Missouri Municipal Review

The Missouri Municipal

Review

The Official Publication of The Missouri Municipal League

Growing Communities Together: Wellness and Sustainability

March 2013

Missouri Securities Investment Program A Cash Management Program for School Districts, Municipalities and Other Political Subdivisions

The Missouri Securities Investment Program (“MOSIP”) is a comprehensive cash management program for school districts, municipalities, and other political subdivisions. MOSIP was created in 1991 by the Missouri School Boards Association.

MOSIP offers its participants a professionally managed portfolio with competitive money market rates. MOSIP stresses “safety of principal” as the number one objective and is rated AAAm by Standard and Poor’s.

Registered Representatives

William T. Sullivan, Jr. Managing Director 1-800-891-7910 x225 sullivanw@pfm.com

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P.O. Box 11760 • Harrisburg, PA 17108-1760 1-877-MY-MOSIP 77 Port Plaza 2 /West March 2013Drive • Suite 220 • St. Louis, MO 63146 1-800-891-7910

Administered by: PFM Asset Management LLC Sponsored by: Missouri School Boards Association • Missouri Association of School Business Officials Missouri Association of School Administrators

This information 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 Money Market 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). PFM Fund Distributors, Inc. is a wholly owned subsidiary of PFM Asset Management LLC. Member SIPC. Standard & Poor's fund ratings are based on analysis of credit quality, market price exposure, and management. According to Standard & Poor's rating criteria, the AAAm rating signifies excellent safety of invested principal and a superior capacity to maintain a $1.00 per share net asset value.

However, it should be understood nor a recommendation to The Missouri Municipal Review that the rating is not a "market" rating www.mocities.com buy, hold or sell the securities.

The Missouri Municipal

Review

March 2013

VOLUME 78, NO.2

The Official Publication of The Missouri Municipal League

contents

President

4/ Unclaimed Property

by Missouri State Treasurer Clint Zweifel

Mayor Pro Tem Susan McVey Poplar Bluff

5/ Creating Sustainable Places

by Jeff Hirt, Barbara Hensley and Dean Katerndahl

Vice President

Councilmember Jan Marcason Kansas City

9/

Immediate Past President Mayor Norman McCourt Black Jack

e

MISSOURI MUNICIPAL LEAGUE BOARD OF DIRECTORS David Bower, Mayor, Raytown; Conrad Bowers, Mayor, Bridgeton; Denise Chisum, City Clerk, Lee’s Summit; Roger Haynes, Deputy City Manager, Mexico; Bill Johnson, Director of Administration, Fulton; David Kater, Mayor, Desloge; Bill Kolas, Mayor, Higginsville; Donald Krank, Councilman, Black Jack; *Ron Monnig, Councilmember, Slater; Raeanne Presley, Mayor, Branson; John “Rocky” Reitmeyer, Alderman, St. Peters; Lisa Robertson, City Attorney, St. Joseph; Frank Roland, Mayor, Hillsboro; Kathy Rose, Mayor, Riverside; *Carson Ross, Mayor, Blue Springs; Stanley Salva, Mayor, Sugar Creek; Arthur Sharpe, Jr., Councilmember, University City; Tom Short, City Administrator, Carthage; Paul Ward, Councilmember, Kirkwood; *Gerry Welch, Mayor, Webster Groves; * Kevin Wood,

Mayor, Harrisonville. *Past President

13/ Preparing For Electric Vehicles: How Missouri Communities Can Get Ready

by Luke Hagedorn 17/ City Profile: New Fulton Police Station

by Darin Wernig 19/ Environmental Protection Agency Resources 20/ Seasonal Influenza And Immunizations In The Workplace

by Dave Rexroat 22/ Treatment Of Seasonal Employees Under Health Care Reform

by Kenneth A. Mason 24 / Enacting The Marketplace Fairness Act Will Help Missouri Retailers And The Missouri Budget

by Mike Sutherland 28/ Working Together To Promote Community Health And Wellness in Missouri

departments 26 / FAQ: Use Tax 30/ Professional Directory 34/ Member Accomplishments / Calendar of Events

e

Laura Holloway, Editor Contributing Editors: Dan Ross and Richard Sheets

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. www.mocities.com

Enhancing and Improving Overlooked Everyday Nature

by Michael Garrett

Missouri Municipal Review (ISSN 0026-6647) 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.

The League’s Website address is: www.mocities.com.

The Missouri Municipal Review

March 2013 / 3

State Treasurer Clint Zweifel encourages municipalities to regularly check Unclaimed Property New Property Added Each Week

S

Clint Zweifel Missouri State Treasurer

4 / March 2013

tate Treasurer Clint Zweifel is encouraging municipalities in Missouri to regularly check the Unclaimed Property database in an effort to keep money where it is needed most – our communities. Treasurer Zweifel holds nearly $700 million for more than 4.3 million account holders.

“I receive new Unclaimed Property each week, meaning thousands of new entries are added to my Unclaimed Property database each month,” Treasurer Zweifel said. “This includes money for municipalities. I encourage you to regularly check the Unclaimed Property database and sign up for email notifications that will notify your municipality when new unclaimed property matching your information is added. Most important, please file the claims needed to return this property to your community.”

It is important for municipal officials to search for different possible names in the Unclaimed Property database; for example, City of Exampleville and Exampleville. Unclaimed property for a municipality may be entered in the database several different ways. If you have questions about what you should search, email ucp@treasurer.mo.gov.

Municipalities and individuals can search for unclaimed property 24 hours a day and sign up for email notifications at www.ShowMeMoney.com.

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www.mocities.com

Creating Sustainable Places Kansas City Region Shares A Vision For Success

S

by Jeff Hirt, Barbara Hensley and Dean Katerndahl

ustainable development has received a lot of attention over the last few years. But what exactly is it? Ask 10 different people and you may get 10 different answers.

But most definitions share a common theme: working together to plan for a better future.

All across the country, public officials are thinking more comprehensively about the long-term impacts and benefits of development The Park Place development in the Kansas City area represents decisions. The market is one example of a new type of development that provides more shifting, and development housing, office and transportation options. approaches that have worked in the past may from the U.S. Department of Housing not be right for the future. In most and Urban Development, is helping places, people express a desire for more local communities move from ideas walkable, compact, mixed-use areas to implementation. While Creating that offer more choices.

Sustainable Places focuses on six The Kansas City region has defined specific demonstration corridors in the a sustainable region as one that balances Kansas City area, the key processes and a thriving economy, social equity and principles outlined here can be applied a healthy environment, for current to any community. residents and future generations.

Together, the region shares a vision Understanding Our Changing of achieving sustainability by creating Demographics vibrant, green and connected centers When people discuss the idea and corridors. This approach allows of mixed-use, walkable communities communities to retain the character that promote housing, transportation and lifestyles the residents want, while and lifestyle choices, they are often, adapting to shifting demographics and and understandably, met with some changing markets. skepticism. Where is the market demand T h e r e g i o n ’ s s u s t a i n a b i l i t y for these places? Are they economically framework emerged from several viable? We routinely hear questions like years of visioning and public processes these, and with tools and information at both the regional and local levels. d e v e l o p e d t h r o u g h t h e C r e a t i n g At the regional level, initiatives like Sustainable Places initiative, we’ve I m a g i n e K C , a 1 2 - p a r t t e l e v i s i o n been able to answer these questions series produced in cooperation with conclusively: yes, there is demand for Kansas City Public Television, have these types of development, and that engaged thousands of area residents. demand is growing.

At the local level, numerous plans and National data supports these policies have articulated community f i n d i n g s . H o u s e h o l d s a r e g e t t i n g values and sustainability goals through smaller and our population is getting extensive public processes. The Mid older and more diverse. Research America Regional Council’s (MARC) also shows an increased demand, Creating Sustainable Places initiative, particularly among younger adults, for funded by a three-year planning grant these types of places. www.mocities.com

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Localized research supports Kansas City’s alignment with these national trends. MARC retained two national experts to study the local real estate development market.

Arthur Nelson, presidential professor and director of the Metropolitan Research Center at the University of Utah, and RCLCO, a national real estate research firm, studied the region extensively to identify new sustainable development trends and any local or regional policies or investments that can support them.

The studies suggest there will be a continued demand for the more typical development patterns that have prevailed in the past, such as medium and large-lot single family homes. However, larger segments of the population will demand a different product — one that is in short supply at this point in time, relative to future demand. A few key statistics from the reports by Dr. Nelson and RCLCO include: • Demand for smaller homes on smaller lots and rentals will increase. With the aging population and a shift in preferences, larger segments of the population will want to live in more walkable, mixed-use communities with more housing and transportation options.

• The market is changing faster than we may be able to manage.

The Kansas City area does not have enough housing choices to supply the anticipated demand that will occur, and is already occurring.

Even if a larger share of new development and redevelopment supplies these types of places, demand will still likely outpace supply.

The researchers considered a number of factors in forming these conclusions. For example, RCLCO’s analysis is taken from a national survey provided for the National Association of Realtors that analyzed preferences for “smart growth” communities and customized for Kansas City. Dr. Nelson used a variety of sources to support his March 2013 / 5

conclusions.

MARC has begun sharing this information and hosting discussions so policymakers, developers and others can better understand how to respond.

A well-attended “Market Summit” was held in November 2012 to present th e i n f o r m a t i o n . The rep orts and presentations are available online at www.marc.org/sustainableplaces/ marketsummit.htm.

Defining Sustainable Development

Before diving into strategies and work plans to address changing market needs, the Creating Sustainable Place’s Coordinating Committee decided it was important to define what a sustainable place means in the Kansas City region, and create a set of guiding principles to act as the foundation for all program activities. These principles include: • Equity — Residents of all races, economic means and abilities are welcome and equipped to participate in all aspects of community life.

• Environment — The environment and our natural resources and assets are preserved, protected and restored.

• E c o n o m y — A c o m p e t i t i v e , robust economy is supported and promoted by fostering innovation, supporting quality education, and enhancing access to quality jobs.

• P l a c e s — S u s t a i n a b l e p l a c e s , wherever they occur, are vibrant, efficient and enduring, and are characterized by reinvestment, transportation and housing choices, development in corridors and activity centers, design for healthier lifestyles, preservation of unique community characteristics, and resource conservation and energy efficiency.

• P r o c e s s e s — Partn ers hip s are strengthened; all stakeholders are given the opportunity to be engaged; processes promote learning and

capacity for effective change; and decision-making maximizes environmental, economic and social benefits.

Tangible Benefits Of Sustainable Development

As work progressed, the Creating Sustainable Places' Coordinating Committee discovered that more sustainable development patterns can bring multiple benefits. Many stakeholders view sustainable development as a means to promote a few specific goals, whether environmental, social or economic.

