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CITY OF SHOREWOOD
CITY COUNCIL SPECIAL MEETING
MONDAY, DECEMBER 4, 2000
5755 COUNTRY CLUB ROAD
COUNCIL CHAMBERS
7:00 P.M.
MINUTES
1. CONVENE SPECIAL MEETING
Mayor Love called the meeting to order at 7:07 P.M.
A.
Roll Call
Present:
Mayor Love; Councilmembers Lizee, Stover, and Zerby; Engineer Brown; Finance
Director Burton; and Planning Director Nielsen
Absent:
Attorney Keane and Councilmember Garfunkel
B.
Review Agenda
Mayor Love reviewed the Agenda. He requested the addition of Item 4A, A Discussion on Employee
Compensation. Councilmember Stover requested the addition of Item 4B, A Discussion on the Well
Building Upgrade.
Stover moved, Zerby seconded, approving the Agenda as amended. Motion passed 4/0.
2. CONSENT AGENDA
A. A Motion Setting the December 2000 Regular Council Meeting Schedule for
December 11,2000.
Zerby moved, Lizee seconded, Setting the December 2000 Regular Council Meeting Schedule for
December 11, 2000. Motion passed 4/0.
3. TRUTH IN TAXATION PUBLIC HEARING
Mayor Love opened the Truth in Taxation Public Hearing at 7:08 P.M.
Finance Director Burton presented the 2001 Proposed Annual Operating Budget. She explained the
purpose for this hearing to be a review of the Operating Budget, as well as discussing budget and levy
changes. In addition, she noted the public was invited to comment on the budget. She also explained the
Council could increase, but not decrease, the levy limits as per state statute.
In providing an overview, she noted the City of Shorewood would collect approximately fifteen cents
from every tax dollar paid by the citizens as part of this budget. She also provided a calendar of events
related to the budget preparation.
There were several funds to be reviewed in the budget. The first was the General Fund which anticipated
a 7% increase from the past year's budget. In preparation of the budget, the removal of levy limits, and
the desire to maintain a stable General Fund balance were considered. The General Fund helped to pay
for most day to day operating expenses. Proposed revenues included a decrease in licenses and permits
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CITY COUNCIL SPECIAL MEETING MINUTES
December 4, 2000
Page 2 of 4
due to a reduction in building permits of approximately $55,000. To offset this reduction, an increase in
taxes of approximately 12% was being considered. Proposed expenditures included spending in the
areas of General Government-Administration and Professional Services, Public Safety (such as Police
and Fire Protection), Public Works, Parks and Recreation, Capital Transfers (funds which help to fund
other future projects such as street projects), and a Contingency Fund used to handle emergency
situations that may not be previously planned in the budget.
The change in tax levy was approximately twelve percent which translated into approximately four
percent in the city portion of taxes. This percentage was the same amount of percentage increase found
in 1999. Reasons for the tax levy increase included a decrease in revenue for building permits, as well as
other decreased revenues and increased expenditures, such as police and fire department requests, long
term disability benefits for employees, and various other operating expense requests.
Director Burton reviewed a time line of taxes for City residents and noted the Council had done a good
job of keeping expenditures fairly level in the past ten years.
Director Burton next explained the Enterprise Funds to be like self-supporting city businesses operating
on services sold to residents. The first of these was the Water Fund, which was comprised of two
subfunds: Water Operations and Water Debt Service.
The Water Operations Fund included revenues received for the sale of water and other miscellaneous
revenues, and the expenses for operation and maintenance of the water system. While there are two
planned interconnections occurring in the Year 200l-the Woodhaven Well and the Boulder Bridge
pump repair, this fund expected little change from last year's budget.
The Water Debt Service Fund accounted for the accumulation of resources for future debt retirement and
for the annual payment of principal and interest on current water system debt. Rates for water were
raised in the Year 2000, but were not expected to increase this year. A review of these rates would be in
order for the Year 2001.
