8/31/13
As predicted here, Shorewood's Council approved a 3% preliminary tax increase on 8/26. Readers can view the discussion at: http://lmcc.granicus.com/MediaPlayer.php?publish_id=717594f9-622e-1031-bc96-29b50f2ba9d1 Look at the work session for detail and the actual vote during the regular meeting at agenda item 10C.
Half of the increase is for general expenses and the plan is to use excess reserves to cover the rest of the spending increases. The other half of the 3% seems destined to be used to increase the subsidy for the South Shore Center to something like $140,000 from the $60,000 expected in 2013.
According to the work session, the increase in subsidy would be to hire a full-time person to manage the Center. This meets the wish of the seniors as shown in the SSSP "Vision." The Insider questions how this can be justified. There is still no plan that shows a full-time manager is needed or warranted.
The Commission of the five Center owner cities did meet on the 27th. Seems that a fourth meeting will happen, but that Tonka Bay and Greenwood are both saying they will not participate in funding any operations. Also, it looks like Greenwood is leaning the same direction. It appears that Shorewood may be in it alone going forward.
Of course, things can change and the tax increase could be reduced before the end of the year or a decision made to spend some or all of the money earmarked for the Center on things like parks where funding is critically short. What would you, the readers do?
Happy Reading!
The Insider
Saturday, August 31, 2013
Saturday, August 24, 2013
South Shore Center Commission
8/24/13
Shorewood has scheduled a third Commission meeting for Tuesday, 8/27 at 5:00 PM in the Shorewood City Hall. The agenda and draft minutes from the second meeting are now on Shorewood's website at: http://weblink.ci.shorewood.mn.us/WebLink8/DocView.aspx?id=165922&dbid=0
The Insider's read of the minutes gives rise to the feeling that Shorewood is the only owner city with any real interest in doing something with the Center (with most of this coming from Mayor Zerby and his wife). The rest committed to discuss it with their respective councils, but they seem to be looking for some outside agency to come to the rescue (like MCES?).
The gist appears to be let's fill up the building with users. So, the real objective seems to be to find a use for a building (of course, Shorewood would like to get out from under bearing all the expenses). The Insider muses that the approach is like owning an empty garage and deciding it needs a car to fill it.
Tuesday night should bring some clarity.
Happy Reading!
The Insider
Shorewood has scheduled a third Commission meeting for Tuesday, 8/27 at 5:00 PM in the Shorewood City Hall. The agenda and draft minutes from the second meeting are now on Shorewood's website at: http://weblink.ci.shorewood.mn.us/WebLink8/DocView.aspx?id=165922&dbid=0
The Insider's read of the minutes gives rise to the feeling that Shorewood is the only owner city with any real interest in doing something with the Center (with most of this coming from Mayor Zerby and his wife). The rest committed to discuss it with their respective councils, but they seem to be looking for some outside agency to come to the rescue (like MCES?).
The gist appears to be let's fill up the building with users. So, the real objective seems to be to find a use for a building (of course, Shorewood would like to get out from under bearing all the expenses). The Insider muses that the approach is like owning an empty garage and deciding it needs a car to fill it.
Tuesday night should bring some clarity.
Happy Reading!
The Insider
Friday, August 23, 2013
Funding Bonds in Chaska?
8/23/13
One reader has questioned Shorewood possibly funding a retirement facility in Chaska, citing having "read" about it.
Well, there is an item on the council meeting agenda for Monday the 26th that refers to this. The reader must be reading the agenda packet on the City's website. You can read it too and look for item 10B on the regular meeting agenda. See: http://weblink.ci.shorewood.mn.us/weblink8/0/doc/165898/Page1.aspx
So, staff wants to know if there should be a formal policy about using the City's bonding authority to issue revenue bonds where the project is a not a City one. The practice of a city using its bonding authority to loan money to a project is common. Deephaven recently did just this for the construction of the St Therese retirement housing project. St Therese promised to pay back the bonds and Deephaven taxpayers have no obligation if the bonds are not repaid.
Should/will Shorewood do this? According to the staff memo, it has done so at least once before. Of course a major reason for doing this would be that Shorewood would be paid a large chunk of money from the bond sales proceeds. So it may come down to how money hungry the Shorewood Council feels. The Insider notes from the staff memo that Chanhassen and Greenwood are considering selling bonds for this project too.
The reader also commented on potential changes in Badger park. Again, these were discussed recently in a council meeting that is on TV and the web. Of note is that the cost of the changes would use all the parks capital funds leaving nothing for other improvements unless the council finds more money. Maybe use all the money from the sale of the City-owned house? Council has not yet decided.
Standby for more on this.
Happy Reading!
The Insider
One reader has questioned Shorewood possibly funding a retirement facility in Chaska, citing having "read" about it.
Well, there is an item on the council meeting agenda for Monday the 26th that refers to this. The reader must be reading the agenda packet on the City's website. You can read it too and look for item 10B on the regular meeting agenda. See: http://weblink.ci.shorewood.mn.us/weblink8/0/doc/165898/Page1.aspx
So, staff wants to know if there should be a formal policy about using the City's bonding authority to issue revenue bonds where the project is a not a City one. The practice of a city using its bonding authority to loan money to a project is common. Deephaven recently did just this for the construction of the St Therese retirement housing project. St Therese promised to pay back the bonds and Deephaven taxpayers have no obligation if the bonds are not repaid.
Should/will Shorewood do this? According to the staff memo, it has done so at least once before. Of course a major reason for doing this would be that Shorewood would be paid a large chunk of money from the bond sales proceeds. So it may come down to how money hungry the Shorewood Council feels. The Insider notes from the staff memo that Chanhassen and Greenwood are considering selling bonds for this project too.
