Anoka City Council

August 5, 2024 (Annual Budget Presentation) Page 1 of 3 WORKSESSION OF THE ANOKA CITY COUNCIL ANOKA CITY HALL CITY COUNCIL WORKSESSION ROOM AUGUST 5, 2024 1. CALL TO ORDER Mayor Rice called the worksession meeting to order at 6:00 p.m. 2. ROLL CALL Present at roll call: Mayor Rice, Councilmembers Scott (participating remotely from 6168 South Fairway Place, Gold Canyon, Arizona), Skogquist, and Wesp. Staff present: City Manager Greg Lee; Finance Director Brenda Springer; Assistant Finance Director Liz Douglas; Police Chief Eric Peterson; Public Works Director Mark Anderson; Public Services Administrator Lisa LaCasse; Utility Director Del Vancura. Absent: Councilmember Weaver. 3. COUNCIL BUSINESS and/or DISCUSSION ITEMS 3.1 Annual Budget Presentation. City Manager Greg Lee stated at previous worksessions department heads presented their Capital Improvement Plan and Equipment Replacement requests. He outlined the proposed schedule for adoption and the goals to increase reserve balances in all funds, budget for debt reduction, provide services that are consistent with Council goals and that are desirable to the community, expense management, and a plan for future investments into the community. He stated the 2025 budget has a proposed operating increase of $1,544,676 or 15.22% over 2024 budget. Mr. Lee shared the proposed general fund levy of $10,317,076 which was an increase of 15.22%. He shared the increase in allocations was proposed at $336,760 then outlined proposed staffing changes in detail that would total $557,000. The debt levy will see an increase of $317,289 or 3.13%. He noted this was just the beginning of the budget process and that Council and staff will have the opportunity at the upcoming worksessions to adjust this initial budget. Councilmember Skogquist asked about process for labor negotiations and the need for a meeting with Council to share about potential increases prior to formal consideration to best understand the large increases. Mr. Lee shared about health insurance increases of almost 30% then reviewed reductions to the budget such as the building inspector position, election judges, August 5, 2024 (Regular) Page 1 of 12 REGULAR MEETING OF THE ANOKA CITY COUNCIL ANOKA CITY HALL CITY COUNCIL CHAMBERS AUGUST 5, 2024 1. CALL TO ORDER Mayor Rice called the regular meeting of the City Council to order at 7:00 p.m., followed by the Pledge of Allegiance. 2. ROLL CALL Present at roll call: Mayor Rice, Councilmembers Scott (participating remotely from 6168 South Fairway Place, Gold Canyon, Arizona), Skogquist, Weaver (arrived at 7:20 p.m.), and Wesp. Also present: City Manager Greg Lee; Police Chief Eric Peterson; Public Works Director Mark Anderson; Assistant City Engineer Ben Nelson; City Attorney Scott Baumgartner; and Utility Director Del Vancura. Absent at roll call: None. 3. COUNCIL MINUTES 3.1 June 24, 2024, Worksession. July 15, 2024, Regular Meeting. Motion by Councilmember Skogquist, seconded by Councilmember Wesp, to approve the minutes of the June 24, 2024 Worksession July 15, 2024, Regular Meeting as presented. Vote taken. All ayes. Motion carried. 4. OPEN FORUM 4.1 Police Activity Update. Police Chief Eric Peterson shared an update stating no concerns occurred with the recent Anoka County Fair during assistance with the Anoka County Sherriff’s Office. He shared about the Battle of the Badges hockey tournament with Ramsey and that Anoka won 6-4 while raising funds for the Invisible Wounds Project of Minnesota. He said the City’s annual Night to Unite will include 27 events which was more than last year then spoke about the Cook Out With the Cops and updated on significant law enforcement activities that included a head- on collision and first-degree assault with a dangerous weapon. August 5, 2024 (Regular) Page 2 of 12 OTHER INFORMATION UNDER OPEN FORUM Ed Evans, 1186 Benton Street, spoke about the question on the upcoming primary election ballot and asked if the Charter runs the City or the Council does who established the Charter. Mayor Rice explained the Council runs the City but the rules are established by the Charter and that this question is whether the voters or the Council can direct about organized hauling. Councilmember Wesp explained the Charter was similar to the US Constitution in that Anoka established itself as a Charter city then explained the process to establish a Charter city. Councilmember Skogquist noted Charter city establishment was outlined in Statute but within the Charter there are other methods in conjunction with the Charter, Council, and the people and how residents can petition the Commission for questions to be included on a ballot. City Attorney Scott Baumgartner further commented on the multiple ways to amend a Charter but said this question is allowed under Statute and if the amendment passes the Charter Commission will amend the Charter which will bypass the