HomeMy WebLinkAbout8A - AMM General Legislation Policies for 1994
AGENDA NUMBER:
PREPARED BY:
SUBJECT:
DATE:
INTRODUCTION:
BACKGROUND:
DISCUSSION:
8A
KAY KUHLMANN. ASSISTANT CITY MANAGER
REVIEW ASSOCIATION OF METROPOLITAN
MUNICIPALITlES (A.M.M.) GENERAL LEGISLATION
POUCIES FOR 1994
OcrOBER 4. 1993
On August 17 the City Council was informed that Kay Kuhlmai -:
was seIVing on the General Legislation Committee and would L
forwarding proposed AMM policies to the Council for their
review. The General Legislation Committee of .AM:M has met two
times in order to review proposed policies by the membership.
Council is asked to review these policies and be prepared to
discuss those at the City Council meeting on October 4. (See
attached)
One of five AMM committees who meets to propose legislation
policies that will be lobbying for on behalf of cities by AMM staff.
The General Legislation Committee is made up of members of
both Council and staff people from a multitude of cities. The
committee has met in order to review legislation that was proposed
last year and ordered to create new proposed legislation for this
year. The AMM staff have prepared the wording for the General
Legislation.
Attached on pages 12-19 are the legislation that reflects the current
policy of the AMM. The issues covered under this are:
. Oppose reduction of authority or local control
. Tort liability
. Data practices
. Liquor license application
. General data
. Police and fire pension provisions
. Amortization aid
. Employee contribution amount
. Benefit increases
. Assumption changes
. Contractors perfonnance bond
. Concurrent detachment and annexation
. Telephone tax
. Markets for recycled material
4629 Dakota St. S.E., Prior Lake, Minnesota 55372 / Ph. (612) 447-4230 I Fax (612) 447-4245
AN EQUAL OPPORTUNITY EMPlDYER
Also attached labeled pages 5-8 are policies that the AMM General
Legislation Committee endorsed; these are policies that have been
proposed by the League of Minnesota Cities. The AMM would
propose to support these policy issues but not be a leader on this
legislation.
Staff would appreciate Council comments so that any concerns can
be discussed at a committee meeting prior to final policy approval.
Staff will be prepared to review these with the Council at the
October 4 meeting.
AGENIO
II
GENERAL LEGISLATION
II-A OPPOSE REDUCTION OF AUTHORITY OR LOCAL CONTROL
The AMM has for many years opposed certain statutory changes that
erode local authority or mandate activities which cost money to
implement unless there is a provision to recover those costs.
Rather than adopt a separate pOlicy for each issue, the AMM
believes that as general policy the legislature should not
decrease current authority or mandate activities creating added
costs to cities without providing the necessary funding or unless
there is overwhelming obvious demonstration of obvious need.
Included in this general policy is opposition to mandates such as;
mandating wards for elections, setting city employee salaries,
state or metropolitan licensing of tree treatment contractors,
plumbing inspections by licensed plumbers only, and requiring
competitive bidding for land sales.
THE AMM OPPOSES STATUTORY CHANGES WHICH ERODE LOCAL CONTROL AND
AUTHORITY OR CREATE ADDITIONAL TASKS REQUIRING HEW OR ADDED LOCAL
COSTS WITHOUT A CORRESPONDING FUNDING MECHANISM. THIS INCLUDES
MANDATING ELECTION BY WARDS AND INTRUSION IN SETTING LOCAL
SALARIES.
II-B TORT LIABILITY
."
The Municipal Tort Liability Act was enacted to protect the public
treasury while giving the citizen relief from the arbitrary,
confusin~, and administratively expensive prior doctrine of
sovereign immunity with its inconsistent and irrational
distinctions between governmental and proprietary activities. The
act has served that purpose well in the past, however, courts
frequently forget or ignore the positive benefits secured to
citizens damaged by public servants as a result of enactment of
the comprehensive act which includes som~ limitations on liability
and some qualifications of normal tort claims procedure.
