Transcription

1

2 Page 1 of 25

3 Page 2 of 25 Second Omnibus Tax Bill Sent to Governor The bill, which still includes several provisions of interest to cities while adding school funding demanded by Gov. Dayton, is also expected to be vetoed. After a last-minute scramble to address Gov. Dayton's concerns with the first omnibus tax bill, which was vetoed, the House and Senate both passed HF 947 (Link to: on May 20, the last day of session. The bill was originally an education finance bill. It was amended to include most of the first omnibus tax bill, including several provisions of interest to cities. HF 947 (Chapter 205 (Link to: ) was also amended with additional funding for schools, although a lower amount than the governor demanded in his veto letter (Link to: Similar to the original vetoed omnibus tax bill, the amended second tax bill focuses on personal income and corporate income tax changes needed to conform with the federal Tax Cuts and Jobs Act of The bill also offsets personal and corporate income tax increases that would otherwise occur under the conformity changes. Based on the bill s similarities to the first vetoed bill, Gov. Dayton indicated late on the evening of May 20 that he would likely veto this bill as well. The governor has 14 days to decide if he will sign the bill. Below is a list of items of interest to cities. Expanded local tax prohibition The agreement includes the modifications to the existing statutory prohibition on local income and sales taxes to specify that the prohibition also covers excise taxes and fees of food and containers. The League opposed the provision but successfully argued for an exemption from the fee limit for license fees. Local government aid Lilydale. The agreement includes a one-time increase in the LGA distribution for the City of Lilydale ($150,000 for regional sewer costs), but does not increase the LGA appropriation to cover the cost. Hermantown. The agreement includes a one-time increase in the LGA distribution for the City of Hermantown ($97,260 to retroactively address an

4 Page 3 of 25 unintentional LGA formula error), but does not increase the LGA appropriation to cover the cost. Sales tax exemptions The bill includes: Construction materials sales tax exemption for a public safety facility in Minnetonka. Construction materials sales tax exemption for a fire station in Inver Grove Heights. Sales tax exemption for the construction or remodel of a fire station in Virginia. A retroactive sales tax refund on the construction costs related to an Elko- New Market water treatment facility. An extension of a sales tax exemption for reconstruction projects in the City of Melrose as a result of a downtown fire. Tax increment financing (TIF) special law provisions The bill includes: Bloomington Central Station TIF district. Champlin Mississippi Crossings TIF district. Local sales taxes/tax adjustments The bill includes: St. Cloud food/beverage tax and lodging taxes modification. Cloquet general sales tax use adjustment. St. Paul lodging tax increase. Minneapolis lodging tax modification. Excelsior local option sales tax authorization. Other items of interest to cities include: A clarification that cities and towns may appropriate funds for historical societies in the respective city or town. Under current law, a city or town can only appropriate funds for a county historical society. An adjustment to the Cloquet Area Fire and Ambulance District authority. A grant to the city of Mazeppa and a sales tax exemption for building materials related to recovery reconstruction due to a fire in the city.

5 Page 4 of 25 A state general property tax abatement and sales tax break for medical facilities in underserved areas of Greater Minnesota. A state general property tax abatement for qualifying natural gas line extensions in unserved areas. Read the current issue of the Cities Bulletin (Link to:

6 Page 5 of 25 Fate of Bonding Bill Uncertain as It Heads to Governor While the amount of appropriations in the bill resembles the governor s proposal of $1.5 billion in capital investments, the priorities in the bill do not align as closely. (Published May 22, 2018) The omnibus bonding bill (Chapter 214 (Link to: year=2018&type=0&doctype=chapter&id=214) ) traveled through an obstacle course of sorts in the final hours of the legislative session only to face an uncertain fate as it reaches Gov. Dayton s desk. The public works plan contains $1.43 billion in total appropriations, including $825 million in general obligation bonding. While the amount of appropriations in the bill resembles the governor s proposal of $1.5 billion in capital investments, the priorities in the bill do not align as closely. The governor hasn t said whether he will sign or veto the package, or if he intends to line-item veto individual measures. The governor s proposal included substantially more for clean water initiatives than the bill he received. The final package also contains more than $400 million in trunk highway bonds for the Corridors of Commerce program, which the governor did not propose. Read about the governor s priorities in a previous Cities Bulletin article (Link to: As the bill was advanced on the final day of the legislative session, the governor s representatives, as well as DFL-ers in the minority, criticized Republican legislative leaders for failing to collaborate with the administration on the components of the bill. Timeline of twists and turns Because the Senate s initial bonding bill, SF 4013 (Link to: f=sf4013&y=2018&ssn=0&b=senate), authored by Senate Capital Investment Chair Dave Senjem (Link to: (R-Rochester), failed to secure a supermajority of 41 votes on the Senate floor on May 16, the bill was in effect dead. This made it necessary to get procedurally creative to advance the package on the final day of session.