Council regarding hauling. Mayor Rice said a valid petition is included on a ballot once the Charter Commission deems its validity. Dr. Evans shared many residents don’t understand what they will be voting on in November. Mayor Rice said the City will ensure that the question is understandable. Councilmember Wesp further explained the question on the primary ballot further. Dr. Evans said if the question passes the Charter Commission cannot override the vote and the how Legislature actually controls the Charter Commission. Mr. Baumgartner explained the August 13 question further and said right now without the ballot question the Council could make that decision on their own and how the question is asking whether that authority should be up to the voters. Tom Boros, 2259 Green Avenue, shared concerns with the Anoka Car Show that included participants parking on his grass, loudspeaker noise, and other concerns and asked for the concerns to be reviewed prior to licensing for future car shows. He thanked Mayor Rice for his years of service to the community. Mayor Rice said staff will discuss the concerns and follow up with the event directors to address them. August 5, 2024 (Regular) Page 3 of 12 Robert Kirchner, Coon Rapids, said he represented the Anoka County Elections Integrity Team (ACEIT) and shared how they were an informal organization of Anoka County citizens that focused on how elections function. He said they have been meeting weekly for two years and were comprised of election judges, cyber security workers, engineers, administrators, and former local governments. He shared that elected officials were doing a good job and that they had no concerns that procedures were being followed but had concerns with the procedures and noted elections are hidden and more susceptible to hacking. He spoke about outsourcing aspects to private companies that aren’t required to respond to data requests, were highly computerized and electronically surveilled, and included concerns about unfunded machine mandates. He spoke about the legislative change regarding hand counting and registration concerns as well as lack of transparency then shared the need for smaller voting districts, security of election judge data, verified registered voters, validated paper ballots and chain of custody, paper pollbooks versus pollpads, and hand counting paper ballots. Paul Barrett, Coon Rapids, ACEIT, spoke further about registered voters and working with Anoka County and screening those registered in two places and how the State Voter Registration System and the national change of address system helped with the potential for duplicate registrations submitted to Anoka County. Joel Richardson, Andover, ACEIT, shared about hand counting of paper ballots to audit machines but due to recent law changes that is no longer allowed but said there are other options such as the post-election review (PER) and that hand counting does work and is feasible and suggesting the City allow for an expanded PER. Amy Lotten, Oak Grove, ACEIT, said only 20% of public have a confident view of the election system because they doubt the security of machines and if votes were hand-counted, they could help restore confidence. She said Oak Grove passed a resolution to count all four of their precincts in November at the PER as well as Ramsey and felt that this would restores faith in elections. She said ACEIT has worked with Alpha News to highlight their work and requested the opportunity to share more about their six goals with Council as an upcoming worksession. Council consensus was to include a presentation from ACEIT at an upcoming worksession. 5. PUBLIC HEARING(S) None. 6. CONSENT AGENDA August 5, 2024 (Regular) Page 4 of 12 Motion by Councilmember Wesp, seconded by Councilmember Weaver, to approve the Consent Agenda as presented. 6.1 Approve Verified Bills. 6.2 Revising and Setting Council Calendars. 6.3 U.S. Highway 10/169 Improvement Project; Approve Change Order Number 83. 6.4 2023 Street Renewal Project – Franklin Area Phase I; Final Payment and Project Close-Out. 6.5 Recommended Approval of an LG220 Bingo/Raffle Permit for Anoka Auxiliary 102 at American Legion Post 102 on November 6, 2024. Vote taken. All ayes. Motion carried. 