Minneapolis Park & Recreation Board

Resolution
2016-195

Second and Final Reading of Resolution Adding Chapter 16 to the Minneapolis Park and Recreation
Board Code of Ordinances - 20-YEAR NEIGHBORHOOD PARK PLAN

Information

Department:Superintendent's OfficeSponsors:
Category:Ordinance

Attachments

  1. Printout
  2. 2016-101 ORD

Item Discussion

Whereas, The Minneapolis Park and Recreation Board (MPRB) was created by the Minnesota Legislature with an affirmative vote by Minneapolis voters of the Park Act on April 3, 1883 establishing what has become a primary contributor to the quality of life in all parts of the city;

 

Whereas, The Minneapolis Park and Recreation Board (MPRB) is an independently elected, semi-autonomous body responsible for governing, maintaining and developing the Minneapolis Park System;

 

Whereas, Minneapolis parks encompass the city’s defining lakes and the river banks at the core of the city’s development;

 

Whereas, Acquired by purchase and donation, the parks include features of astonishing beauty, historical significance and ecological wonder, all within a thriving urban setting;

 

Whereas, Historical accounts indicate Minneapolis residents believe the park system is a unique and valuable asset, plays an important role in serving the public, and contributes to the economy;  

 

Whereas, More than this, the parks are imbued with personal meaning—the playgrounds that live in the memories of generations of people, are the soul of our communities;

 

Whereas, The 6,801-acre system consists of neighborhood and regional parks, playgrounds, wading pools, recreation centers, sports fields and courts, golf courses, gardens, biking and walking paths, nature sanctuaries, lakes and a 55-mile parkway system;

 

Whereas, Minneapolis’ neighborhood parks have the greatest number of physical assets that require greater resources to operate, maintain and replace;

 

Whereas, The Superintendent and Commissioners initiated Closing the Gap: Investing in Neighborhood Parks (Closing the Gap) in 2015 to share information with Minneapolis residents and partners about the current condition and service level of neighborhood parks;

 

Whereas, Closing the Gap looked at the impacts of the age of the system and deferred maintenance – or delayed regular upkeep past the point of repair – have had on the 160 neighborhood parks in Minneapolis;

 

Whereas, Closing the Gap gathered information from Minneapolis residents and partners about investment priorities for replacement, operating and maintenance of existing neighborhood park assets;

 

Whereas, Following the extensive Closing the Gap initiative,  the City of Minneapolis and the Minneapolis Park and Recreation Board, have negotiated an historic agreement, protecting current Park Board funding and providing new funding for Minneapolis’ neighborhood parks;

 

Whereas, This agreement, the 20 Year Neighborhood Park Plan,  provides additional annual funding for neighborhood park maintenance, rehabilitation and capital investments provided by the City of Minneapolis;  and

 

Whereas, This resolution is supported by the MPRB 2007-2020 Comprehensive Plan values of sustainability, responsiveness and innovation and independence and focus;

 

RESOLVED, That the Board of Commissioners adopt Chapter 16 of the Minneapolis Park and Recreation Board Code of Ordinances; and

 

RESOLVED, That the President of the Board and Secretary to the Board are authorized to take all necessary administrative actions to implement this resolution.

Body

CHAPTER 16 – 20-YEAR NEIGHBORHOOD PARK PLAN

 

PB16-1. Findings and purpose.

 

The City of Minneapolis and its Park and Recreation Board have developed a 20-year financial plan to achieve a shared goal of closing a neighborhood parks funding gap utilizing racial and economic equity criteria in a manner that is consistent with existing annual levy and capital budget processes and that avoids the uncertainty and inflexibility of various potential ballot measures.

 

PB16-2. Definitions.

 

The following terms whenever used in this article shall have the following respective meanings:

 

BET means the Board of Estimate and Taxation under Article V of the City Charter.

 

              City means the City of Minneapolis, acting through its City Council and Mayor as

              provided in Article IV of the City Charter.

 

Exigent Economic Events means state-imposed levy limits, decreased market value for tax capacity purposes, changes in the state’s property tax classification system, or other events that impact the City’s ability to raise revenues through taxation or other means.

 

              MPRB means the Park and Recreation Board under Article VI of the City Charter.

 

              Neighborhood Park Capital Project(s) means the addition of a structural

improvement to the Neighborhood Park System or the restoration of some aspect of an asset in the Neighborhood Park System that will either enhance the asset’s overall value or increase its useful life.

