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HomeMy WebLinkAboutCC WORKSESSION PACKET 10262020If you would like to request special accommodations or alternative formats, please contact the City Clerk at 612-782-3313 or email city@savmn.com. People who are deaf or hard of hearing can contact us by using 711 Relay. The meeting can be viewed live via cable channel 16 in the North Suburbs or the web broadcast at https://www.ctvnorthsuburbs.org/live-tv/channel-15. Due to health concerns and limited seating, we encourage people to view the meeting by using this link: http://www.savmn.com/Calendar.aspx?EID=1187 A dial-in option is available. Members of the public who wish to attend the meeting may do so in person. Following guidance from state health officials, some City Council Members may choose to participate in upcoming meetings electronically pursuant to MN Stat. §13D.021. Work Session Agenda Monday, October 26, 2020 5:30 p.m. 1. Capital Improvement Plan (CIP) Budget. Shelly Rueckert, Finance Director, presenting 2. 2021 Utility Fees. Shelly Rueckert, Finance Director Presenting 3. 2021 Fee Schedule. Shelly Rueckert, Finance Director Presenting 4. Accepting Credit Cards for Utility Bill Payments, Permits and Licenses. Shelly Rueckert, Finance Director Presenting 5. City Manager Recruitment. Mayor Stille presenting 6. Future Work Session Dates, Times & Agenda Items. Charlie Yunker, Interim City Manager presenting - Absentee voting messaging from the Council - City-wide internet access (USI Fiber?) - Family Services Collaborative update - Planning Commission interviews, sometime after November 13th - Plan for annual Goal Setting session in January, 2021 7. Adjournment City of St. Anthony CITY COUNCIL WORK SESSION Minutes September 14, 2020 Present: Mayor & Council Randy Stille, Mayor; Bernard Walker, Councilmember; Thomas Randle, Councilmember; Wendy Webster, Councilmember and Jan Jenson, Councilmember. Absent: None Staff: Charlie Yunker, Interim Manager. Consultants: Keith Dahl, Financial Advisor (Ehlers), Stacie Kvlivang, Financial Advisor (Ehlers) Call to Order: Mayor Stille called the Work Session to order at 5:30 p.m. Development 65: Mr. Dahl presented the TIF assistance recommendation. Ehlers recommends 90% of increment generated, with 10% to cover administrative costs. Costs are verified as qualified for TIF assistance. With applicant taking on site utility work, the assistance is deemed appropriate. Of total development TIF assistance represent 6.3% of total project costs. Recommendation includes creating district to cover all 14 acres of the property to provide future flexibility for possible future projects. Not doing so would limit the city to only a housing district in the future with the conditions of those districts. Council member Walker asked if establishing district would limit future affordable housing. Ehlers responded it is possible but dependent on future market forces. CARES Act Funding: Staff presented proposal to explore utilizing funds for NYFS and CS. Council supported exploring the option and gave direction to proceed and report back. City Manager Search: Mayor Still reported on progress. Stille and Jenson spoke with DDA and was willing to complete the search for $21,000. Stille commented that the recruiter participated in the City’s goal setting a number of years ago, so has familiarity with the City. Jenson discussed leadership style assessment and equity and inclusion areas for the evaluation process of candidates. Council discussed the importance of equity in the process. Official selection of the firm will be made at the September 22, 2020 regular City Council Meeting. Future Work Session Dates: The next scheduled Work Session will be Monday, October 19, 2020. One of the agenda items to discuss will be an update on the new City Manager search process. Adjournment: The meeting adjourned at 6:09 p.m. Respectfully submitted by Charlie Yunker, Interim City Manager. TO: MAYOR AND COUNCIL MEMBERS FROM: SHELLY RUECKERT, FINANCE DIRECTOR SUBJECT: 2021 UTILITY RATES DATE: OCTOBER 22, 2020 The utility rates recommended herein for 2021 builds on the multi-year approach towards rate adjustments that began in 2012. The parameters used for adjusting rates are as follows:  Align revenue sources with corresponding costs  Provide transparency as to the basis of rates and rate adjustments  Maintain a structural balanced operation  Ensure that rates appropriately support the ability to: o Provide safe drinking water o Properly discharge sanitary sewer flows o Appropriately control and treat stormwater runoff Water Rates: As part of the annual rate adjustment process the water production and distribution costs are categorized as fixed in nature or usage driven. The 2021 budgeted water costs are comprised of $739,182 in fixed costs and $928,066 in usage driven costs, see table A summary below: OPERATING DEPRECIATION OVERALL FIXED 487,088 42% 252,094 50% 739,182 44% USAGE 674,794 58% 253,272 50% 928,066 56% 1,161,883 100% 505,366 100% 1,667,249 100% The Multiyear approach to water rates includes the phase in of the flat fee which began in 2016. The transition process expected the usage rate growth to decelerate as flat fee was phased-in. Based on estimated actual results for 2020 and updated 2021 budgeted costs the proposed rates for 2021 are reflected below. Proposed 2021 water rates: 2020 2021 Per 1000 gallons Rates Rates $ Increase Water Tier I 3.07 3.13 .06 Water Tier II 3.24 3.30 .06 Water Tier III 3.55 3.63 .08 Water Tier IV 4.08 4.16 .08 Water Tier V 5.12 5.22 .10 Irrigation 4.08 4.16 .08 Quarterly flat fee 13.40 17.75 4.35 The above rates are projected to produce $1,178,842 in revenues assuming water consumption similar to 2020. At this level of revenues the operating income before depreciation is budgeted to be $17,609. The water budget is attached as Exhibit A. The recommendation’s impact on 2021 quarterly Water bills are reflected below: 2021 Tier Rates 3.13 3.13 3.30 3.63 4.16 5.22 2021 Usage levels 4,600 7,500 15,000 22,500 30,000 37,500 Fixed Fee 17.75 17.75 17.75 17.75 17.75 17.75 Usage 14.40 23.48 48.24 75.43 106.63 145.79 2021 Billing 32.15 41.23 65.99 93.18 124.38 163.54 2020 Billing 27.52 36.42 60.70 87.35 117.94 156.33 DIFFERENCE 4.63 4.81 5.30 5.83 6.44 7.21 Sewer Rates: As part of the annual rate adjustment process the sewer treatment and collection system costs are categorized as fixed in nature or flow volume driven. The 2021 budgeted sewer costs are comprised of $511,933 in fixed costs and $771,894 in flow volume driven costs (usage), see table B summary below: OPERATING DEPRECIATION OVERALL FIXED 436,237 37% 75,697 70% 511,933 40% USAGE 739,453 63% 32,441 30% 771,894 60% 1,175,690 100% 108,138 100% 1,283,828 100% The Multiyear approach to sewer rates also includes the phase in of the flat fee. As part of the transition process the usage rate growth was expected to decelerate as flat fee was phased-in. Based on estimated actual results for 2020 and updated 2021 budgeted costs that expectation is reflected in the proposed rates for 2021. Proposed 2020 Sewer rates are below: 2020 2021 ($ Decrease) Per 1000 gallons Rates Rates $ Increase Sewer Usage rate 4.64 4.64 - Qtr. Collection system charge 12.80 15.25 2.45 The above rates are projected to produce $1,270,083 in revenues in 2021. At this level of revenues the operating income before depreciation is budgeted to be $94,393. The sewer budget is attached as Exhibit B. The recommendation’s impact on 2021 quarterly Sewer bills is reflected below: 2021 Sewer Rate 4.64 4.64 4.64 4.64 4.64 4.64 2021 Usage levels 4,600 7,500 15,000 22,500 30,000 37,500 Fixed Fee 15.25 15.25 15.25 15.25 15.25 15.25 Usage 21.34 34.80 69.60 104.40 139.20 174.00 2021 Billing 36.59 50.05 84.85 119.65 154.45 189.25 2020 Billing 34.14 47.60 82.40 117.20 152.00 186.81 DIFFERENCE 2.45 2.45 2.45 2.45 2.45 2.45 Stormwater rates: The multi-year approach to Stormwater rates in place since 2012 called for an annual increase for single family residential (classifications 2 & 3) of thirty-five cent ($.35) increase. This represents a 2.12% increase in rate and should generate $4,200 in additional revenues (assuming no new construction). The 2.12% rate increase will be applied to all levels of stormwater charges. The historical impact on a residential single family user is as follows: The rate increase for other land use categories is consistent with the increase in single family residential (classifications 2 & 3) as see below: Quarterly Bill Usage Rate % Change 2011 $13.00 - - 2012 $13.35 $0.35 2.69 2013 $13.70 $0.35 2.62 2014 $14.05 $0.35 2.55 2015 $14.40 $0.35 2.49 2016 $14.75 $0.35 2.43 2017 $15.10 $0.35 2.32 2018 $15.45 $0.35 2.27 2019 $15.80 $0.35 2.22 2020 $16.15 $0.35 2.17 2021 $16.50 $0.35 2.12 Classification-Land Use Proposed 2021 Charge 2020 Charge % Change 1-Cemeteries, parks, golf courses, railroads, vacant land $68.35 per acre $66.94 per acre 2.12% 2- R-1, R-1a, and R-2 residential $65.87 per unit $64.60 per unit 2.12% 3- R-3 residential $65.87 per unit $64.60 per unit 2.12% 4- Schools and institutional uses $157.33 per acre $154.14 per acre 2.12% 5- R-4 Residential , churches and manufactured home parks $200.67 per acre $196.60 per acre 2.12% 6- Commercial and industrial $250.69 per acre $245.60 per acre 2.12% The overall annual impact of the recommended rates for a residential customer at each of the five tier levels is below: The Water/Sewer Utility fund summary budget is attached as Exhibit C. Lastly a long range Utility revenues plan is attached as Exhibit D. The plan addressed a strategic plan goal to develop long term revenue planning. The rates are being managed to begin supporting capital needs of the water and sewer operations. The