The special vulnerability of far-flung government operations to
debilitating tort suits continues to require the existence of a
tort claims act applicable to local governments or local
governments and the state. The need for some type of limitations
is evidenced by recent experiences with the insurance market.
cities in Minnesota are finding it increasingly difficult to
obtain insurance at an affordable rate, if at all. Amendments in
1983 to increase the dollar amounts recoverable by plaintiffs
should be adequate to satiSfy any reasonable claim. Further
changes in limits beyond the current $200,000 per person and
$600,000 per occurrence should not be made.
Joint and several liability provisions have been modified to
lessen the deep pockets effect some. The current limit of payment
is times two for liability of 35% or less (i.e. if the city is 30%
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liable, they may be required to pay 60% of the damage award) or
total responsibility if liability is over 35% (i.e. if the city is
40% liable, they may be required to pay 100% of the damage
award). This still seems onerous especially when this comes out
of taxpayers pockets. Payment liability should definitely not be
increased.
THE AD SUPPORTS THE CONTINUED EXISTENCE OF THE MUNICIPAL TORT
LIABILITY ACT AND RECOMMENDS 'l'BAT THE CURRENT LIMITS OF LIABILITY
REMAIN INTACT. JOINT AND SEVERAL LIABILITY PROVISIONS FOR PAYMENT
LIMITS SHOULD NOT BE INCREASED FROM CURRENT LAW SO 'l'BAT TAXPAYERS
ARE NOT MORE UNFAIRLY SUBJECTED TO DEEP POCKET AWARDS.
II-C DATA PRACTICES
C-1 OPEN MEETINGS AND DATA PRACTICES
The Legislature needs to continually reexamine the open meeting
law and the data practices act. The intent of the open meeting
law is to ensure, within practical limits, the access of persons
to the actions and motivations of government. The data practices
act is intended to ensure, within practical limits, the privacy of
persons who willingly or unwillingly become involved with their
government. Both laws are difficult to follow individually, and
when private or other classified information must be discussed by
a public body subject to the open meeting law, as inevitably it
must in many situations, the government is forced to attempt to
meet two conflicting statutes. The LegiSlature has attempted to
identify problem areas and to provide clear rules for local
government to follow. Unfortunately, not all circumstances can be
anticipated nor remaining ambiguities addressed.
Selection of city employees is complicated by the data practices
act's classification of the identity of non-finalists as private.
If meetings of public bodies to screen applicants until finalists
are chosen were closed, this would protect the privacy rights of
individuals and yet allow the public to be involved at the most
important stage of the process, that being the selection of an
employee from the group of finalists.
certain meetings, such as settlement meetings involving judicial
or administrative actions, are more likely to be more productive
and concluded faster if they are not subject to the open meeting
law. The legislature should broaden current provisions to allow
quasi-judicial officers or certain state employees to authorize
closed meetings of public bodies.
Several city officials have incurred huge personal costs defending
open meeting law violation allegations, because state law treats
the open meeting law somewhere between a civil and criminal
matter. Recent proposals to increase the penalty section of the
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open meeting law as a means of ensuring greater compliance are
misplaced. city officials are making good faith efforts to comply
with both laws. without additional clarification, however, the
Legislature must realize that city officials owe it to their
constituents to limit the city's exposure to liability.
THE AMM SUPPORTS LEGISLATION CLARIFYING THE OPEN MEETING LAW AND
THE DATA PRACTICES ACT TO MAKE LOCAL GOVERNHENT COMPLIANCE EASIER
AND LESS COSTLY. PUBLIC BODIES SHOULD BE ALLOWED TO CLOSE
MEETINGS TO SCREEN JOB APPLICANTS UNTIL FINALISTS HAVE BEEN CHOSEN.
