REVIEW
A U N I T E D V O I C E F O R M I S S O U R I M U N I C I PA L L E A G U E C O M M U N I T I E S
THE MISSOURI MUNICIPAL
January/February 2021
ECONOMIC DEVELOPMENT ISSUE
Trends And Highlights: Missouri Certified Sites
www.mocities.com 1 Retail 2020/2021 | Managing Municipal Debt Obligations Legislative Municipal Government 101 • Positive Policing • Annual| 2021 Conference PhotosOutlook
We’re committed to staying connected. MOSIP has been providing investment services for Missouri school districts, municipalities, counties and other political entities since 1991, focusing on safety, liquidity and earning a competitive yield. Our commitment to our communities remains steadfast as we help build and rebuild the transforming world around us. We’re with you all the way.
www.mosip.org
This information is for institutional investor use only, not for further distribution to retail investors, and does not represent an offer to sell or a solicitation of an offer to buy or sell any fund or other security. Investors should consider the investment objectives, risks, charges and expenses before investing in any of the Missouri Securities Investment Program’s portfolios. This and other information about the Program’s portfolios is available in the Program’s current Information Statement, which should be read carefully before investing. A copy of the Information Statement may be obtained by calling 1-877-MY-MOSIP or is available on the Program’s website at www.mosip.org. While the MOSIP Liquid Series seeks to maintain a stable net asset value of $1.00 per share and the MOSIP Term portfolio seeks to achieve a net asset value of $1.00 per share at the stated maturity, it is possible to lose money investing in the Program. An investment in the Program is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Shares of the Program’s portfolios are distributed by PFM Fund Distributors, Inc., member Financial Industry Regulatory Authority (FINRA) (www.finra.org) and Securities Investor Protection Corporation (SIPC) (www.sipc.org). PFM Fund 2 theReview January/February 2021 Distributors, Inc. is a wholly owned subsidiary of PFM Asset Management LLC.
MISSOURI MUNICIPAL LEAGUE BOARD OF DIRECTORS President: Chuck Caverly, Council Member, Maryland Heights; Vice President: Joe Garritano, Council Member, Wildwood; Damien Boley, Mayor, Smithville; Paul Campo, Attorney, Williams and Campo, PC; Bryant Delong, Council Member, North Kansas City; Michele DeShay, Mayor, Moline Acres; Cemal Unmut Gungor, City Administrator, Grandview; Dwaine Hahs, Mayor, Jackson; Heather Hall, Council Member, Kansas City; *Debra Hickey, Mayor, Battlefield; *Chris Lievsay, Council Member, Blue Springs; *Norman McCourt, Mayor, Black Jack; Chris McPhail, Alderman, Clever; Sherly Morgan, City Clerk, Blue Springs; Heather Navarro, Alderman, St. Louis; Lori Obermoeller, Finance Director, Creve Coeur; Len Pagano, Mayor, St. Peters; Cindy Pool, Council Member, Ellisville; Matt Robinson, Mayor, Hazelwood; *Kathy Rose, Mayor, Riverside; *Carson Ross, Mayor, Blue Springs; Matt Turner, Alderman, Harrisonville; *Gerry Welch, Mayor, Webster Groves; Jeana Woods, City Administrator, Osage Beach
THE MISSOURI MUNICIPAL
January/February 2021; Volume 86, No. 1
CONTENTS Features 6 Trends And Highlights: Missouri Certified Sites by Kylee Garretson
6
12 Retail 2020/2021: What The Future May Hold by John Brancaglione 16
FAQ: Economic Development
*Past President
by Christine Bushyhead
19 Managing Municipal Debt
Obligations In The Time Of COVID-19
12
by Leah Szarek
22 FAQ: Special Event Permitting And Regulation
by John A. Young and Samuel E. Beffa
Departments 4 President's Review 25 Legislative Review: 2021 Legislative Outlook
by Brian Grace
27 Local Government Review:
27
Accelerating Missouri's Economic Recovery After COVID-19
by Rob Dixon
31 MML Welcomes New Board
Member
33 Member News 34 MML Calendar Of Events Cover Photo: Moberly Area Industrial Park, a Missouri Certified Site.
AFFILIATE GROUPS Missouri City Management Association; City Clerks and Finance Officers Association; Government Finance Officers Association of Missouri; Missouri Municipal Attorneys Association; Missouri Park and Recreation Association; Missouri Chapter of the National Association of Telecommunications Officers and Advisors; Missouri Chapter of the American Public Works Association; Missouri Association of Fire Chiefs EDITORIAL Laura Holloway / Editor Lholloway@mocities.com Dan Ross, Richard Sheets, Lori Noe Contributing Editors GRAPHIC DESIGN Rhonda Miller The Review January/February 2021; Volume 86, No. 1 The Missouri Municipal Review (ISSN 00266647) is the official publication of the Missouri Municipal League state association of cities, towns and villages, and other municipal corporations of Missouri. Publication office is maintained at 1727 Southridge Drive, Jefferson City, MO 65109. Subscriptions: $30 per year. Single copies: $5 prepaid. Advertising rates on request. Published bi-monthly. Periodicals postage paid at Jefferson City, Missouri. Postmaster: Send form 3579 to 1727 Southridge Drive, Jefferson City, MO 65109. To contact the League Office call 573-635-9134, fax 573-635-9009 or email the League at info@mocities.com. Website: www.mocities.com. www.mocities.com
3
President's Review
by Chuck Caverly, Council Member, Maryland Heights, and MML President
A Path Forward Whew! We made it out of 2020! Congratulations to you all. I am sure you are looking forward to a year with at least a bit more normalcy, as I sure hope to have. MML also hopes to have a more normal year, although there is one very big change with the retirement of Dan Ross, MML executive director. After 10 years of service, Dan retired at the end of 2020. The MML Board of Directors is so appreciative of his steady leadership and guidance, and he will be missed tremendously. Your MML Board will work diligently over the coming months to determine the best path for securing a new executive director. In the meantime, MML is in the best of hands with Richard Sheets stepping in as interim director. Richard has 40 years of experience with the League and has long been our go-to source for legislative and policy needs. He began as interim as of Jan. 1, 2021, and I am confident he will ensure a smooth transition for members and staff.
"
Despite leadership changes taking place, you can count on MML in 2021 to bring you the same reliable information on how to make the best decisions in your city.
"
Despite leadership changes taking place, you can count on MML in 2021 to bring you the same reliable information on how to make the best decisions in your city. Over the past year we have brought members the most updated and detailed information on COVID-19 to help with the countless issues you faced. We know that COVID-19 questions will continue, and new issues arise as the vaccines are developed and are administered – in turn, our work providing the most crucial pandemic resources to you will continue. The League recognizes the long road to recovery for so many Missouri communities. We are dedicated to sharing the latest policy guidance, economic development considerations and relief opportunities for your city to thrive in the new year. In addition to great resources, MML is working on events for continued training and networking. While we are all chomping at the bit to get together in person, it just may not be feasible for everyone. With that in mind, the League is planning hybrid events where you will have the choice to attend in person or attend virtually. Either way, you benefit from the same expert speakers and networking with other local officials. Our first event in 2021 is the MML Legislative Conference in Jefferson City Feb. 9-10, 2021. Registration is open now. Learn more at www.mocities.com.
Whether or not you can attend the MML Legislative Conference, make it a point to reach out more than ever to your state legislators in 2021. With continued COVID-19 restrictions at the Missouri State Capitol Building during the legislative session, face-to-face contact and meetings will be more difficult for your MML advocacy team. While they will be on top of all issues affecting cities, your additional support is vital. Watch for the "MML Capitol Report" each week during the session. If you are not receiving these weekly reports and alerts, contact the MML office so staff can assist you. The pandemic has caused so many changes to our society and communities, and some of our old ways of doing business may not return. One thing will never change, though – the steadfast commitment of Missouri local leaders to strengthen cities and make life better for your citizens. I am proud to serve with you as we begin 2021 and face what it holds for us.
