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HomeMy WebLinkAboutCC WS PACKET 10222024CITY OF SAINT ANTHONY VILLAGE WORKSESSION AGENDA Tuesday, October 22, 2024 at 5:30PM Members of the public who wish to attend the meeting may do so in person. Minutes Approval Of CC WS Meeting Minutes WS 10 -08 -2024.PDF Worksession Topics Metropolitan Council Livable Communities Act (LCA) Ashley Morello, Assistant City Manager, presenting. COVER MEMO.PDF RESOLUTION 24 -0XX DRAFT.PDF 2025 Utility Rates Deborah Maloney, Finance Director, presenting. COVER MEMO 10 22 24.PDF EXHIBIT A.PDF EXHIBIT B.PDF EXHIBIT C.PDF EXHIBIT D.PDF EXHIBIT E.PDF EXHIBIT F.PDF EXHIBIT G.PDF Future Worksession Dates, Times And Agenda Items Future Agenda Items FUTURE AGENDA ITEMS.PDF Adjournment If 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. Our Mission is to promote a high quality of life to those we serve through outstanding city services. 1. A. Documents: 2. A. Documents: B. Documents: 3. A. Documents: 4. 1 CITY OF SAINT ANTHONY VILLAGEWORKSESSION AGENDATuesday, October 22, 2024 at 5:30PMMembers of the public who wish to attend the meeting may do so in person. MinutesApproval Of CC WS Meeting MinutesWS 10 -08 -2024.PDFWorksession TopicsMetropolitan Council Livable Communities Act (LCA) Ashley Morello, Assistant City Manager, presenting.COVER MEMO.PDFRESOLUTION 24 -0XX DRAFT.PDF2025 Utility RatesDeborah Maloney, Finance Director, presenting.COVER MEMO 10 22 24.PDFEXHIBIT A.PDFEXHIBIT B.PDFEXHIBIT C.PDFEXHIBIT D.PDFEXHIBIT E.PDFEXHIBIT F.PDFEXHIBIT G.PDFFuture Worksession Dates, Times And Agenda Items Future Agenda Items FUTURE AGENDA ITEMS.PDF Adjournment If 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. Our Mission is to promote a high quality of life to those we serve through outstanding city services. 1.A.Documents:2.A.Documents:B.Documents:3. A. Documents: 4. 2 City of St. Anthony CITY COUNCIL WORK SESSION Minutes October 8, 2024 Present: Mayor & Council: Mayor Wendy Webster, Councilmembers Lona Doolan, Nadia Elnagdy, Jan Jenson and Thomas Randle (arrived at 5:37 p.m.). Absent: None Staff: City Manager Charlie Yunker and Finance Director Deborah Maloney. Call to Order: Mayor Wendy Webster called the Work Session to order at 5:30 p.m. 1.Approval of CC WS Meeting Minutes A.September 17, 2024, Joint City Council and Commissions Work Session Motion by Councilmember Jenson, seconded by Councilmember Doolan, to approve the Joint City Council and Commissions Work Session Minutes of September 17, 2024, as presented. Motion carried 5-0. B.September 24, 2024, City Council Work Session Motion by Councilmember Jenson, seconded by Councilmember Doolan, to approve the City Council Work Session Minutes of September 24, 2024, as presented. Motion carried 5-0. 2.Work Session Topics A.2025 Long Term Capital Budget Plans Finance Director Deborah Maloney reviewed the Capital Equipment, Building and Parks Improvement Funds have been long-standing capital funds used by the City. The Stormwater Fund has funded stormwater improvements since the 2015 retirement stormwater bonds. The Utilities Infrastructure Fund was established during 2016 for the replacement of water, sanitary sewer, and fiber optic infrastructure. Additionally, the Street Improvement and Debt Service Plan is the combined activity of the annual street improvement funds and their related debt service funds. The proposed 2025 Capital Funds Budget was displayed. This is based on the Capital Improvement Plan that is reviewed and updated by staff each year to reflect purchases and repairs completed, and upcoming purchases and repairs needed. The City Council is asked to consider the following four items: Review and comments on the 2025 Capital Funds Budget. Review of fund balances transfers from year-end 2023. 3 October 8, 2024 St. Anthony Council Work Session - 2 Prioritization of Parks requests from Commission and staff. Funding options for Parks requests. Councilmember Randle arrived at the meeting at 5:37 p.m. Building Improvement Fund The Building Improvement Fund accounts for costs for replacement and large maintenance items needed for city owned buildings. Significant costs in the Building Fund for 2024 and projected costs for 2025 are made up of the following: 2024 2025 City Hall Facilities Assessment cost of $10,890 City Hall Replacement of Trane RTU & ductwork in the gym has been quoted at $132,200, a significant increase from previous estimates due to energy code changes and new refrigerants. Water Heater replacements estimated at $26,000. Fire Station Rooftop Units $105,450. Makeup Air Unit $26,900. Water Softener $12,000. Overhead garage doors $12,100. Generator replacement $5,884. Asst. Fire Chief Office construction $26,800. Shower Remodel/add on $12,500. Roof replacement $100,000. Public Works EV Charging Station $1,660 Rooftop Unit $35,000. Makeup Air Unit $19,250. Air Handling Unit $8,050. Exhaust Fans $13,340. Roof Replacement $210,000 (moved up to accommodate solar project). Solar on public buildings project $109,070 ($10,907 net after grants). Central Park Pavilion Exterior updates $6,320.Water Heaters $3,000. Other Technology $1,950. Emerald Park Pavilion Interior updates (LED) $6,320 Water Heaters $5,000. Silver Point Park Warming House Water Heaters $4,940.HVAC $14,000. 4 October 8, 2024 St. Anthony Council Work Session - 3 Parking Lot/trails mill and overlay $20,000 Marketplace Liquor Water Heaters $5,500.Rooftop Unit $36,000. Other Technology $1,890. Roof replacement $36,400. Silver Lake Liquor Water Heaters $5,500.Rooftop Units $65,000. Other Technology $1,890. Roof replacement $42,800. Future considerations for Building Improvement Fund: Renewal of Community Center Lease in 2028. Review adequacy of building improvement levy in connection with Oertel evaluation of City Buildings and steep increases in building related costs. Councilmember Jenson asked for the roof replacements to accommodate the solar projects, the roof will be replaced this year with the solar panels being done next year. Mr. Yunker stated the timeline for the solar is yet to be determined because technically we have not been awarded the grant. The funds are set aside for St. Anthony. They could both happen in 2025. Bids are being sought currently. Councilmember Doolan asked if the grant is only for one building. Mr. Yunker stated the grant is for two buildings the public works building and the older side of the water treatment plant. The roof for the water treatment plant is good. Councilmember Doolan referred to the $120,000 on the spreadsheet for solar. Ms. Maloney stated the sources show the grants received. The water plant solar is included in the enterprise fund. Councilmember Doolan stated there are several water heater replacements and she is aware there are grants available for electrifying the water heaters. She asked if grants were sought for those and Ms. Maloney stated Jeremy is seeking grant opportunities. Mr. Yunker stated the parks buildings are smaller, and the grant opportunities would be for the larger buildings. The City is always looking for grants. CAPITAL EQUIPMENT FUND Police Two squads are scheduled for replacement in 20 25. Squad mileage is used as the main factor for replacement, and the cycle ranges 3-4 years. Police vehicle purchases in 2024 include: o Dodge Durango SUV – Patrol $52,391. o Dodge Durango SUV – Patrol $58,041. Police vehicle planned purchases in 2025 are: o Dodge Charger – Patrol Replaced with Traverse $62,650. o Dodge Charger – Patrol Replaced with Traverse $62,650. o Ford Taurus – Chief Vehicle to be replaced $49,000. The unmarked squads are on a six-year replacement schedule. Retiring unmarked squads are used to fill other police vehicle needs. 5 October 8, 2024 St. Anthony Council Work Session - 4 Additional Police Capital purchases for 2025 are as follows: o Squad Computers $3,960. o Squad Video Cameras $48,170. o Drone Program Supplies $11,000. o Redman Suit & Taser Suit $1,320. o Tasers/Batteries $3,955. o Firearms/Red Dot Firearm Sights $22,640. o Squad Radar / 2 Per Year $5,000. o Investigator Enhanced Computer Equip. $3,955. o Redaction Software $5,000. o Office Computer Replacements $2,970. Fire The Fire Department’s Capital purchases in 2024 include: o Code Enforcement – Rewrap Traverse – Seek EV Option in 2026 $48,698. o Turnout Gear/Helmets/Helmet Lights $46,630. 