The reader also commented on potential changes in Badger park. Again, these were discussed recently in a council meeting that is on TV and the web. Of note is that the cost of the changes would use all the parks capital funds leaving nothing for other improvements unless the council finds more money. Maybe use all the money from the sale of the City-owned house? Council has not yet decided.
Standby for more on this.
Happy Reading!
The Insider
Wednesday, August 21, 2013
South Shore Center - Advisory Commission Progress?
8/21/13
So far the Advisory Commission has had two meetings. The rep for Excelsior did not attend the first meeting. All the owner cities did have reps at the second meeting.
Other than discussing some background, it seems the first meeting (see minutes at: http://weblink.ci.shorewood.mn.us/WebLink8/DocView.aspx?id=165733&dbid=0) only resulted in deciding to have the second one. Of course Mayor Zerby, who is not on the commission, but must feel he has to be in control, suggested a consultant should be retained. This is the usual cop-out approach taken to Center issues and is likely to prove not useful without a strong commitment from the cities. The Insider does not see a strong commitment.
The minutes from the second meeting are yet not posted. It seems that city reps agreed to poll their councils about direction and come back for a third meeting yet this month. Maybe some of the cities will "come clean" as to their interest in the center operations in the future. So far, it appears the idea that because there is a building, so something great must be done with it doesn't resonate with all the cities.
Meanwhile, Shorewood has its draft budget supporting the Center in 2014 as the City has so far in 2013. This amounts to taxpayers spending $60,000 to keep it open.
Stay tuned.
Happy Reading!
The Insider
So far the Advisory Commission has had two meetings. The rep for Excelsior did not attend the first meeting. All the owner cities did have reps at the second meeting.
Other than discussing some background, it seems the first meeting (see minutes at: http://weblink.ci.shorewood.mn.us/WebLink8/DocView.aspx?id=165733&dbid=0) only resulted in deciding to have the second one. Of course Mayor Zerby, who is not on the commission, but must feel he has to be in control, suggested a consultant should be retained. This is the usual cop-out approach taken to Center issues and is likely to prove not useful without a strong commitment from the cities. The Insider does not see a strong commitment.
The minutes from the second meeting are yet not posted. It seems that city reps agreed to poll their councils about direction and come back for a third meeting yet this month. Maybe some of the cities will "come clean" as to their interest in the center operations in the future. So far, it appears the idea that because there is a building, so something great must be done with it doesn't resonate with all the cities.
Meanwhile, Shorewood has its draft budget supporting the Center in 2014 as the City has so far in 2013. This amounts to taxpayers spending $60,000 to keep it open.
Stay tuned.
Happy Reading!
The Insider
Friday, August 2, 2013
Slow Summer Musings
8/2/13
Well, it's the dog days of summer and things at Shorewood City Hall are slow too.
At the last council meeting, the 2014 draft budget was discussed. Not much was accomplished. The City Administrator presented a budget with no tax increase and was short of more than $200,000 in funding to be balanced. Staff reported that the levy limit imposed by the State wasn't much of an issue in that loop holes would allow the City to raise taxes more than $600,000.
Sale of the City-owned house on country Club Rd. is expected to raise $250,000 which can be used in any way the Council wants.
Meanwhile, a rate study for the sanitary sewer and storm sewer funds is getting underway. The storm sewer fund is running out of money. A hefty rate increase there is likely unless spending plans are curtailed. Cutting spending may be impractical since new federal and state rules are driving more expensive approaches to controlling storm water and pollution.
The sanitary sewer fund is also heading into negative territory, but not as soon as storm sewer. One may recall that about five years ago, $1 million was taken from this fund and placed in the Community Infrastructure fund along with about $800,000 left from sale of the liquor stores. Now, the sewer fund is getting short and Council Member Hotvet's pet trail projects have spent about 80% of the money to do about 20% of the 10-year trail plan. No word from Hotvet as to how the rest of the trail projects will get funded.
Enough.
The Insider forecasts a 3% general levy increase for 2014. Reserves also will be used to bring the budget into balance. Storm sewer and sanitary sewer rates will go up by the end of this year. Hotvet will want to spend all the house proceeds on trails and kick the can down the road on dealing with other budget issues. Will the rest of Council go along?
Happy Reading!
The Insider
Well, it's the dog days of summer and things at Shorewood City Hall are slow too.
At the last council meeting, the 2014 draft budget was discussed. Not much was accomplished. The City Administrator presented a budget with no tax increase and was short of more than $200,000 in funding to be balanced. Staff reported that the levy limit imposed by the State wasn't much of an issue in that loop holes would allow the City to raise taxes more than $600,000.
Sale of the City-owned house on country Club Rd. is expected to raise $250,000 which can be used in any way the Council wants.
Meanwhile, a rate study for the sanitary sewer and storm sewer funds is getting underway. The storm sewer fund is running out of money. A hefty rate increase there is likely unless spending plans are curtailed. Cutting spending may be impractical since new federal and state rules are driving more expensive approaches to controlling storm water and pollution.
The sanitary sewer fund is also heading into negative territory, but not as soon as storm sewer. One may recall that about five years ago, $1 million was taken from this fund and placed in the Community Infrastructure fund along with about $800,000 left from sale of the liquor stores. Now, the sewer fund is getting short and Council Member Hotvet's pet trail projects have spent about 80% of the money to do about 20% of the 10-year trail plan. No word from Hotvet as to how the rest of the trail projects will get funded.
Enough.
The Insider forecasts a 3% general levy increase for 2014. Reserves also will be used to bring the budget into balance. Storm sewer and sanitary sewer rates will go up by the end of this year. Hotvet will want to spend all the house proceeds on trails and kick the can down the road on dealing with other budget issues. Will the rest of Council go along?
Happy Reading!
The Insider
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