Investment Banking, Municipal Bonds, Leases Municipal Advisors Realizing Your Community’s True Wealth McLiney And Company brings together the proven vision and time-tested values that help communities realize their full potential. SERVING MISSOURI MUNICIPALITIES SINCE 1966. 5201 Johnson Drive, Suite 415 | Mission, Kansas | 66205 (800) 432-4042, (816) 221-4042
www.mclineysamco.com
4
theReview January/February 2021
2021 MML LEGISLATIVE CONFERENCE
Feb. 9-10, 2021 Register Now! www.mocities.com
INVESTED IN ST. LOUIS TODAY AND FOR TOMORROW We are excited to announce that the Hochschild, Bloom & Company team has joined the Sikich family, bringing you the same world-class service and now access to expanded capabilities. Sikich draws on a diverse portfolio of solutions to deliver transformative digital strategies and ranks as one of the largest CPA firms in the United States. Clients utilize a broad spectrum of services to help them improve performance and achieve long-term, strategic goals.
OFFICES AROUND THE COUNTRY AND IN YOUR BACKYARD. CHESTERFIELD 15450 S. Outer Forty Rd. Suite 135 Chesterfield, MO 63017
WASHINGTON P.O. Box 1457 1000 Washington Square Washington, MO 63090
877-279-1900 | SIKICH.COM
ST. LOUIS 12655 Olive Blvd. Suite 200 St. Louis, MO 63141
Hochschild, Bloom & Company LLP CertiďŹ ed Public Accountants Consultants and Advisors
www.mocities.com
5
FEATURE Review by Kylee Garretson
Trends And Highlights: Missouri Certified Sites
Moberly Area Industrial Park.
Preparing your community for economic growth is the cornerstone of economic development. Companies land in cities that are prepared for them to invest and grow in their communities. What can you do to make sure your community is ready to compete? A well-rounded strategy that includes real estate is critical. Do you have any sites or buildings available? It is important to take inventory of sites and buildings and evaluate their assets and areas for improvement. Of course, there is more to preparing for economic growth than simply identifying available real estate. Many communities can point to greenfield or brownfield sites they have identified for industrial users. However, if you ask them for details about infrastructure capabilities or potential environmental hazards, it could send them into a scramble searching for the information. When a company is considering expansion and they approach a city or state asking for these details about real estate, they typically have aggressive timelines. It is imperative that communities have 6
theReview January/February 2021
this information at their fingertips so they can respond to companies quickly and efficiently. Site certification programs have been established around the country for the purpose of compiling all of the information potential end users need in order to make a location decision. These programs help communities prepare real estate options before companies even approach them about new investment. The Missouri Certified Sites program shares the same intention and provides consistent standards regarding the availability and development potential of commercial or industrial development sites. The Missouri Certified Sites program was established in 2008. Since then, the state has certified 35 sites in 28 communities spanning 5,500 acres. Missouri Certified Sites are reviewed by an advisory committee of 10 members: two Missouri Department of Economic Development (DED) representatives; one Missouri Department of Natural Resources (DNR) representative; one Missouri Partnership
The Missouri Certified Sites program was established in 2008. Since then, the state has certified 35 sites in 28 communities spanning 5,500 acres.
Missouri Certified Sites
representative; and six utility companies representing all areas of the state. The committee meets four times a year to review applications and grant certifications. A certified site in Missouri requires the ground to be mostly cleared and level; be intended for business use; have at least a six-inch water main; industrial capacity sanitary sewer; 3-phase 12kV electric infrastructure; and be a minimum of 25 contiguous acres. Participating in the Missouri Certified Sites program is crucial for communities that want to compete for new jobs and investment. Several Missouri Certified Sites are now home to leading global companies. Food solutions company Plumrose USA, Inc., recently announced plans to construct a new bacon facility on a certified site in Moberly, Missouri. The company plans to hire 190 new employees and is investing $68 million in the community. Plumrose USA was able to quickly assess the property for potential hazards or roadblocks thanks to the Certified Sites program, expediting the site selection process. Companies want to make decisions quickly, and having the due diligence completed on a property that fits their needs is a major benefit to them. In Southeast Missouri, Poplar Bluff
welcomed Empire Comfort Systems to its community in 2019. The advanced manufacturer selected Poplar Bluff ’s certified site for its latest expansion. The company created 140 new jobs and invested nearly $11 million in the project. Columbia has seen unprecedented success with their Missouri certified sites. The community has four certified sites. One of the certified sites was purchased by Aurora Organic Dairy for its newest milk production and storage facility. The company created more than 100 new jobs and is growing rapidly in the region. “Having the detailed infrastructure information for our 100+ acre Sutter Site allowed us to land Aurora Organic Dairy, as the company has some pretty significant infrastructure needs for their more than $100 million operation,� said Bernie Andrews, EVP, Columbia Regional Economic Development Inc. A recent survey showed that communities with Missouri certified sites have experienced substantial growth since 2016. The communities responded to more than 150 requests for information from expanding companies and hosted 50 site visits with company representatives. Additionally, Missouri certified sites have seen nearly 750,000 square feet in new construction, more than $250 million in capital investment, and roughly 450 new permanent jobs. Missouri Partnership and Missouri DED have made commitments to promote and market Missouri Certified Sites. Both organizations have dedicated webpages
www.mocities.com
7
Communities interested in pursuing certification should keep these tips in mind when considering real estate options for the Missouri Certified Sites program: • Think shovel ready: Companies want to begin construction immediately. The best-case scenario is a company making a decision to locate on a site and starting construction promptly. Prepared communities have clear guidelines for building permits, proper site zoning and environmental concerns addressed prior to an identified end user. • Beware of adjacent uses: Many industrial users do not want to be near residential neighborhoods. When looking for potential sites, search for locations outside highly populated areas. Industrial parks with like-users are extremely attractive to companies. Be mindful of odors in the area that might impact operations such as food processing. Avoid wetlands, floodplains, and conservation areas whenever possible. • Confirm deed and price: If the property is not owned by the government, confirm with the owner intent to sell, sale price and make sure the deed matches the listing data. • Provide clear maps: There are many resources available to create high-quality maps that show clear boundaries, roadways and supporting infrastructure. • Have a team process: Bring all stakeholders together to discuss the process. Identify who is responsible for gathering the different pieces of information and bring it all together in a central location. • Market: Market your properties on Location One Information System (LOIS), create marketing brochures, and host listings on your website.
8
theReview January/February 2021
Empire Building in Poplar Bluff, Missouri.
highlighting and providing information on each property. Each site receives a custom-made promotional drone video that can be used by the community to market and showcase the site. The video includes extensive drone footage of the site, as well as a professional voice-over that provides additional information about the site and the community. All sites are required to be listed with the Location One Information System (LOIS), a nationwide real estate database that includes real estate information. LOIS is utilized by site selection consultants and companies when they are examining sites. Thanks to a partnership between Ameren Missouri, Associated Electric, Evergy, Missouri DED and Spire, all Missouri communities have complimentary access to LOIS. Communities may also have access to LOIS through their rail partners. Once you have identified a suitable property and are ready to move forward with the certification process, DED is ready to assist. The state does not collect any application fees associated with certification. The applicant is responsible for all costs associated with the certification process (Phase I, Geotechnical Studies, Boundary Surveys, etc.). There are grants available through DNR to help mitigate the costs of
Phase I & II studies. Below is an outline of the certification process: 1. Submission of a Notice of Intent (NOI) to apply for Certification to DED. a. A short form containing site and contact information, as well as an expected date for
www.mocities.com
9
submitting the full application. 2. Submission of the full application and supporting documentation to DED. 3. Approval or review of application materials by the advisory committee.
Dakota Bodies, Dollar Tree, Faurecia, Niagara Bottling, Nucor Steel, Owens Corning, Square, USDA and Vital Farms. Kylee Garretson is the director of business development and capacity building at Missouri Partnership. Learn more about Missouri Partnership at www.missouripartnership.com.