2025 Planned purchases are as follows: o Asst Chief Vehicle $70,000. o Day Room/Kitchen/Appliances $5,000. o Fitness Equipment $6,500. Councilmember Elnagdy asked if all the vehicle replacements are electric, and Ms. Maloney stated they are not. In Public Works there is one electric vehicle and in Utilities there is one electric vehicle. Staff is looking at electric vehicles where it is possible. Mr. Yunker stated public works is the easiest place to have electric vehicles. Mayor Webster asked if the code enforcement vehicle could be electric and Mr. Yunker stated that has always been a hand-me-down vehicle. Councilmember Doolan asked if a used electric vehicle has been considered. Ms. Maloney stated a vehicle purchased for fire turned out not to work so a new wrap-around is needed to use that vehicle for code enforcement. Councilmember Randle stated he understands the desire to want electric vehicles, but it needs to be feasible to convert to electric vehicles. Ms. Maloney stated electric vehicles are more expensive. Mr. Yunker stated the public works vehicles are driven more than code enforcement vehicle. Staff will do their best to switch over the fleet as soon as possible. Councilmember Doolan stated there is the inflation reduction act that would give the City direct payback. Mr. Yunker stated they will look at options and vehicles are generally purchased under the state contract. Councilmember Doolan asked if the Dodge Durango has a hybrid option. Mr. Yunker stated that has not come up in conversation. For police vehicle a specific package needs to be ordered from the dealer and options are limited. Councilmember Elnagdy asked about a build-up of the truck and Ms. Maloney stated a tanker is added later and the chassis was purchased first. Public Works 6 October 8, 2024 St. Anthony Council Work Session - 5 Public Works – Streets Division: In 2024 fleet replacements included: o F150 4x4 / Replaced with Ford Lightning $62,100. o 2024 Freightliner 108SD – Chassis purchase in 2023/Buildup in 2024 $173,564. 2025 planned purchases are: o F150 Pickup – Sign Truck $85,000 (prioritizing electric). o F450 Mini Dump 2 Ton 4x4 w/plow $65,000. Public Works – Parks Division: Significant 2025 capital planned purchase is: o Bobcat 3400G Utility Vehicle (ATV) – Seeking EV Option $26,000. Admin and Finance Administration and Finance – Purchases for election equipment, office furniture and additional financial software are slated for 2024-2026. The priority and timing of these replacements will be evaluated year to year. 2024 Capital purchases are: o City Hall – Bizhub Copier replacement $10,000. 2025 planned purchases include: o Civic Modules Expanded/Added $15,000. Councilmember Jenson asked if civic modules is software and Ms. Maloney stated it is financial software upgrades. Future considerations for Capital Improvement Fund: Phasing out of the use of Infrastructure transfers as a CIP source and converting that amount to levy, at which time available Infrastructure dollars would be reallocated to the debt levy reduction to negate levy impact. A $222,036 transfer of general fund surplus has been anticipated as a source in 2024. The general fund transfers will be reviewed for Council action at a Council meeting prior to year-end. PARKS IMPROVEMENT FUND The results of the WSB Parks Evaluation study and priorities set by the council using PEC recommendations inform the items and timing of future capital expenditures. Significant costs in 2024 included: o Silver Point Park Play Equipment (assumes full accessibility option) $136,091. o Silver Point Park Bituminous Trail Resurfacing $216,700. o Signage – Silver Point and Trillium $3220.00. Estimated costs for 2025 include: o Central Park Ballfield netting $110,000. o Emerald Park – Provide accessible route to picnic shelter and grill $15,000. o All Parks with seating – Provide accessible picnic tables and benches $17,500. o Signage – Central and Emerald Parks $3,420. A $262,189 transfer of general fund surplus has been anticipated as a source in 2024. The general fund transfers will be reviewed for Council action at a Council meeting prior to year-end. 7 October 8, 2024 St. Anthony Council Work Session - 6 Future considerations for Park Improvement Fund: The Park improvement fund’s revenue source is Park Dedication fees and Park levy. Allowed uses of park dedication fees are limited in scope and dedication fees are infrequent, therefore insufficient to rely on to add significant new amenities in the City Parks. To reduce reliance on debt financing for significant additions and improvements, it is recommended that the Park Improvement Levy be increased a minimum $5,000 per year until it reaches $100,000 to aid in funding future park replacement needs. UTILITIES INFRASTRUCTURE FUND Significant purchases for Water treatment plant components are reflected as occurring in 2023- 2026. Staff has proposed a 2025 Plant components assessment be performed by a third-party subject matter expert. A placeholder of $35,000 has been included in the capital budget. The amount reflects the complexities of three separate water treatment processes employed by the City. Significant Utilities Infrastructure expenses in 2024 include: o Purchase of a replacement dehumidifier for the GAC plant $162,300. o Completion of Well No. 4 Pump restoration project, total costs for this were $198,310. o Replacement of Sodium Permanganate Pumps and chemical feed tubes at a cost of $29,164. o Replacement of a Chlorine booster pump at the GAC Plant $6705. o Foss Road Lift Station repair costs $45,780. Fleet and other equipment used in maintaining the delivery and collections systems is budgeted separately from the Water treatment plant and Sanitary lift stations. Significant Utility related fleet and equipment costs in 2024 included: o Ford Lightning EV replaced a 2007 pick-up $62,765. o M2 Water Tanker/Flusher $177,598 net cost after trade in. o Purchase of a 4-inch transfer pump which replaced 3 smaller pumps $5,066/ Future considerations for Utilities Infrastructure Fund: The Utilities Infrastructure currently has a sufficient fund balance to support the programmed equipment replacement through the 2030’s. Water and Sewer operating fund transfers are projected to begin in 2025 to support future capital needs. Annual adjustments to water and sewer rates will ensure that operating transfers are available. A Plant components assessment in 2024 or 2025 will aid in informing the necessary capital expenditure items and timing of the same. Councilmember Elnagdy asked about the tanker/flusher and if that will be in 2024 and Ms. Maloney stated it depends when the replacement is received. It is expected in 2024. STORMWATER FUND Costs to account for flood mitigation and water quality concerns, mandates, and stormwater pond maintenance are accounted for in our Stormwater Utility Fund. Significant costs in this fund for 2024 and 2025 include: o The placeholder for an Industrial Park flooding mitigation has moved to 2030, anticipating that redevelopment will not occur until a later date. o Mirror Lake Outfall repair is expected to cost $55,600 in 2024. 8 October 8, 2024 St. Anthony Council Work Session - 7 o Maintenance costs for the Street Sweeper are accounted for in this fund at an estimated $6,000 per year. o Other pond maintenance and water quality costs are estimated at $28,000 per year. o MS4 Engineering costs are around $7,000 each year. Future considerations for Storm Water Fund: The Storm Water fund currently has a sufficient fund balance to support the scheduled replacement throughout 2025-2041 time-frame. Stormwater fund transfers have been used to support the debt levy reduction program as needed in prior years. The street improvement schedule and 2025 debt levy reduction program were presented to the City Council at the 6/25/24 Council Work Session and approved at the 9/10/24 City Council Meeting. Summary The proposed 2025 Capital Funds budgets align revenue sources with appropriate needs to ensure sustainability and sound financial reserves to safeguard the ability to maintain the City’s valuable assets. The budgets as presented are intended to support the Cities present level of services and maintain the City’s infrastructure for current and future community members. Ms. Maloney reviewed the Fund Balance Transfers. Action sought from Council is: Approval of proposed transfers. Excess Fund Balance Transfers approved along other fund transfers in December 2024. Excess transfers will be retroactive to 1/1/2024. The Financial Results slide was provided for the Council. This slide demonstrates the City’s Net unassigned fund balance at 12/31/2023. Options for reducing the excess general fund balance were demonstrated in the chart provided. Staff recommends a moderate transfer, retaining 46.75% of fund balance to ensure healthy reserves to help retain our AA+ bond rating awarded to the City this year. Parks Requests from Parks & Environmental Commission and Staff include: Additional Safety Netting for Central Park Fields C1 & C3 – Estimated cost: $110,000 (included in CIP). Upgrade Field Lighting to LED. Estimated cost $535,000 (Central Park $370,000 Tennis Courts $165,000). Pickleball Courts – Estimated cost $300,000. Mayor Webster thanked Ms. Maloney for the recommendation and retaining 46.75% of the fund balance. Ms. Maloney stated it was 54%. Councilmember Jenson stated previously the fund balance was 35% and the decision was made to increase it closer to 50%. Councilmember Doolan asked is the fund due to efficiencies. Ms. Maloney stated it was a unique year. A fire truck moved from liability to revenue fund. There were interest earnings for the first time in the past few years. Councilmember Doolan asked what the difference is between 46.75% and 42.0%, and if at 42.0%, would that keep the tax levy lower this year. Mr. Yunker stated with the upgraded bond rating 9 October 8, 2024 St. Anthony Council Work Session - 8 received this year they noted 44%. There are many