Minneapolis Park Board adopts 2023 Budget focusing on building safer communities, caring for park assets, protecting the environment and serving youth

Minneapolis Park Board adopts 2023 Budget focusing on building safer communities, caring for park assets, protecting the environment and serving youth

At their December 6 meeting, the Board of Commissioners adopted a 2023 Budget for the Minneapolis Park and Recreation Board (MPRB) that focuses on building safer communities, caring for park assets, protecting the environment, and serving the youth of Minneapolis.

“I’m proud of the work commissioners did earlier this year to establish priorities for the next four years, and that Superintendent Bangoura and staff recommended a budget that paves the way to fulfilling the Board’s strategic directions,” said Board President Meg Forney.

The budget supports the MPRB’s commitment to strategic long-term planning. It signifies the first budget year under the guidance of the 2023-2026 Strategic Directions, Performance Goals, and Priority Comprehensive Plan Strategies adopted by the Board in May 2022. The five strategic directions are: act boldly for our climate; cultivate each community’s place and honor cultural traditions in Minneapolis parks; implement quality youth and intergenerational programs; care for park assets to meet evolving needs and practices; and steward our natural resources.

“This budget is the culmination of a great deal of work, including direction from the Board of Commissioners and thoughtful consideration of input from staff,” said Superintendent Al Bangoura. “Through it all, we have done great work and together we can dramatically impact people’s lives by building communities, delivering meaningful services, and meeting the diverse needs of Minneapolis residents.”

The 2023 Budget totals $142 million, including $99.8 million for the general operating fund, $15.7 million for the enterprise operating fund, $1.9 million for the special revenue fund and $24.8 million for capital project funding. The budget utilizes the maximum 5.4 percent tax levy approved by the Board of Estimate and Taxation in September. The MPRB’s 5.4 percent property tax increase will result in an estimated annual increase in property taxes of $24 for the owner of a median-value $319,000 house due to growth in the tax base.

The adopted budget maintains current service levels, including $260,000 to support the MPRB’s 2021 six-year arrangement with the city for the historic $2.6 million youth investment that began in 2022 and an estimated $449,000 to offset the State of Minnesota Local Government Aid (LGA) funding decrease due to the current legislative session ending without passage of a new tax bill. The budget includes $389,000 for system equity investment largely due to the introduction and activation of parks within the downtown service area and regional park system. This investment would provide for increased safety and security with an investment in sworn officers and non-sworn agents.

Additional Board-approved amendments include reallocation of funds within the $142 million budget to provide for: Minnehaha Falls Regional Park security cameras; additional canoe/kayak racks and sailboat buoys at Lake Nokomis and Bde Maka Ska; Loring Park Pickleball Courts; and the hiring of a full-time Natural Resources Technician.

The 2023 adopted budget marks the seventh year of the 20-Year Neighborhood Park Plan (NPP20). The budget continues to support the operating costs related to implementing NPP20 and sustaining service levels for a range of maintenance practices through the MPRB General Fund property tax levy of $3.9 million. NPP20 also includes a total of $11.9 million for investments in rehabilitation and capital for neighborhood parks and uses, using a criteria-based system and a racial equity lens for budget allocations and decisions. As part of the budget process, the MPRB has developed an interactive, digital dashboard called the TrueCIP. This new tool offers a simplified, always up-to-date, total funding picture of the MPRB’s CIP allocations going back to 2017, when NPP20 funds became available.

The budget also marks the second year of the historic $2.6 million investment in youth. In 2021, the Mayor recommended and the BET passed a 2022 maximum property tax levy for the MPRB that included a $1.3 million youth investment. The Mayor further committed to a gradual increase in property taxes to support the full $2.6 million youth investment by 2027 with American Rescue Plan Act (ARPA) one-time funding allocated to the MPRB for youth investment in years 2022-2024. With this approach, the MPRB will need to identify additional one-time funding in 2025 and 2026 to keep the youth investment whole until the full amount is realized through the property levy in 2027. The Superintendent’s recommended budget includes the 2023 gradual increase in property taxes.

Additionally, to begin progress towards meeting the performance goals laid out by the Board in the 2023-2026 Strategic Direction, this budget includes the introduction of department budget actions directly tied to the MPRB’s 2021-2036 Parks for All Comprehensive Plan and the 2023-2026 Strategic Directions, Performance Goals, and Priority Comprehensive Plan Strategies. If applicable, the department budget actions are also tied to the MPRB Racial Equity Action Plan.

