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examination produce the drivers associated with the proposed 4.8% increase in the Overall
<br />Levy - see below:
<br />
<br />General Fund Expenditures:
<br />
<br />• Personnel costs – 70.5% of expenditures, costs increased by $229,900 or 4.24%
<br />• The 2022 wage increases reflect the estimated Union contracts settlements, at a
<br />cost of $186,855 or 3.91%. Please note that the 2021 Budget anticipated open
<br />positions being filled during 2021 versus 1/1/2021. Therefore, a portion of the
<br />increase represents positions being staffed all year. Union Longevity and Step
<br />increases occurring in 2022 are also factored in the 2022 costs.
<br />• Includes an allowance for an additional fulltime firefighter starting mid-year. The
<br />Fire Chief is seeking a grant which would fund 50% of this position. Net cost is
<br />estimated at $27,250 for 2022.
<br />• A risk allowance of $45,688 has been included for union settlements.
<br />• Health Insurance premium decrease of 3.2 % is shared 50/50 by the City and the
<br />employees, expected savings are $25,894.
<br />
<br />• Contracted services – 11.0% of expenditures, overall increase of $38,217.
<br />• Construction permits inspections budgeted at an increasing baseline activity has
<br />results in greater expense of $24,261. This increase has no impact on the levy as
<br />the inspection fee is a percentage of permit revenue received.
<br />• Assessor, Attorney, Auditor, Engineer and Planner services reflect rate and activity
<br />increases. The net result of these factors is cost impact of $13,894.
<br />• Contracted Information Technology costs down $5,000.
<br />• Miscellaneous service contracts are estimated to increase by $5,091.
<br />
<br />• Other Insurance costs – 4.4% of expenditures, overall costs up by $3,321.
<br />• Workman's Compensation experience rating improved 8% in the 2021-2022
<br />renewal, offset by duty related rate increases, resulting in a cost increase of $19,667
<br />or 10.7%.
<br />• 2021-2022 Liability, Property and Casualty premiums to decrease by $16,346 due
<br />to improved experience rating, absorbing the impact of rate increases.
<br />
<br />• Pass through costs – 2.2% of expenditures, costs up $1,325.
<br />• In 2021 the New Brighton fuel sales ended and the St. Anthony fire relief state aid
<br />was paid directly to the PERA pension plan. Therefore, the total amount of 2022
<br />expected expenditures for this category has dropped substantially.
<br />
<br />• Remaining budget line items – 11.9% of overall expenditures or $953,210, costs up
<br />$69,481. The overall increase includes $20,000 for a Community survey and returning to
<br />pre-COVID activity levels which increases spending on communications, supplies,
<br />repairs and maintenance, training, utilities and fuels. Also, inflationary factors of 3% to
<br />6% have been applied to many of the estimated costs as well.
<br />• Costs include repairs and maintenance, utilities, fuels, training, supplies,
<br />communications, sustainability programing, road maintenance, printing and
<br />publications etc.
<br />
<br />General Fund Revenues:
<br />
<br />• Liquor transfer to the General Fund remains at $250,000 for 2022.
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