CITY ENGINEERS ASSOCIATION OF MINNESOTA

2015 WINTER BUSINESS MEETING

2014 PRESIDENT& COMMITTEE REPORTS

January 30, 2015

This report summarizes the various activities of the CEAM Executive Committee, Standing

Committees, and other Committees / Appointments during the 2014 calendar year. For more detail

on the activities, please contact the appropriate committee chair.

1. Executive Committee – In the past year, the Executive Committee met eight times to coordinate

and administer CEAM business and activities. The Committee also participated in joint meetings

with MnDOT leadership staff, the Executive Board of the Minnesota County Engineers

Association, and other Committee chairs. Minutes for the aforementioned meetings can be found

on the CEAM website (www.ceam.org). Administrative activities included development of the

2014 calendar, monitoring of annual budget and financial obligations, creation of agendas for the

summer and winter business meetings, provision of website updates, communication of

Municipal Screening Board actions, approval of annual scholarship awards, selection of

Engineer of the Year and Project of the Year awards, and designation of 2015 Executive

Committee candidates.

On behalf of CEAM, in addition to our 17,000 in Scholarships (6 Eng @$2,500 and 2 Tech@

$1,000) the Executive Committee again made an annual sponsorship contribution of $2500 to the

Future Cities Competition. We also approved another $500 donation to MN 2050 to get CEAM

up to the Silver Donation Level with Mn 2050.

2014 was a big year of transition for State Aid which the Executive Committee worked closely

with as we helped select new State Aid Engineer Mitch Rasmussen and new Deputy State Aid

Engineer Ted Schoenecker to replace Julie Skallman and Rick Kjonaas who retired and will be

greatly missed. Both Mitch and Ted bring a wealth of local experience and knowledge to State

Aid that will be critical as they continue to help both CEAM and MnDOT with local

transportation issues, including funding. Please join me in thanking and recognizing Julie and

Rick for their great service to our Cities over the years and welcome Mitch and Ted into these

critical positions. In addition, we assisted with and welcome new District State Aid Engineers in

both District 8 and District 1.

The highlight of the past year was full approval and implementation in 2015 of the new MSA

needs program. The Executive Committee has been working closely with MnDOT, the

Screening Board, and the Needs Study Task Force for a number of years to make this happen. I

fell proud to be a part of such a great group that was able to look out for the greater good of our

MSA system state wide to find a way to do what makes sense for our state municipal system and

not get bogged down with individual short term winner and loser issues.

2. Municipal State Aid Screening Board – The Screening Board met 2 times in 2014 and worked

closely with MnDOT State Aid to fully adopt and implement the new ADT based methodology

to calculate construction needs on the municipal state aid street system starting in 2015 as

recommended by the Needs Study Task Force Chaired by Lee Gustafson!

3. Winter Conference Planning Committee (Co-chairs Klayton Eckles and Joe Rhein) – The

Committee met 4 times in 2014

4. Summer Business Meeting Committee (Co-chairs Dan Coyle and Jay Kennedy)

We are changing venues to The Links at Northfork in Ramsey, and that we already have a date

of Friday, July 31 set for the meeting and event. By moving the meeting and networking event

to a nicer location closer to the twin cities, we are hopeful to get even more in attendance this

next year.

5. Communications / Website Committee (Chair Mike Turner) – We have met briefly this year

to discuss whether to pursue a separate CEAM salary survey. It was recommended by the

committee that since the information is so varied across our industry and the information is

generally available from the League of Minnesota Cities, that we not continue to pursue that

survey. The executive committee agreed. At the summer business meeting attendees were asked

to provide additional feedback on pursuing a survey if they disagreed. No feedback was

received.

6. Water Resources Committee (Chair Dan Edgerton) - - The CEAM Water Resources

Committee met or communicated via email several times this year. The committee was tasked

with researching the water supply reports coming out of the Met Council. The committee

worked closely with the CEAM Executive Committee as well as APWA to establish clear

communication and outcome goals for meetings with Met Council which are ongoing. The

committee will continue to work with incoming CEAM President Klayton Eckles on this issue

going forward in 2015 as well as well as to keep on top of ever changing water resources issues

and regulations.

7. Traffic Safety Committee (Mark Ray, Kevin Kielb) – See attached memo regarding 2014

review and 2015 outlook.

8. Standards and Specifications Committee (Chair John Gorder) – the CEAM Specifications

update is fully completed and implemented. The committee continues to work on minor

specification and standards issues as they arise.

9. Legislative Committee (Chair Dave Sonnenberg) – A verbal update will be provided at the

winter business meeting but the following items will be discussed.