factors, and we must be cautious about how much is used. Councilmember Jenson stated isn’t the higher bond rating advantageous and Ms. Maloney stated in order to obtain lower interest rates. Councilmember Elnagdy asked what the “normal” is. Mr. Yunker stated we always want some excess to be conservative. There is not a typical year. Mr. Yunker stated the additional netting cost would be shared with the school district. This will be planned to be done. When upgrading to LED a 50% energy savings is anticipated based on information from the vendor. The pickleball courts have been discussed for several years. The PEC recommends the best location as Central Park in the ice rink. This does not include any sound mitigation. Putting ice on top of pavement would make the courts wear out sooner. The suggestion was to put them south of the pavilion. The PEC wants to continue discussing location. The cost would be about the same if it was the wellhouse area. FUNDING OPTION FOR PARKS REQUESTS The existing Parks Improvement Levy was established only recently and is primarily utilized to service an interfund loan established to fund the replacement of the tennis courts in Water Tower Park. While staff has proposed an increase to that levy to support small amenity replacements and small enhancements, there is no existing funding for large amenity replacements. The City has a number of funding options: Increase the Parks Improvement Levy significantly to build funds over time. Utilize debt financing, as utilized in the past. Secure “one-time” funding sources. Ms. Maloney continued over the past three years the City Council has expressed the commitment to reduce dependency on debt financing for capital improvement (i.e. street reconstruction) and minimize the overall levy increases each year. The Council also discussed options to close out decertified TIF districts in the Silver Lake Village area with Ehlers at the April 9, 2024 Work Session. No specific plan was identified but closing the decertified districts was identified as the best overall option for utilizing the funds. Given the Parks requests from the Parks & Environmental Commission and Staff, Finance Staff asked Ehlers to prepare a memo to describe how a close out of the districts would work, and the funds that would be made available for Council’s consideration. Ehlers memo was provided, and a summary of the end result is the City will receive approximately $976,424. Once these dollars are received from the County they are no longer considered TIF and the City can deposit them into any City fund, including the General Fund to use at its discretion. It is important to note that this would be one-time funds, and use should be carefully considered. Ms. Malone reviewed the specific items for discussion and feedback: Comments on the information presented and work completed to date. Prioritization of Parks requests from Parks and Environmental Commission and Staff comments on the funding options for the Parks requests. Also provided for Council consideration are CIP Spreadsheets and Ehlers TIF Memo. 10 October 8, 2024 St. Anthony Council Work Session - 9 Councilmember Jenson asked if Central Park netting and trails have their own separate funding source. Mr. Yunker stated the question is whether to update the field lighting to LED. Councilmember Jenson stated that would make sense and fit into our climate plan. He feels it is important to identify some funding for the pickleball courts. He feels it would be appreciated by the residents. He would like to transfer the dollars. He feels lighting and pickleball are important. Councilmember Elnagdy stated she agreed with the lighting. The money for the pickleball could be the closed-out TIF funds along with grants. Councilmember Elnagdy asked how long the pickleball trend will last. There are other parks that need help. She feels strongly against the pickleball courts. Councilmember Jenson stated Council has received several requests for pickleball. He does not believe the trend will end. Councilmember Elnagdy stated the residents have wanted a dog park for several years. Councilmember Jenson stated they have not been able to identify a location for a dog park. Mr. Yunker stated the request for dog park will be coming shortly. Mayor Webster stated St. Anthony has had 3 full sheets of ice each year and how long will that be available due to weather changing. Councilmember Randle stated he agrees with Councilmember Elnagdy but does not see the need for pickleball. He suggested if residents want a dog park they should go to Minneapolis. The lighting makes sense. Councilmember Doolan stated a broader conversation on priorities is needed. The traffic on 29th from the Park is an issue that needs to be addressed. Councilmember Doolan asked about the lighting. She asked if the timing could be adjusted. Mayor Webster stated there is a timer for the tennis court and Central Park which turns off the lights at 10:00 p.m. Mr. Yunker stated that is part of the broader conversation on usage. Councilmember Doolan stated she assumes grants will be sought for the LED lighting and Mr. Yunker stated grants are sought. Mayor Webster asked about the trail improvements as part of the 2025 will be funded through dedication fees and transfers. She stated there is agreement to close out the TIF funds. The 2025 preliminary levy has been established. Future Work Sessions: The next Work Session will be held on October 15, 2024 in the Council Chambers and will be a joint session with the Planning Commission. Future Agenda Items: Adjournment: The meeting adjourned at 6:37 p.m. 11 THIS PAGE LEFT INTENTIONALLY BLANK 12 PAGE 1 MEMORANDUM To:St. Anthony Village City Council From:Ashley Morello, Assistant City Manager Date:October 22, 2024 City Council Work Session Request:Metropolitan Council Livable Communities Act (LCA) Local Housing Incentives Account Program (LHIA) participation BACKGROUND The Livable Communities Act (LCA) establishes the Metropolitan Council authority to distribute funds related to housing through the Local Housing Incentives Account Program (LHIA) for the seven-county metro region. Cities that elect to participate in the LHIA are eligible to apply to multiple funding programs related to housing and development topics. Staff is recommending that the City elects to participate in the LHIA program. In order to opt into the LHIA program and to be eligible to apply for LCA grant funding opportunities, the City Council must pass a resolution electing to participate in the LHIA by November 15, 2024. The Metropolitan Council has provided Staff with a draft resolution (attached) for City Council to consider. LHIA PARTICIPATION ELLIGIBLITY The Metropolitan Council has the authority to manage the metro-region’s LHIA program per State Statutes sections 473.25 to 473.255). In order to participate in the LHIA, cities must pass a resolution once within the Metropolitan Council’s ten-year planning timeframe. If City Council proceeds with passing a resolution, the City would be electing to participate in the LHIA program through 2030, after which point the City would need to pass another resolution if interested in continuing to participate in the program. By electing to participate in the LHIA, the City agrees to meet the affordable housing goal range and the life- cycle as housing goal as defined by the Metropolitan Council. These thresholds are as follows: Affordable Housing Goals Range Life-Cycle Housing Goal 84-152 576 Participating cities are asked to complete survey annually to report affordable and life-cycle housing opportunities amount. This reporting will be completed at a staff level. LCA FUNDING OPPORTUNITIES The seven-county metro region allocates funds each year to the follow focus topics: Housing, Jobs, Efficient Growth Transit Oriented Development (TOD) Pre-development Policy Development Clean-up/Investigation Affordable Rental Housing Affordable Home Ownership 13 PAGE 2 Solicitations for each area of focus occurs annually, with some of the programs including multiple solicitations each year. Applications must come from a government organization that is a participating city. NEXT STEPS Following discussion from City Council, staff recommend passing the resolution to elect to participate in the LHIA at a future City Council meeting. DISCUSSION ITEMS FOR COUNCIL FEEDBACK Below are the specific items for discussion and feedback for staff: Discuss opportunities areas to consider housing related grants Comments and thoughts on the proposed LHIA resolution ATTACHMENTS: Draft resolution 14 CITY OF ST. ANTHONY HENNEPIN AND RAMSEY COUNTY, MINNESOTA RESOLUTION 24-0xx RESOLUTION ELECTING TO PARTICIPATE IN THE LOCAL HOUSING INCENTIVES ACCOUNT PROGRAM UNDER THE METROPOLITAN LIVABLE COMMUNITIES ACT CALENDAR YEARS 2024 THROUGH 2030 WHEREAS, the Metropolitan Livable Communities Act (Minnesota Statutes sections 473.25 to 473.255) establishes a Metropolitan Livable Communities Fund which is intended to address housing and other development issues facing the metropolitan area defined by Minnesota Statutes section 473.121; and WHEREAS, the Metropolitan Livable Communities Fund, comprising the Tax Base