4. Interrogatory back for clarification or suggested changes to meet guidelines. 5. Final approval by advisory committee. The process typically takes four to six months from the NOI submittal date, and certifications of sites occur quarterly. If you are interested in additional information about the Missouri Certified Sites program, contact Kylee Garretson, director, Business Development & C ap a c i t y B u i l d i n g at M i s s o u r i Partnership. Email her at Kylee@ Ž MissouriPartnership.com. You can also learn more on the Missouri Department of Economic Development’s website at https://ded.mo.gov/programs/business/ missouri-certified-sites-program. At Piper Sandler, we cultivate creative ideas and tailored solutions that serve
For your next financing, Realize the Power of Partnership
About Missouri Partnership Founded in 2007, Missouri Partnership is a public-private economic development organization focused on attracting new jobs and investment to the state and promoting Missouri’s business strengths. Since its founding, Missouri Partnership has worked with partners across Missouri to attract companies that have created more than 22,000 jobs, more than $1.1 billion in new annual payroll, and more than $2.7 billion in capital investment. Missouri Par tnership works in partnership with the Hawthorn Foundation, the Missouri Department of Economic Development, the state of Missouri, and economic development agencies across Missouri. Led by an independent board of directors and working in collaboration with partners from across the state, Missouri Partnership markets Missouri as a strategic business location globally and provides direct support to companies interested in investing in Missouri to connect them with the best locations and solutions for their business goals. Some major recent company investments in Missouri include Accenture Federal Services, Amazon, American Outdoor Brands, Aurora Organic Dairy, Casey’s General Stores, CertainTeed, CVS Health, 10
theReview January/February 2021
client interests first and foremost. Instead of leading with what’s best for us, we start with what matters to you. Chris Collier
Todd Goffoy
Matt Courtney
Managing Director +1 314 726-7535 chris.collier@psc.com
Managing Director +1 913 345-3373 todd.goffoy@psc.com
Vice President +1 913 345-3355 matthew.courtney@psc.com
PiperSandler.com Since 1895. Member SIPC and NYSE. Š 2020 Piper Sandler & Co. 2/20 CM-20-0256
 �� �
WWW.SGRJOBS.COM
5
ww.linkedin.com/company/ mocities
TOP
BENEFITS OF
MML Membership. 573-635-9134
..
www.mocities.com
1
Access to Tools and Resources
Sample ordinances and policies; articles; Attorney General's opinions; municipal survey results (e.g. tax rates and salary data).
nfo@mocities.com
2
Responses to Your Questions
From animals to zoning, your municipal questions are promptly answered by expert MML staff.
3 4 5 Contact Us!
(
Advocacy at the Capitol
MML represents your community at the state and federal level. The League works to protect local decisions for local communities.
Publications for Members Only
Members receive the MML Review magazine, a monthly e-newsletter, technical bulletins and weekly legislative updates.
Training and Networking
Learn and network through conferences, training sessions, regional meetings, webinars and the MML Municipal Governance Institute.
Follow Us!
info@mocities.com
www.twitter.com/mocities
www.mocities.com
www.facebook.com/mocities
(573) 635-9134
www.linkedin.com/company/mocities
Thank you for serving your community! www.mocities.com
11
FEATURE Review by John Brancaglione
Retail 2020/2021: What The Future May Hold
A c ons iste nt u r b an pl an n i ng and development question from municipalities focuses on retail businesses that generate sales taxes. This source of revenue has become the life blood of many municipalities and state governments. We must remember that many other types of development that are entertainment-related (sporting events and concerts for example) and restaurant and drinking establishments are significant sales tax generators as well. The thoughts that follow are based on years of watching and tracking these trends. Changes in how people shop for goods and services has been occurring for more 12
theReview January/February 2021
than 15 years. U.S. retail space was, and still is, overbuilt. The U.S. has, for many years, had more retail square footage per capita than any other developed nation. How did we get here? The overbuilding was spurred largely by liberal bank and institutional financing for retail development that accelerated in the late 1990s and early 2000s. This was further fueled by competition among cities in metro environments that handed out sizable financial incentives for retail developments to locate in one place versus another. Many of the metro markets were not rapidly growing populations, so when a new retailer located in a market, they could only
survive by stealing market shares from others selling the same merchandise. This ultimately meant some would fail. The advent of online shopping (the Amazon phenomenon) has accelerated on an annual basis with current estimates indicating that online retailing is accounting for more than 15% (although these estimates vary depending on the source). The COVID-19 pandemic has made more people aware of what they could buy using that method. Among retailers, the “old line� department stores have been the most impacted because they were slowest to embrace the online trend or to recognize the necessity of a user-friendly website. Although
We infused innovation into a wastewater treatment facility to strengthen a community.
EVERYONE’S A WINNER. Wastewater Treatment Facility / Batesville, Arkansas
We’re Olsson, engineers who understand that where there’s a project, there’s a purpose. See how we used a bio-tech approach in Batesville, Arkansas, to upgrade an important piece of infrastructure at olsson.com.
previously seeming to avoid financial impact, even the high-end department stores are struggling, with some going out of business. For example, Lord & Taylor is going out of business, Neiman Marcus is in bankruptcy, JC Penney is emerging from bankruptcy with significantly fewer stores, and others are temporarily hanging on, although more bankruptcies are expected. Macy’s is one that seems to be surviving. As the anchors for enclosed malls, the department stores generated the traffic for many of the other mall retailers that are now falling like dominoes as department stores close. The mall as a “gathering place” has been fading for years, in part as a result of demographic changes and preferences. The department store bankruptcies and store closures have had a cascading effect on the relevancy of mall properties as they were originally conceived. Malls that catered to highincome demographics seemed to be “safe,” but now are struggling as even the high-end department stores are suffering or dying, as noted above. Attempts to wrap restaurants, movie theaters, and other entertainment
venues into the mall environment have had limited success. The most successful re-creation of mall properties has focused on mixed-use scenarios combining multi-family residential, office, retail, entertainment, restaurant
and in some cases institutional uses, in a sort of “town-center” environment. It should also be noted that restaurants are really part of the retail sector and they were, and still are, overbuilt as dining preferences have changed.
DEEP BENCH. COMPLETE FOCUS. A law firm dedicated to the practice of municipal law.
816-525-7881 LauberMunicipalLaw.com The choice of a lawyer is an important decision and should not be based solely on advertisements.
www.mocities.com
13
Retail closures have been occurring at an increasing rate. According to an October 2020 Wall Street Journal article, a record 9,500 closures occurred in 2019. By mid-August of 2020, announced closures have exceeded 10,000. According to the global market research firm Coresight, retailers are likely to close as many as 25,000 U.S. stores in 2020. For real estate markets, the fact that some of the retail space will be repurposed and/or demolished for other uses is actually a positive trend, as this will reduce the overbuilt square footage. Of course, COVID-19 struck a significant blow to brick-and-mortar retail sales when most of retail was shut down. Although, retailers that were considered “essential” (grocery stores, home improvement stores, Costco, Sam’s and Walmart) actually have experienced year-over-year sales better than in 2019. Also, retailers that recognized the power of online sales early and previously developed a robust online presence faired very well (e.g. Target, Walmart, Macy’s, Costco, Sam’s), competing with Amazon. However, as restrictions were lifted, brick-and mortar-retail sales improved and will further improve. In some instances, new stores will appear (for example, Amazon is opening grocery stores (not Whole Foods) and Macy’s has said that they will begin to develop free-standing stores at non-mall locations.
People do not want to purchase some items online. They want to see and feel some things before they buy. Retailers will develop smaller store formats that will begin to be more like “showrooms” and not everything will be stocked at the store. Consumers will be able to see their options and touch the merchandise and your selection will be sent home or delivered to the store. In some instances, the store floor area will be reduced and the remaining space will become a “last mile” warehouse for some popular items. In this case, pickup while shopping in the store may be possible for these items. Some retailers have tried other options. Target has developed some “urban” stores that are much smaller than
All your recycling and waste needs, handled by one provider.
Learn more at RepublicServices.com RecyclingSimplified.com ©2020 Republic Services, Inc.
