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HomeMy WebLinkAboutAug. 11, 2009 council workshop CITY OF LAKE ELMO City ak e E o 651/777-5510 3800 Laverne Avenue North % Lake Elmo, MN 55042 City of Lake Elmo City Council Workshop 3800 Laverne Avenue North Lake Elmo, MN 5 5 042 August 11, 2009 6:30 p.m. 1. Agenda 2. Sharon Klumpp, Springsted— City Administrator Search 3. Budget discussion 4. Potential purchase of pre-owned fire truck 5. Adjouim Pi inied or recycled paper CITY OF LAKE ELMO City of Lake Elmo 651/777-5510 3800 Laverne Avenue Norfh / Lake Elmo, MN 55042 MEMORANDUM TO: City Council FROM: Craig W. Dawson, Interim City Administrator Tom Bouthilet, Finance Director Joe Rigdon, Finance Specialist DATE: August 11, 2009, City Council Work Session SUBJECT: Proposed 2010 General Fund & Special Levies Budget The City Council faces a very challenging set of issues as it sets the General Fund budget and tax levies for 2010: • Tax revenue is constrained by State law(and will continue to be through 2011)and as the Council may view the extent to which the City's tax rate may be subject to change. The governor is unalloting Market Value Homestead Credit(MVHC), which the Council has the discretion of levying to recover. • Non-tax revenue is projected to be well below that of recent years before the current economic recession started; consequently, development and construction activity has been significantly curtailed, and so as has the City's collection of fees from it. • Beliefs are emerging that the metropolitan housing economy will start to rebound in the latter half of 2010;thus,the City should be prepared to handle the workload that processing new development will require. • The City's infrastructure of physical facilities and equipment continues to age, and the current tax levy constraints make it difficult to transfer moneys from the General Fund to capital funds. At least for the next few years,the City Council will need to consider issuing debt, which is a special levy and thus not subject to the tax levy limit, as it considers replacing infrastructure and equipment. The old clichd of"doing more with less"is giving way to newer cliches of"doing the same with less" or"doing less with less". These latter two cliches are the realities facing Lake Elmo for 2010. The discussion of our recommended 2010 budget will focus on maintaining services as best as possible, and will provide alternatives to do"less with less." REVENUE Taxes are the subsidy needed to balance the budget after identifying the non-tax revenue. So first, look at the non-tax revenue: Lea printed on recycled paper 2010 Proposed Budget and Tax Levies Page 2 August 11, 2009, City Council Work Session Non-tax revenue is projected to be $467,138. This figure compares to$559,930 in the 2009 adopted budget, and $648,896 collected in 2008. Major changes projected in revenue items for 2010 include: • Building Permits: $100,000,a reduction of$40,000 from the 2009 budget. • Interest Earninas: $ 60,000, a reduction of$20,000 from the 2009 budget • Plan Check Fees: $ 32,000,a reduction of$13,000 from the 2009 budget,and the same percentage reduction as building permits. • MVI_IC: $ 33,759 is being unalloted from the City's 2010 property tax receipts for reimbursement for the State's the Market Value Homestead Credit(MVHC). This reduction results in $433,379 coming into the General Fund from non-tax revenue sources. The City may recover this unallotment as a special levy that does not count toward the levy limit. Tax Revenue is subject to levy limits enacted by the 2008 Legislature, and affects cities' budget years 2009-2011. The levy for operations is limited to the lesser of 3.9%or the federal implicit price deflator(IPD)for governments. (There are several exceptions to operational expenses,but few apply and are minor in magnitude to Lake Elmo.) For taxes payable in 2010,the IPD, and thus the increase allowed for the levy, is 0.83%,or$19,357. Levies for debt obligations are not subject to the levy limit, nor are levies to recover the unallotments of MVHC in 2008 and 2009. Total new tax revenue for 2009 is as follows: $ 19,357 0.83%Levy limit $ 19,365 2008 MVHC unallotment 35 475 2009 MVHC unallotment $ 74,197 Total levy increase for operations The City will also be issuing bonds for the 2009 street improvement program. Assuming a$600,000 bond payable over 15 years,the debt obligation for 2010 would be$51,000. This is a special levy that is not subject to levy limits. To complete the table of new tax revenue: $ 51.000 2009 Street Improvement bond $129,197 Total levy increase possible Taxes collected to recover the 2009 MVHC unallotment could be considered as restoring the General Fund balance, as this is where that shortfall was reflected. Levying for 2009 MVHC would be to fund operations,rather than using the General Fund balance to cover that shortfall. Property Tax Revenue Base: Washington County does not yet have a preliminary figure for the City's total net tax capacity for Pay2010. The change in the City's total estimated market value for 2009(and thus for Pay2010 taxes)dropped 5.0%. We have had to assume that this same reduction should be used for total net tax capacity, and thus resulting property tax rates. 2010 Proposed Budget and Tax Levies Page 3 August 11, 2009, City Council Work Session Property Tax Rate: The City sets a tax levy every year;that is,the amount of dollars needed to balance the budget. The tax gate is simply a mathematical result: the levy divided by the total net tax capacity. Unlike a sales tax rate that is set and then (potentially volatile) revenue is estimated, the City sets a levy for a known amount which results in an estimated tax rate. The tax rate can be a guide in targeting a tax levy for subsequent years, but it need not be static. It does not statutorily follow that if property values drop, taxes must be reduced accordingly. The statutory levy limit does not apply to the tax rate, but only to the total tax dollar revenue. Lake Elmo has had the distinction of a low tax rate compared to other cities. All cities are being challenged in trying to limit changes in their property tax rates. To the extent that cities levy to recover unalloted MVHC and Local Government Aid (LGA), their tax rates will rise whether or not their total tax capacity has been decreased. The following table illustrates reductions in revenue to the General Fund to keep the Pay2009 property tax rate constant for Pay2010: Pay2009 Levy $ 2,332,100 Pay2010 Yield $ 2,190,889 $ 141,241 Reduction in Expenses needed .33`,759 =MVHC 3�„_..3,759 `° $ 2,157,089 $ 175,000 " " " 64 New Debt 51,000 51,000 44 4C " $ 2,106,089 $ 226,000 Reduction in Expenses needed A Variely of Budget Alternatives Recommended Budget: In light of Council's comments to date about sensitivity regarding taxes and the tax rate for 2010, the need to keep the City's assets in good and serviceable condition, and the need to be prepared for activity when the economy recovers, the recommended budget essentially is to continue at the 2009 total revenue level with an additional special levy for the 2009 street improvement bonds. On the tax/revenue side of the budge • The General Fund tax levy would remain at$2,332,130, and not increase to the levy limit level. This "unused capacity" can be applied to the levy limit for Pay2011. • The 2009 total property tax levy (including debt levies) of$2,708,610 would increase $51,000 to $2,759,610. This is a 1.88% increase in the tax levy. The tax rate would rise from 19.878% of tax capacity to an estimated 21.464%. The vast majority of residential properties would see an increase of$25 or less for the„year-- $2 per month at most. 0 There would be no special levy to recover unalloted MVHC for 2008 or 2009. 2010 Proposed Budget and Tax Levies Page 4 August 11, 2009, City Council Work Session On the expense side of the budget, • The Building Official position would remain authorized, but left unfunded for 2010. As development activity recovers,the City can determine whether to contract for these services for a period of time or to fill the position if it appears that the recovery will be sustained. Increases in building permit revenues would pay for these added contract or staff services. Leaving the position unfunded would save approximately$101,600 (benefits included). • The 2009 budget included a 3.0% economic adjustment for wages and salaries,but this adjustment has not been made pending an assessment of the City's budget performance this year. It is proposed that a 1.5% economic adjustment be made October 1, 2009,and on July 1, 2010. These adjustments will help keep the City's wage schedule competitive as other cities are making minor adjustments, and will help staff with the increase in their payments for insurance through the City. The expense to the 2010 budget would be $22,500. • To balance the budget, it is also proposed to have a one-week unpaid furlough for staff. Each week of furlough saves $18,000 in the General Fund. • Like most other paid/on-call fire organizations,the Lake Elmo Firefighter's Relief Association shows an actuarial deficit, and that will require a City contribution of$17,864. • With primary and general elections that the City must conduct in 2010,the additional expense in the elections budget is$11,000. • Other expenses, on the whole,would remain at or below 2009 levels, and result in an overall reduction of$58,400. • Expenses do not reflect any special requests made to the City Council for funding in 2010. (As an example, the Washington County Agricultural Society is requesting funding"in the $500 to$10,000 range" to the 4-H program.) • There would be no funding for emerging issues like emerald ash borer. • There would be no transfers to capital infrastructure or equipment funds. The major changes above would result in a$68,200 reduction in expenses. In the overall General Fund budget,however, operating expenses would be reduced $126,600 from the 2009 budget, a 4.4% decrease. Most of the remaining reductions totaling $58,400 occur due to additional changes in personnel costs throughout the budget, and $30,000 in fire-related expenses ($10,000 in training for fewer new firefighters, and $20,000 less in pass-through of State funds to the relief association). A major guiding principle in developing any sound budget is to use one-time revenues only for one- time expenses. Consequently, it is not recommended to use any of the balance in the General Fund toward the 2010 operating budget. If the Council is inclined to tap the balance, the moneys should be placed in capital funds. Alternatives To Reduce Expenses in order to Lower