Details on the five strategic directions:

• Act boldly for our climate future
  The Board is committed to act boldly for our climate future through a reduction of carbon footprint, implementing resiliency projects in service area master plans and the ecological system plan and by analyzing park visitor modes of park access to create baseline data for future decision-making. The 2023 budget supports these goals through the department budget actions, the construction of the Graco Park building which will be the first net-zero building in the MPRB system, and the continued use of formal criteria for evaluating new equipment purchases and replacements to reduce fuel consumption, minimize pollution and emissions, and improve operations.

• Cultivate each community’s place and honor cultural traditions in Minneapolis parks
  The MPRB mission looks to dismantle historic inequities in the provision of park and recreation opportunities for all people and the Board seeks to cultivate each community’s place and honor cultural traditions in Minneapolis parks through enhanced and unified organization-wide volunteer management and through enhanced community safety and Park Police engagement activities. The 2023 budget supports these goals through the department budget actions, the addition of two Park Police Officer positions, the conversion of Part-Time Park Patrol Agent hours to two full-time Park Patrol Agents, and 2022 position conversions that add a Multicultural Communications position and an ADA Administrator position. This budget also supports the development and delivery of Indigenous Acknowledgement training and the development of an Indigenous Reconciliation Plan.

• Implement quality youth and intergenerational programs
  In 2021, through the culmination of significant work and collaboration with the Mayor and City staff, a historic $2.6 million investment in youth was realized through a six-year funding agreement that includes a combination of property tax levy and American Rescue Plan Act (ARPA) funding. The 2023 budget provides for year two of this agreement and includes a property tax levy increase of $260,000 and continuation of the ARPA funding in 2023. The Board is committed to implement quality youth and intergenerational programs and ensure its success through program capacity measurement, multi-tiered program evaluation, and enrollment tracking. The 2023 budget supports these goals through the department budget actions and the continuation of free youth programming in areas of the city with the greatest need. The budget also includes an increase to Rec Plus fees based on market and the addition of two full-time Child Care Specialists to implement a pilot program designed to stabilize Rec Plus staffing with the option of a standard non-split shift schedule.

• Care for park assets to meet evolving needs and practices
  The Board is committed to increase the rate of parkway repaving or reconstruction, increase the percentage of assets that are within their expected lifespan, establish the level of service standards for the top assets within the park system, and increase the advancement of policy items identified in the system-wide master plan implementation tracker. The 2023 budget supports these goals through the department budget actions and continues the exploratory work that began in 2022 to identify alternative funding strategies. The budget includes parkway sealcoating through the MPRB capital improvement program and a 2022 position conversion to add a Design and Project Engineer. The budget also supports the review of the current asset management system to support bid for the next generation of software with enhanced capabilities.

• Steward our natural resources
  The Board acknowledges its role as the steward of the park system’s natural resources and commits to natural area management, growing the public tree canopy, and improving water quality through BMP management. The 2023 budget supports these goals through the department budget actions, the addition of a full-time Natural Resource Technician, and the planting of at least two trees for every tree removed, focused in the two major heat islands within the city through the ARPA funding received in 2023 and 2024. This budget also supports alternative funding strategies, including the participation in the Urban Tree Carbon Offset Program through the partnership with Green Minneapolis, and the continuation of exploratory work related to water quality alternative funding.

The budget and related documents are available for viewing at www.minneapolisparks.org/budget.

Financial and Service Challenges

There are multiple financial and services challenges impacting the MPRB:

• Coronavirus pandemic (COVID-19) impacts
  It’s been slightly more than two-years since the MPRB first responded to the COVID pandemic and staff continue their efforts to stay safe while delivering important recreation services and facilities to the public. COVID Community Levels remain low, but COVID is still here. The MPRB continues to track data with a focused priority on the health and safety of its park visitors and employees. The MPRB has remained responsive and flexible, continues to adjust service delivery when necessary, and continues to manage the financial and economic impacts related to the pandemic.

