12-17-1997 Council Agenda - Laserfiche WebLink

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515 Little Canada Road, Little Canada, MN 55117 -1600 (612) 484 -2177 / FAX: (612) 484 -4538 MEMORANDUM TO: Mayor Fahey & Members of the City Council FROM: Joel Hanson, City Administrator DATE: December 12, 1997 RE: 1998 Budget Adoption Process MAYOR Michael L Fahey COUNCIL Beverly Scalze Jim LaValle Steve Morel= Bob Pedersen ADMIMSTRATOR Joel R Hanson The 1998 budget document is enclosed under separate cover. The steps we need to take to complete the 1998 budget process are as follows: • Conduct public hearing on 1998 budget and proposed tax levy. • Approve 1998 budget. • Certify 1998 tax levy (see resolution attached). • Approve 1998 bonded debt levy reductions (see resolution attached). ♦ Allocate General Fund dollars to bonded debt reductions (see resolution attached). Note: These last two steps designate our total levy as a General Fund levy rather than a combination between the General Fund and Debt Service. This is a result of a recommendation from our Auditors a few years ago to give us more protection under levy limits. • Ratify 1998 salary recommendations (under separate cover). • Ratify 1998 capital improvement plan (included in budget document under separate cover). The following are changes we made in the final 1998 budget document verses the previous proposal you had received: • The proposed 1997 General Fund surplus is up from previous budget's estimates. It is currently projected at $89,301. It will likely be even higher due to the pending League of Minnesota Cities Insurance Trust dividend. That amount could approach $20,000. ♦ The General Fund transfer to the General Capital Improvement Fund has been increased to $58,740 as a result of the revised reserve calculation and the higher projected surplus. • The most significant change in the General Fund accounting for the higher surplus is associated with a substantial increase in building permit revenues. While this continues a Page 28