the Recommended Tax Rate: The largest component of any city's general fund budget is its personnel costs, as activities in this fund are relatively labor-intensive. In the City's general fund, when one includes the costs of the contract with the Washington County Sheriff for four deputies' service dedicated to Lake Elmo, the cost of wages, salaries, and benefits is 54.7%of expenses. Unfortunately, the only practical way to make significant decreases in expenses is to reduce funding of some staff positions (preferably through layoff,rather than reducing the number of authorized positions). We have identified positions for the Council to consider, and listed many of the effects anticipated with each unfunded position. The reduced personnel costs include all benefits: 2010 Proposed Budget and Tax Levies Page 5 August 11, 2009, City Council Work Session Reduce Seasonal Public Works from 4 to 1 $ 45,300 Not fund Project Asst to City Admr 51,000 Not fund Planner position 76,300 Not fund one Heavy Eqpt Operator/PubWks 44,000 * Less unemployment compensation (81,000) ($27,000 per *) $135,600 Total for City staff Reduce assigned Deputies from 4 to 3 $119,200 $254,800 Total reductions in personnel costs 1) Reduction in Seasonal Public Works Staff The City currently has four part-time/seasonal positions in Public Works (streets and parks)that, during the warmer months of the year that they are employed, provides the equivalent of two staff positions. These positions are used to mow,trim, and maintain parks and equipment in addition to assisting in street, water, wastewater, and stormwater maintenance and repairs. We believe if seasonal staff were to be reduced, one seasonal staff position should remain in order to minimally handle the additional workload during the warmer part of the year. If two positions were not funded, the saving would be $45,300. Reducing part-time seasonal staff would result in less quantity and frequency of maintenance generally in public works, including street patching and maintenance, turf maintenance and upkeep of parks, clearing culverts, assisting with public events, etc. Several tasks would take longer to complete, and would likely result in overtime being paid to full-time staff As staff is less able to maintain infrastructure and equipment as they should be, needed repairs or replacements will occur sooner, and often at more expense. 2) Not Fund Project Assistant to the City Administrator Position The part-time (0.6-time) Project Assistant position was added a few years ago in order to handle on- going responsibilities as well as special projects. Primary duties have been in the areas of park project planning and administration, staff support for the Park Commission, grant-writing and implementation of awards, community communications (e.g.,City Newsletter, contamination issues), City website, oversight of information technology,and miscellaneous matters related to City facilities. If this position were not funded,the saving would be $51,000. These responsibilities could be assumed by other staff positions, or perhaps be contracted as necessary. There would be a loss of continuity of efforts in park planning, seeking grants, communications, and supporting the Park Commission by transferring them to other staff,as well as to a new person if the incumbent assistant were not available when funding for the position was restored. 2010 Proposed Budget and Tax Levies Page 6 August 11, 2009, City Council Work Session 3) Not Fund Planner Position The Planning Division has two positions: the Planning Director, and the Planner. As the director also has responsibility for the Building Division, there is one staff position to focus solely on processing planning matters. Not funding the Planner position would result in work shifting to the already full schedule of the Director, and perhaps to contracted planning assistance. If the Planner position were not funded, the saving would be $76,300. Among the anticipated impacts of not filling the Planner position are: • Direct Public Impact : o Difficulty in responding to public inquiries and questions. Approximately 40 inquiries (telephone, email, or walk-in) are handled each week, and generally one planner is available to handle them as they occur. o Proper and timely routing of land use matters to other staff. This process also ensures that a planner is on top of a review as it addressed by others (e.g., building official, engineer, attorney). o Review of building permits. Processing building permits has been strengthened by the planner's review of all building permits for zoning issues (e.g., setbacks, special conditions). The number of non-new building permits has remained relatively constant, and these are reviewed by the Planner. o Back-up for the front counter. • General Service Impacts: o Planning Commission—The Commission will resume its twice-monthly schedule in September 2009. The Planner is primarily responsible for the preparation of the agenda and reports, presenting the agenda items, and preparing the minutes of the meeting. o Having a staff planner has reduced the use of planning consultant services, and has the benefit of better internal communication and consistency when being done in-house. o Zoning Code enforcement has become more consistent with a two-step process: the inspector makes inspections and gathers information. Enforcement of zoning matters o Timeliness and the quality of review and processing land use applications to comply with the "60-day rule", • Long-term Planning and Projects: o City-initiated Comprehensive Plan or Zoning/Map amendments would have less staff time available for them o The Planning Commission work plan includes a major update to the Comprehensive Plan, especially to the Village area, that will be the topic of meetings over several months. 2010 Proposed Budget and Tax Levies Page 7 August 11, 2009, City Council Work Session • Future Issues: o The Planning Department manages all of the information posted on its portion of the City's web site, and most of this work is done by the Planner. o The City will need two planners if it is to develop at the rate and number identified in the Comprehensive Plan. It would take a considerable investment of time and effort to train a new person when building activity increases. A planning consultant with a high level of experience would be more costly than retaining funding for the current position. o With the lowered level of activity, the staff has been able to make improvements in the building permit process, consistency in the code enforcement process, improving the City's mapping and electronic data system, and other tasks that will improve efficiency and cost-effectiveness. It should be noted that in 2009, the incumbent planner has voluntarily reduced her schedule to 0.8- time, and thus has flexibility to work up to 8 more hours/week as necessary without incurring overtime. 4) Not Fund One Heavy Equipment Operator(Public Works) Position The Public Works staff performs work in both the General Fund and the three utility enterprise funds. Time is allocated 65%to the General Fund, and 35%to the utility funds, and a recent review confirms that this allocation is accurate. Not funding one position would result in a$44,000 saving to the General Fund. Public Works staff is cross-trained, although there is some specialization among them. One fewer position would have ramifications across all public works activities. Among the impacts anticipated from a smaller staff are: • Snow plowing is now done generally within one eight-hour shift. With fewer operators, an additional two to three hours would be needed to complete the routes, and would be paid with overtime. • The time to complete pothole patching would be extended. • MS4 (stormwater system)inspections would be made by staff, but tasks that have been assigned for Public Works to accomplish would need to be contracted. • Right-of-way tree and brush trimming for sight-distance and signs visibility would need to be contracted. • Shoulder work at the edge of bituminous pavement is important but time-consuming; less work could be done and more would be deferred. • It will take longer to resolve watermain breaks and other emergencies, lengthening the inconvenience to those affected. • Regulatory signs would be maintained for compliance, but street identification sign maintenance and replacement would not be done on a timely basis. • Equipment repairs currently done by staff for public works and some fire equipment would need to be contracted. • Events such as Huff-n-Puff, Fall Festival, tree planting, clean-up days, and other volunteer activities, would have fewer staff available to prepare and be present for them. 2010 Proposed Budget and Tax Levies Page 8 August 11, 2009, City Council Work Session As mentioned earlier, with fewer staff, several tasks would take longer to complete, and would likely result in overtime being paid As staff is less able to maintain infrastructure and equipment, needed repairs or replacements will occur sooner, and often at more expense. Contracting for services now performed by staff would likely not result in much in the way of net savings, and would require additional staff time to arrange for and oversee contractors' work. 5) Reduce the Number of Deputies Assigned to Lake Elmo The City currently contracts with the Washington County Sheriffs Office for additional police services, and under the current arrangement the Sheriff provides four deputies assigned to serve in Lake Elmo. Lake Elmo receives 18 dedicated shifts per week, and other on-duty deputies can provide assistance as they are available. Three shifts per week currently are not covered with an assigned officer. For reasons of managing personnel efficiently, the Sheriff s Office provides assigned deputies on a full-time officer basis;that is, it will not offer the partial-time (e.g., 0.5-time) of a deputy. If a reduction were to be made in the number of assigned deputies, it would be a full-time deputy, and the saving would be $119,200. With this reduction, Lake Elmo would receive 12 assigned shifts per week. During the nine shifts in the week without assigned deputies, the Sheriff would respond only to statutorily-required emergencies. The responding deputy may need to respond from a significant distance (e.g.,Denmark Township, Stillwater Township), which thus would result in a longer response time. The resulting lack of presence would impair the community-oriented policing approach of the Sheriffs Office,and the gains made with a greater presence over the past few years. Concluding Remarks: The circumstances in which to plan the 2010 