current plan projects that support to begin in 2022 with a transfer to Utilities Infrastructure fund. The plan includes assumptions regarding future City costs and MCES treatment costs. It also factors in the retirement of water /sewer bonds occurring in 2024. A minimum cash balance was established to recognize that the quarterly billing and collection process is recovering 90-120 days of prior cash outlays. No growth in accounts or usage was factored in the projection. Real growth will be noted annually through the process of updating the base year results. With these factors in place the phase-in of the flat fee and usage rate adjustments were determined. Staff believes the model will help guide year to year rate increases while being flexible enough to keep the annual increases reasonable for utility customers. As always your comments and suggestions are welcomed. Tier Level 1st -7,500 2nd -15,000 3rd -22,000 4th -30,000 5th- 37,500 Distribution (1st Qrt. 2019) 32% 49% 15% 3% 1% 2021 Proposed 107.78 167.34 229.33 295.33 369.29 2020 Actual 100.17 159.25 220.70 286.09 359.29 Quarterly Increase 7.61 8.10 8.63 9.24 10.00 Annual Increase 30.44 32.38 34.52 36.96 39.99 Fiscal Year 2021 12/31/2018 ACTUAL ACTUAL ACTUAL ACTUAL BUDGET EST. ACTUAL BUDGET % Change EXHIBIT A 2016 2017 2018 2019 2020 2020 2021 in Budget OPERATING INCOME 701-3710-0-0-00 WATER BILLINGS 911,902$ 938,997$ 978,966$ $988,887 $1,088,000 $1,087,693 $1,172,342 9.99% Includes the 2021 phase in of flat rate increase along with 2% increase in usage rates 701-3715-0-0-00 WATER ON/OFF FEES 525 915 180 45 550 550 500 0.00% No change in rate 701-3717-0-0-00 PENALTIES WATER 5,500 5,876 5,876 8,400 6,000 3,000 6,000 -9.22% No change in rate TOTAL 917,927$ 945,788$ 985,022$ $997,332 $1,094,550 $1,091,243 $1,178,842 9.85% DISTRIBUTION OPERATING EXPENDITURES 701-4110-80-0000 WT REGULAR EMPLOYEE 298,315$ 317,302$ 324,816$ 338,881$ 343,643$ 340,850 354,121 3.05% INCLUDES ESTIMATED 2021 WAGE ADJUSTMENTS / STAFF TURNOVER FROM 2020 701-4111-80-0000 WT OVERTIME EMPLOYEE 16,381 21,329 25,579 31,252 26,910 24,662 28,361 5.39% FROM DEPT SUMMARIES OT 701-4121-80-0000 WT PERA 23,433 23,892 25,585 26,438 27,791 26,699 28,686 3.22% BASED ON PERA FUNDING RATE 7.5% 701-4122-80-0000 WT FICA/MEDICARE 23,637 24,164 25,238 27,033 28,347 27,233 29,260 3.22% BASED ON ER 7.65% OF GROSS 701-4131-80-0000 WT INSURANCE HEALTH 58,664 51,904 53,462 56,141 55,553 56,538 61,883 11.39% SPLIT 9.4% PREMUIM INCREASE IN 2021 701-4135-80-0000 WT INSURANCE WC 11,559 9,895 9,265 9,175 9,128 9,685 13,264 45.31% BASED ON 2019/2020 RENEWAL 701-4211-80-0000 WT OFFICE SUPPLIES 721 585 633 1,020 750 725 800 6.67% 2021 PROJECTED RUN RATE 701-4212-80-0000 WT MOTOR FUELS 4,152 4,557 6,015 5,762 6,756 5,305 6,532 -3.32% 2020 contracted cost per gal $2.13 / 2021 projection $2.28 / 3yr avg usage 701-4221-80-0000 WT SUPPLIES-EQUIPMENT 762 118 837 538 575 836 625 8.70% 2021 PROJECTED RUN RATE 701-4226-80-0000 WT GENERAL SUPPLIES 4,253 3,396 5,649 12,081 9,500 8,865 11,500 21.05% More meter radios battery @ end of life 701-4300-80-0000 WT AUDITOR 7,350 8,324 7,443 7,476 7,601 7,076 8,072 6.20% BASED ON AUDITOR CONTRACT 701-4309-80-0000 WT IT & SFTW SUPPORT 21,693 20,640 22,801 22,990 27,615 32,136 32,700 18.41% BASED ON CONTRACTED IT /SW SPREADSHEET (SPLIT W/701-4308-85) 701-4310-80-0000 WT MISC CONTRACTED SERVICES 326 4,307 2,194 3,871 4,416 2,712 3,328 -24.64% BASED ON Misc CONTRACTED SERVIES spreadsheet 701-4310-80-0100 WT METER READING FEES 7,500 10,232 7,970 8,217 8,470 8,470 8,724 3.00% Sensus fees /estimated annual billing 701-4325-80-0000 WT COMMUNICATIONS 10,391 9,255 10,275 9,860 10,200 10,280 10,800 5.88% BASED ON COMMUNICATION SPREADSHEET 701-4337-80-0000 WT MAIN REPAIRS & MAINTENANCE 1,104 5,548 4,638 19,884 11,730 11,795 13,500 15.09% Budgeted for 1 major main break annually 701-4339-80-0000 WT EQUIP REPAIRS & MAINTENANCE 5,039 4,752 3,789 6,727 3,500 4,021 4,250 21.43% MAJORITY MOVED PRODUCTION COSTS IN 2016 701-4340-80-0000 WT BLDG REPAIRS & MAINTENANCE - - 38 117 - - - 0.00% MOVED PRODUCTION COSTS 701-4341-80-0000 WT TRAINING, CONF. & MTG. 1,295 1,002 1,113 923 650 650 1,100 69.23% 2021 PROJECTED RUN RATE 701-4341-80-0100 WT TUITION- CERTIFICATIONS 371 414 326 438 450 450 400 -11.11% 2021 PROJECTED RUN RATE 701-4342-80-0000 WT MEMBERSHIPS & DUES 491 - - - 510 510 525 2.94% 2021 PROJECTED RUN RATE 701-4350-80-0000 WT PRINTING AND POSTAGE 1,681 3,840 2,476 2,738 4,422 3,672 4,400 -0.49% 2021 PROJECTED RUN RATE 701-4381-80-0000 WT ELECTRIC AND GAS UTILITIES 86,619 11,519 15,457 9,717 12,881 6,300 6,552 -49.13% MAJORITY MOVED PRODUCTION COSTS IN 2016 TOTAL 600,246$ 536,974$ 559,170$ 602,437$ 601,399$ 589,471 629,383 1.28% WATER OPERATIONS Fiscal Year 2021 12/31/2018 ACTUAL ACTUAL ACTUAL ACTUAL BUDGET EST. ACTUAL BUDGET % Change EXHIBIT A 2016 2017 2018 2019 2020 2020 2021 in Budget WATER OPERATIONS PRODUCTION OPERATING EXPENDITURES 701-4110-85-0000 REGULAR EMPLOYEE 56,678 58,161 60,139 62,559 66,075 64,411 66,806 1.11% INCLUDES ESTIMATED 2021 WAGE ADJUSTMENTS 701-4111-85-0000 OVERTIME EMPLOYEE 712 1,024 367 936 1,050 1,800 1,500 42.86% FROM DEPT SUMMARIES OT 701-4121-85-0000 PERA 4,768 4,900 5,078 5,458 5,034 4,966 5,123 1.76% BASED ON CURRENT PERA FUNDING RATE 7.5% 701-4122-85-0000 FICA/MEDICARE 4,875 4,973 5,156 5,589 5,135 5,065 5,225 1.76% BASED ON ER 7.65% OF GROSS 701-4131-85-0000 INSURANCE HEALTH 9,235 10,126 11,036 10,339 11,000 12,828 14,020 27.45% SPLIT 9.4% PREMUIM INCREASE IN 2021 701-4135-85-0000 WTR FILT INSURANCE WC 4,328 3,776 3,587 3,505 3,533 3,749 5,128 45.15% BASED ON 2019/2020 RENEWAL 701-4221-85-0000 SUPPLIES- EQUIPMENT 3,146 396 772 644 1,301 855 925 -28.87% 2021 PROJECTED RUN RATE 701-4226-85-0000 GENERAL SUPPLIES 52,187 55,746 55,429 46,794 56,500 51,750 56,500 0.00% VARIOUS TREATMENT CHEMICALS 701-4226-85-0001 CARBON SUPPLY USAGE - 2,654 35,240 33,523 32,500 35,000 35,000 7.69% AMORTIZATION COST FOR CARBON BASED ON # OF GALLONS TREATED 701-4226-85-0200 UV BULB SUPPLY USAGE - - 112,418 112,337 112,400 112,400 112,400 0.00% AMORTIZATION COST FOR BULBS ASSUMING 3 YEAR LIFE 701-4226-85-0003 PEROXIDE SUPPILES - 27,930 27,920 33,000 28,533 30,000 -9.09% PEROIXIDE / AOP PROCESS 701-4303-85-0000 ENGINEER EXPENSES 13,628 1,952 4,587 1,722 3,500 1,500 1,700 -51.43% 2021 PROJECTED RUN RATE 701-4308-85-0000 WATER QUALITY PROTECTION COSTS - 12,387 12,644 12,626 14,325 12,400 12,772 -10.84% WATER TESTING / LAB COSTS 701-4309-85-0000 CONTRACTED IT & SFTW SUPPORT 330 - 3,659 2,657 3,238 2,740 2,830 -12.59% MDM FEE and security monitoring 701-4310-85-0000 MISC CONTRACTED SERVICES 386 330 345 690 570 690 720 26.32% BASED ON CONTRACTED IT /SW SPREADSHEET 701-4325-85-0000 COMMUNICATIONS 149 2,143 2,694 2,596 2,550 2,325 2,405 -5.69% added patec previously in sewer budget 701-4339-85-0000 EQUIP REPAIRS & MAINTENANCE 11,748 14,140 28,468 8,962 14,500 12,950 13,500 -6.90% 2021 PROJECTED RUN RATE 701-4340-85-0000 BLDG REPAIRS & MAINTENANCE 9,554 5,724 2,656 1,502 2,805 1,450 2,250 -19.79% 2021 PROJECTED RUN RATE 701-4365-85-0000 INSURANCE PROPERTY / LIABILITY - 14,067 16,552 19,498 19,160 17,297 16,750 -12.58% BASED ON 2020/2021 RENEWAL 701-4381-85-0000 ELECTRIC AND GAS UTILITIES 15,527 112,035 129,272 129,626 135,813 140,668 146,295 7.72% 2021 PROJECTED RUN RATE TOTAL 187,251 304,534 518,027 489,484 523,988 513,377 531,849 1.50% OPERATING INCOME (LOSS)130,430$ 104,281$ (92,175)$ (94,590)$ (30,837)$ (11,606)$ 17,609$ OTHER (INCOME) / EXPENSE 701-3891-0-0-00 WT MISCELLANEOUS INCOME (2,495) (12,559) (4,350) (7,460) (550) (550) (550) 701-3620-0-1-00 WT INTEREST INCOME (23,907) (16,714) (24,620) (28,476) (23,000) (12,000) (7,500) 701-3713-0-0-00 WT WATER CONNECTION FEES (7,650) (23,850) (25,700) (1,750) (34,000) (1,750) (34,000) 701-3910-0-0-00 WT SALE OF ASSETS (1,170) - - - - - - 701-4335-80-0000 WT BKUP RESTORATION COSTS - - - - - - - 701-4499-80-0000 WT MISCELLANEOUS EXPENSE 172 1,572 1,362 650 650 650 650 TOTAL (35,050)$ (51,551)$ (53,309)$ (37,036)$ (56,900)$ (13,650)$ (41,400)$ OPERATING INCOME BEFORE DEPRECIATION 165,480$ 155,832$ (38,866)$ (57,554)$ 26,063$ 2,044$ 59,009$ Fiscal Year 2021 12/31/2018 ACTUAL ACTUAL ACTUAL ACTUAL BUDGET EST. ACTUAL BUDGET % Change EXHIBIT B 2016 2017 2018 2019 2020 2020 2021 in Budget OPERATING INCOME 701-3720-0-0-00 SEWER BILLINGS 1,005,329$ 1,098,938$ 1,136,667$ 1,212,400$ 1,249,355$ 1,221,468$ 1,270,083$ 3.29% Includes the 2021 phase in of flat rate increase TOTAL 1,005,329$ 1,098,938$ 1,136,667$ 1,212,400$ 1,249,355$ 1,221,468$ 1,270,083$ OPERATING EXPENDITURES 701-4110-75-0000 SS REGULAR EMPLOYEE 203,152$ 218,382$ 219,484$ 226,547$ 227,425$ 230,028$ 236,114$ 3.82% INCLUDES ESTIMATED 2021 WAGE ADJUSTMENTS 701-4111-75-0000 SS OVERTIME EMPLOYEE 15,398 18,028 23,832 24,129 25,098 21,854 25,600 2.00% FROM DEPT SUMMARIES OT 701-4121-75-0000 SS PERA 15,730 16,431 17,096 17,473 18,939 18,177 19,629 3.64% BASED ON PERA FUNDING RATE 7.5% 701-4122-75-0000 SS FICA/MEDICARE 15,791 16,437 16,197 17,375 19,318 18,541 20,021 3.64% BASED ON ER 7.65% OF GROSS 701-4131-75-0000 SS INSURANCE HEALTH 42,862 41,725 42,222 44,277 42,919 43,905 48,358 12.67% SPLIT 9.4% PREMUIM INCREASE IN 2021 701-4135-75-0000 SS INSURANCE WC 5,314 4,685 4,483 4,546 4,417 4,686 6,409 45.10% BASED ON 2020/2021 RENEWAL 701-4211-75-0000 SS OFFICE SUPPLIES - - - 100 150 150 150 0.00% 2021 PROJECTED RUN RATE 701-4212-75-0000 SS MOTOR FUELS 6,221 6,825 8,945 8,607 8,860 7,960 9,798 10.59% 2021 PROJECTED RUN RATE 701-4226-75-0000 SS GENERAL SUPPLIES 3,128 (120) 1,282 1,042 1,275 1,270 1,350 5.88% 2021 PROJECTED RUN RATE 701-4300-75-0000 SS AUDITOR 5,880 6,785 7,443 7,476 7,601 7,076 8,072 6.20% BASED ON AUDITOR CONTRACT 701-4309-75-0000 SS IT & SFTW SUPPORT 8,148 12,205 13,612 15,284 16,820 19,601 