THE LEGISLATURE SHOULD REPEAL CURRENT PROVISIONS WHICH REQUIRE
REASONABLE EFFORTS TO KEEP DATA PRIVATE WHICH MOST BE DISCUSSED
PUBLICLY, THUS FORCING LOCAL OFFICIALS TO VIOLATE ONE OR THE OTHER
LAW OR TAKE ACTION UNAPPROPRIATELY. THE LEGISLATURE SHOULD
CONSIDER ABANDONING JUDICIAL ACTIONS AS THE PRIHARY MEANS OF
ENFORCING THE OPEN MEETING LAW. ALTERNATIVE DISPUTE RESOLUTION
MECHANISMS, COMMISSIONS SIHILAR TO THE STATE NEWS COUNCIL, OR
OTHER OPl'IONS SHOULD BE EXPLORED. AT THE VERY LEAST, THE
LEGISLATURE SHOULD AUTHORIZE LOCAL GOVERNHENTS TO REIMBURSE THEIR
OFFICERS TO THE SAME EXTENT AS IF CRIMINAL CHARGES WERE BROUGHT
BECAUSE OF THEIR OFFICIAL ACTIONS.
C-2 LIQUOR LICENSE APPLICATION
The definition of 'licensing agency' in Minn. State 13.41 is not
clear as to the inclusion of cities, therefore, it is unclear
whether all or part of the information on license issuance is
public. This can be a real problem when issuing liquor licenses,
since part of the data concerns sensitive business and personal
finances.
THE AMM ENCOURAGES THE LEGISLATURE TO CLARIFY THAT POLITICAL
SUBDIVISIONS OF THE STATE INCLUDING CITIES ARE LICENSING AGENCIES
IN MINH. STATUTES 13.41 AND THAT FINANCIAL DATA OF A PERSON OR
BUSINESS SUBMITTED IN CONJUNCTION WITH AN APPLICATION FOR A LIQUOR
LICENSE OR OBTAINED AS A RESULT OF AN INVESTIGATION OF THE
APPLICANT OR LICENSEE SHALL BE CLASSIFIED AS PRIVATE.
C-3 GENERAL PUBLIC DATA
The Government Data Practices Act allows municipalities to charge
the actual costs of searching for, retrieving, and copying public
data if copies of the data are requested. The law prohibits
municipalities from charging the costs of searching for and
retrieving data if a person asks only to inspect it. In many
cases, the searching and retrieving are the most time-consuming
aspects of supplying data. Making a copy is frequently only a
small portion of the time required and should not be the standard
for determining whether a charge is appropriate.
Profit-making enterprises have used this free service to augment
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their businesses. For example, individuals have established
businesses for preparing special assessment searches. Personnel
from these businesses use city facilities, including expensive
computer equipment, to obtain the special assessment data. The
personnel may also take significant amounts of staff time for
explanations of the data collected. They then dominate the
publicly provided telephone for lengthly periods to transmit the
information obtained. These businesses use city facilities and
personnel as part of a profit-making enterprise, solely at
taxpayer expense. Municipalities should be allowed to charge for
retrieving and explaining public data whether or not the request
includes copying.
The law also prohibits municipalities from charging for separating
public from non-public data. This task may be very time-comsuming
and is necessary to protect the non-public data. Municipalities
should be allowed to charge for this service.
To preserve the Act's spirit and intent of keeping government
records open to inspection for public purposes, the new charges
proposed would not apply to the media or to private citizens
requesting information about themselves or their own properties.
THE AMM ENCOURAGES THE LEGISLATURE TO AMEND MINH. STAT. 13.03,
SUBD. 3 TO ALLOW MUNICIPALITIES TO CHARGE FOR RETRIEVING AND
EXPLAINING PUBLIC DATA AND FOR SEPARATING PUBLIC FROM NON-PUBLIC
DATA. THIS AMENDMENT WOULD NOT APPLY, HOWEVER, TO THE MEDIA OR TO
PRIVATE CITIZENS REQUESTING INFORMATION ABOUT THEMSELVES OR THEIR
OWN PROPERTIES.