General Fund budget are among the most challenging we have ever seen. In addition to the statutory constraints on revenue, we sensed diverse expectations among the Council about what the results of the budget should be. Consequently, we have proposed a recommended budget and identified several alternatives, and their effects on services and infrastructure, for the Council to consider. The recommended budget should permit the Council to provide good stewardship of the City's corporate assets and services on behalf of the residents and businesses in Lake Elmo,and do so while providing a good value for them. It is a responsible budget in a challenging time to protect the condition of the City's assets and have the City positioned for demands when the economic recovery occurs. We look forward to further direction from the Council, City of Lake Elmo 2010 Proposed Property Tax Scenario Residential Homesteads M I SCE PARIO 771"AINT71N T19'TAM RA 2009 2010 2E e Tax Rate- Maintain 19-878% 19.878% U% General Fund Levy: Variable $2,332,130 $2,139,889 ($192,241) Levy Limit increase: 0.00% Existing Debt Service Levies: Variable $376,073 $376,480 $407 New Special Levies: 2009 Street Bonds: Yes $0 $51,000 $5100 2008 MVHQ Unallotment Recovery: No $0 $0 $0 2000 MVHC Unallotment Recovery: No $0 $0 $0 iQ&r--1 Cif kRQR9R1X1AX99 City Local cfty Market Tax Tax Capacity Property Value capacity Rate Taxes 2009 2009 Pay 2009 2009 $100,000 $1,000 19.878% $199 $300,000 $3,000 19,878% $596 $500,000 $5,000 19,;578% $994 $700,000 $7,500 19,878% $1,491 Market City Local 04 Property Percentage Value Tax Tax Capacity Property Taxes Tax 2010 Capacity Rate Taxes Increase Increase NO CHANGE 2010 Pay 2010 2010 W(Decrease) _(Decreast) MONO $1,000 19-878% $199 $0 0,0% $300,000 $3,000 19,878% $696 $0 0,0% $600,000 $5,000 19.878% $994 $0 0.0% $700,000 $7,500 19.87804 $1,491 $0 0.0% 21 .QIU.f.R0PERTY TAXES(WITH 5%MARKET VALUE DECREASE) Market Value City Local city Property Percentage 2010 Tax Tax Capacity Property Taxes Tax DECREASE OF Capacity Rate Taxes Increase Increase -5% 2010 Pay 2010 2010 (Decrease) (Decrease) $96,000 $950 19.878% $189 (s10) .5,0% $286,000 $2,850 19.878% $567 ($30) -5,0% $475,000 $4,750 19,878% $944 ($50) -5.0% $665,000 $7,063 19,878% $1.404 (U7) Tax Capacity rates for residential homesteads are 1,00%of the first$500,000 of market value, plus 1.25%of any market value over$600,000 City of Lake EJmo 2010 Proposed Property Tax Scenario Residential Homesteads III,111 .00 $CENAROF, WITIATA"M THE GENERAL,PON.D.TRY...' 2009 2010 Sqtage_ Tax Rate, Variable 19,878% 21.46411/o 8.0% General Fund Levy: Maintain $2,332,130 $2,332,130 $0 Levy Limit Increase: 0,00% Existing Debt Service Levle% Variable $375,073 $376,460 $407 New Special Levies, 2009 Street Borift Yes $0 $51,000 $51,000 2008 MVHC Unallotment Recovery; No $0 $0 $0 2009 MVHC Unallotment Recovery: No $0 $0 $0 2009 CITY F-ROPEBIXJAXES City Local city Market Tax Tax Capadty Property Value Capacity Rate Taxes 2009 2009 Pay 2009 2009 $100,000 $1,000 19.678% $199 $300,000 $3,000 19,678% $596 $500,000 $5,000 19,878% $994 $700,000 $7,500 19,878% $1,491 20_19 CITY PROPERTY TAXES MITH NO MARKET VALUE CHANG g) Market City Local CRY Property Percentage Value Tax Tax Capacity Property Taxes Tax 2010 Capacity Rate Taxes Increase Increase NO CHANGE 2010 Pay 2010 2010 ,(Decrease) lOec� cease $100,000 $1,000 21.464% $1216 $16 8,0% $300,000 $3,000 21,464% $644 $48 8,0% $600,000 $6,000 21,464% $1,073 $79 8.0% $700,000 $7,500 21.464% $1,610 $119 6.0% 010 CITY.-PROEgM JAXE§(WITH 5%MARKET VALUE QECREA§.E) Market Value City Local city Property Percentage 2010 Tax Tax Capacity Property Taxes Tax DECREASE OF Capacity Rate Taxes Increase Increase -5% 2010 Pay 2010 2010 Decrease) (Decrease) ,, $95,000 $950 21-464% $204 $5 2,6% $285,000 $2.850 21.464% $612 $15 2,6% $475,000 $4,750 21.04% $1,020 $20 2,6% $665i000 $7,063 21.464"K, $1,518 $25 13% Tax Capacity rates for residential homesteads are 1,00%of the first$500,000 of market value, plus,1.25%of any market value over$600,000 City of Lake Elmo 2010 Proposed Property Tax Scenario Residential Homesteads SCEUR15 C. MAXIMUM LEVY(75 TRE LEWMIf"FOLIUS 1771V675R 3608AN5 2009 2010 Change Tax Rate: Variable 19.878% 22,077% 111% General Fund Levy: Variable $2,332,130 $2,361,487 $19,357 Levy Limit increase: 0,83% Existing Debt Service Levies: Variable $376,073 $376,480 $407 New 5peclal Levles: 2009 Street Bonds: Yes $0 $61,000 $51,000 2008 MVHC Unallotment Recovery-, Yes $0 $19,365 $19,365 2009 MVHC Unallotment Recovery. Yes $0 $36,475 $36,475 2D02 gIU-PROPERTY TAXES City Local city Market Tax Tax Capacity Property Value Capacity Rate Taxes 2009 2009 Pay 2009 2009 $100,000 $1,000 19W8% $199 $300,000 $3,000 19.878% $596 $500,000 $5,000 19,878% $984 $700,000 $7,500 19.878% $1,491 29191AT-Y PRQPEjjT_Y TAXES(LVITIJ NO MARKET VALUE CH_ANgE) Market City Local city Property Percentage Value Tax Tax Capacity Property Taxes Tax 2010 Capacity Rate Taxes Increase Increase NO CHANCE 2010 Pay 2010 2010 (Dacrease (Decrease) $100,000 $1,000 22,077% $221 $22 111% $300,000 $3,00() 22.077% $662 $66 11.1% $500,000 $5,000 22,077% $1,104 $110 111% $700,000 $7,600 22.077% $1,656 $166 11,11% 9910- Market Value City Local city Property Percentage 2010 Tax Tax Capacity Property Taxes Tax DECREASE OF Capacity Rate Taxes Increase Increase -6% 2010 Pay 2010. 2010 (Decrease) (Decrease) $96,000 $950 22.077'1/b $210 $11 5,5% $285,000 $2,860 22.077% $629 $33 5.5% $475,000 $4,750 22.077% $1,049 $55 5.5% $665,000 $7,063 22.077% $1,559 $68 4.61/4 Tax Capacity rates for residential homesteads are 1,00%of the first$600,000 of market value, plus 1,25%of any market value over$500,000 City of Lake Elmo Budget 2010 DRAFT V 8.11.09 2009 2010 2009 2008 2008 2009 Year-to-Date 2009 Preliminary to 2010 Account Number Description Budget Actual Budget (07131109) Projected Budget Change 101 General Fund Revenue 000 General 0000 General 101-000-000031010 Current Ad Valorem Taxes $2,221,486.00 $1,983,205.00 $2,332.130.00 $1,012,176.94 $2,119,749.00 $2,332.130.00 0.0% 101-000-0000.31010 MVHC State Unallotment $0.00 $0.00 $0.00 $0.00 -$35,475,00 -$33,759.00 NIA 101-000-0000-31020 Delinquent Ad Valorem Taxes $0.00 $11,899.12 $0,00 $26,175.52 $40,000.00 $0.00 NIA 101-000-0000-31030 Mobile Home Tax $8,000.00 $7,663.84 $8.000,00 $3,648.62 $7,600.00 $8,000.00 0.00/0 101-000-0000.31040 Fiscal Disparities $0.00 $107,788.35 $0.00 $88,327.09 $172,381,00 $0.00 WA 101-00 0-0000-3191 0 Penalty&Interest on Taxes $0.00 -$77.14 $0.00 $97.99 $100.00 $0.00 NIA 101-000-0000-32110 Liquor License $7,200.OD $7,200.00 $7,200.00 $0.00 $7,200.00 $7,200.00 0.0% 101.000-0000-32180 Wastehauler License $500.00 $440.00 $500.00 $1.365,00 $1,365.00 $1.000.00 100.0% 101-000.0000-32181 General Contractor License $2,000.00 $1,610.00 $1,500.00 $2,225.00 $2,226.00 $1,800.00 20,0% 101-000-0000-32183 Heating Contractor License $800.00 $640.00 $795,00 $60.00 $500,00 $200.00 -74.8% 101-000-0000-32184 Blacklopping Contractor License $60.00 $0.00 $60,00 $0.00 $0.00 $60,00 0.01/. 101-000-0000-32210 Building Permits $200,000.00 $164,869A4 $140,000.00 $66,480.70 $90,000.00 $100,000.00 -28.6% 101-000-0000-32220 Heating Permits $11,000.00 $8,875.00 $4,500.00 $6.921.60 $7,000,00 $3,000.00 -33.30/. 101-000-0000-32230 Plumbing Permits $11,000.00 $5,810.00 $4,500.00 $2,406.00 $3,000.00 $3,000.00 -33.3% 101-000-0000-32231 Sewer Permits $2,000.00 $3,375.00 $1,500.00 $370.50 $500.00 $500,00 -66.7% 101-000-0000-32240 Animal License $2.000.00 $2,302.00 $2,000.00 $1,754.00 $2,000.00 $2,000.00 0.0% 101.000-0000-32250 Utility Permits $6,000.00 $6,839.50 $4,000.00 $14,309.60 $15,000.00 $0,000.00 50.0% 101-000.0000-32260 Burning Permit $1,200.00 $1,260.00 $1,000.00 $675.00 $1,000.00 $1,000.00 0.0% 101-000-0000-33120 Federal Grants $0,00 $0.00 $0.00 $0.00 $0.00 $0.00 NIA 101-000-0000.33401 Local Government Aid $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 NIA 101-000-0000-33402 Homestead Credit Aid $0.00 $26.562,04 $0.00 $0.00 $0.00 $0.00 NIA 101-000.0000-33418 MSA-Maintenance $67,276.00 $67,275.00 $67,275,00 $BB,797.24 $88,797.00 $66,500,00 1.8% 101-000.0000-33420 Slate Fire Aid $57,344.00 $39,747.00 $60,000,00 $1,690.00 $40,000.00 $40,000,00 -33.3% 101-000-0000-33422 PFRAAid $2,760.00 $2,749.01) $2,750.00 $1,374.60 $2,75D,00 $2,750.0D 0.0% 101-000-0000-33426 Miscellaneous Stale Grants $0.00 $28,089.45 $0.00 $13,953.63 $14,000.00 $0.00 NIA 101-000-0000-33620 Gravel Tax $3,250.00 $2,881,47 $2,500.00 $1,566.85 $3,100.00 $3,100.00 24.0% 101-000-0000-33621 Recycling Grant $15,270.00 $15,476.00 $15.000.00 $15,476.00 $15,476.00 $15,000.00 0.00/n 101-000-0000-33622 Cable Franchise Revenue $27,000.00 $31,579.82 $30,000,00 $34,916.22 $34,916.00 $35,000.00 16.7% 101-000-0000-34103 Zoning&Subdivision Fees $26.000,00 $11,410.00 $4,000.00 $1,060.00 $1,500.00 $1,000.00 -75.0% 101-000-0000-34104 Plan Check Fees $86,160.00 $48,852.82 $45,000.00 $15,538.17 $26,000,00 $32,000.00 -28.9% 101.OW-0000-34106 Sale of Copies,Books,Maps $300.00 $204.76 $300.00 $110.26 $200,00 $300.00 0.0% 101-000-0000.34107 Assessment Searches $150.00 $176.00 $150,00 $210.00 $300.00 $200.00 33.3% 101-000-DWO-34109 Clean Up Days $6,000.OD $3.832.50 $5.Do0AD $4,367.00 $4,367.00 $4,000.00 -20.0% 101-000-000034111 Cable Operation Reimbursement $2,000.OD $1,677.60 $2,400,00 $911.20 $1,800.00 $2,400.00 0,0% 101-000-0000-35100 Flnes $65,000,00 $60,919.32 $52,000.00 $24,829.83 $49,500,00 $52,000.00 0.0% 101-000-0000-36200 Miscellaneous Revenue $21,973.00 $19,864.97 $18,000.00 $24,190.97 $25,000,00 $17,128.00 -4.8% 101-000-0000-36210 Interest Earnings $80,000.00 $78,024.90 $80,000.00 $0,00 $60,000.00 $60,000.00 -25.0% 101-000-0000-36230 Donations $0.00 $8,500,00 $0.00 $8,600.00 $8,500.00 $OAO WA 101-000-0000-39200 Interfund Operating Transfers MOO $0.00 $0.00 $0,00 $0.00 $0,00 N/A 0000 General $2 932 718 00 $2 761 711.76 $2 892 060 00 $1,464,474.23 $2,809,251.00 $2,766.609,00 -4.4% 000 General $2,932,718.00 $2,751.711.76 $2,892,060.00 $1.464474.23 $2,809,251,00 $2765,609.00 -4.4% Revenue $2 932 718 00 $2,751 711 76 $2 892,060.00 $1 464 474.23 $2,809.251.00 $2,765 609.00 -4A% 101 General Fund $2 932 718.00 $2 751 711.76 $2 892 060.00 $1,464,474.23 $2,809.251.00 $2,765,609.00 _ -4.4% Exp $2,787,613.00 $2,765,509.00 Net $21,738.00 $0.00 8/7/2009 City of Lake Elmo Budget2010 DRAFT V 8,11.09 2009 2010 2009 2008 2008 2009 Year-to-Date 2009 Preliminary to 2010 Account Number Description Budget Actual Budget 07/31/09 Projected Budget Change 101 General Fund Expense 410 General Government 1110 Mayor&Council 101-410-11JOA1030 Part-time Salaries $15,883,00 $16,435.00 $16,436.00 $8,217.50 $16.436.00 $16,435.00 0.0% 101-410-1110-41220 