21,030 25.03% BASED ON CONTRACTED IT /SW SPREADSHEET 701-4310-75-0000 SS MISC CONTRACTED SERVICES 331 273 1,704 2,501 3,350 3,386 3,642 8.72% BASED ON MISC CONTRACTED SERVICES SPREADSHEET 701-4325-75-0000 SS COMMUNICATIONS 3,964 3,136 3,263 3,267 3,780 3,600 3,880 2.65% BASED ON COMMUNICATION SPREADSHEET 701-4335-75-0000 SS BKUP RESTORATION COSTS - - 5,123 - 10,000 10,000 10,000 0.00% Assumes the cost of one full deductable 701-4339-75-0000 SS EQUIP REPAIRS & MAINTENANCE 2,487 17,438 35,085 4,690 13,770 9,011 9,500 -31.01% 2021 PROJECTED RUN RATE 701-4341-75-0000 SS TRAINING, CONF. & MTG. 934 205 - - 1,122 1,150 1,250 11.41% 2021 PROJECTED RUN RATE 701-4341-75-0100 SS TUITION- CERTIFICATIONS - - 1,170 904 587 600 600 2.30% 2021 PROJECTED RUN RATE 701-4342-75-0000 SS MEMBERSHIP & DUES - 238 1,131 - 950 1,182 1,250 31.58% 2021 PROJECTED RUN RATE 701-4350-75-0000 SS PRINTING AND POSTAGE 1,681 4,303 2,476 3,488 3,250 3,672 4,400 35.38% 2021 PROJECTED RUN RATE 701-4365-75-0000 SS INSURANCE PROPERTY/ LIABILITY 13,100 9,352 11,686 10,414 9,981 13,215 15,900 59.30% BASED ON 2020/2021 RENEWAL 701-4375-75-0000 SS MCES WASTE TREATMENT CHARGE 576,237 643,390 708,567 733,670 712,664 712,664 719,437 0.95% MCES amount for 2020, 3.6% rate increase, lower flow volume 701-4381-75-0000 SS ELECTRIC AND GAS UTILITIES 10,301 9,654 8,609 8,719 10,083 8,813 9,300 -7.77% 2021 PROJECTED RUN RATE TOTAL 930,659$ 1,029,372$ 1,133,409$ 1,134,511$ 1,142,359$ 1,140,540$ 1,175,690$ 2.92% OPERATING INCOME (LOSS)74,670$ 69,566$ 3,258$ 77,889$ 106,996$ 80,928$ 94,393$ OTHER (INCOME) / EXPENSE 701-3723-0-0-00 SEWER CONNECTION FEES (7,650)$ (23,800)$ (22,100)$ (1,700)$ (34,000)$ (1,750)$ (34,000)$ 701-3891-0-0-00 SS MISCELLANEOUS INCOME (6,305) (12,559) (650) (650) (650) (650) (650) 701-3910-0-0-00 SS SALE OF ASSETS (180) 0 701-4499-75-0000 SS MISCELLANEOUS EXPENSE 90 170 100 100 100 100 100 TOTAL (14,045)$ (36,189)$ (22,650)$ (2,250)$ (34,550)$ (2,300)$ (34,550)$ NET INCOME (LOSS) BEFORE DEPRECIATION 88,715$ 105,754$ 25,908$ 80,139$ 141,546$ 83,228$ 128,943$ SEWER OPERATIONS Fiscal Year 2021 ACTUAL ACTUAL ACTUAL ACTUAL BUDGET EST. ACTUAL BUDGET REVENUES 2016 2017 2018 2019 2020 2020 2021 Water Operations 917,927$ 945,788$ 985,022$ 997,332$ 1,094,550$ $1,091,243 $1,178,842 Sewer Operations 1,005,329 1,098,938 1,136,667 1,212,400 1,249,355 1,221,468 1,270,083 Total Operating Revenues 1,923,256$ 2,044,726$ 2,121,689$ 2,209,732$ 2,343,905$ 2,312,711$ 2,448,925$ EXPENDITURES Water Operations 787,497$ 841,508$ 1,077,197$ 1,091,922$ 1,125,387$ $1,102,848 $1,161,233 Sewer Operations 930,659 1,029,372 1,133,409 1,134,511 1,142,359 1,140,540 1,175,690 Total Operating Expenditures 1,718,156$ 1,870,880$ 2,210,606$ 2,226,432$ 2,267,746$ 2,243,388$ 2,336,923$ Combined Operating Income 205,100$ 173,846$ (88,918)$ (16,700)$ 76,159$ 69,323$ 112,003$ Other (Income)/Expense Water (11,143)$ (34,837)$ (28,689)$ (12,036)$ (33,900)$ (1,650)$ (33,900)$ Sewer (14,045)(36,189)(22,650)(2,250)(34,550)(2,300) (34,550) Interest Income (23,907) (16,714) (24,620) (25,000) (23,000) (12,000) (7,500) Depreciation Expense 332,399 352,399 371,766 611,728 631,728 631,728 656,728 Total Other (Income)/Expense 283,304 264,659 295,808 572,442 540,278 615,778 580,778 Net Income/(Loss) (78,204)$ (90,813)$ (384,725)$ (589,142)$ (464,119)$ (546,455)$ (468,775)$ Other Sources and Uses: Transfers Out (225,000)$ -$ -$ -$ -$ -$ -$ Transfers In 1,632,862 - - - - - - Debt Service Payments (138,150) (145,750) (148,200) (145,600) (147,950) (147,950) ($150,200) Net Change in Assets / Liabilities 49,451 (30,728) 49,417 (18,684) - - - Proceeds Bonding/Army 130,932 - - - - - - Add back Depreciation Expense 332,399 352,399 371,766 611,728 631,728 631,728 656,728 Total Other Sources and Uses 1,782,494 175,921 272,983 447,444 483,778 483,778 506,528 Net increase (decrease) in cash 1,704,290$ 85,108$ (111,741)$ (141,698)$ 19,659$ (62,677)$ 37,753$ BEGINNING CASH BALANCE 126,017 1,830,307 1,915,415 1,803,675 1,661,977 1,661,977 1,599,301$ ENDING CASH BALANCE 1,830,307$ 1,915,415$ 1,803,675$ 1,661,977$ 1,681,637$ 1,599,301$ 1,637,055$ UTILITY FUND SUMMARY EXHIBIT C Water and Sewer 10 year operating projection Fiscal Year 2020 Assumptions 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 Water Rates Flat Fee N/A N/A 3.35$ 6.70$ 10.05$ 13.40$ 17.75$ 21.10$ 23.45$ 24.62$ 25.85$ 27.15$ 28.50$ 29.93$ 31.43$ 33.00$ 34.65$ Usage (Tier one)3.10$ 3.10$ 3.07$ 3.07$ 3.07$ 3.13$ 3.13$ 3.13$ 3.22 3.32 3.42 3.52 3.63 3.74 3.85 3.96 Sewer Rates Flat Fee N/A 3.20$ 6.40$ 9.64$ 12.80$ 15.25$ 18.45$ 21.65$ 22.52$ 22.97 23.43 23.89 24.37 24.86 25.36 25.86 Usage 4.62$ 4.69$ 4.69$ 4.64$ 4.64$ 4.64$ 4.64$ 4.64$ 4.90 5.16 5.45 5.75 6.06 6.40 6.75 Expenses Met Council - $ Actual 593,381 576,237 643,390 708,567 733,670 712,664 719,437 4.50%4.50%5.00%5.50%5.50%5.50%5.50%5.50%5.50%5.50% Met Council - % Increase -4.57%-2.89%11.65%10.13%3.54%-2.86%0.95%NA NA NA NA NA NA NA NA NA NA City Water Expenses - % Increase EST ACTUAL 4.00%4.00%4.00%4.00%4.00%4.00%4.00%4.00%4.00%4.00% City Sewer Expenses - % Increase EST ACTUAL 3.50% 3.50% 3.50% 3.50% 3.50% 3.50% 3.50% 3.50% 3.50% 3.50% Actual Actual Actual Actual Actual Est. Actual Projected Projected Projected Projected Projected Projected Projected Projected Projected Projected Projected REVENUES 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 Water Operations 897,232$ 917,927 945,788 985,022 997,332 1,071,180 1,178,842 1,256,127 1,323,099 1,372,370 1,423,607 1,476,895 1,532,321 1,589,975 1,649,952 1,712,353 1,777,281 Sewer Operations 947,618 1,005,329 1,098,938 1,136,667 1,212,400 1,223,073 1,270,083 1,352,243 1,437,115 1,591,238 1,667,204 1,746,957 1,830,691 1,918,610 2,010,931 2,107,880 2,131,955 Total Operating Revenues 1,844,850$ 1,923,256$ 2,044,726$ 2,121,689$ 2,209,732$ 2,294,253$ 2,448,925$ 2,608,370$ 2,760,213$ 2,963,607$ 3,090,811$ 3,223,852$ 3,363,011$ 3,508,585$ 3,660,883$ 3,820,233$ 3,909,236$ EXPENDITURES Water Operations 618,069$ 787,497 841,508 1,077,197 1,091,922 1,102,848 1,161,233 1,207,682 1,255,989 1,306,229 1,358,478 1,412,817 1,469,330 1,528,103 1,589,227 1,652,796 1,718,908 Sewer Operations 963,621 930,659 1,029,372 1,133,409 1,134,511 1,140,540 1,175,690 1,231,228 1,289,501 1,350,649 1,414,817 1,482,161 1,552,842 1,627,031 1,704,908 1,786,662 1,872,492 Total Operating Expenditures 1,581,690 1,718,156 1,870,880 2,210,606 2,226,432 2,243,388 2,336,923 2,438,910 2,545,490 2,656,877 2,773,295 2,894,978 3,022,172 3,155,134 3,294,135 3,439,458 3,591,400 Combined Operating Income 263,160$ 205,100$ 173,846$ (88,917)$ (16,700)$ 50,865$ 112,003$ 169,460$ 214,723$ 306,730$ 317,516$ 328,874$ 340,840$ 353,451$ 366,748$ 380,775$ 317,836$ Other (Income)/Expense Water (1,938) (11,143) (40,051) (28,689) (12,036) (1,650) (33,900) (33,850) (2,550) (2,500) (2,450) (2,400) (2,350) (2,300) (2,250) (2,200) (2,150) Sewer (21,139) (14,045) (36,189) (22,650) (2,250) (2,300) (34,550) (34,500) (34,450) (2,600) (2,550) (2,500) (2,450) (2,400) (2,350) (2,300) (2,250) Interest income (499) (23,907) (11,500) (24,620) (25,000) (12,000) (7,500) (10,563) (11,749) (13,080) (18,335) (21,085) (23,629) (25,955) (28,350) (33,000) (35,000) Depreciation Expense 308,955 332,399 352,399 371,766 611,728 631,728 656,728 681,728 706,728 731,728 756,728 781,728 806,728 831,728 856,728 881,728 906,728 Total Other (Income)/Expense 285,380 283,304 264,659 295,807 572,442 615,778 580,778 602,815 657,979 713,548 733,393 755,743 778,299 801,073 776,073 751,073 726,073 Net Income/(Loss) (22,220)$ (78,204)$ (90,813)$ (384,724)$ (589,142)$ (564,913)$ (468,775)$ (433,355)$ (443,256)$ (406,818)$ (415,877)$ (426,869)$ (437,459)$ (447,622)$ (409,325)$ (370,298)$ (408,237)$ Other Sources and Uses: Transfers- in - 1,632,862 - - - - - - - - - - - - - - - Transfers Out CIP (15,000) (225,000) - - - - - - - - - - - - - - - Transfers Out - W/S Infrastructure - - - - - - - (25,000) (50,000) (175,000) (210,000) (255,000) (300,000) (345,000) (390,000) (435,000) (480,000) Army Reimbursements - 130,932 - - - - - - - - - - - - - - - Debt Service Payments (140,450) (138,150) (145,750) (148,200) (145,600) (147,950) (150,200) (147,400) (149,550) (156,550) - - - - - - - Net Change in Assets / Liabilities (46,105) 49,451 (30,728) 49,417 (18,684) - (150,000) - - (150,000) - - (200,000) - (200,000) - Add back Depreciation Expense 308,955 332,399 352,399 371,766 611,728 631,728 656,728 681,728 706,728 731,728 756,728 781,728 806,728 831,728 856,728 881,728 906,728 Total Other Sources and Uses 107,400 1,782,494 175,921 272,983 447,444 483,778 356,528 509,328 507,178 250,178 546,728 526,728 306,728 486,728 466,728 246,728 426,728 Net increase (decrease) in cash 85,180$ 1,704,290$ 85,108$ (111,740)$ (141,698)$ (81,135)$ (112,247)$ 75,973$ 63,922$ (156,640)$ 130,851$ 99,859$ (130,731)$ 39,106$ 57,403$ (123,570)$ 18,491$ BEGINNING CASH BALANCE 40,837 126,017 1,830,307 1,915,415 1,803,675 1,661,977 1,580,842 1,468,595 1,544,568 1,608,491 1,451,851 1,582,702 1,682,562 1,551,830 1,590,936 1,648,339 1,524,768 ENDING CASH BALANCE 126,017$ 1,830,307$ 1,915,415$ 1,803,675$ 1,661,977$ 1,580,842$ 1,468,595$ 1,544,568$ 1,608,491$ 1,451,851$ 1,582,702$ 1,682,562$ 1,551,830$ 1,590,936$ 1,648,339$ 1,524,768$ 1,543,259$ MINIMUM CASH BALANCE 755,400 779,235 827,325 855,430 882,177 912,701 966,508 1,016,857 1,069,621 1,144,419 1,030,270 1,074,617 1,121,004 1,169,528 1,220,294 1,146,486 1,197,133 EXHIBIT D Fiscal Year 2021 ACTUAL BUDGET EST. ACTUAL BUDGET 2019 2020 2020 2021 PW Usage %Fixed %AD Usage %Fixed %TOTAL DISTRIBUTION EXPENSES 701-4110-80-0000 WT REGULAR EMPLOYEE 338,881$ 343,643$ 340,850$ 354,121$ 241,031 72,309 30%168,722 70%113,090 11,309 10%101,781 90%354,121 701-4111-80-0000 WT OVERTIME EMPLOYEE 31,252 26,910 24,662 28,361 19,304 5,791 