7 Page 6 of 25 Initially, the bonding provisions were amended into a conference committee report on HF 1226 (Link to: sponsored by tax committee chairs Rep. Greg Davids (Link to: leg_id=10123) (R-Preston) and Sen. Roger Chamberlain (Link to: (R-Lino Lakes). Before being amended, this bill was a technical bill containing Department of Revenue provisions. As the bill was being considered by the conference committee, Minnesota Management and Budget Commissioner Myron Frans questioned if bond houses would consider the bill legitimate. Still, the conference committee report on HF 1226 was agreed upon Sunday afternoon. Not wanting to take any chances, the provisions of the conference committee report on HF 1226 with a few tweaks were amended into a different bill that ultimately passed off the floors of the House and Senate. The bill, HF 4425 (Link to: authored by Rep. Tim Miller (Link to: (R- Prinsburg) and Sen. Rich Draheim (Link to: leg_id=15479) (R-Madison Lake), was originally a measure that appropriates $35 million to the Rural Finance Authority, which provides assistance to new and established farmers. That money remains. HF 4425 was passed by the Senate late on May 20, and repassed by the House without discussion about 10 minutes later. What s in the bill? The final package contains dozens of public facility and infrastructure investments related mostly to higher education, natural resources, transportation, and housing. View the spreadsheet (pdf) (Link to: Some provisions that may be of interest to cities include: $400 million in trunk highway bonds for the Corridors of Commerce program (over three years). $6.7 million for the Local Roads Wetland Replacement Program. $5 million for the Metropolitan Council s Inflow and Infiltration Grant Program. $35 million for the Local Road Improvement Program. $5 million for the Local Bridge Account. $25 million for the Water Infrastructure Funding Program for drinking water projects.

8 Page 7 of 25 $14 million for the state match for federal grants to state revolving loan programs for drinking water projects. $10 million for public housing rehabilitation. $50 million for housing infrastructure bonds. $30 million for housing infrastructure bonds for persons with behavioral health needs. Many city-specific projects. What happens now? The governor has 14 days from the date of adjournment to act on the bill, meaning the outcome will be known no later than June 4. His options are: sign the bill, veto the bill in its entirety, or sign the bill with line-item vetoes. Line-item vetoes are restricted to budgetary items and not policy language. Read the current issue of the Cities Bulletin (Link to: Your LMC Resource Contact Anne Finn Assistant IGR Director (651) or (800) afinn@lmc.org (Link to: mailto:afinn@lmc.org) Contact Craig Johnson IGR Representative (651) or (800) cjohnson@lmc.org (Link to: mailto:cjohnson@lmc.org)

9 Page 8 of 25 Dayton Vows to Veto Giant Omnibus Budget Bill Passed by Legislature The 990-page bill includes spending and policy changes affecting almost all areas of state government. (Published May 22, 2018) After lengthy time spent working on individual sections of the huge bill, the House and Senate eventually passed HF 3656 (Link to: number=sf3656&version=latest&session=ls90&session_year=2018&session_number=0) (Rep. Knoblach (Link to: R-St. Cloud, and Sen. Julie Rosen (Link to: R-Vernon Center) on very close to party-line votes on May 20. View a Senate Counsel, Research, and Fiscal Analysis summary of the conference committee report on the bill (Link to: The bill includes budget adjustments and supplemental budget articles for every state agency, but also contains hundreds of pages of changes to state law on policy issues. The legislation was passed despite Gov. Dayton s promise to veto it. The governor provided a 19-page list of objections to the bill (Link to: some of which were addressed in the final bill. Given that the bill is among the largest ever passed in terms of page volume and scope of content and the likelihood that a veto is forthcoming, details of the bill are not being provided in this article. Detailed information on its content will be provided in a future article if it is approved by the governor. If it is vetoed, portions of the legislation that are of interest to cities will be covered in the League s 2018 Law Summaries. If you have questions about a particular provision of the omnibus bill, please contact a member of the League s IGR team (Link to: For more background information about this bill, read a previous Cities Bulletin article (Link to: Read the current issue of the Cities Bulletin (Link to:

10 Page 9 of 25 Your LMC Resource Contact Craig Johnson IGR Representative (651) or (800) cjohnson@lmc.org (Link to: mailto:cjohnson@lmc.org) Contact Anne Finn Assistant IGR Director (651) or (800) afinn@lmc.org (Link to: mailto:afinn@lmc.org)

11 Page 10 of 25 Wastewater Permit Certainty Bill Signed Into Law If a city upgrades its wastewater treatment facility, that investment will be considered adequate for 16 years, even if new requirements are passed. (Published May 22, 2018) HF 2802 (Link to: authored by Rep. Dale Lueck (Link to: (R-Aikin) and Sen. Bill Weber (Link to: (R-Luverne), was signed into law by Gov. Dayton as Chapter 148 (Link to: id=148&doctype=chapter&year=2018&type=0) on May 19. Under the new law, if a city upgrades or builds a new wastewater treatment facility to meet current standards that exceed its previous performance, that investment of resources would be considered adequate for 16 years from when that work is completed. Previously, if the state updated an environmental standard, municipal wastewater facilities had to meet those new requirements relatively quickly, even if the facility had just been upgraded. The League-supported legislation was necessary even though the same language was passed into law last year. The law enacted last year made changes to the Minnesota Pollution Control Agency s wastewater permit rules, but those changes were not put in place by the Office of Administrative Hearings. This new law is essentially the same as the law that was enacted last year, but it makes the change to state statute instead of to state rules. It is effective retroactively to Aug. 1, 2017, to provide the 16-year assurance of adequacy to a city that was expecting to receive it under the 2017 law. For more background information about this bill, read a previous Cities Bulletin article (Link to: Read the current issue of the Cities Bulletin (Link to: Your LMC Resource Contact Craig Johnson IGR Representative (651) or (800)

12 Page 11 of 25 (Link to:

13 Page 12 of 25 House and Senate Pass Omnibus Pension Bill The bill makes a variety of changes to the PERA General and Police & Fire plans. (Published May 22, 2018) In one of the most contentious sessions in recent memory in which the governor has vetoed or is threatening to veto several of the major bills, the 2018 omnibus pension bill was a notable anomaly. The 245-page bill, SF 2620 (Link to: (Sen. Julie Rosen (Link to: R-Vernon Center, and Rep. Tim O Driscoll (Link to: R-Sartell), requires $27 million in additional state funding this biennium and $113 million in the biennium, makes changes in pension benefits for active members and retirees, and calls for additional employer and employee contributions to stabilize the state s major public pension plans. Still, it received unanimous bipartisan support in both the House and Senate and was sent to Gov. Dayton as Chapter 211 (Link to: Relief association amendment During the House committee process, the bill was amended to include a special law for the City of Maplewood due to the recent dissolution of their volunteer fire relief association and also to increase the lump-sum maximum annual benefit to $12,500 for cities that are currently at or above a lump-sum benefit of $9,500. The amendment also included a requirement that any volunteer fire relief association that is, as of the effective date of the bill, providing an annual lumpsum benefit of $9,500 or more and is dissolved must return unneeded relief association funds to the state general fund if the city has not made a required contribution to the fund in the last 10 years. Based on information from the Legislative Commission on Pensions and Retirement (Link to: only three cities with active relief associations are at the $9,500 annual benefit level Brainerd, Eden Prairie, and Plymouth. With the strong bipartisan support for the bill and the fact that the bill was a clean pension bill without unrelated amendments, Minnesota Management and Budget Commissioner Myron Frans has repeatedly testified that Gov. Dayton will sign the bill into law. Pension plan changes