FICA Contribe0ons $986,00 $1,018.98 $1,019.00 $509.49 $1,019.00 $1,019.O0 0.0% 101-410-1110-41230 Medicare Contributions $230.00 $238.28 $238.00 $119.14 $238.00 $238.00 0.0% 101-410-1110-43310 Mileage $3,000.00 $704.73 $1,000.00 $0.00 $0.00 $1,000,00 0.0% 101-410-1110-44300 Miscellaneous $10,000.00 $3,110.00 $2,000.00 $3.039.12 $4,000.00 $2,00o.0o 0,0% 101-410-1110-44330 Dues&Subscriptions $9,700.00 $10,583,00 $9.800.00 $6,967.64 $9,800.00 $9,800.00 0.0% 101-410-11104437o Conferences&Training $3,600.00 $2 232.00 $3 600.00 $1,198.00 $2 400.Do $3,600.00 0.0% 1110 Mayor&Council $43,298.00 $34,321.99 $33,992,00 $19,040.89 $33,892.00 $33 992 00 0.0% 1320 Administration 101-410-1320-41010 Full-time Salaries $279,530.00 $250,164.27 $225.913,00 $112,148,23 $207,043.00 $219,739.00 -2.7% 101-410-1320-41210 PERA Contributions $16,722.00 $15,484.74 $15,249,00 $7,570.07 $13,976.00 $15,382.00 0.9% 101.410-1320-41220 FICA Contributions $16,950.00 $16,088.01 $14,007.00 $6,931.69 $12,797.00 $13,624,00 -2.7% 101.410-1320-41230 Medicare Contributions $3,730.00 $3,644.47 $3,276,00 $1,621.19 $2,993.00 $3,186.00 -2.7% 101.410-1320-41300 Heal[WDental Insurance $30.514.00 $20.731.38 $31,685,00 $12,388.51 $24.777.00 $29,264.00 -7.6% 101-410-1320-41610 Workers Compensation $1,986.00 $817,76 $2,212.00 $1,843.21 $1,843.00 $1,734,00 -21.6% 101-410-132OA2000 Office Supplies $10,500.O0 $5,318.65 $8,000.00 $2,748.97 $6,498.00 $8,000.00 0.0% 101-410-1320-42030 Printed Fors $1,000.00 $1.287.40 $0.00 $347.93 $696.00 $0.00 NIA 101-410-1320-43040 Legal Services $60,000,00 $42,420.01 $60,000.00 $19,035.28 $60,000.00 $60,000.00 0.0% 101-410-1320-43090 NewsletterNMebsite $10,000.00 $9,632.77 $0.00 $0.00 $0.00 $0.00 NIA 101410-1320-43100 Assessing Services $46,OOo.Do $46,821.75 $40oo.00 $18,896.16 $44,000.00 $45,500.00 3.4% 101410.1320-43160 Contract Services $0.00 $0.00 $0.00 $0.00 $17,000.00 $0.00 NIA 101410-1320-43220 Postage $10,000.00 $3,600.84 $8,000.00 $1,500.00 $3,000,00 $7,000.00 -12.5% 101410-1320-43310 Mileage $4,000.00 $1,332.36 $4,000.00 $180.60 $351.00 $3,600.00 -12.5% 101.410-1320-43510 Legal Publishing $6,500,00 $1,092.21 $0.00 $83.93 $168.00 $0,00 NIA 101-410-132OA3610 Insurance $31,175.00 $40,963.00 $35,350.00 $38,800.50 $39,000.00 $39,500.00 11.7% 101-410-1320A3620 Cable Operation Expense $4,000.00 $1,840.78 $0.00 $62.71 $126.00 $0.00 NIA 101-410-132044300 Miscellaneous $7,400,00 $26,468,74 $5,000.00 $3,154.72 $6.309.00 $6,000.00 20.0% 101-410-132044330 Dues&Subscriptions $1,500.00 $3,648.48 $4,000.00 $1,042.19 $2,084.00 $4,000.00 0.0% 101-410-1320.44350 Books $500.00 $05.87 $0.00 $0.00 $0.00 $0.00 N/A 101AIO-1320-44370 Conferences&Training $4,OOo.00 $684.03 $3,500.00 $262.00 $1,000.00 $3,600.00 0.0% 1 0 1-41 0-1 320-4438 0 Staff Development $2,000.00 $35.O0 $2,000,00 $0.00 $0.00 $1 000 00 -50 0% 1320 Administration $547,007.00 $490,039.51 $466,192.00 $228.617.89 $442,670.00 $460 929 00 -1 1% 1410 Elections 101-410-1410-41030 Part-time Salaries $9,000.00 $8,417.00 $0.00 $0.00 $0.00 $10,000.00 NIA 101-410-1410.41220 FICA Contributions $604.00 $85.69 $0.00 $0.00 $0.00 $0.00 NIA 101-410-1410-41230 Medicare Contributions $170.00 $20.04 $0,00 $0.00 $0.00 $0.00 NIA 101-410.1410-42000 Office Supplies $400.00 $164.99 $0.00 $0.00 $0.00 $250.00 NIA 101-410-1410-42030 Printed Forms $500.00 $39.50 $0.00 $0.00 $0.00 $360,00 NIA 101410-1410-44300 Miscellaneous $400.00 $838.17 $1,000.00 $980.00 $980.00 $1,360,00 35.0% 101410-1410-44370 Conferences&Training $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 NIA 101410-1410-45800 Other Equipment $5,940.00 $940.00 $0.00 $0.00 $0.00 $0.00 NIA 1410 Elections $17,014.00 $10,505.39 $1,000.00 $980.00 $980.00 $1195000 109b0% 1460 Communications 10"10-14150.41010 Full-lime Salaries $0.00 $0.00 $14,060.00 $4,866.12 $8,984.00 $10,809.00 -23.1% 101-410-1450-41210 PERA Contributions $0.00 $0.00 $949.00 $328.44 $606.00 $757.00 -20.2% 101.410-1460-41220 FICA Contdbutons $0.00 $0.00 $872.00 $301.68 $557.00 $670.00 -23.2% 101-410-1450.41230 Medicare Contributions $0.00 $0.00 $204.00 $70,54 $130.00 $157.00 -23.0% 101-410-1450-41300 Health/Dental Insurance $0,00 $0.00 $0,00 $0.00 $0.00 $0.00 NIA 101-410.1450-41510 Workers Compensation $0.00 $0.00 $779.00 $649.12 $649.00 $394.00 -49A% 101-410-1450.43090 Newsletter $0.00 $0.00 $3,600.00 $4,513.06 $9,026.00 $5,400.OD 54.3% 1 01-4 1 0-1 450-431 80 Information Technology/Web $0.00 $0.00 $27,000,00 $16,699.15 $33,398.00 $29,000.00 7.4% 101-410.1460-43610 Public Notices $0.00 $0.00 $6,000.00 $476.84 $962.00 $4,000.00 -20.0% 101410-1450-43620 Cable Operations $0.00 $0.00 $4,000.00 $1,660.86 $3 322.00 $4,000.00 0.0% 1450 Communications $0.00 $0,00 $56,364.00 $29.564.81 $57,624.00 $55187 00 -2 1 8/7/2009 City of Lake Elmo Budget 2010 DRAFT V 8.11,09 2009 2010 2009 2008 2008 2009 YearAo-Date 2009 Preliminary to 2010 Account Number Description Budget Actual Budget 071311109 Projected Budget Change 1520 Finance 101.410-1520-41010 Full-time Salaries $69,182.00 $39,523.47 $36,134.00 $19,257.00 $35,551.00 $34.161.00 -5.5% 101-410-1620-41210 PERA Contributions $3,782.00 $2,474.66 $2,439,00 $1,299A6 $2,400.Oo $2,391,00 -2.0% 101-410-1520-41220 FICA Contributions $3,607.00 $2,450.24 $2,240.00 $1,186.66 $2,191,00 $2,118.00 -5.4% 101-410-1520-41230 Medicare Contributions $844.00 $573.06 $524.00 $277.46 $612.00 $495.00 -5.6% 101-410-1520-41300 Health/Dental Insurance $11,026.00 $8,135.92 $4,062.00 $2,734.98 $5,470.00 $3,827.00 -5.6% 101-410-1520-41420 Unemployment Benefits $0.00 $1,304.10 $0.00 $0.00 $0.00 $0.00 NIA 101-410-1520-41610 Workers Compensation $600.00 $817.76 $182.00 $151.66 $152,00 $162.00 -11,0% 101.410-152042000 Office Supplies $1,000,00 $269.70 $500.00 $0.00 $0.00 $600.00 0.0% 1 01-4 1 0-1 5 20-4 2 030 Printed Forms $1,000.00 $2,046.64 $0.00 $0.00 $0.00 $0.00 NIA 101410-152043010 Audit Services $38,000.00 $27,203.83 $28,000.00 $610,00 $27,920.00 $29,500.00 5.4% 101.410-152043160 Contract Services $0.00 $63,730.20 $30,000.00 $37.691.26 $50,000.00 $30,000.00 0.0% 1 01-4 1 0-1 5 204 3 1 80 Software Support $19,000.00 $22.667.54 $0.00 MOO $0.00 $0.00 NIA 101-410-152043186 Hardware Support $3,000.00 $1,467.66 $0.00 $0,00 $0.00 $0.00 N/A 101.410-152043190 Software Programs $3,000.00 $1.262.02 $0.00 $0.00 $0.00 $0.00 NIA 1 0 1-41 0-1 620-4 3 31 0 Mileage $400.00 $37.50 $400,00 $0.00 $0.00 $250.00 -37.6% 101.410-162044300 Miscellaneous $2,000.00 $3,241.62 $2,000.00 $1,257,06 $2,514.00 $2,000.00 0.0% 101-410-1520-44330 Dues&Subscriptions $600.00 $60.00 $100.00 $0.00 $0.00 $100.00 0.0% 101-410-1520-44350 Books $200.00 $0.00 $200.00 $0.00 $0.00 $100.00 -50.0% 101-410-1520-44370 Conferences&Training $350.00 $0.00 $350.00 $0.00 $0.00 $300.00 -14.3% 1520 Finance $167,591.00 $177,254.81 $107,121.00 $64,365.93 $126.710.00 $105.904.00 -1.1% 1910 Planning&Zoning 101-410.1910-41010 Full-time Salaries $120,953.00 $98,797.91 $115,612.00 $58,280.46 $107,696.00 $113,093.00 -2.1% 101-410-1910.41210 PERA Contributions $7.488.00 $6,428.93 $7,797.00 $3,917.03 $7,231.00 $7,916.00 1.5% 101-410-1910-41220 FICA Contributions $7.143.00 $6,122,66 $7,162,00 $3,464.48 $6,396,00 $7,012.00 -2.1% 101-410-1910-41230 Medicare Contributions $1,670,00 $1,431,87 $1,676.00 $810.21 $1,496.00 $1,640.00 -2,1% 101-410-1910-41300 HealthlDental Insurance $13,542.00 $21,007.83 $26,979.00 $13,739.82 $27,480.00 $24,546.00 5.6% 101-410.1910-41510 Workers Compensation $1,467.00 $1,109.08 $582.00 $484.97 $485.00 $536.00 -7.9% 101410-1910-42000 Office Supplies $2,600.00 $1,272.77 $2,760.00 -$765.87 $1,000.00 $2,000.00 -27.3% 101410-1910-42030 Printed Farms $500.00 $0.00 $0,00 $0.00 $0.00 $0.00 NIA 10i-410-1910-43020 Comprehensive Planning $15,000,00 $0.00 $20,000.00 $2,185.60 $4,371.00 $16,000.00 -25.0% 101-410-1910-43030 Engineedng Services $0.00 $0.00 $8,000.00 $23,905.40 $47,811.00 $10,000.00 25.0% 1 0 1-410-1 9 10-43040 Legal Services $0.00 $8,929.07 $0.00 $1,162.50 $2,325.00 $0.00 NIA 101-410-1910-43160 Contract Services $40,000.00 $43,800.30 $10,000.00 $17,240.10 $34,480.00 $10.000.00 0.01/6 101.410-1910-43310 Mileage $1,000,00 $586.28 $1,000.00 $0.00 $0.00 $500.00 -50.0% !; 101-410-1910-43620 Cable Operation Expense $1,560,00 $822,30 $0.00 $0.00 $0.00 $0.00 NIA 101-410-191044300 Miscellaneous $500.00 $1,282,20 $500.00 $76.70 $153.00 $600.00 0.0% 101-410-191044330 Dues&Subscriptions $500.00 $4,746.01 $500.00 $306.00 $610.00 $600,00 0.0% 101-410-191044350 Books $200.00 $16.51 $0.00 $211.96 $424M0 $250.00 NIA 101.4 1 0-1 91 0 4 4 370 Conferences&Training $500.00 $1,845.73 $1,200.00 $1,270.00 $2,640.00 $1,000.00 -16.7% 1910 Planning&Zoning $214,503.00 $198,198.44 $202,657.00 $126,288.36 $244,397.00 $194,493.00 -4.0% 1930 Engineering Services 101-410-193043030 Engineering Services $94,OOO.0o $108119.15 $72,000.00 $32.740,64 $72,000.00 $70000.00 -2.8% 1930 Engineering Services $94,000.00 $108 119.15 $72,000.00 $32 740.64 $72,000,00 $70,000.00 -2A% 1940 City Hall 101-410.1940-42110 Cleaning Supplies $560,00 $345.70 $650.00 $270.83 $542.00 $660.00 0.0% 101-410-1940-42230 Building Repair Supplies $1,000.00 $677.21 $1,000.00 $0.00 $0.00 $1,000.00 0.0% 101410-1940-43210 Telephone $7,900.00 $8,760.91 $8,390.00 $4,274.39 $8,649.00 $8,400.00 011% 101410-1940-43810 Electric Utility $11,000.00 $12,777.67 $12,221,00 $6,545.34 $13,091.00 12,600 2.3% 101.410-1940-43840 Refuse $1,575.00 $1,226.71 $1,782.00 $621.96 $1.244.00 $1,300.00 -27.0% lOi-410-1940-44010 Repalr$fMaint Contractual Bldg $10,000.00 $13,382.48 $10,000.00 $7,813.60 $15,627,00 $11,000.00 10.0% 101410-194044040 Repairs/Malnt Contractual Eqpt $7,500.00 $2.803.81 $6,000.00 $1,265.89 $2,532.oO $6,000.00 -16.7% 101410-1940-44300 Miscellaneous $1,000.00 $114.63 $1,000.00 $154.21 $308.00 $1,000,00 0.0% 1940 City Hall $40,526.00 $39,989.02 $40 943.00 $20 946.22 $41,893.00 $40,750.00 -0.5% 410 General Govemment $1 113,938.00 $1 058,428.31 $980.269.00 $522 544.74 $1,020,166.00 $973,206.00 -0.7% 8/7/2009 City of Lake Elmo Budgel2010 DRAFT V 8.11.09 2009 2010 2009 2008 2008 2009 Year-to-Date 2009 Preliminary to 2010 Account Number Description Budget Actual Budget 07/31/09 Projected Budget Change 420 Public Safety 2100 Police 101420-210043150 Law Enforcement Contract $431.000.00 $436.773.22 $466.960,00 $0.00 $466,950.00 $474 936 00 1 7% 2100 Police $431,000.00 $436,773.22 $466,950.00 $0.00 $466,950.00 $474,936.00 170/6 2160 Prosecution 101-420-2150.43045 Attorney Criminal $58,000.00 $51.245.15 $55,000.00 $21,635.80 $56,000.00 $51,000 00 -7 3% 2150 Prosecution $58.000.00 $51.245,15 $55,000.00 $21,636,80 $55,000.00 $51 000 00 -7 3% 2220 Fire 101-420-2220-41010 Full-time Salaries $65,612.00 $63,259.22 $65,758.00 $36,964.61 $66,396,00 $83,997.00 -2.7% 101420-2220-41030 Part-time Salaries $140,000.00 $6805.57 $110,000.00 $31,235.48 $110,000.00 $110.000.00 0.0% 101-420-2220-41210 PERA Contributions $8,116.00 $8,046.44 $9,272,00 $5,131.57 $9,474.00 $8,095,00 -6.2% 101-420-2220-41220 FICA Contributions $12,851.00 $4,685.50 $7,114.00 $2,078.65 $3,838.00 $7,107.00 -0.1% 101-420-2220-41230 Medicare Contributions $2,981.00 $1,911.43 $2,548.00 $954.36 $1,762.00 $2,523.00 -1.0% 101-420-2220-41300 Health/Dental Insurance $16,736.00 $13,079.12 $16,388.00 $9,488.47 $18,977.00 $15,483.00 -5.5% 101-420-2220-41420 Unemployment Benefits $0.00 $404.99 $0.00 $0.00 $0.00 $0,00 N/A 101-420-2220-41510 Workers Compensation $10,896.00 $7,447.65 $12,369.00 $10.306.81 $10,307.00 $10,590A0 -14.4% 101-420-2220.42000 Office Supplies $1,000,00 $2,31-1.16 $1,500.00 $312.10 $624.00 $1,500.00 0.0% 101-420-2220-42030 Printed Forms $500.00 $91.86 $0.00 $0.00 $0.00 $0.00 N/A 101-420-2220-42060 EMS Supplies $1,200.00 $0.00 $1,200.00 $766.81 $1,534.00 $1,200.00 0.0°% 101-420-2220.42090 Fire Prevention $3,000,00 $2,062.74 $3,000.00 $96.80 $194.00 $3,000.00 0.0% 101-420-2220-42120 Fuel,Oil and Fluids $9,200.00 $11,091.66 $11'500.00 $6,153,56 $12,307.00 $11,500.00 0.0% 101-420-2220-42210 Equipment Parts $1,000.00 $2,189.22 $0.00 $390.00 $780,00 $0.00 N/A 101-420-2220-42230 Building Repair Supplies $700.00 $1,342.41 $0.00 $0.00 $0.00 $0.00 WA 101420-2220-42400 Small Tools BEquipment $2,000.00 $2,628.11 $12,020.00 $2,581.26 $12,000.00 $10,000.00 -16.8% 101420-2220-43060 Physicals $6,516.00 $4,489.44 $7,829.00 $1,693.00 $3,386.00 $7,660.00 -3.6% 101420-2220-43210 Telephone $5,600.00 $6,663,36 $5,500.00 $2,200.40 $4,401.00 $5,100.00 -7.3% 101-420-2220-43230 Radio $6,200.00 $4,737.83 $16,960.00 $6,027.29 $16,000.00 $19.920.00 17.5% 101.420-2220-43260Internet $4,000.00 $0.00 $0.00 $0.00 $0.00 $0,00 N/A 101-420-2220-43310 Mileage $9,126.00 $1,826.82 $600.00 $0.00 $0.00 $600.00 0.0% 101-420-222043630 Vehicle Insurance $14,000.00 $16,044.Oo $17,648,00 $14,472.00 $14,472.00 $15,475.00 -12.3% 101-420-222043810 Electric Utility $21,000.00 $11,300.56 $13,900.00 $6,692.97 $11,186.00 $13,900.00 0.0% 101-420-222043840 Refuse $1,065.00 $661.68 $1,198.00 $273.72 $547,00 $1,0D0.00 -16.5% tI 101-420-222044010 Repatrs/Maint Bldg $10,000.00 $12,387.06 $11,000.00 $6,233,63 $10,467.00 $10,000.00 -9.1% i 101.420-222044040 Repairs/Maint Eqpt $23.600.00 $38,022,84 $26,556.00 $10,061.48 $25,000.00 $26,007.00 5.3% 101-420-2220-44170 Uniforms $7,630.00 $2,729.09 $7,700,00 $1,102.34 $7,000.00 $6,600.00 -27.3% 101-420-2220-44300 Miscellaneous $3,000.00 $1,059.12 $2,000.00 $9,887,80 $11,000.00 $2,800.00 40.0% 101-420.2220-44330 Dues 8 Subscriptions $2,730.00 $1,692.95 $2,971.00 $2,365.56 $4,731.00 $2,200,00 -26.0% 101-420-2220-44360 Books $800.00 $107.66 $400.00 $901.41 $1,803.00 $860.00 112.5% 101-420-2220-44370 Conferences 8 Training $16,000.00 $15,535.17 $26,000.00 $10,244.13 $25,000.00 $20,225.00 -19.1% 101-420-2220-45500 Vehicle $0100 $0.00 $0.00 $0.00 $0.00 $0.00 N/A 101-420-2220-45800 Equipment $10,000.00 $7,838.34 $0.00 $0,00 $0.00 $0.00 N/A 2220 Fire $415 868,00 $313,213.69 $390 930.00 $175 516.19 $383,186,00 $377,722.00 -3A% 2250 Fire Relief 101420-225044920 Fire State Aid $57,344,00 $39,747.00 $60,000.00 $1,690.00 $40,000.00 $40,000.00 -33.3% 101420-2260-44925 City Contribution $0.00 $0.00 $0,00 $0,00 $0.00 $17 864.00 N/A 2260 Fire Relief $57 344.00 $39 747.Oo $60 000.00 $1 690.00 $40,000.00 $67,864.00 -3.6% 8/7/2009 City of make Elmo Budget2010 DRAFT V 8.11.09 2009 2010 2009 2008 2008 2009 Year-to-Date 2009 Preliminary to 2010 Account Number Description Budget Actual Budget (071311091 Projected Budget Change 2400 Building Inspection 101-420-2400-41010 Full-time Salaries $77,719.00 $58,736.05 $129,719.00 $32,823,78 $60,698.00 $69,977.00 -53.8% 101-420-2400-412'10 PERAContribullons $4,651.00 $3,818.62 $8.756.00 $2,212,27 $4,084.00 $4,198.00 -52.1% 101-420-2400-41220 FICA Contributions $4,436.00 $3,641.07 $8,043.00 $2,002,39 $3,697.00 $3,719.00 53.80/a 101-420-2400-41230 Medicare Contributions $1,037.00 $851,66 $1,881.00 $468.26 $864.00 $870.00 -53.7% 101-420-2400-41300 HealthlDentalInsurance $13,161.00 $5,112.50 $9.320.00 $4,958.93 $9,918.00 $8,807.00 -5.6% 101.420-2400-41610 Workers Compensalion $3,117,00 $4,195.03 $6,161.00 $6.133.82 $5,134.00 $2,163.00 56.1% 101-420-240042000 Office Supplies $500.00 $260.99 $500.00 $0,00 $0.00 $300.00 -40.0% 101-420-240042030 Printed Forms $500.00 $136.32 $600.00 $0.00 $0.00 $300.00 -40A% 101-420-240042120 Fuel,Oil and Fluids $3.760.00 $30.00 $3,750.00 $0,00 $0.00 $3.750.00 0,0% 101-420.2400-43030 Engineering $0.00 $0,00 $10,000.00 $1,244.38 $10,000.00 $10,000.00 0.0% 101-420-2400.43050 Plan Review Charges $4,000,00 $D.DD $3,000.00 $0.00 $0.00 $1,000.00 -66.70/0 101-420-2400-43060 Surcharge Payments $0.00 $0.00 $0.00 -$1,603.22 $0.00 $0.00 NIA 101-420-2400-43150 Inspector Contract Services $5,000.00 $4,952.30 $1,000.00 $891.00 $1,782.00 $1,000.00 0.0% 101420-2400-43210 Telephone $1,135.00 $609.18 $1,100.00 $198,47 $397.00 $500.00 -54.5% 101-420-2400-43310 Mileage $1,000.00 $37.50 $750.00 $0.00 $0,00 $250.00 -66.70A 10i-420-2400-43630Insurance $900.00 $669.00 $1.260.00 $1,026.00 $1,025.00 $1,000.00 -20.0% 101-420-2400-44040 RepalrslMalnt Egpl $1,000.00 $63.34 $1,000.00 $832,01 $1,664.00 $750,00 -25.0% 101-420-2400-44120 Rentals-Building $4.950.00 $2.196.38 $0,00 $0,00 $0.00 $0.00 NIA 101-420-2400-44170 Uniforms $350.00 $218.48 $350,00 $0.00 $0.00 $300.00 -14.3% 10 1-420-2400-4 4300 Miscellaneous $1,500,00 $0.1)0 $750.00 $om $0.00 $500.00 -33.3% 101420-240044330 Dues&Subscriptions $250.00 $1,476.08 $250.00 $100.00 $200.00 $200.00 -20.0% 101-420.240044350 Books $600.00 $106,64 $0,00 $0.00 $D.00 $200.00 NIA 101-420-2400.44370 Conferences&Training $1,000.00 $586.00 $500.00 $50.00 $100,00 $500.00 0.0% 101-420-240045800 Equipment $1,000.00 $0.00 $0.00 $0,00 $0.00 $0.00 NIA 2400 Building Inspection $131 466 00 $87 576 93 $188.680.00 $60.337.09 $99 463.00 _ $100,274,00 A6.8% 2700 Animal Control 101-420-2700-42030 Printed Forms $150.00 $0.00 $150.00 $om $0.00 $150.00 0.0% 101-4 20-2 700-431 50 Contract Services $12,000.00 $12,061.68 $12,600.00 $4,460.79 $12,600.00 $12,600.00 0,00/0 101-420-2700-44300 Miscellaneous $100.00 $0,00 $100.00 $0.00 $0.00 $100.00 0.0% 2700 Animal Control $12250.00 $12,661.68 $12,850,00 $4,450.79 $12,600.00 $12,850.00 0.0% 420 Public Safety $1 106 908 00 $941 217 67 $1 174 310.00 $263 629 87 $1 057 199.00 $1,074.645.00 _ -8h% 8/7/2009 City of Lake Elmo BUdget2010 DRAFT V 8.11.09 2009 2010 2009 2008 2008 2009 Year-to-Date 2009 Preliminary to 2010 Account Number Description Budget Actual Budget (07131109) Projected Budget Change 430 Public Works 3100 Public Works 101-430.3100-41010 Full-time Salaries $141,881.p0 $123,023.70 $132,035.00 $69,578,51 $128,453.00 $128,866.00 -2.4% 101A30-3100.41030 Part-time Salaries $12,573.00 $0.00 $12,950.01) $0.00 $5,000.00 $12,761.00 -1.5% 101.430-3100-41210 PERA Contributions $8,999.00 $8,000.94 $9,786.00 $4,687.87 $81655.00 $9,914,00 1.3% 101-430-3100-41220 FICA Contributions $8,684.00 $7,623.46 $8,989.00 $4,118.78 $7.604.00 $8,781.00 -2.3% JOIA30-3100-41230 Medicare Contributions $2,007.00 $1,783.05 $2,103.00 $963.31 $1,778.00 $2,054.00 -2.31/6 101-430-3100-41300 Health/Dental Insurance $35,476.00 $28,566.81 $37,550.00 $19.594.11 $39,18800 $36,165.00 -6.4% i01-430-3100-41610 Workers Compensation $10,670.00 $7,316.94 $12,600.00 $10,626.80 $10,527,00 $11,648.00 -8.3% 101-430-3100-42000 OfficeSUpplles $500.00 $469.60 $500.00 $169,49 $319.00 $500.00 0.0116 101-430-3100-42120 Fuel,Oil and Fluids $27,000.00 $27,630.38 $0.00 $0,00 $0.00 $0.00 NIA 101-430310042150 Shop Materials $5,000.00 $1.412.63 $4,500.00 $931.53 $1,863.00 $4,000.00 -11.1% 101430-310042210 Equipment Parts $8,000,00 $8,121.42 $0.00 $0.00 $0.00 $0.00 NIA 101-430-3100-42230 Building Repair Supplies $2,000.00 $839.20 $1,600.00 $146,76 $294.00 $1,000.00 33.3% 101-430-3100-42240 Street Maintenance Materials $13,000.00 $13,139.74 $0,00 $0.00 $0.00 $0,00 NIA 101-430.3100-42260 Landscaping Materials $2.500.00 $248.33 $0.00 $0.00 $0,00 $0.00 N/A 101-4303100-42260 Sign Repair Materials $7,500.00 $2,052.15 $0.00 $0.00 $0,00 $0.00 NIA 101-430-3100-42290 Sand/Sall $38,000.00 $64,897.87 $0.00 $0.00 $0.00 $0.00 NIA IOIA30-3100-42400 Small Tools&Minor Equipment $3,000.00 $3,158A1 $300.00 $968.20 $1,936.00 $3,000.00 0.0% 1014130-3100-43030 Engineering Services $0.00 $0.00 $0.00 $1,318.04 $2,636.00 $0.00 NIA 101-430-3100-43150 Contract Services $57,788.00 $34,275.05 $18,001).00 $2,656.90 $15,000.00 $16,400.00 -8.9% 101.430-3100-43210 Telephone $8,000.00 $7,318.69 $7,500.00 $4,540.24 $9,080.00 $7.600.00 0.0% 101-430-3100-43230 Radio $1,000.00 $0.00 $600.00 $0.00 $500.00 $600.00 0.0% 101-430-3100-43310 Mileage $1,000.00 $37.50 $100.00 $0.00 $100.00 $10D.00 0.0% 101-430-310OA3630 Insurance $25,750.00 $14,826.00 $16,760.00 $14,243.00 $14,243.00 $15,670.00 -6.6% 101.430-310OA3810 Electric Utility $30,000.00 $22,237.12 $34,500,00 $13,548.56 $27,097.00 $34,500.00 0.0% 101-430-310043840 Refuse $1,600.00 $2,196.25 $1,800.00 $737.83 $1,476.00 $1,800.00 0.0% 101-430-3100-44010 RepalrslMalnt Bldg $3,000.00 $2,789.39 $2,D00.00 $2,414,73 $4,829.00 $2,000.00 0.01/6 101-430-3100-44030 Repalrs/Maint Imp Not Bldgs $2,500.00 $2,803,32 $0.00 $12,433,67 $13,000,00 $0.00 NIA 101-430-3100-44040 Repafrs/Maint Eqpt $8,500.00 $4,846.46 $5,500.00 $513,14 $1,02B.00 $6,000.00 9.1% 101-430-3100-44170 Uniforms $1,500.m $1,816.16 $1.676.00 $863.87 $1,728.00 $1.076.00 0.0% 101430-3100-44300 Miscellaneous $4,000,00 $1,641.32 $2,000.00 $89,08 $1,500.00 $2,000.00 0.0% 101430-3100-44330 Dues&Subscriptions $300.00 $174.00 $150.00 $0,00 $100.00 $150.00 0.0% 101-430-3100-44370 Conferences&Training $1,300.00 $70.00 $900.00 $0.00 $600.00 $900.00 0.0% 101-430-3100-44380 Clean-up Days $8,000.00 $5,696A0 $8,080.00 $7,086,95 $8,000.00 $7,500.00 -7.2% i 101.430-3100-45200 Buildings $0.00 $0,00 $0.00 $0.00 $0.00 $0.00 NIA 101-430-310046500 Vehicles $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 NIA 101-430-310045800 Other Equipment $10,000.00 $10,876.51 $0.00 $0.00 $uo $0.00 NIA 3100 Public Works $488.928.00 $409,181.60 $324,978.00 $172,120.55 $3DB,432,00 $314,284.00 -3.3% 3120 Streets 101-4303120-42120 Fuel,Oil and Fluids $0.00 $0.00 $31,860.00 $4,702.31 $31,000.00 $32,000.00 0.4% 1014303120-42210 Equipment Parts $0.00 $0.00 $8,000.00 $1,131.85 $6,000.00 $8,500,00 6.3% 101430-3120-42240 Street Maintenance Materials $0.00 $0.00 $15,000A0 $6,569.01 $16,000.00 $18,000.00 20.0% 101-430-3120-42260 Sign Repair Materials $0.00 $0.00 $6,000.00 $399,67 $3,000,00 $3,000.00 -60.01/6 101-430-3120-43150 Contract Services $0.00 $0,00 $14,000.00 $4,050.61 $13,000.00 $14,000.00 