• System Equity Investment
  The MPRB’s system is experiencing growth in both the regional and neighborhood systems. As parks and amenities are added to new residential areas that were traditionally non-residential in support of the City’s growth patterns and other development, improvements and expansion occur within the park system, service delivery models will need to be analyzed, adjusted, or changed to support the needs of these areas. Consideration needs to be given to how current service levels associated with this growth is built into the annual budget process and communicated and supported by the City, BET, and the public.

• Capital investment needs
  The MPRB has many capital needs throughout the system including security and alarm upgrades, parkway paving and parkway lighting, RiverFirst development and acquisition, reinvesting in operation facilities, below grade infrastructure and utilities, Enterprise Fund capital investment, support for the Land acquisition fund, and investment in legacy infrastructure.

Other key financial challenges include union negotiated settlements, minimum wage increases, inflationary increases, and the continued work to stabilize the Enterprise Fund.

Departmental initiatives and changes for 2023 include:

• Asset Management – includes the use of one-time funds to procure equipment for Market Square Park and a review of the current asset management system to support bid for the next generation of software with enhanced capabilities.
• Athletic Programs, Aquatics, Golf & Ice Arenas – includes an increase to golf fees and establish two tiers based on market rates; shifts the Director position (25%) to the Enterprise Fund to better reflect time allocation between functions; increase to ice rental fees based on market rates; addition of one full-time Ice-Resurface Operator.
• Communications and Marketing – supports a position conversion to a Multicultural Communications position.
• Community Connections and Violence Prevention –supports position conversions that address the evolving needs of the organization to serve the community in areas of ADA and multicultural communications through redistribution of resources resulting in the elimination of two vacant Community Connection Coordinator positions.
• Deputy Superintendent’s Office – General Fund activities include a slight increase to the Archivist and Records Specialist position from a .50 FTE to a .60 FTE; supports a position conversion to add an ADA Administrator position; Water Works, a micro-enterprise includes an increase to revenue as Owamni restaurant continues to perform at higher levels than projected in the business plan and the planned addition of special services attendant hours to provide adequate service to residents and visitors at this location.
• Design and Project Management – supports position conversion to add a Design and Engineer position to support CIP implementation; Indigenous Acknowledgement training; and the development of an Indigenous Reconciliation plan.
• Environmental Management – sustains the one-time allocation made in 2022 for the Cedar Lake and Lake Nokomis blue-green algae reduction diagnostic study and plan which will be completed in 2023 and the addition of a full-time Natural Resources Technician
• Forestry – supports the use of one-time ARPA funding to augment the procurement of trees to allow for the planting of two trees for every tree removed during 2023 and 2024 and the establishment of a special revenue fund reserve for the proceeds received through the Urban Tree Carbon Offset Program.
• Park Police – supports system equity investment with the addition of two Police Officers; the conversion of 4,160 hours of part-time park patrol agent hours to fund two full-time park patrol agents; and the addition of 1,560 part-time park patrol agent hours to support the activation of the Downtown Service Area and regional park system.
• Visitor Services (formerly Customer Service) – the General Fund activities includes a slight increase in revenue and expenditures for operating the Commons Park food truck lunch permit process; new fees including busker/street performer fee and MPRB market fee; an increase to picnic rental fees based on market rates; and increased revenue due to additional canoe/kayak rack storage and sailboat buoys and the use of the Regional Park Amenity Fund to procure the canoe/kayak rack storage units and sailboat buoys; and supports system equity investment with the addition of Front Desk hours to support the activation in the Downtown Service Area, specifically for the Commons Park and North Loop Park. The Enterprise Fund activities include a decrease in revenue based on actual experience, Bde Maka Ska building constructions, and changes in vendor relationships; an increase to special services attendant hours to explore creating a team of staff that will serve as event marshals as a point of contact for event participants and organizers; and an increase in revenue for new fees including mobile wellness permit, stage fee, locate fee, sampling and promotions permit, and the event marshal program fee.
• Youth and Recreation Center Programs – continues the implementation of the historic youth investment in Youth and Intergenerational Programming including department budget actions to develop a capacity measurement, multi-tiered program evaluation tool, and enrollment tracking to ensure successful implementation of quality programs; also includes an increase to Rec Plus fees based on market rates and the addition of two full-time Child Care Specialist positions to allow for a pilot program to offer two non-split shift schedules in hopes of improving overall staff retention.

The budget and related documents are available for viewing at www.minneapolisparks.org/budget.