Agenda Packets - 2024/05/13 - Laserfiche WebLink

Home Browse Search

MOUN-DitSMEW City of Mounds View Staff Re rt Item No. 08E Meeting Date: May 13, 2024 Type of Business: Council Business City Administrator Review: To: Honorable Mayor and City Council From: Gayle Bauman, Finance Director Item Title/Subject: Resolution 9919 Adopting a Five Year Financial Plan for 2025 thru 2029 Introduction The City Charter, Chapter 7.05, requires that a five year financial plan be prepared annually. It must be presented at a public meeting and adopted by motion or resolution. Residents are welcome to comment on the plan at this meeting. The components of the Five Year Financial Plan are attached for Council consideration. These are the Vehicle & Equipment Replacement Plan, the Capital Improvement Program, and the impact on fund and cash balances for the capital and utility funds. This five year plan should be considered a work -in -progress and a guide for Council and Staff to make longer range decisions. As new information becomes available and conditions change, we can update the components to determine the longer range effect. Vehicle and Equipment Replacement Plan The schedule has been updated to reflect retirements, new acquisitions, increased replacement costs, and changes to expected useful lives. The current amounts transferred to the Vehicle and Equipment Fund from the participating funds have been adjusted to better reflect the needs of the fund based on the items included. Capital Improvement Program (CIP) The Capital Improvement Program has been updated to reflect changes in the project list and is presented for your consideration. There is not always sufficient cash on hand to complete the projects listed. Funding sources will need to be evaluated prior to approving any project moving forward. Impact on Fund and Cash Balances This presents the sources and uses and impacts to fund or cash balance for the capital and utility funds. • Park Development Fund — is not be able to support any major park projects. • Special Projects Fund —the outcome of the Park System Master Plan should assist the council in determining what projects are needed and when. Need to look at increasing the amount contributed to this fund which currently sits at $75,000. • Street Improvements Fund — requires a larger dedicated source of revenue. It is proposed to direct 10% of the annual LGA funds here. • Water Fund — requires a fairly significant user charge increase. Staff will analyze the fund and current billing structure and bring back recommendations to the council.