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HomeMy WebLinkAboutWK - September 22, 2015L T Y O F OVE 1685 CROSSTOWN BOULEVARD N.W.. ANDUVER, MINNESUTA 553U4 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.AN DOVE RMN.GOV City Council Workshop Tuesday, September 22, 2015 Conference Rooms A & B 1. Call to Order — 5:30 p.m. 2. City Council Community Bus Tour - Engineering 3. 2016 Budget Development Discussion — Administration 4. Distribution & Discussion - 2016 Special Revenue, Debt Service, Capital Projects, Enterprise & Internal Service Funds Budgets — Administration 5. Other Business 6. Adjournment 0 • ND 01 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.AN DOVE RMN.GOV To: Mayor and Council Members CC: Jim Dickinson, City Administrator From: David D. Berkowitz, Director of Pubh Works /City Engineer Subject: 2016 City Council Bus Tour- Engineering Date: September 22, 2015 INTRODUCTION A bus tour has been scheduled to review various proposed projects and development areas. DISCUSSION The projects and site locations on the tour include the following: • Prairie Meadow /Sylvester Addition Proposed 2016 Street Reconstruction • 173`d Lane (Langseth- Thrane I" & 2nd Addition Developments) State Aid Street Reconstruction • Timber Trails Park 2016 Proposed Park Renovation • Timber Rivers Development Road Conditions and Timber River Park 2015 Renovation • Catcher's Creek, Proposed Catcher's Creek 2nd Addition, Hickory Meadows 2nd Addition Developments • Prairie Knoll Park, parking issues • Country Oaks North 2nd Addition Proposed Development ACTION REQUESTED This tour is for information sharing and no action is required. /Res ectfully submitted, David D. Berkowitz Director of Public Works /City Engineer C3) 1685 CROSSTOWN BOULEVARD N.W.. ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US TO:. FROM: SUBJECT: DATE: Mayor and Councilmembers Jim Dickinson, City Administrator 2016 Budget Development Discussion September 22, 2015 INTRODUCTION The Council has had a number of reviews of the 2016 Proposed General Fund Budget that will be supported by the 2016 Tax Levy. The Council did adopt at the September 1st regular Council meeting a Preliminary 2016 General Fund Budget. The Preliminary 2016 Budget proposes a total property tax levy of $11,593,925. $8,037,528 (69.33%) operational levy, $2,100,413 (18.12 91o) debt service levy, and $1,455,984 (12.56%) capital/watershed levy. The Council has the right to reduce or keep constant this levy until the final certification date of December 28, 2015. The proposed levy will result in a 4.04 % increase in the gross tax levy. The Preliminary 2016 Tax Levy is what will be used by Anoka County for proposed 2016 Property Tax Statements that will be mailed to property owners in November. This preliminary levy is the highest levy the City can ultimately adopt in December, but the City does have the ability to adopt a lesser levy. At the workshop, City Administration will review progress being made on the 2016 Annual Operating Budget Development process and will seek City Council direction on various items. City Administration will review with the Council the bold italics items at the meeting. DISCUSSION The following are the 2016 Budget Development guidelines were adopted at the April 7th City Council meeting: 1) A commitment to a City Tax Capacity Rate to meet the needs of the organization and positioning the City for long -term competitiveness through the use of sustainable revenue sources and operational efficiencies. Note: Preliminary Anoka County Assessor taxable market value figures for the City of Andover are reflecting a 4.36% increase in total taxable market value. 2) A fiscal goal that works toward establishing the General Fund balance for working capital at no less than 45% of planned 2016 General Fund expenditures and the preservation of emergency fund balances (snow emergency, public safety, facility management & information technology) through targeting revenue enhancements or expenditure limitations in the 2015 adopted General Fund budget. Note: With property tax revenues making up close to 80% of the total General Fund revenues cash flow designations approaching 50% would be appropriate and are recommended by the City's auditor. Emergency Fund Balances are established to stabilize an emergency situation, not be the complete solution. Staff will review with the Council an attached 2014 -2015 General Fund Balance Analysis at the meetinz, 3) A commitment to limit the 2016 debt levy to no more than 25% of the gross tax levy and a commitment to a detailed city debt analysis to take advantage of alternative financing consistent with the City's adopted Debt Policy. Note: The proposed 2016 debt levy is currently at 18.12% of the gross tax levy, 25% provides a reasonable margin to accommodate a 2015 or 2016 Equipment Note and /or Improvement Bond if it is determined that an additional debt issuance is needed. Staffwill review with the Council at the meeting the attached City of Andover Debt Service Levy Summary & Overall Debt Service Summary, in addition Staff will review long term financial proformas at the meeting with the Council displaying how debt issuance impacts future City rinances. 4) A comprehensive review of the condition of capital equipment to ensure that the most cost - effective replacement schedule is followed. Equipment will be replaced on the basis of a cost benefit analysis rather than a year based replacement schedule. Note: The City Vehicle Purchasing Committee has performed this analysis, and has made recommendations to the City Council as part of the 2016 -2020 Capital Improvement Plan (CIP) development process. A "draft" 2016 -2020 CIP was presented to the Council at the September Council workshop meeting. 5) The use of long -term financial models that identify anticipated trends in community growth and financial resources that will help designate appropriate capital resources for future City needs. The financial models will be used in the budget planning process to ensure that key short-term fiscal targets are in line with long -term fiscal projections. Note: The City continually maintains various financial models to determine the long -term impacts of present day expenditures and financing decisions. Fiscal assumptions are based upon various financial indicators including growth factors, tax capacity valuations, per capita spending and debt ratios. Staff will review long term financial proformas at the meeting with the Council displaying how current decisions will impact future City finances. 6) A team approach that encourages strategic planning to meet immediate and long -term operational, staffing, infrastructure and facility needs. Note: A strategic planning session was held with the City Council. The final Council Community Vision and Organizational Goals and Values document was approved at the July 7, 2015 City Council meeting. Direction provided in that document is integrated into various department work plans and budgets. 7) A management philosophy that actively supports the funding and implementation of Council policies and goals, and a commitment to being responsive to changing community conditions, concerns, and demands, and to do so in a cost effective manner. Note: The City Council has formally adopted a Council Community Vision and Organizational Goals and Values document. Management, through these goals, pay special attention to fiscal values, commercial & residential development or redevelopment, collaboration opportunities, service delivery and the livability /image of the community. Staffing Requests: A few new staffing requests were received from City Departments for the 2016 budget. Administration reviewed requests from the Fire and Public Works Departments. The Fire Department is struggling with day -time coverage and Public Works is seeking assistance for street maintenance. Administration has reviewed the requests, and while the requests have merit, Administration is not recommending the addition of any new positions for the 2016 budget and is looking a creative ways to utilize part-time staffing and scheduling to bridge the gap. A presentation on Fire Department staffing was provided to the Council at the September 151h Council Workshop. Personnel Related