II-D POLICE AND FIRE PENSION PROVISIONS
Local police and full-time fire relief associations were phased
out by the 1980 legislature, unless the local council opts to keep
the relief association. All new employees will become part of the
state police and fire PERA fund and the state will reimburse local
units for a portion of the unfunded liability remaining in the
local fund. The unfunded liability was projected to be paid by the
year 2011 but during the 1980's, investment earnings were in
excess of 10% and thus could, at that continued rate, reduce the
time to year 2005. Past earnings are not an indication of what
happens in the future. The legislature considered siphoning
earnings in excess of that needed for 2011 amortization to reduce
state payments and property tax levy for unfunded liability as
well as provide a bonus (13th. paycheck) to retirees. If
investment increase drops below 10%, the local property taxpayers
in future years will pay more, not only to piCk up the property
tax reduction but the state reimbursement reduction. It would be
better public policy to wait until the unfunded liability is
funded. Also, 1979 Law set employee contributions at 8% and the
LegiSlative Retirement Commission has in the past established a
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general policy requiring public safety employees to pay 40' of the
normal pension costs.
D-1 AMORTIZATION AID
THE AMM OPPOSES LEGISLATION THAT PROVI:DES FOR REDUCTIONS OF STATE
AMORTIZATION AID TO LOCAL POLICE AND FIRE RELIEF ASSOCIATIONS.
D-2 EMPLOYEE CONTRIBUTION AMOUNT
EVEN THOUGH THE EMPLOYEE CONTRIBUTION AMOUNT WAS SET AT 8', IN
MANY FUNDS THIS IS NOT EQUIVALENT TO 40' OF THE NORMAL COSTS. THE
AMM URGES THAT THE CONTRIBUTION LEVEL BE SET AT 40' OF THE NORMAL
COST OF FINANCING THE BENEFITS EVEN IF THIS AMOUNT EXCEEDS 8' OF
BASE SALARY.
D-3 BENEFIT INCREASES
THE AMM OPPOSES ANY BENEFIT INCREASES FOR LOCAL POLICE AND FIRE
RELIEF ASSOCIATIONS UNLESS AN INCREASE, INCLUDING ANY RESULTING
DEFICIT, IS FINANCED 50' BY THE EMPLOYING CITY AND 50' BY
EMPLOYEES ON A CURRENT BASIS.
D-4 ASSUMPTION CHANGES
THE AMM SUPPORTS CHANGES IN ACTUARIAL ASSUMPTIONS RELATING TO
SALARIES AND INVESTMENT RETURN TO MORE TRULY REFLECT EXPERIENCES.
THE AMM OPPOSES PAYMENT OF ANY TYPE OF BONUS TO ACTIVE OR RETIRED
MEMBERS (13TH. CHECK) AS A PART OF ACTUARIAL ASSUMPTION CHANGES.
II-E CONTRACTORS PERFORMANCE BONDS
The 1989 legislature modified Minnesota Statutes 574.26 to allow
contractors to provide a letter of credit instead of a performance
bond for contracts of less than $50,000. Although an improvement
at the time, this still will create significant hardship with many
reputable minority and small contractors. In todays market,
projects in excess of $50,000 are very common and are not really
large jobs. Experience also shows that letters of credit are safer
for the public and easier to collect than Bonds. The emphasis
should be on protecting the public.
THE AMM URGES THE LEGISLATURE TO PROVIDE GREATER FLEXIBILITY IN
CONTRACTOR GUARANTEES FOR CITIES BY ALLOWING IN ADDITION TO BONDS,
OTHER RELIABLE FINANCIAL SECUIUTY GUARANTEES, SUCH AS LE'l'T'.ERS OF
CREDIT, WITHOUT LIMITATION AS TO PROJECT COSTS TO THEREBY ENHANCE
OPPORTUNITIES FOR MINORITY AND OTHER SMALL CONTRACTORS.
