US: Maple Grove Adopts 2015 Budget

Source from:  Press and News 12/19/2014

Sets moratorium on indoor tobacco sampling

The Maple Grove City Council adopted its 2015 general fund budget during its Monday, Dec. 15 meeting.

The adopted budget is the same as the proposed budget the council was given at its Dec. 1 meeting.

The council also set a moratorium on indoor tobacco sampling. City staff wanted more time to conduct studies on potential health issues related to hookah bar, hookah pipes and sampling of flavored tobacco used in these pipes.

During the meeting Mayor Mark Steffenson mentioned that the financing department worked on a bond issuance about a week ago. "Because of the refinancing of those bond obligations, they have saved the city about $350,000," he added.

Here are some of the meeting's highlights.

2015 Budget

The council adopted the 2015 general fund budget, road reconstruction fund budget, general obligation capital improvement plan budget and set a tax levy for 2015 during its meeting.

The 2015 budget totals $36,150,200, which is a 2.49 percent increase over the 2014 budget. This is also the fifth year in a row of a 2.5 percent or less of budget increases.

The city's 2015 population is expected to exceed 66,500. This steady growth in residents and commercial and industrial properties does create the need for additional expenditures in the form of additional staffing, supplies and maintenance materials or third party arrangements to provide municipal services, according to Finance Director Jim Knutson.

The city has implemented a number of cost savings measures that have impacted the 2014 and 2015 budgets including the elimination of two positions, delaying rehiring upon retirements and resignations, participating in group purchasing programs and taking advantage of the current interest rate environment by refinancing debt.

There will be additional costs in supplies, repairs and maintenance — building and equipment, boulevards/medians, street sweeping, seal coating and road materials for street maintenance. The budget also includes the addition of a police captain, fire department fire safety specialist and part-time employees for rental inspection and farmer's market.

The property tax will provide the majority of the funding for the general fund — about 83 percent. Property taxes, which include the levy for debt service and road reconstruction are proposed to increase by 2.46 percent over the 2014 levy.

tobacco ampling

Also during the meeting, the council adopted an ordinance establishing a moratorium for up to three months to complete necessary studies as it relates to tobacco sampling, hookah bars and similar products.

The city recently had an inquiry regarding a hookah bar located in the city. According to a staff report, a hookah bar involves inside sampling of various forms of flavored tobacco products through a "hookah" water pipe. Patrons can individually or as a group have their own "water pipe" mouthpiece and sample various forms of flavored tobacco.

The staff report stated the city's tobacco code does not address a hookah bar or inside tobacco sampling. Because of this, staff requested more time to conduct studies to determine any health issues relating to such activities and a recommended the moratorium until March 31 of next year.

This moratorium can be rescinded at any time. Enditem