7. REPORTS OF OFFICERS, BOARDS AND COMMISSIONS None. 8. PETITIONS, REQUESTS AND COMMUNICATION None. 9. ORDINANCES AND RESOLUTIONS 9.1 RES/Trunk Highway 47 Corridor and BNSF Grade Separation Project; Supporting Pursuit of FY 2023-2024 Railroad Crossing Elimination (RCE) Program Grant Funding. RESOLUTION Assistant City Engineer Ben Nelson shared a background report stating the City- led Trunk Highway 47 Corridor and BNSF Railroad Grade Separation Project is for the improvements along Highway 47 north of U.S. Highway 10 at Pleasant Street (CR 30) to Bunker Lake Boulevard (CSAH 116). The project limits consist of both the Highway 47 BNSF Grade Separation Project that was initiated by the State of Minnesota Department of Transportation (MnDOT) in 2015 and the Highway 47 Corridor Improvements Project that was initiated by the City of Anoka in 2017. He shared further background about the project then said it would be an excellent candidate for the RCE Grant Program funds is the City’s Trunk Highway 47 Corridor and BNSF Railroad Grade Separation Project. The intent and desire of this grant would be to fund a plan following the National Environmental Policy Act (NEPA) process to review the project area more comprehensively than past efforts. This would include revisiting the Purpose and August 5, 2024 (Regular) Page 5 of 12 Need with a broadened vision to embrace the freight and highway needs, but also to include environmental issues as part of the primary needs to further assess impacts of the existing infrastructure and any potential improvements, and identify the best alternative. This planning grant would support the City’s desire to explore a more comprehensive reconstruction of the Trunk Highway 47 corridor, beyond just solving transportation needs, focusing on maximizing safety to the traveling public while minimizing environmental impacts. This could be one of a very few ways the City could advance these projects from their current stage with minimal use of local funds. Project benefits of this corridor will reduce severe and fatal crashes, improve operational efficiencies, relieve congestion, and decrease emergency response time. Additional benefits include improving safety for pedestrians and bicyclists by providing a multi-use trail connection. As part of the application process, the local agency is required to submit a signed resolution stating that the agency is requesting funding from the U.S. Department of Transportation through the RCE Grant Program and to document the funding commitments. The preliminary project cost for the project is $89M and the firm funding secured to date for the project is $40M. The RCE Grant could fund the preliminary planning, design, and engineering costs associated to these projects. The RCE Grant request is for $2.5M to further study and complete preliminary design of these projects. The non-federal local match commitment for this grant request is $625,000 should the grant funding be awarded to the City of Anoka. Mr. Nelson shared the project schedule then said it is staff’s intention to apply for MnDOT’s current assistance through the Infrastructure Investment and Jobs Act Match Program. Councilmember Weaver asked if this project will be the same model as the Highway 10 project. Mr. Nelson said it was the intent of the City to lead the project, hold the contract, and pursue funding opportunities, including the $7 million for the north portion already. Councilmember Weaver said MnDOT received significant funding already for this project and asked if that funding would be available to the City. Mr. Nelson said $46 million would be available to the City by December 2025 and that $27 million was committed already and possibly more. Councilmember Wesp asked when the City worked with MnDOT there was design inflexibility and spoke about how we worked to address the separation and designation of the riverway as scenic. He said the Council as a whole decided to pursue the direction staff is suggesting now and understands MnDOT funds have to be reallocated but, hopefully, this will allow for more design flexibility with this project. Mr. Nelson noted MnDOT has provided letters of support over the past six months for this project which will be extremely helpful in obtaining the grants. August 5, 2024 (Regular) Page 6 of 12 Councilmember Skogquist commented on how cities look to the entire corridor which will take a long time so we need to do this project right from the beginning. Motion by Councilmember Wesp, seconded by Councilmember Skogquist, to adopt a resolution approving the Trunk Highway 47 Corridor and BNSF Railroad Grade Separation Project; Supporting Pursuit of FY 2023-2024 Railroad Crossing Elimination (“RCE”) Program Grant Funding. Upon a roll call vote: Mayor Rice, Councilmembers Scott, Skogquist, and Weaver voted in favor. Motion carried. 