II-F CONCURRENT DETACHMENT AND ANNEXATION
Prior to 1985 the changing of municipal boundaries initiated by
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property owners was limited to the single case where their
property was totally surrounded by another community. The 1985
legislation opened the possibility up to all property owners to
initiate such action. This broad based allowance is problematic
in some instances because of the city expense and intercity
divisiveness that it causes.
IT IS THE POLICY OF THE AD THAT THE PROVISION ALLOWING PROPERTY
OWNERS TO PETITION FOR ANNEXATION BE MODIFIED TO ALLOW PETITIONING
UNDER ANY OF THE FOLLOWING CRITERIA.
-THE PROPERTY OWNERS HAVE BEEN DENIED A REASONABLE USE OF THEIR
LAND WHICH IS CONSISTENT WITH AND ALLOWED UNDER THE CITY'S
COMPREHENSIVE PLAN AND ZONING ORDINANCE. THE PROPERTY OWNERS HAVE
NOT BEEN DENIED A REASONABLE USE IF THE PERMITTED DEVELOPMENT HAS
BEEN DEFERRED PURSUANT TO A PHASING OR STAGING PLAN.
-THE COMPREHENSIVE PLAN DOES NOT ACCOUNT FOR SIGNIFICANT BARRIERS
SEPARATING THIS LAND FROM SERVICE FROM THE CURRENT COMMUNITY
INCLUDING ANY ABILITY TO ACCESS ITS STREET SYSTEM.
-PROPERTY OWNERS HAVE PAID FOR SPECIAL ASSESSMENTS FOR SERVICE BUT
DUE TO ACTIONS TAKEN BY THE GOVERNING BODY ARE PROHIBITED FROM ANY
CONNECTION TO THAT SYSTEM.
BEFORE PROPERTY OWNERS INITIATE PROCEEDINGS UNDER THESE CONDITIONS
THEY MUST UNDERTAKE A PROFESSIONAL PLANNING FEASIBILITY STUDY TO
BE CONDUCTED BY A CONSULTANT TO BE SELECTED AND PAID FOR BY THE
PROPERTY OWNERS. THE CURRENT COMMUNITY MUST APPROVE THE SELECTION
OF THE CONSULTANT OR OFFER AN ALTERNATIVE CONSULTANT ACCEPI'ABLE TO
THE PROPERTY OWNERS. IF AGREEMENT CANNOT BE REACHED, THE
MUNICIPAL BOARD SHALL APPROVE A CONSULTANT. THE STUDY SHOULD
EXAMINE THE PROPOSED DEVELOPMENT OF THE PROPERTY AND THE
RAMIFICATIONS OF DETACHMENT AND ANNEXATION. THE STUDY SHOULD
ADDRESS PHYSICAL PLANNING ISSUES, DELIVERY OF SERVICE AND ANY
FINANCIAL RAMIFICATIONS TOGE'J.'ltJ!a( WITH ANY IMPLEMENTATION PLAN.
THE PROPOSED PLAN FOR THE PROPERTY SHALL BE PRESENTED TO THE
CURRENT COMMUNITY. IF REJECTED BY THE CURRENT COMMUNITY, THE
PROPERTY OWNERS SHALL PRESENT THE PLAN TO THE OTHER COMMUNITY.
PRIOR TO A BEARING IN FRONT OF THE MUNICIPAL BOARD, AFTER THE
PETITION HAS BEEN SUBHITTED, THERE SHALL BE A PERIOD TO ALLOW FOR
MEDIATION BY THE CITIES.
FAILING A MEDIATED RESULT, A REVIEW SHALL BE CONDUCTED BY THE
REGIONAL PLANNING COMMISSION(S) OR METROPOLITAN COUNCIL WHERE THE
CITIES ARE LOCATED. COMMENTS WILL THEN BE FORWARDED TO THE
MUNICIPAL BOARD FOR CONSIDERATION.