Revitalization Account, the Livable Communities Demonstration Account, the Local Housing Incentive Account and the Inclusionary Housing Account, is intended to provide certain funding and other assistance to metropolitan-area municipalities; and WHEREAS, a metropolitan-area municipality is not eligible to receive grants or loans under the Metropolitan Livable Communities Fund or eligible to receive certain polluted sites cleanup funding from the Minnesota Department of Employment and Economic Development unless the municipality is participating in the Local Housing Incentives Account Program under Minnesota Statutes section 473.254; and WHEREAS, the Metropolitan Livable Communities Act requires that each municipality establish affordable and life-cycle housing goals for that municipality that are consistent with and promote the policies of the Metropolitan Council as provided in the adopted Metropolitan Development Guide; and WHEREAS, a metropolitan-area municipality can participate in the Local Housing Incentives Account Program under Minnesota Statutes section 473.254 if: (a) the municipality elects to participate in the Local Housing Incentives Program; (b) the Metropolitan Council and the municipality successfully negotiate new affordable and life-cycle housing goals for the municipality; (c) the Metropolitan Council adopts by resolution the new negotiated affordable and life-cycle housing goals for the municipality; and (d) the municipality establishes it has spent or will spend or distribute to the Local Housing Incentives Account the required Affordable and Life-Cycle Housing Opportunities Amount (ALHOA) for each year the municipality participates in the Local Housing Incentives Account Program. NOW, THEREFORE, BE IT RESOLVED THAT the City of Saint Anthony Village 1.Elects to participate in the Local Housing Incentives Program under the Metropolitan Livable Communities Act for calendar years 2024 through 2030. 15 2.Agrees to the following affordable and life-cycle housing goals for calendar years 2021 through 2030: Affordable Housing Goals Range Life-Cycle Housing Goal 84-152 576 3.Will submit answers to questions in the Metropolitan Council’s annual Housing Policy and Production Survey that identify actions taken to meet established housing goals and therefore fulfill the requirement of having a Housing Action Plan. Passed in regular session of the City Council on the ____ day of _____________, 2024. ____________________________________ Wendy Webster, Mayor ATTEST:____________________________ Jennifer Doyle, City Clerk Review for Administration: ____________________________________ Charlie Yunker, City Manager 16 TO: MAYOR AND COUNCIL MEMBERS FROM: DEBORAH MALONEY, FINANCE DIRECTOR SUBJECT: 2025 UTILITY RATES DATE: OCTOBER 22, 2024 The utility rates recommended herein for 2025 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 2025 budgeted water costs are comprised of $875,593 in fixed costs and $1,038,888 in usage driven costs, as shown on Exhibit A and as summarized here: OPERATING DEPRECIATION OVERALL FIXED 574,981 44% 300,612 49% 875,593 46% USAGE 729,598 56% 309,290 51% 1,038,888 54% 1,304,579 100% 609,902 100% 1,914,481 100% The Multiyear approach to water rates included the phase in of the flat fee which began in 2016. Based on estimated actual results for 2024 and 2025 budgeted costs are reflected in the proposed rates for 2025 are reflected below. 17 Proposed 2025 water rates: 2025 2024 Per 1000 gallons Rates Rates $ Increase Water Tier I 3.44 3.32 0.12 Water Tier II 3.62 3.50 0.12 Water Tier III 3.99 3.85 0.14 Water Tier IV 4.57 4.41 0.16 Water Tier V 5.73 5.53 0.20 Irrigation 4.57 4.41 0.16 Quarterly flat fee 27.00 25.50 1.50 The above rates are projected to produce $1,4999,839 in revenues assuming water consumption in 2025 is at a similar level as seen in 2024. With a comparable consumption, the operating income before depreciation is budgeted to be $235,772. The water budget is attached as Exhibit B. The recommendation’s impact on 2025 quarterly Water bills is reflected below: 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 2025 budgeted sewer costs are comprised of $584,010 in fixed costs and $995,456 in flow volume driven costs (usage), as shown in Exhibit D and as summarized below: OPERATING DEPRECIATION OVERALL FIXED 512,699 35% 71,310 70% 584,010 37% USAGE 964,895 65% 30,562 30% 995,456 63% 1,477,594 100% 101,872 100% 1,579,466 100% 18 The Multiyear approach to sewer rates also included the phase in of the flat fee. Based on estimated actual results for 2024 and 2025 budgeted costs are reflected in the proposed rates for 2025. Proposed 2025 Sewer rates are below: 2025 2024 Per 1000 gallons Rates Rates $ Increase Sewer Usage rate 5.12 4.85 0.27 Qtr. Collection system charge 23.25 21.25 2.00 The above rates are projected to produce $1,589,785 in revenues in 2025. At this level of revenues, the operating income before depreciation is budgeted to be $109,191. The sewer budget is attached as Exhibit D. The recommendation’s impact on 2025 quarterly Sewer bills is reflected below: Stormwater rates: A multi-year approach to Stormwater rates in place since 2012 called for an annual increase for single family residential (classifications 2 & 3) to bring the rates in line with surrounding communities and minimal increases moving forward to sufficiently fund future costs of the stormwater utility. Staff’s proposal for 2025 is a $.75 increase in single family stormwater charge. The proposed rate amount is comparable to the range of surveyed rates shown on Exhibit E. Single-family rate increases are determined based on cost drivers, projected project needs and overall fund balance. The City’s commercial stormwater rates however, are below the rates charged for high density and commercial/industrial/institution classifications. It was noted in the 2023 rate survey that the city’s commercial rates were 3-4 times the single-family rate. The surveyed 2023 rates for these classifications were 7-12.5 times the single-family rates. Therefore, staff is proposed to phase in an increase the high density and commercial/industrial/institution rates. Employing 19 the same multi-year approach as used for past single-family rates increases. This approach results in the fixed amount increase reflected in the chart below. These additional charges will aid in supplementing the funding for future street reconstruction and major stormwater improvements in the industrial and retail districts as they are redeveloped. The proposed 2025 Stormwater quarterly rate increases by land use categories is detailed below: The overall annual impact of the recommended rates for a residential customer at each of the five tier levels is below: A survey of local municipalities 2025 utility rates is attached as Exhibit E. The Saint Anthony Village 2024 utility rates are lower than many of the surrounding cities surveyed. The Water/Sewer Utility fund summary budget is attached as Exhibit F. Lastly, a long-range Utility revenue plan is attached as Exhibit G. 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 will begin in 2025 with a transfer to the Utilities Infrastructure fund. Tier Level 1st -7,500 2nd -15,000 3rd -22,000 4th -30,000 5th- 37,500 Distribution (1st Qrt. 2024) 37% 45% 15% 3% 1% 2025 Proposed 132.80 198.35 266.68 339.35 420.73 2024 Actual 125.63 188.25 253.50 322.95 400.80 Quarterly Increase 7.17 10.10 13.18 16.40 19.93 Annual Increase 28.70 40.40 52.70 65.60 79.70 20 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. No growth in number of accounts or usage was factored in the projection. Real growth will be noted annually through the process of updating the base year results. Using these factors annual adjustments to the flat fees and usage rates 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. Council Action requested: Approval of proposed rates. 