14 Page 13 of 25 The bill includes sustainability changes to the state s major public pension plans, including the Public Employees Retirement Association (PERA) General Plan and Police & Fire (P&F) Plan. It contains employer and employee contribution increases for P&F Plan participants. Employer contributions into the P&F plan will increase by 0.75 percent of salary on Jan. 1, 2019 (to percent) and by an additional 0.75 percent of salary on Jan. 1, 2020 (to 17.7 percent). Employee contributions will increase by 0.5 percent in each of those years (to 11.3 percent and then 11.8 percent). The bill requires $27.2 million in additional spending for the second half (fiscal year 2019) of the current biennium. Of that total, $4.5 million will be directed to the PERA P&F Plan to reduce the need for larger employer and employee contribution increases. The other large allocations include roughly $7 million to fund employer contribution increases for state employees in the Minnesota State Retirement System (MSRS) General Plan, the State Patrol Plan, and Corrections Plan; $10.9 million to fund a general education pension adjustment for school district contributions to the Teachers Retirement Association (TRA) plan; and $5 million to fund a direct contribution to the St. Paul Teachers Retirement Fund. The estimated state cost of the bill increases substantially in the next biennium to $113.3 million for fiscal year (FY) , which is due, in part, to coverage of two years of operations. However, the increase is also due to a boost in the aid to the PERA P&F Plan and even larger increases in MSRS and TRA costs. The aid to the PERA P&F Plan will increase to $9 million beginning in FY PERA General Plan changes The bill makes the following General Plan changes: Reduces the assumed rate of return from 8 percent to 7.5 percent. Makes no changes in employee and employer contributions (will remain at 6.5 percent and 7.5 percent, respectively). Replaces the current cost-of-living adjustment (COLA) 1 percent with increase to 2.5 percent when plan funding improves with an adjustment based on one-half of the consumer price index, with a maximum of 1.5 percent and a minimum of 1 percent. Eliminates future augmentation of pension benefits for all former members. Eliminates the annual COLA adjustments for early retirees. The annual COLA adjustment would begin at full retirement age. Reduces the interest rate paid on contribution refunds from 4 percent to 3 percent. Resets the plan s amortization date from the 2031 target to 2047.

15 Page 14 of 25 Leaves an estimated contribution sufficiency equal to roughly 1 percent of salary to buffer against future uncertainty. PERA P&F Plan changes In addition to the increases in employee and employer contributions outlined above, the bill makes the following P&F Plan changes: Reduces the assumed rate of return from 8 percent to 7.5 percent. Includes an annual state appropriation into the P&F Plan of $4.5 million per year in 2018 and 2019 and $9 million per year thereafter to stabilize the plan and reduce the need for additional employer and employee contribution increases. Reduces the interest rate paid on contribution refunds from 4 percent to 3 percent. Replaces the current COLA adjustment 1 percent with increase to 2.5 percent when plan funding improves with a flat 1 percent annual COLA adjustment. Eliminates future augmentation of pension benefits for all former members. Resets the plan s amortization date to a new 30-year period. Volunteer fire relief associations The bill makes the following volunteer fire relief association changes: Includes a special law provision for Austin to allow the city to allocate a portion of its fire state aid to cover pension costs associated with its full-time firefighters. Under the bill, the provision is retroactive to 2013 and the authority expires on July 1, Includes a special law for the City of Maplewood due to the recent dissolution of their relief association. Increases the annual lump-sum benefit maximum to $12,500 for relief associations that currently provide an annual lump-sum maximum benefit of at least $9,500. (According to the Pension Commission, this only impacts Plymouth and Brainerd.) Includes a requirement that any relief association that is providing an annual lump-sum benefit of $9,500 or more and is dissolved after May 8, 2018, must return unneeded relief association funds to the state general fund unless the city has made a required contribution to the fund in the last 10 years. Establishes a work group under the direction of PERA (with two city representatives) to study modifying the current law requirement that all fire state aid must be used for volunteer relief plans to possibly allow the 70+ combination fire departments (departments that include both paid on-call and full-time firefighters) to allocate a portion of the fire state aid to cover pension