RS-130038 - Municipal services MO Magazine Ad_Piazza.indd 1
14
theReview January/February 2021
12/15/20 1:21 PM
a typical Target (about 40,000 square feet). Wal Mart tried the neighborhood market concept, although they probably discovered this was impacting sales at their supercenters in the same market areas and shut down this expansion. Essentially, retailers have learned that they do not need mega stores, if they have their online market act together. The Supreme Court of the United States’ decision in South Dakota v. Wayfair has paved the way for government entities to recoup some of the sales tax revenues previously lost to online retailing through implementation of use taxes that require online retailers to pay sales taxes. Unfortunately, Missouri has been slow to embrace the legislative changes that other states have made in spite of this decision. Where the future of retailing will go as a measure of places we walk in to shop is, by some opinions, an unfinished book. States and cities that live on sales tax revenues were impacted pre-COVID-19 by the conditions and trends outlined above, but COVID-19 has temporarily altered the story. As COVID-19 restrictions have been reduced, we see brick-and-mortar sales beginning to trend upward and store traffic increase. Technology today now allows us to look with some precision at what was going on, in terms of store traffic pre-, during, and post-COVID-19. As a result, we can track traffic to retail areas or specific stores over specific periods of time, compare what has occurred in those time windows and look at how it is trending as often as daily. While the information does not
COMMUNITY PLANNING ECONOMIC DEVELOPMENT URBAN DESIGN WWW.PGAVPLANNERS.COM will be faced with how to repurpose obsolete retail development. Contrary to conventional thinking, remaking the existing built environment is rarely as cheap as constructing on a green field. In addition, developers and retailers will now have greater cost constraints to remain profitable.
identify the person or the spending, it does correlate with revenue trends when compared to known sales numbers. This data shows us that, once retail establishments opened again, the level of pre-COVID-19 activity began ramping upward on what begins to look like a V-shaped recovery for this economic sector. Bars, restaurants and other eating/ drinking establishments have been the hardest hit. Consumer dining habits have been evolving and chain restaurants have been failing at a significant rate. The locally owned unique restaurants have been trending upward, but these are the ones that are less able to the withstand financial pressure brought on by the COVID-19 situation. What is undeniably clear is that the retail landscape has changed, and the outcome of the change is not complete. In the past, cities, particularly in metro environments, have competed fiercely for retail development. However, current conditions and future trends suggest that retailers may make decisions that are based less on what government financial incentives they receive and
more on market reality. Therefore, municipal chasing of retail uses may be futile. However, financial incentive requests may not stop entirely because now the urban development landscape
John Brancaglione is senior director with PGAV PLANNERS based in St. Louis. He has conducted hundreds of urban, economic development, and redevelopment planning assignments during a 50-year career for municipal, county and state agencies throughout Missouri, 25 other states, the Commonwealth of New Zealand and its capitol, Wellington and New South Whales, Australia.
Zoning Solutions for Building Vibrant, Resilient Communities
General Code 1/4 page Ad Here
VisualZoning.com | 800.836.8834
www.mocities.com
15
FAQ: Economic Development by Christine Bushyhead
What can the city and its governing body do to be ready? Develop a well-articulated process by which developers and business prospects can connect with the city and immediately gain an understanding of the city’s land use framework (zoning, planning, platting), permitting, and incentive opportunities. Simple processes conducted by competent and enthusiastic staff, or consultants work best. Allow room for flexibility and creative approaches - as no one prospect or project is alike, except that all businesses “want to be wanted.”
Can the governing body hold a closed session meeting to discuss a developer’s proposal? What does economic development look like? Economic development means different things to the participants in the process; however, the desired outcome is creation of business opportunities from which community benefits are realized. Private and public sectors share common issues of leadership, risk and competition. A suite of tools including market studies, workforce reports and incentives, such as tax increment financing, 353 tax abatements, Chapter 100 industrial financing and reimbursement agreements, can support the development process. It is a competitive process within a market footprint defined as local and regional economies evolve. Economic development is never stagnant. It is a continuum of product, promotion and price. A city with a clear process that gets to solutions for prospects requires vision, leadership and communication by the decision makers and the public in a measured cadence reflective of the project’s needs.
In Missouri, the Sunshine Law does not set forth a specific exception for the discussion of economic development projects in a closed session. If the development project involves the use or sale of public property or incentives that will require the city to be a party to an agreement, the city council or board of aldermen may close to receive advice and counsel from an attorney, and provide client direction in the negotiations regarding the project that invariably means discussing aspects of the project germane in context and content to the agreement. However, keep in mind that the attorney-client privileged communications by which the records are closed means those present in the closed session do not include any “non-client” persons, and of course any final action of approving and authorizing execution of an agreement will be done in an open session meeting. Spradlin v. City of Fulton, 982 S.W.2d 255 (1998), provides a good read on this topic as to how narrow the closed meeting exceptions can be construed even under the real estate exception of RSMo 610.021(2).
How does a city compete? It is important for a city to understand the product it is promoting. What is your community product? It can be the strengths, weaknesses, opportunities and threats - yes, the age-old SWOT. What community assets are present to be developed and retained? Does your city have comprehensive public infrastructure (water, sewer, roads) plans, an airport, strong schools, parks, available workforce, or maybe prominent highway access? What weaknesses do you have and how can they be transformed into opportunities? Consider a promotion strategy by which your community product will be marketed to the targeted industry and partners you desire to attract. Also consider that part of the city’s economic development activity should include initiatives to promote the retention and potential expansion of existing businesses. 16
theReview January/February 2021
Municipal Services
REJIS is the perfect government partner, founded in 1975, for all of your technology needs: IT Support Services, Policy Administration, Public Records Access, Department of Revenue Conviction Reporting, Court and Prosecutor Systems, or Data Collocation. Contact REJIS today! Serving Government for 45 Years
www.rejis.org client@rejis.org ▪ (314) 535-1950
Everything you need all in one place Powerful tools that work together Minutes & Agendas Organize With Ease
Public Records Request Requests Made Easy
FAQ’s App Handy & Convenient
Notification Center Simple Yet Powerful
Document Center Documents Done Right
E-Notify Keep Them Notified
We believe in... Making government beautiful, accessible, and different. Our goal is to make our client’s websites truly beautiful. We have a cabinet full of awards that stand as a testament to our mastery of design. But functionality and navigability are also important components of a beautiful user experience.
companies who rely on them. This is why we continue to enhance our technology, regularly adding new features that enable our clients to most effectively serve their constituents and manage their website content.
As technology continues to evolve, governments must adapt and change the way they reach out to the individuals and
inn Our innovative web design, cutting edge web content management system, and an ingenious suite of web apps go a long way toward allowing our municipal clients to be different by making a difference in people’s lives.
The Government Website Experts
revize.com • (248) 269-9263 • interested@revize.com www.mocities.com
17
How does a city gain an understanding of the project risks and project value? The city should ask the developer to share the percentage of completion of the plans from which “estimated” project costs are being derived, and who has developed the estimates in order to understand if the estimates are realistic and market. The more complete the plan set, the better developed the opinion of probable cost (OPC). The degree of plan completion also evidences the developer’s level of investigation and development of the project proforma and viability to date. The experience of the developer, and their engineers and architects, are also a valuable consideration.
Does the Sunshine Law require that meetings and records involving a Tax Increment Financing (TIF) Commission, or Chamber of Commerce or Downtown Business Association be open? The TIF Commission meetings and records are open because the TIF Commission is an appointed and recommending commission of the public governmental body. The Chamber of Commerce or Downtown Business Association are not similarly established and do not perform a similar role. However, under the “quasi-governmental body” definition (RSMo 610.010.4.f), if any association directly accepts the appropriation of money from a public governmental body, any meeting, record or vote related to the appropriation would be an open record. That said, this circumstance would not preclude the Chamber of Commerce or Downtown Business Association from receiving information regarding an economic development project and maintaining the non-public character of that information.
Why should economic development be important to public school districts and other ad valorem taxing districts? The taxable value of real property is not the market value, it is the assessed value that is a percentage of the market value. The highest percentage of the market value for real property taxes is the subclass of “utility, industrial, commercial, railroad and other property” (commercial), not residential, agricultural and horticultural. Commercial property is assessed at 32% of its market value and that is the value to which the real property ad valorem tax rate is applied; that is 13% more than the residential assessments. For school districts, commercial development does not produce students, and does provide workforce opportunities for graduates.
What is a key economic development focus in today’s marketplace? Workforce development. Businesses need skilled workers in the construction trades, medical fields and specially trained workforce for their specific business. Workforce development trains individuals to be more productive and prosperous in the workplacebenefitting both the employer and the worker. In progressive communities, the conversation around workforce and the development of individual talents is now beginning in middle school and continuing through high school.