0.0% 101.430-3120-44040 Repairs/Maint Eqpt $0.00 $0.00 $4,000.00 $0.00 $3 600.00 $5,000.00 25.0% 3120 Streets $0.00 $0.00 $78,860.00 $16,913.45 $71,500.00 $80,500.00 2.1°/6 3125 Ice and Snow Removal 101.430-3126.42250 Landscaping Materials $0.00 $0.00 $1,000.00 $0.00 $500.00 $1,000.00 0.0% 101-430-3126-42290 Sand/Salt $0.00 $0.00 $60,000.00 $37,362.94 $60,000.00 $50,000.00 0.0% 101-430-3125-43160 Contract Services $0.00 $0.00 $10,000.00 $0,00 $5,000.00 $10,000.00 0.094 101-4303126.44040 Repairs/Maint Eqpt $0.00 $0,00 $2 500 00 $61 36 $1,000.00 $2 500.00 0.0% 3125 Ice and Snow Removal $0.00 $0.00 $63.500.00 $37,424.30 $66,500.00 $63,500.00 0.0% 3160 StreetLlghting 101-430-316043810 Street Lighting $25 000 00 $27 410 20 $24 000 00 $1 D 192.03 $24 000.00 _ $24,000.00 0.0% 3160 Street Lighting $25 000 00 $27 410 20 $24 000 00 $10 192.03 $24 000,00 $24,000.00 0.0% 3200 Recycling 101-430-3200-42100 Recycling Supplies $6,000,00 $1,651.78 $3,500.00 $0.00 $3,600.00 $3,600,00 0.0% 101-430.3200-43090 Newsletter $4,000.00 $412,t6 $4,000,00 $0.00 $4,000.00 $4,000.00 010% 101430-3200-44300 Miscellaneous $5,000.00 $7,500.00 $7,5W.00 $1,185.86 $7,500.00 $7.500.00 0.0% 3200 Recycling $15 000 00 $9 663 94 $16 000 00 $1 185.86 $16 000.00 $15 000.00 0.0% 3260 Tree Program 101.430-3260-43150 Contract Services $0.00 $0.00 $14,000.00 $12,006.16 $20,000.00 $14,000,00 0.01/6 3260 Tree Program $0.00 $0.00 $14,000.00 $12.006.16 $20.000.00 $14,000.00 0.0% 430 Public Works $528 928 00 $446165 74 $520 338.00 $249 842.35 $603,432.00 $511,284.00 -1.7% 817/2009 City of Lake Elmo Budget 2010 DRAFT V 8.11.09 2009 2010 2009 2008 2008 2009 Year-to-Dale 2009 Preliminary to 2010 Account Number Description Budget Actual Budget (07/31109) Protected Budget Change 460 Culture,Recreation 5200 Parks&Recreation 101-450-5200-41010 Full-time Salaries $59,098.00 $53,063.69 $85,810.00 $40,443.37 $74,665,00 $77,531.00 -9.5% 101450-6200.41030 Part-time Salaries $43,123.00 $27,533.89 $44,417.00 $14,326.24 $44,000.00 $43,769.00 -1.5% 101450-620041210 PERA Contributions $6,384.00 $4,392.56 $8,790.00 $3,258.80 $6.016.00 $8,491.00 -3.4% 101450-5200-41220 FICA Contributions $6,090.00 $5,051.20 $8,074.00 $3,321.06 $6,131.00 $7,521.00 -6.8% 101450-5200AI230 Medicare Contributions $1,424,00 $1,181.29 $1,888.00 $776.74 $1,434.00 $1,759.00 -6.8% 101450-5200-41300 Health/Dental Insurance $19,269.00 $11,266,13 $14,829.00 $7,662.44 $15,325.00 $13,705.00 -7.6% 101450-6200.41420 Unemployment Benefits $0.00 $757.40 $0.00 $0.00 $0.00 $1,642.00 N/A 101450-5200-41510 Workers Compensation $6,623.00 $4,621.39 $8,571.00 $7,142.02 $7.142.00 $7,193.00 -16.1% 101.460-5200-42000 Offlce Supplies $300.00 $0.00 $300.00 $0.00 $300,00 $300.00 0,0% 101-450-520OA2120 Fuel,Oil and Fluids $2,600.00 $212.38 $3,000.00 $0.00 $3,000.00 $3,000,00 0.0% 1OIA50-5200-42160 Shop Materials $760.00 $286.35 $750,00 $481.45 $963.00 $750.00 0.0% 101.460-6200-42160 Chemicals $1,500.00 $237.45 $1,000,00 $126.00 $250.00 $1,000.00 0.0% 101450-520OA2210 Equipment Parts $1,500.00 $1,026.77 $1,500.00 $649.86 $1,300.00 $2,500.00 66.7% 101450-5200-42230 Building Repair Supplies $500.00 $94.26 $500,00 $0,00 $300.00 $500.00 0.0% 101-450-6200.42250 Landscaping Materials $3,500.00 $5,052.29 $3,500.00 $690.59 $1,381,00 $3,500.00 0.0% 101-450-6200-42400 Small Tools&Minor Equipment $1,500.00 $1,199,40 $1,500.00 $326,21 $652.00 $1,000.00 -33.3% 101-450-5200-43210 Telephone $650.00 $918.50 $650.00 $256.66 $513.00 $650.00 0.0% 101-460-5200-43310 Mileage $0.00 $37.60 $200.00 $0.00 $100,00 $200.00 0.0% 101-450-5200.43630Insurance $6,200.00 $3,938.00 $6,200.00 $5,084.00 $5,084.00 $6,600.00 -11.3% 101450-5200-43810 Electric Utility $8,800.00 $9,468,94 $10,164.00 $6,625.88 $13,052.00 $10,164.00 0.0% 101-460-5200-43830 Gas Utllity $0.00 $8.52 $0.00 $0.00 $0,00 $0.00 N/A 101.450-5200.43840 Refuse $2,700,00 $1,633.87 $2,600.00 $1,193.22 $2,386.00 $2,500.00 0.0% 101-450-6200-44010 Repairs/Malnt Bldg $700.00 $10.00 $700.00 $31.81 $64.00 $700.00 0.0% 101-460-5200-44030 Repairs/Malnt Imp Not Bldgs $4,OOO.o0 $2,372.89 $4.000,00 $1,613.10 $3,226.00 $4,000.00 0.0% 101.460-5200-44040 Repairs/MalntEgpt $1,500.00 $0.00 $1.500,00 $0.00 $0.00 $2.000.00 33.3% 101.450-5200-44120 Rentals-Buildings $4,800.00 $4,626.76 $5,000.00 $2,615.90 $6,232.00 $6,000.00 0.0% 101-450-5200-44170 Uniforms $200,00 $58.74 $0.00 $0.00 $0.00 $0.00 N/A 101-450-5200-44300 Miscellaneous $233.00 $1,687.13 $1,600.00 $4,834.59 $5.600.00 $1,500.00 0.0% 101-460-6200-44330 Dues&Subscriptions $100.00 $102.60 $100.00 $0.00 $100.00 $0.00 -100.0% 101-450-5200-44370 Conferences&Training $0.00 $0,00 $200.00 $0.00 $100,00 $O.OD -100.0% 5200 Packs&Recreation $183.944.00 $141,619.79 $217 143.00 $101,357.83 $198 216,00 $206,375.00 -6.0% 450 Culture,Recreation $183 944.00 $141.619.79 $217,143.00 $101,357.83 $198,216.00 $206 375,00 -6.0% 493 Other Financing Uses 9360 Transfers Out 101.493-936047200 Transfers Out $0.00 $8,500.00 $0.00 $0.00 $8,500,00 $0.00 N/A 9360 Transfers Out $0.00 $8,600.00 $0.00 $0.00 $8,500.00 $0.00 N/A 493 Other Financing Uses $0.00 $8,500.00 $0.00 WOO $8,500.00 $0.00 N/A Expense $2.932 718.00 $2.595,821,51 $2 892,060.00 $1 127 374.79 $2,787,513.00 $2,765 509.00 -4.4% 101 General Fund $2,932,718.00 $2,595,821.51 $2,892,060.00 $1,127,374.79 $2,787,613.00 $2.765,609.00 -4.4% 8/7/2009 MEMO To: City Council From: Fire Chief Greg Malmquist Interim City Administrator Craig Dawson Re; Interest in used ladder truck (August II City Council workshop) In May 2009, Chief Malmquist found a used ladder truck being advertised in a fire trade publication. The 2000 Sutphen vehicle is a 100-foot mid-mount ladder with bucket. Chief Malmquist shared the information with officers of the department, and all believed that this vehicle was worth looking into to meet the need identified in the City's CIP for the last several years. The information was also given to the City Administrator, and he also agreed that it was worth looking into. Chief Malmquist contacted the vendor for more information on the truck. The reason it is being sold is because this particular department, Consolidated Fire District#2 in Johnson County, Kansas (suburban Kansas City), replaces its equipment on a10-year schedule, and its new ladder truck will be delivered this fall.New tires, ladder and truck are current on certifications. Chief Malmquist also contacted Emergency Apparatus Maintenance (EAM), who performs all the maintenance on our fleet,for an opinion. EAM owner Dave Schreier checked with his sales rep in Kansas who informed him that he was very familiar with the truck, that the vehicle has had very limited usage, and that it"definitely" was worth looking at. Chief Malmquist received the "Annual Inspection Report" for the vehicle, and contacted Chief Joe Wallin of Minnetonka Fire Department, as all five of its ladder trucks are of the Sutphen brand. Chief Wallin spoke very highly of these trucks and stated that over the last 20 years they have been very satisfied and would highly recommend this brand. Council may recall that the fire department presented a very similar used ladder truck to Council for consideration three years ago. That vehicle was one year old, with an asking price of$625,000. The need for a 100-foot ladder truck has been identified for several years. The chief has been constantly monitoring used vehicles and this is the first truck, under ten years old to become available in the last three years. The cost of a new 100' ladder truck can run from $900,000 to over $1 million. Reasons for this equipment as has been presented previously include: • The current 50-foot,28-year-old ladder truck continues to have significant maintenance costs, and replacing it will remove these recurring costs.. • It will allow Firefighters safely to access and work on roofs of current structures within Lake Elmo which have"lightweight construction" and have very steep roof lines. • It will provide better coverage within Lake Elmo and move closer to lowering our ISO rating, which has the potential to lower homeowners' insurance premiums by 25-30%. • It will allow for much more efficient response on fire calls by having an adequate ladder truck respond first,prior to operations being established. The asking price for this truck is $475,000. We understand that in this economy and constraints on City revenues,this is a tough issue to tackle; however, it is staff s responsibility to present such an opportunity to save the City money. At this time, the Fire staff is asking for the council authorize that this vehicle be investigated further,including travel to Kansas City to inspect the vehicle. We would recommend that we send Chief Malmquist and possibly one of other department member such as an Engineer(depending on availability); as a representative of EAM to inspect the vehicle mechanically; and, as in the past, Chief Jeff Anderson from Oakdale Fire Department. We have engaged Chief Anderson in the past to review truck specs and also look at trucks for possible purchase. Chief Anderson's background is in fire truck manufacturing and fire truck maintenance, and he has been a very valuable resource in the past. This would probably require an eight-hour drive to Kansas City and an overnight stay. Financing: One conventional way to finance is to issue equipment certificates, which can be issued for up to a 10-year period. This debt financing is not subject to levy limits for the property flax. A 10-year issue for$500,000 at current rates would require an annual payment of approximately $59,000. 1111tE BYE Ifa, { 1f'�i Ij{ !'.._.If � lag l URI 1 E r AM` ": �. P- ::--.,, .,_.._.,:...�.� ... .•-:--�--,:��ti,.ar..gym. .i�+s,++nt�.-r .._�kv� �s:r.:� i F - � � I v T �15 a r. 6 T t ;� - * c•a i II t � � 4`�_�t^i �'. a 'Lx'S S-2 � +�:-_7 44 INI'fH OFFICES.NATIONWIDE TM:SE YOUR APPARATUS NEEDS " . Main O,.ffice:l.'Q2D Riicho'Par1C Court,.Rancho'.C-u�camanga,"CA�1730 Ccntact Paul Batista or lsam Escamilla (Owners)at (9D9)4R6 7447' Fa�c (909)466 70 t2 F 7 .,} F -11 �#'�r.��r�u�{ , t ��y r.i �- r � :n 'sue - "[ss' � 4 A a■ t ■ m t i': VI r } r 1`e 5�.cr a4,� ��«-�"�'�a."�YB.fit,. x� '� #'€�• 'a4. t :�ise�:��4�':¢3,y yt- t .�.sr r tt}} ' .. ',, s _ .... _i.[i._ ,.�a� L�-.I u:,.,..�.�r ,. �J r- a..,`.r.-r .. �. � f':..4.'l.h�i r.. ..�f� __ ,.•f 3. Y ;:i J«i-.