THE MUNICIPAL BOARD'S DECISION MUST BE BASED ON A BALANCING OF THE
INTERESTS OF BOTH MUNICIPALITIES AND THE PROPERTY OWNERS. FACTORS
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TO CONSIDER SHOULD INCLUDE BUT NOT BE LIXITED TO:
-THE EXTENT OF PUBLIC SERVICES THAT CAN BE PROVIDED BY EACH
MUNICIPALITY; ,
-THE FINDINGS OF THE REGIONAL PLANNING AUTHORITY REGARDING THE
IMPACT ON THE REGIONAL SYSTEMS:
-THE ECONOMIC IMPACT ON EACH COMMUNITY AND THE PROPERTY OWNERS:
-THE EXISTENCE OF PHYSICAL BARRIERS WHICH SEPARATE THE PROPERTY
FROM THE REMAINDER OF THE CURRENT MUNICIPALITY BUT NOT THE
PROPOSED MUNICIPALITY; AND
-ADDITIONAL CRITERIA INCLUDED IN MS 414.041, SUBDIVISION 5
II-G 911 TELEPHONE TAX
Since 1985, Minnesota has had the authority to impose a fee of up
to 30 cents per month on every telephone bill in the state.
Currently, the fee is set at 18 cents per phone bill per month.
The funds generated by this fee amount to several millions of
dollars per year. The Department of Administration uses these
funds to pay the recurring monthly costs to the 90+ phone
companies in the state for the costs of the dedicated phone
circuits.
In a previous legislative session, legislation was introducsd
which would have allowed the surcharge to grow to $1.00. The
excess fee was intended to develop capital in those outstate
counties to implement enhanced 911 service over and above the
basic 911 service they already have.
THE AMM SUPPORTS ALLOWING THE CURRENT 911 ACCESS FEE ON TELEPHONE
BILLS TO BE USED FOR COSTS OTHER THAN JUST ENHANCED UPGRADE FROM
BASIC SERVICE AND THAT ANY FEE IN EXCESS OF 30 CENTS BE RETURNED
TO THE JURISDICTION WHERE IT WAS COLLECTED.
II -H MARKETS FOR RECYCLED MATERIAL
In recent years, the state legislature has adopted legislation
encouraging significant recycling of paper, cans, and plastic in
the State of Minnesota. Fortunately or unfortunately, the
activity has been such a success that the supply of recyclable
material is outstripping the market for such material. It has
been suggested that along with encouraging recycling the state
should also help encourage and create opportunities or markets for
use of recycled material. One idea by a local official went so
far as to suggest building recycling plants at state prisons and
creating a prison industry of manufacturing goods from their own
recycling plant.
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THE AMM URGES THE LEGISLATURE TO CREATE INCENTIVES OR USE ITS
AUTHORITY TO :IDENT:IFY OR CREATE MARRETS FOR PROCESS:ING RECYCLED
MATElUAL.
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VI-D COMPARABLE WORTH
THE LEAGUE SUPPORTS EFFORTS TO ELIMINATE ANY SEX-BASED DIFFERENCES
:IN COMPENSATION OF PUBLIC EMPLOYEES BUT ASKS THE LEGISLATURE TO
REVISE THE PAY EQUITY STATUTE TO ALLOW LOCAL GOVERNHENTS
SUFFICIENT T:IM:E TO COMPLY WITH RECENTLY ADOPl'ED ADMINISTRATIVE
RULES REGARDING COMPLIANCE DETERMINATIONS. ADDIT:IONALLY, THE
LEAGUE URGES THE LEGISLATURE TO AMEND THE STATUTE TO LIMIT THE
LAWS APPLICABILITY TO ONLY FULL-T:IM:E EMPLOYEES AND TO CLARIFY
THAT SEPARATELY ESTABLISHED GOVERNMENTAL ENTITIES MUST FILE
SEPARATE COMPLIANCE REPORTS.
The local government pay equity act, first adopted in 1984, has
been frequently amended by the legiSlature. Significant
amendments were adopted in 1990, and in 1991 the legislature
authorized the Department of Employee Relations to promulgate
rules to assist the Department in determining local government
compliance with the statute.
