Meeting Information

• Date: October 11, 2024
• Title: Budget Committee Meeting
• Present: Chughtai (Chair), Payne, Rainville, Vetaw, Cashman, Chavez, Wonsley, Koski, Palmisano
• Absent: Ellison, Osman, Jenkins
• Guests: Lindsay Erdman (Budget Office), Alan Hoppy (Director of Banking, Investments, and Debt), Barbara O’Brien (Director of Property Services), Adam (Director of Strategic Planning at Minneapolis Park and Recreation Board), Jennifer (Public Works)
• Votes: 0

Highlights

• Presentation on the Capital Improvement Program (CIP) budget
• Discussion of public safety facility improvements and renovations
• Presentation on Minneapolis Park and Recreation Board projects, including North Commons Park
• Overview of Public Works capital projects and funding

Discussion

Capital Improvement Program (CIP) Budget

Lindsay Erdman from the Budget Office presented an overview of the CIP budget. The presentation included details on funding sources, the review process by the Capital Long-Range Improvement Committee (CLIC), and the distribution of funds across various city departments and projects. Key points included:

• The 2025 appropriation year has about $279 million recommended in programming
• Bonding is the largest revenue source, accounting for 58% of funding or about $161.5 million
• The CIP remains stable from 2024 to 2025, representing about 14.5% of the overall budget

Alan Hoppy, Director of Banking, Investments, and Debt, provided additional information on debt service and bond issuance. He emphasized the city’s AAA bond rating and the recent bond sale of $119,180,000 with an average interest rate of 4.21%.

Public Safety Facility Improvements

Barbara O’Brien, Director of Property Services, presented on various public safety facility projects, including:

• Replacement of Fire Station 11 (FR11)
• Replacement of the alerting system across 21 fire stations (FR15)
• Renovations to the Fourth Precinct police station (MPD07)
• Public Safety Training and Wellness Center (PSD23)
• South Side Community Safety Center (PSD31)

There was significant discussion about the Fourth Precinct project and the potential integration of wellness facilities into various public safety buildings. Council members expressed interest in a more comprehensive approach to public safety facilities that aligns with the Safe and Thriving Communities report.

Council Member Wonsley stated, “What I’m hearing now is, there hasn’t been the analysis. Because our conversation that we’re having today was around me being interested in following the CLIC’s recommendation [for] a study to do the exact analysis. It doesn’t seem to be done and is not the same as the court settlement facility assessment.”

No vote was taken on these items, as they were part of the overall budget presentation.

Minneapolis Park and Recreation Board Projects

Adam, Director of Strategic Planning at the Minneapolis Park and Recreation Board, presented on their six-year capital budget. The main focus was on the North Commons Park project, which represents the single largest investment in a neighborhood park in the Park Board’s history. Key points included:

• The Park Board is dedicating $10.3 million from their 2026 Neighborhood CIP to North Commons
• Other projects in the 2026 year are being delayed by one year to accommodate this investment
• The total North Commons project funding includes federal, city, state, and local sources

Council Member Vetaw expressed strong support for the North Commons project, stating, “Thank you so much for the commitment to North Commons Park. This project is long overdue. For the Park Board to prioritize it the way you have done this, to make the commitment to this community and to help people believe in the system a little bit more, to create this world-class park that won’t just be used by North Siders.”

No vote was taken on this item.

Public Works Capital Projects

Jennifer from Public Works presented an extensive overview of their capital projects, including street paving, bridge repairs, active transportation, vision zero initiatives, and utility improvements. Key points included:

• Additional net debt bond capacity has been identified for 2026, 2027, and 2028, with the majority recommended for the street paving program
• The department has secured $37.9 million in federal funds for transportation projects
• Supplemental funding will help slow the decline in pavement quality but will not increase the overall average pavement condition
• Significant investments are planned for sanitary sewer, stormwater, and water distribution systems

Due to loss of quorum, there was no opportunity for questions or discussion following this presentation. No vote was taken.

Public Comments

There were no public comments recorded in this transcript.