Implications: To date the following are projected issues facing personnel related expenses: 1. Human Resources is continually reviews position -based salaries and our benefit package in detail to determine if the total package is competitive with other government entities. As part of the budget process, pay steps for eligible employees will be included in the 2016 budget proposal, a cost of living adiustment (COLA) for non - bargaining employees is being explored, and $15,000 of market adiustment dollars are included in the proposed budget (the City will need to comply with Pay - Equity requirements in 2016) . Also, the Public Works Union contract is in currently being negotiated 2. A midyear review of the health plan was conducted with our broker in July. It appears that our health insurance renewal may be significantly impacted by the new reguirements of the Affordable Health Care Act Historically the City of Andover was able to negotiate rates as a large group, but the definition of large group has changed with the new Affordable Health Care Act and may have negative implications on the City's ability to negotiate as a large group. Administration is challenging the definition with the carriers in an effort to continue to negotiate as large group. An increase of 25% in the health insurance budget is being carried in the proposed budget to accommodate. The City currently offers the employees the option of two high deductible plans ($5,000 family, $2,500 single for in network expenses, out of network expenses increase the out of pocket costs to $7,500 family and $3,750 single) with a health spending account (HSA), this was implemented in 2006. As part of the program, the City pays for 100% of the single health insurance premium for an accountable care plan and 76% for a family health insurance premium accountable care plan. Employees that select the open network health plan pay the increased cost over the accountable care plan. The City does contribute annually to the employees HSA. Contractual Departments: 1. Discussion for the 2016 City Attorney contract will indicate, if City employees are granted a COLA, the legal service contract would be evaluated for an increase. 2. The 2016 City of Andover Law Enforcement Contract with the Anoka County Sheriff's Office was approved at the September 15 City Council meeting. The 2016 budget for the contract is $2,936,467 and is offset by a Police State Aid of $124,800 and School Liaison revenue of $91,820 reflecting a net tax levy impact of $2,719,847. The 2016 Sheriff's contract provides for: a. 80 hours per day of patrol service b. 6 hours per day of service provided by a Community Service Officer c. School Liaison Officers in the middle school and high school d. 2 Patrol Investigators e. 50% of the Crime Watch Program's coordinator position. It should be noted that the Sheriff's Department always provides the required number of deputies for all hours contracted by the City. If the Sheriff's Department has a vacancy or a deputy is injured etc.., they still provide the City with a deputy at straight time even though they may have to fill those hours with overtime which at times may cost the Sheriff's Department additional, but is not billable per the contract The 2016 contract will maintain status quo service when compared to 2015. The 2016 contract reflects a 0.62% increase ($18.159) over the 2015 contract. Council Memberships and Donations /Contributions: The following memberships /contributions based on 2015 participation are proposed for the 2016 Budget: • North Metro Mayors Association $13,709 • Metro Cities $ 9,301 • Mediation Services $ 3,366 • YMCA — Water Safety Program $ 8,500 • Alexandra House $18,328 • Youth First (Program Funding) $12,000 • NW Anoka Co. Community Consortium - JPA $10,000 • Teen Center Funding (YMCA) $24,500 • Family of Promise $ 3,000 • Lee Carlson Central Center for Family Resources $ 1,500 • Senior High Parties • Hope For Youth $ 1,000 $ 600 Council direction will be sought on how to budget for these items in 2016. Capital Projects Levy: Capital Projects Levy — Currently the proposed 2016 Capital Projects Levy Budget specifically designates $1,415,984 of the general tax levy to capital projects and equipment needs relating to Capital Outlay ($250,000), Road and Bridge ($1,089,146), Pedestrian Trail Maintenance ($61,838) and Park Projects ($15,000). Specific designation of the tax levy to anticipated City needs and priorities for transportation and trail maintenance, park projects and equipment outlays allows the City to strategically allocate its resources and raise the public's awareness of City spending priorities. The Road and Bridge levy is evaluated annually and along with Capital Outlay, Pedestrian Trail Maintenance and Park Levies increased /decreased according to the City Council budget guidelines. • Road and Bridge An adjustment was made to the Road & Bridge funding formula in 2014, primarily to stop the continual decrease in the levy that has been happening over the past few years due to decreases in the Anoka County Assessor taxable market value figures for the City of Andover. Based on Council discussion, consensus was to stop the decline in road funding and evaluate annually through the adopted City Council Budget Development Guidelines. It should be noted that in 2014. Local Government Aid (LGA) in the amount of $74,655 was used to help fund the Road & Bridge Fund. That State of Minnesota funding has largely gone away (down to $2,706) for 2015. Future si ni scant increases in LGA for the City ofAndover are remote. For 2016, the proposed levy to Roads is $1,089,146 a 9.39% increase over 2015, recognizing the significant 2015 taxable market value increase and lost LGA. The 2016 proposed levy to pedestrian trail maintenance is $61,838, a .53% increase over 2015. • Park Improvements This levy is an annual appropriation to be used to underwrite park improvement projects as recommended by the Park and Recreation Commission and approved by the City Council. This funding is intended to be a supplemental source of capital funding for park projects that is separately identified in the City's Five -Year Capital Improvement Plan. The 2015 levy is $61,500, but only $15,000 is proposed for 2016. $46,500 of the Previous levy will be re- assigned to the General Fund to focus on Park's maintenance /replacement item. In addition to the re- assigned funds an additional $43,500 of General Fund levy will be assigned to Parks Repair /Replacement items for a total levy of $90,000 proposed for 2016. History of the supplemental Park Improvement Funding. In 2002, City Council committed $50,000 in tax levy to underwrite park improvement projects as recommended by the Park and Recreation Commission and approved by City Councib That levy was intended to be a supplemental source of capital funding for park projects as development started to slow down and minimal park dedication funds were available. As of 2015, that levy was up to $61,500 of which $15,000 is designated towards miscellaneous items that come up throughout the year. New direction of the Funding: With an emphasis on maintaining /preserving parks the City currently has, through the 2016 Preliminary Budget /Levy approved by the City Council, $46,500 was re- assigned to the General Fund to focus on Park's maintenance /replacement items. The $15,000 will remain in the Park Improvement Fund to take care of miscellaneous items that come up throughout the year that the Park and Recreation Commission will continue to participate in. A total of $90,000 proposed 2016 tax levy ($46,500 combined with an additional $43,500 of General Fund levy funding) will now be identified as part of the General Fund levy to replace playground equipment, fences, pedestrian bridges in parks, parking lot reconstruction, etc. The Parks Maintenance Department will determine which replacement items have the highest priority through the Capital Improvement Plan (CIP). Any unused funds will be specirically designated or carried forward for park replacement items. If a park is to be reconstructed as recommended by the Park and Recreation Commission and approved by City Council through the CIP process, the Park and Recreation Commission will work with the Parks Maintenance Department