� d� - r IT rt- "r 1 .,,�,c'-45u:(- -&& i CITY OF LAKE ELMO City of Lake Elmo 651/777-5510 3800 Laverne Avenue North / Lake Elmo, MN 55042 MEMORANDUM TO: City Council FROM: Craig W. Dawson, Interim City Administrator Tom Bouthilet, Finance Director Joe Rigdon, Finance Specialist DATE: August 11, 2009, City Council Work Session SUBJECT: Proposed 2010 General Fund& Special Levies Budget The City Council faces a very challenging set of issues as it sets the General Fund budget and tax levies for 2010: • Tax revenue is constrained by State law(and will continue to be through 2011) and as the Council may view the extent to which the City's tax rate may be subject to change. The governor is unalloting Market Value Homestead Credit(MVHC), which the Council has the discretion of levying to recover. • Non-tax revenue is projected to be well below that of recent years before the current economic recession started; consequently, development and construction activity has been significantly curtailed, and so as has the City's collection of fees from it. • Beliefs are emerging that the metropolitan housing economy will start to rebound in the latter half of 2010;thus,the City should be prepared to handle the workload that processing new development will require. • The City's infrastructure of physical facilities and equipment continues to age, and the current tax levy constraints make it difficult to transfer moneys from the General Fund to capital funds. At least for the next few years,the City Council will need to consider issuing debt, which is a special levy and thus not subject to the tax levy limit, as it considers replacing finfrastructure and equipment. The old cliche of"doing more with less" is giving way to newer cliches of"doing the same with less" or"doing less with less". These latter two cliches are the realities facing Lake Elmo for 2010. The discussion of our recommended 2010 budget will focus on maintaining services as best as possible, and will provide alternatives to do"less with less." REVENUE Taxes are the subsidy needed to balance the budget after identifying the non-tax revenue. So first, look at the non-tax revenue: %4 printed on recycled paper 2010 Proposed Budget and Tax Levies Page 2 August 11, 2009, City Council Work Session Non-tax revenue is projected to be $467,138. This figure compares to $559,930 in the 2009 adopted budget, and$648,896 collected in 2008. Major changes projected in revenue items for 2010 include: • Building Permits: $100,000, a reduction of$40,000 from the 2009 budget. • Interest Earnings: $ 60,000, a reduction of$20,000 from the 2009 budget • Plan Check Fees: $ 32,000, a reduction of$13,000 from the 2009 budget, and the same percentage reduction as building permits. • MVHC: $ 33,759 is being unalloted from the City's 2010 property tax receipts for reimbursement for the State's the Market Value Homestead Credit(MVHC). This reduction results in $433,379 coming into the General Fund from non-tax revenue sources. The City may recover this unallotment as a special levy that does not count toward the levy limit. Tax Revenue is subject to levy limits enacted by the 2008 Legislature, and affects cities' budget years 2009-2011. The levy for operations is limited to the lesser of 3.9°% or the federal implicit price deflator(IPD) for governments. (There are several exceptions to operational expenses, but few apply and are minor in magnitude to Lake Elmo.) For taxes payable in 2010, the IPD, and thus the increase allowed for the levy, is 0.83%, or$19,357. Levies for debt obligations are not subject to the levy limit, nor are levies to recover the unallotments of MVHC in 2008 and 2009. Total new tax revenue for 2009 is as follows: $ 19,357 0.83% Levy limit $ 19,365 2008 MVHC unallotment $ 35,475 2009 MVHC unallotment $ 74,197 Total levy increase for operations The City will also be issuing bonds for the 2009 street improvement program. Assuming a$600,000 bond payable over 15 years,the debt obligation for 2010 would be $51,000. This is a special levy that is not subject to levy limits. To complete the table of new tax revenue: $ 51,000 2009 Street Improvement bond $129,197 Total levy increase possible Taxes collected to recover the 2008 MVHC unallotment could be considered as restoring the General Fund balance, as this is where that shortfall was reflected. Levying for 2009 MVHC would be to fund operations, rather than using the General Fund balance to cover that shortfall. Property Tax Revenue Base: Washington County does not yet have a preliminary figure for the City's total net tax capacity for Pay2010. The change in the City's total estimated market value for 2009 (and thus for Pay2010 taxes) dropped 5.0%. We have had to assume that this same reduction should be used for total net tax capacity, and thus resulting property tax rates. 2010 Proposed Budget and Tax Levies Page 3 August 11, 2009, City Council Work Session Property Tax Rate: The City sets a tax levy every year; that is,the amount of dollars needed to balance the budget. The tax rate is simply a mathematical result: the levy divided by the total net tax capacity. Unlike a sales tax rate that is set and then(potentially volatile)revenue is estimated,the City sets a levy for a known amount which results in an estimated tax rate. The tax rate can be a guide in targeting a tax levy for subsequent years,but it need not be static. It does not statutorily follow that if property values drop, taxes must be reduced accordingly. The statutory levy limit does not apply to the tax rate, but only to the total tax dollar revenue. Lake Elmo has had the distinction of a low tax rate compared to other cities. All cities are being challenged in trying to limit changes in their property tax rates. To the extent that cities levy to recover unalloted MVHC and Local Government Aid (LGA),their tax rates will rise whether or not their total tax capacity has been decreased. The following table illustrates reductions in revenue to the General Fund to keep the Pay2009 property tax rate constant for Pay2010: Pay2009 Levy $ 2,332,100 F Pay2010 Yield $ 2,190,889 $ 141,241 Reduction in Expenses needed 33,759=MVHC 33,759 " " $ 2,157,089 $ 175,000 " New Debt 51,000 51,000 " $ 2,106,089 $ 226,000 Reduction in Expenses needed A Variety of Buduet Alternatives Recommended Budget: In light of Council's comments to date about sensitivity regarding taxes and the tax rate for 2010,the need to keep the City's assets in good and serviceable condition,and the need to be prepared for activity when the economy recovers, the recommended budget essentially is to continue at the 2009 total revenue level with an additional special levy for the 2009 street improvement bonds. On the tax/revenue side of the budget, • The General Fund tax levy would remain at$2,332,130, and not increase to the levy limit level. This"unused capacity"can be applied to the levy limit for Pay2011. • The 2009 total property tax levy(including debt levies) of$2,708,610 would increase$51,000 to$2,759,610, This is a 1.88%increase in the tax levy. The tax rate would rise from 19.878% of tax capacity to an estimated 21.464%. The vast majority of residential properties would see an increase of$25 or less for the year-- $2 per month at most. • There would be no special levy to recover unalloted MVHC for 2008 or 2009. 2010 Proposed Budget and Tax Levies Page 4 August 11, 2009, City Council Work Session On the ex ense side of the budget, a The Building Official position would remain authorized,but left unfunded for 2010. As development activity recovers,the City can determine whether to contract for these services for a period of time or to fill the position if it appears that the recovery will be sustained. Increases in building permit revenues would pay for these added contract or staff services. Leaving the position unfunded would save approximately $101,600 (benefits included). • The 2009 budget included a 3.0%economic adjustment for wages and salaries,but this adjustment has not been made pending an assessment of the City's budget performance this year. It is proposed that a 1.5%economic adjustment be made October 1,2009,and on July 1, 2010. These adjustments will help keep the City's wage schedule competitive as other cities are malting minor adjustments, and will help staff with the increase in their payments for insurance through the City. The expense to the 2010 budget would be$22,500, To balance the budget,it is also proposed to have a one-week unpaid furlough for staff. Each week of furlough saves$18,000 in the General Fund. • Like most other paid/on-call fire organizations, the Lake Elmo Firefighter's Relief Association shows an actuarial deficit, and that will require a City contribution of$17,864. • With primary and general elections that the City must conduct in 2010, the additional expense in the elections budget is $11,000. 9 Other expenses,on the whole,would remain at or below 2009 levels, and result in an overall reduction of$58,400. • Expenses do not reflect any special requests made to the City Council for funding in 2010. (As an example,the Washington County Agricultural Society is requesting funding"in the $500 to $10,000 range"to the 4-H program.) • There would be no funding for emerging issues like emerald ash borer. • There would be no transfers to capital infrastructure or equipment funds. The major changes above would result in a$68,200 reduction in expenses. In the overall General Fund budget,however,operating expenses would be reduced $126,600 from the 2009 budget, a 4.4% decrease. Most of the remaining reductions totaling$58,400 occur due to additional changes in personnel costs throughout the budget, and$30,000 in fire-related expenses ($10,000 in training for fewer new firefighters, and$20,000 less in pass-through of State funds to the relief association). A major guiding princi le in developing any sound budget is to use one-time revenues only for one- time expenses. Consequently, it is not recommended to use any of the balance in the General Fund toward the 2010 operating budget. If the Council is inclined to tap the balance,the moneys should be placed in capital funds. Alternatives To Reduce Expenses in order to Lower the Recommended Tax Rate: The largest component of any city's general fund budget is its personnel costs, as activities in this fund are relatively labor-intensive. In the City's general fund, when one includes the costs of the contract with the Washington County Sheriff for four deputies' service dedicated to Lake Elmo,the cost of wages, salaries, and benefits is 54.7%of expenses. Unfortunately, the only practical way to make significant decreases in expenses is to reduce funding of some staff positions (preferably through layoff, rather than reducing the number of authorized positions). We have identified positions for the Council to consider, and listed many of the effects anticipated with each unfunded position. The reduced personnel costs include all benefits: 2010 Proposed Budget and Tax Levies Page 5 August 11, 2009, City Council Work Session Reduce Seasonal Public Works from 4 to 1 $ 45,300 Not fund Project Asst to City Admr 51,000 Not fund Planner position 76,300 Not fund one Heavy Eqpt Operator/PubWks 44,000 * Less unemployment compensation (81,000) ($27,000 per *) $135,600 Total for City staff Reduce assigned Deputies from 4 to 3 $119,200 $254,800 Total reductions in personnel costs 1) Reduction in Seasonal Public Worlcs Staff The City currently has four part-time/seasonal positions in Public Works(streets and parks)that, during the warmer months of the year that they are employed,provides the equivalent of two staff positions. These positions are used to mow,trim, and maintain parks and equipment in addition to assisting in street,water, wastewater, and stormwater maintenance and repairs. We believe if seasonal staff were to be reduced, one seasonal staff position should remain in order to minimally handle the additional workload during the warmer part of the year. If two positions were not funded, the saving would be $45,300. Reducing part-time seasonal staff would result in less quantity and frequency of maintenance generally in public works, including street patching and maintenance,turf maintenance and upkeep of parks,clearing culverts,assisting with public events,etc. Several tasks would take longer to complete, and would likely result in overtime being paid to full-time staff As staff is less able to maintain infrastructure and equipment as they should be,needed repairs or replacements will occur sooner,and often at more expense. 