But, this initiative has given us an opportunity to better understand many other tangible benefits worth consideration. These benefits include: • It Saves Money — More compact, durable and adaptable development, along with redevelopment in existing areas, will reduce the financial burden of building and maintaining additional public and private infrastructure.

• It Creates a Stronger Economy — By reducing energy and infrastructure costs, creating more vibrant markets, expanding the pool of qualified workers and fostering innovation, we create a stronger, more stable and more resilient economy.

• It Preserves and Enhances the Environment — By reducing emissions, managing stormwater, preserving natural areas and conserving resources, we create healthier, more resilient and more attractive places to live.

• It Fosters a Healthier Population — With more options for walking, biking and exercise, better access to healthy foods, and cleaner air and water, we will foster healthier lifestyles, reducing health care costs and stress on the health care system.

• It Promotes Stable, Enduring Neighborhoods — By encouraging

MIRMA

Missouri Intergovernmental Risk Management Association Phone: 573.817.2554 Web: www.mirma.org

Missouri’s First Municipal Self Insurance Pool

6 / March 2013

BENEFITS:

•

•

•

Emphasizing Social Equity

An important element of a sustainable region, and of all sustainable places, is that communities and institutions must be equitable, providing every member of the region with opportunities to live a prosperous, healthy life. While much of the focus in Creating Sustainable Places is on the physical nature of vibrant, green and connected places, it also is important to address how such places can be more equitable.

MARC forged partnerships with five local social equity organizations and a national organization, PolicyLink, to help engage underrepresented populations, apply social equity to sustainable development plans, and elevate the issue of social equity in the region. These equity partners created an “equity lens” and a process for applying

One comprehensive package!

Proactive loss prevention training On-site safety training Annual police firearms training Risk Management Grant Program Aquatic audit reimbursement Police accreditation reimbursement Seminars & workshops Video library

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compact, mixed-use centers and corridors, a systems-based approach to planning and inclusive public decision-making, we help support thriving, attractive, enduring neighborhoods.

It Expands Access — By improving access to jobs, education and basic services, and providing quality, affordable housing in all parts of the region, we can improve the quality of life and also help build a stronger, more competitive economy.

It Provides More Choices — By encouraging more housing choices and transportation options, and fostering the development of convenient, affordable places for people to live, work and play, we enhance the livability and attractiveness of our communities.

It Ensures a Thriving Future — With enduring and adaptable communities, and an innovative, resilient economy, we will help ensure that the region will provide a high quality of life for our children and grandchildren.

COVERAGE:

Workers’ Compensation Property General Liability Public Officials Liability Employment Practices Liability Law Enforcement Liability Automobile Boiler & Machinery Airport www.mocities.com

it to sustainable development planning work in order to foster a conversation about how such developments promote social equity. More information about the equity lens can be found online at www.marc.org/sustainableplaces/ socialequity.htm.

Lessons Learned And Next Steps

There are a number of other elements of the Creating Sustainable Places initiative aimed at advancing local planning efforts. These include tools, model codes, focused planning around activity centers and corridors, and other resources that will take shape over the next year. This initiative also has given us the opportunity to shift the regional conversation about development and transportation. Over the last two years, some of the key lessons learned and next steps include: There is a tremendous interest among local governments and other community leaders in understanding and communicating the benefits of sustainable development, and how to foster these places. We continue to have these discussions to see how this program can be best tailored to the Kansas City region and the

More than 120 stakeholders attended an event focusing on regional market and demographic shifts that will create demand for different development types that are in short supply in Kansas City.

communities within the region.

The regional development community is tracking many of these trends, but there is a real or perceived risk with building these types of places. Risks include getting financing and neighborhood acceptance of new development models. The Creating Sustainable Place’s Coordinating Committee is currently working to develop strategies aimed at reducing this risk. This is a part of an initiative to help communities be ready as markets change and the development community

becomes more interested in redevelopment and sustainable development.

Shifting the development paradigm in the region requires time and patience.

We will need continued momentum beyond this three-year program. We are currently working with key partners to develop strategies to ensure continuation of these efforts beyond the initial grant. ď ą For more information on the Creating Sustainable Places initiative, visit: www.marc. org/sustainableplaces.

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March 2013 / 7

WHAT THE NUMBERS TELL US: The Regional Market for Sustainable Development In fall 2012, Dr. Arthur C. Nelson, University of Utah, and Patrick Lynch, RCLCO, conducted a market analysis of demographic and lifestyle trends in Greater Kansas City and explored what the data means for the regional market for sustainable development. Some of the findings are summarized below, and the full report is available online at marc.org/sustainableplaces.

We are changing...

From 2010 to 2040, the Kansas City region will experience unprecedented growth, adding about 300,000 new households and demand for nearly 400,000 commercial buildings.

Conditions in

2010

Projected growth

vs.

2010–40

...and change affects market demand

60%

of residents would accept a smaller lot size if it also meant reducing their daily commute time from 40 to 20 minutes.

38%

of residents might trade their single-family detached home for a townhouse or apartment if they could live in a walkable neighborhood and have a shorter commute.

HOUSEHOLDS WITH CHILDREN

31% of 2010 households

13% of household growth, 2010–2040

MINORITY POPULATION

24% of 2010 population

80% of population growth, 2010–2040

APPROXIMATELY

323,000

PEAK EARNING HOUSEHOLDS (AGES 35–64)

82% of household growth 1990–2010

BY 2040, AT LEAST

8% of household growth 2010–2040

1/3

households in our region would like walkable access to fixed-rail transit.

of households will want the option to live in walkable communites with mixed-use development, urban amenities and transit options.

HOME OWNERSHIP

67.2% of 2010 households

51% of household growth, 2010–2040

Even if ALL housing units built between now and 2040 are in such communities, this level of demand will not be met.

SINGLE-PERSON HOUSEHOLDS

27% of 2010 households

8 / March 2013

54% of household growth, 2010–2040

What do you think about these numbers?

Join the conversation at

creatingsustainableplaces.com

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www.mocities.com

ENHANCING AND IMPROVING OVERLOOKED EVERYDAY NATURE

D

o Missourians need nature in their everyday lives? My answer is a strong “YES!” I certainly enjoy the shade of trees, the sound of a trickling stream, and the songs of birds in my everyday life. Many Missourians have a strong connection to nature with an abundance of plants, wildlife, access to natural area getaways, a statewide voice that promotes outdoor recreation, and a wise use of our abundant natural resources. While we all enjoy the ecological services and benefits (clean air and water) of the collective nature of the state, we benefit more often from the most locally available natural areas for intellectual, spiritual and physical betterment. This collection of nature is found in our local parks, neighborhoods, right of ways, property boundaries, and other overlooked and neglected landscapes.

These areas contribute more “nature” to our lives, but also are in the most need of intervention to improve aesthetic, functional, and ecological conditions.

This article will explore the importance of nature in our everyday lives and identify opportunities for improving some of our most used, but overlooked, natural areas. The concept of “green infrastructure” will be explored as a component much like any other city service as providing both functional and other auxiliary benefits. Examples

www.mocities.com

by Michael Garrett

of overlooked and neglected spaces are included from both within Missouri as well as outside the state as cases that both protect the resource and provide improvements to their respective communities. Finally, several means to improve natural areas within Missouri communities will be identified.

Distribution Of Resources

Missouri has more than 14 million acres of forest land throughout the state. The vast majority (85 percent) of which is held by private landowners.

The remainder of this is federal (12 percent), state, regional and local government property (3 percent). Of the federal property, most of it is concentrated in the Mark Twain National Forest in Missouri’s southern counties. State properties are scattered throughout Missouri and owned by the Missouri Department of Conservation, Missouri Department of Natural Resources and others. So when we look at the distribution of the numbers in relation to people, location and potential outdoor recreation opportunities, the vast majority of people throughout the state are utilizing the largest portions of the land for a relatively small percentage of their outdoor pursuits. Weekend and vacation activities such as bike rides along the Katy Trail, float trips down the Current River, and hiking, fishing and hunting on public property all

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fall under this category. On the other hand, a very small percentage of the total forest-land properties are utilized for “everyday” outdoor recreational pursuits. This would include strolling through a local neighborhood, picnicking at a local park, or staring out a foggy window looking for the first spring flowers in the early spring months of March and April.

It would also be a fair assumption that the general public concentrates their everyday outdoor recreation activities on a small percentage of total available public lands. One would hope that, since these lands are the most utilized, they would be the most ecologically tended and respected parcels of property. This couldn’t be farther from the truth. More often natural areas and the spaces between properties are impacted greatly by stormwater runoff, soil compaction, invasion by aggressive non-native plant species, use of chemicals, ice-melting salts, and numerous other problems that are the indirect consequences of urbanization. But they need not be the concluding state.

With a little forethought, planning, execution and the necessary follow-up care, the marginal, overlooked and underutilized lands can be attractive and productive while offering a capacity to inspire and educate all on the natural history of our great state.

March 2013 / 9

Highland Lakes Homeowners Association, Highland Park, Ill.

require less water and no supplemental irrigation once established. Much like people that come together to form communities, native plants come together to form plant communities. Native plant communities compete well with one another and don’t crowd each other out. They also complement each other as they interact with surrounding animal life.

By thinking about natural systems as integral to managing stormwater, St. Peters is able to reap additional benefits from its green infrastructure such as providing habitat and establishing corridors for wildlife, increase opportunities for passive recreation like bird watching and nature observation, and improved active recreational opportunities such as walking and biking trails adjacent to natural areas.

Lakewood Springs, Plano, Ill. Green Infrastructure

The Missouri Department of Natural Resources defines green infrastructure as the “vegetation, soils and natural processes to manage water and create healthier urban environments.

At the scale of a city or county, green infrastructure refers to the patchwork of natural areas that provides habitat, flood protection, cleaner air and cleaner water. At the scale of a neighborhood or site, green infrastructure refers to stormwater management systems designed to mimic nature by soaking up and storing water.” The Environmental Protection Agencies goes a bit further and adds: “By weaving natural processes into the built environment, green infrastructure provides not only stormwater management, but also flood mitigation, air quality management and much more.”

In a broader, more encompassing concept green infrastructure is a term used to highlight the importance of natural ecological life-supporting systems as integral to sustaining a healthy community. What’s good for nature is good for people. Pulling a double-duty shift of both managing stormwater and providing auxiliary benefits such as expanding outdoor recreation opportunities, open space or improving a conservation area can also be a great way to extend a budget while building a stronger community.

Many communities are finding green infrastructure to be an important part of their agenda for community

10 / March 2013

development. The following examples of space were once neglected or utilized only for a singular purpose. By adopting good ecological management principals, they were able to achieve the double-duty task of managing the resource while extending community uses.

City Of St. Peters

The city of St. Peters, Mo., has made many alterations and substantial improvements to its stormwater management systems and green infrastructure in the last several years. The City has included vegetation management along riparian and stormwater channels to control invasive plants and debris that can clog pipes, implemented native plant restoration work on detention basins and channels to protect against erosion, and increased the use of native plantings to improve water quality, improve infiltration and to decrease long-term maintenance needs.

Drainage areas often collect a lot of undesirable vegetation such as Amur Honeysuckle (Lonicera makaii), Johnson Grass (Sorghum halepense), and Japanese Hops (Humulus japonicus). This vegetation must be removed by a combination of hand pulling and cutting with herbicide applications. Desirable plants such as native grasses, sedges and forbs (flowering broadleaf plants) can then be encouraged to grow in place of the aggressive invasives. Native plants are great partners when it comes to protecting streambanks and channel slopes.

They have a deep fibrous root system, The Missouri Municipal Review

The developer of Lakewood Springs decided to utilize a large bioswale through the center of their development to transport stormwater through the site as part of their stormwater management strategy. Bioswales, when planted with native plants, slow stormwater runoff allowing it to percolate into the soil. This filters and cools stormwater, reduces downstream flooding and recharges aquifers. The root system of native plants is an extensive network of tiny sponges that store water and secure soil, reducing the risk of erosion and flooding. The use of the green infrastructure here in the form of a bioswale was also preferred compared to a traditional grey infrastructure of concrete pipes and sewers that would have been more expensive to build and would do little to solve environmental water quality or reduce stormwater volume discharge.

When the installation was first completed at Lakewood Springs, it was poorly seeded by the general contractor and had no stewardship plan to ensure long-term success of the native plant community. The bioswale was thus overrun by highly invasive species and had significant sediment buildup and erosion problems. Residents were generally unhappy with the look and functionality of the feature.

A new contract with a qualified contractor brought significant changes to the bioswale. The management plan brought new ideas on how to improve the look and functionality of the plantings and restore the confidence of the residents. www.mocities.com

The renovation of the bioswale consisted of installing 20 pounds of native plant seed per acre with a Truax® native seed drill. Installation was followed by intense stewardship that included mowing, hand pulling weeds and herbicide treatments. The planting has since matured into a very diverse natural area with species such as Rattlesnake Master (Eryngium yuccifolium), Canada Milkvetch (Astragalus Canadensis) and Hoary Vervain (Verbena stricta).

The area is no longer seen as a “ditch” and a byproduct of the development, but as an asset to the community and a haven for birds and butterflies – good for people and the environment!

Humphrey Woods, Orland Park, Ill.

John Humphrey Woods is a cityowned woodland park in the village of Orland Park, a suburb of Chicago, Illinois. The park is surrounded by residential housing, corporate campuses and baseball fields. This woodland was once overgrown and choked out with highly invasive plants such as European Buckthorn (Rhamnus cathartica), Honeysuckle (Lonicera speciosa), and Garlic Mustard (Alliaria petiolata). The weeds were so dense and the canopy so thick that no light was able to reach the forest floor. Because of the weeds, there were no woodland wildflowers or other herbaceous plants. A management strategy was put in place to physically cut and treat the undesirable invasive plants and open up the forest canopy.

Since 1999, this woodland also

has had continual prescribed burns to maintain a cleared sunlit atmosphere for park visitors. The results of the management efforts brought back numerous species of plant life such as Wild Hyacinth (Camassia scilloides), Hispid Buttercup (Ranunculus hispidus), Woodland Sunflower (Helianthus divarticus), Nodding Wild Onion (Allium cernuum) and Joe Pye Weed (Eupatorium maculatum).

Bur Oak (Quercus macrocarpa) seedlings stimulated by the continual fire also have returned; they are by far one of the most long-lived species of Oaks in the area and a rich source of acorn mast

Once an expanse of unused space, this area now sits on a network of pedestrian trails, connecting the community to restored natural areas.

www.mocities.com

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and forage for desirable wildlife.

This area now not only supports and attracts wildlife, but also more people! It is no longer an unmanaged woodland overcrowded by weeds, but a destination for the residents around the community flourishing with life.

Highland Lakes Homeowners Association

The Highland Lakes Homeowners Association stormwater management plan is not unique; it relies on a system of wet detention ponds to manage stormwater runoff from the surrounding neighborhood. What is unique about this project is the use of a shoreline planted with a variety of native plants that anchor the soil, filter runoff, manage excess nutrients in the water, as well as provide the auxiliary benefits of habitat with enhanced aesthetic and passive outdoor recreation opportunities.

Prior to restoration, two detention basins on Highland Lakes property were experiencing various degrees of erosion, particularly where turf grass was the primary vegetation cover. In some areas, the ground began to slough off and slide into the ponds. A small portion of the ponds had been reinforced with riprap and a retaining wall.

The water quality became poor and was chemically treated several times throughout the spring and summer to keep algae blooms under control. Invasive plant species were present such March 2013 / 11

as Reed Canary Grass (Phalaris arundinacea) and Purple Loosestrife (Lythrum salicaria) that prevented the establishment of deep-rooted native plants.

Carp and Canada Geese also caused suspension of pollutants, nutrients and sediments. An ecological restoration team was able to solve these problems and improve the general aesthetic for neighborhood residents.

After installing native seed and plugs along the shoreline, a long-term stewardship plan was implemented to control invasive species comprised of selective herbicide treatments, handpulling and prescribed fire.

After the second year of maturity, water quality had improved greatly.

The native plants have stabilized the eroded areas and now act as filters to manage excess nutrients. Canada geese no longer call these lakes home. What was once an expanse of unused space, is now a migratory habitat from Skokie River that sits on a network of pedestrian trails, connecting the community to restored natural areas.

Getting The Work Done

Many green infrastructure opportunities already exist in and around our cities and towns throughout the state.

Properly managed natural areas gener-

ate clean air, water, provide habitat for wildlife, and a place for young and old alike to learn, explore and relax.

They can be improved by developing goals, inviting the public to participate and finding qualified personnel to form a team.

Numerous non-governmental organizations exist around the state and are always looking for “outdoor” restoration projects to work on. Bird enthusiasts, stream clean-up teams and youth organizations can be valuable allies in improving an environmental project. Restoration activities could include day honeysuckle removal activities, establishing native plants in the form of direct seeding or plugs, and trash and debris removal.

Many qualified contractors also provide these services on a professional level throughout the state. Many of these firms can assist in all phases of a project from design to installation to ongoing stewardship.

Other organizations such as the Missouri Department of Natural Resources have grants available to assist in the development of “green infrastructure.” Nonpoint Source Implementation 319 Grants, available from the Environmental Protection Agency and Missouri Department of Natural Resources,

have been instrumental in funding and providing technical support to projects that improve water quality and lessen the impact of urbanization on our ecological resources. The Missouri Department of Conservation (MDC) also has numerous highly qualified individuals that can assist in project research and funding. The MDC has many cost share and grant programs available for use in a variety of municipal and neighborhood efforts.

Green infrastructure works, but not without careful study of the landscape, planning, precise execution, and most importantly stewardship. Added benefits of utilizing green infrastructure can both manage the resource while proving auxiliary community benefits. Everyone needs clean air and water. Why not utilize our marginal, overlooked, underutilized lands, and our “everyday nature” to provide it? Michael Garrett lives in Webster Groves, Mo., with his wife Sarah and daughter Carsen. Michael works for Pizzo & Associates, Ltd,. a leading ecological contractor that specializes in the installation and stewardship of native plant communities and their application in a variety of uses from ecological restoration, to green infrastructure, to conventional gardening. He can be reached at mikeg@pizzo.info.

Above and Right: This bioswale is now seeded with native plants.

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Preparing for Electric Vehicles: How Missouri Communities Can Get Ready

by Luke Hagedorn

T

here is no doubt about it.

Electric vehicles are on the way. In his 2011 State of the Union address, President Obama put forth a firm challenge for the U.S. automotive industry when he called for the United States to “become the first country to have a million electric vehicles on the road by 2015.”

Though President Obama’s goal of 1 million electric vehicles (EVs) by 2015 is probably overly optimistic, there are signs that the EV market in the United States is gaining momentum. In the span of one year, the market for EVs tripled from approximately 17,500 EVs sold in 2011, to approximately 53,000 new EVs in 2012. This growth is particularly impressive when you consider that the most mainstream EV offerings such as the Chevrolet Volt, Nissan Leaf, and Toyota Prius Plug-in Hybrid have often been available in limited quantities in major markets. Additionally, it is unlikely that the market penetration of EVs will continue to grow at a slow, incremental pace. Instead, it is likely that the number of EVs on the nation’s highways will increase dramatically as consumers become more exposed to EV technology and manufacturers release a broader selection of makes and models that appeal to a wider range of consumers.

Being the Show-Me State, it is perhaps unsurprising that many Missouri communities have delayed planning the local infrastructure and procedural processes that will be necessary to support widespread EV adoption. Fortunately, in 2011 the U.S. Department of Energy awarded a grant to the Metropolitan Energy Center in Kansas City, Mo., to produce a regional plan that can be implemented by municipalities in Kansas and Missouri to prepare public www.mocities.com

resources and secure the economic and environmental benefits of EVs. This plan, that will be accessible at www. electrifyheartland.org, compiles expert analysis from EV industry participants, local communities and public utilities.

Subject matter experts such as Black & Veatch and the law firm of Polsinelli Shughart provide guidance to communities that are seeking to lay the foundation for widespread EV adoption.

Among the numerous findings detailed in the plan, Missouri communities should perhaps benefit the most from the discussion of the unique planning and regulatory efforts that will likely be required to accommodate EV adoption. While at face value, EV usage may not appear to require much attention, local governments should strongly consider taking the following steps before EVs start appearing on city streets:

•

• F i r s t , a n e s t i m a t e should be prepared of exactly how many EVs might be purchased in the community in order to get a sense of the scope and timing of the planning efforts that should be undertaken.

• Second, the municipality should examine its existing building codes to determine what standards should be applied to the installation of EV charging stations in residential and non-residential settings.

• Third, the municipality should examine its current electrical permitting and inspection process to determine how it will ensure that EV charging station installations are conducted in a safe and reliable manner, without unduly burdening either the installers or the permitting office.

Finally, the municipality should examine its existing parking and signage ordinances to determine how it will treat parking spots with electrical vehicle charging stations.

Projections For Missouri EV Adoption

When talking about long-term national goals, it can be easy to lose perspective on local impacts. If the United States were to reach its goal of 1 million EVs on the road, how many EVs could be expected in the average community in Missouri?

Figure 1

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March 2013 / 13

Based upon motor vehicle registration data gathered by the U.S. Federal Highway Administration, Missouri had a total of just over 5 million vehicles registered in the state in 2011, or roughly eight vehicles for every 10 persons in the state. As Figure 1 below illustrates, assuming that the 1,000,000 nation-wide EVs are distributed proportionally with population among the states, Missouri could expect a total of just over 20,500 EVs, or about one EV for every 300 persons in the state. For a community of 10,000 people, this equals roughly 34 EVs, or roughly 340 EVs for a community of 100,000 (see Figure 1).

Of course, the real challenge for municipal governments lies not in the vehicles themselves, but with the infrastructure necessary to charge the vehicles, known as Electric Vehicle Supply Equipment (EVSE) or simply “charging stations.”

It is probably safe to assume that every person who purchases an EV also will purchase a charging station for their home so they will be able to charge their vehicles overnight. Additional charging stations will likely be installed by local businesses, by potential third-party suppliers of electricity, and by the municipalities themselves.

Taking these additional charging stations into account, it can be estimated that roughly 1.5 charging stations will need to be permitted, installed and inspected for every EV located within a community. Figure 2 below extrapolates this estimate across the state to show the projected number of charging stations that will be required (see Figure 2).

Updating Building Codes To Address Charging Stations

Once local planners have a sense of how many EVs can be expected in their jurisdiction, the question raised is what changes should be made in the local ordinances and policies to accommodate this influx of new vehicles and charging stations. Because there is no statewide authority for building codes in Missouri, it will be necessary for local communities to review their building codes to ensure that EV charging stations will be safely integrated into new and existing structures. As with any revisions of building codes, the main goal of the process is to incorporate as much flexibility as possible while maintaining the highest level of safety.

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Specifically, there are a number of revisions that communities can make to their building codes that will significantly improve the processing time and effectiveness of their planning efforts for EV charging stations. A few are described below: To ensure safe and up-to-date practices are utilized during installations, adopt the most current version of the National Electrical Code (NEC), or at least Article 625 of the NEC that includes best practices for wiring methods, equipment construction, control and protection, and equipment locations for EV charging stations.

Require all new, reconstruction and renovation building projects to ensure that the electrical room and all conduits leading to the electrical room in new multi-unit, commercial or industrial developments are appropriately sized to accommodate future electrical equipment necessary for charging stations, as well as the voltage and amperage capabilities of the accompanying infrastructure.

Require that all newly permitted construction or renovation projects install sufficient conduits, junction boxes, wall space, electrical panels and circuitry capacity in locations that could potentially serve EVSE sites in the future, such as garages and parking facilities.

Update Electric Permitting Ordinances To Address Charging Station Installations

For most municipalities across Missouri, the primary logistical hurdle for EV adoption is how to design a permitting and inspection process for EV charging stations that will allow for safe and reliable installations without unduly burdening the administrative staff.

Currently, when faced with an electrical permit for the installation of an EV

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charging station, most municipalities’ default position is to either follow the pre-established procedure for miscellaneous electrical permits or fail to permit the installations at all. Both scenarios present unsatisfactory results and fail to consider the particular complexities of installing an EV charger. This puts the public confidence in EVs and EVSE at risk unnecessarily.

When designing these inspection programs, one of the easiest ways to minimize the administrative burden while efficiently allocating resources is to recognize the fact that communities will face a wide spectrum of potential scenarios for charging station permits, and there is no single permitting process that would be appropriate for all occasions. For example, significantly less regulatory scrutiny will be needed for installation of a small charging system in a residence than would be required for a large commercial entity that wants to install numerous charging stations for use by customers and employees. As discussed more thoroughly below, in order to accommodate these different needs and allocate resources appropriately, many communities across the country are adopting a multitiered process that applies different levels of scrutiny to projects based upon the project’s complexity.

Single-Family Residential Installations

By far the easiest EV charging alternative for most consumers is to utilize an existing 120-volt outlet located in the garage. Obviously, in these cases an electrical upgrade is not required, so no permit is needed. In cases where a dedicated 120V or 240V receptacle and circuit is desired for a charging station, a minor electrical permit likely needs to be issued, though it can easily be handled under the city’s existing permitting requirements.

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However, in cases where the resident’s existing electrical panel cannot safely meet the increased electricity needs, then an additional permit will be required in order to either upgrade the electrical panel or install a new panel and meter. In order to gather all of the information needed to properly assess the safety of the installation, many municipalities across the country are adopting a stand-alone permitting form for these installations. Often, these permits are based in large part upon a form permit application that has been prepared by the U.S. Department of Energy’s Alternative Fuels and Advanced Vehicles Data Center, available at http:// www.afdc.energy.gov/pdfs/EV_charging_template.pdf.

Beyond adopting a specialized stand-alone permit, there are other steps that a community can take to streamline the permitting process. For example, if the non-minor permit application has been submitted by a certified electrician that has received training in the installation of EV charging stations from a nationally-recognized training program, the local government can have some comfort that the installation is safe and therefore can adopt less stringent inspection processes, such as inspecting one out of 10 installations or foregoing inspections altogether. Where the installation was conducted by an electrician that has not been trained in EVSE, then many local governments have made it a priority to inspect the projects as soon as possible. For example, many municipalities across the country have committed to conducting inspections within 24 hours of the installation of the charging station equipment.

Large Single-Family Residential, Multi-Family Residential And Commercial Installations

While small single-family residence installations likely present relatively few safety risks, charger installations in larger settings can be significantly more complex and thus require more oversight from local permitting bodies. As an example, compare the installation of a new 120V / 1.8 kilowatt outlet in a residential garage to the installation of 10 quick-charge stations outside of a movie theater or grocery store, each of which are capable of handling 240V and up to 20 kilowatts of electricity. For these more complex projects, communities should consider requiring applicants to fill-out a specialized permit and provide more scrutiny to these types of installations.

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Water Wastewater Stormwater Highways Streets Bridges Structural Health Care Mechanical Electrical Engineering Design Solutions Plumbing Since 1933 Fire Protection GIS/Mapping Construction Engineering EV Signage And Parking Marking Plans

T houg h we seldom st op and think about their impact, street signs can serve three important functions to facilitate the adoption of EVs in a community. First and most obviously, they can direct EV drivers to the nearest public charging stations. Second, they serve to educate non-EV drivers about the availability of charging stations, and thus promote confidence that, should they decide to purchase an EV, there will always be a charging station readily available. Finally, they can publicize premium reserved parking spots, should the government choose to utilize the parking locations as an incentive for EV drivers.

Given the potential importance of signage to the public’s perception of EVs, it is perhaps not surprising that a significant amount of debate has occurred at the national level regarding the adoption of a uniform standard for EV charging station signs. Currently, roadway signage is regulated by the U.S. Department of Transportation, Federal Highway Administration (FHWA). Specifically, approved signage requirements are contained within the “Manual of Uniform Traffic Control Devices” (MUTCD).

In its current form, the MUTCD does not contain any requirements for EVSE signage. However, there is a process by which state transportation agencies may submit a request for so-

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Figure 3: FHWA-approved EV Signage

called “experimental” signage. If approved, the experimental signs may be used within the state subject to certain requirements and restrictions. By way of example, in 2011, the Departments of Transportation for the States of Washington and Oregon submitted a request for the FHWA to consider an EV Charging General Service symbol, displayed as Figure 3 below. The FHWA granted those states an interim approval to use the signs to designate charging station locations.

In order to promote consistency, Missouri communities should seriously consider adopting this FHWAapproved signage, and encourage the Missouri Department of Transportation to submit a request and obtain approval from the FHWA to utilize the symbols in the state. These symbols have already been thoroughly evaluated by the FHWA and were found to be highly

March 2013 / 15

visible and comprehensible by a large segment of the population. Additionally, adopting a symbol that is being utilized in other jurisdictions across the country increases the effectiveness of the symbols by promoting uniformity and recognizability.

While the FHWA approval process is being pursued, local communities also can begin to present this signage as an option for local businesses to utilize on private property, similar to what many businesses use currently for “Pregnant Mother” parking spaces.

Of course, such signage would be unofficial and entirely without the force of law, but its adoption would signal that the business recognizes and supports the needs of its EV-driving clientele.

Incentives Or Penalties For EV Charging Station Parking

Finally, once the stations are installed and the signs are put up, public and private parking facility owners will need to determine whether, and to what extent, such signs will be enforced.

In Missouri, the enforcement of street signs on public property is currently a prerogative of local governments, and thus each community will need to determine the level of enforcement that is appropriate for its populace. However, when setting these enforcement policies, it is important that communities carefully weigh several competing interests. First, during the early years of EV adoption, parking spots with EV charging stations may be vacant for large periods of time. It is possible that a negative sentiment could develop if these spots are located in high-traffic areas and parking by nonEVs is prohibited and strictly enforced.

On the other hand, the availability of these charging locations is critically important for fostering range confidence for EV drivers.

To successfully balance these concerns, local communities might consider promoting the placement of

16 / March 2013

EVSE in locations that are convenient and accessible, but not necessarily in the most desired or prominent parking locations. Additionally, if the community is considering adopting punitive actions for non-EVs parked in an EV spot, the community might consider foregoing enforcement of those penalties until the level of EV adoption in the community is strong enough to ensure that the spots are filled a significant amount of the time.

Proper Planning Will Lead To A Smooth Transition To EVs

There is no doubt about it, EVs are on the way. By taking a few relatively

minor steps to prepare for this influx of new vehicles and the infrastructure needed to support those vehicles, local communities will be able to minimize logistical and administrative burdens and ensure that local residents across the state are able to enjoy their new vehicles safely. Luke Hagedorn is a regulatory and transactional attorney in the Energy Practice Group at Polsinelli Shughart. He represents a wide range of companies in the various energy industries, and recently served on the Steering Committee for Electrify Heartland, a DOE-funded planning project of the Metropolitan Energy Center tasked with evaluating the Kansas and Missouri region’s readiness for electric vehicles and charging station infrastructure.

How Do You Follow MML? @MoCities

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City Profile

NEW FULTON POLICE STATION

W

alking inside the Fulton Police Department’s old station at 510 Market Street often felt like you were navigating through an obstacle course. One never knew when they would reach a blind corner, a narrow hallway or a leaking ceiling. Those days are finally over after the city of Fulton opened a new police station in August 2012. The police department now has all of the security and technology features that are necessary for a 21st century law enforcement facility. And the City was able to accomplish this without spending several million dollars on a brand new building.

In July of 2011, the Fulton City Council agreed to purchase the former headquarters of Callaway Electric Cooperative (CEC), located at the intersection of Business 54 South and Churchill Road, for $925,000.

The 18,000 square-foot facility, built in 1990, gives the police department approximately 8,000 square feet more useful space than its former downtown home.

“The police officers were working in a very crowded situation and were not able to spread out and do things like they need to do,” said Fulton’s Mayor LeRoy Benton. “The new station allows them to operate more efficiently and not feel like they are on top of each other. It just gives them a better work environment.”

While the former CEC headquarters already had offices and conference rooms in place, it was far from being ready to operate as a police station. Bulletproof glass, doors and walls had to be added in the lobby.

Brand new concrete holding cells needed to be poured for both adults and juveniles. A video surveillance system that monitors the outside and the processing area was installed. All were vast improvements from what the department had.

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by Darin Wernig “We actually have concrete holding cells, where in the old building we had dry wall and we were repairing that quite often,” said Fulton’s Police Chief Steve Myers.

“We can watch the entire perimeter of this building. We have the latest audio and video recording devices in our interview rooms, so all of our interviews are recorded.”

The renovations also meant extra business for a couple Fulton-based companies. Rhad Baker Construction served as the general contractor after submitting the lowest bid for the project, while Mid America Precast provided precast concrete for the holding cells.

Plans for a new home for the police department go back about a decade. Adjacent property had been purchased next to the Market Street station, with the expectation that a new structure would be built there. But estimates for a new facility came in at a minimum $4 million, which was more than the City could budget for in the near future.

“We had scheduled for the new police department to be built in 2020 at the earliest,” said Fulton’s Director of Administration Bill Johnson.

“Our priority at that point was to replace our city warehouse complex

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where our utilities and public works departments are located,” Benton said. “Then after that, address the police station.”

The CEC building had been sitting vacant since 2009 when the utility moved to a new site in Fulton. It didn’t take long for city officials to consider the property ideal for a new police station. Still, it had to be at a price that was beneficial for the City.

“We did show some interest in the Callaway Electric building at the time, but the price was prohibitive,” said Johnson. “Then after it sat vacant for probably another year, Callaway softened on their price and appeared to be more negotiable. We were able to negotiate a price that was satisfactory to both parties.”

Perhaps the most important safety feature is the sally port on the building’s north side. It allows officers to bring suspects in for booking without being exposed to the public and creating situations that might be out of police officer’s control. The main entrance to the old Market Street facility opened right onto a city sidewalk.

“Many times when the officer would get to the old station with an arrest and there would be people lined up on the sidewalk that the officers had to get the suspect through,” said Myers.

“It was a very dangerous situation.”

Fulton’s police department had been in its former headquarters since 1968. Until a new City Hall opened in March 2013 / 17

2002, the former building also housed the city council chamber that reduced the possible office space available for the department. Renovations and rehabilitation efforts were made during the past decade, although they were essentially nothing more than a bandage.

“The building itself was in pretty bad shape,” said Police Chief Steve Myers. "It was too small for us. We’ve grown.”

“Soon after becoming mayor, we were visiting a number of our existing facilities and, after some discussion with Chief Myers, it was pretty obvious that our building needed to be replaced,” said Benton.

Finding an existing building to adequately fit an organization’s needs, such as a police department, might not be easy, especially in a city the size of Fulton (population 12,790). Still, it’s an option that Fulton officials feel should be taken as it can offer great savings to taxpayers.

“There are some strong advantages into purchasing a building that has already been constructed,” said Johnson. “The main one is – it’s done.

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It’s going to be much faster making it ready for use.”

“This was a unique building that we could see would meet our needs,” Benton said. “It was reasonably priced … , and the citizens should be pleased that we didn’t have to spend $4 million.”

Now the police force has a much more modern facility that should satisfy its needs for many more decades to come.

Johnson said, “I think it will be a good home for the city of Fulton Police Department for 50 to 100 years.”

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Darin Wernig serves as the public information officer for the city of Fulton, and is a 2001 graduate of the University of Missouri School of Journalism.

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Environmental Protection Agency

resources The EPA offers many free resources concerning water, waste, recycling, brownfields, green living and other issues impacting local governments.

Planning For Sustainability Planning for Sustainability: A Handbook for Water and Wastewater Utilities can help water utilities build sustainability considerations into their planning.

The comprehensive handbook provides guidance so that water infrastructure projects, including those funded through the state revolving fund programs, are sustainable and support the long-term sustainability of the communities these utilities serve.

The handbook describes four core elements where utilities can explicitly build sustainability considerations into their existing planning processes. Each element contains relevant examples from utilities around the country and other implementation tips for utilities to consider. Get the handbook at 1.usa.gov/Pwcesw.

Fact Sheet On Ground Water Rule C ompliance

Guide To R egulations For Surface Water Systems EPA’s “plain-English” guide provides an overview of the Surface Water Treatment Rules’ requirements as well as attachments that provide a detailed description of the rule requirements for water systems according to system size and filtration status. Find the guide at water.epa.gov/lawsregs/ rulesregs/sdwa/swtr/upload/ SWTRPlainEnglishGuideFinal.pdf.

H elp For Communicating With The P ublic In A n Emergency EPA offers a resource to help water and wastewater professionals prepare for communication during and after an emergency situation.

The report identifies the most important elements the public wants and needs to know and highlights some of the common challenges in managing public perception. Get the report at 1.usa.gov/T1FJbO.

EPA’s guidance document on the Ground Water Rule provides a simple and straightforward description of the rule, critical deadlines and requirements for drinking water systems, and information on monitoring requirements. Find the fact sheet at 1.usa.gov/PWJRWD.

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Green Infrastructure Website The website is a one-stop shop for resources on green infrastructure for municipalities, developers and the general public. Green infrastructure uses vegetation, soils and natural processes to manage water and create healthier urban environments.

The site offers publications and tools developed by EPA, state and local governments, the private sector, nonprofit organizations and academic institutions. It provides access to the latest research developed by the EPA’s Office of Research and Development.

Visit 1.usa.gov/RcwWiX. D rinking Water Advisory Communication Toolbox The drinking water advisory communication toolbox provides a protocol and practical guide for communicating with stakeholders and the public about water advisories. The toolbox addresses the spectrum of situations that generate drinking water advisories.

1.usa.gov/UFCRgJ. Reprinted with permission from the Municipal Association of South Carolina.

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March 2013 / 19

SEASONAL INFLUENZA AND IMMUNIZATIONS IN THE WORKPLACE

by Dave Rexroat

An Important Employee Benefit – Are You Taking Advantage Of It?

Influenza has been all over the news this season.

Reported cases spiked right around the 1st of January and some of the strains this year have been particularly virulent.

Some health organizations are concerned we could see a second spike in cases later this season.

Influenza can be expensive – in terms of claim costs, lost work time and productivity. In fact, the Bureau of Labor Statistics estimates that approximately $10.4 billion is spent every year on flu-related hospitalizations and outpatient visits. In addition to direct costs, studies that show the impact of flu on productivity found that employees who became ill with the flu miss an average of three workdays.

What to do?

IMMUNIZE. In a very comprehensive study, “The New England Journal of Medicine” reported that workforces that received a flu vaccination saw a 25 percent decrease in upper respiratory infections, 43 percent decrease in absenteeism and 44 percent decrease in medical visits¹.

What Is The Most Cost Effective Way To Immunize Your Workforce?

Numerous studies have been done to analyze the most cost-effective way to reduce costs related to seasonal flu.

The least effective is not to immunize.

While this appears to be intuitive, the truth is that over time, there will be years that the cost to immunize your population was actually more than the costs related to the illness. However, over every 10-year period analyzed, inaction is the least cost-effective approach.

With the advent of the Affordable Care Act, all new insurance policies and the vast majority of existing policies

20 / March 2013

entry and Humana also offer on-site clinics. There are some participation minimums – usually 25 – 40 shots, but if you can meet that threshold, setting up a clinic is your most cost-effective approach to immunizing your workforce.

Making Your Flu Clinic/ Flu Shot Promotion Successful

With the advent of the Affordable Care Act, all new insurance policies and the vast majority of existing policies cover the flu shot 100 percent. cover the flu shot 100 percent, not subject to co-pays or deductibles. The three main ways to offer immunizations are: • On-site, employer-sponsored flu clinic(s) • Employees visiting their local pharmacy for the shot, or • Employees visiting their family physician to receive the shot.

An on-site clinic is the most costeffective alternative². It is convenient for employees, there is usually very little disruption in workflow and the shot is covered under insurance contracts.

Starting with the 2013-14 season, Anthem Blue Cross Blue Shield will begin providing on-site clinics for their customers. Blue Cross Blue Shield of Kansas City, United Healthcare, CovThe Missouri Municipal Review

Maximizing the reach and effectiveness of your clinic is important. You should expect your immunizer to provide you with communication pieces, sample flyers and sample emails that you can use to announce your clinic date(s) and time(s). It also is important to provide some facts to employees about the flu, and debunk some myths. Below, are some common misconceptions about the flu and the flu vaccine.

Myths And Facts About The Flu Myth: The flu vaccine can give me the flu.

This is false. Injectable flu vaccine uses dead virus and according to Dr. William Schaffner, chair of preventive medicine at Vanderbilt University Medical Center in Nashville, Tenn., “is made up of only parts of the flu virus, so it cannot in any way give you the flu." One reason that this myth persists is that flu vaccine causes a brief fever in about 1 percent of recipients, that leads some to worry that they are actually getting the flu after getting the vaccine.

But “these are very transient and rare reactions,” according to Schaffner, and do not indicate that the patient has the flu. Another issue is that it can take two or more weeks for the vaccine to cause the buildup of enough antibodies in the body to become effective, “so it is quite possible to get the flu soon after getting vaccinated, which could lead to this misunderstanding,” said John Barry, author of The Great Influenza.

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Rock.

Hard place.

As water and wastewater problems grow, our local communities are getting squeezed: capital improvement projects technical challenges shortages of licensed personnel government regulations revenue shortfalls. Missouri’s own Alliance Water Resources is a national leader in solving exactly these problems.

If you can check any of these boxes, call (573) 874-8080 or visit www.alliancewater.com View Project Profiles at www.alliancewater.com

Myth: The Flu Vaccine is dangerous, particularly for pregnant women.

This is false. The flu vaccine is given in the hundreds of millions of doses every year and is “extraordinarily safe,” Schaffner says. Fears about the use of the flu vaccine by pregnant women stem from past generations, when women were advised against getting any vaccine while pregnant, said Dr. Greg Poland, director of the Vaccine Research Group at the Mayo Clinic in Rochester, Minn. Today, the injectable vaccine is only parts of the virus, and there is no risk of getting the flu from it. Getting the flu and the high fever that accompanies it is much more of a concern for pregnant women, because high fever in the early stages of pregnancy can lead to certain neurologic brain defects in the baby. Hence, preventing flu infection with vaccination and getting early treatment is of the utmost importance for pregnant women.

Myth: Getting the vaccine will completely protect from getting the flu.

This is also false. While vaccination is the single most effective way to keep from getting the flu, it is only about 59 percent effective, according to the CDC³. This is because influenza is a virus that constantly mutates. The CDC, along with other world health organizations, choose the strains each year that they anticipate will be the most common in our hemisphere and then enlist manufacturers to develop the vaccine. The vaccine the last few years provided immunization for three different strains of the flu. These strains can and do change, so annual vaccination is important to build immunity to those strains anticipated for that specific year. www.mocities.com

Conclusion

The best thing you can do to have a healthy and productive workforce is to promote seasonal flu vaccination every year. Educate your workforce on the facts and myths related to the virus.

And set up your flu clinic!

Dave Rexroat is the president of Employer Wellness Solutions. His company advises groups on wellness topics including immunizations. He can be reached at 913-948-8601 or dave@ewskc. com.

References: ¹New England Journal of Medicine, Vol 333, October 5, 1995 ²American Journal of Medicine, Vol 118, No 1, January 2005 ³http://www.cdc.gov/flu/about/season/fluseason-2012-2013.htm

The Missouri Municipal Review

March 2013 / 21

TREATMENT OF SEASONAL EMPLOYEES UNDER HEALTH CARE REFORM

M

any employers rely on seasonal workers – over the holidays, during the summer or for a harvest season. How does the Affordable Care Act (ACA) apply to these seasonal employees?

For instance, should these employees be counted in determining whether an employer is large enough to be subject to the ACA’s “play or pay” mandate? Assuming an employer is subject to this mandate, how do seasonal employees affect the penalties the employer might have to pay?

Overview Of “Play Or Pay” Rules

Starting in 2014, a “large employer” (generally defined as an employer having 50 or more full-time employees) could face a monthly penalty equal to 1/12 of $2,000 for each full-time employee (in excess of 30) if it fails to offer at least 95 percent of its full-time employees (and their children under age 26) at least a minimal level of health coverage.

22 / March 2013

by Kenneth A. Mason Moreover, even if an employer avoids this penalty by making an appropriate offer of health coverage, it could still face a monthly penalty equal to 1/12 of $3,000 for any fulltime employee who (1) is eligible for a federal tax credit to purchase coverage through a state-based “exchange,” and (2) declines the employer’s offer of health coverage in favor of the exchange-provided coverage. In order to avoid this penalty, a large employer must ensure that the coverage it offers is both “affordable” by each full-time employee and sufficiently generous to meet a “minimum value” standard.

Identifying A “Large Employer”

In general, an employer will be a “large employer,” and therefore subject to these play or pay rules if it averaged 50 or more full-time employees on business days during the prior calendar year. Although “full-time” is defined as working 30 or more hours per week, even hours worked by part-time employees must be counted − and then divided by 120 per month − to determine the number of “fulltime equivalent” employees (FTEs).

Those FTEs must then be added to the fulltime employee count.

Thus, an employer with 45 full-time employees and 10 part-time employees who averaged 15 hours per week would be treated as having 50 full-time employees, and therefore subject to the play or pay mandate.

In counting the number of employees, IRS regulations require that all related employers be treated as a single employer.

These “controlled group” rules are The Missouri Municipal Review

common in the benefit-plan context.

The regulations provide no guidance, however, as to how these rules are to apply in the governmental context, other than to state that governmental employers “may rely on a reasonable, good faith interpretation” of the applicable tax code provisions. Prior IRS guidance suggests that governmental entities should be aggregated for this purpose if one of them has the right to appoint and remove at least 80 percent of the other entity’s governing board.

Seasonal Worker Exception

There is a statutory exception to the ACA’s “large employer” definition for certain employers utilizing “seasonal workers.” Under the seasonal worker exception, an employer having a large number of seasonal employees might be able to avoid the “large employer” label, and thus the play or pay rules, even if its average full-time workforce exceeded 50 employees over the course of the entire year.

This exception applies if, during the prior calendar year, (1) an employer’s full-time employee workforce (including FTEs) exceeded 50 employees on only 120 or fewer days, and (2) seasonal workers were the only reason the 50-employee threshold was exceeded during this period. This exception also may be applied on the basis of four or fewer calendar months.

In either event, the days or months need not be consecutive.

Look-Back/Stability Period Safe Harbor

An employer that is unable to avoid the play or pay rules under the seasonal worker exception might still be able to treat its seasonal employees as working less than full-time. This is because the IRS has developed a detailed set of “safe-harbor” rules by which an employer may determine which seasonal (or “variable-hour”) employees should be considered fulltime under the 30-hour standard.

Under this “look-back/stability period safe harbor,” an employer may www.mocities.com

track each seasonal employee’s hours during a “measurement period” of up to 12 months. If an employee averaged at least 30 hours per week during that period, he or she would be considered full-time during a subsequent “stability period” of at least six months (but generally no shorter than the measurement period). If an employee averaged fewer than 30 hours per week during the measurement period, he or she need not be considered full-time during the subsequent stability period, even if the employee actually worked more than 30 hours per week during that stability period.

If an employer (1) reasonably cla ssif i e s a ce r t a i n n um b e r of it s employees as “seasonal,” (2) tracks their hours over a 12-month measurement period, and (3) finds that they averaged fewer than 30 hours per week during that period, the employer may classify those employees as other than full-time during a subsequent 12-month stability period. That means they would not need to be offered health coverage during that stability period. Moreover, regardless of whether they must be treated as full-time employees during that stability period, the employer could safely exclude them from the employer’s health plan, with no risk of incurring penalties during an initial measurement period of up to 12 months from their date of hire.

Joe Lauber has dedicated his entire career to serving local governmentslet him help you today.

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Development

Energy

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One of several transition rules for 2014 might be of particular interest to employers with seasonal employees.

This would allow an employer to determine whether it is a “large employer” for 2014 by reference to the hours worked by its employees during any consecutive, six-month period during 2013 (as opposed to all of 2013).

Thus, if seasonal employees work more than 120 days (undermining reliance on the seasonal worker exception), but are still employed only “seasonally,” an employer might be able to select a consecutive, six-month period during 2013 when its average number of full-time employees (plus FTEs) was under 50. This would at least allow the employer to defer compliance with the play or pay requirement until 2015.

Shafer, Kline & Warren, Inc. Forming Partnerships. Delivering Results.

including both the Affordable Care Act, tax and fiduciary issues, substantial involvement with retirement and welfare plans, executive deferred compensation, federal employment discrimination statutes, and issues unique to governmental and other tax-exempt employers. Contact him at 913-327-5138 or Kmason@spencerfane.com.

Ken Mason is a partner with Spencer Fane Britt & Browne, leading the Employee Benefits Group. He concentrates on ERISA and other aspects of employee benefits law,

www.mocities.com

The Missouri Municipal Review

March 2013 / 23

ENACTING THE MARKETPLACE FAIRNESS ACT WILL HELP MISSOURI RETAILERS AND THE MISSOURI BUDGET

by Mike Sutherland

W

hen the sales and use tax was authorized in Missouri in 1934, lawmakers could never have imagined cyberspace, the Internet or shopping from a smartphone.

However, as more and more shopping has moved online, existing tax laws have put Missouri’s “brick-and-mortar” retailers at a competitive disadvantage compared to online retailers located in other states. Fortunately, lawmakers have an opportunity to enact the Marketplace Fairness Act, and join 24 other states in taking steps toward putting Missouri retailers on a level playing field.

These changes also would help strengthen the resources available to the state budget, allowing it to recapture about $16 million in state revenue based on state action alone, and more than $350 million when the federal government also acts. To fully address the complex issue, legislative changes need to be made at both the state and federal levels.

E-Commerce Trends Point To A Growing Problem

Due to a U.S. Supreme Court decision, Missouri is prohibited from requiring most out-of-state retailers to collect and remit sales or use taxes, even as remote or online sales rapidly increase.1 Instead, Missouri law requires consumers to remit sales taxes for online and catalog purchases through what is known as the “use tax.” 2 However, because the responsibility for compliance with Missouri’s existing

24 / March 2013

“use tax” falls completely on consumers rather than retailers, collections are difficult to enforce. Most Missourians are likely unaware of the use tax requirements and do not remit the tax they owe. In fact, the Missouri Department of Revenue reports that in 2010, only 125 Missourians remitted use taxes totaling just $110,784. 3

Most Missourians are likely unaware of the use tax requirements and do not remit the tax they owe.

These collections pale in comparison to the taxes that are owed to the state. A recent University of Missouri study estimates that Missouri will fail to capture as much as $385.3 million in existing state and local sales tax revenue in the current year due to online and catalog retail purchases.4 Under a state Marketplace Fairness Act that relies on voluntary compliance, Missouri is likely to retrieve approximately $16 million in state revenue in the first full year of implementation (based on the average collections of Missouri’s bordering states that have enacted the streamlined sales tax collections mechanism).5 The Missouri Municipal Review

Nationwide in 2012, the projected loss of sales tax revenue for state and local governments was estimated at $23.3 billion, including $11.4 billion from remote electronic commerce, $6.8 billion from business-to-consumer catalog sales, and $5 billion from business-to-business catalog sales.6 Retail trends indicate that the loss will continue to increase as consumers turn to online retailers for their purchases. An estimated 50 percent of all computers and 30 percent of consumer electronics sold in the United States are purchased online.

Sales of consumer electronics through online stores grew by more than 9 percent in April of 2011 alone, while simultaneously, sales of electronics sold throughout the nation in brickand-mortar locations, as well as online retailers dropped overall by 1.8 percent.

The result is that an increasing portion of retail overall is occurring through online stores.7

Current State And Federal Statute Is Prohibitive

States are prohibited from requiring out-of-state businesses to comply with their sales tax laws as a result of a 1992 U.S. Supreme Court case in which the court ruled that businesses that did not have “nexus,” or a physical location in a state, could not be required to collect and remit sales and use taxes. 8 The Court’s ruling noted that the burden of complying with many differing complex and diverse state tax laws violated the Commerce Clause of the United States Constitution. www.mocities.com

In response to the Supreme Court decision, the National Governors Association and the National Conference of State Legislatures joined together to form the Streamlined Sales and Use Tax Project (SSUTP). In 2002, Missouri approved legislation that allowed state officials to participate in the Streamlined Sales and Use Tax Project.9 The states participating in the project created the Streamlined Sales and Use Tax Agreement (SSUTA); an agreement that included model legislation to create a simpler system for administering various state and local sales taxes. By simplifying state and local sales tax definitions and providing collections assistance, the agreement reduces the burden for online retailers in determining state and local sales tax rates and provides one critical step in addressing the problem of uncollected sales tax.

However, due to the Supreme Court’s decision, business compliance with the SSUTA is voluntary. As a result, states that have implemented the agreement have collected only a small fraction of the sales taxes due on online retail. 10 To fully address this complex issue, legislative changes need to be made at both the state and federal levels. State tax law must be changed to simplify existing sales tax definitions, and federal law must be changed to provide for full compliance. Without both, Missouri retailers will continue to face a competitive disadvantage, and sales tax collections to support Missouri’s budgetary needs will continue to be compromised.

Changing State Law For Compliance

Although Missouri was initially involved in the formation of the SSUTA effort, the state has not made the necessary statutory changes to become a full member state and comply with the simplification of state and local sales taxes. While the SSUTA does not change what items are subject to sales tax or otherwise alter Missouri’s sales and use tax rates, it does require states to simplify the definitions of items

www.mocities.com

subject to the tax, thereby reducing the burden to online or remote retailers.

State legislation is required in order to simplify tax collection administration and to make the definition of items subject to the sales and use tax consistent with those used in other states. While the legislation has met little opposition, it has yet to pass in both chambers of the legislature. 11 To date, 24 states have adopted the model legislation, including most of Missouri’s neighboring states.

Approximately 1,700 businesses voluntarily collect and remit tax to member states, and so far they have collected over $900 million. 12 Based on these voluntary collection trends, if Missouri approves the state Marketplace Fairness Act and becomes a full member of the SSUTA, the state will receive about $16 million in state sales tax revenue in the first full year of implementation.

Changing Federal Law For Full Enforcement

Due to the 1992 Supreme Court ruling, not only will Missouri need to approve a “Marketplace Fairness Act,” but the U.S. Congress also must act in order to fully address this issue. In the last Congress, Sen. Roy Blunt cosponsored Senate Bill 1832, known as the federal Marketplace Fairness Act, and similar legislation is expected to be reintroduced in the 113th Congress. 13 If approved, the legislation will provide collections authority to member states of the SSUTA. Under the bill, SSUTA member states will be authorized to require all sellers that have remote sales of more than $500,000 to collect and remit sales and use tax to the state where the purchasers live. Non-member states will only be provided authority to enforce collections if they meet several requirements including uniform definitions of products and sales taxes. As a result, if changes are made at the federal level, Missouri could gain the authority to enforce sales tax collections, but only if the companion state legislation to simplify Missouri’s sales tax law also is approved.

The Missouri Municipal Review

While the U.S. Congress should act to allow states to collect sales taxes they are owed from online retailers, Missouri legislators also must take action by passing a state-level Marketplace Fairness Act. In the absence of federal action, the state-level Marketplace Fairness Act would allow Missouri to begin collecting some of the millions in sales taxes that is owed each year, as 24 states already do.

Mike Sutherland is a policy consultant with The Missouri Budget Project.

References: 1

Missouri Department of Revenue

2

Missosuri revised statute 144.655

Missouri Department of Revenue, Division of Taxation 3

Huang, U., Kosash, J. and Andrew Wesemann (2012) Internet Sales and Use Tax Issues in Missouri, University of Missouri, Truman School of Public Affairs Institute of Public Policy, Retrieved from http://ipp.missouri.edu/files/ipp/ attachments/4-2012_-_internet_sales_and_ use_tax_final.pdf 4

5 Mike Sutherland, Missouri Wonk, March 1, 2012 6 Fox, B., Bruce, D., and LeAnn Luna, (2009) State and Local Government Sales Tax Revenue Losses from Electronic Commerce, University of Tennessee 7

Internet Retailer’s Daily News Service

Quill Corporation vs. North Dakota http://www.law.cornell.edu/supct/html/910914.ZO.html 8

9 Missouri Statute RSMo 144.1000 to 144.1015. http://www.moga.mo.gov/statutes/ C100-199/1440001000.HTM

Mike Sutherland, Missouri Wonk, March 1, 2012 10

11 In 2010, the Missouri House of Representatives passed legislation that would have allowed Missouri to be a full member of the SSUTA, but after passed out of Senate committee no further action was taken.

12

Streamlined Sales Tax Governing Board

See: http://www.marketplacefairness. org/ and http://thomas.loc.gov/cig-bin/ bdquery/z?d112:s.1832 13

March 2013 / 25

frequently asked questions - Use Tax Each day your Missouri Municipal League staff answers dozens of questions on municipal issues. This column discusses some of the most common questions the League staff receives. This issue’s column is devoted to the Missouri Local Use Tax. Some of the answers in this month’s column stem directly from information available on the Missouri Department of Revenue’s website.

As with all legal matters, municipal officials are urged to consult their city attorney for guidance in the specific problems faced by their municipality. Answers provided in this column should serve only as a general reference.

What Is The Use Tax?

The use tax is very similar to a sales tax in that it applies to the same type of items that if purchased at retail within the state of Missouri would be taxed under the sales tax. However, the use tax is imposed on purchases made

by Missouri residents from out-of-state vendors. The state of Missouri imposes a statewide use tax at 4.225 percent.

Cities and counties may impose an additional local use tax. The amount of use tax due on a transaction depends on the combined (local and state) use tax rate in effect at the Missouri location where the tangible personal property is stored, used or consumed. Local use taxes are distributed in the same manner as sales taxes.

What Was The “Street Decision On Motor Vehicles”? And What Does This Have To Do With The Use Tax?

On Jan. 31, 2012, in Street v. Director of Revenue, the Missouri Supreme Court ruled that Missouri local sale taxes should not be applied to vehicles purchased from out-of-state vendors.

Historically, the law had provided that vehicle purchases were to be treated differently from other retail purchases such that the sales rate was applied and distributed based on the purchaser’s residency rather than where the vehicle was purchased. Following the Street decision, the Missouri Department of Revenue has only collected the tax on vehicles purchased from outof-state, as well as person-to-person vehicle sales, for municipalities that have a local use tax. The Missouri Department of Revenue has estimated that the loss to local governments due to the Street decision exceeds $20 million. Many municipalities have been considering passing a use tax as a way

26 / March 2013

of recapturing the revenue from out-ofstate vehicle purchases.

The Use Tax Seems Very Complicated And Difficult To Explain To Citizens; Does MML Have Any Resources To Help Assist In Explaining This Tax?

MML has retained the public relations firm Callis & Associates to help build a toolkit that can assist civic groups in conducting a use tax campaign. MML recently held a workshop to help explain how to use the toolkit, and will likely be holding another such workshop in the near future. Materials from the toolkit are accessible when MML members log into the League’s website at: http://www. mocities.com/?page=UseTax.

Why Should Our City Pass A Use Tax When There Are Bills Pending In The Legislature To Fix The “Street Decision Loophole”?

While it is true that passage of a fix for the Street decision loophole is one of the Missouri Municipal League’s main legislative priorities this year, passage of such bill is not guaranteed.

Last year, a bill was passed that would have closed the loophole. However, Governor Nixon vetoed the bill on the grounds that it created a tax without voter approval. Currently, imposing a local use tax is the only way to guarantee the lost revenue is recaptured.

What Does The Use Tax Have To Do With The Streamlined Sales Tax Or Internet Sales Tax?

While it remains to be seen what will happen at the federal and/or state level in regards to clearing the all the hurdles preventing a unified application of the sales tax to Internet purchases, one thing does seem likely: local governments will need to pass a use tax in order to collect a tax on Internet purchases.

What Is The Difference Between A Sales Tax And A Use Tax?

The sales tax is applied to purchases made at retail. The rate of the sales tax is determined by the locality in which the sale takes place.

The local use tax is applied to purchases made from out-of-state vendors by local residents. Vendors and the rate of tax are determined by the tax rate in the purchaser’s jurisdiction.

The Missouri Municipal Review

Isn’t A Use Tax Double Taxation?

No. The sales tax applies to purchases made at retail within Missouri, while the use tax applies to purchases made from out-of-state vendors. Purchases cannot fall into both groups so there is no way that a purchase would be taxed twice.

Why Is It Argued That The Use Tax Levels The Playing Field?

Without a local use tax, local brick-and-mortar stores are at a competitive disadvantage versus out-of-state vendors. Purchases made from local vendors are subject to the local sales tax. Without a use tax, those purchases can be made from out-of-state vendors without a corresponding tax.

How Is The Use Tax Enacted?

Municipalities wishing to impose a local use tax must place the issue before the voters. A simple majority is required for passage. Sample ordinances are available on the Missouri Municipal League’s website.

What If The City’s Voters Turn Down The Use Tax?

If the voters of a city do not authorize a local use tax, the legislative body of the city may submit the use tax proposal again at a later election.

There is no limitation as to how many times the local use tax proposal may be submitted to the electorate; nor, is there a minimum time period that must elapse until the tax may be proposed again.

When Does A City Use Tax Ordinance Take Effect?

Once the city's voters approve the use tax, the tax becomes effective on the first day of the calendar quarter that begins at least 45 days after the director of revenue receives notice of adoption of the local use tax.

What Use Tax Rate Is Authorized?

The use tax is imposed at the same rate as the total local municipal sales tax rate. Thus if a city has a one cent general sales tax, a one-half cent transportation sales tax and a quarter cent fire sales tax, the local use tax rate will be one and three quarter. There is no option for the local use tax rate to be different from the total local sales tax rate. If any of the city’s sales taxes are repealed, www.mocities.com

reduced or increased by voter approval, then the city’s use tax rate is similarly repealed, reduced or increased.

To What Purchases Does The Use Tax Apply?

The local use tax is applied in lieu of the local sales tax on transactions that individuals and businesses conduct with out-of-state vendors, including catalog and direct market sales. If an item would fall under the Missouri sales tax if purchased at retail in Missouri, then the use tax will apply to the purchase of the item from an out-ofstate vendor.

What Purchases Are Exempt From The Use Tax?

If an item is exempt from the state and local sales tax, it is also exempt from the state and local use tax, including raw materials and component parts used in manufacturing, machinery used in manufacturing, farm equipment, etc.

Are Items Used For Manufacturing Exempt From A Use Tax?