21 EXHIBIT A Fiscal Year 2025 12/31/2022 ACTUAL ACTUAL ACTUAL ACTUAL EST. ACTUAL BUDGET 2020 2021 2022 2023 2024 2025 PW Usage %Fixed %AD Usage %Fixed %TOTAL DISTRIBUTION EXPENSES 701-4110-80-0000 WT REGULAR EMPLOYEE 334,093$ 310,612$ 362,522 380,181$ 409,167$ 433,717$ 315,862 94,759 30%221,103 70%117,855 11,786 10%106,070 90%433,717 701-4111-80-0000 WT OVERTIME EMPLOYEE 23,931 21,284 26,616 18,479 24,794 21,025 15,312 4,594 30%10,718 70%5,713 571 10%5,142 90%21,025 701-4121-80-0000 WT PERA 26,460 25,096 30,329 29,419 32,547 33,731 24,565 7,369 30%17,195 70%9,166 917 10%8,249 90%33,731 701-4122-80-0000 WT FICA/MEDICARE 26,798 24,291 28,500 27,300 33,198 34,405 25,056 7,517 30%17,539 70%9,349 935 10%8,414 90%34,405 701-4131-80-0000 WT INSURANCE HEALTH 56,881 53,813 55,056 53,436 54,880 68,128 49,615 14,885 30%34,731 70%18,513 1,851 10%16,661 90%68,128 701-4135-80-0000 WT INSURANCE WC 9,769 12,545 10,655 10,917 11,519 12,002 12,002 3,601 30%8,401 70%- - - - 12,002 701-4211-80-0000 WT OFFICE SUPPLIES 354 511 607 305 350 400 - - - - - 400 40 10%360 90%400 701-4212-80-0000 WT MOTOR FUELS 4,908 5,688 6,462 7,337 5,201 7,905 7,905 2,372 30%5,534 70%- - - - - 7,905 701-4221-80-0000 WT SUPPLIES-EQUIPMENT 2,896 140 115 376 450 600 600 180 30%420 70%- - - - - 600 701-4226-80-0000 WT GENERAL SUPPLIES 3,013 12,083 21,836 10,885 9,500 11,570 11,570 3,471 30%8,099 70%- - - - - 11,570 701-4300-80-0000 WT AUDITOR 6,706 7,799 7,997 8,269 9,031 9,483 - - - - - 9,483 948 10%8,534 90%9,483 701-4309-80-0000 WT IT & SFTW SUPPORT 32,157 32,654 32,892 29,746 44,319 47,050 18,564 1,856 10%16,708 90%28,486 2,849 10%25,637 90%47,050 701-4310-80-0000 WT MISC CONTRACTED SERVICES 4,906 3,739 10,479 10,661 9,550 10,190 10,190 1,019 10%9,171 90%- - - - - 10,190 701-4310-80-0100 WT METER READING FEES 8,470 8,725 8,986 9,255 9,532 9,819 9,819 - - 9,819 100%- - - - - 9,819 701-4325-80-0000 WT COMMUNICATIONS 9,548 8,662 6,624 7,205 7,710 7,950 7,950 7,613 96%337 4%- - - - - 7,950 701-4337-80-0000 WT MAIN REPAIRS & MAINTENANCE 6,788 7,056 27,271 3,717 7,500 15,000 15,000 4,500 30%10,500 70%- - - - - 15,000 701-4339-80-0000 WT EQUIP REPAIRS & MAINTENANCE 6,988 2,187 2,445 6,074 3,750 4,000 4,000 1,200 30%2,800 70%- - - - - 4,000 701-4341-80-0000 WT TRAINING, CONF. & MTG.46 (390) 482 1,167 550 1,125 1,125 - - 1,125 100%- - - - - 1,125 701-4341-80-0100 WT TUITION- CERTIFICATIONS 436 313 46 411 50 50 50 - - 50 100%- - - - - 50 701-4342-80-0000 WT MEMBERSHIPS & DUES - - 227 - 240 275 275 - - 275 100%- - - - - 275 701-4350-80-0000 WT PRINTING AND POSTAGE 4,599 3,596 3,797 4,597 4,950 5,198 - - - - - 5,198 260 5%4,938 95%5,198 701-4381-80-0000 WT ELECTRIC AND GAS UTILITIES 3,286 4,175 3,011 2,247 2,450 2,900 2,900 870 30%2,030 70%- - - - - 2,900 701-4499-80-0000 WT MISCELLANEOUS EXPENSE 5,540 2,180 6,614 2,433 3,250 3,250 3,250 975 30%2,275 70%- - - - - 3,250 TOTAL DISTRIBUTION 578,571$ 546,759$ 653,569$ 624,416$ 684,488$ 739,772$ 535,611$ 156,780$ 29%378,831$ 71%204,162$ 20,156$ 10%184,005$ 90%739,772 WATER EXPENSES PW ADMINISTRATIVE COSTS 22 EXHIBIT A Fiscal Year 2025 12/31/2022 ACTUAL ACTUAL ACTUAL ACTUAL EST. ACTUAL BUDGET 2020 2021 2022 2023 2024 2025 PW Usage %Fixed %AD Usage %Fixed %TOTAL WATER EXPENSES PW ADMINISTRATIVE COSTS PRODUCTION EXPENSES 701-4110-85-0000 REGULAR EMPLOYEE 64,387 73,307 71,312 76,611 78,889 87,396 87,396 87,396 100%- 0%87,396 701-4111-85-0000 OVERTIME EMPLOYEE 1,946 717 283 1,500 20,409 17,307 17,307 17,307 100%- 0%17,307 701-4121-85-0000 PERA 5,451 6,156 5,812 5,858 5,917 6,180 6,180 6,180 100%- 0%6,180 701-4122-85-0000 FICA/MEDICARE 5,663 6,233 5,907 5,975 6,035 7,627 7,627 7,627 100%- 0%7,627 701-4131-85-0000 INSURANCE HEALTH 12,828 15,634 14,261 15,264 14,573 14,705 14,705 14,705 100%- 0%14,705 701-4135-85-0000 WTR FILT INSURANCE WC 3,782 4,913 4,124 3,987 4,459 2,884 2,884 2,884 100%- 0%2,884 701-4221-85-0000 SUPPLIES- EQUIPMENT 213 20 45 1,000 500 500 500 500 100%- 0%500 701-4226-85-0000 CHEMICAL SUPPLIES 39,540 45,991 47,124 58,213 59,336 64,083 64,083 64,083 100%- 0%64,083 701-4226-85-0001 CARBON SUPPLY USAGE 35,990 15,948 26 15,000 30,171 30,774 30,774 30,774 100%- 0%30,774 701-4226-85-0200 UV BULB SUPPLY USAGE 68,698 729 4,161 25,000 15,000 43,800 43,800 43,800 100%- 0%43,800 701-4226-85-0003 PEROXIDE SUPPILES 28,007 15,948 45,432 46,993 41,584 43,039 43,039 43,039 100%- 0%43,039 701-4303-85-0000 ENGINEER EXPENSES 525 2,274 10,566 2,250 11,742 4,000 4,000 - 0%4,000 100%4,000 701-4308-85-0000 WATER QUALITY PROTECTION COSTS 6,718 5,547 8,763 8,386 10,194 10,500 10,500 10,500 100%- 0%10,500 701-4310-85-0000 MISC CONTRACTED SERVICES 690 345 3,369 9,961 1,600 1,750 1,750 1,750 100%- 0%1,750 701-4325-85-0000 COMMUNICATIONS 5,210 2,305 3,839 5,928 5,178 3,640 3,640 3,640 100%- 0%3,640 701-4339-85-0000 EQUIP REPAIRS & MAINTENANCE 16,988 26,353 44,363 30,000 40,129 35,000 35,000 35,000 100%- 0%35,000 701-4340-85-0000 BLDG REPAIRS & MAINTENANCE 1,017 300 323 650 844 950 950 950 100%- 0%950 701-4351-85-0000 PL NOTICES & PUBLICATIONS - - - - - - - 100%0%- 701-4365-85-0000 INSURANCE PROPERTY / LIABILITY 17,664 11,637 11,024 13,430 18,036 18,366 18,366 14,693 80%3,673 20%18,366 701-4381-85-0000 ELECTRIC AND GAS UTILITIES 138,429 141,375 172,666 190,000 156,855 167,835 167,835 167,835 100%- 0%167,835 701-4310-90-0000 FIBER LAN/OPTIC CNTRCT SVC 4,246 4,241 4,241 4,351 4,351 4,470 4,470 - 0%4,470 100%4,470 TOTAL PRODUCTION 457,990 379,973 457,642 520,357 525,801 564,806 564,806 552,662$ 98%12,143 2%- - - - 564,806 TOTAL OPERATING EXPENSES 1,036,561 926,732 1,111,211 1,144,773 1,210,289 1,304,578 1,100,416 709,442 77%390,974 42%204,162 20,156 2%184,005 20%1,304,578 564,806 DEPRECIATION EXPENSE WT DEPRECIATION TREATMENT PLANTS 153,964 145,524 143,589 178,693 180,456 180,456 180,456 180,456 100%- 0%180,456 WT DEPRECIATION MAINTENANCE EQUIP 163,751 148,964 153,248 190,451 191,927 191,927 191,927 57,578 30%134,349 70%191,927 WT DEPRECIATION WATERMAINS 202,650 233,647 225,670 229,188 237,519 237,519 237,519 71,256 30%166,263 70%237,519 TOTAL DEPRECIATION 520,366 528,135 522,507 598,332 609,902 609,902 609,902 309,290 51%300,612 49%- - - - 609,902 TOTAL OVERALL EXPENSES 1,556,927 1,454,867 1,633,718 1,743,105 1,820,191 1,914,481 1,710,318 1,018,732 86%691,587 59%204,162 20,156 2%184,005 16%1,914,480 FIXED 574,981 44%300,612 49%875,593 46%337,963.00$ 0.39$ USAGE 729,598 56%309,290 51%1,038,888 54%$827,828.00 143,589.00$ 1,304,579 100%609,902 100%1,914,481 100% OPERATING NO ADMINISTRATIVE COSTS INCLUDED DEPRECIATION OVERALL NO ADMINISTRATIVE COSTS INCLUDED 23 EXHIBIT B Fiscal Year 2025 EXHIBIT C ACTUAL ACTUAL ACTUAL ACTUAL BUDGET EST. ACTUAL BUDGET % Change 12/31/2023 2020 2021 2022 2023 2024 2024 2025 in Budget $14.00 OPERATING INCOME 701-3710-0-0-00 WATER BILLINGS 1,122,633$ 1,291,961$ 1,339,078$ 1,503,583$ 1,493,609$ 1,426,541$ 1,489,149$ -0.30%Assumes $1.50 increase in quarterly flat fee, approximate 3.5% increase in usage rates and similar usage 701-3715-0-0-00 WATER ON/OFF FEES 203 1,095 1,020 825 500 500 500 0.00% No change in rate 701-3717-0-0-00 PENALTIES WATER 7,456 7,194 7,177 8,668 9,068 9,845 10,189 12.37% No change in rate TOTAL $1,130,292 $1,300,250 $1,347,275 $1,513,076 $1,503,177 1,436,885$ 1,499,839$ -5.04% DISTRIBUTION OPERATING EXPENDITURES 701-4110-80-0000 WT REGULAR EMPLOYEE 334,093$ 310,612$ 362,522$ 380,181$ 396,871$ 409,167 433,717 9.28% DATA FROM 2025 PR SUMMARY -INCLUDES SHARE OF SUSTAINANBILTY POSITION 701-4111-80-0000 WT OVERTIME EMPLOYEE 23,931 21,284 28,616 18,479 14,419 24,794 21,025 45.82% BASED ON 2024 RUN RATE PLUS ESTIMATED 25 WAGE ADJUSTMENTS 701-4121-80-0000 WT PERA 26,460 25,096 30,329 29,419 30,847 32,547 33,731 9.35% BASED ON PERA FUNDING RATE 7.5% 701-4122-80-0000 WT FICA/MEDICARE 26,798 24,291 28,500 27,300 31,464 33,198 34,405 9.35% BASED ON 7.65% OF GROSS 701-4131-80-0000 WT INSURANCE HEALTH 56,881 53,813 55,056 53,436 61,243 54,880 68,128 11.24% DATA FROM "2004 DEPT SUMM HI RATE 8.3 FINAL" TABS - AD PW 701-4135-80-0000 WT INSURANCE WC 9,769 12,545 10,655 10,917 14,577 11,519 12,002 -17.66% BASED ON 2023/2025 RENEWAL PLUS 24/25 ADJ 701-4211-80-0000 WT OFFICE SUPPLIES 354 511 607 305 750 350 400 -46.67% 2025 PROJECTED RUN RATE 701-4212-80-0000 WT MOTOR FUELS 4,908 5,688 6,462 7,337 8,566 5,201 7,905 -7.72% From 2025 Fuel Usage Spreadsheet 701-4221-80-0000 WT SUPPLIES-EQUIPMENT 2,896 140 115 376 1,000 450 600 -40.00% 2025 PROJECTED RUN RATE 701-4226-80-0000 WT GENERAL SUPPLIES 3,013 12,083 21,836 10,885 16,500 9,500 11,570 -29.88% 2025 PROJECTED RUN RATE 701-4300-80-0000 WT AUDITOR 6,706 7,799 7,996 8,269 8,681 9,031 9,483 9.23% BASED ON 2024 COST PLUS 5% 701-4309-80-0000 WT IT & SFTW SUPPORT 32,157 32,654 32,892 29,746 36,500 44,319 47,050 28.90% BASED on 2025 CONTRACTED SERVICES - CONSOLIDATE 4309 2025 TAB - SPLIT WITH 4309=85 701-4310-80-0000 WT MISC CONTRACTED SERVICES 4,906 3,739 10,479 10,661 9,250 9,550 10,190 10.16% BASED on 2025 CONTRACTED SERVICES - MCS 4310 2025 TAB 701-4310-80-0100 WT METER READING FEES 8,470 8,725 8,986 9,255 9,718 9,532 9,819 1.04% BASED on 2025 CONTRACTED SERVICES - MCS 4310 2025 TAB 701-4325-80-0000 WT COMMUNICATIONS 9,548 8,662 6,623 7,205 8,140 7,710 7,950 -2.33% BASED on 2025 CONTRACTED SERVICES - COMMUNICATIONS 4325 2025 TAB 701-4337-80-0000 WT MAIN REPAIRS & MAINTENANCE 6,788 7,056 27,271 3,717 15,000 7,500 15,000 0.00% Budgeted for 1 major main break annually 701-4339-80-0000 WT EQUIP REPAIRS & MAINTENANCE 6,988 2,187 2,445 6,074 6,750 3,750 4,000 -40.74% 2025 PROJECTED RUN RATE 701-4341-80-0000 WT TRAINING, CONF. & MTG.46 (390) 483 1,167 1,000 550 1,125 12.50% 2025 PROJECTED RUN RATE - 2 YEAR LICENSES CREATE FLUCUATION 701-4341-80-0100 WT TUITION- CERTIFICATIONS 436 313 46 411 50 50 50 0.00% 2025 PROJECTED RUN RATE 701-4342-80-0000 WT MEMBERSHIPS & DUES - - 227 - 250 240 275 10.00% 2025 PROJECTED RUN RATE 701-4350-80-0000 WT PRINTING AND POSTAGE 4,599 3,596 3,797 4,597 5,670 4,950 5,198 -8.33% 2025 PROJECTED RUN RATE 701-4381-80-0000 WT ELECTRIC AND GAS UTILITIES 3,286 4,175 3,011 2,247 4,250 2,450 2,900 -31.76% 2025 PROJECTED RUN RATE TOTAL 573,031$ 544,579$ 648,954$ 621,982$ 681,496$ 681,238$ 736,522$ 8.07% WATER OPERATIONS 24 EXHIBIT B Fiscal Year 2025 EXHIBIT C ACTUAL ACTUAL ACTUAL ACTUAL BUDGET EST. ACTUAL BUDGET % Change 12/31/2023 2020 2021 2022 2023 2024 2024 2025 in Budget $14.00 WATER OPERATIONS PRODUCTION OPERATING EXPENDITURES 701-4110-85-0000 REGULAR EMPLOYEE 64,387$ 73,307$ 71,312 75,598 79,293 78,889 87,396 10.22% DATA FROM "2004 PR EXCEPT PD BUDGET" TABS - AD 3.5 PW 3.5 701-4111-85-0000 