2) Not Fund Project Assistant to the City Administrator Position The part-time (0.6-time) Project Assistant position was added a few years ago in order to handle on- going responsibilities as well as special projects. Primary duties have been in the areas of park project planning and administration, staff support for the Park Commission, grant-writing and implementation of awards, community communications (e.g.,City Newsletter, contamination issues), City website,oversight of information technology, and miscellaneous matters related to City facilities. If this position were not funded,the saving would be $51,000. These responsibilities could be assumed by other staff positions, or perhaps be contracted as necessary. There would be a loss of continuity of efforts in park planning, seeking grants, communications, and supporting the Park Commission by transferring them to other staff,as well as to a new person if the incumbent assistant were not available when funding for the position was restored. 2010 Proposed Budget and Tax Levies Page 6 August 11, 2009, City Council Work Session 3) Not Fund Planner Position The Planning Division has two positions: the Planning Director, and the Planner. As the director also has responsibility for the Building Division,there is one staff position to focus solely on processing planning matters. Not funding the Planner position would result in work shifting to the already full schedule of the Director, and perhaps to contracted planning assistance. If the Planner position were not funded,the saving would be $76,300. Among the anticipated impacts of not filling the Planner position are: • Direct Public Impacts: o Difficulty in responding to public inquiries and questions. Approximately 40 inquiries (telephone, email,or walk-in) are handled each week, and generally one planner is available to handle them as they occur. o Proper and timely routing of land use matters to other staff This process also ensures that a planner is on top of a review as it addressed by others (e.g., building official, engineer, attorney). o Review of building permits. Processing building permits has been strengthened by the planner's review of all building permits for zoning issues (e.g., setbacks, special conditions), The number of non-new building permits has remained relatively constant, and these are reviewed by the Planner. o Back-up for the front counter. • General Service Impacts: o Planning Commission--The Commission will resume its twice-monthly schedule in September 2009. The Planner is primarily responsible for the preparation of the agenda and reports,presenting the agenda items, and preparing the minutes of the meeting. o Having a staff planner has reduced the use of planning consultant services, and has the benefit of better internal communication and consistency when being done in-house. o Zoning Code enforcement has become more consistent with a two-step process: the inspector makes inspections and gathers information. Enforcement of zoning matters is handled by Planning staff. o Timeliness and the quality of review and processing land use applications to comply with the"60-day rule". • Long-term Planning and Projects: o City-initiated Comprehensive Plan or Zoning/Map amendments would have less staff time available for them o The Planning Commission work plan includes a major update to the Comprehensive Plan, especially to the Village area,that will be the topic of meetings over several months. 2010 Proposed Budget and Tax Levies Page 7 August 11, 2009, City Council Work Session • Future Issues: o The Planning Department manages all of the information posted on its portion of the City's web site, and most of this work is done by the Planner. o The City will need two planners if it is to develop at the rate and number identified in the Comprehensive Plan. It would take a considerable investment of time and effort to train a new person when building activity increases. A planning consultant with a high level of experience would be more costly than retaining funding for the current position. o With the lowered level of activity,the staff has been able to make improvements in the building permit process, consistency in the code enforcement process, improving the City's mapping and electronic data system, and other tasks that will improve efficiency and cost-effectiveness. It should be noted that in 2009, the incumbent planner has voluntarily reduced her schedule to 0.8- time, and thus has flexibility to work up to 8 more hours/week as necessary without incurring overtime. 4) Not Fund One Heavy Equipment Operator(Public Works)Position The Public Works staff performs work in both the General Fund and the three utility enterprise funds. Time is allocated 65% to the General Fund, and 3 5%to the utility funds, and a recent review confirms that this allocation is accurate. Not funding one position would result in a$44,000 saving to the General Fund. Public Works staff is cross-trained, although there is some specialization among them. One fewer position would have ramifications across all public works activities. Among the impacts anticipated from a smaller staff are: • Snow plowing is now done generally within one eight-hour shift. With fewer operators, an additional two to three hours would be needed to complete the routes, and would be paid with overtime. • The time to complete pothole patching would be extended. • MS4 (stormwater system) inspections would be made by staff, but tasks that have been assigned for Public Works to accomplish would need to be contracted. • Right-of-way tree and brush trimming for sight-distance and sign visibility would need to be contracted. • Shoulder work at the edge of bituminous pavement is important but time-consuming; less work could be done and more would be deferred. • It will take longer to resolve watermain breaks and other emergencies, lengthening the inconvenience to those affected. • Regulatory signs would be maintained for compliance, but street identification sign maintenance and replacement would not be done on a timely basis. • Equipment repairs currently done by staff for public works and some fire equipment would need to be contracted. • Events such as Huff-n-Puff, Fall Festival, tree planting, clean-up days, and other volunteer activities, would have fewer staff available to prepare and be present for them. 2010 Proposed Budget and Tax Levies Page 8 August 11, 2009, City Council Work Session As mentioned earlier,with fewer staff, several tasks would take longer to complete, and would likely result in overtime being paid As staff is less able to maintain infrastructure and equipment,needed repairs or replacements will occur sooner, and often at more expense. Contracting for services now performed by staff would likely not result in much in the way of net savings, and would require additional staff time to arrange for and oversee contractors' work. 5) Reduce the Number of Deputies Assigned to Lake Elmo The City currently contracts with the Washington County Sheriff s Office for additional police services,and under the current arrangement the Sheriff provides four deputies assigned to serve in Lake Elmo. Lake Elmo receives 18 dedicated shifts per week, and other on-duty deputies can provide assistance as they are available. Three shifts per week currently are not covered with an assigned officer. For reasons of managing personnel efficiently,the Sheriff's Office provides assigned deputies on a full-time officer basis;that is, it will not offer the partial-time(e.g., 0.5-time) of a deputy. If a reduction were to be made in the number of assigned deputies, it would be a full-time deputy, and the saving would be $119,200, With this reduction, Lake Elmo would receive 12 assigned shifts per week. During the nine shifts in the week without assigned deputies, the Sheriff would respond only to statutorily-required emergencies. The responding deputy may need to respond from a significant distance(e.g.,Denmark Township, Stillwater Township), which thus would result in a longer response time. The resulting lack of presence would impair the community-oriented policing approach of the Sheriffs Office, and the gains made with a greater presence over the past few years. Concluding Remarks: The circumstances in which to plan the 2010 General Fund budget are among the most challenging we have ever seen. In addition to the statutory constraints on revenue, we sensed diverse expectations among the Council about what the results of the budget should be. Consequently, we have proposed a recommended budget and identified several alternatives, and their effects on services and infrastructure,for the Council to consider. The recommended budget should permit the Council to provide good stewardship of the City's corporate assets and services on behalf of the residents and businesses in Lake Elmo, and do so while providing a good value for them. It is a responsible budget in a challenging time to protect the condition of the City's assets and have the City positioned for demands when the economic recovery occurs. We look forward to further direction from the Council.