16 Page 15 of 25 costs for full-time firefighters (similar to the Austin provision mentioned above). Establishes a work group under the direction of the Pension Commission with city representatives to study issues related to volunteer firefighter relief association issues, including conversion from defined benefit to defined contribution systems, dissolution of fire relief associations, issues related to transition from paid, on-call departments to full-time departments, and other related issues. Increases the maximum annual lump-sum benefit for the Eden Prairie Volunteer Firefighters Relief Association from the general law of $10,000 per year of service to $15,000 per year of service. However, unlike the 2017 vetoed omnibus pension bill, which generally increased the annual maximum to $15,000, the bill leaves the general law maximum at $10,000 for all other VFRAs. Read the current issue of the Cities Bulletin (Link to: Your LMC Resource Contact Gary Carlson IGR Director (651) or (800) gcarlson@lmc.org (Link to: mailto:gcarlson@lmc.org)

17 Page 16 of 25 Governor Signs Workers Compensation Bill With Modified PTSD Presumption Provision After local government representatives met with bill authors, new language was added to the PTSD provision. (Published May 22, 2018) A workers compensation bill, HF 3873 (Link to: b=house&f=hf3873&ssn=0&y=2018), that includes a post-traumatic stress disorder (PTSD) presumption provision was signed into law by Gov. Dayton on May 20. The law, Chapter 185 (Link to: includes a provision establishing a presumption that a PTSD injury is work-related for certain public safety and emergency workers. However, the provision was modified to, among other changes, allow the PTSD diagnosis to be rebutted by the employer or insurer. PTSD provision background Over the past two legislative sessions, legislation has been introduced and amendments have been offered to various bills that would have modified the workers compensation statutes to establish the PTSD presumption. Last year a major budget bill was unanimously amended on the Senate floor to include the amendment. This year another major bill was unanimously amended in the House with similar language. Generally, workers compensation legislation is considered by the Workers Compensation Advisory Council (WCAC) before it is presented to the Legislature. However, until recently, the WCAC has been studying the issue of PTSD and had not made any recommendations on the PTSD presumption provision. Meeting results in modifications With the strong House and Senate votes, the League, along with the Association of Minnesota Counties and the Minnesota Inter-County Association, met with the chief authors of the presumption legislation, Rep. Nick Zerwas (Link to: (R-Elk River) and Sen. Nick Frentz (Link to: (DFL-North Mankato), to discuss modifications to the bill, including a modification that the PTSD diagnosis could be rebutted by employer or insurer and the creation of treatment parameters to be followed in order to effectively treat an injured individual.

18 Page 17 of 25 On May 12, the WCAC held a meeting to again discuss the PTSD presumption concept and a draft bill that would add the presumption to state law, but would explicitly establish the injury presumption as rebuttable by substantial factors brought by the employer or the insurer. The draft bill also included an expedited rulemaking process to establish criteria for treatment of PTSD injuries. After discussing the proposal, the WCAC supported that version of the PTSD presumption legislation, which is effective for injuries occurring on or after Jan. 1, The WCAC recommendation was then added to HF 3873 and was approved by the House on a vote of and then by the Senate on a vote of LMCIT s efforts to address PTSD Well before the current flurry of legislation and amendments on PTSD, the League of Minnesota Cities Insurance Trust (LMCIT) had taken a number of steps to address PTSD and other mental and physical health issues affecting city staff, officials, and members of the public, including offering several training sessions to its Peace officer Accredited Training Online (PATROL), and a session on this topic at its Safety and Loss Control Workshops. LMCIT s loss control staff are also currently exploring the possibility of developing an employee assistance and wellness programs geared specifically for police, fire, and EMT staff in order to prevent, mitigate, and treat PTSD and other injuries. Other workers comp legislation In other workers compensation legislation, the Department of Labor and Industry (DLI) has been directed to create fee schedules for certain types of medical care. Proponents of the legislation anticipate the new schedules will result in savings to employers and insurers, including LMCIT. These savings will be partly offset by a change in the presumed retirement age from 67 to 72, and an increase in the maximum length of time temporary partial compensation can be collected. LMCIT did not take a position on this bill because at the time of consideration, sufficient data was not available to fully evaluate its impact on LMCIT members. WCAC background The WCAC was created by the Legislature in 1992 as a permanent council to address issues and recommend legislation pertaining to workers' compensation. The WCAC consists of 12 voting members, six representing organized labor and six representing Minnesota businesses, including the presidents of the largest statewide

19 Page 18 of 25 Minnesota business organization and the largest organized labor association. In addition, the Legislature appoints a House and Senate member to be a liaison to the council. The WCAC chair is the commissioner of DLI. Read the current issue of the Cities Bulletin (Link to: Your LMC Resource Contact Gary Carlson IGR Director (651) or (800) gcarlson@lmc.org (Link to: mailto:gcarlson@lmc.org)