A new business is promising to create 50 new jobs. What mechanism can a city put in place to ensure the jobs are delivered? If the new business is receiving incentives to develop in the city and create new jobs, then the terms of the incentives should be presented in a performance-based development agreement that contains “clawback provisions,” which are terms that reduce and/or terminate the incentives in the event the new job thresholds are not achieved and maintained as required. It is critical in the negotiation and drafting of these types of agreements that the performance standard is clearly articulated, as is the process for accountability and the process by which the clawback provisions are implemented. Christine Bushyhead, of Bushyhead, LLC, Attorneys and Advisors, has broad and diverse real estate development and public administration experience. Her firm provides such services as city attorney, special counsel or consulting regarding economic and community development, and special district administration. Her firm also represents a variety of private sector clients in real estate development, including international retailers. She is also a former elected city council member in Lee’s Summit, Missouri (2002-2006), a 2008 MMAA Lou Czech Award Recipient, and the 2013 MML Civic Leadership Award Recipient for Lee’s Summit, Missouri. www.bushyheadlaw.com.
18
theReview January/February 2021
FEATURE Review by Leah Szarek
Managing Municipal Debt Obligations In The Time Of COVID-19 Plunging tax revenues, strained healthcare systems, painful budget cuts – Missouri municipalities are not alone in facing these challenges brought on by the COVID-19 pandemic. While states and communities across the country primarily look to Washington, DC, for legislative and monetary policy solutions, there is another DC-based organization to know. The Municipal Securities Rulemaking Board (MSRB) serves as a resource for municipalities in disclosing current information about their financial and operating status to investors and the public. Turn to the MSRB for help to see how other municipalities are describing the financial impact of the pandemic in their public filings. MSRB also provides resources to help municipal officials appropriately categorize their filings to make them easier for investors and the public to find. When thinking about bringing new municipal bonds to market in these uncertain times, MSRB’s freely available market data can be an important resource for municipalities and their financial professionals to see how the market is trending.
How Are Municipalities Disclosing The Known And Unknown Effects Of The Pandemic? Municipal officials responsible for budgeting, debt management and financial disclosures may know MSRB best, as the operator of the Electronic
The EMMA website is a centralized, national repository where states and municipalities file information about their financial and operating condition and events that may affect bondholders. For municipalities, disclosures from other states and communities can provide a helpful model for disclosure, especially when it comes to a novel situation like a global pandemic. Visit https://emma.msrb.org/ to view EMMA. Municipal Market Access (EMMA®) website. The EMMA website is a centralized, national repository where states and municipalities file information about their financial and operating condition and events that may affect bondholders. Investors rely on these disclosures to make informed decisions about the bonds in their portfolios and bonds they may be considering buying. For municipalities, disclosures
from other states and communities can provide a helpful model for disclosure, especially when it comes to a novel situation like a global pandemic. Visit https://emma.msrb.org/ to view EMMA. To help both investors and issuers more quickly and easily get to this information, MSRB’s data team leverages the power of cloud computing to comb through more than 167,000 + disclosure documents submitted to the EMMA system since January 2020. MSRB identifies and aggregates the disclosures that reference COVID-19 and related keywords. The latest report of COVIDrelated disclosures, updated regularly and sortable by state, is available on the MSRB’s dedicated COVID-19 webpage at http://www.msrb.org/. Many municipalities are using this report to see how their peers are handling the tough task of disclosing the effects of the pandemic and the uncertainties around future revenue and expenses. It is important to note that MSRB does not regulate municipalities or set the standards for disclosure. Instead, MSRB provides the EMMA platform to enable municipalities to quickly and efficiently meet their disclosure obligations. The Securities and Exchange Commission (SEC) plays an important role in the regulatory framework for disclosure. Recent SEC guidance related to the COVID-19 pandemic encourages municipalities and all bond issuers to provide investors with as much information about their current and operating condition as is reasonably www.mocities.com
19
practicable, and even forward-looking information when possible, accompanied by appropriate cautionary language. The SEC has said they would not expect to second guess such “good faith attempts to provide appropriately framed current and/or forward-looking information.” Read the full SEC guidance on the SEC’s website at https://www.sec.gov/news/ public-statement/statement-claytonolsen-2020-05-04.
Ready To File A Disclosure To EMMA But Need Help? MSRB provides a free library of video tutorials, manuals and resources to assist municipal officials throughout the process of submitting a disclosure filing to the EMMA website. Among the most frequently asked questions about making a COVID-19-related disclosure relates to choosing a category to index the disclosure in the EMMA system. Categories function as labels and search filters on the EMMA website. Submitting disclosures with
It is important to note that MSRB does not regulate municipalities or set the standards for disclosure. Instead, MSRB provides the EMMA platform to enable municipalities to quickly and efficiently meet their disclosure obligations. the applicable categories enables EMMA users to locate disclosures more easily. MSRB provides educational resources that help explain the various categories available when making a financial or operating disclosure or an event disclosure on EMMA. To help investors understand the topic of the disclosure at a glance, municipal officials may wish to consider choosing one or more
descriptive categories and providing descriptive text in the “Description” field when making their filings to EMMA.
Thinking About Issuing Municipal Bonds? EMMA not only provides free public access to state and local disclosures, but also data about trading in municipal securities and broader market data, including key yield curves and indices. The EMMA website has played an important role in helping municipal market participants understand the immediate impact of the pandemic. In March 2020, as it b e came increasingly apparent states and communities would have to go on lockdown to prevent the spread of COVID-19, volatility in the municipal bond market soared to heights not seen even during the Great Recession. Even though the market has normalized, the market data and tools available on the EMMA website and in MSRB data reports can be important resources for
WE KEEP ECONOMIES FLOWING Our affordable, high-quality water and wastewater services have helped Missouri communities grow since 1879.
WE KEEP LIFE FLOWING™
missouriamwater.com
20
theReview January/February 2021
municipalities considering a new bond issuance. Learn more in the MSRB’s guide to EMMA for municipal bond issuers. MSRB began releasing daily market activity reports for the public and offered data and expertise to fellow regulators and policymakers to inform their approach to emergency relief for the market. With little new issuance coming to market and liquidity needs rising, the MSRB loaned one of its leading staff experts to the Federal Reserve Bank of New York to help structure and operationalize its new municipal liquidity facility (MLF). MSRB also took the step of waiving any MSRB fees that would apply to MLF transactions to further support market liquidity. Keep up with the MSRB’s latest work in response to the pandemic on its dedicated COVID-19 webpage at http:// www.msrb.org/
Missouri’s Municipal Trust
Protect your growing community! Risk management is our priority.
Mirma.org 573-817-2554 Providing work comp, auto, property, liability coverages, and so much more for municipalities since 1981.
Aiding In The Recovery As Missouri towns wrestle with the fiscal challenges of the pandemic, MSRB and its EMMA website can serve as an important resource to municipal officials, their bondholders and policymakers. Municipalities that issue bonds can use EMMA and the MSRB’s disclosure summary to review the COVID-related disclosures of other states and municipalities to understand how they are managing the crisis and disclosing that information to the
investing public. Local officials can reach out to MSRB with questions when making their own filings and refer to EMMA for real-time market data to inform their debt management decisions. At the same time, the freely available market data and expertise from MSRB continues to inform federal public policy on relief measures to help state and local governments recover from this crisis.
Leah Szarek is the interim chief external relations officer for the Municipal Securities Rulemaking Board (MSRB), where she oversees the organization’s corporate communications, stakeholder engagement initiatives and government relations. Previously, Leah has held various communications roles on MSRB and has led the MSRB’s flagship market transparency program, the Electronic Municipal Market Access (EMMA®) website, as director, Market Transparency.
Keep up with the MSRB’s latest work in response to the pandemic on its dedicated COVID-19 webpage at: http://www.msrb.org/
Congratulations to Richard, Stuart and Lori on your MML Anniversaries! We are thankful for your experience and leadership! Richard Sheets Interim Executive Director 40 years
Stuart Haynes Policy & Membership Associate 20 years
Lori Noe Administrative Assistant 20 years
www.mocities.com
21
FAQ: Special Event Permitting and Regulation by John A. Young and Samuel E. Beffa
This article is intended for discussion purposes, to provide useful ideas and guidance on the topics and issues covered. The contents of this article do not constitute, and should not be treated as, legal advice regarding the use of any particular technique, device or suggestion, or its legal advantages or disadvantages. Although we have made every effort to ensure the accuracy of contents of this article, neither the authors nor Hamilton Weber, LLC, assume any responsibility for any individual’s reliance on the written information presented. The regulation and permitting of events such as parades, marches, rallies and protests (hereinafter “special events”) on public property raises a number of legal and practical issues.