30%13,513 70%9,057 906 10%8,152 90%28,361 701-4115-80-0000 WT POST BENEFIT PAYOUT 1,158 - - - - - - - - - - - - - - 701-4121-80-0000 WT PERA 26,438 27,791 26,699 28,686 19,525 5,858 30%13,668 70%9,161 916 10%8,245 90%28,686 701-4122-80-0000 WT FICA/MEDICARE 27,033 28,347 27,233 29,260 19,916 5,975 30%13,941 70%9,344 934 10%8,410 90%29,260 701-4131-80-0000 WT INSURANCE HEALTH 56,141 55,553 56,538 61,883 42,120 12,636 30%29,484 70%19,763 1,976 10%17,786 90%61,883 701-4135-80-0000 WT INSURANCE WC 9,175 9,128 9,685 13,264 13,264 3,979 30%9,285 70%- - - - - 13,264 701-4211-80-0000 WT OFFICE SUPPLIES 1,020 750 725 800 - - - - - 800 80 10%720 90%800 701-4212-80-0000 WT MOTOR FUELS 5,762 6,756 5,305 6,532 6,532 1,960 30%4,572 70%- - - - - 6,532 701-4221-80-0000 WT SUPPLIES-EQUIPMENT 538 575 836 625 625 188 30%438 70%- - - - - 625 701-4226-80-0000 WT GENERAL SUPPLIES 12,081 9,500 8,865 11,500 11,500 3,450 30%8,050 70%- - - - - 11,500 701-4300-80-0000 WT AUDITOR 7,476 7,601 7,076 8,072 - - - - - 8,072 807 10%7,265 90%8,072 701-4309-80-0000 WT IT & SFTW SUPPORT 22,990 27,615 32,136 32,700 18,564 1,856 10%16,708 90%14,136 1,414 10%12,722 90%32,700 701-4310-80-0000 WT MISC CONTRACTED SERVICES 3,871 4,416 2,712 3,328 3,328 333 10%2,995 90%- - - - - 3,328 701-4310-80-0100 WT METER READING FEES 8,217 8,470 8,470 8,724 8,724 - - 8,724 100%- - - - - 8,724 701-4325-80-0000 WT COMMUNICATIONS 9,860 10,200 10,280 10,800 10,800 7,613 70%3,187 30%- - - - - 10,800 701-4337-80-0000 WT MAIN REPAIRS & MAINTENANCE 19,884 11,730 11,795 13,500 13,500 4,050 30%9,450 70%- - - - - 13,500 701-4339-80-0000 WT EQUIP REPAIRS & MAINTENANCE 6,727 3,500 4,021 4,250 4,250 1,275 30%2,975 70%- - - - - 4,250 701-4340-80-0000 WT BLDG REPAIRS & MAINTENANCE 117 - - - - - 30%- 70%- - - - - - 701-4341-80-0000 WT TRAINING, CONF. & MTG. 923 650 650 1,100 1,100 - - 1,100 100%- - - - - 1,100 701-4341-80-0100 WT TUITION- CERTIFICATIONS 438 450 450 400 400 - - 400 100%- - - - - 400 701-4342-80-0000 WT MEMBERSHIPS & DUES - 510 510 525 525 - - 525 100%- - - - - 525 701-4350-80-0000 WT PRINTING AND POSTAGE 2,738 4,422 3,672 4,400 - - - - - 4,400 220 5%4,180 95%4,400 701-4365-80-0000 WT INSURANCE PROPERTY / LIABILILITY - - - - - - - - - - - - - - - 701-4381-80-0000 WT ELECTRIC AND GAS UTILITIES 9,717 12,881 6,300 6,552 6,552 1,966 30%4,586 70%- - - - - 6,552 701-4499-80-0000 WT MISCELLANEOUS EXPENSE - 650 650 650 650 195 30%455 70%- - - - - 650 TOTAL DISTRIBUTION 602,437$ 602,049$ 590,121$ 630,033$ 442,210$ 129,433$ 29%312,777$ 71%187,823$ 18,562$ 10%169,261$ 90%630,033 WATER EXPENSES PW ADMINISTRATIVE COSTS Fiscal Year 2021 ACTUAL BUDGET EST. ACTUAL BUDGET 2019 2020 2020 2021 PW Usage %Fixed %AD Usage %Fixed %TOTAL WATER EXPENSES PW ADMINISTRATIVE COSTS PRODUCTION EXPENSES 701-4110-85-0000 REGULAR EMPLOYEE 61,799 66,075 64,411 66,806 66,806 66,806 100%- 0%66,806 701-4111-85-0000 OVERTIME EMPLOYEE 950 1,050 1,800 1,500 1,500 1,500 100%- 0%1,500 701-4121-85-0000 PERA 4,706 5,034 4,966 5,123 5,123 5,123 100%- 0%5,123 701-4122-85-0000 FICA/MEDICARE 4,800 5,135 5,065 5,225 5,225 5,225 100%- 0%5,225 701-4131-85-0000 INSURANCE HEALTH 10,337 11,000 12,828 14,020 14,020 14,020 100%- 0%14,020 701-4135-85-0000 WTR FILT INSURANCE WC 3,749 3,533 3,749 5,128 5,128 5,128 100%- 0%5,128 701-4221-85-0000 SUPPLIES- EQUIPMENT 1,275 1,301 855 925 925 925 100%- 0%925 701-4226-85-0000 CHEMICAL SUPPLIES 46,800 56,500 51,750 56,500 56,500 56,500 100%- 0%56,500 701-4226-85-0001 CARBON SUPPLY USAGE 33,500 32,500 35,000 35,000 35,000 35,000 100%- 0%35,000 701-4226-85-0200 UV BULB SUPPLY USAGE 112,400 112,400 112,400 112,400 112,400 112,400 100%- 0%112,400 701-4226-85-0003 PEROXIDE SUPPILES 27,920 33,000 28,533 30,000 30,000 30,000 100%- 0%30,000 701-4303-85-0000 ENGINEER EXPENSES 3,200 3,500 1,500 1,700 1,700 - 0%1,700 100%1,700 701-4308-85-0000 WATER QUALITY PROTECTION COSTS 12,186 14,325 12,400 12,772 12,772 12,772 100%- 0%12,772 701-4309-85-0000 CONTRACTED IT & SFTW SUPPORT 3,174 3,238 2,740 2,830 2,830 2,830 100%- 0%2,830 701-4310-85-0000 MISC CONTRACTED SERVICES 690 570 690 720 720 720 100%- 0%720 701-4325-85-0000 COMMUNICATIONS 2,600 2,550 2,325 2,405 2,405 2,405 100%- 0%2,405 701-4339-85-0000 EQUIP REPAIRS & MAINTENANCE 8,962 14,500 12,950 13,500 13,500 13,500 100%- 0%13,500 701-4340-85-0000 BLDG REPAIRS & MAINTENANCE 2,750 2,805 1,450 2,250 2,250 2,250 100%- 0%2,250 701-4351-85-0000 PL NOTICES & PUBLICATIONS - - - - - - 100% 0%- 701-4365-85-0000 INSURANCE PROPERTY / LIABILITY 20,023 19,160 17,297 16,750 16,750 13,400 80%3,350 20%16,750 701-4381-85-0000 ELECTRIC AND GAS UTILITIES 128,743 135,813 140,668 146,295 146,295 146,295 100%- 0%146,295 TOTAL PRODUCTION 490,565 523,988 513,377 531,849 531,849 526,799$ 99%5,050 1%- - - - 531,849 TOTAL OPERATING EXPENSES 1,093,002 1,126,037 1,103,498 1,161,883 974,059 656,232 71%317,827 35%187,823 18,562 2%169,261 18%1,161,883 531,849 DEPRECIATION EXPENSE WT DEPRECIATION TREATMENT PLANTS 145,232 145,232 145,232 145,232 145,232 145,232 100%- 0%145,232 WT DEPRECIATION MAINTENANCE EQUIP 76,358 76,358 76,358 76,358 76,358 22,907 30%53,451 70%76,358 WT DEPRECIATION WATERMAINS 283,776 283,777 283,778 283,776 283,776 85,133 30%198,643 70%283,776 TOTAL DEPRECIATION 505,366 505,367 505,368 505,366 505,366 253,272 50%252,094 50%- - - - 505,366 TOTAL OVERALL EXPENSES 1,598,368 1,631,404 1,608,866 1,667,249 1,479,425 909,504 77%569,921 48%187,823 18,562 2%169,261 14%1,667,249 FIXED 487,088 42%252,094 50%739,182 44%337,963.00$ 0.46$ USAGE 674,794 58%253,272 50%928,066 56%$827,828.00 0.89$ 1,161,883 100%505,366 100%1,667,249 100% NO ADMINISTRATIVE COSTS INCLUDED DEPRECIATION OPERATING OVERALL NO ADMINISTRATIVE COSTS INCLUDED Fiscal Year 2021 ACTUAL ACTUAL BUDGET EST. ACTUAL BUDGET 2018 2019 2020 2020 2021 PW Usage %Fixed %AD Usage %Fixed %TOTAL COLLECTION SYSTEM EXPENSES 701-4110-75-0000 SS REGULAR EMPLOYEE 219,484$ 226,547$ 227,425$ 230,028$ 236,114$ 114,789 34,437 30%80,352 70%121,325 6,066 5%115,259 80%236,114 701-4111-75-0000 SS OVERTIME EMPLOYEE 23,832 24,129 25,098 21,854 25,600 12,446 3,734 30%8,712 70%13,154 658 5%12,497 95%25,600 701-4121-75-0000 SS PERA 17,096 17,473 18,939 18,177 19,629 9,543 2,863 30%6,680 70%10,086 504 5%9,582 95%19,629 701-4122-75-0000 SS FICA/MEDICARE 16,197 17,375 19,318 18,541 20,021 9,733 2,920 30%6,813 70%10,288 514 5%9,773 95%20,021 701-4131-75-0000 SS INSURANCE HEALTH 42,222 44,277 42,919 43,905 48,358 27,242 8,173 30%19,069 70%21,116 1,056 5%20,060 95%48,358 701-4135-75-0000 SS INSURANCE WC 4,483 4,546 4,417 4,686 6,409 6,409 1,923 30%4,486 70%- - - - - 6,409 701-4211-75-0000 SS OFFICE SUPPLIES - 100 150 150 150 - - - - - 150 8 5%143 95%150 701-4212-75-0000 SS MOTOR FUELS 8,945 8,607 8,860 7,960 9,798 9,798 2,939 30%6,859 70%- - - - - 9,798 701-4226-75-0000 SS GENERAL SUPPLIES 1,282 1,042 1,275 1,270 1,350 1,350 405 30%945 70%- - - - - 1,350 701-4300-75-0000 SS AUDITOR 7,443 7,476 7,601 7,076 8,072 8,072 - 0%8,072 100%- - - - - 8,072 701-4309-75-0000 SS IT & SFTW SUPPORT 13,612 15,284 16,820 19,601 21,030 2,928 2,928 100%- - 18,102 905 5%17,197 95%21,030 701-4310-75-0000 SS MISC CONTRACTED SERVICES 1,704 2,501 3,350 3,386 3,642 3,642 - 0%3,642 100%- - - - - 3,642 701-4325-75-0000 SS COMMUNICATIONS 3,263 3,267 3,780 3,600 3,880 3,880 - 0%3,880 100%- - - - - 3,880 701-4335-75-0000 SS BKUP RESTORATION COSTS 5,123 - 10,000 10,000 10,000 10,000 3,000 30%7,000 70%- - - - - 10,000 701-4339-75-0000 SS EQUIP REPAIRS & MAINTENANCE 35,085 4,690 13,770 9,011 9,500 9,500 7,613 80%1,887 20%- - - - - 9,500 701-4341-75-0000 SS TRAINING, CONF. & MTG. - - 1,122 1,150 1,250 1,250 1,000 80%250 20%- - - - - 1,250 701-4342-75-0000 SS MEMBERSHIPS & DUES 1,131 904 950 1,182 1,250 1,250 1,000 80%250 20%1,250 701-4341-75-0100 SS TUITION- CERTIFICATIONS 1,170 - 587 600 600 600 480 80%120 20%- - - - - 600 701-4350-75-0000 SS PRINTING AND PUBLISHING 2,476 3,488 3,250 3,672 4,400 4,400 - 0%4,400 100%- - - - - 4,400 701-4365-75-0000 SS INSURANCE PROPERTY/ LIABILITY 11,686 10,414 9,981 13,215 15,900 15,900 - 0%15,900 100%- - - - - 15,900 TOTAL COLLECTION SYSTEM 416,233$ 392,122$ 419,612$ 419,063$ 446,953$ 252,732$ 73,414$ 29%179,318$ 71%194,221$ 9,711$ 5%184,510$ 95%446,953 252,732$ TREATMENT EXPENSES 701-4375-75-0000 SS MCES WASTE TREATMENT CHARGE 708,567 733,670 712,664 712,664$ 719,437 719,437 647,493 90%71,944 10%719,437 701-4381-75-0000 SS ELECTRIC AND GAS UTILITIES 8,609 8,719 10,083 8,813 9,300 9,300 8,835 95%465 5%9,300 TOTAL TREATMENT 717,176 742,389 722,747 721,477 728,737 728,737 656,328 90%72,409 17%- - - - 728,737 TOTAL OPERATING EXPENSES 1,133,409 1,134,511 1,142,359 1,140,540 1,175,690 981,469 729,742 74%251,727 26%194,221 9,711 5%184,510 95%1,175,690 DEPRECIATION EXPENSE 701-4499-80-0000 WT DEPRECIATION MAINTENANCE EQUIP 28,909 32,441 32,441 32,441 32,441 32,441 9,732 30%22,709 70%32,441 WT DEPRECIATION LINES AND LIFT STATIONS 67,453 75,697 75,697 75,697 75,697 75,697 22,709 30%52,988 70%75,697 TOTAL DEPRECIATION 96,362 108,138 108,138 108,138 108,138 108,138 32,441 30%75,697 70%- - - - 108,138 TOTAL OVERALL EXPENSES 1,229,771 1,242,649 1,250,497 1,248,678 1,283,828 1,089,607 762,184 70%327,423 30%194,221 9,711 5%184,510 95%1,283,828 FIXED 436,237 37%75,697 70%511,933 40% USAGE 739,453 63%32,441 30%771,894 60%0 1,175,690 100%108,138 100%1,283,828 100% SEWER EXPENSES PW ADMINISTRATIVE COSTS NO ADMINISTRATIVE COSTS NO ADMINISTRATIVE COSTS OPERATING DEPRECIATION OVERALL 1 Table of Contents General Construction Building ................................................................................................... 1 Electrical .................................................................................................. 2 Mechanical .............................................................................................. 