Draft State 404 Program Assumption Legislation is proposed as follows:

$________is appropriated to the Board of Water and Soil Resources and the Department of Natural

Resources to study the feasibility of the state assuming the administration of the Federal Section 404

permit program. The study shall include:

An estimate of the costs to the state and savings to local governments of assuming Section 404

administration, including staffing

Identifying the potential speed and efficiencies to be gained through State 404 assumption as

well as a cost/benefit analysis

Identification of administrative changes that would have to occur to permit the assumption

Identification of the administrative simplification that could be accomplished by unifying

administration of section 404, the Wetlands Conservation Act, and MnDNR Public Water

wetlands

Language to define a “wetland”

Recommendations as to how to meet federal requirements for state 404 permit assumption

A steering committee shall be empanelled to provide oversight of the study. It shall consist of:

one representative to be appointed by the Board of Water and Soil Resources,

one representative to be appointed by the Commissioner of Natural Resources,

one representative to be appointed by the Corp of Engineers,

two representatives to be appointed by the Association of Minnesota Counties including one

county engineer and one member of a technical evaluation panel representing a local

government unit,

one representative appointed by the League of MN Cities

one representative to be appointed by the Soil and Water Conservation Districts,

one representative of the Wetland Bank operators

three representatives of environmental organizations to be chosen by consultation of the

Executive Director of the Board of Water and Soil Resources with the organizations.

Two representatives appointed by the State Chamber of Commerce; one from the mining

industry and one from the forestry industry

one representative from the Association of General Contractors

one representative from the American Council of Engineering Companies (ACEC)

By January 15, 2016 (2017) the Board of Water and Soil Resources must report to the policy and

finance committees with jurisdiction over the agency.

The League of Minnesota Cities (LMC) has adopted the following recommendations

for their transportation position in the 2015 session. After many years of universal

transportation avocation with little direct benefit results for Cities, there is direction

this year to only outwardly support bills with financial direct benefit to Cities.

CEAM as an affiliate of LMC can not go against this position but individual Cities

could on their own if felt appropriate. The following summarizes LMC’s position

on this issue:

League Board Directs New Transportation Advocacy Strategy

The League will support only omnibus transportation funding bills that

contain a new state funding source for city streets that is distributed

outside the constitutional formula.

(Published Jan 20, 2015)

After a lengthy discussion, the League of Minnesota Cities Board of Directors

voted Jan. 15 that the League will base its support for a 2015 transportation

funding bill on inclusion of a new state funding stream for city streets. The

directive, which marks a change in the League’s transportation advocacy

strategy, reads as follows:

“The League will support and advocate only for omnibus transportation funding

bills that contain a new funding source for city streets. The League will advocate

for a sustainable funding stream outside the constitutional formula for city

streets. The League may also advocate for street improvement districts, although

it will not condition its support for an omnibus transportation bill on inclusion of a

street improvement district mechanism. The League will testify in support of

omnibus transportation funding bills that contain discretionary funds for cities,

including for city streets. The League would be neutral/silent on bills that do not

contain discretionary funds and tools for cities.”

While some Board members expressed concerns that this directive might put the

League in the position of being neutral on a bill that contains provisions the

League has supported—such as a gas tax increase and street improvement

district authority for cities—all members agreed that city street funding has

remained unaddressed in omnibus transportation funding bills for over a decade.

The revised strategy is intended to convey that adequately funded city streets

are essential to mobility and economic vitality.

Background

Throughout the 2014 campaign season, and more recently in the news media,

Gov. Dayton and legislative leaders made statements indicating that passage of a

substantial transportation funding bill is a priority for the 2015 legislative session.

The League has a long history of supporting increased transportation

investments. The League helped override then-Gov. Pawlenty’s veto to enact a

significant transportation funding bill in 2008. The League has been an active

member of theMinnesota Transportation Alliance and other transportation

stakeholder groups. Every legislative session, the League has provided testimony

at the Legislature in support of increasing transportation investments.

Unfortunately, this support has not helped secure more discretionary

transportation funds for cities and, despite intense efforts over the last two

decades on the part of the League and city officials, the Legislature has not

passed the street improvement district enabling legislation requested by cities.

The counties have secured additional wheelage tax authority as well as local

option sales taxes for transportation. The Legislature has increased the gas tax

and other revenues distributed by a constitutional formula through the Highway

User Tax Distribution Fund (HUTDF), but those revenues provide discretionary

funds to only 147 of Minnesota’s 852 cities (those over 5,000 in population).

State bonding investments have helped, but have very limited applications.

Currently, 84 percent of city streets are funded with property taxes and special

assessments. Further, when state and county highway investments occur, cities

have the added burden of cost participation, which diverts dollars from city

streets.

Looking ahead

This Board directive will guide the League’s strategy on transportation advocacy

during the current legislative session. League staff will be meeting with

transportation committee chairs and stakeholders in the coming days to convey

the new position. We will also be preparing a model resolution for cities that

want to show support for the League’s position. - See more at: http://www.lmc.org/page/1/LMCBoard-

Transportation.jsp?utm_source=Jan.+20+NO+LEG&utm_campaign=Bulletin1%2F20%2F15&utm_medium=email#sthash.l319wodz.dpuf

In conclusion, I want to thank the many members of CEAM who participate in, lead and guide our

Committees. On behalf of the Executive Committee, I want to extend our appreciation to the entire

membership and to other conference attendees for their continued support of CEAM. I am very

proud of our accomplishments over the past year, especially the full adoption and implementation of

the new Municipal State Aid Needs Program and selection of Mitch Rasmussen and Ted

Schoenecker to lead the MnDOT State Aid Division with Julie Skallman and Rick Kjonass retiring.

Serving as your President for the past year has truly been an honor for me and I am deeply grateful

for the opportunity to represent such a tremendous organization.

Sincerely,

Steve Bot

2014 CEAM President