These rules, which include several new tests, necessitate many
changes to local government compliance efforts, took effect almost
a full year after cities and other public employers were required
by the statute to submit compliance reports. cities which are
found out of compliance must be granted additional time to comply
with these new standards prior to facing imposition of state
sanctions which include 5% reductions in financial assistance and
$100 per day penalties. The League supports legislative action
to delay the implementation deadline to December 1994.
At the very least, the legislature should act to delay imposition
of new statistical tests of health insurance contributions, salary
range differences, and exceptional service pay programs until
December 1994.
The rules address other significant issues not previously dealt
with by the legislation, including the definitions of employees
and employers covered by the Act.
For the definition of employees, the rules use the same definition
as in the Public Employees Labor Relations Act (PELRA). Use of
this definition causes two significant problems. First, because
local governments use a great number of part)time and seasonal
employees in order to effectively and efficiently provide
important services, many more jobs will have to be included in
compensation systems than is the current practice. This will
require much more administrative work in establishing job
descriptions and ranking jobs which by their very nature are often
impossible accurately describe or value. Second, because
benefits, including health insurance programs, are often limited
to full-time employees, cities run the risk of being found out of
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compliance with the pay equity act not because of gender based
discrimination, but rather because of valid distinctions between
full-time and part-time employment. The League proposes adopting
a definition of employee which would not include any employee
working less than twenty hours per week on average or which is
employed in a position which is filled less than six months in any
year.
For the definition of employers covered by the Act, the problem is
slightly different. The law clearly requires all cities and other
political subdivisions of the state to comply. The problem is
determining who is the employing agency for a particular group of
employees. Historically, employees of certain enterprises such as
public utilities, hospitals, nursing homes, and libraries have
been considered as separate and distinct from employees of the
city. Often, the only connection is that the city council acts
somewhat pro forma to ratify the annual budget proposed by the
separate entity prior to certification of the tax levy.
Unfortunately, it is this feature of formal budget adoption on
which the rules focus, regardless of separate payroll systems,
personnel rules, salary and benefit systems, etc. The League
supports statutory clarification that other aspects of the
government structure be considered when making a determination of
which governing body is the employer of a group of employees. To
be considered separately established, the governmental entities
may have separate personnel systems, separate facilities, separate
bookkeeping and payroll systems, and no interrelationships other
than budget approval and/or financial assistance. In addition,
these existing governmental entities must be separately
established prior to 1984.
VI-E LIQUOR :ISSUES
THE LEAGUE SUPPORTS REPEAL OF THE PUBLIC HEARING REQUIREMENT FOR
CITIES WITH LIQUOR STORES THAT EXPERIENCE LOSSES IN TWO OF THREE
CONSEctlTIVE YEARS AND SUPPORTS REPEAL OF OFF-SALE HOUR
RESTRICTIONS BASED ON PROXIMITY TO FIRST CLASS CITIES WITHIN THE
SAME COUNTY.
THE LEAGUE OPPOSES THE ESTABLISHMENT OF ONE CLASS OF BEER AND THE
OFF-SALE OF WINE :IN OTHER THAN LIQUOR STORES.
Liquor issues have been consolidated into a single bill in recent
legislative sessions. The League generally supports this practice
but only if each provision is adequately considered by the
legislature and the parties affected are given ample opportunity
for input. The League has identified the following issues which
mayor should be considered by the legislature:
1. Continuation hearings. State law currently requires that a
city operating a municipal liquor store hold a public hearing if
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the store loses money in any two of three consecutive years. this
statue, adopted prior to "truth in taxation" hearing requirements,
is now duplicative and wasteful and should be repealed or combined
with other budget hearings.