3 Miscellaneous ......................................................................................... 3 Plumbing ............................................................................................... 4 Manufactured Home/Accessory Installation Permit ............................... 4 Land Use Applications ................................................................................... 4 Licenses ............................................................................................................. 5 Miscellaneous Fees.......................................................................................... 6 Park Contributions ................................................................................ 6 Right of Way ........................................................................................... 7 Utilities Fire Control Devices .............................................................................. 7 Irrigation Rates ....................................................................................... 7 Sewer Rates ............................................................................................. 7 Storm water Facilities Rates ................................................................. 7 Water Meters .......................................................................................... 7 Water Rates ............................................................................................. 8 1 GENERAL CONSTRUCTION BUILDING PERMITS FEES: Total Valuation Amount $1 to $500 $29.50 $501 to $2,000 $28 for the first $500 plus $3.70/additional $100 or fraction thereof, to including $2,000 $2,001 to $25,000 $83.50 for the first $2,000 plus $16.55/additional $1,000 or fraction thereof, to including $25,000 $25,001 to $50,000 $464.15 for the first $25,000 plus $12.00/additional $1,000 or fraction thereof, to including $50,000 $50,001 to $100,000 $764.15 for the first $50,000 plus $8.45/additional $1,000 or fraction thereof, to including $100,000 $100,001 to $500,000 $1,186.65 for the first $100,000 plus $6.75/additional $1,000 or fraction thereof, to including $500,000 $500,001 to $1,000,000 $3,886.65 for the first $500,000 plus $5.50/additional $1,000 or fraction thereof, to including $1,000,000 $1,000,001 and up $6,636.65 for the first $1,000,000 plus $4.50/additional $1,000 or fraction thereof Inspections outside of normal business hours (minimum charge, 2 hours) $65.00 per hour (or the total hourly cost to the jurisdiction, which is the greatest. This cost shall include supervision, overhead, equipment, hourly wages, and fringe benefits of the employees involved.) Re-inspection; fees assessed under provisions of §32.08 $65.00 per hour Inspections for which no fee is specifically indicated (minimum charge, 1/2 hour) $65.00 per hour Additional plan review required by changes, additions, or revisions to plans (minimum charge, 1/2 hour) $65.00 per hour For use of outside consultants for plan checking and inspections, or both Actual costs (including administrative and overhead costs) Notes to Table: A plan review fee of 65% of the permit fee will be charged for building permits which requires the submittal of plans. Fees for similar plans will be charged in accordance with provisions of MN Rules, Chapter 1300.0160, subd. 5. 2 ELECTRICAL PERMITS FEES: Purpose of Fee: Description Amount Residential or Commercial Building or Garage Electrical panel change out, repair or service upgrade, new panel replacement is $110.00 Up to 300 amps $55.00 400 amps $71.00 For each additional 100 amps add $16.00 Residential or Commercial Building or Garage New circuits or reconnected circuits spliced outside of electric panel are at full fee Charge for each up to 100 amps $9.00 Charge for each 101-200 amps $15.00 For each additional 100 amps add $6.00 All Remodel Projects Single Family Residence or Building Remodel $190 not over 200ampcircuits and 2 inspections. Apartment Buildings Fee per unit of an apartment or condominium complex. This does not cover service, unit feeders or house panels. $80.00 Additional inspection trip $45.00 House Wiring and service is separate. Above fees apply. Transformers 0 -10 kilovolt-amperes $5.00 11 - 75 kilovolt-amperes $45.00 75 - 299 kilovolt -amperes $60.00 Over 299 kilovolt-amperes $165.00 Retro fit lighting (ballast & lamps only; new fixture is per circuit fee) Each fixture $.85 cents Sign Transformer $9.00 Solar PV Systems-The inspection fee for the installation is as follows (plan review fee is $100.00 per hour) 0 watts to and including 5,000 watts $90.00 5,001 watts to and including 10,000 watts $150.00 10,001 watts to and including 20,000 watts $225.00 20,001 watts to and including 30,000 watts $300.00 30,001 watts to and including 40,000 watts $375.00 3 40,001 watts and larger $375.00 & $25 for each additional 10,000 watts over 40,000 watts Swimming Pools Includes 2 inspections plus circuit fees $90.00 Street Lights and lot lights per pole $5.00 Traffic Signals per standard $8.00 Remote Control, Signal, fire alarm & energy management Each device $.85 cents MECHANICAL PERMIT: Purpose of Fee Amount Residential (R-1, R-1A, and R-2) Each dwelling unit (new construction) $150 Other (furnace, gas range, gas dryer, hot water heater, air conditioner, gas piping, duct work, and the like) $30 Commercial, light industrial, and multi-family (C, LI, R-3,and R-4) All 3% of contract price Add $20 Administrative fee and $1.00 surcharge to all permits NOTES TO TABLE: The minimum permit fee for commercial, industrial, institutional, or business occupancies is $20 plus state permit fee surcharge. MISCELLANEOUS PERMIT: Permit Amount Antennas, disk antennas and towers Per Building Permit Fee Schedule Demolition Permit $50 Residential $75 Commercial Driveway/Sidewalk $75 Fence $75 Hydrant Meter Rental $500 deposit plus cost of water usage per Tier IV water fee Public Safety $20 Solar $50 plus 1.25% of total valuation 4 Zoning Permit $75 Storage Tank Removal $95 PLUMBING PERMIT: Residential (R-1, R-1A, and R-2) First bath $100 Each additional bath $35 3/4 bath $35 1/2 bath $20 Laundry $20 Water softener $20 Other $30 Commercial, Light Industrial, and Multi-Family (C, LI, R-3, and R-4) All 3% of contract price Lawn sprinklers, residential $20 Lawn sprinklers, commercial $30 Add $20 Administrative fee and $1.00 surcharge to all permits MANUFACTURED HOME/ACCESSORY INSTALLATION PERMIT: Permit Amount Single Wide $79 Double Wide $95 Each Additional 1’ Width $16 Add $20 Administrative fee and $1.00 surcharge to all permits LAND USE APPLICATION: Purpose of Fee (Code #) Amount Appeal $500.00 and an Escrow deposit of $1,500500 Comprehensive Plan $750 and an Escrow deposit of $1,500 for Residential and $3,500 for Commercial Conditional Use Permit (§152.243) $ 1,000 and an Escrow deposit of $450 for Residential and $1,500850 for Commercial Easement Vacation (§151.11) $200 Final Plat (§151.04) $500 with an Escrow deposit of $750500 Garage Setback permit (§152.176) $60 5 Planned Unit Development (§152.176) $ 1,500 with a $2,500 Escrow deposit Preliminary Plat (§151.03) $500 with a $750500 Escrow deposit Rezoning (§152.242) $ 750 with a $1,500750 Escrow deposit Sign Permit (§155) $75 for cost of $1 to $500, plus $5 each $100 over $500 Sign Plan review (§155) $75 Site Plan (§152.241) $250 with an Escrow deposit of $750450 Subdivision/Lot Split $250 with a $1,250 Escrow deposit Variance (§152.245) $ 750 and an Escrow deposit of $450 for Residential and $1,500850 Commercial LICENSES: License (Ord. #) Amount Alarm Permits: (§111.152) Commercial $25 Residential $10 Christmas Tree Lots: Non-Profit No fee Other Applicants $50 Contractors (§111.231) $35 or $5 if licensed by state Courtesy Ad Bench $30 per bench New $10 per bench renewal Dangerous Dog/Potentially Dangerous Dog $500 Fireworks: (§111.371) $100 Existing $350 Stand Alone Gasoline service stations (stations with multiple products dispensed through 1 hose) $75 for station and 1 production line, plus $15 for each product line dispensed. Haulers of Garbage or Recyclables (§111.216) $150 Kennel (§91.20) $50 Laundromats (coin-operated not in multiple family building) $10 per machine, up to a maximum of $190 per location Liquor: (March 15th renewal date; annually) (§112.03) Beer: off-sale; 3.2% malt liquor license $100 Beer: on-sale; 3.2% malt liquor license $350 Beer: Temporary on-sale 3.2% malt liquor license None 6 Liquor: on-sale intoxicating liquor $8,000 Liquor: Sunday on-sale Wine: only Wine: with strong beer endorsement Wine: temporary $200 $400 license fee & $100 processing fee $1,500 license fee & a 100 processing fee None Multiple Dwellings (§111.188) $150 base fee plus $10 per unit for 3 or more (penalty after July 1st base fee increase to $250) Pawnbroker (§111.287) $8,000 license fee; $750 investigation fee Peddler (§113.01) $50 Physical culture and health service or club, reducing club or salon, sauna parlor, therapeutic massage studio (§111.341) $500 investigation $250 Therapist Secondhand good dealer (§111.252) $5,000 license fee; $750 investigation fee Tobacco or tobacco related products (§111.047) $300 Towing/Motor Vehicle Starting (§111.111) $30 for first vehicle and $20 for each additional vehicle Transient Merchant (§113.01) $50 MISCELLANEOUS FEES: Type Amount Security False Alarm (§111.155 D) First 2 are free, 3rd is $75 and each additional is an additional $25 Vehicle Impounding Fee (§72.33) $85 for tow: $25 per day storage (applied the first day) $25 Tow Company Administration $15 SAPD Administration Delinquent Utility Assessment Notification $25 PARK CONTRIBUTION: (§151.12) Type Amount Single Family lot $1,500/unit Duplex lot $1,800/unit Townhouse development $2,000/unit Mobile Home $1,000/unit