9.2 ORD/Amending Chapter 14, Animals 1st Reading Mr. Baumgartner shared a background report stating existing Chapter 14 regulates animals in the City, including Dangerous and Potentially Dangerous Dogs. Upon reviewing Chapter 14 in comparison with State Statutes relative to Dangerous and Potentially Dangerous Dogs, it was observed that some of the language in Chapter 14 was less than clear and did not provide sufficient enforcement language for some violations under the Chapter. This item is being brought forward with proposed amended language to provide better clarity of the Chapter regulations and improved enforcement language for violations. He spoke about the need for Statutes to protect the public and how the Code was missing an enforcement mechanism and would include additional tools to respond to concerns then referred to a recent incident in Brooklyn Park that resulted in the death of a toddler and the importance of this amendment. Councilmember Wesp asked how many dogs have been declared dangerous in the City. Chief Peterson said none to date in Anoka but that he has declared dogs dangerous in his career. Councilmember Skogquist asked about the ability for discretion in the ordinance for incidents that occur on private property by a dog that bites someone and the resulting misdemeanor and the need to balance minor bite incidents versus a larger incident. Mr. Baumgartner said the Police Department was exceptional and would utilize their discretion and noted the ordinance allows for discretion to be used. He said the goal is to ensure a dog owner takes responsibility and that it is difficult to include a specific number of bite incidents and that he trusted the police staff would do the right thing in their discretion. Mayor Rice suggested an injury or drawing blood could be used as criteria but agreed it can be difficult because of the size of a dog but said it would be nice to have a clear definition. Chief Peterson stated Anoka’s CSOs deal with dogs both professionally and through volunteer opportunities and trusted their opinions to balance minor incidents versus an aggressive dog that attacks bypasses for no apparent reason. He noted a utility worker for example who is bit while on a August 5, 2024 (Regular) Page 7 of 12 resident’s property wouldn’t immediately result in a dangerous dog designation but would allow the animal to be quarantined to protect against rabies and if it happens again soon after a first incident, it allows the tool to designate in the future. Mr. Baumgartner said he serves as a hearing officer for other cities and that many times incidents include two dogs and the criteria and goal is to identify the propensity of another incident and noted owners have the ability to request a review in six months to have the designation removed if they have met the required criteria. Joelle Ahord, Anoka, shared about a dog roaming their neighborhood recently that resulted in a police call for a vicious dog who was in fact not and how dogs just protect their territory. She said she appreciated the concept but asked the City to be mindful of the person who’s claiming a dog is dangerous when they are not. Motion by Councilmember Skogquist, seconded by Councilmember Weaver, to hold first reading of an ordinance amending Chapter 14, Animals. Upon a roll call vote: Mayor Rice, Councilmembers Scott, Skogquist, and Weaver voted in favor. Motion carried. 9.3 RES/Opposing the Proposed New Anoka Jail Facilities. RESOLUTION Mr. Lee shared a background report stating the City Council in a closed executive session on July 26, 2024, provided direction that a resolution be drafted and brought forward at the next regular meeting to be considered by the City Council regarding the proposed new Anoka County Jail Facilities. Councilmember Wesp said it was disheartening that the Anoka County Board would adopt their resolution and while he understood they wanted to move forward they heard the City’s opinions and concerns. He shared how Anoka did not have a representative to the Board due to the resignation of Commissioner Look and how Anoka residents didn’t have a voice in this matter. He said the City didn’t just oppose the project because of size and scope but shared alternatives for the jail within the City and therefore fully supported this resolution. He noted it was recently passed into law that jails could be in a different location other than the County seat and how the City was willing to allow it, but in a different location. Councilmember Skogquist suggested a change to the resolution to say the City didn’t have full representation to be more accurate. He agreed the City worked ad nauseum on this project but there is a need to continue then highlighted the plans expanding the current nonconforming use and vacation of Van Buren Street August 5, 2024 (Regular) Page 8 of 12 which is very specific and that the City was willing to continue work on alternative plans. He stressed the need to work together on this project because that’s what good partners do. Motion by Councilmember Skogquist, seconded by Councilmember Wesp, to adopt a resolution opposing the proposed new Anoka County Jail Facilities as amended to include full representation. Councilmember Weaver asked when plans will come before the Planning Commission. Mr. Lee said the project architect has requested a meeting with staff to begin the process so possibly before year end. Councilmember Wesp asked if Anoka County has the ability to move forward with redevelopment of a parking ramp and noted we don’t know their plans on the jail itself and if a conditional use permit would be needed. Mr. Baumgartner said this would be a multi-stage process that included construction of a new parking ramp to replace where the jail is proposed to go. Councilmember Weaver asked if the County could come forward with a planned unit development request for more of a campus feel. Mr. Baumgartner suggested not discussing potential options but instead be reactionary to what was presented. Upon a roll call vote: Mayor Rice, Councilmembers Scott, Skogquist, and Weaver voted in favor. Motion carried. 