OVERTIME EMPLOYEE 1,946 717 283 213 4,711 20,409 17,307 267.36% DATA FROM "2004 PR EXCEPT PD BUDGET" TABS - PW 3.5 ot 701-4121-85-0000 PERA 5,451 6,156 5,812 5,991 5,947 5,917 6,180 3.91% BASED ON PERA FUNDING RATE 7.5% 701-4122-85-0000 FICA/MEDICARE 5,663 6,233 5,907 6,050 6,066 6,035 7,627 25.74% BASED ON 7.65% OF GROSS 701-4131-85-0000 INSURANCE HEALTH 12,828 15,634 14,261 15,264 15,898 14,573 14,705 -7.50% DATA FROM "2004 DEPT SUMM HI RATE 8.3 FINAL" TABS - AD PW 701-4135-85-0000 WTR FILT INSURANCE WC 3,782 4,913 4,124 4,226 5,643 4,459 2,884 -48.89% BASED ON 2024/2025 RENEWAL 701-4221-85-0000 SUPPLIES- EQUIPMENT 213 20 45 255 1,000 500 500 -50.00% 2025 PROJECTED RUN RATE 701-4226-85-0000 GENERAL SUPPLIES 39,540 45,991 47,123 66,557 61,560 59,336 64,083 4.10% VARIOUS TREATMENT CHEMICALS 701-4226-85-0001 CARBON SUPPLY USAGE 35,990 15,948 27 23,981 32,974 30,171 30,774 -6.67%AMORTIZATION COST FOR CARBON BASED ON # OF GALLONS TREATED 701-4226-85-0200 UV BULB SUPPLY USAGE 68,698 729 4,161 343 15,000 15,000 43,800 192.00%ANNUAL ALLOWANCE FOR FUTURE BULB REPLACEMENT 701-4226-85-0003 PEROXIDE SUPPILES 28,007 15,948 45,432 38,933 40,916 41,584 43,039 5.19% 2025 PROJECTED RUN RATE 701-4303-85-0000 ENGINEER EXPENSES 525 2,274 10,566 4,691 3,000 11,742 4,000 33.33% 2025 PROJECTED RUN RATE 2024 high due to lead line survy 701-4308-85-0000 WATER QUALITY PROTECTION COSTS 6,718 5,547 8,763 8,838 9,768 10,194 10,500 7.50% 2025 PROJECTED RUN RATE 701-4310-85-0000 MISC CONTRACTED SERVICES 690 345 3,369 13,528 10,243 1,600 1,750 -82.91% BASED on 2025 CONTRACTED SERVICES - MCS 4310 2025 TAB 701-4325-85-0000 COMMUNICATIONS 5,210 2,305 3,839 4,981 5,564 5,178 3,640 -34.58%BASED on 2025 CONTRACTED SERVICES - COMMUNICATIONS 4325 2025 TAB 701-4339-85-0000 EQUIP REPAIRS & MAINTENANCE 16,988 26,353 44,363 22,213 33,950 40,129 35,000 3.09% 2025 PROJECTED RUN RATE includes 12086 generator cost 701-4340-85-0000 BLDG REPAIRS & MAINTENANCE 1,017 300 323 - 650 844 950 46.15% 2025 PROJECTED RUN RATE 701-4351-85-0000 PL NOTICES & PUBLICATIONS - - - - - - - NA 701-4365-85-0000 INSURANCE PROPERTY / LIABILITY 17,664 11,637 11,024 15,196 16,786 18,036 18,366 9.41% BASED ON 2024/2025 RENEWAL 701-4381-85-0000 ELECTRIC AND GAS UTILITIES 138,429 141,375 172,666 171,047 191,029 156,855 167,835 -12.14% 2025 PROJECTED RUN RATE 2024 less demand due to wet summer TOTAL 453,744$ 375,732$ 453,400 477,906 539,997 521,450 560,336 9.11% OPERATING INCOME (LOSS)103,517$ 379,939$ 244,921$ 413,188$ 281,685$ 234,198$ 202,981$ -43.32% OTHER (INCOME) / EXPENSE 701-3891-0-0-01 WT MISCELLANEOUS INCOME (901) (9,320) (1,161) (3,650) (150) (150) (150) 0.00% 701-3620-0-1-00 WT INTEREST INCOME / EXPENSE (27,781) 7,697 51,770 (124,189) (15,000) (80,723) (40,361) 169.08% 701-3804-1-1-00 WT WATER REIMBUSEMENTS - - - (312) - - - NA 701-3910-0-0-00 WT SALE OF ASSETS/meters (1,520) 9,282 (20,158) - - - - NA 701-4335-80-0000 WT BKUP RESTORATION COSTS 1,165 - - - - - - NA 701-4499-80-0000 WT MISCELLANEOUS EXPENSE 5,540 2,180 6,614 2,431 3,250 3,250 3,250 0.00% 701-4310-90-0000 FIBER LAN/OPTIC CNTRCT SVC 4,246 4,241 6,623 4,263 4,351 4,351 4,470 2.74% TOTAL (19,251) 14,080 43,688 (121,458) (7,549) (73,272) (32,791) -39.67% OPERATING INCOME BEFORE DEPRECIATION 122,768$ 365,859$ 201,233$ 534,646$ 289,234$ 307,470$ 235,772$ -42.49% 25 EXHIBIT C Fiscal Year 2025 12/31/2023 14 12/31/2023 ACTUAL ACTUAL ACTUAL ACTUAL EST. Actual BUDGET 2020 2021 2022 2023 2024 2025 PW Usage %Fixed %AD Usage %Fixed %TOTAL COLLECTION SYSTEM EXPENSES 701-4110-75-0000 SS REGULAR EMPLOYEE 224,382$ 208,006$ 235,998$ 246,945$ 250,835$ 287,115$ 169,260 50,778 30%118,482 70%117,855 5,893 5%111,962 80%287,115 701-4111-75-0000 SS OVERTIME EMPLOYEE 16,980 16,552 15,187 14,672 17,954 19,031 11,219 3,366 30%7,854 70%7,812 391 5%7,421 95%19,031 701-4121-75-0000 SS PERA 17,067 16,443 20,047 18,937 20,159 22,586 13,315 3,994 30%9,320 70%9,271 464 5%8,808 95%22,586 701-4122-75-0000 SS FICA/MEDICARE 17,048 15,509 18,523 17,354 20,180 22,961 13,536 4,061 30%9,475 70%9,425 471 5%8,954 95%22,961 701-4131-75-0000 SS INSURANCE HEALTH 44,245 42,049 39,764 33,720 35,696 43,075 25,394 7,618 30%17,775 70%17,681 884 5%16,797 95%43,075 701-4135-75-0000 SS INSURANCE WC 4,727 5,994 5,156 5,282 5,574 5,808 5,808 1,742 30%4,066 70%- - - - - 5,808 701-4211-75-0000 SS OFFICE SUPPLIES 934 - - 125 150 - - - - - 150 8 5%143 95%150 701-4212-75-0000 SS MOTOR FUELS 7,250 7,022 9,623 10,797 7,803 11,858 11,858 3,557 30%8,301 70%- - - - - 11,858 701-4226-75-0000 SS GENERAL SUPPLIES 2,340 1,721 1,743 1,743 1,750 1,950 1,950 585 30%1,365 70%- - - - - 1,950 701-4300-75-0000 SS AUDITOR 6,706 7,799 7,997 8,269 9,031 9,483 - - 0%- 0%9,483 474 5%9,008 95%9,483 701-4303-75-0000 SEWER ENGINEER FEES - - 3,289 4,799 2,350 2,750 2,750 - 0%2,750 100% 701-4309-75-0000 SS IT & SFTW SUPPORT 19,635 19,168 17,997 20,310 24,560 25,550 2,928 2,928 100%- - 22,622 1,131 5%21,491 95%25,550 701-4310-75-0000 SS MISC CONTRACTED SERVICES 121 615 4,168 6,244 4,231 4,350 4,350 - 0%4,350 100%- - - - - 4,350 701-4325-75-0000 SS COMMUNICATIONS 2,144 4,824 5,748 5,372 5,832 6,020 6,020 - 0%6,020 100%- - - - - 6,020 701-4335-75-0000 SS BKUP RESTORATION COSTS 2,624 405 694 - 10,000 10,000 10,000 3,000 30%7,000 70%- - - - - 10,000 701-4339-75-0000 SS EQUIP REPAIRS & MAINTENANCE 8,422 8,990 7,418 18,948 27,941 23,500 23,500 7,613 32%15,887 68%- - - - - 23,500 701-4341-75-0000 SS TRAINING, CONF. & MTG.780 780 225 - 300 300 300 240 80%60 20%- - - - - 300 701-4342-75-0000 SS MEMBERSHIPS & DUES - - - 55 50 50 50 40 0%10 0%50 701-4341-75-0100 SS TUITION- CERTIFICATIONS 260 46 23 - - - 0%- 0%- - - - - - 701-4350-75-0000 SS PRINTING AND PUBLISHING 4,599 3,145 4,330 4,598 4,950 5,198 5,198 - 0%5,198 100%- - - - - 5,198 701-4365-75-0000 SS INSURANCE PROPERTY/ LIABILITY 13,164 13,101 12,771 14,222 15,196 14,673 14,673 - 0%14,673 100%- - - - - 14,673 TOTAL COLLECTION SYSTEM 393,430$ 372,169$ 410,698$ 432,268$ 464,515$ 516,407$ 322,108$ 89,523$ 28%232,585$ 72%194,299$ 9,715$ 5%184,584$ 95%516,407 TREATMENT EXPENSES 701-4375-75-0000 SS MCES WASTE TREATMENT CHARGE 712,664 719,437 711,020 760,026 822,704 949,408 949,408 854,467 90%94,941 10%949,408 701-4381-75-0000 SS ELECTRIC AND GAS UTILITIES 11,934 11,534 10,991 10,894 11,112 11,779 11,779 11,190 95%589 5%11,779 TOTAL TREATMENT 724,598 730,971 722,011 770,920 833,816 961,187 961,187 865,657 90%95,530 17%- - - - 961,187 TOTAL OPERATING EXPENSES 1,118,027 1,103,140 1,132,709 1,203,188 1,298,331 1,477,594 1,283,295 955,180 74%328,115 26%194,299 9,715 5%184,584 95%1,477,594 DEPRECIATION EXPENSE 701-4499-75-0000 SS DEPRECIATION MAINTENANCE EQUIP 33,409 25,177 28,273 1,148 1,148 1,148 1,148 344 30%804 70%1,148 SS DEPRECIATION LINES AND LIFT STATIONS 77,953 58,746 86,899 88,972 100,724 100,724 100,724 30,217 30%70,507 70%100,724 TOTAL DEPRECIATION 111,362 83,923 115,172 90,120 101,872 101,872 101,872 30,562 30%71,310 70%- - - - 101,872 TOTAL OVERALL EXPENSES 1,229,389 1,187,063 1,247,881 1,293,308 1,400,203 1,579,466 1,385,167 985,741 71%399,426 29%194,299 9,715 5%184,584 95%1,579,466 FIXED 512,699 35%71,310 70%584,010 37% USAGE 964,895 65%30,562 30%995,456 63% 1,477,594 100%101,872 100%1,579,466 100% OPERATING DEPRECIATION OVERALL SEWER EXPENSES PW ADMINISTRATIVE COSTS NO ADMINISTRATIVE COSTS NO ADMINISTRATIVE COSTS 26 EXHIBIT D Fiscal Year 2025 ACTUAL ACTUAL ACTUAL ACTUAL BUDGET EST. ACTUAL BUDGET % Change 12/31/2023 2020 2021 2022 2023 2024 2024 2025 in Budget 14$ OPERATING INCOME 701-3720-0-0-00 SEWER BILLINGS 1,224,881$ 1,314,285$ 1,337,972$ 1,440,378$ 1,475,931$ 1,487,143$ 1,586,785$ 7.51% Assumes $2.00 increase in quarterly flat fee, 5.6% increase in usage rates which matches the rate increase for treatment costs paid to Met Council Enviormental services . TOTAL 1,224,881$ 1,314,285$ 1,337,972$ 1,440,378$ 1,475,931$ 1,487,143$ 1,586,785$ 7.51% OPERATING EXPENDITURES 701-4110-75-0000 SS REGULAR EMPLOYEE 224,382$ 208,006$ 235,998$ 246,945$ 257,792$ 250,835$ 287,115$ 11.37% DATA FROM 2025 PR SUMMARY -INCLUDES SHARE OF SUSTAINANBILTY POSITION 701-4111-75-0000 SS OVERTIME EMPLOYEE 16,980 16,552 15,187 14,672 7,288 17,954 19,031 161.13% BASED ON 2024 RUN RATE PLUS ESTIMATED 25 WAGE ADJUSTMENTS 701-4121-75-0000 SS PERA 17,067 16,443 20,047 18,937 19,881 20,159 22,586 13.61% BASED ON PERA FUNDING RATE 7.5% 701-4122-75-0000 SS FICA/MEDICARE 17,048 15,509 18,523 17,354 20,279 20,180 22,961 13.23% BASED ON 7.65% OF GROSS 701-4131-75-0000 SS INSURANCE HEALTH 44,245 42,049 39,764 33,720 40,857 35,696 43,075 5.43% DATA FROM -2025 DEPT SUMM HI RATES PRELIMINARY ELECTIONS 701-4135-75-0000 SS INSURANCE WC 4,727 5,994 5,156 5,282 7,054 5,574 5,808 -17.66% BASED ON 2024/2025 RENEWAL 701-4211-75-0000 SS OFFICE SUPPLIES 934 - - - 150 125 150 0.00% 2025 PROJECTED RUN RATE 701-4212-75-0000 SS MOTOR FUELS 7,250 7,022 9,623 10,797 12,849 7,803 11,858 -7.71% From 2025 Fuel Usage Spreadsheet 701-4226-75-0000 SS GENERAL SUPPLIES 2,340 1,721 1,743 1,743 2,500 1,750 1,950 -22.00% 2025 PROJECTED RUN RATE 701-4300-75-0000 SS AUDITOR 6,706 7,799 7,997 8,269 8,682 9,031 9,483 9.22% BASED ON 2024 COST PLUS 5% 701-4303-75-0000 SEWER ENGINEER FEES - - 3,289 4,799 2,750 2,350 2,750 0.00% POS I & I Program assistance 