20 Page 19 of 25 Elections Omnibus Bill Passes House, Dies in Senate The bill passed the House with only one no vote, but it was never heard on the Senate floor. (Published May 22, 2018) The House took up the 2018 elections omnibus bill, HF 3221 (Link to: authored by Rep. Tim O Driscoll (Link to: (R-Sartell) and passed it on May 14. The Senate companion, SF 3021 (Link to: passed out of its one committee stop on March 29, but was never taken up on the Senate floor. Discussion in the House mainly focused on two amendments. The first would have allowed all cities with fewer than 400 registered voters to conduct mail balloting. Currently, cities in the metro area are prevented from doing so. The amendment (Link to: was offered by Rep. Pat Garofalo (Link to: (R-Farmington) and adopted on a voice vote. The second amendment (Link to: would have moved the state primary from August to June. It was offered by Rep. Kelly Fenton (Link to: (R-Woodbury) and after a few minutes of discussion, she withdrew it to encourage bipartisan support of the bill. Gov. Dayton requires bipartisan support of elections and campaign finance bills to be signed into law. Rep. Mike Nelson (Link to: (DFL-Brooklyn Park), the minority lead on the Government Operations and Elections Policy Committee (Link to: and co-author of the bill, encouraged a green vote. The bill, as amended, passed For more information about the House bill, read a previous Cities Bulletin article (Link to: For more information about the Senate bill, read a previous Cities Bulletin article (Link to: Read the current issue of the Cities Bulletin (Link to:

21 Page 20 of 25 Your LMC Resource Contact Ann Lindstrom IGR Representative (651) or (800) (Link to: )

22 Page 21 of 25 Office of Secretary of State Seeking Input on Proposed Election Rules Please send your input to LMC by June 1 on rules related to the presidential nomination primary and proposed amendments relating to election administration. (Published May 22, 2018) The 2016 Legislature passed a law creating a presidential nomination primary system in Minnesota beginning in As part of that legislation, the Office of Secretary of State (Link to: (OSS) was granted rulemaking authority to provide the procedures to implement the presidential nomination primary. The rulemaking authority went into effect July 1, Although this rulemaking primarily governs the administration of the presidential nomination primary, the OSS is also proposing a few small changes to other administrative rules governing elections. The OSS is seeking comment until 4:30 p.m. on June 6, The League intends to submit written comments for the formal rulemaking record. If you would like your city s input included, please send comments and feedback to LMC staff member Ann Lindstrom at alindstrom@lmc.org (Link to: mailto:alindstrom@lmc.org) by 5 p.m. on June 1. View the dual notice of the rule of intent to adopt rules (pdf) (Link to: View the proposed rule changes (pdf) (Link to: 2BPresidential%2BPrimary%2BRD%2B4487.pdf) View a rule-by-rule analysis (pages 18-40) (pdf) (Link to: For more information about the rules, contact OSS Legal Advisor Bert Black at (651) Read the current issue of the Cities Bulletin (Link to: Your LMC Resource

23 Page 22 of 25 Contact Ann Lindstrom IGR Representative (651) or (800) (Link to: )

24 Page 23 of 25 Sign Up Now for 2018 Policy Committees City staff and elected officials are encouraged to join these groups that meet three times during the summer to develop the League s legislative platform. (Published Jun 5, 2017) Dates are set for the 2018 League legislative policy committee meetings. Join your city colleagues for great discussion about municipal legislative issues. Last year, more than 150 city officials from all around the state participated in the four committees that set the legislative policies for the League s lobbying efforts. Sign up for a policy committee now (Link to: Important note for members who served last year: Please sign up to confirm your participation again this year, even if you served last year. Here are answers to some common questions about policy committees: Who can be on a policy committee? Current city officials and staff are eligible. City councilmembers, mayors, city administrators, assistant city administrators, clerks, human resource staff, municipal elections officials, public safety staff, engineers, finance directors, economic development staff, and others have been members of the committees. Committee members can be new to their city position, have many years of experience, or be somewhere in between. While any member city may have more than one person serving on a committee, each city will have only one vote on policies or other committee business. What typically happens during each of the three committee meetings? At the first meeting in July, members hear a briefing of the previous legislative session from LMC staff, network with one another by sharing issues of interest that are related to the committee, and begin to look at policies to edit, delete, or add. At the second meeting in August, members usually hear from guest speakers from state agencies, interest groups, legislators, and other local officials to learn more about a specific issue of interest to the group. During the third meeting in September, members continue their work discussing edits to existing or new policies and vote to approve their policies. What happens after the third policy committee meeting? The League s Board of Directors hears about the work of each policy committee during a fall meeting, typically in October. Then, the draft policies are open for