to determine which items are replacements and which items are considered new and/or enhancements to determine the mix of funding sources to accomplish the project. • Equipment /Projects Under the Capital Projects Levy, a levy is proposed to be designated to capital improvement /equipment project expenditures identified through the CIP process. Through this designation, the City, over time, will build a fund reserve to avoid cash flow "spikes" and address a wide range of capital improvement needs such as facility maintenance projects under a more controlled spending environment. The 2015 levy is $250,000, the same is currently proposed for 2016 • Trails: Administration would like to discuss with the Council the attached Trail Fund Projected Fund Balance Analysis. The primary discussion point will be the number of unfunded projects in the analysis and how to address the Trail Fund projected fund balance deficits Debt Service Levy: Annually the Finance Department conducts a detailed debt service analysis to monitor outstanding debt and to look for early debt retirement or refinancing opportunities that will yield interest expense savings to the City. (Staff, along with Ehlers & Associates has completed a review and sees no new refinancing opportunities at this time; we will continue to monitor refunding opportunities, as markets can move quickly, and calculate potential savings for each issue that may meet parameters which may generate savings.) The proposed 2016 Debt Service levy is as follows: • 2010A G.O. Open Space Referendum $ 186,291 • 2012A G.O. Equipment Certificate $ 142,885 • 2012B G.O. Capital. Imp. Refunding $ 498,435 • 2012C Taxable G.O. Abatement Bonds $ 977,332 • 2014 G.O. Equipment Certificates $ 287,345 Total $291009413 It should be noted that the levy is offset significantly by a $635,000 YMCA annual rental payment for the Community Center bonds (2012C Taxable G.O. Abatement Bonds). The proposed 2016 Debt Service levy reflects a 1.67% decrease ($35,652). Staff will review with the Council at the meeting the attached City of Andover Debt Service Levy Summary, ACTION REQUESTED The Council is requested to receive a presentation and provide direction to staff. 1, City of Andover, Minnesota Property Tax Levy Lower Rum River Watershed Certified Certified Certified Certified Certified Certified Requested Total Other 1,359,239 Change 1,390,891 1,336,968 2010 2011 2012 2013 2014 2015 2016 %of Total 10,843,925 $ 11,593,925 100% $ 450,000 4.04% Less Fiscal Disparities Distribution 1,521,663 General Fund Lew 1,791,496 1,798,577 1,718,153 1,846,295 1,846,295 Local Tax Rate Levy $ 9,334,636 $ 8,970,107 $ 8,839,803 $ 8,832,722 $ 9,125,772 General Operations $ 7,596,494 $ 7,500,802 $ 7,332,857 $ 7,332,857 $ 7,435,891 $ 7,630,892 $ 7,947,528 68.550/6 $ 316,636 4.15% Parks Repair /Replacement Items - - E 8,938,489 $ 9,113,392 $ 9,561,339 Adjusted Tax Capacity Value" 90,000 0.78% $ 90,000 #DIV /01 24,496,024 25,643,439 Total General Fund 7,596,494 7,500,802 7,332,857 7,332,857 7,435,891 7,630,892 8,037,528 69.33% $ 406,636 5.33% Debt Service Funds Lew 2004A G.O. Capital Improvement Bonds 368,418 412,320 405,292 381,290 - - - 2004 EDA Public Facility Revenue Bonds 934,203 960,858 1,092,684 452,082 181,803 - - 2007A G.O. Equipment Certificate 208,000 - - - - - - 2008A G.O. Equipment Certificate 171,410 188,972 2009A G.O. Equipment Certificate 130,738 142,783 - - - 2010A G.O. Open Space Referendum Bonds 87,797 139,179 182,558 184,973 187,283 184,238 186,291 2011A G.O. Equipment Certificate - 85,000 102,017 101,745 - - - 2012A G.O. Equipment Certificate - - 125,000 125,000 140,000 140,000 142,885 20128 G.O. Cap Improv Refunding Bonds - - - 138,339 561,015 540,120 498,435 2012C Taxable G.O. Abatement Bonds - - - 578,045 740,965 975,652 977,332 2014 G.O. Equipment Certificate 260,000 296,055 295,470 Total Debt Service 1,900,566 1,929,112 1,907,551 1,961,474 2,071,066 2,136,065 2,100,413 18.12% $ (35,652) Other Levies Capital Projects Levy Capital Equipment/Project 210,000 210,000 210,000 210,000 210,000 250,000 250,000 2.16 % $ - 0.00% Parks Projects 59,410 61,500 61,500 61,500 61,500 61,500 15,000 0.13% $ (46,500) - 75.61% Road B Bridge 1,003,056 1,064,959 1,022,817 967,197 967,197 967,197 1,089,146 9.39% $ 121,949 12.61% Pedestnan Trail Maintenance 51,773 54,926 56,574 58,271 58,271 58,271 61,838 0.53% $ 3,567 6.12% Lower Rum River Watershed 35,000 35,000 40,000 40.000 40,000 40,000 40,000 0.35% $ 0.00% Total Other 1,359,239 1,426,385 1,390,891 1,336,968 1,336,968 1,376,968 1,455,984 12.56% $ 79,016 5.74% Gross City Levy 10,856,299 10,856,299 10,631,299 10,631,299 10,843,925 11,143,925 11,593,925 100% $ 450,000 4.04% Less Fiscal Disparities Distribution 1,521,663 1,886,192 1,791,496 1,798,577 1,718,153 1,846,295 1,846,295 Local Tax Rate Levy $ 9,334,636 $ 8,970,107 $ 8,839,803 $ 8,832,722 $ 9,125,772 $ 9,297,630 $ 9,747,630 Less Levy Based on Market Value $ 87,797 $ 139,179 $ 182,558 $ 184,973 $ 187,283 $ 184,238 E 186,291 Net Local Tax Rate Levy $ 9,246,839 $ 8,830,928 E 8,657,245 $ 8,647,749 E 8,938,489 $ 9,113,392 $ 9,561,339 Adjusted Tax Capacity Value" $ 25,263,121 22,917,072 20,514,674 21,155,263 20,615,782 24,496,024 25,643,439 4.68% '• Adjusted Value determined by adjusting for Fiscal Disparities and Tax Increment estimates. •'• Blended rate due to the City ofAndover levying for Lower Rum River Watershed District (1) Adjusted Tax Capacity Value is subject to change. 35.921% - 3.447% $ 100,000 0.90% 36.311% - 2.399% Change % Change Tax Capacity Rate- 36.602% 38.534% 42.200% 40.878% 43.358% 37.204% 37.286% 0.082% 0.221% Tax Capacity Rate W/O LRRWSD 32.180% 36.484% 38.407% 42.090% 43.197% 37.046% 37.817% 1.649% Tax Capacity Rate With LRRWSD 32.483% 36.814% 38.746% 42.539% 43.657% 37.437% Rate Ch in Rate Levy Ch in Levy Voter Approved Ref - MV 0.00551% 0.00327% 0.00568% 0.00778% 0.00841% 0.00719% 35.531% - 4.496% $ - 0.00% '• Adjusted Value determined by adjusting for Fiscal Disparities and Tax Increment estimates. •'• Blended rate due to the City ofAndover levying for Lower Rum River Watershed District (1) Adjusted Tax Capacity Value is subject to change. 35.921% - 3.447% $ 100,000 0.90% 36.311% - 2.399% $ 200,000 1.79% 36.701% - 1.351% $ 300,000 2.69% 37.091% - 0.303% $ 400,000 3.59% 37.481% 0.746% $ 500,000 4.49% 37.817% 1.649% $ 586,332 5.26% 9/17/2015 City of Andover General Fund 2015 Fund Balance Analysis December 31, 2014 2015 Estimated Fund Balance Increase (Decrease) Projected December 31, 2015 Less: Snow Emergency Public Safety Facility Management Information Technology 2016 Budgeted Usage of Fund Balance Economic Development Prepaids / Inventories Working Cash Flow Estimated Balance Available for Adjustments 2015 Working Cash Flow Designation Calculation: 8/18/2015 Round 1 Actual $ 7,202,134 (324,009) 6,878,125 (80,000) (80,000) (80,000) (80,000) (365,639) (300,000) (137,001) (5,378,025) $ 377,460 2016 Requested Expenditure $10,756,050 % of 2016 General Fund Expenditures 50.000% $ 5,378,025 General Obligation Abatement Bonds 2012C G.O. Abatement Bonds Transfer from Operations Certificates of Indebtedness 2012A G.O. Equipment Certificates 2014 G.O. Equipment Certificates 2016 G.O. Equipment Certificates Capital Improvement Bonds 2012B G.O. Cap Improvement Ref Bonds CITY OF ANDOVER Debt Service Levy Summary 2015 2016 2017 2018 2019 2020 2021 2022 2023 1,275,652.00 1,277,332.00 1,274,418.00 1,272,055.00 1,269,378.00 1,276,780.00 1,273,263.00 1,274,628.00 1,269,745.00 (300,000.00) (300,000.00) (300,000.00) (300,000.00) (300,000.00) (300,000.00) (300,000.00) (300,000.00) (300,000.00) 975,652.00 977,332.00 974,418.00 972,055.00 969,378.00 976,780.00 973,263.00 974,628.00 969,745.00 140, 000.00 142, 885.00 296,055.00 295,470.00 295,260.00 294,945.00 294,525.00 161, 678.00 159, 630.00 157, 004.00 159,154.00 436,055.00 438,355.00 456,938.00 454,575.00 451,529.00 159,154.00 - 540,120.00 498,435.00 Referendum Bonds 2010A G.O. Open Space Referendum Bonds 184,238.00 186,291.00 187,840.00 188,777.00 183,989.00 184,199.00 184,078.00 2,136,065.00 2,100,413.00 1,619,196.00 1,615,407.00 1,604,896.00 1,320,133.00 1,157,341.00 974,628.00 969,745.00 CITY OF ANDOVER Debt Service Summary Total Less 2016 2017 2018 2019 2020 2021 -2025 2026 -2030 2031 Payments Interest Total