10. UNFINISHED BUSINESS None. 11. NEW BUSINESS 11.1 Proposal Contract Relating to Organized Solid Waste and Yardwaste Collection. Mr. Lee shared a background report stating staff has been holding negotiation meetings with the four currently licensed residential haulers for garbage/yardwaste collections. The contract (which is still confidential and supplied to Council separately) shows red mark-ups which indicate additional text that the haulers’ attorneys have placed in the contract and received August 1, 2024, after the negotiations meeting ended. The contract also shows mark-ups which indicate additional text the City Attorney has included. In the contract, the City Attorney listed questions and comments that staff would like the haulers to react to. The haulers have stressed they would like a conversation with the entire City Council on the contract, especially regarding pricing. They expressed if the Council is not accepting of the proposed pricing, they would like the opportunity to discuss with the Council. They have explained that the haulers as group developed this pricing and felt that it was reasonable but if the City Council is August 5, 2024 (Regular) Page 9 of 12 looking for something else, they would like the opportunity to discuss it further and potentially propose something different. Councilmember Wesp said the haulers have requested a meeting with the entire Council which then has to be at a public meeting. Councilmember Skogquist said if a meeting is held with the full Council it will be a public meeting but the court order said negotiations have to be private due to the lawsuit. He said it was important for staff to negotiate and have the information to do so and suggested the Options committee do their work and postpone any action until August 19 to see if pricing is reasonable compared to other cities. Councilmember Scott said we need to compare apples to apples and that it is difficult to evaluate what the pricing scheme may be and that the Options Committee should be able to help allow that to be known. Motion by Councilmember Skogquist, seconded by Councilmember Scott, to postpone acting until August 19 to receive the report from the Options Committee. Councilmember Wesp said the City was served a temporary restraining order (TRO) by the haulers to stop the Options Committee. Mr. Baumgartner explained the TRO was due to the haulers-initiated litigation laying out certain things and that a hearing has been set for September 3 but in the meantime, the TRO expires August 1 relative to the Options Committee. Upon a roll call vote: Mayor Rice, Councilmembers Scott, and Skogquist voted in favor. Councilmembers Weaver and Wesp voted nay. Motion carried. 11.2 Road Closures Associated with the Social District. Councilmember Weaver shared that he would be abstaining from participating in this item due to a conflict of interest as a property owner and the potential for impacts to his tenants in the designated area. Mr. Lee shared a background report stating pursuant to the policy, two Councilmembers have asked that road closures within the social district be placed on the agenda. He spoke about a proposed special event by MaGillyCuddy’s to close Jackson Street between 1st and 2nd Avenues for the next four Sundays in August and September from 1-5PM with barricades that would be moved to open and close the street. He shared concerns with the closure making the parking lot adjacent to City Hall not function correctly for access and suggested closing the southern half of Jackson Street to allow for traffic to still circulate. August 5, 2024 (Regular) Page 10 of 12 Councilmember Skogquist said we gave direction to close the 100 block of Jackson Street and the west half of the 200 block of Jackson Street in July then asked to hear from the applicants regarding feedback of those actions. Todd and Jackie, MaGillyCuddy’s, shared about the street closing to test the social district and how it worked great and that they would like to continue that closure on Sundays because the downtown area is slower and would bring more people downtown. They said the action would not be just for them but to incorporate areas for karaoke and games for everyone, not just their customers, and that they could be flexible on times. They said both parking areas would be usable with some maneuvering then said the social district was intended to be open and easier for people coming