 

              Neighborhood Park Plan means the funding plan outlined in Section PB16-3.

 

Neighborhood Park Projects means Neighborhood Park Capital Projects and Neighborhood Park Rehabilitation Projects.

 

Neighborhood Park Rehabilitation Project(s) means an improvement or repair to the Neighborhood Park System that does not constitute a Neighborhood Park Capital Project.

 

Neighborhood Park System means those parks that (i) are owned, operated and

maintained by the MPRB, or owned and maintained, by the MPRB (ii) are generally less than two blocks in size, but can be larger, and (iii) are neither designated as part of the Metropolitan Council System of Regional Parks and Trails nor part of any of the MPRB’s golf courses.

 

Unanticipated Critical Needs means natural disasters, disease, acts of god, and similar               occurrences that place extraordinary demands on City resources.

 

PB16-3. 20-Year Neighborhood Park Plan.

 

A.      Term. The Neighborhood Park Plan is effective from 2017 through 2036, unless earlier terminated as provided in paragraph J, below.

 

B.      Concurrent Ordinance. The Neighborhood Park Plan will be effective only upon adoption of a concurrent Neighborhood Park Plan ordinance by the City.

 

C.      Exclusive Purpose. The financial resources that the City provides to the MPRB under the Neighborhood Park Plan must be used exclusively to fund the Neighborhood Park System as further delineated below.

 

D.     Startup Funding. The City will provide a one-time reimbursement of $1.5 million to the MPRB on or about January 1, 2017, for initial costs for capital improvements to, rehabilitation of, or operating expenses relating to the Neighborhood Park System.

 

E.      Operating Funds. The City will recommend that the BET increase the adopted base 2016 MPRB Park and Recreation Tax Levy amount of $52,583,000 by $3 million in 2017 and it is expected that the City and MPRB members on the BET will vote affirmatively for this increase. It is the intent of the parties that this increase, which equates to approximately 1% of all City tax levies for 2016, will remain in effect for the duration of the plan and shall be used to increase funding for general operations of the Neighborhood Park System and not to supplant other operations funding for the Neighborhood Park System.

 

F.      Project Funds.

 

1.      Guaranteed Minimum Annual Amount. Beginning in 2017 and continuing for the term of the Neighborhood Park Plan, the City will provide the MPRB with a guaranteed minimum annual amount of funding for Neighborhood Park Projects. The guaranteed minimum annual amount will be $10.5 million per year (the current $2.5 million per year appropriated through the regular City bonding process plus $8 million per year in additional funds), the form of which will be some combination of levy, cash, or bond proceeds at the discretion of the City. If bond proceeds are to be used through the BET, it is expected that the City and MPRB members of the BET will support the bonding proposal(s).

 

2.      Adjustments to Guaranteed Minimum Annual Amount. The City and the MPRB will review and adjust the guaranteed minimum annual amount on or before December 15, 2020, December 15, 2025, and December 15, 2030, based on mutually acceptable objective measures of inflationary costs and other salient factors. Examples of mutually acceptable objective measures of inflationary costs and other salient factors over the previous five-year period would include: the consumer price index, wage growth, producer price index, RSMeans, and any other objective measures of the ability of taxpayers to afford tax increases that may result from any increases adopted for the next five-year period. The five-year adjustments will be approved by the concurrent resolutions of the City and MPRB. Any adjustment approved in 2020 will be effective for years 2022 through 2026. Any adjustment approved in 2025 will be effective for years 2027 through 2031. Any adjustment approved in 2030 will be effective for years 2032 through 2036.

 

3.      Use; Control. The guaranteed minimum annual funding amount of $10.5 million and future adjusted annual amounts shall be used only for Neighborhood Park Projects, but shall be under the sole control of the MPRB.

 

4.      Capital Projects Process. Each Neighborhood Park Capital Project shall be identified in the City’s annual five-year Capital Long Range Improvement Program Process under Minneapolis Code of Ordinances Chapter 35, as amended from time to time.

 

G.     Reports.

 

1.      Initial Report. The MPRB will make a public presentation to the City Council prior to the adoption of the City’s 2017 budget in a report outlining the MPRB’s proposed five-year project schedule for the Neighborhood Park Plan, including the MPRB’s utilization of a criteria-based system with a focus on racial and economic equity to determine equitable distribution of fund and the impact to the overall operating costs of the MPRB.