Governmental Activities General Obligation Abatement Bonds 2012C G.O. Abatement Bonds 1,216,506.26 1,213,731.26 1,211,481.26 1,208,931.26 1,215,981.26 6,058,200.05 6,044,746.90 1,218,000.00 19,387,578.25 (3,547,578.25) 15,840,000.00 Certificates of Indebtedness 2012A G.O. Equipment Certificates 61,200.00 540,350.00 - - - - - 601,550.00 (16,550.00) 585,000.00 2014A G.O. Equipment Certificates 283,350.00 278,800.00 278,550.00 278,200.00 277,750.00 - - 1,396,650.00 (66,650.00) 1,330,000.00 344,550.00 819,150.00 278,550.00 278,200.00 277,750.00 - - - 1,998,200.00 (83,200.00) 1,915,000.00 Capital Improvement Bonds 2012B G.O. Cap Improvement Ref Bonds 474,700.00 - - - - - 474,700.00 (4,700.00) 470,000.00 Referendum Bonds 2010A G.O. Open Space Referendum Bonds 173,942.50 175,657.50 176,841.25 177,507.50 172,827.50 345,526.25 - 1,222,302.50 (117,302.50) 1,105,000.00 2,209,698.76 2,208,538.76 1,666,872.51 1,664,638.76 11666,558.76 6,403,726.30 6,044,746.90 1,218,000.00 23,082,780.75 (3,752,780.75) 19,330,000.00 Business -Type Activities General Obligation Revenue Bonds 20078 G.O. Water Revenue Refunding Bonds 744,546.26 742,146.26 743,846.26 739,646.26 739,546.26 2,218,666.89 - - 5,928,398.19 (873,398.19) 5,055,000.00 2009A G.O. Water Revenue Bonds 88,555.00 86,605.00 89,492.50 87,130.00 89,498.75 347,143.75 - 788,425.00 (123,425.00) 665,000.00 833,101.26 828,751.26 833,338.76 826,776.26 829,045.01 2,565,810.64 - 6,716,823.19 (996,823.19) 5,720,000.00 3,042,800.02 3,037,290.02 2,500,211.27 2,491,415.02 2,495,603.77 8,969,536.94 61044,746.90 1,218,000.00 29,799,603.94 (4,749,603.94) 25,050,000.00 Projected Sources of Revenue Trail Fee $746 per unit platted units Trail Fee Grant Total Revenues Available Projected Commitments 8' Bituminous Trail along Crosstown Blvd - Coon Creek Bridge to S. Coon Creek Dr 5' Concrete Sidewalk along Bunker Lk Blvd - Yukon St to Hidden Creek North Park 5' Concrete Sidewalk along Bunker Lk Blvd - Crosstown Blvd to Yukon St 8' Bituminous Trail along Andover Blvd - Bluebird St to Vale St 8' Bituminous Trail and Boardwalk along Crosstown Blvd - Bunker Lk Blvd to 140th Ave 8' Bituminous Trail along Crosstown Blvd - 159th Ave to Prairie Road 10' Bituminous Trail along WDE site - Kennsington Estates 7th Add. to Andover Station North Total Commitments Revenues Over(Under)Expenditures Fund Balance as of December 31, 2014 Fund Balance Brought Forward Ending Fund Balance * *Target - 10% of current years commitments to create a contingency for any project overages. ** It is anticipated that all projects will not be fully expended by the end of the year, and future projects will be contingent on additional revenues. CITY OF ANDOVER Trail Fund Projected Fund Balance 2015 2016 2017 2018 2019 2020 TOTALS 50 50 25 25 25 $ 37,300 $ 37,300 $ 37,300 $ 18,650 $ 18,650 $ 18,650 $ 167,850 - - - - 245,000 245,000 37,300 37,300 37,300 18,650 263,650 18,650 412,850 118,000 118,000 52,000 52,000 187,000 187,000 144,000 144,000 460,000 460,000 280,000 280,000 245,000 245,000 - 357,000 144,000 460,000 525,000 - $ 1,486,000 37,300 (319,700) (106,700) (441,350) (261,350) 18,650 134,963 172,263 (147,437) (254,137) (695,487) (956,837) $ 172,263 $ (147,437) $ (254,137) $ (695,487) $ (956,837) $ (938,187) *Target - 10% of current years commitments to create a contingency for any project overages. ** It is anticipated that all projects will not be fully expended by the end of the year, and future projects will be contingent on additional revenues. C I T Y O F NDOVE 0 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US TO: FROM: SUBJECT: DATE Mayor and Councilmembers Jim Dickinson, City Administrator 2016 Special Revenue, Debt Service, Capital Projects, Enterprise & Internal Service Funds Budget Distribution & Discussion September 22, 2015 The Council has had a number of reviews of the 2016 Proposed General Fund Budget that will be supported by the 2016 Tax Levy. The Council did adopt at the September 1st regular Council meeting a Preliminary 2016 General Fund Budget. The Preliminary 2016 Budget proposes a total property tax levy of $11,593,925: $8,037,528 (69.33 %) operational levy, $29100,413 (18.12 %) debt service levy, and $1,455,984 (12.56 %) capital/watershed levy. The Council has the right to reduce or keep constant this levy until the final certification date of December 28, 2015. The proposed levy will result in a 4.04 % increase in the gross tax levy. This agenda item will focus on all the other City fund budgets. Other Funds: The attachments to this staff report are draft budgets for all the other funds outside of the General Fund within the City. The attachments are grouped by fund types' bolded below: For the most part these budgets are self explanatory, with the exception of the Community Center, Economic Development Authority (EDA) and Enterprise Funds. The Community Center Fund will be presented at a future workshop by the Recreational Facilities Manager, the EDA Fund detail will be presented to the EDA at a future meeting, and the Enterprise Funds are driven by a rate analysis that is part of the Capital Improvement Plan (CIP) Development process. I will provide a brief presentation of the attached budgets and answer any questions the Council may have. The Special Revenue Funds (pgs 1 — 20) are established to justify and account for revenue sources to finance particular functions or projects. Revenues for these funds come from a variety of sources (taxes, fees, gifts, grants or other contributions). Expenditures from these funds are normally restricted by statute, local ordinance or grant agreement. Also the funds may be used for either operations or capital outlay as legal restrictions mandate. Administration will be discussing with the Council the following funds: 1. Economic Development Authority Fund 2. Community Center 3. Charitable Gambling Fund The Debt Service Funds (pgs 21 — 44) account for the accumulation of resources for, and the payment of general long -term principal and interest. Repayment of the debt through principal and interest payments to bond holders is backed by the full faith and credit of the City of Andover. Administration will briefly discussing with the Council how the overall debt service spreadsheet impacts the individual Debt Service Funds and the proposed 2015 Debt Service Levy. The Capital Project Funds (pgs 45 — 72) are used to account for the acquisition or construction of major capital facilities or equipment financed by a variety of funding sources, including tax levy, debt, special assessments, grants or other governmental fund resources. Administration be discussing the Trail & Transportation fund with the Council, all other funds will not be discussed in detail. These funds are the primary funds that facilitate the annual Capital Improvement Plan (CIP). The Enterprise Funds (pgs 73 — 80) are dependent on multiple factors such as community growth and demand for and usage of the service. The Enterprise funds are generally in line and step with the rate analysis done for these funds as part of the CIP development and review. Administration will discuss how these funds are impacted by the attached rate analysis (pgs 87 -90) that facilitates the Enterprise Funds' annual Capital Improvement Plan (CIP). Internal Service Funds (pgs 81 — 86) are used to account for services that are provided to other City Departments, or to other governments, on a cost reimbursement basis. Administration will briefly discuss with the Council the following funds: 1. Central Equipment Fund 2. Risk Management Fund ACTION REQUESTED The Council is requested to review the staff report, attachments, receive a presentation, and provide direction to staff. led, CITY OF ANDOVER, MINNESOTA 2016 ANNUAL BUDGET SPECIAL REVENUE FUNDS DEFINITION: Special revenue funds are established to justify revenue sources to finance particular functions or projects. Revenue for these funds can come from a variety of sources, such as taxes, fees, gifts and grants or contributions from other governmental entities. Expenditures from these funds are normally restricted by statute, local ordinance, or grant agreements. The funds may be used for either operations or capital outlay as legal restrictions mandate. City of Andover Special Revenue Funds 2016 Budget Summary - All Special