from other bars to play games and sing karaoke and felt it would work well. Councilmember Skogquist said this has been the first full season of the social district and that he was happy to try new things so the area was successful then noted this area will have to be redone within the next few years. He said if the applicants were willing to be flexible through the rest of season, he would like to have them be allowed to apply for the closure of the 100 block and west third of Jackson Street on the 200 block to allow flexibility to utilize the public space for the public. Mayor Rice said it would appear to be an imposition for parking but there is access to the lots in other ways. He said the most significant issue is the parking lot adjacent to City Hall which would be a right-in/right-out. Councilmember Skogquist suggested removing some stalls for future events for return in another way as it would be nice to use other parking lots in the area when there aren’t other large events. Councilmember Wesp thanked the applicants for being active and providing opportunities for events for the public and said he hoped the City has been accommodating to them but felt to arbitrarily close the whole block wasn’t the best option and suggested blocking a portion of the south access similar to what was done in 2020 instead. He said while Sundays are quieter and City Hall is closed the public still has to be able to use the parking areas and street. Todd said if they could only close a portion, they would prefer not to do this at all as they wouldn’t have enough space for the activities and that pedestrians would be too close to moving traffic. Mr. Lee suggested J barriers could be placed for the next four weekends to protect pedestrians but that they would leave them onsite as they are labor-intensive to remove. August 5, 2024 (Regular) Page 11 of 12 Councilmember Skogquist suggested allowing this for four hours on Sundays until Labor Day because it has been said that when businesses do well the City does well. He said the social district was a gift and that the City closes streets for other reasons and that Sundays are quiet. Councilmember Weaver stepped away from the dais to the public podium. He stated he was a property owner of 2013 1st Avenue, 2006 1st Avenue, 2012 1st Avenue, and 2013 2nd Avenue which includes tenants who use the building on Sundays. He said he has been informed by his tenants that if closures continue, they will be leaving Anoka and stressed the need for balance in benefiting one business owner at the demise of another. He suggested other ways to configure the parking lot for access and shared concerns for public safety access as well. Mayor Rice said the intent of a social district was to allow for an area for activities but agreed it was unfortunate that a district ultimately affects accessibility to the full area. Councilmember Skogquist agreed with the need for balance but said we also need to try things as part of the social district, adding downtown Anoka may change over time and that he felt this request was minor. Motion by Councilmember Skogquist, seconded by Mayor Rice, to allow closure of the 100 block of Jackson Street for four hours on Sundays until Labor Day as well as any full or partial closures of the block and the west 2/3 of the block upon application and approval by staff. Mayor Rice suggested a friendly amendment to allow the westernmost exit on Jackson Street to remain open to the circle to allow a right-out and leave both accesses with corners to allow access in and out. Councilmember Scott suggested directing staff to contact the businesses for any feedback, adverse or otherwise, to include in reporting to the Legislature next year as it would be very important for both the businesses and the public. Mayor Rice suggested contacting businesses within 600 feet of Jackson Street. Councilmember Wesp spoke about the car show concerns shared earlier and how participants were using the speaker’s private property and boulevard in front of his home and how this is what happens when we close streets so for that reason would not be supporting the motion. Upon a roll call vote: Mayor Rice, Councilmembers Scott, and Skogquist voted in favor. Councilmember Wesp voted nay. Councilmember Weaver abstained. Motion carried. 12. UPDATES AND REPORTS August 5, 2024 (Regular) Page 12 of 12 12.1 Tentative Agenda(s). The Council reviewed the tentative agendas of the upcoming Council meetings. 