 

2.      Annual Reports. In each subsequent year for the duration of the Neighborhood Park Plan, the MPRB will update the five-year project schedule and make a public presentation to the City Council in a report that contains (i) the current status of all projects in the five-year plan, including the plan’s utilization of a criteria-based system with a focus on racial and economic equity to determine equitable distribution of funding (on a rolling basis with the end point of 2036); and (ii) a summary of projects undertaken during the preceding year and those projects that will commence in the following year and the impact to the overall operating costs for the projects undertaken by the MPRB under this ordinance.

 

H.     Changed Circumstances. For any applicable year within the term of the Neighborhood Park Plan, the City may determine that the occurrence of an Unanticipated Critical Need or Exigent Economic Event prevents the City from maintaining the agreed upon level of support to the MPRB for that applicable year. Such City determination and the amount of funding less than the $10.5 million or less than a subsequent adjustment amount stipulated in concurrent resolutions as provided in paragraph F.2, above, must be set forth in an amendment to the ordinance for that applicable year.

 

I.        Ballot Measures Precluded. The Neighborhood Park Plan is intended for the duration of the plan to be a substitute for any levy referenda, charter amendments or other ballot measures to provide additional funding for the MPRB outside of the existing annual levy and capital budget processes. Therefore, for the duration of the Neighborhood Park Plan, the MPRB will refrain from advocating, supporting, or approving any manner of ballot measure to increase Neighborhood Park System funding.

 

J.        Early Termination. If the City exercises its right to significantly reduce or suspend Neighborhood Park Project funding to the MPRB under Section PB16-3(H) for at least three (3) consecutive years, then the MPRB may by resolution of the MPRB opt out of the Neighborhood Park Plan. If the MPRB fails to spend the funds in accordance with the Neighborhood Park Plan or fails to make the public presentations to the City that are required under Section 16-3(G), then the City may by resolution of the City Council opt out of the Neighborhood Park Plan. If the MPRB or the City elects to opt out, then the concurrent ordinances will automatically terminate and neither party will have any further obligations under the Neighborhood Park Plan.

 

PB16-4. Reservations.

 

A.      Local Government Aid. The MPRB will continue to receive 11.79% of the annual amount of Local Government Aid funds that are awarded to the City each year, irrespective to the 20-Year Neighborhood Park Plan.

 

B.      Administrative and Benefit Administrations Fees. The MPRB will continue to pay to the City the City’s administrative and benefit administration fees, as amended from time to time, with a mutually agreed upon cost allocation methodology, at rates proportionate to the rates the City applies to its own operations, irrespective of the 20-Year Neighborhood Park Plan.

 

C.      Levy Request Authority. The MPRB will retain its authority, as provided in the City Charter and State law, to request a maximum property tax amount and rate from the BET and to adopt an annual property tax levy within the maximum set by the BET, irrespective of the 20-Year Neighborhood Park Plan. However, it is anticipated that the MPRB inflationary increases should not exceed the City levy inflationary increases.

 

D.     MPRB cooperation on BET matters. Concurrent with this ordinance, the City has adopted a 20-year Street Infrastructure Plan which may rely on bond proceeds issued through the BET. It is expected the City and MPRB members of the BET will support bond proposal(s) made by the City to the BET for the 20-Year Street Infrastructure Plan.

 

 

 

Meeting History

May 4, 2016 5:00 PM  Minneapolis Park and Recreation Board Regular Meeting

Approved on a Roll Call Vote

RESULT:ADOPTED [UNANIMOUS]
MOVER:Jon Olson, Commissioner District 2
SECONDER:Anita Tabb, Commissioner District 4
AYES:Liz Wielinski, Scott Vreeland, Brad Bourn, John Erwin, Steffanie Musich, Jon Olson, Anita Tabb, Annie Young
ABSENT:Meg Forney
May 18, 2016 5:00 PM  Minneapolis Park and Recreation Board Regular Meeting

Approved on a Roll Call Vote.

RESULT:ADOPTED [UNANIMOUS]
MOVER:Annie Young, Commissioner At Large
SECONDER:Anita Tabb, Commissioner District 4
AYES:Liz Wielinski, Scott Vreeland, Brad Bourn, John Erwin, Meg Forney, Steffanie Musich, Jon Olson, Anita Tabb, Annie Young