Revenue Funds Statement of Revenues, Expenditures and Changes in Fund Balance O Fund Balance, January 1 Actual 1 Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 $ 407,587 $ 607,404 $ 607,404 $ 457,915 Revenues Fund Balance, December 31 General Property Taxes 40,066 40,000 40,000 40,000 Intergovernmental 4,909 37,500 - 37,500 Charges for Services 722,462 617,800 666,700 671,700 Investment Income 12,592 7,500 5,500 7,500 Miscellaneous 900,330 820,900 842,000 805,500 Total Revenues: 1,680,359 1,523,700 1,554,200 1,562,200 Other Sources Proceeds from Sale of Property - - - - Total Revenues and Other Sources: 1,680,359 1,523,700 1,554,200 1,562,200 Total Available: 2,087,946 2,131,104 2,161,604 2,020,115 Expenditures Personal Services 490,752 506,034 519,034 491,212 Supplies and Materials 97,916 78,870 104,285 85,570 Purchased Services 166,699 248,975 260,675 256,035 Other Services and Charges 448,408 491,397 448,097 481,597 Capital Outlay 29,774 14,000 - 56,000 Total Expenditures: 1,233,549 1,339,276 1,332,091 1,370,414 Other Uses Transfers Out 246,993 371,598 371,598 371,598 Total Expenditures and Other Uses: 1,480,542 1,710,874 1,703,689 1,742,012 Fund Balance, December 31 $ 607,404 $ 420,230 $ 457,915 $ 278,103 City of Andover ( � ) Special Revenue Funds Economic Development Authority Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Charges for Services Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Personal Services Supplies and Materials Purchased Services Other Services and Charges Capital Outlay Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 405,838 Actual Adopted Estimate Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Charges for Services Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Personal Services Supplies and Materials Purchased Services Other Services and Charges Capital Outlay Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 405,838 $ 380,792 $ 380,792 $ 240,843 36,622 15,600 20,000 20,000 10,677 5,000 5,000 5,000 5,868 - - - 53,167 20,600 25,000 25,000 53,167 20,600 25,000 25,000 459,005 401,392 405,792 265,843 48,502 53,149 53,149 22,894 11,235 18,200 18,200 18,900 8,477 78,750 78,750 78,800 9,999 14,850 14,850 14,850 7 8, 213 164,949 164,949 135,444 78,213 164, 949 164,949 135,444 $ 380,792 $ 236,443 $ 240,843 $ 130,399 Fund: Economic Development Authority Activity Type /Code: Special Revenue Expenditure HiQhliahts 2014, 2015 & 2016 includes funding for monument entrance signs. EDA Budget provides for ongoing maintenance around the Andover Station Development area. In 2015, charges for services revenue is reduced due to the decertification of TIF District 1 -2, of which this fund would receive TIF administration fees. 0 Department Head: City Administrator General Activity Description To provide for the quality development of commercial and industrial properties to ensure a strong, viable and diversified tax base. Process Used Promotion and expansion of the commercial and industrial tax base through the development and redevelopment of land. The EDA is the primary authority involved in managing the City's four Tax Increment Financing (TIF) Districts. The EDA monitors and initiates the activities within the TIF Districts to reach the goals of the TIF plans. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Special Revenue Funds Community Development Block Grant Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Intergovernmental Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 Actual Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Intergovernmental Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 25,000 25,000 25,000 - 25,000 - 25,000 - 25,000 - 25,000 - 25,000 25,000 25,000 - 25,000 - 25,000 Fund: Community Development Block Grant Activity Type /Code: Special Revenue Expenditure Hi¢hliahts This was a new fund created in 2004 to track the Community Development Block Grant (CDBG) Rental Rehab program. In 2016, additional grant monies will be applied for to study areas that have access to city water but are not currently hooked up. 0 1 Department Head: Community Development Dir. General Activity Description The Rental Rehab program provides low- interest loans for the rehabilitation of rental housing units. This fund accounts for the loans disbursed, as well as the payments received. In 2008, a housing rehab program was started. Due to the lack of interest, the rental rehab program was terminated in 2012. Process Used Rehab Grants are received from CDBG and disbursed to qualified applicants. As payments come in, these funds create a revolving loan program and new loans are given out to qualified applicants. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Special Revenue Funds Community Center Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Charges for Services Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources Total Available: Expenditures Personal Services Supplies and Materials Purchased Services Other Services and Charges Capital Outlay Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses $ (210,573) $ (48,364) $ (48,364) $ (31,432) 616,835 (6,582) 851,916 1,462,169 1,462,169 1,251,596 405,797 75,741 117,220 429,935 29,774 1,058,467 241,493 1,299,960 577,200 804,400 1,381,600 1,381,600 1,333,236 414,558 50,850 91,000 438,947 14,000 1,009,355 371,598 1,380,953 616,700 (2,000) 820,000 1,434, 700 1,434,700 1,386,336 427,558 82,765 115,200 420,647 1,046,170 371,598 1,417, 768 618,700 784,000 1,402,700 1,402,700 1,371,268 448,854 56,850 96,000 429,147 56,000 1,086,851 371,598 1,458,449 Fund Balance, December 31 $ (48,364) $ (47,717) $ (31,432) $ (87,181) Actual Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Charges for Services Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources Total Available: Expenditures Personal Services Supplies and Materials Purchased Services Other Services and Charges Capital Outlay Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses $ (210,573) $ (48,364) $ (48,364) $ (31,432) 616,835 (6,582) 851,916 1,462,169 1,462,169 1,251,596 405,797 75,741 117,220 429,935 29,774 1,058,467 241,493 1,299,960 577,200 804,400 1,381,600 1,381,600 1,333,236 414,558 50,850 91,000 438,947 14,000 1,009,355 371,598 1,380,953 616,700 (2,000) 820,000 1,434, 700 1,434,700 1,386,336 427,558 82,765 115,200 420,647 1,046,170 371,598 1,417, 768 618,700 784,000 1,402,700 1,402,700 1,371,268 448,854 56,850 96,000 429,147 56,000 1,086,851 371,598 1,458,449 Fund Balance, December 31 $ (48,364) $ (47,717) $ (31,432) $ (87,181) Fund: Community Center Activity Type /Code: Special Revenue Expenditure HiQhliQhts 2009 was the first year the YMCA made a full lease payment of $635,000. The transfer out is the difference between the tax levied for the Community Center debt service and the total annual debt service for the Community Center The capital outlay expenditure for 2016 is for replacement of the rink rubber flooring ($36,000) in the hallways and locker rooms; and to crack seal the parking lot ($20,000). QJ Department Head: Recreation Facility Manager General Activity Description This fund accounts for the operations of the Andover/YMCA Community Center, particularly the ice arena, field house and concessions. The aquatic's portion of the Community Center is under the operations of the YMCA. Process Used The Community Center construction started in 2004 and was completed in the summer of 2005. The facility will be managed by the Recreational Facility Manager with oversight by a Community Center Advisory Board and the City Council. The YMCA is a long -term tenant and started making lease payments in 2008. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Cq) Special Revenue Funds Drainage and Mapping Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Charges for Services Investment Income Total Revenues: Other Sources Transfers In Total Revenues and Other Sources Total Available: Expenditures Supplies and Materials Purchased Services Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 132,453 $ 154,838 $ 154,838 28,097 8,000 8,000 4,157 1,200 1,200 32,254 9,200 9,200 $ 147,738 8,000 1,200 9,200 32,254 Actual Adopted Estimate 1 Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Charges for Services Investment Income Total Revenues: Other Sources Transfers In Total Revenues and Other Sources Total Available: Expenditures Supplies and Materials Purchased Services Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 132,453 $ 154,838 $ 154,838 28,097 8,000 8,000 4,157 1,200 1,200 32,254 9,200 9,200 $ 147,738 8,000 1,200 9,200 32,254 9,200 9,200 9,200 164,707 164,038 164,038 156,938 $ 154,838 602 2,300 2,300 2,300 3,877 7,000 7,000 9,500 5,390 7,000 7,000 7,000 9,869 16,300 16,300 18,800 9,869 16,300 16,300 18,800 $ 154,838 $ 147,738 $ 147,738 $ 138,138 Fund: Drainage and Mapping Activity Type /Code: Special Revenue Expenditure Highlights Minimal changes are planned for this fund as monies are set aside for future mapping needs. 