2. Off-sale hours. Minnesota statue 340A.504, Subd. 4 limits
off-sales of liquor to 10:00 p.m. generally, except that cities of
the first class and cities within 15 miles of cities of the first
class (within the same county) must close at 8:00 p.m. Monday
through Thursday. Political boundaries make the latter portion of
this statue unfair. The League supports repeal of the neighboring
city, same county, portion of this statue, and generally believes
that cities should be fully authorized to establish hours of sale
and be expressly authorized to establish differing license fees
for establishment having different hours of operation.
VI-F MM. PUBLIC EMPLOYMENT LABOR RELATIONS ACT (PELRA)
A. THE LEAGUE SUPPORTS LEGISLATION WHICH MODIFIES THE EXISTING
INTEREST ARBITRATION PROCESS TO REQUIRE ARBITRATORS TO GIVE
PRIMARY CONSIDERATION TO INTERNAL EQUITY COMPARISONS AND THE
IMPACT THAT ANY ARBITRATION AWARD MIGHT HAVE ON THE PERSONNEL
COMPENSATION SYSTEMS OF THE CITY INVOLVED IN THE ARBITRATION.
FURTHER, THE LEAGUE OPPOSES CONSIDERING ANY ADDITIONAL EMPLOYEE
GROUPS AS ESSENTIAL EMPLOYEES.
city and other governmental experience with the arbitration
process has shown that arbitrated awards generally exceed
negotiated settlements. Unlike the state, local governments do
not have the authority to reject these arbitrated awards. The
legislature should re-examine binding arbitration as a means of
determining pay and benefit issues. The goal of any modification
to the process should be to ensure that arbitrations do not
interfere with other state programs such as pay equity. These
should not be any additional employee groups placed in the
category of "essential employees."
B. THE LEAGUE RECOMMENDS THAT THE LEGISLATURE REINSTATE THE
PREVIOUS DEFINITION OF EMPLOYEES COVERED BY PELRA TO PEOPLE
EMPLOYED FOR MORE THAT 100 WORKING DAYS IN A CALENDAR YEAR.
The 1983 legislature reduced the time period that part-time
employees must be employed before they are considered employees
covered by PELRA. This has resulted in higher wages for some
part-time employees, and more significantly, has resulted in
cities hiring fewer part-time employees. 1991 legislative action
in this area has caused further confusion, which may also result
in a lessening of job opportunities, particularly for students and
the disadvantaged. Additionally, many employees who view their
work as temporary or transitory in nature, have been asked to pay
their fair share of union dues, even though they receive no
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benefit from union membership. Recent legislative interest in
cost-saving initiatives at the local level could be substantially
promoted by a statutory amendment to enable local governments to
effectively utilize seasonal employees.
VI-G ANNEXATION
A. TIlE LEAGUE SUPPORTS LEGISLATION RESTRIcrING FURTHER URBAN
GROWTH OUTSIDE CITY BOUNDARIES AND FACILITATING THE ANNEXATION OF
URBAN LAND TO CITIES.
Public policies which encourage substantial development in
non-urban areas and which extend public services beyond existing
jurisdictions and service areas are wasteful and counter
productive. Additionally, shoreland and prime agricultural land
are major natural and economic resources and the state should
include as a major objective their preservation and wise use.
Particular attention should be given to the issue of development
and the delivery of governmental services to urbanizing fringe
areas. In the metropolitan area, the Legislature should not
modify the e~isting framework for restricting or guiding
development lbsent careful study and input from metropolitan
cities and their associations.
State law should continue to encourage the preservation of
shoreland and prime agricultural land and discourage the
development of such land oQtside designated growth areas to be
served by a city. The Leatue recommends the following:
* State statutes regulating annexation should make it easier for
cities to annex developed or developing land within unincorporated
areas which the annexing city has designated as a growth area.
* The legislature should clarify 1992 legislation which allows
property owners to initiate an annexation by petition to
specifically allow these annexations notwithstanding orderly
annexation agreements which might contradict the petition.
* cities should be given the authority to extend their zoning
ordinance and subdivision controls up to two miles outside the
city's boundaries regardless of the existence of county or
township controls, in order to ensure conformance with city
facilities and services.
-8-
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