HomeMy WebLinkAbout2006/05/13 - ADMIN - Minutes - City Council - Study Session 7- CTY
ST!Lou°iFsOFFICIAL MINUTES
RK CITY COUNCIL STUDY SESSION
March 13, 2006
The meeting convened at 7:02 p.m.
Councilmembers present: John Basill, C. Paul Carver, Phil Finkelstein, Paul Omodt, Loran
Paprocki, Susan Sanger, and Mayor Jeff Jacobs.
Staff present: Deputy City Manager (Ms Gohman); Director of Finance (Ms. McGann);
Assistant Finance Director (Ms. Bursheim); Accounting Manager (Mr. Swanson); Accountant
(Ms. Monson); Accountant (Mr. Simon); Community Development Director (Mr. Locke);
Economic Development Coordinator (Mr. Hunt); Planning and Zoning Supervisor (Ms.
McMonigal); and Recording Secretary(Ms. Samson).
Guest: David Bacille from PFM Asset Management.
1. Investments
The purpose of this discussion is to review current investment practices and discuss the
utilization of a professional money manager to maximize investment yields. Mr. Bacille, a
representative from PFM Asset Management LLC, has been invited to speak tonight. PFM Asset
Management LLC is devoted exclusively to providing investment advice and portfolio
management of funds for state and local governments.
Mr Bacille discussed investment management and descnbed the process
Councilmember Basill asked if fees are set. Mr. Bacille responded that brokers do make a razor
thin profit. Councilmember Basill asked about the expense ratio on funds. Mr. Bacille said a
broker will not make more than a basis point.
Councilmember Finkelstein asked if the firm would receive rebates. Mr. Bacille said no, and
commented that arbitrage would be separate. Director of Finance Jean McGann said with this
service, the city would not be in arbitrage.
Councilmember Sanger suggested the city find a municipal entity to make comparisons. Mr.
Bacille said PFM tracks returns and compare them to a treasury index.
Councilmember Carver said it would only make sense to pursue utilizing a professional money
manager if it would pay off or at least break even. In addition to Ms McGann's time, two
additional staff members could also work on investing Ms. McGann said PFM would be
required to be conservative Ms. McGann asked the Council what they would like to do.
It was the consensus of the Council to utilize the services of a professional money manager.
2. Preliminary 2007 Budget
Ms. McGann distributed a power point presentation regarding the city's budget. Ms. McGann
reported that PERA rates will increase. She and staff would like to equalize pay between exempt
and non-exempt employees. Ms. McGann said the city can increase franchise fees, however,
Xcel and Centerpoint Energy must be raised the same amount otherwise they cancel each other.
Study Session Minutes -2- March 13, 2006
Ms. McGann asked Council what areas staff should look at. Councilmember Finkelstein asked
what will happen with Bass Lake and the fire station.
Councilmember Sanger would like to see accounting for sanitary storm sewer. Ms. McGann said
it is accounted for in the CIP. Councilmember Sanger would like to add more resources to
community development. She asked: What will be done with the seven million dollars in
pension?
Councilmember Paprocki commented that some seniors can't afford the taxes on their homes.
Councilmember Sanger asked about city help for strapped seniors.
3. Top 10 Future Development Areas
Planning and Zoning Supervisor Meg McMonigal discussed the staff report, which begins the
process of identifying and pnoritizing areas of the city for which redevelopment pressures may
exist or occur in the future such that proactive planning may take place.
Community Development Director Kevin Locke urged Council to keep the Elmwood Area, Park
Commons (including Park Nicollet, Wayside House and the Bass Lake site) in mind He asked:
What would Council like to do?
Councilmember Sanger responded that the city needs to be proactive in regard to development
and redevelopment. A role for community development would be to help gain information and
understanding, i.e., to speak to the property owners. Mr. Locke said he thinks that would be a
good idea. Councilmember Carver said there is a lot of residential interest in Texa-Tonka.
Mr. Locke discussed the city's comprehensive plan. Ms. McMonigal asked if staff could look at
large areas as opposed to site by site. Councilmember Omodt asked: Would it be beneficial if
community development had additional staff? Is the city passing up good things due to a
shortage of community development staff?
There was discussion regarding the Duke area, and Council and staff discussed what if scenanos.
The Duke area will be discussed in greater detail at an upcoming study session very soon.
Mayor Jacobs asked: What does northern St. Louis Park want for redevelopment? Mayor
Jacobs is not so concerned about the rankings in the staff report. Councilmember Carver said
market forces dictate but Council can influence. Councilmember Paprocki said the staff rankings
make sense; the city could be a clearinghouse for redevelopment. Councilmember Sanger said
community development needs more staff. Mayor Jacobs is anxious to see the Visioning
Process. Councilmember Finkelstein said it would be good to do this every year.
4.' Historic/Architecturally Significant Housing and Architectural Design Guidelines—
Council Policy
Councilmember Sanger requested the Council discuss histonc housing, architecturally significant
housing and architectural design guidelines. Councilmember Sanger led the discussion. She
would like to develop guidelines for exteriors and have guidelines available for residents.
Councilmember Sanger said the preservation of historic housing can add character to a
neighborhood and help reinforce a sense of community history.
Study Session Minutes -3- March 13, 2006
Councilmember Basil! would like to explore histonc and architecturally significant housing and
architectural design guidelines. Mayor Jacobs said he has trepidations about standards, but
Councilmember Sanger said guidelines Councilmember Omodt would like to pursue discussion
regarding recommendations for historic and architecturally significant housing; however,
architectural design guidelines would be tough Councilmember Finkelstein added that perhaps
the city could make guidebooks more available, guidelines are not adequate. Councilmember
Carver is interested in pursuing historic and architecturally significant housing, however, histonc
housing would need to be defined. Councilmember Carver said it is worthwhile to preserve
Frank Lloyd Wright homes in St. Louis Park.
The consensus of the Council is to direct staff to pursue historic housing and architecturally
significant housing. Deputy City Manager Nancy Gohman will talk to City Manager Tom
Harmemng about Council's directive.
5. Paperless Agenda
Councilmember Carver requested the Council consider directing staff to research the feasibility
of creating and disseminating agendas to the Council and others electronically. Councilmember
Carver said paperless is really paper reduction. His goal is to reduce waste.
Councilmember Paprocki favors paperless. Councilmember Sanger would rather read from hard
copy but she is willing to move forward and try paperless. She asked how attachments would be
handled.
Ms. Gohman said it would take some time for a paperless agenda to become user friendly.
Councilmember Finkelstein said he would like to see it as an option
Councilmember Carver asked Council if a paperless agenda is worth looking into? Council
replied in the affirmative—at least look at it. To reduce waste and expense, Councilmembers
said they don't need color, they don't need plastic and they don't need vendor claims.
6. Future Study Session Agenda Planning
Councilmember Omodt requested that Police Chief John Luse attend the March 27th study
session Councilmember Omodt and Mayor Jacobs would like to have the Chief's opinion.
The meeting adjourned at 9 30 p.m.
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City Clerk Ma,or '