25 Page 24 of 25 comment by all League members. Member comments are compiled in early November, and then the LMC Board makes the final adoption of the policies. During the next legislative session, the League s IGR staff use the policies to guide the League s legislative efforts at the Capitol. When and where are the meetings? Improving Service Delivery Committee (Link to: Monday mornings: July 30, Aug. 27, Sept. 17, 9:30 a.m.-12 p.m. Improving Local Economies Committee (Link to: Tuesdays mornings: July 31, Aug. 28, Sept. 18, 9:30 a.m.-12 p.m. Human Resources & Data Practices Committee (Link to: Tuesdays afternoons: July 31, Aug. 28, Sept. 18, 1:30-4 p.m. Improving Fiscal Futures Committee (Link to: Wednesday mornings: Aug. 1, Aug. 29, Sept. 19, 9:30 a.m.-12 p.m. All policy committee meetings are in the St. Croix Room, which is located on the first floor of the League building in St. Paul. What if I can t attend each meeting in person? We offer GoTo Meeting, which is an online option for all meetings. Many members use this option to remain involved in committee discussions, regardless of their ability to come to the League s office in St. Paul. What topics does each committee address? The topics include, but are not limited to, the following: Improving Service Delivery Committee: unfunded mandates, environmental mandates, elections, charter law, data privacy, government innovation and cooperation, and public safety. Improving Local Economies Committee: growth management, land use, boundary adjustments, housing, transportation, economic development, and telecommunications. Improving Fiscal Futures Committee: municipal financial management, property and other taxes, state aid programs, and financial reporting requirements. Human Resources & Data Practices Committee: employment law, labor relations, data practices, Open Meeting Law, personnel, and pensions.

26 Page 25 of 25 Read the current issue of the Cities Bulletin (Link to: Your LMC Resource Contact Laura Ziegler Sr. IGR Liaison (651) or (800) (Link to: Contact Heather Corcoran IGR Member Outreach Coordinator (651) or (800) (Link to:

27 LMC Board Approves Maximum Dues Increase Page 1 of 1 LMC Board Approves Maximum Dues Increase The League Board of Directors voted at its May meeting to set a maximum member dues schedule increase of 0 percent for the League s 2019 fiscal year that runs from Sept. 1, 2018, through Aug. 31, The League s final dues schedule is similar to how your city sets its preliminary levy increase in that it cannot be higher than the maximum that is set. Please note that while there is no proposed dues increase, you may still see a slight increase or decrease in dues based on any shifts in your city s population. (Learn more about how your dues are calculated (Link to: ). The Board will make its final decision on annual dues when it meets on July 19 to approve the League s fiscal year 2019 budget. The League s commitment to members is to provide premier service and be recognized as the trusted, authoritative, and unified voice on issues affecting all cities. The League s Board takes very seriously its responsibility to carefully manage member assets, and appreciates your continued support of the organization. If you have any questions or comments about how the League can better serve your needs, contact David Unmacht, LMC Executive Director, at (651) or dunmacht@lmc.org (Link to: mailto:dunmacht@lmc.org). Read the current issue of the Cities Bulletin (Link to: Your LMC Resource Contact David Unmacht Executive Director (651) or (800) dunmacht@lmc.org (Link to: mailto:dunmacht@lmc.org) Learn more! (Link to:

28 Help Select 2018 League Board of Directors Page 1 of 2 Help Select 2018 League Board of Directors Do you want to have an important role in the selection of new members for the 2018 League of Minnesota Cities (LMC) Board of Directors? If so, apply by June 1 to be part of the Nominating Committee that interviews and recommends Board candidates. The Nominating Committee is made up of eight to 12 individuals, consisting of both elected and appointed city officials, from throughout the state. Any city official interested in serving is encouraged to apply. LMC President Jo Emerson, mayor of White Bear Lake, will choose committee appointees by June 4. (The League is also accepting applications for the Board of Directors (Link to: Important dates Once the Nominating Committee has been selected and members have been notified, there will be an hour-long conference call to provide information on the selection process and guidelines for conducting the board candidate interviews, deliberations, and decision-making steps. The call is scheduled for June 13, 11:00 a.m. to 12 p.m. The committee will convene on the morning of June 20 at the LMC Annual Conference in St. Cloud, and will interview candidates for the positions of president, first vice president, second vice president, and three director positions. The committee s recommendations will then be presented to the entire League membership at the Annual Conference during the annual business meeting on June 21. The League reimburses Nominating Committee members for expenses incurred for serving on this committee. Applying for the committee If you are providing a letter of reference for an individual who plans on applying to the Board of Directors, we ask that you refrain from applying to be on the Nominating Committee. This ensures that no conflicts of interest arise during the process. City officials interested in serving on the Nominating Committee should contact Kellie Sundheim, LMC, by June 1 at (651) , (800) or ksundheim@lmc.org (Link to: mailto:ksundheim@lmc.org). If you have questions about the committee or the process, contact Kellie Sundheim (contact info above) or Executive Director David Unmacht at (651) or dunmacht@lmc.org (Link to: mailto:dunmacht@lmc.org). Read the current issue of the Cities Bulletin (Link to: Your LMC Resource Interested in serving on the Nominating Committee? Contact Kellie Sundheim Assistant to the Executive Director (651) or (800) ksundheim@lmc.org (Link to: mailto:ksundheim@lmc.org) Meet our city vendors!

29 Help Select 2018 League Board of Directors Page 2 of 2 (Link to:

30 Apply by June 1 to Serve on the League Board Page 1 of 2 Apply by June 1 to Serve on the League Board Apply now to serve on the League of Minnesota Cities (LMC) Board of Directors and partner with other city officials to oversee an organization that represents 833 diverse member cities throughout the state. Serving on the LMC Board of Directors is both an honor and responsibility. LMC s ability to serve members needs and exhibit leadership by anticipating and proactively addressing city challenges, result from Board guidance that is strategic, responsible, and representative of all cities interests. (The League is also accepting applications to serve on the Nominating Committee (Link to: that selects Board candidates.) Board responsibilities If you are interested in serving on the LMC Board, please review the Board s Governance Handbook before submitting an application to ensure you are aware of the roles and responsibilities: The League of Minnesota Cities Governance Handbook (Link to: was developed by the Board to guide the manner in which Board business is conducted and to outline the expectations of Board service. Board meetings are typically held at League offices in St. Paul during the day on the third Thursday of the month. In addition, this year s board planning retreat is scheduled for Sept at Grand Ely Lodge in Ely. The League reimburses all direct meeting expenses of Board members. Mileage is reimbursed at the federally approved rate. Selection process A Nominating Committee appointed by League President Jo Emerson will interview candidates on June 20 at the LMC Annual Conference in St. Cloud. The nominated candidates will be presented to members for final consideration at the annual business meeting on June 21. The League strives to balance our Board membership by gender, location and population of candidates cities, position held within the city (elected and appointed), League experience and involvement and a diversity of races and ethnicities representative of our state s population. League members will elect a president, first vice president, second vice president, and at least three directors during the annual business meeting If a current Board member is elected to an officer position, there would be an additional opening for a director position. How to apply To request an application packet, contact Kellie Sundheim, LMC, at (651) , (800) , or ksundheim@lmc.org (Link to: mailto:ksundheim@lmc.org). The deadline to apply is June 1. If you have questions about the Board, its role, and work, please contact LMC Executive Director David Unmacht at (651) or dunmacht@lmc.org (Link to: mailto:dunmacht@lmc.org). Read the current issue of the Cities Bulletin (Link to: Your LMC Resource Interested in applying for the LMC Board of Directors? Contact Kellie Sundheim Assistant to the Executive Director

31 Apply by June 1 to Serve on the League Board Page 2 of 2 (651) or (800) ksundheim@lmc.org (Link to: mailto:ksundheim@lmc.org) Meet our city vendors! (Link to: