HomeMy WebLinkAboutCCWkspAgenda 9-4-2013Falcon Heights City Council Workshop
City Hall
2077 W Larpenteur Ave.
6:30 p.m.
AGENDA
Wednesday, September 4, 2013
1) Presentation/Discussion of the DRAFT 2014 General
Fund Budget and Preliminary Levy.
If you have a disability and need accommodation in order to attend this
meeting, please notify City Hall 48 hours in advance between the hours of
8:00 a.m. and 4:30 p.m. at 651-792-7600. We will be happy to help.
WORKSHOP STAFF REPORT
The City That Soars!
Item Draft 2014 General Fund Budget and Preliminary Levy
Description
A preliminary levy must be set by September 15th
, so the City Council will formally
act on the preliminary 2014 General Fund Budget at the September 11th
City Council
meeting by certifying the 2014 preliminary levy.
At the August 7th
workshop, the City Council reviewed for the first time a draft of
the 2014 General Fund Budget. Staff presented a preliminary budget with the
understanding that some important revenue information was unavailable at that
time. The amount of the Fiscal Disparities to be received was unavailable. The
amount of Fiscal Disparity distribution dollars received either increases or decreases
the amount to be levied to the property owners. Also, the Tax Capacity numbers for
the City were unavailable. This tax capacity information is needed to evaluate the
effect of various levels of tax rates.
Details for the preliminary 2014 General Fund Budget:
1) There are levy limits imposed by the Legislature for the 2014 Budget. Staff
will be recommending that a special levy for the equipment certificates be
approved once again to pay the annual principal and interest payments that
will be due in the amount of $71,400. Also, Staff will be recommending that a
special levy be approved for payment of the 2013 Street Improvement
Project. Finally, Staff would like to discuss the possibility of levying for the
new fire truck in 2014. These items will be discussed in further detail at the
Workshop.
2) The amount of LGA state aid was increased by the Legislature for budget
year 2014. LGA will increase from $310,126 to $503,707 in 2014.
3) Fiscal Disparity distribution dollars for 2014 increased by $42,009 over the
2013 level. This results in a lower ad valorem property tax portion of the
levy.
4) The overall general fund expenditures are proposed to increase by $44,808 or
2%.
-The Police contract and Ramsey County Dispatch increased 3%
-Health insurance premiums are estimated to increase 12% due to being a
small group with additional health expenses in our group during 2013. None
Meeting Date September 4, 2013
Agenda Item Workshop 1
Attachment Draft 2014 General Fund Budget
Submitted By Bart Fischer, City Administrator
Families, Fields and Fair
__________________________
of the insurance companies have provided new premium data at this time.
Rates are not available to the City until November.
5) There is an estimated 2% COLA increase for employees consistent with
increases in the CPI index.
6) The previous, annual budgeted transfer from the sanitary sewer fund has
been eliminated in this budget.
Impacts to the Overall Property Tax Levy:
2013 Budget:
Property Tax Levy $1,008,302
Special Levy for Equipment Certificates $75,705
Total Levy: $1,084,007
The Legislature instituted levy limits for 2014. The City’s levy limit for 2014 is
$1,084,007 plus special levies (debt/bonds/certificates are a special levy).
2014 Preliminary Budget:
Draft Property Tax Levy $944,570
Special Levy for Equipment Certificates $71,278
Special Levy for 2013 Street Improvement Project $23,002
Special Levy for Fire Truck* $?*
Total Preliminary Levy $?* (?% increase*)
*In 2012 and 2013, an independent consultant conducted a Fire Study/Analysis on
the Falcon Heights Fire Department. One of the recommendations was replacement
of the 20 year old ladder truck. Staff would like to discuss the possibility of bonding
and levying for a new ladder truck in 2014.
For every $10,000 change in the levy, the City taxes on a median value home would
change approximately $6. Depending upon discussions relating to the bonding and
levying of the fire truck, impacts on a median value home will be presented at the
workshop.
Budget Impact Dependent upon eventual adoption of the 2014 General Fund Budget later in 2013.
Attachment(s) Draft 2014 General Fund Budget
Action(s)
Requested
No action required, but guidance on continual refinement of the 2014 General Fund
Budget so the preliminary general fund levy can be set at the 9/11/13 Council
meeting.