The Sewer Fund was another Enterprise Fund for the City. There were 2,705 connections in the City,
and approximately a one and a half percent increase was planned due to an increase in the Munitech
contract, which provides sewer services to the City. Also contributing to the increase was the proposed
refurbishment of the Shady Island and Birch Bluff lift stations.
The Recycling Fund expenses would remain approximately the same as in the past year. No increase in
the residential recycling fee provided by E-Z Recycling was anticipated in this budget.
The Stormwater Management Fund included a few projects, such as the Edgewood Road project. Fees
and revenues would repay an interfund loan used in the acquisition of the Gideon Glen property.
The Liquor Fund anticipated a nine percent increase in revenues for this budget. This continued a trend
toward profitable operations.
Overall, Director Burton summarized, a resident owning a property valued at approximately $225,000,
could expect to pay taxes in the amount of $3,987. The City's portion received would be approximately
$611. For these tax dollars, residents continued to receive quite a value in city services, such as police
and fire protection, snow removal, maintenance, and parks.
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CITY COUNCIL SPECIAL MEETING MINUTES
December 4, 2000
Page 3 of 4
Julie Scheurer, Edgewood Road, was the sole audience member and upon invitation from the Mayor,
questioned the Council on the development of trails in her neighborhood.
Mayor Love responded a trail walk had been completed in that area, however, no formal trail plans were
being discussed. Engineer Brown also added there had been no funds expended toward placement of
trails in that neighborhood.
Mayor Love stated trail plans depend on the neighborhood input, and Ms. Scheurer would certainly be
notified in the event plans for such trails in that area were a possibility.
Ms. Scheurer also commented, with regard to use of soft shoulder trails, it was her understanding that
government studies had not found soft shoulder trails useful or safe for bicycles-only walking.
The Public Hearing was closed at 7:25 P.M.
The Council had no further questions. They complimented Finance Director Burton on her budget
presentation.
4. DISCUSSION
A. A Discussion on Employee Compensation
The Council discussed the possibility of providing Planning Director Nielsen with additional
compensation for the past year's service as Acting Administrator. Council supported this idea.
B. A Discussion on the Well Building Upgrade
Councilmember Stover requested the well building near the Southshore Community Center be considered
as a potential project. She noted a meeting with the Friends of the South shore Center prompted this
request as they were possibly thinking of expanding parking spaces, and there had been previous conflict
related to the scheduled use of the nearby football field.
Mayor Love stated he would like to look at a list of options related to the parking issues in this area.
Also, alternatives for signage should be considered for the future.
Engineer Brown stated he realized the well building was in need of repairs, however, expenditures from
the Water Funds made this difficult to attempt at this time. Further, he noted the anticipated repairs
would be substantial.
As part of a different matter, Mayor Love stated he had briefly spoken with Mayor-Elect Terry Haugland,
from Excelsior to discuss the possibility of sharing of city services. He noted his perception was that this
would be more like a strategic alliance in trying to work with Excelsior, rather than having separate plans
for each city. He noted the guiding principles in having these discussions was the possibility of doing
strategic planning with both cities in an effort to provide better services to residents. He noted this would
not include any downsizing, and there would certainly not be any loss of jobs for anyone.
A meeting will be held on December 13, 2000, with Mayor-Elect Haugland, Excelsior Councilmember
Dick Mueller, Shorewood Councilmember Zerby, and Mayor Love to discuss possible ideas related to
this matter. He planned to report back to Council on this meeting at a later date.
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CITY COUNCIL SPECIAL MEETING MINUTES
December 4, 2000
Page 4 of 4
4.
ADJOURN
Lizee moved, Stover seconded, adjourning the City Council Special Meeting of December 4, 2000,
at 7:43 P.M. Motion passed 4/0.
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RESPECTFULLY SUBMITTED,
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Sally Keefe,
Recording Secretary
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Woody Love, Mayor