701-4309-75-0000 SS IT & SFTW SUPPORT 19,635 19,168 17,997 20,310 23,710 24,560 25,550 7.76% BASED on 2025 CONTRACTED SERVICES - CONSOLIDATE 4309 2025 TAB 701-4310-75-0000 SS MISC CONTRACTED SERVICES 121 615 4,169 6,244 9,900 4,231 4,350 -56.06% BASED on 2025 CONTRACTED SERVICES - MCS 4310 2025 TAB 701-4325-75-0000 SS COMMUNICATIONS 2,144 4,824 5,748 5,372 4,280 5,832 6,020 40.65% BASED on 2025 CONTRACTED SERVICES - COMMUNICATIONS 4325 2025 TAB 701-4335-75-0000 SS BKUP RESTORATION COSTS 2,624 405 694 - 10,000 10,000 10,000 0.00% Assumes the cost of one full deductable 701-4339-75-0000 SS EQUIP REPAIRS & MAINTENANCE 8,422 8,990 7,898 18,948 15,790 27,941 23,500 48.83% 2025 PROJECTED RUN RATE 701-4341-75-0000 SS TRAINING, CONF. & MTG.780 780 225 - 300 300 300 0.00% 2025 PROJECTED RUN RATE 701-4341-75-0100 SS TUITION- CERTIFICATIONS - 46 23 55 50 50 50 0.00% 2025 PROJECTED RUN RATE 701-4342-75-0000 SS MEMBERSHIP & DUES 260 - - - - - - 2025 PROJECTED RUN RATE 701-4350-75-0000 SS PRINTING AND POSTAGE 4,599 3,145 4,329 4,598 5,670 4,950 5,198 -8.33% 2025 PROJECTED RUN RATE 701-4365-75-0000 SS INSURANCE PROPERTY/ LIABILITY 13,164 13,101 12,771 14,222 14,571 15,196 14,673 0.70% BASED ON 2024/2025 RENEWAL 701-4375-75-0000 SS MCES WASTE TREATMENT CHARGE 712,664 719,437 711,020 760,026 822,704 822,704 949,408 15.40% 2025 MCES increase in volume plus 5.6% increase in rates 701-4381-75-0000 SS ELECTRIC AND GAS UTILITIES 11,934 11,534 10,991 10,894 11,327 11,112 11,779 3.99% 2025 PROJECTED RUN RATE TOTAL 1,118,027$ 1,103,140$ 1,133,192$ 1,203,188$ 1,298,384$ 1,298,331$ 1,477,594$ 7.91% OPERATING INCOME (LOSS)106,854$ 211,145$ 204,780$ 237,190$ 177,547$ 188,812$ 109,191$ 53.03% OTHER (INCOME) / EXPENSE 701-3723-0-0-00 SEWER CONNECTION FEES (1,750)$ -$ -$ -$ -$ -$ -$ NA CONNECTION FEES PART OF CAPITAL BUDGET SINCE 2021 701-3891-0-0-00 SS MISCELLANEOUS INCOME (650)(1,480)(500)(1,834)(500)(1,550)(500) -15.47% 701-3910-0-0-00 SS SALE OF ASSETS - (600) - - - - - 0.00% 701-4499-75-0000 SS MISCELLANEOUS EXPENSE 1,083 864 1,273 1,974 500 1,500 500 -23.99% TOTAL (1,317)$ (1,216)$ 773$ 140$ -$ (50)$ -$ -135.73% NET INCOME (LOSS) BEFORE DEPRECIATION 108,171$ 212,361$ 204,007$ 237,050$ 177,547$ 188,862$ 109,191$ -20.33% SEWER OPERATIONS 27 EXHIBIT E 2025 Utility rates survey Cities Surveyed Saint Anthony Saint Anthony Arden Hills Roseville Columbia Heights Columbia Heights Minneapolis Spring Lake Park Mounds View New Brighton 2025 Proposed 2024 ACTUAL 2024 ACTUAL 2024 ACTUAL 2024 ACTUAL 2025 ACTUAL 2024 ACTUAL 2024 ACTUAL 2024 ACTUAL 2024 ACTUAL Water Charges Flat fee / Min 27.00 25.50 44.69 42.34 44.16 45.11 22.50 18.18 23.00 33.44 Usage rate per gallon Tier 1 3.44 3.32 3.56 3.90 5.71 5.85 5.03 2.02 2.85 4.18 Tier 2 3.62 3.50 4.58 4.87 7.15 7.33 2.28 3.14 Tier 3 3.99 3.85 8.10 6.10 3.51 3.61 Tier 4 4.57 4.41 3.91 Tier 5 5.73 5.53 4.24 Tier 6 4.60 Sewer Charges Flat fee / Min 23.25 21.25 66.96 43.98 31.66 32.45 20.75 67.26 45.69 46.80 Non meter sewer NA NA 186.26 NA NA NA NA NA NA NA Usage rate per gallon 5.12 4.85 6.90 2.75 3.43 3.52 7.70 3.67 3.64 5.85 Storm Water Charges Residential - SF 18.35 17.60 17.39 26.75 18.22 19.13 15.04 6.00 17.00 22.59 Residential - DUPLEX +18.35 17.60 22.55 26.75 18.22 19.13 15.04 6.00 17.00 22.59 APARTMENT / COND 78.21 69.21 141.97 206.97 120.17 126.18 prorated prorated 92.83-110.08 149.73 Industrial / Commercial 99.98 87.98 221.66 413.76 264.43 277.65 prorated prorated 116.83-144.19 280.64 Other Charges Recycling charge NA NA NA 14.50 25.24 31.35 12.90 12.96 NA 13.47 Street light NA NA NA NA NA NA NA 4.30 4.50 12.18 Notes Wells treat for Iron, Maganese and Radium Wells treat for Iron, Maganese Wells treat for Iron, Maganese, TCE'S AND 1.4 Dioxin Wells treat for Iron, Maganese, TCE'S AND 1.4 Dioxin Purchases water from St. Paul Regional Water Services Purchases water from St. Paul Regional Water Services River water , Iron, GAC, Ultra filtration purchased from MPLS River water , Iron, GAC, Ultra filtration purchased from MPLS River water , Iron, GAC, Ultra filtration 28 EXHIBIT F Fiscal Year 2025 ACTUAL ACTUAL ACTUAL ACTUAL BUDGET EST. ACTUAL BUDGET REVENUES 2020 2021 2022 2023 2024 2024 2025 Water Operations $1,130,292 $1,300,250 $1,347,275 $1,513,076 $1,503,177 $1,436,885 $1,499,839 Sewer Operations 1,224,881 1,314,285 1,337,972 1,440,378 1,475,931 1,487,143 1,586,785 Total Operating Revenues 2,355,173$ 2,614,535$ 2,685,247$ $2,953,455 2,979,108$ 2,924,028$ 3,086,624$ EXPENDITURES Water Operations 1,026,775$ 920,311$ 1,102,354$ 1,099,888$ 1,221,493$ 1,202,688$ 1,296,858$ Sewer Operations 1,118,027 1,103,140 1,164,982 1,203,188 1,215,155 1,298,331 1,477,594 Total Operating Expenditures 2,144,802$ 2,023,451$ 2,267,336$ 2,303,077$ 2,436,648$ 2,501,019$ 2,774,452$ Combined Operating Income 210,370$ 591,084$ 417,911$ 650,378$ 542,460$ 423,010$ 312,172$ Other (Income)/Expense Water 8,530$ (12,181)$ 1,351$ 2,731$ 4,851$ 7,451$ 7,570$ Sewer (1,317)(1,216)400 140 450 (50) - Interest Income (27,781) 7,697 (6,250) (125,116) (6,000) (80,723) (40,361) Depreciation Expense 631,728 612,058 637,679 688,452 667,179 711,774 711,774 Total Other (Income)/Expense 611,160 606,358 633,180 566,207 666,480 638,452 678,982 Net Income/(Loss) (400,789)$ (15,274)$ (215,269)$ 84,171$ (124,020)$ (215,442)$ (366,811)$ Other Sources and Uses: Transfers Out to PUI Fund -$ -$ -$ -$ -$ (696,961)$ (306,907)$ Transfers In - - - - - - - Debt Service Payments (147,950) (150,200) (147,400) (155,376) (156,550) (156,550) - Net Change in Assets / Liabilities 114,365 (120,563) (49,263) (114,117) - - - Add back Depreciation Expense 631,728 612,058 637,679 688,452 667,179 711,774 711,774 Total Other Sources and Uses 598,143 341,295 441,016 418,959 510,629 (141,737) 404,867 Net increase (decrease) in cash 197,354$ 326,021$ 225,747$ 503,130$ 386,609$ (357,179)$ 38,056$ BEGINNING CASH BALANCE 1,661,976 1,859,331 2,185,353 2,411,101 2,914,231$ 2,914,231$ 2,557,052$ ENDING CASH BALANCE 1,859,331$ 2,185,353$ 2,411,101$ 2,914,231$ 3,300,840$ 2,557,052$ 2,595,108$ UTILITY FUND SUMMARY 29 Water and Sewer 10 year operating projection EXHIBIT G Fiscal Year 2025 ` Assumptions 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 Water Rates Flat Fee (1st yr 2017)10.05$ 13.40$ 17.75$ 21.25$ 24.25$ 25.50$ 27.00$ 28.35$ 29.75$ 31.25$ 32.75$ 34.25$ 36.00$ 37.75$ 39.25$ 41.00$ 43.00$ Usage (Tier one)3.07$ 3.07$ 3.13$ 3.19$ 3.27$ 3.32 3.44 3.55 3.67 3.79 3.91 4.04 4.17 4.30 4.44 4.59 4.74 Sewer Rates Flat Fee (1st yr 2017)9.64$ $12.80 15.25$ 17.20$ 19.25$ 21.25$ 23.25 25.00 26.50 27.75 28.75 29.75 30.75 31.75 32.75 33.75 34.75 Usage 4.69$ 4.64$ 4.64$ 4.64$ 4.73$ 4.85$ 5.12 5.40 5.70 6.01 6.34 6.69 7.06 7.44 7.85 8.28 8.74 Expenses Met Council - $ Actual 733,670 712,664 719,437 711,023 760,026 822,704 949,408 1,001,625 1,056,715 1,114,834 1,176,150 1,240,838 1,309,084 1,381,084 1,457,044 1,537,181 1,621,726 Met Council - % Increase 3.54%-2.86%0.95%-1.17%6.89%8.25%15.40%5.50%5.50%5.50%5.50%5.50%5.50%5.50%5.50%5.50%5.50% City Water Expenses - % Increase EST ACTUAL 9.35%4.50%4.00%4.00%4.00%4.00%4.00%4.00%4.00%4.00%4.00% City Sewer Expenses - % Increase EST ACTUAL 11.04%4.00%3.50%3.50%3.50%3.50%3.50%3.50%3.50%3.50%3.50% 528,186.04 $549,313.48 $568,539.45 $588,438.33 $609,033.67 $630,349.85 $652,412.10 $675,246.52 $698,880.15 $723,340.95 $748,657.89 Actual Actual Actual Actual Actual Est. Actual Budgeted Projected Projected Projected Projected Projected Projected Projected Projected Projected Projected REVENUES 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 Water Operations 997,332 1,130,292 1,300,250 1,347,275 1,513,076 1,436,885 1,499,839 1,557,946 1,618,588 1,682,336 1,747,144 1,813,046 1,885,278 1,958,677 2,028,081 2,103,929 2,186,262 Sewer Operations 1,212,400 1,224,881 1,314,285 1,337,972 1,440,378 1,487,143 1,586,785 1,683,719 1,778,660 1,871,788 1,963,295 2,058,662 2,158,103 2,261,840 2,370,111 2,483,163 2,601,260 Total Operating Revenues 2,209,732$ 2,355,173$ 2,614,535$ 2,685,247$ 2,953,455$ 2,924,028$ 3,086,624$ 3,241,665$ 3,397,247$ 3,554,124$ 3,710,438$ 3,871,708$ 4,043,381$ 4,220,518$ 4,398,192$ 4,587,093$ 4,787,522$ EXPENDITURES Water Operations 1,091,922 1,026,775 920,311 1,102,354 1,099,888 1,202,688 1,296,858 1,355,216 1,409,425 1,465,802 1,524,434 1,585,412 1,648,828 1,714,781 1,783,372 1,854,707 1,928,896 Sewer Operations 1,134,511 1,118,027 1,103,140 1,164,982 1,203,188 1,298,331 1,477,594 1,550,939 1,625,254 1,703,272 1,785,184 1,871,188 1,961,496 2,056,331 2,155,924 2,260,522 2,370,384 Total Operating Expenditures 2,226,432 2,144,802 2,023,451 2,267,336 2,303,077 2,501,019 2,774,452 2,906,155 3,034,679 3,169,075 3,309,618 3,456,600 3,610,324 3,771,112 3,939,296 4,115,229 4,299,279 Combined Operating Income (16,700)$ 210,370$ 591,084$ 417,911$ 650,378$ 423,010$ 312,172$ 335,510$ 362,568$ 385,049$ 400,820$ 415,108$ 433,056$ 449,406$ 458,896$ 471,863$ 488,243$ Other (Income)/Expense Water (12,036) 8,530 (12,181)1,351 2,731 7,451 7,570 7,620 7,670 7,720 7,770 7,820 7,870 7,920 7,970 8,020 8,070 Sewer (2,250) (1,317) (1,216)400 140 (50) - 50 100 150 200 250 300 350 400 450 500 Interest income (25,000) (27,781) 7,697 (6,250) (125,116) (80,723) (40,361) (26,393) (27,638) (29,553) (32,241) (35,793) (40,048) (44,734) (49,616) (54,476) (59,159) Depreciation Expense 611,728 631,728 612,058 637,679 688,452 711,774 711,774 734,774 749,774 773,774 788,774 814,774 841,774 856,774 884,774 899,774 927,774 Total Other (Income)/Expense 572,442 611,160 606,358 633,180 566,207 638,452 678,982 716,051 729,906 752,091 727,091 702,091 677,091 652,091 627,091 602,091 577,091 Net Income/(Loss) (589,142)$ (400,789)$ (15,274)$ (215,269)$ 84,171$ (215,442)$ (366,811)$ (380,541)$ (367,338)$ (367,042)$ (326,271)$ (286,983)$ (244,035)$ (202,685)$ (168,195)$ (130,228)$ (88,848)$ Other Sources and Uses: Transfers- in - - - - - - - - - - - - - - - - - Transfers Out CIP - - - - - - - - - - - - - - - - - Transfers Out - Public Utility Infrast.