May a city impose regulations on special events? The scope of regulations a city may impose largely depends upon the location at which the special event is being proposed. In areas such as parks, public squares, public streets and sidewalks, a city may impose reasonable restrictions on the time, place and manner of protected First Amendment activities. Such restrictions will be constitutionally permissible provided that: (1) they are justified without reference to the content of the regulated speech (i.e., content-neutral); (2) they are narrowly tailored to serve a significant governmental interest; and (3) they leave open ample alternative channels for communication of the information and intended message. Regulations may include requiring a permit for special events. Regulations on special events requiring a permit should only apply to special events with a minimum number of anticipated participants. For example, a regulation requiring a permit for a special event involving 10 or fewer people may be struck down by a court for not being narrowly tailored. A permitting requirement for special events involving 50 or more anticipated participants has a greater chance of surviving constitutional scrutiny. Any permitting regulation may include authorization to deny a permit if:
22
•
the chief of police determines that the time, route or size of a parade would disrupt use of a street ordinarily subject to significant congestion or traffic;
•
the application is incomplete or contains a material falsehood or misrepresentation;
•
the applicant has damaged specified city property on prior occasions and has not paid for the damage;
•
a permit has been granted to an earlier applicant for the same time and place;
•
the intended use would present an unreasonable danger to the health or safety of users of the public
theReview January/February 2021
space (mere opinion of a city official that such denial would prevent riots, disturbances or disorderly assemblage is not a sufficient basis for denial); or •
the applicant has violated the terms of a prior permit.
Additional reasonable regulations may include: •
limits on noise levels;
•
caps on the number of persons that may use a given a forum;
•
bans on early morning or late evening demonstrations; and
•
restrictions on the size, number and placement of signs on government property.
In addition, although it is reasonable for a city to need some time to decide whether to grant a special event permit or to impose conditions on the grant, a city should avoid the use of blanket advance notice requirements. The length of the period required for advance notice is critical to its reasonableness. Given time required to consider an application will generally be shorter the smaller the planned demonstration and that political demonstrations are often engendered by topical events, a very long period of advance notice with no exception for spontaneous demonstrations may result in the regulation being deemed an unreasonable limit on free speech. In areas such as polling places, jails, libraries, hospitals, schools, airport terminals, the interior of a police station, courtrooms and courthouses, public theaters and city halls, a city has much more flexibility to craft rules limiting special events. A city may reserve such areas for their intended purposes, communicative or otherwise, as long as the regulation is reasonable and not an effort to suppress expression merely because public officials oppose the speaker’s view.
May permit fees be required for special events? Generally, a city may charge a fee for processing a special event permit, provided that such fee is reasonably related to the local government’s administrative costs in processing the permit applications and that the amount thereof does not exceed the city’s actual costs in the administration of the permit. Likewise, if traffic control for the special event is to be
Members can now access
MML’s updated Technical Bulletins!
September 2020
Manual For Missouri Municipal Clerks Price: $20.00 (Single copies available to member cities at no charge. No unauthorized reproduction.)
August 2020
Manual For Newly Elected Officials Price: $20.00 (Single copies available to member cities at no charge. No unauthorized reproduction.)
Published by Missouri Municipal League 1727 Southridge Drive Jefferson City, MO 65109
• Manual for Municipal City Clerks • Manual for Newly Elected Officials • Personnel Manual for Missouri Municipalities
May 2020
Personnel Manual For Missouri Municipalites Price: $20.00 (Single copies available to member cities at no charge. No unauthorized reproduction.)
Published by Missouri Municipal League 1727 Southridge Drive Jefferson City, MO 65109
Published by Missouri Municipal League 1727 Southridge Drive Jefferson City, MO 65109
Find these manuals at:
www.mocities.com/MMLPublications or contact us:
info@mocities.com | (573) 635-9134
Now is the time to build. Missouri’s municipalities and utilities are reevaluating capital improvement plans to advance critical infrastructure projects. Combining today’s financial backing with design-build delivery makes now an opportune time to pursue your projects. To learn how to capitalize on the opportunities, listen to our webinar at burnsmcd.com/MML1120.
www.mocities.com
23
provided by the city, the local government may also charge a fee for the costs of traffic control during the special event, provided that the amount of such fee is based on relevant objective factors such as time, date, route length, the number of participants, the number of extra police officers, police vehicles, and reasonably necessary plans to provide traffic control for the special event. Any such fees should be applied evenly, irrespective of the applicant. Fees designed to defray the cost of maintaining public order during a special event may not be based on the potential reaction of the audience to the message conveyed by the applicant for the permit. As such, fees may not be adjusted upwards based upon the hostility likely to be engendered by an applicant for an event that may be controversial or inflammatory.
what shall be offensive. The Supreme Court of the United States recognized that the First Amendment allows persons to assemble in a march of protest and pride, carrying placards and singing "The Star Spangled Banner" that “reflect[s] an exercise of . . . basic constitutional rights in their most pristine and classic form[,]”Edwards v. South Carolina, 372 U.S. 229, 235 (1963), and it also allows groups to carry highly inflammatory signs at military funerals, see Snyder v. Phelps, 562 U.S. 443, 448-49, 460-61 (2011), the Nazis to march in areas heavily populated by Jewish residents, see Nat’l Socialist Party of Am. v. Village of Skokie, 432 U.S. 43, 43-44 (1977) (per curiam), and activists to burn and tread on the American flag as a form of political protest, see Texas v. Johnson, 491 U.S. 397, 414 (1989).
Despite the general authority to impose a permit fee, cities should consider providing for an indigency exception for such a fee. As the Supreme Court of the United States stated in Murdock v. Pennsylvania, 319 U.S. 105, 111 (1943), “[f]reedom of speech, freedom of press, freedom of religion are available to all, not merely to those who can pay their own way.” Such an exception would provide a means by which, upon showing of some proof of indigence, an applicant could obtain a special event permit without paying the permit fee.
Are there any pitfalls to avoid?
What civil rights protections are there regarding the right to assemble and free speech? The First Amendment to the United States Constitution that is made applicable to states and local governments through the Fourteenth Amendment, prohibits the government from interfering with a person’s “freedom of speech[,] . . . the right of the people peaceably to assemble, and to petition the government for a redress of grievances.” Freedom of speech includes both the right to speak freely and the right to refrain from speaking at all, and the right to speak freely extends to protect both verbal and nonverbal communication. The right to peaceably assemble has traditionally been interpreted to apply to the right of the citizens to meet to discuss public or governmental affairs. Although one can speak alone, one cannot meet alone, and while some assemblies occur spontaneously, most do not, and therefore, the assembly right extends to preparatory activity leading up to the physical act of assembling. As a general matter, the First Amendment to the United States Constitution prohibits a city from regulating speech because of its message, its ideas, its subject matter or its content. As such, any regulation of special events may not prohibit the expression of an idea simply because society finds the idea itself controversial, offensive or disagreeable. Moreover, First Amendment jurisprudence makes clear that it is not the role of the states, local governments or its officials to prescribe 24
theReview January/February 2021
One of the biggest mistakes any city can make when enacting regulations on special events is reserving unfettered discretion for itself or a designated city official in the application of the regulation. Special event permit regulations should not delegate overly broad discretion to a government official to grant or withhold a permit. Such discretion creates the potential that such an official will favor or disfavor certain speech based on its content. Government regulations that allow for arbitrary application are inherently inconsistent with a valid time, place and manner regulation. To curtail that risk and in order to survive constitutional scrutiny, regulations on special events should contain narrow, objective and definite standards to guide the decision of the government official responsible for issuing the permit. John A. Young is a partner at Hamilton Weber, LLC, in St. Charles and serves as city attorney for the cities of St. Peters, Wildwood and Dardenne Prairie. Samuel E. Beffa is an associate at Hamilton Weber, LLC, and represents the firm’s municipal clients on general municipal issues.