In general, yes. Replacement machinery , equipment and p arts, and the materials and supplies solely required for the installation or construction of such replacement machinery, equipment and parts, used directly in manufacturing, mining, fabricating or producing a product that is intended to be sold for final use or consumption are exempt. Section 144.054 RSMo, exempts purchases of machinery, equipment, materials a n d ch e mi ca l s u sed or con sumed in manufacturing, processing, compounding, mining or producing any product or used in research and development related to manufacturing, processing, compounding, mining or producing any product from state tax and local use tax, but not local sales tax.

www.mocities.com

How Is The Use Tax Collected?

If the out-of-state vendor has a facility in Missouri, the vendor will collect the local use tax along with the state use tax, and remit both to the Missouri Department of Revenue (DOR). If the out-of-state vendor does not have a facility in Missouri, the purchaser must file a use tax return with DOR, only if the individual or business has more than $2,000 in such purchases during the calendar year.

What Does The State Charge For The Collection Of The City Use Tax And How Is The City Tax Accounted For?

The director of revenue is required to deposit all city use taxes collected in a special City Use Tax Trust Fund, less 1 percent for the cost of collection. The 1 percent deducted less the cost of premiums on surety bonds is deposited in the State General Revenue Fund. The director of revenue of the state is to keep an accurate record of the amount of money collected from each city.

When Is Local City Use Tax Money Distributed To The City?

The law provides that not later than the 10th day of each month, the state treasurer will distribute all moneys deposited in the City Use Tax Trust Fund during the preceding month to the city treasurer or to any other officer as may be designated by city ordinance of any city imposing the use tax.

How Much Will My City Receive From A Local Use Tax?

It is usually very difficult to estimate the revenue from a local use tax because generally there is no historical data on purchases made by individuals and businesses in any city from out-of-state vendors.

The Missouri Municipal Review

More information about use tax can be found on the MML’s website under the “One Stop Shop,”/” Taxes” or under “Use Tax Toolkit.” Municipal officials needing guidance about specific situations in their communities should consult their staff or city attorney.

MML has provided a toolkit to assist members with support and passage of a use tax for their municipality.

Members have access to web materials, a training presentation, editorial content, talking points, advertising copy and more.

Visit mocities.com and login to access the valuable toolkit materials.

March 2013 / 27

Working Together To Promote Community Health & Wellness in Missouri The Missouri Department of Health & Senior Services works continually to help promote healthy eating, physical activity and healthy environments for your community in Missouri. Below is a list of organizations DHSS has provided that have partnered with state government for successful projects. Please contact these organizations if you are interested in a local partnership or project, or contact the Bureau of Community Health & Wellness at 573-522-2820.

MOCAN-the Missouri Council for Activity and Nutrition

MOCAN is a coalition comprised of representatives from statewide and local agencies, institutions, organizations, other coalitions or individuals who work together to advance the goals and objectives of the statewide plan, Preventing Obesity and Other Chronic Diseases: Missouri’s Nutrition and Physical Activity Plan. MoCAN fosters and supports healthy eating and active living through policy and environmental changes. http://extension.missouri.edu/mocan

Springfield Healthy Living Alliance

The Healthy Living Alliance is a team of like-minded organizations working together to reduce obesity and tobacco use in our community. They establish partnerships with schools or businesses. Their focus areas include: Nutrition, Physical Activity, the Built Environment and Tobacco Prevention/Clean Air. http://hlaspringfield.org

Missouri Farm to School Program

Farm to School is broadly defined as a program that connects schools (K-12) and local farms with the objectives of serving healthy meals in school cafeterias, improving student nutrition, providing agriculture, health and nutrition education opportunities, and supporting local and regional farmers. http://www.farmtoschool.org/MO/programs.htm

Missouri Livable Streets Program

A livable street is a roadway designed to accommodate the needs of all users - drivers, transit vehicles, bicyclists, and pedestrians of all kinds (disabled, elderly, children, and lingerers). Usually, the number of travel lanes has been kept to the minimum necessary to fulfill the roadway's functions. There is a list of Missouri communities that have adopted a Livable Streets resolution, policy, or ordinance. http://livablestreets.missouri.edu

Trailnet

Trailnet encourages active living – a way of life that encourages communities to integrate physical activity into their daily routines. The organization also assists in community planning, healthy living activities, the creation and maintenance of trails in Missouri and safe routes to school, and changing policy and attitudes about fostering a healthier, more active community. http://www.trailnet.org

28 / March 2013

The Missouri Municipal Review

www.mocities.com

PedNet

The PedNet Coalition encourages active travel such as walking, bicycling, and rolling a wheelchair, and works to promote the creation of a safe and attractive network of paths, trails and multi-modal streets to provide health, and economic benefits to the community. They offer presentations, workshops, campaign management support, planning services, and technical assistance in all areas of active transportation and healthy community promotion. http://www.pednet.org MO Bicycle and Pedestrian Federation The Missouri Bicycle and Pedestrian Federation is a statewide, not-for-profit, membership organization that advocates advancement of bicycle and pedestrian access, safety and education in Missouri. http://mobikefed.org

Missouri Safe Routes to School Program

The Missouri Safe Routes to School Program focuses on providing infrastructure, safety improvements, safety education and encouragement for grade school children (K-8) to be able to walk or wheel to school safely. http://modot.org/safety/SafeRoutestoSchools.htm

Missouri River Communities Network

The Missouri River Communities Network is a 501c3 Non Profit organization that serves to enhance stewardship of the longest river in North America. The focus of their efforts are towards 1. Clean Water and conservation practices that ensure this; and 2. Economic development of a heritage corridor along the Missouri River. Clean water projects include: rain gardens and rain barrels, the Canoe for Clean Water annual river race, Stream Team clean ups, Outdoor Classroom education programming, and many other community partnerships to ensure that our watersheds are safe for human and non-human use alike. http://www.moriver.org.

USDA Rural Development-Missouri

USDA Rural Development is committed to helping improve the economy and quality of life in rural America.

Financial programs support water and sewer systems, housing, health clinics, emergency service facilities and electric and telephone service. They promote economic development by supporting loans to businesses through banks, credit unions and community-managed lending pools. They offer technical assistance and information to help agricultural producers and cooperatives get started and improve the effectiveness of their operations. They provide technical assistance to help communities undertake community empowerment programs. http://www.rurdev.usda.gov/MO-Home.html.

Funders To C ommunities A nd Municipalities Healthcare Foundation of Greater Kansas City

The Foundation supports and participates in activities that inform relevant public debate and policy development, foster healthy behaviors and environments, and promote more effective systems of care for the target population.

The Foundation is committed to work with organizations and communities to build lasting partnerships that will strengthen a community's ability to improve the quality and quantity of health care. http://hcfgkc.org/

Missouri Foundation for Health

MFH improves the health of the people in the communities they serve. They empower the people of the communities to achieve equal access to quality health services that promote prevention and healthy behaviors. http://www.mffh.org

The Heartland Foundation

The Heartland Foundation offers matching grants for collaborative initiatives in northwest Missouri to explore new ideas that impact critical health issues. They focuson ideas that support Healthy Eating, Active Living (HEAL). https://www.heartlandfoundation.org

www.mocities.com

The Missouri Municipal Review

March 2013 / 29

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FROM CONCEPTION THROUGH OPERATION INDOOR AND OUTDOOR FAMILY AQUATIC CENTERS ARCHITECTS & ENGINEERS AWARD WINNING DESIGNS- ENGINEERED TO LAST! YOUR QUALITY CHOICE SINCE 1978 5974 State Highway 80 South P.O. Box 366 Platteville, WI 53818 www.burbachaquatics.com Dillion, CO 80435 PH(608)348-3262 baae@centurytel.net PH(815)238-5243 FAX(608)348-4970 FAX(970)513-0988

BURBACH AQUATICS

Municipal Environmental Services Yard Waste Management  Green Waste Recycling  Complete Tree Care  Land Clearing 

WWW. BRAIKBROTHERS.COM

Mulch Compost  Tree Spraying  Vegetation Maintenance  

Braik Brother’s Tree Care 8378 I-70 Dr. SE, Columbia, MO 65201 573-47GREEN

Visit vendors online by clicking on the Products and Services Guide at www.mocities.com!

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2013 MML Legislative Conference Missouri Gov. Jay Nixon, Missouri State Treasurer Clint Zweifel, Speaker of the House Tim Jones and many others shared their outlook for the 2013 legislative session at the MML Legislative Conference Feb. 12-13 in Jefferson City. More than 200 local officials gathered to network, discuss the latest session topics and visit with their local legislator. Find more event photos at www.mocities.com.

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Member Accomplishments

Calendar of Events

Branson Earns Sustainability Honors

April 2 Municipal Election Day 23-24 2013 Missouri Concrete Conference, Rolla, Mo. 28-May 4 Local Government Week

The city of Branson was honored

by Ozarks GreenScore for its commitment to Sustainability resulting in an Ozarks GreenScore Silver Level award.

Ozarks GreenScore is a voluntary, non-regulatory program designed to educate, assit and recognize area businesses and organizations as they adopt environmentally sustainable practices.

Branson is the first municipality to be awarded with an Ozarks GreenScore designation. Learn more at www.bransonmo.gov or www.OzarksGreenScore. com

City of Columbia on Forbes' List for "Best Place To Retire"

The city of Columbia has landed on Forbes Magazine's top 25 "Best Places to Retire" 2013 list. The publication reviewed more than 400 cities from every state, looking at factors ranging from living costs and taxes to crime, as well as the availability of doctors and the opportunity to stay active with outdoor exercise and volunteer work.

May 1-3 1-3 17

Missouri GFOA Spring Institute, Lake Ozark, Mo. 2013 MCMA Annual Spring Conference, Lake Ozark, Mo. General Assembly Adjourns

June 13-14

MML Elected Officials Training Conference Jefferson City, Mo.

July 12-13

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MO Municipal Attorneys Assn. Summer Seminar, Osage Beach, Mo. MML West Gate Meeting, Civic Leadership Awards Banquet, Grandview, Mo.

For more events, visit the events calendar at www.mocities.com.

Missouri Concrete Conference

April 23-24, 2013 Hosted

by

Missouri University of

Science & Technology Rolla, Mo. http://concrete.mst.edu

Quality Online Training benefits your staff!

Learn more about MML's Online Training opportunities today at

www.mocities.com

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The Missouri Municipal Review

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Tenacity K IN G

H E R S H E Y

Meet Kimberley S. Spies One of Missouri’s most experienced, skilled and diligent attorneys focusing on municipal transactions, including structuring and negotiating bond issues and handling real estate and economic development matters for governmental entities.

Knowledge that won’t quit.

The Law Firm That Welcomes A Challenge 816-842-3636 • KingHershey.com 2345 Grand Blvd., #2100 • Kansas City, MO 64108 The choice of a lawyer is an important decision and should not be based solely on advertisements.