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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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9/6/2024 <br />10 <br />2024 BUDGET - COST DRIVERS <br />CONTRACTED SERVICES – 10% of expenditures, net decrease of ($60,980) mainly as a <br />result of Hennepin County Board of Commissioner’s decision to no longer charge cities <br />for assessing services; this will be levied through the county’s levy going forward. <br />Construction permits inspections budgeted at an increasing baseline activity has <br />results in greater expense of $5,394. This increase has no impact on the levy as the <br />inspection fee is a percentage of permit revenue received. <br />Assessor (decrease of $82,000), attorney – reduced budgeted contingency, auditor, <br />engineer and planner services reflect rates and activity in these accounts. The net <br />result of these factors is cost decrease of ($107,000) <br />Contracted information technology costs up $22,383. <br />Miscellaneous service contracts are estimated to increase by $18,940. This is driven <br />by police and fire increases in contracted costs, and remaining costs impacted by <br />inflation. <br />2024 BUDGET - COST DRIVERS <br />OTHER INSURANCE COSTS –5% of expenditures, overall costs up by $17,575. <br />The worker's compensation insurance experience rating improved by 11% in the 2024‐2025 <br />renewal period, combined with overall rate reductions of 15% resulted in a savings of <br />16.86% for the 2024/2025 policy renewal, resulting in a savings of $58,230 in workers’ <br />compensation premiums for the policy year. The budget year is a combination of half prior <br />renewal period rates and half current renewal period rates, resulting in a small overall <br />increase when combined with the prior year increase of 17.2% <br />Liability, property and casualty premiums are projected increase by $24,469 in 2025. Main <br />contributors to this are a 16.35% increase in municipal liability, 32.56% increase in auto, and <br />19.5% increase in excess liability premiums, the net increase is 13.64 % <br />33
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