LEGISLATIVE Review by Brian Grace
2021 Legislative Outlook The Missouri General Assembly convened in January under conditions unlike any ever experienced by this generation of Capitol denizens. During a normal session, a side-shuffle is required to weave through the sea of school children, lobby day participants and other members of the general public who flood the halls of the Capitol. This year, the legislators, staff and lobbyists have plenty of elbow room in the sparsely populated building. But the legislative process is moving forward in a, mostly, uninterrupted manner. COVID’s impact on this session is reflected not just in the social distancing protocols, but in the legislative proposals themselves. A number of Republican legislators are pushing bills that would limit local control over public health orders. The legislators, led by Senator Andrew Koenig, were inspired by a public health order issued in St. Louis County in November that temporarily closed indoor dining in bars and restaurants. Under Koenig’s legislation, a local government would only be able to issue an order shutting down businesses for two weeks. At that point, both chambers of the Missouri General Assembly would have to approve, and the governor would have to sign, any extension. The pandemic accelerated ecommerce growth in the United States last year, with online sales reaching a level not previously expected until 2022. In the Capitol, we refer to legislation that would require the collection of sales taxes for online purchases as the “Wayfair bill” because of the 2018 U.S. Supreme Court ruling in South Dakota v. Wayfair, Inc,. that said states can mandate businesses
without a nexus in their state to collect and remit sales taxes for purchases made online by residents of that state. Since that ruling, 43 of the 45 states with statewide sales taxes have adopted a Wayfair law. Missouri and Florida are the outliers. Among Missouri legislators there is consensus that these taxes should be collected. This consensus has broadened since the dramatic shift to online sales that we have seen since the pandemic began. The reason that a Wayfair bill has not yet passed is a disagreement over how these new revenues should be spent. Conservative Republicans are demanding that they offset a further reduction to the state’s personal income tax, while some Republicans and many Democrats want to see the funds deposited into general revenue to be appropriated to a host of spending proposals. On another front pertaining to sales taxes, local tax incentives and taxing jursdictions used to spur development are once again under fire by legislators who believe that their use places an undue tax burden on citizens while failing to serve as a necessary catalyst for the developments they help fund. One of these proposals would require that the sales tax imposed by a transportation development district (TDD) or community improvement district (CID) be approved by a vote of the municipality in which it is contained, instead of only the voters living within the district. Many economic development professionals argue that the added costs required to conduct municipal elections
would largely render these tools useless. Legislators pursuing these proposals argue that the taxes proposed by these districts are paid by a much broader base of citizens than only those residing within the districts. This proposal was approved last year, but vetoed by Governor Parson. Local use of tax increment financing (TIF) is also, once gain, under attack. Proposals aimed at limiting the use of this tool would require a third-party economic impact analysis, prohibit use in Greenfield areas, and significantly restrict use in flood plains. Legislators pursuing these proposals believe that TIFs are abused, largely in the St. Louis metro area, by municipalities seeking to increase their tax base at the expense of neighboring municipalities and to no benefit of the citizens they serve. They dismiss the argument of municipal leaders and economic development professionals that these revitalizing investments would not happen without this tool. The General Assembly has until May 14th to navigate these unusual circumstances and decide the fate of these proposals. Brian Grace is a founding partner at Nexus Group, a fullservice government relations and lobbying firm headquartered in Jefferson City. He is an accomplished lobbyist specializing in complex lobbying initiatives spanning all facets of the Legislative and Executive Branches. Contact Brian at brian. grace@nexus-grp.com.
www.mocities.com
25
Thank You To The 2021 MML Business Advantage Program Sponsors Platinum Sponsors Burns & McDonnell NLC Service Line Warranty Program Missouri American Water
Gold Sponsors Lauber Municipal Law, LLC Stifel PFM Asset Management, LLC Curtis, Heinz, Garrett & O'Keefe, P.C. Raymond James Cochran Baker Tilly Piper Sandler & Co.
Silver Sponsors
26
Gilmore & Bell, P.C. MoDNR Brownfields/Voluntary Cleanup Program Municode Ollis/Akers/Arney Insurance & Business Advisors MIRMA Trane U.S. Inc. General2021 Code theReview January/February
Missouri One Call System American Fidelity Strategic Government Resources Missouri LAGERS Schneider Electric CTS Group (a Veregy Company) IMS Technology Group Missouri Department of Conservation
LOCAL GOVERNMENT Review by Rob Dixon
Accelerating Missouri's Economic Recovery After COVID-19 As we enter Missouri’s bicentennial year, the team at the Missouri Department of Economic Development (DED) is focused on the next phase in the fight against COVID-19 and our continuing collaboration with our partners. This collaboration is what helped us get through 2020 and is the cornerstone of our proactive approach to economic recovery going forward. Reflecting on the past year, we have found these partnerships produced real results for our state and established a foundation for success in the future. At the beginning of the pandemic, DED quickly shifted from building on our state’s strengths in infrastructure and workforce development, to responding to the serious economic and civic impacts of a public health emergency. Leaders from communities and industries of all shapes and sizes came together to share insight, coordinate strategies and mobilize resources. This collaborative effort transcended state lines and even international borders. The events of 2020 affirmed something we already knew: collaboration between economic development partners, individual businesses, industry leaders, and state and local government is critical for our communities to move forward. It was through this collaboration that, together, we produced real results. Here are just a few of the highlights: • We developed testing strategies, safety protocols and funding programs to provide relief to b u s i n e s s e s a n d n o np r o f i t organizations, communities and citizens.
•
•
• • •
We helped manufacturers retool their lines to produce personal protective equipment (PPE). We helped set up hiring portals to increase the number of healthcare workers on the front lines.
•
We created a job board for essential workers, connecting available talent to businesses that needed to hire immediately. We created a PPE marketplace that helped organizations and businesses source and purchase PPE. We brought PPE manufacturers and distributors to our state in an effort to localize resources. We expanded broadband internet technology across the state, especially in our rural areas, making telehealth, e-learning, and remote work more accessible.
SMITH&CO. 901 Vine St., Poplar Bluff, MO
AN EMPLOYEE-OWNED COMPANY
573.785.9621
ENGINEERS
WWW.SHSMITHCO.COM
DELIVERING QUALITY PROJECTS TO OUR CLIENTS
LAND SURVEYING CIVIL ENGINEERING GEOTECHNICAL SERVICES INDUSTRIAL PARKS WATER AIRPORTS SIGNALIZED INTERSECTIONS ENVIRONMENTAL SERVICES WASTEWATER BRIDGES ROADS
www.mocities.com
27
•
And now that the vaccine is here, we are working alongside our colleagues in public health to implement the statewide vaccination strategy. Amazingly, despite last year’s challenges, companies across Missouri adapted or even expanded. We saw growth over the previous year in the number of corporate expansion and relocation projects considering Missouri, all of which bring new jobs and capital investment to our state. We are now in 2021, but the public health crisis is not over yet. Many small businesses are still struggling. C o m mu n i t y o r g a n i z at i o n s a n d nonprofits are still stretching resources to serve citizens. Missourians are still looking for jobs. We still have work to do. Our businesses, communities and nonprofit organizations still need us. Our citizens still need us.
Missouri’s future depends on all of us working hard on economic recovery and maintaining momentum. Economic recovery will happen because of the innovation and adaptability of Missouri’s businesses and industries - large and small. Our job is to support their growth in our state, through partnership and collaboration, and the same way we did in 2020 – by working together.
Free Download to Members www.mocities.com
Rob Dixon is the Director of the Missouri Department of Economic Development. Before becoming director, Rob served as the President/ CEO of the Missouri Community College Association. Follow him on Twitter @ DixonRob.
S AV E T H E D AT E S
Watch for in-person and virtual options!
Join Us!
Legislative Conference
Elected Officials Training
87th Annual Conference
February 9-10, 2021
June 10-11, 2021
Jefferson City, MO
Columbia, MO
September 26-29, 2021 Union Station, St. Louis, MO
For more information visit: www.mocities.com 28
theReview January/February 2021
No one can predict when service lines
will fail.