12.2 Staff and Council Input. Utility Director Del Vancura shared the dredging project has begun on the Rum River and includes a yellow boom staged in two levels and suggested sharing with the public that Anoka can still be accessed by water during the project. Mr. Nelson shared the off-set floating silt curtains have been placed in the while the dredging begins and that boaters can still access the landing and the Port of Anoka will remain open during the project. He noted with the recent rain the project has paused until water levels recede and that staff will ensure the project is shared on social media as well. Councilmember Skogquist suggested different signage that says the river is accessible during the project. Mr. Lee said staff will also email those who navigate the river as well. Councilmember Wesp asked staff to reiterate the ballot question on Primary election day. Mr. Baumgartner shared the ballot question for August 13 and explained the question was whether the Charter should be amended to require the voters to vote on organized hauling or the Council as the Charter is currently silent on this direction. Mayor Rice said the ballot question is bolded as either yes or no if hauling should be subject to voter approval. Mr. Lee noted the question is also posted on the City’s website. ADJOURNMENT Councilmember Wesp made a motion to adjourn the Regular Council meeting Councilmember Skogquist seconded the motion. Vote taken. All ayes. Motion carried. Time of adjournment: 9:14 p.m. Submitted by: Cathy Sorensen, TimeSaver Off Site Secretarial, Inc. Approval Attestation: Amy T. Oehlers, City Clerks August 5, 2024 (Annual Budget Presentation) Page 2 of 3 and seasonal labor reductions due to lack of interest. He reviewed proposed revenue and expenses changes in detail. Finance Director Brenda Springer shared the proposed 2025 general fund budget and highlighted specific changes in each fund. She reviewed the meeting purpose and budget process, budget goals and parameters, the proposed 2025 budget and changes compared to the 2024 budget, then summarized the proposed 2025 levy and its impact to taxpayers. She said staff met with the health insurance firms and that the increases will be presented to the Benefits Committee for input. Councilmember Skogquist asked about the debt levy increases as the bonds become closer to maturity. Ms. Springer explained most will be flat but some do increase such as TIF bonds as well as the development with Gramercy and replacement of the animal containment building. Mr. Lee clarified that in 2020 and 2021 the City paid 1% rates for bonding which is now is increasing and the benefits of the City wisely bonding at that time as a way to save money. Ms. Springer shared further about the school liaison officer cost history and subsidizing the school districts. Police Chief Eric Peterson noted staff suggested a 6% increase but the districts only approved a 3% increase for next three years similar to all other cities but how that doesn’t cover current costs. Councilmember Skogquist asked if the districts were paying for 12 months or only 9 while school was in session and if the $215,000 is for two full-time officers. Ms. Springer explained when school is in summer recess the officers then code their time to other activities and the amount is only for 9 months when school is in session. Mr. Lee shared the proposed tax rate with current levy in detail. Ms. Springer shared further about taxable value and market value and their impacts. Mayor Rice asked further questions about the rate. Ms. Springer explained how the taxable value times the rate results in the amount of property taxes paid. Mr. Lee reviewed the general fund capital and equipment requests in detail. Councilmember Skogquist noted he would have preferred the Walker parking ramp joint caulking project of $35,000 to have been done last year. Councilmember Scott asked about removal of the multi-park improvements. Ms. Springer said the Park Board had discussed the need to improve some of the older park systems and created a priority list to set aside $125,000 but how there’s not enough in the Park CIP to do so because the Rum River and Upper Rum River projects are grant-matching and funds are needed for that instead. August 5, 2024 (Annual Budget Presentation) Page 3 of 3 Councilmember Wesp referred to the non-union wages of 3.25% and if that was equal to union wages. Ms. Springer explained COLA and health insurance amounts were proposed to be increased by $41,000. Mr. Lee summarized that based on any goals the Council wants staff can make the appropriate adjustments then reviewed the proposed budget schedule and preliminary levy consideration scheduled for September 16. He noted budget challenges are not unique to Anoka and that all cities are working to decrease expenses and increase revenue. Councilmember Wesp asked about the associated dollar amount for every 1% increase in the levy. Ms. Springer explained it was approximately $100,000 for every 1% increase in levy. UPDATES/REPORTS/COUNCIL SUGGESTIONS FOR TENTATIVE FUTURE AGENDA ITEMS None. 4. ADJOURNMENT Motion by Councilmember Skogquist, seconded by Councilmember Wesp to adjourn the Worksession at 6:53 p.m. Motion carried. Submitted by: Cathy Sorensen, TimeSaver Off Site Secretarial, Inc. Approval Attestation: Amy T. Oehlers, City Clerk