- - - - - (696,961) (306,907) (265,521) (260,420) (275,638) (294,078) (335,374) (390,037) (451,815) (506,043) (562,131) (611,929) Army Reimbursements - - - - - - - - - - - - - - - - - Debt Service Payments (145,600) (147,950) (150,200) ($147,400)(155,376) (156,550) - - - - - - - - - - - Net Change in Assets / Liabilities (18,684) 114,365 (120,563) (49,263) (114,117) - - - - - - - - - - - Add back Depreciation Expense 611,728 631,728 612,058 637,679 688,452 711,774 711,774 734,774 749,774 773,774 788,774 814,774 841,774 856,774 884,774 899,774 927,774 Total Other Sources and Uses 447,444 598,143 341,295 441,016 418,959 (141,737) 404,867 469,253 489,354 498,136 494,696 479,400 451,737 404,959 378,731 337,643 315,844 Net increase (decrease) in cash (141,698)$ 197,354$ 326,021$ 225,747$ 503,130$ (357,179)$ 38,056$ 88,712$ 122,015$ 131,094$ 168,425$ 192,417$ 207,702$ 202,273$ 210,535$ 207,415$ 226,996$ BEGINNING CASH BALANCE 1,803,675 1,661,977 1,859,331 2,185,353 2,411,101 2,914,231 2,557,052 2,595,108 2,683,820 2,805,836 2,936,930 3,105,355 3,297,772 3,505,474 3,707,747 3,918,283 4,125,698 ENDING CASH BALANCE 1,661,977$ 1,859,331$ 2,185,352$ 2,411,101$ 2,914,231$ 2,557,052$ 2,595,108$ 2,683,820$ 2,805,836$ 2,936,930$ 3,105,355$ 3,297,772$ 3,505,474$ 3,707,747$ 3,918,283$ 4,125,698$ 4,352,694$ MINIMUM CASH BALANCE 882,177 933,008 1,021,712 1,042,482 1,139,861 2,250,145 2,329,588 2,423,400 2,530,198 2,642,852 2,769,981 2,907,735 3,053,659 3,201,704 3,356,152 3,513,768 3,830,371 30 Date Type Staff Present November 12 Work Session Requirements for EV charging for new multi-family projects City Council City Manager City Planner November 12 Regular Planning Commission items from October 1st Reading Water, Sewer, & Stormwater-PUBLIC HEARING Presentation on Water and Sewer Rates Approval of CIP Approve Organics JPA w/Ramsey County Approve Solar Installation Project City Council City Manager Finance Director November 18 Work Session Commission Interviews City Council City Manager November 26 Regular Fire Prevention Poster Winners 2nd Reading and Adoption Water, Sewer, & Stormwater Street Project Approve Plans & Specifications, Authorize Advertisement for Bids City Council City Manager December 10 Work Session City Council City Manager December 10 Regular Planning Commission items from November Appoint Parks and Planning Commissioners and Chair/Vice Chairs Setting Salary of City Manager Authorizing Transfers & Closing of Specified Funds Setting the 2025 City & HRA Budgets and Final Property Tax Levy -PUBLIC HEARING 2025 Fee Schedule MS4 Quarterly Goals update Final reading and adoption of water, sewer, & stormwater City Council City Manager Finance Director December 24 Regular January 14 Work Session Tobacco Ordinance Revisions City Council City Manager Code Official January 14 Regular Planning Commission items from December Housekeeping Resolutions Resolution for the Street Improvement Bond Reimbursement Quarterly Donations & Grants NYFS Agreement Outside Orgs-Council Students in Government Presentation City Council City Manager January 28 Work Session City Council City Manager January 28 Regular Public Works Snow Plowing Operations presentation City Council City Manager PW Director 2025 2024 FUTURE COUNCIL AGENDA ITEMS 31 Date Type Staff Present FUTURE COUNCIL AGENDA ITEMS February 11 Work Session City Council City Manager February 11 Regular Planning Commission items from January Public Hearing-2025 Budget Calendar and Process 2025 Planning Commission Work Plan- (motion only) 2025 Parks and Environmental Commission Work Plan- (motion only) Administration Annual Report Liquor License Renewals (Consent Agenda) City Council City Manager Finance Director February 25 Work Session City Council City Manager February 25 Regular Water Conservation Poster Winners Adoption of Strategic Plan Liquor Annual Report City Council City Manager Liquor Op Manager March 11 Work Session City Council City Manager March 11 Regular Planning Commission Items from February Public Works Annual Report City Council City Manager Public Works Director March 25 Regular Police Annual Report Call for Public Hearing on Road Improvements and Assessments Order the Preparation of Assessments City Council City Manager Police Dept WSB April 8 Work Session City Council City Manager April 8 Regular Planning Commission Items from March Quarterly Donations & Grants Hennepin County Commissioner Irene Fernando Fire Annual Report Arbor Day Proclamation Earth Day Proclamation Quarterly Goals Update City Council City Manager Fire Dept April 22 Regular Finance Annual Report Insurance Renewal & Tort Limits- Consent Road Improvements and Assessments- PUBLIC HEARING Villager of the Year and Business of the Year City Council City Manager Finance Director WSB May 13 Work Session City Council City Manager May 13 Regular Planning Commission items from April City Council City Manager May 27 Regular City Council City Manager June 10 Work Session City Council City Manager 32 Date Type Staff Present FUTURE COUNCIL AGENDA ITEMS June 10 Regular Planning Commission Items from May Authorize preparation of feasibility study for 2026 street project City Council City Manager June 24 Work Session Discuss Initial Debt Levy/Updated Street Improvement Plan City Council City Manager Finance Director June 24 Regular City Council City Manager July 8 Work Session 2026 Initial Property Tax Levy Scenarios City Council City Manager Finance Director July 8 Regular Planning Commission items from June Quarterly Donations & Grants Audit Report Quarterly Goals Update City Council City Manager Finance Director Police Chief July 22 Work Session City Council City Manager Police Chief July 22 Regular Liquor Operations Mid Year Report VillageFest Presentation Night to Unite Presentation Night to Unite Proclamation City Council City Manager Liquor Op Mgr Police Chief August 12 Work Session Discuss Updated Levy Scenarios/Detailed General Fund Budget City Council City Manager Finance Director August 12 Regular Planning Commission items from July Approve 2026 Feasibility Study and Order Plans and Specs City Council City Manager August 26 Work Session City Council City Manager City Planner August 26 Regular 2026 Proposed Budget & Levy Presentation City Council City Manager Finance Director September 9 Work Session City Council City Manager City Planner September 9 Regular Commissioner MaryJo McGuire Presentation Planning Commission items from August 2026 Preliminary Operating Budget and Debt Levy-PUBLIC HEARING Students in Leadership-Consent City Council City Manager Finance Director Engineer September 23 Work Session City Council City Manager September 23 Regular Spirit of St. Anthony Award Fire Prevention Presentation Planning Commission items from August City Council City Manager Police Dept Fire Dept 33 Date Type Staff Present FUTURE COUNCIL AGENDA ITEMS October 14 Work Session 2026 Long Term Capital Budget Plans City Council City Manager Finance Director October 14 Regular Preliminary Certification of Delinquent Waste Hauler Accounts-Consent Agenda Preliminary Certification of Delinquent Utility Accounts-Consent Agenda Planning Commission items from September City Council City Manager October 28 Work Session 2026 Utility Rates and Budgets City Council City Manager Finance Director October 28 Regular Quarterly Donations & Grants Quarterly Goals Update City Council City Manager Finance Director November 10 Work Session City Council City Manager November 10 Regular Planning Commission items from October 1st Reading Water, Sewer, & Stormwater-PUBLIC HEARING Presentation on Water and Sewer Rates Canvass election results Approval of CIP City Council City Manager Finance Director November 17 Work Session Commission Interviews City Council City Manager November 25 Regular Fire Prevention Poster Winners 2nd Reading and Adoption Water, Sewer, & Stormwater Street Project Approve Plans & Specifications, Authorize Advertisement for Bids City Council City Manager December 16 Work Session City Council City Manager December 16 Regular Planning Commission items from November Appoint Parks and Planning Commissioners and Chair/Vice Chairs Setting Salary of City Manager Authorizing Transfers & Closing of Specified Funds Setting the 2025 City & HRA Budgets and Final Property Tax Levy -PUBLIC HEARING 2026 Fee Schedule MS4 Quarterly Goals update Final reading and adoption of water, sewer, & stormwater City Council City Manager Finance Director December 23 Regular 34