Agenda Packets - 1984/10/22 - Laserfiche WebLink

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1984 LUNG TERM FINANCIAL. PLAN Page Twenty -Five Another area in which the City has been successful in obtaining grants -in -aids has been street maintenance. Increased revenues for maintenance of Minnesota State Aid (MSA) Streets has been obtained in 1984. It is anticipated that the City will continue to receive increased maintenance funds in the future. Other grants -in -aids received by the City include: Civil Defense, Police Training and Police and Fire State Aids to offset police and fire department pension costs. Through these revenue sources the City seeks to reduce reliance on property tax leview. Additionally, property taxes and all other revenue sources are used to meet the City's goal of achieving balanced budgets by financing current services with current revenues. Utility Services Current operations of the Water and Sewer utilities should be financed entirely from the fees charged the users of the utilities. User fees should be established at a level sufficient to provide for annual recurring operating expenses, depreciation expenses, retirement of bonded debt, and an allowance for emergency repairs. This wil ensure that users of the utilities will pay their fair share for services received and will also maintain the financial integrity of the Water and Sewer Fund. CAPITAL IMPROVEMENTS Methods for financing capital improvements will vary with the types of improvements and conditions which exist at the time the project is undertaken. Traditional public improvement projects include but are not limited to water mains, sewer mains, storm sewers, paving of streets, curbs and gutters. These improvements should be financed entirely from special assessments which are assessed against benefitted properties. Capital Improvements of the Water and Sewer Utilities should be financed from fees of the users of the utilities. These improvements could include, but are not limited to, water towers, wells, filtration and treatment plants. Construction costs could be paid for by the issuance of revenue bonds. The bonds could be retired through revenues of the utilities. As far as practicable capital improvements of these utilities should be financed by current revenues or by funds wich have been set aside for future capital projects. The City has established the Water Systems Contributions Fund to finance maintenance and/or construction of the City's water system. Water availability charges collected from individual's connecting to the City's water system are the fund's source of revenue. As of 12-31-83 the fund had a balance of $223,465.