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CC PACKET 09102024
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CC PACKET 09102024
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9/12/2024 9:26:36 AM
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9/12/2024 9:25:53 AM
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9/6/2024 <br />9 <br />2025 BUDGET - COST DRIVERS <br />PERSONNEL COSTS – 71% of expenditures, overall budgeted costs increased <br />by 749,652 <br />The 2025 base wage increase is based on the anticipation of city’s unions <br />accepting a 3% cola along with appropriate market adjustments. The net cost <br />impact on reoccurring wage base is $442,961. Other factors creating the <br />additional $233,766 of costs are as follows: <br />o The police department budget includes the full year impact of restoring the lieutenant position <br />and adding a VCET officer in 2024. These additions occurred mid‐year. The budget impact is an <br />increase of $152,860 in 2025. <br />o Similarly, the assistant fire chief position was added midyear in 2024, the impact of the full year <br />of the position in 2025 will be an increase of $68,828. <br />2025 BUDGET - COST DRIVERS <br />PERSONNEL COSTS – 71% of expenditures, overall budgeted costs increased <br />by 504,897 or 8.55% (continued) <br />Union negotiations are still ongoing, with high market demands driving up requests and <br />having a more significant impact on the levy than in previous years. <br />Health insurance premium increase of 9.1 % is shared 50/50 by the city and the <br />employees. The 2025 impact of the shared increase is $72,925 (includes elected coverage <br />changes from 2023 to 2024). <br />32
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