Lino Lakes Ledger

Strategic Financial Planning Begins

Lino Lakes City Council members have now set a date of March 16 to begin addressing what Mayor John Bergeson termed “our financial problem.”

But it isn’t all bad news, City Finance Director Al Rolek told council members at their Feb. 23 work session. Rolek cited a small budget surplus for 2008, even without the second state payment of $120,000 in Market Value Homestead Credits (MVHC) the city expected to receive last December.

For 2009, the proposed elimination of $237,000 in MVHC and “underperformance” of city investments will require cuts of “upwards of $350,000,” council was told.

Rolek has recommended the use of a facilitator to help council members prioritize necessary budget cuts.

Commission’s Legal Bill Returns, Unpaid

Council also discussed payment of a bill for legal services presented by the Charter Commission. The bill, from Marty Law Firm, LLC, was for “Legal services 10/08 through 12/30/08” in the amount of $1,126.65 but was not itemized.

A request for further detail was subsequently refused by commission attorney Karen E. Marty, as she said it would “reveal work product and violate the attorney-client privilege.”

City Attorney Joseph J. Langel advised City Administrator Gordon Heitke in a letter dated Feb. 10 that “neither the attorney-client privilege nor work product doctrine prevents an attorney from providing more substantive details in an invoice,” and that the city owes a fiduciary duty to its taxpayers to only approve what he called “legitimate expenditures.”

According to staff, the Charter Commission has already overspent its $5,700 budget in 2008. Council members directed city staff to return the invoice unpaid.

Mayor Gives Address

Mayor John Bergeson opened the Feb. 23 City Council meeting with his annual State of the City Address. Bergeson touted extensive community planning efforts undertaken in recent years and recent successes in regional transportation improvements. He stated that funding the I-35E interchange will be “a challenge” and that the city “continues to monitor the status of the Town Center development.”

The city continues to place a high priority on crime prevention and has the lowest crime rate in Anoka County because of those efforts, he noted.

In further action, the council:

• Approved the application of Rice Lake Elementary PTO to conduct two bingo events on March 29 and Sept. 18.

• Approved the renewal of a charitable gambling premises permit for Centennial Youth Hockey Association at Miller’s on Main and Trapper’s Bar & Grill.

• Held and approved the second reading of Ordinance No. 02-09, Amending Subdivision Ordinance for Housekeeping and Consistency with City Code. A summary ordinance will be published. The entire ordinance, which becomes effective April 2, is available at City Hall.