we
will
continue
to
meet
our
minimum
fund
balance
requirements
and
the
decrease
was
planned.
So
essentially,
three
items
are
contributing
to
the
decrease.
One
is
a
planned
use.
The
fund
balance
on
the
2018
original
budget.
We
had
planned
to
use
seventeen
point
three
million.
G
F
Of
the
general
funds
fund
balance,
in
addition,
we
had
to
sort
of
one-time
events.
There
was
a
transfer
to
the
capital
projects,
funds
related
to
the
tenth
Avenue
Street
or
tenth
Avenue
Bridge,
and
we've
also
moved
some
funding
for
C
ped
that
was
related
to
long
term
projects
that
just
wasn't
generally
fit
in
the
general
fund.
So
we
move
that
out
to
a
see
ped
special
Revenue
Fund.
So
again
we
will
meet
our
requirements
and
the
the
reduction
was
planned.
F
The
main
takeaway
from
this
slide
that
I'd
like
to
point
out.
If
you
look
at
the
local
taxes
line,
I've
got
a
couple
of
asterisks
there.
We
no
longer
receipt
all
the
local
taxes
to
the
general
fund,
they're
now
going
to
the
downtown
assets
fund
and
so,
as
a
result,
obviously
no
revenue
there.
We
do
transfer
and
approximately
31
million
dollars
and
that's
shows
up
under
the
all
of
the
revenues
line.
So
the
two
most
substantial
changes
there
by
category
one.
H
You
mr.
chair
I
just
wanted
to
get
some
clarification.
Can
you
give
the
background
if
you're
familiar
with
the
switch
as
to
why
the
low
Gold
taxes
are
being
deposited
into
the
downtown
assets
fund
with
a
portion
going
to
the
general
fund,
rather
than
all
of
it
going
was?
Was
that
a
policy
decision
that
had
been
previously
made
sure.
F
Chairs
memory
councilmember
Cunningham
there
was
a
downtown
assets
fund
established
to
act
as
an
umbrella
fund
over
the
Peavey
Plaza
and
the
downtown
Commons
park,
as
well
as
the
Target
Center
and
the
Convention
Center
and
the
local
taxes
were.
Deposits
are
now
deposited
into
that
umbrella
fund
to
help
kind
of
maintain
and
control
the
resources
there.
So
it
was
a
it
was
a
budget
switch
I,
don't
know,
Marc
might
have
more.
I
Mr.
chair
councilmember
Cunningham
to
expand
on
what
Lyle
said
we
used
to
take
all
the
money
into
the
general
fund
when
I
say
all
the
money.
That's
the
sales
and
entertainment
taxes,
that's
what
we
refer
to
as
local
taxes
and
then
transfer
out
to
the
convention
center.
Most
of
that
money
that
would
pay
for
debt
service
and
operation
of
the
Convention
Center.
So
we've
really
just
reversed
that
Trent
movement
of
money
and
it
actually
then
helps
reduce
our
overall
general
fund
revenues
and
expenses,
which
also
then
reduces
the
amount
of
cash.
I
We
have
to
keep
on
hand
to
meet
that
17%
reserve
requirement
and
then
just
more
clearly
identifies
where's
the
money
really
going.
Most
of
the
money
was
going
to
pay
for
debt
service
and
Convention
Center
operations
and
the
Target
Center.
So
it's
more
accurately
portrayed
in
a
special
revenue
fund
and
of
like
what
mr.
Hodges
also
said,
we've
done
with
the
Affordable
Housing
Trust
Fund.
What
used
to
be
in
the
general
fund?
That's
the
special
projects
he
was
talking
about
that
oftentimes.
I
Would
roll
projects
over
from
year
to
year
was
a
painful
process,
accounting
wise
for
us
to
have
that
in
the
general
fund
and
so
I
think
we're
just
trying
to
then
just
more
accurately
meet
the
dollars
with
what
the
with
what
the
uses
are,
but
we
still
have
that
transfer
in
from
sales
and
everything
taxes
to
the
general
fund,
so
we're
still
using
that
money
in
the
same
way
that
we
did
before.
So
it's
really
more
of
an
a
mr.
ologist
at
a
budget
and
accounting
shift.
I
F
Taking
a
look
at
the
current
year
activity
in
the
general
fund
revenue
revenue
to
your
date
is
trending
on
track.
Taking
into
consideration
that
change
in
the
local
tax
process,
we
are
currently
projecting
to
end
the
year
just
slightly
over
budget
104
percent.
In
the
past
three
years,
historically,
we've
averaged
102
point
7
percent
of
the
budget
on
the
revenue
side.
So
just
a
couple
more
points,
the
it's
still
early
in
the
year,
you
know
through
June
30th
you
can
see
on
the
chart.
F
We
typically
collect
less
than
30
percent
of
the
total
revenue
for
the
year,
so
property
taxes
come
in
deposited
in
July,
and
so
that's
really
where
we
get
a
lot
of
our
general
fund
revenue
and
as
the
year
goes
on,
you
know,
variations
and
license
and
permitting
fees
and
developmental
revenue,
as
well
as
investment
revenue,
can
push
this
up
even
higher.
So.
F
Some
of
the
bigger
changes
to
note
on
this
slide:
I
guess,
if
you
look
at
police
where
we
ended
2017
and
where
we
project
an
2018.
A
lot
of
that
was
a
budget
increase
related
to
the
salary
and
contract
settlement
that
occurred,
so
2018
is
really
more
of
a
right
sizing
of
the
police
budget
and
so
in
in
total,
it's
not
shown
on
the
slide,
but
in
total
the
difference
between
2017
actuals
in
2018
projected
is
actually
only
as
less
than
a
million
dollars.
B
Think
each
oversaw
me
on
the
budget
presentation
we
received
yesterday
it
looked
like
Public
Works
was
the
bigger
cost
Center
on
the
pie,
chart
if
I
remember
right
so
I'm
wondering
if
this
is
expenditure,
so
a
lot
of
this
compensated
by
buyback
and
is
there?
Is
there
a
revenue
source
that
goes
goes
along
with
the
police?
That
explains
why
it's
so
much
higher
in
the
expenditure
category
here,
I
think
mica.
G
Wants
to
chip
in
councilmember
Fletcher,
a
good
question,
I
think
when
I
showed
that
portrayal
of
the
city
expenditures
yesterday
I
said
this
is
an
all
funds
picture
and
were
we
looking
at
the
data
in
fund
by
fund?
It
would
look
very
differently
and
the
public
works
is
what
I
was
thinking
of
there.
A
lot
of
their
spending
happens
well,
most
of
their
spending
happens
outside
of
the
general
fund.
Thank.
B
F
So
again,
digging
into
the
current
year
general
fund
expenditures.
Year
date
we
are
trending
slightly
higher
than
average
due
to
we
have
those
multiple
spring
snow
emergencies
and
then
some
large
events
that
have
kind
of
increased
our
costs
year-to-date
over
the
average.
This
slide,
the
the
graph
on
the
side
kind
of
represents
the
difference
between
a
revenue
and
x
factor
and
the
general
fund.
In
that,
on
the
revenue
side,
we
we
collect
most
of
our
revenue
in
the
later
half
of
the
year.
On
the
expenditure
side,
it's
pretty
even
25%
per
quarter.
F
F
So,
taking
a
look
at
the
special
revenue
funds
in
totality
they're
they're
used
to
account
for
and
report
proceeds
of
specific
revenue
sources,
something
significant
special
revenue
funds
in
the
city
here
would
be
the
convention
center
Target
Center,
the
police
departments
forfeiture
and
gambling
activity,
neighborhood,
Community
Relations
regulatory
services,
our
grant
funds
are
all
in
special
revenue
and
then
a
significant
portion
of
seabeds
operations
fall
under
a
special
revenue
fund
or
group
of
funds
for
year-end
2018.
We're
projecting
that
total
fund
balance
will
equal
approximately
295
million.
This
is
a
thirty
point.
F
Six
million
dollar
decrease
compared
to
where
we
started
the
year.
Total
cash
also
decreasing
in
this
case
about
thirty
four
million
dollars.
So
the
decrease
is
due
to
again
going
back
to
that
local
tax
and
how
we're
allocating
the
local
taxes
and
where
they
or
they
get
reported
and
so
on
and
the
last
blow
point
they're
just
referenced
is
some
that's
kind
of
a
counting
speaker.
I
guess
you
can
say
the
gener
fund
balances
and
these
funds
are
set
aside
for
a
specific
purpose.
F
F
Internal
service
funds-
again,
we
group
these
all
together,
they're
used
to
account
for
the
goods
and
services
provided
to
other
city
departments.
So
we
have
six
internal
service
funds,
the
engineering
materials
and
testing
lab
the
equipment
or
fleet
services
fund
property
services,
Public
Works
stores,
IT
and
the
self
insurance
funds
which
this
in
this
case
that
refers
to
a
rollup
of
several
funds
related
to
medical,
dental
workers,
comp
liability
and
severance
self
insurance
functions.
F
Total
that
position
at
year-end
should
say
2018
is
projected
to
be
about
177
million.
This
is
a
2.4
million
decrease
from
the
2017
year-end
balance.
Total
cash
in
these
funds
collectively
is
projected
to
be
about
about
135
million,
which
is
a
20
million
dollar
decrease
from
the
2017
year.
In
balance,
and
again
this
these
funds
have
been
stabilized
over
the
years
and
were
working
to
upgrade
our
technology
and
infrastructure
resources
of
the
city.
F
And
finally,
we
have
the
Enterprise
Fund,
so
these
are
the
business
type
operations
of
the
city
can
be
referred
to
as
the
utility
operations,
sanitary
sewer,
storm
water,
water,
solid
waste
and
recycling
and
parking,
as
well
as
some
CPD
and
enterprise
operations.
Total
net
position
in
these
funds
collectively
at
year-end
2018,
is
projected
to
be
944
million.
A
thirty
eight
point:
eight
million
dollar
decrease
from
where
we
were
at
the
beginning
of
the
year.
A
Thank
you
very
much,
mr.
Dargis,
your
wonderful
presentation.
Is
there
any
comments
or
discussion?
Thank
you
very
much
and
I'll
move
out
I'll,
move
receiving
and
filing
this
quarterly
update,
all
those
in
favor
say:
aye,
those
against
and
that
passes
and
having
concluded
the
committee's
business.
This
really
is
a
joke.
Thank
you.