Over 240,000 water main breaks occur each year in the U.S.* There are more than 800,000 miles of public sewers susceptible to structural failure.* Join the more than 900 partners that have chosen to work with us to help protect their homeowners. • Educates homeowners about their service line responsibilities • Provides solutions that help address aging residential infrastructure • Offers affordable plans to protect homeowners from the high cost of service line repairs • No cost to the city Contact us to learn more: Lee Zell, Regional Director • www.NLC.org/serviceline 770.331.3268 • LZell@HomeServeUSA.com
*https://www.infrastructurereportcard.org
commmitted to serving the communities where we live and work
Lisa O. Stump
James C. Hetlage
Allison M. Scime
Brian J. Malone
Rhonda A. O’Brien
Lawrence J. Wadsack
A History of Serving Missouri Municipalities and Public Agencies For over 45 years, Lashly & Baer, P.C. has provided sound legal counsel to municipalities and other public sector institutions. During this time, we have earned a solid reputation for prompt legal services at a reasonable cost. We believe that providing smart legal advice is vital, but providing this help in a timely manner is just as critical to meeting the needs of our clients. Our attorneys are experienced and trial-tested at addressing legal issues and regulations affecting government and public agencies.
714 Locust Street • St. Louis, Missouri 63101 phone: 314 621.2939
www.lashlybaer.com
The choice of a lawyer is an important decision and should not be based solely upon advertisements. www.mocities.com
29
Public Finance
Experts in Municipal Bond Financings
Trisha Duncan Vice President duncant@stifel.com (314) 342-2740
Becky Esrock Vice President esrockb@stifel.com (314) 342-2923
Martin Ghafoori Managing Director ghafoorim@stifel.com (314) 342-8467
Mark Shamleffer Managing Director shamlefferm@stifel.com (314) 342-2740
501 North Broadway | St. Louis, Missouri 63102
Michael Short Managing Director shortm@stifel.com (816) 203-8739
Stifel, Nicolaus & Company, Incorporated | Member SIPC & NYSE | www.stifel.com
30
theReview January/February 2021
Dan Smith Vice President dan.smith@stifel.com (314) 609-4126
LOCAL GOVERNMENT Review
MML Welcomes New Board Member Sheryl Morgan
City Clerk, Blue Springs The MML Board of Directors appointed new board member Sheryl Morgan at the organization's recent meeting in December 2020. She was appointed to fill a vacancy. Sheryl has served the city of Blue Springs, Missouri, for eleven years, as city clerk since 2014. Prior to her appointment as city clerk, Sheryl served as the deputy city clerk and legal assistant for Blue Springs. Sheryl is the current Western
Division president of the Missouri City Clerks and Finance Officers Association (MoCCFOA) and has served as that Division’s Director on the MoCCFOA Board since 2018. Sheryl has served on the Secretary of State Local Records Board as the charter city appointee since 2018. Sheryl has earned the MRCC-Sustaining and CMC designations. Prior to serving in municipal government, Sheryl worked at Sprint as a partnership marketing and new business development manager and has over 20 years’ experience as a legal assistant. Sheryl and her husband Tim live in Independence, Missouri, with their four-legged kids, Abby and Arnie.
www.mocities.com
31
PROTECT AND INFORM YOUR COMMUNITY The Stalker Radar brand of pole-mounted graphic displays and heavy-duty trailers use technology to calm traffic, display messages, and save lives. Advanced communication and power options provide solutions to Public Works challenges.
Trailers
Pole Mount
Trusted by more State Police than all other radar brands combined.
Chad Mirr chad@stalkerradar.com Cell: 214-399-0430
Contact us for a FREE Traffic Products Catalog. 1-800-STALKER
StalkerRadar.com/MO
Underwriting heartland progress in Missouri Raymond James 1/2 page Ad Here
Community support takes many forms. Ours just happens to be providing innovative solutions to complex public financing needs. Backed by the broad resources and distribution capabilities of a top 10 national underwriter,* we’re a dedicated partner to municipal issuers across the U.S. – and those right here in Missouri.
Let us put our experienced team and deep resources to work for you. Dick Bartow // 417.844.7040 // dick.bartow@raymondjames.com Rich Bartow // 913.360.0995 // rich.bartow@raymondjames.com
R E L AT I O N S H I P S | I D E A S | E X E C U T I O N *Ranking Source: Bloomberg, based on total par amount (2015-2020) © 2021 Raymond James & Associates, Inc., member New York Stock Exchange/SIPC. Past performance may not be indicative of future results. 20-PF-0985 JPR 1/21
32
theReview January/February 2021
RJ W o r ksFo r M O .co m
MEMBER News Outstanding City Clerk Award Black Jack City Clerk Karen Robinson was presented with the prestigious Missouri City Clerks and Finance Officers Association’s 2020 Outstanding City Clerk Award at the annual MoCCFOA Spring Institute banquet held in Columbia, Missouri, in March 2020. The purpose of the Outstanding City Clerk Award is to recognize a city clerk or finance officer who has demonstrated outstanding service and commitment to their municipality, community and professional organization. Karen was recognized for having: •
Worked for the city Black Jack for 19 years;
•
Assisted state CCFOA hospitality room committee and chaired nominating committee;
•
Held leadership roles as CCFOA Eastern Division: director, secretary, treasurer, vice president, and president;
•
Served on CCFOA Eastern Division committees including: IIMC, legislative and holiday;
•
Presented at the MML Annual Conference on “4-Day Work Weeks”;
•
Featured in the CCFOA Newsletter – Spotlight Article (Fall of 2014);
•
Member of the St. Louis Community College Advisory Board;
•
Board member for the Mayor’s Shamrock Ball;
•
Served on the Black Jack Special Events Committee;
•
Attained CMC (Certified Municipal Clerk), MRCC-S (Municipal Registered City Clerk – Sustaining), and Certified Municipal Official (through MML) designations.
ELGL Traeger Award Kim Nakahodo, assistant city administrator in North Kansas City, Missouri, and Brian Platt, city manager for Kansas City, Missouri, earned spots on Engaging Local Government Leader's (ELGL) Traeger Award list, honoring the top 100 influencers in local government from across the nation. ELGL states Kim “deserves a place on the 2019 Traeger list because she embodies the good in local government. She uses her unconventional background to approach problems in the most creative way possible and has put that creativity to good use in North Kansas City.” ELGL also states that Brian Platt “defines what Engaging Local Government Leaders is about. His outgoing personality, management skills, and passion for pubic service is beyond compare.” Congratulations Kim and Brian!
www.facebook.com/mocities
www.twitter.com/mocities
www.linkedin.com/ company/mocities Scan the QR code with your smartphone or visit
www.mocities.com
www.mocities.com
33
MEMBERS' Notes MML Calendar of Events January 2021 6 ����� Missouri State Legislature convenes 18 ����� Martin Luther King, Jr., Day (MML Office Closed) 19 ����� Last Day for Candidate Filing
February 2021 9-10 ����� MML Legislative Conference, Jefferson City, Missouri (Virtual Option Available) 12 ����� Lincoln's Birthday, MML Office Closed 15 ����� President's Day, MML Office Closed
March 2021 1 ����� Deadline to Submit MML Innovation Award Application 1 ����� MML Annual Conference Session Proposals Due 7-8 ����� MoCCFOA Master Academy, Location TBD 7-10 ����� 2021 National League of Cities' Congressional City Conference (Virtual)
www.mocities.com
April 2021 6 ����� Municipal Election Day 13-16 ����� Missouri Parks and Recreation Annual Conference, Columbia, Missouri Find more events and details on www.mocities.com and in the MML monthly e-newsletter.
Cutting Edge Solutions
The Top Emerging Risks for Public Entities • Pressure to Reduce Costs & Align Budgets • No Long-Term Documented Plan in Place • Lack of Claims Management Strategy • Cyber Attacks
• Legislative Changes
• Employment Practices Liability
Jeff Chronister Senior Advisor
OllisAkersArney.com
34
Quality Training Without Leaving Your Office or Home!
• Rising Cost of New Hires • Aging Workforce
Springfield • Branson • Bolivar • El Dorado Springs 417-881-8333
theReview January/February 2021
www.mocities.com
35
36
theReview January/February 2021