Multi-family, apartment or condominium $1,500/unit Commercial/Industrial $4,000 per acre 7 RIGHT OF WAY: Permit Amount Registration Fee $60 Excavation Permit Fee: Hole $150 Trench $70/100 lineal foot (plus hole fee) Obstruction permit base fee $50 plus $.05/lineal foot Permit Extension fee $55 Street Excavation (§150.031) $50 Small Cell Wireless ROW Rent $150 per year (plus $25 per site) Small Cell Wireless Monthly Electrical Fee Actual Cost or $73 per radio node less than or equal to 100 maximum watts; $182 per radio node over 100 maximum watts (whichever is greater) 8 UTILITIES: FIRE CONTROL DEVICES: (billed quarterly) Size Amount 2" $8.257.88 3" $11.0010.50 4" $16.5015.75 6" $22.0021.00 8" $27.5026.25 10" $44.0042.00 IRRIGATION RATES: $4.164.08 per 1,000 gallons SEWER CONNECTION PERMIT: $850.00-per Metropolitan Council Environmental Services (MCES) units initial or re-determination. SEWER RATES: $4.64 per 1,000 gallons, quarterly Collection system charge $15.2512.80 per residential equivalency unit. STORM WATER FACILITIES: (billed quarterly) WATER CONNECTION PERMIT: $850.00-per Metropolitan Council Environmental Services (MCES) units initial or re-determination. Classification Charge (per acre) 1 $68.3566.94 2 $65.8764.60 3 $65.8764.60 4 $157.33154.14 5 $200.67196.60 6 $250.69245.60 9 RESIDENTIAL WATER METERS: SIZE METER PRICE RADIO TOTAL COST ¾” $165.00160.00 $145.00140.00 $310.00300.00 1” $225.00220.00 $145.00140.00 $370.00360.00 n COMMERCIAL WATER METERS: Cost of meter dependent upon size and type required. Cost will be included in plumbing permit 10 WATER RATES: (billed quarterly) Water Usage billing will be computed quarterly based on metered water used according to the tiered rates system below, quarterly Distribution system charge $17.753.40 per residential equivalency unit. RESIDENTIAL Consumption (gallons) Rate/per 1,000 gallons TIER 1 0-7,500 $3.133.07 TIER II 7,500-15,000 $3.303.24 TIER III 15,000-22,500 $3.633.55 TIER IV 22,500-30,000 $4.164.08 TIER V Over 30,000 $5.225.12 COMMERCIAL Consumption (gallons) Rate/per 1,000 gallons TIER 1 0-7,500 $3.133.07 TIER II 7,500-53,500 $3.303.24 TIER III 53,500-175,000 $3.633.55 TIER IV 175,000-300,000 $4.164.08 TIER V Over 300,000 $5.225.12 WILSHIRE Consumption( gallons) Rate/per 1,000 gallons TIER 1 0-7,500 $3.133.07 TIER II 7,500-510,000 $3.303.24 TIER III 510,000-610,000 $3.633.55 TIER IV 610,000-710,000 $4.164.08 TIER V Over 710,000 $5.225.12 SAVHS Consumption (gallons) Rate/per 1,000 gallons TIER 1 0-7,500 $3.133.07 TIER II 7,500-850,000 $3.303.24 TIER III 850,000-1,150,000 $3.633.55 TIER IV 1,150,000-1,450,000 $4.164.08 TIER V Over 1,450,000 $5.225.12 HAPPY’S Consumption (gallons) Rate/per 1,000 gallons TIER 1 0-7,500 $3.133.07 TIER II 7,500-3,650,000 $3.303.24 TIER III 3,650,000-4,650,000 $3.633.55 TIER IV 4,650,000-5,650,000 $4.164.08 TIER V Over 5,650,000 $5.225.12 Late payment penalty for quarterly utility bills is equal to 5% of the account balance at the date the account becomes past due. TO: Mayor & Council FROM: Shelly Rueckert, Finance Director RE: Accepting Credit Cards for Utility Bill Payments, Permits and Licenses DATE: October 20, 2020 Staff is recommending the City enter into an agreement with Invoice Cloud to allow for accepting Credit Cards for Utility Bill Payments, Permits and Licenses. The benefits for would include: • Implement a modern customer engagement and payment solution that will expand payment options for Payers. • Supports multiple languages. • Gain the ability for customers to adopting paperless billing. • Provides customers with an enhanced ‘One Time Payment’ (40% of people prefer this way to pay) that allows customer to still see 24 months of bill history without logging in. • Customer can sign up for text or e-mail reminders for payments due. • Invoice Cloud has an existing partnership with Civic Systems (City’s financial software). Payments receipts details from Invoice Cloud will be imported into the financial software Staff is recommending that the City absorbs the following customer fees: Utility bill payment processing • Credit/Debit Card Fees ~$3,000 annually • E-check fees ~$400 annually • Paperless bill option $.40 per bill ~cost to produce and mail bill estimated at $.60 ~net savings Licenses and permits payment processing • E-check fees ~$600 annually The cost of Invoice Cloud services to the City is $1,800 annually. Therefore the total cost to provide these services would be approximately $5,800 a year. ATTACHMENT: Invoice Cloud proposal Innovating the Customer Experience Customer Engagement, Electronic Bill Presentment & Electronic Bill Payment September 28, 2020 Pricing Valid for 60 Days Saint Anthony Village David Batterman Account Executive p. 608-442-5056 dbatterman@paymentsevicenetwork.com www.invoicecloud.com Table of Contents I. Introduction ........................................................................................................ 2 Company Mission Saint Anthony Village Goals & Objectives II. The Invoice Cloud Platform .................................................................................. 4 Customer Engagement, Electronic Bill Presentment & Payment Customer Notifications Biller Portal: Reporting, Reconciliation and CSR Tools III. More Ways to Engage ........................................................................................ 15 Online Bank Direct™ Cloud Store™ IV. Pricing - Invoice Cloud Fee Schedule for Saint Anthony Village ................................................................................................. 17 INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 2 Introduction Invoice Cloud is pleased to provide Saint Anthony Village with a comprehensive proposal for SaaS customer engagement, electronic bill presentment and payment services. Invoice Cloud’s value proposition covers a wide spectrum. We specialize in being able to take a payment for anything online, via a mobile phone, over the counter, over the phone (IVR) or through our self-service bill pay kiosk offering. Invoice Cloud’s end user experience is state of the art, and the administrative tools for reporting and reconciliation available for your staff are second to none. Our integration experience with more than 90 unique software platforms and including Civic/Caselle Software. Invoice Cloud is uniquely well positioned to provide Saint Anthony Village and its customers the payment and e-billing experience they desire. When IC was created in 2009, the guiding philosophy of our founders was to create a true SaaS EBPP platform that would accelerate collections, improve security, reduce costs, and enhan ce the customer experience. Our goal was to provide the payment experience typically found in Fortune 100 companies such as American Express or AT&T, to local government and utility companies that do not have the resources necessary to build this type of p latform themselves. Building a pure SaaS platform was paramount in the development of our company because our founders recognized that SaaS would allow IC to be a leader in the delivery of new technology and reduce the burden of maintenance and PCI compliance for our billers. Today, IC works with more than 1100 clients across all 50 states and in 2018, processed 46M transactions for $9.2B. Company Mission “Provide the highest adopting integrated electronic payment solutions to forwarding thinking clients.” • Focus on utility, tax and municipal market • TRUE Software-as-a-Service EBPP • Inc. 500 Fastest Growing Private Companies of 2015 - #428 • Management with deep experience in: o Secure payment processing, gateways o Billing software and integrations to CIS systems • Industry’s highest adoption with IC clients achieving more than 50% electronic payment adoption through IC payment sources. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 3 Saint Anthony Village Goals & Objectives Goals & Objectives Invoice Cloud 1. Future proof customer experience with a true Software-as-a-Service EBPP platform. Stay ahead of payment and engagement technology with a SaaS partner. ✓ 2. Implement a modern customer engagement, e-billing and payment solution that will expand your payment options for Payers, significantly increasing the number of customers adopting paperless and electronic payments. ✓ 3. Improve customer communications by sending out automated, event-driven email and text reminders and notifications (all sent by Invoice Cloud on behalf of the Saint Anthony Village). ✓ 4. Provide CSR staff with detailed reporting on payments and email statistics – easily change/remove emails, block payments methods (cash only), track email notification bounce back and click-through status. ✓ 5. Implement a paperless program that has proven to be the most effective in the U.S.—with many built in features that automatically encourages payers to enroll in paperless, without any effort needed by the utility. Maximizing ‘paperless’ enrollments will maximize print/mail cost savings for the Saint Anthony Village. ✓ 6. Reduce inbound phone calls for payment and website related assistance and complaints making CSRs more efficient and improving the CSR employee’s experience. ✓ 7. Provide customers with an enhanced ‘One Time Payment’ (40% of people prefer this way to pay) that allows customer to still see 24 months of bill history without logging in, enroll in ‘paperless,’ sign up for text or e-mail reminders, and pay via Credit Card or ACH (this is a huge factor in increasing e- adoption). ✓ 8. Engage with an EBPP partner that can grow with your District – experienced Single Sign-On and CIS integration experience with more than 90 unique platforms. ✓ INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 4 The Invoice Cloud Platform IC achieves the highest e-adoption rates by providing extensive web and mobile payment options, catering to more payers’ preferences. We recognize that everyone uses the internet and, more importantly, pays their bills differently. We continually develop new, omni channels methods to improve access to and use of bill payment. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 5 Saint Anthony Village and its customers would receive the following benefits from implementing Invoice Cloud: • Security - Invoice Cloud provides a secure, private and Payment Card Industry (PCI) Level 1 Compliant solution that is certified by Trustwave’s Trust Commerce Program. Level 1 PCI compliance is the highest in the industry. Invoice Cloud maintains full compliance with Cardholder Information Security Program (CISP) regulations and National Automated Clearinghouse Association (NACHA) rules and guidelines, as well as Personally Identifiable Information (PII). Data is secure during collection and transmission via TLS with 256 bit encryption or better. We are responsible for the security of all cardholder data in the IC system, relieving the District of all PCI requirements. IC uses two levels of encryption, called Double Encryption Methodology (DEM), even though only one is required by PCI. By using two separate encryption layers, in the unlikely event that a hacker ever stumbled over a valid data element, he/she would have to go through an entirely new process to find a second. • Software as a Service (SaaS) Architecture – Invoice Cloud is a TRUE SaaS provider (single instance, multi-tenant), so we don’t need to upload patches and upgrades to each individual client site. Other competitors host client software and make it available over the web but it is not true SaaS. Competitors who claim SaaS/Hosted are NOT single instance multi-tenanted platforms. Each of their implementations is a “snowflake” (stack) that needs individual patching and updating, which consumes engineering time and causes serious support challenges. When Invoice Cloud provides an enhancement to the system, everyone gets it automatically and can elect to use it or not. Consider the simplicity of supporting a single instance of software that is multi -tenanted versus the challenge of having to keep track of what version each client is on, and what that means, for hundreds of clients. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 6 Customer Engagement, Electronic Bill Presentment & Payment • Extensive Customer Portal to view and/or pay bills: o View 24 months of billing and payment history (no registration required) o Store bank account and/or credit card information on the Invoice Cloud secure site for future payments, scheduled payments, or AutoPay o Sign up for AutoPay, schedule a single payment, or create their own ‘budget’ payment schedule with Flex Pay o Payers can view payment history online, even if their payments were made in cash at the window because we synchronize with your CIS. Improves 24/7 customer self- serve options. • Improve communications with payers by offering a comprehensive, automated e-mail communication platform: o Invoice Cloud provides 27 e-mail templates branded as the Biller, each sent to their payers based on certain events. Here are a few examples: ▪ 3 e-mail reminders per bill (crucial for driving e-adoption—online payments and paperless); once a payment is made once, payer will get an e-mail reminder next bill run even if not signed up for paperless. • Email and SMS Text Messaging Reminders available • OneClickPay – Registered users can go directly to their shopping cart from email reminders. ▪ Payment confirmation receipt ▪ AutoPay/Scheduled payment reminder ▪ Credit Card expiration notification (if the credit card on file is expiring) ▪ ACH Reject notification • Extensive Web and Mobile payment options—all self-serve between Invoice Cloud and your payers: As of 2017, more than half of all internet users—51.12%—accessed the internet from mobile devices, which is why we designed our online payment portal to be mobile responsive. o Accept payments in any manner - Web, Mobile, IVR, Pay by Text, Over the Counter, Kiosk - through a single source. o ‘One Time Pay’—no registration required and Shopping Cart functionality allowing your customers to pay more than one invoice in a single transaction: this is CRITICAL for driving online payment adoption o View invoice and real time balance from IC email notifications, no log in required o Scheduled Payments – schedule a single payment for a *future* date o AutoPay – recurring monthly payments paid on a date determined by the Biller o Account Linking: pay multiple bills at once for multiple properties, plus manage all accounts through one registration • Mobile Responsive Site Design: o Responsive design provides ‘app-like’ experience without requiring the download of an app. o 40% of Invoice Cloud’s payments are through mobile devices (smartphones and tablets) INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 7 • Pay by Text o Allows registered Payers with a default payment method to pay with one reply via text! Pay by Text is Non-registered users can continue to the mobile responsive site for payment. • Remind Me – Calendar Payment and Reminder System o Remind Me that allows one-time payers to set calendar events or SMS text reminders of a pending invoice and receive a link to their shopping cart to initiate a one-time payment. ▪ Every Biller can customize the calendar event body. • Pay by Phone, IVR o Our SaaS IVR is owned by Invoice Cloud and offers callers account balance lookups and real time payment posting to your CIS. We host our IVR in a PCI-compliant environment and actively maintain and support it 24/7/365. We can handle high volumes of calls during peak call periods. ▪ Real time account balances and payments made by credit card or e-check. IC IVR includes the ability to send a payment receipt to emails on file, saved payment methods, and call transfer to your Call Center. ▪ No implementation costs ▪ English, Spanish and multiple languages available ▪ Toll free or local phone number ▪ Accepts full and partial payments, as well as overpayments ▪ Custom greeting and limited custom prompts available, convenience fee disclosure if applicable ▪ Works in tandem with IC Biller Portal Maintenance Windows ▪ Works with touch tone prompts • Online Bank Direct™: o IC offers our clients the ability to register and electronically receive customer payments directly through the customer’s online banking channels through Online Bank Direct™ (OBD). OBD eliminates paper checks issued by online banking sites; the Biller receives electronic deposits instead, saving its staff time and effort. Paid staff no longer need to manually compare citizen names and amounts to the bank issued checks and then enter them into the appropriate citizen file. They also do not need to deliver paper checks to the Biller’s preferred bank for processing and deposit. • Self-service Bill Payment Kiosks: o Invoice Cloud has an integrated bill payment Kiosk solution that will accept cash, check, and debit/credit cards. Self-service kiosks reduce customer wait time in line with average payment times of 60 seconds or less. Kiosk leverages the existing integration with CIS including payment posting so no additional integration points are required to add the IC kiosk. • Cloud Store™: o The IC Cloud Store platform allows our Billers to take payments online for non- invoiced or low volume payments, such as Utility Deposits, Permits and Licensing. • Cash Payments at Retail Locations o Allow your payers to pay in cash at their local 7 -11, Walgreens, CVS or Walmart. All done with a reusable barcode provided to the payer that the cashier scans with the rest of their shopping items. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 8 Customer Notifications With Invoice Cloud, Saint Anthony Village receives not just a payment processing service, but a customer engagement platform. IC increases collection rates through our customer engagement and robust payment methods. According to recent research, the most common reason people miss a payment due date? … ‘I forgot.’ When customers miss a payment, this results in higher expenditures by the Saint Anthony Village, who must then expend follow-up through the collection process. That's why Invoice Cloud is more than a payment web site; we partner with our clients as a customer engagement platform. Our three-email system combined with scheduled reminders is critical because every customer's budget varies; some pay immediately after receiving a bill, some pay later due to a paycheck, and some pay just before the bill is due. Meanwhile, the original single email notification that most of our competitors send is buried under weeks of other less important messages. When paired with our many ways to pay (e.g., online, through a text message, at CVS), Saint Anthony Village customers know when to pay, wherever is most convenient for them. There are 4 ways customers can elect to get reminders: 1) Standard e-bill reminders – 3 e-mails will be sent over the course of the payment cycle (2nd and 3rd only if they have not paid or scheduled the payment yet). Customer can enroll through all web based payment channels. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 9 2) Standard text reminders – 3 text reminders will be sent over the course of the payment cycle (2nd and 3rd only if they have not paid or scheduled the payment yet). Customer can enroll through all web based payment channels a. Customer can access the mobile site through the next reminder or… b. Pay by responding ‘PAY’ to the text reminder if remittance data has been stored. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 10 3) Calendar Reminder: customer has the option to add a ‘calendar reminder’ for a future date of their choosing INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 11 4) Scheduled a Text Reminder: customer has the option to schedule a text message for a future time they choose. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 12 Biller Portal: Reporting, Reconciliation and CSR Tools IC’s Biller Portal offers extensive reporting tools for reconciliation and data mining, making life easier for Saint Anthony Village. The first page of our Biller Portal provides Saint Anthony Village an interactive dashboard, containing a variety of charts with metrics from all areas (e.g., payment volume, paperless, and registration). These charts include Last 10 Days Payment Summary, Payments by Payment Source Summary, Payments by Payment Type Summary, AutoPay Payments by Invoice type Summary, Payments by Invoice Type Summary, Paperless by Invoice Type Summary, Registered Customers Summary, and Active Customers Summary. Our reports present focused, salient content to our clients. Saint Anthony Village can rearrange these charts to user preference at any time. The Biller Portal is available 24/7/365 and is 100% self-service for the user. Based on permissions set by the Biller, admin users will have access to features such as: • Blocking certain Customers from making ACH and/or Credit Card Payments. • Updating an email address for a Customer. • Entering a courtesy email address for a Customer or Landlord. • Sending an invoice notification for a bill that a Customer says he/she didn’t receive. • Setting up AutoPay for a Customer at Customer’s request. • Setting up paperless billing for a Customer at Customer’s request. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 13 • Reviewing payment and/or email history. • Updating phone number for a Customer at Customer’s request. • Issuing a credit on an over payment. Biller Portal offers many standard and ad hoc reports with date ranges a nd drill down options to view detail. All reports are available 24/7 through the Biller Portal. Most of the standard reports can be defined by date range, payment type or bill type criteria, in addition to criteria particular to the report (like name or email for the customer report) to produce targeted results. Our system uses open architecture and is Open Database Connectivity (ODBC) compliant to allow data extraction and facilitate reporting. All IC data can be drilled down and then exported to CSV. Saint Anthony Village can change the images on its Customer Portal, emails, and invoices at any time, 100% self-service. 27 Email Templates. IC provides 27 email templates that fosters high self-service and customer communications, all triggered by events and customer activity. The service’s multiple email notification capability will allow Saint Anthony Village to achieve unprecedented online payment and paperless adoption rates and provide the easiest to use, most comprehensive EBPP system on the market. Email notifications are completely customizable using the Biller Portal’s built-in MS Word-style editor. All notifications are template driven so that Saint Anthony Village can customize the messaging on the notification and use them, if desired, to alert customers to current or pending Biller events or due dates. In addition, templates are invoice based, so INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 14 Saint Anthony Village can have different information in the email messaging on an Invoice by Invoice basis. We provide both Word and HTML views, the ability to insert variable fields, such as Invoice Due Date into the body of the email, embed images, URL’s, and send test emails prior to saving changes in the system. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 15 More Ways to Engage Online Bank Direct™ Online Bank Direct eliminates paper checks issued by online banking sites. Irvine Ranch Water District will be able to register through Invoice Cloud with online banking networks (Fiserv and MasterCard RPPS) to electronically deposit citizen payments. Electronically depositing these payments will save biller staff time and effort. They will no longer need to manually compare citizen names and amounts to the bank issued checks and then enter them into the appropriate citizen file. The IC Online Bank Direct electronic payments (like lock box files) are matched (when possible) to the payer’s account, processed and uploaded into the biller’s CIS system. Invoice Cloud provides a unique exception handling process whereby, using AI Invoice Cloud will search through the District’s invoices and present a short list of potential matches along with a Rating score. Once the CSR matches a payment correctly to an account, IC will remember the match and automatically process the next payment without a new exception flag. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 16 Cloud Store™ Cloud Store allows Billers to accept payments for non-invoiced services such as Engineering Fees, Miscellaneous Accounts Receivable, Citations, Airport Fees, Permitting, Dog License, or Parks and Recreation. Cloud Store Billers will have access to detailed reporting functionality in our Biller Portal as well as Shopping Cart functionality through the One Time Payment channel. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 17 Pricing - Invoice Cloud Fee Schedule for Saint Anthony Village Paperless Paperless Billing Fees – fee per paperless bill, per bill cycle – NOTE – IC does not charge our paperless fee until your customer truly opts out of getting a paper bill. This results in a net savings after print and mail fees are eliminated. $0.40 per paperless bill NA Cost Savings for each customer going paperless Credit Card Readers - Optional Intended for point of sale processing. Hand keying of card payments directly into the IC system is included with our platform. $30/month for each terminal Optional $360 Annually Optional Add-on Description Fee Estimated Annual Cost Integration, Deployment and Training Integration, deployment, and training Note: Includes integration with Caselle Software No Charge NA Account Access Monthly Access Fee for Branded Customer Portal and Biller Portal Note: The monthly access fee covers maintenance, support, upgrades and full access to the Invoice Cloud service for the Biller and its customers. $100.00 $1200 Annually HelpDesk Support Access to IC Help Desk and client services team and marketing support to help you achieve the industry’s highest payment and paperless adoption. No Charge NA Marketing Support Access to Invoice Cloud’s Marketing Team to assist the Town achieve the industry’s highest payment and paperless adoption rates. No Charge NA Other Email Engine with 29 eMail Templates, quickly tie multiple bills together, Pay by Text, Remind Me, OneClickPay, View and Pay Invoices with NO LOG IN required, and more. No Additional Charges NA Electronic Payment Fees - Credit/Debit Cards: VISA, MasterCard, Discover Credit card cost and $0.50 + 0.80% 150 payments/quarter Average payment of $284 Estimated Cost $5.04*600= $3024 Annually E-Check $0.95 100 payments/quarter $380 Annually Auto Pay ACH – Reduced rate to convert existing Autopay to a single IC platform $0.25 455 autopay/Quarter $455 Annually Other Merchant Services Fees Credit Card Chargeback Fee – i.e. if a card is stolen and the person that owns the card disputes the charge; rarely occurs $15.00 NA ACH Reject Fee – i.e. bounced check, usually the Biller has their own fee when there is an ACH Reject which would re-coup this cost $15.00 NA IVR (Payments over the phone) - Paid by the Customer IVR Tech integration provided at no charge; this fee is in addition to credit card fee or ACH fee. $0.95 NA Paid by the Customer Online Bank Direct Turns paper checks, which are mailed to the Town from the customer’s bank, into an electronic file that gets uploaded to the Invoice Cloud Biller Portal. $50.00/month $600 Annually $0.50/match ~300/Quarter $600 Annually INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 18 Cloud Store Customizable pages to allow processing of non-utility payments such as permits, Invoices, Licenses etc. $50.00 per month Includes all Cloud Stores $600 Annually Credit/debit cards 2.95% ($2.95 Minimum fee) Paid by the Customer NA Fee paid by the Customer ACH $0.95 Paid by St Anthony Village I don’t have enough data to estimate number of annual permit/invoice payments Elimination of 40-50 calls per month asking for online options@ about 1-2 minute per call – about 1 hour of time saved. ~300 Online Bank Direct Items captured and processed electronically , estimated 2 minutes per check = About 10 hours of time saved per quarter Higher ePayment adoption results in less time manually posting payments or scanning paper checks. Paperless adoption results in fewer statements being printed lowering print and mail expenses. Current cost is about $0.60 per printed statement, $700 for print/fold/stuffing and about the same for postage. IC only charges if a customer goes paperless which is $0.40 resulting in a net savings of about $0.20. With our average client achieving 20% paperless this is a $400 annual savings. Utility payments will post back to your Caselle software in real time and non-utility payments can be loaded into your GL not only adding payment options for permits etc. but also eliminating the need to manually post payments. INNOVATING THE CUSTOMER EXPERIENCE IC CONFIDENTIAL 19 In the next IC/Caselle update, email addresses and phone numbers updated in IC will be pushed to your Caselle software. And we will also be able to offer a negative file that will automatically update customer ledgers in case a payment is rejected or bounces due to NSF.