0 Department Head: Dir of PW / City Engineer General Activity Description The drainage and mapping activity provides the resource to maintain existing and develop new maps and mapping systems for the City. The City GIS is a key component in this mapping and data inventory task. Process Used Existing mapping systems and data are maintained manually in a reproducible format. The existing information is being converted to a digital format as is all new data which is developed for the City. All data will be accessible either manually or through a computerized application. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover I Special Revenue Funds Lower Rum River Watershed Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues General Property Taxes Investment Income Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Personal Services Supplies and Materials Purchased Services Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 4,089 $ Actual Adopted Estimate -T Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues General Property Taxes Investment Income Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Personal Services Supplies and Materials Purchased Services Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 4,089 $ 2,295 $ 2,295 $ 1,312 $ 2,295 $ 1,312 $ 1,312 40,066 40,000 40,000 40,000 (281) 100 100 100 39,785 40,100 40,100 40,100 40,100 39,785 40,100 40,100 43,874 42,395 42,395 41,412 15,733 16,738 16,738 9,508 - 520 520 520 25,680 23,625 23,625 22,035 166 200 200 200 41,579 41,083 41,083 32,263 41,579 41,083 41,083 32,263 $ 2,295 $ 1,312 $ 1,312 $ 9,149 l Fund: Lower Rum River Watershed Management Organization I� Activity Type /Code: Special Revenue Department Head: Assistant City Engineer Expenditure Hiehli2hts 2016 includes a slight decrease in funding to the LRRWMO. General Activity Description The function of the Lower Rum River Watershed Management Organization (LRRWMO) is to provide for: conservation of water and natural resources; prevention and alleviation of flood damage; and regulation of creeks, lakes, water courses and storm water conveyance systems for domestic, recreational and public use across municipal boundaries. To achieve this purpose, state law gives watershed management organizations several powers, among which are: 1. Responsibility for preserving natural retention areas. 2. Preparation of plans for water management. 3. Review of municipal water management plans and of projects directly affecting the water resources of the watershed. 4. Review of local land use in the absence of an approved municipal surface water management plan. 5. Collection of data. 6. Conducting of studies and investigations. 7. Construction of improvements, either in response to petition or on the initiative of the LRRWMO. 8. Levying of taxes and assessments for the financing of the previously mentioned activities and for general administration of the organization. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover '?J Special Revenue Funds Forestry Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Actual Adopted Estimate Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 $ 3,559 $ 7,243 $ 7,243 $ 7,343 Revenues Fund Balance, December 31 $ 7,243 $ 7,343 $ 7,343 $ 7,443 Intergovernmental 4,909 12,500 - 12,500 Investment Income 146 100 100 100 Miscellaneous 8,967 6,500 6,500 Total Revenues: 14,022 19,100 100 19,100 Other Sources Transfers In - - - - Total Revenues and Other Sources: 14,022 19,100 100 19,100 Total Available: 17,581 26,343 7,343 26,443 Expenditures Supplies and Materials 10,338 6,500 - 6,500 Purchased Services - 12,500 - 12,500 Total Expenditures: 10,338 19,000 - 19,000 Other Uses Transfers Out Total Expenditures and Other Uses: 10,338 19,000 - 19,000 Fund Balance, December 31 $ 7,243 $ 7,343 $ 7,343 $ 7,443 Fund: Forestry Activity Type /Code: Special Revenue Expenditure Hiehliehts This fund tracks forestry- related grants with state agencies like the Minnesota Department of Natural Resources (DNR) and administers the bare root tree sale. In 2015, the City did not have a tree sale. ON Department Head: Dir of PW / City Engineer General Activity Description Forestry shall preserve Andover's forest resources and develop control plans to ensure preservation and /or restoration of these resources. Process Used The City utilizes the Natural Resources Technician to administer the annual bare root tree sale, coordinate various tree plantings with local organizations like the Eagle Scouts, and monitor preservation and disease tree management grants. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover I� Special Revenue Funds Right of Way Management / Utility Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Charges for Services Investment Income Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Personal Services Supplies and Materials Purchased Services Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 45,008 Actual Adopted 1 Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Charges for Services Investment Income Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Personal Services Supplies and Materials Purchased Services Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 45,008 $ 49,998 $ 49,998 $ 34,909 38,320 12,000 17,000 20,000 975 500 500 500 39,295 12,500 17,500 20,500 39,295 12,500 17,500 20,500 84,303 62,498 67,498 55,409 20,720 21,589 21,589 9,956 - 500 500 500 7,755 10,100 10,100 11,200 330 400 400 400 28,805 32,589 32,589 22,056 5,500 - - - 34,305 32,589 32,589 22,056 $ 49,998 $ 29,909 $ 34,909 $ 33,353 t - Fund: Right of Way Management/Utility Activity Type /Code: Special Revenue Expenditure Hiehliehts The 2014 transfer to the Road & Bridge Capital Projects is for the degredation of roadways associated with right -of -way permits. D% Department Head: Dir of PW / City Engineer General Activity Description The function of Right -of -Way Management is to provide for: management of the public rights -of -way and to recover the rights -of -way management costs; and to regulate the use of public rights -of -way by providers of telecommunication services, public utility services and the like, in a fair, efficient, competitively neutral and substantial uniform manner. Process Used To achieve this purpose, state law gives the City several powers to include requiring the following: 1. Require permits for work within the right -of -way. 2. Collect fees to recover costs associated with the permit including damages to the right -of -way. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Special Revenue Funds Charitable Gambling Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 26,085 Actual Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Other Uses Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 26,085 $ 57,236 $ 57,236 $ 53,536 1,262 300 300 300 33,579 10,000 22,000 15,000 34,841 10,300 22,300 15,300 34,841 10,300 22,300 15,300 60,926 67,536 79,536 68,836 3,690 26,000 26,000 26,000 3,690 26,000 26,000 26,000 $ 57,236 $ 41,536 $ 53,536 $ 42,836 N Fund: Charitable Gambling Activity Type /Code: Special Revenue Expenditure Highli¢hts This fund was created to track the donations received from the Andover Hockey Association and Andover Football Association from their gambling activities. 2015 includes funding towards the Alexandra House, Youth First, Family of Promise, teen programing, etc.. Funding for these expenditures is dependent upon donations. C�) Department Head: Finance Director General Activity Description The licensed organizations are required to donate 10% of their net profits to the City. Process Used According to State Statute, all expenditures from this fund must be for police, fire and other emergency or public safety - related services, equipment, and and training, excluding pension obligations, or qualifying public service organizations. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Special Revenue Funds Construction Seal Coating Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Actual 1 Adopted 1 Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 $ 1,128 $ 3,366 $ 3,366 $ 3,666 Revenues Fund Balance, December 31 $ 3,366 $ Charges for Services 2,588 5,000 5,000 5,000 Investment Income 2,238 300 300 300 Total Revenues: 4,826 5,300 5,300 5,300 Other Sources Transfers In - _ _ Total Revenues and Other Sources: 4,826 59300 5,300 5,300 Total Available: 5,954 8,666 8,666 8,966 Expenditures Other Services and Charges 2,588 5,000 5,000 5,000 Other Uses Transfers Out Total Expenditures and Other Uses: 2,588 5,000 5,000 5,000 Fund Balance, December 31 $ 3,366 $ 3,666 $ 3,666 $ 3,966 Fund: Construction Seal Coating Activity Type /Code: Special Revenue Expenditure Highlights The Construction Seal Coating Special Revenue Fund was established in 1996 and is utilized for the first application of crack seal and seal coat in new developments. ag Department Head: Dir of PW / City Engineer General Activity Description The Construction Seal Coating Special Revenue Fund accounts for contributions associated with land development to be used for the respective developments first application of crack seal and seal coat. Process Used The City has an annual crack seal and seal coat program. Currently the City is divided into nine zones and these developments are done within four years of being constructed. Crack sealing is completed one year prior to seal coating. This allows the crack sealing material to cure and minimize bleed through once seal coated. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA CITY OF ANDOVER, MINNESOTA 2016 ANNUAL BUDGET DEBT SERVICE FUNDS DEFINITION: a A debt service fund accounts for the accumulation of resources for, and the payment of general long -term principal and interest. Repayment of the debt through principal and interest payments to bond holders is backed by the full faith and credit of the government unit. City of Andover Debt Service Funds 2016 Budget - All Debt Service Funds Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues General Property Taxes Intergovernmental Investment Income Total Revenues: Other Sources Operating Transfers In Total Revenues and Other Sources Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Operating Transfers Out Redemption of Refunded Bonds Total Other Uses: Total Expenditures and Other Uses: Fund Balance, December 31 $ 17,767,831 2,074,115 61,680 60,805 2,196, 600 622,454 2,819,054 20,586,885 2,140,000 900,504 7,895 3,048,399 9,951 16,455,000 16,464,951 $ 1,073,535 2,136,065 2,136, 065 371,598 2,507,663 3,581,198 1,765,000 470,688 2,500 2,238,188 47,632 47,632 19,513,350 2,285,820 $ 1,073,535 $ 1,295,378 $ 1,073,535 $ 1,296,333 2,136,065 Actual 1 Adopted Estimate Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues General Property Taxes Intergovernmental Investment Income Total Revenues: Other Sources Operating Transfers In Total Revenues and Other Sources Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Operating Transfers Out Redemption of Refunded Bonds Total Other Uses: Total Expenditures and Other Uses: Fund Balance, December 31 $ 17,767,831 2,074,115 61,680 60,805 2,196, 600 622,454 2,819,054 20,586,885 2,140,000 900,504 7,895 3,048,399 9,951 16,455,000 16,464,951 $ 1,073,535 2,136,065 2,136, 065 371,598 2,507,663 3,581,198 1,765,000 470,688 2,500 2,238,188 47,632 47,632 19,513,350 2,285,820 $ 1,073,535 $ 1,295,378 $ 1,073,535 $ 1,296,333 2,136,065 2,100,413 2,000 2,000 2,138,065 2,102,413 371,598 2,509,663 3,583,198 1,765,000 470,688 2,275 2,237,963 48,902 48,902 2,286,865 $ 1,296,333 376,860 2,479,273 3,775,606 1,770,000 439,698 2,450 2,212,148 104,123 104,123 2,316,271 $ 1,459,335 City of Andover 3� Debt Service Funds Certificates /Capital Notes - 2011A G.O. Equipment Certificate Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 $ 105,901 $ - $ - $ - Revenues Investment Income Other Sources Operating Transfers In Total Revenues and Other Sources: Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 105,901 95,000 950 95,950 9,951 105,901 Actual 1 Adopted Estimate 1 Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 $ 105,901 $ - $ - $ - Revenues Investment Income Other Sources Operating Transfers In Total Revenues and Other Sources: Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 105,901 95,000 950 95,950 9,951 105,901 Fund: 3210 Cost Center: 2011A G.O. Equipment Certificates Department Head: Finance Director Activity Type /Code: Debt Service This fund was closed in 2014. General Activity Description To account for the payment of principal and interest on long -term debt. Process Used The City issued $265,000 of Capital Notes in 2011 to facilitate the purchase of new equipment. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Debt Service Funds Certificates /Capital Notes - 2012A G.O. Equipment Certificate Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues General Property Taxes Investment Income Total Revenues: Other Sources Operating Transfers In Total Revenues and Other Sources: Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 236,730 Actual 1 Adopted 1 Estimate Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues General Property Taxes Investment Income Total Revenues: Other Sources Operating Transfers In Total Revenues and Other Sources: Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 236,730 $ 373,049 $ 373,049 $ 502,899 $ 373,049 $ 500,849 $ 502,899 $ 586,084 140,196 140,000 140,000 142,885 8,273 - 2,000 2,000 148,469 140,000 142,000 144,885 148,469 140,000 142,000 144,885 385,199 513,049 515,049 647,784 - - - 50,000 11,700 11,700 11,700 11,200 450 500 450 500 12,150 12,200 12,150 61,700 12,150 12,200 12,150 61,700 $ 373,049 $ 500,849 $ 502,899 $ 586,084 Fund: 3211 Cost Center: 2012A G.O. Equipment Certificates Department Head: Finance Director Activity Type /Code: Debt Service General Activity Description Debt Service is scheduled as listed below: To account for the payment of principal and interest on long -term debt. Year Amount Principal Interest 2016 $ 61,200 $ 50,000 $ 11,200 2017 540,350 535,000 5,350 $ 601,550 $ 585,000 $ 16,550 Process Used The City issued $585,000 of Capital Notes in 2012 to facilitate the purchase of new equipment. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Debt Service Funds Certificates /Capital Notes - 2014 G.O. Equipment Certificate Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Actual Adopted 1 Estimate Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 $ - $ 263,348 $ 263,348 $ 301,977 Revenues Fund Balance, December 31 $ 263,348 $ 301,977 $ 301,977 $ 313,597 General Property Taxes 260,363 296,055 296,055 295,470 Investment Income 2,985 - - - Total Revenues: 263,348 296,055 296,055 295,470 Other Sources Operating Transfers In - - - - Total Revenues and Other Sources: 263,348 296,055 296,055 295,470 Total Available: 263,348 559,403 559,403 597,447 Expenditures Debt Service Principal - 225,000 225,000 260,000 Interest - 31,926 31,926 23,350 Other - 500 500 500 Total Expenditures: - 257,426 257,426 283,850 Other Uses Operating Transfers Out - - - Total Expenditures and Other Uses: - 257,426 257,426 283,850 Fund Balance, December 31 $ 263,348 $ 301,977 $ 301,977 $ 313,597 2g Fund: 3212 Cost Center: 2014A G.O. Equipment Certificates Department Head: Finance Director Activity Type /Code: Debt Service Debt Service is scheduled as listed below: Year Amount Principal Interest 2016 $ 283,350 $ 260,000 $ 23,350 2017 278,800 260,000 18,800 2018 278,550 265,000 13,550 2019 278,200 270,000 8,200 2020 277,750 275,000 2,750 $ 1,396,650 $ 1,330,000 $ 66,650 General Activity Description To account for the payment of principal and interest on long -term debt. Process Used The City issued $1,355,000 of Capital Notes in 2014 to facilitate the purchase of equipment. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Debt Service Funds General Obligation Bonds - 2012B G.O. Capital Improvement Refunding Bonds Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues General Property Taxes Investment Income Total Revenues: Other Sources Operating Transfers In Total Revenues and Other Sources: Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 25,790 Actual Adopted Estimate Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues General Property Taxes Investment Income Total Revenues: Other Sources Operating Transfers In Total Revenues and Other Sources: Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 25,790 $ 55,568 $ 55,568 $ 80,838 561,799 540,120 540,120 498,435 (7,171) - - - 554,628 540,120 540,120 498,435 554,628 540,120 540,120 498,435 580,418 595,688 595,688 579,273 500,000 500,000 500,000 470,000 24,400 14,400 14,400 4,700 450 500 450 450 524,850 514,900 514,850 475,150 - - - 104,123 524,850 514,900 514,850 579,273 $ 55,568 $ 80,788 $ 80,838 $ - xfer to building fund �D Fund. 3303 Cost Center: 2012B G.O. Capital Improvement Refunding Bonds Department Head: Finance Director Activity Type /Code: Debt Service Debt Service is scheduled as listed below: Year Amount Principal 2016 $ 474,700 $ 470,000 Interest $ 4,700 General Activity Descriution To account for the payment of principal and interest on long -term debt. Process Used The City sold $3,890,000 of General Obligation Bonds in 2004 to finance the purchase of the Public Works Facility from the Andover Economic Development Authority and the construction of Fire Station #3. This issue will be used to refund the original issue sold in 2004. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Debt Service Funds Lease Revenue Bonds - 2004 EDA Public Facility Lease Revenue Bonds Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Actual Adopted f Estimate Adopted 1 Description 2014 2015 201 2016 Fund Balance, January 1 $ 513,645 $ - $ $ _ Revenues General Property Taxes 182,964 - - - Investment Income (1,562) - - Total Revenues: 181,402 - Other Sources Operating Transfers In 212,356 - - Total Revenues and Other Sources: 393,758 - Total Available: 907,403 - Expenditures Debt Service Principal 470,000 - - Interest 434,373 - - Other 3,030 - - - Total Expenditures: 907,403 - - - Other Uses Operating Transfers Out - Total Expenditures and Other Uses: 907,403 - Fund Balance, December 31 $ - $ _ $ _ $ Fund: 3402 Cost Center: 2004 EDA Public Facility Lease Revenue Bonds Department Head: Finance Director Activity Type /Code: Debt Service �3 This fund was closed in 2014. These bonds were refunded in 2014 by refunding bonds issued on 12/01/06 and 01/01/2007 for $9,755,000 and $6,700,000, respectively. General Activity Descriution To account for the payment of principal and interest on long -term debt. Process Used The City sold $19,580,000 of Lease Revenue Bonds in 2004 to finance the construction of a community center. Approximately 50% of the debt will be paid for by a long -term lease arrangement with the YMCA of Minneapolis. The YMCA will run a full service YMCA out of the Community Center building. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover J� Debt Service Funds Lease Revenue Bonds - 2006 EDA Public Facility Lease Revenue Refunding Bonds Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Actual 1 Adopted Estimate 1 Adopted I Description 2014 2015 2015 2016 50,092 Fund Balance, January 1 $ 9,706,648 $ $ _ $ _ Revenues Investment Income 35,266 - Other Sources Operating Transfers In 14,826 Total Revenues and Other Sources: 50,092 Total Available: 9,756,740 _ Expenditures Debt Service Principal - Interest - Other 1,740 Total Expenditures: 1,740 Other Uses Redemption of Refunded Bonds 9,755,000 Total Expenditures and Other Uses: 9,756,740 - Fund Balance, December 31 $ - $ _ $ _ $ � � Fund: 3403 l Cost Center: 2006A EDA Public Facility Lease Revenue Refunding Bonds Department Head: Finance Director Activity Type /Code: Debt Service This fund was closed in 2014. General Activity Description To account for the payment of principal and interest on long -term debt. Process Used The City sold $19,580,000 of Lease Revenue Bonds in 2004 to finance the construction of a community center. Approximately 50% of the debt will be paid for by a long -term lease arrangement with the YMCA of Minneapolis. The YMCA will run a full service YMCA out of the Community Center building. This issue will be used to refund a portion of the original issue sold in 2004. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover 03� Debt Service Funds Lease Revenue Bonds - 2007 EDA Public Facility Lease Revenue Refunding Bonds Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Actual Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 $ 6,662,794 $ - $ _ $ _ Revenues Investment Income 24,245 - Other Sources Operating Transfers In 14,311 - Total Revenues and Other Sources: 38,556 - Total Available: 6,701,350 - - Expenditures Debt Service Principal _ Interest - Other 1,350 Total Expenditures: 1,350 Other Uses Redemption of Refunded Bonds 6,700,000 Total Expenditures and Other Uses: 6,701,350 - Fund Balance, December 31 $ - $ _ $ _ $ Fund: 3404 Cost Center: 2007 EDA Public Facility Lease Revenue Refunding Bonds Activity Type /Code: Debt Service This fund was closed in 2014. 6D Department Head: Finance Director General Activity Description To account for the payment of principal and interest on long -term debt. Process Used The City sold $19,550,000 of Lease Revenue Bonds in 2004 to finance the construction of a community center. Approximately 50% of the debt will be paid for by a long -term lease arrangement with the YMCA of Minneapolis. The YMCA will run a full service YMCA out of the Community Center building. This issue will be used to refund a portion of the original issue sold in 2004. ADOPTED 2016 BUDGET CITY OF ANDOVER. MINNESOTA City of Andover Debt Service Funds General Obligation Bonds - 2012C G.O. Abatement Bonds Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues General Property Taxes Investment Income Total Revenues: Other Sources Operating Transfers In Total Revenues and Other Sources: Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Redemption of Refunded Bonds Total Expenditures and Other Uses Fund Balance, December 31 $ 35,088 Actual 1 Adopted Estimate 1 Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues General Property Taxes Investment Income Total Revenues: Other Sources Operating Transfers In Total Revenues and Other Sources: Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Redemption of Refunded Bonds Total Expenditures and Other Uses Fund Balance, December 31 $ 35,088 $ 64,809 $ 64,809 $ 196,727 741,093 975,652 975,652 977,332 (5,266) - - - 735,827 975,652 975,652 977,332 - 371,598 371,598 371,598 735,827 1,347,250 1,347,250 1,348,930 770,915 1,412,059 1,412,059 1,545,657 320,000 835,000 835,000 845,000 385,681 379,907 379,907 371,506 425 500 425 500 706,106 1,215,407 1,215, 332 1,217, 006 706,106 1,215,407 1,215, 332 1,217, 006 $ 64,809 $ 196,652 $ 196,727 $ 328,651 Fund: 3405 3 Cost Center: 2012C G.O. Abatement Bonds Department Head: Finance Director Activity Type /Code: Debt Service Debt Service is scheduled as listed below: Year Amount Principal Interest 2016 $ 1,216,506 $ 845,000 $ 371,506 2017 1,213,732 855,000 358,732 2018 1,211,482 870,000 341,482 2019 1,208,932 885,000 323,932 2020 1,215,982 910,000 305,982 2021 1,212,632 925,000 287,632 2022 1,213,932 945,000 268,932 2023 1,209,282 960,000 249,282 2024 1,213,000 985,000 228,000 2025 1,209,356 1,005,000 204,356 2026 1,208,275 1,030,000 178,275 2027 1,205,250 1,055,000 150,250 2028 1,205,147 1,085,000 120,147 2029 1,212,675 1,125,000 87,675 2030 1,213,400 1,160,000 53,400 2031 1,218,000 1,200,000 18,000 $19,387,583 $15,840,000 $ 3,547,583 General Activity Description To account for the payment of principal and interest on long -term debt. Process Used The City sold $19,580,000 of Lease Revenue Bonds in 2004 to finance the construction of a community center. Approximately 50% of the debt will be paid for by a long -term lease arrangement with the YMCA of Minneapolis. The YMCA will run a full service YMCA out of the Community Center building. This issue will be used to advance refund the refunding issues sold in 2006 and 2007 that refunded the 2004 issue. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Debt Service Funds Permanent Improvement Revolving Bonds - 2010A G.O. PIR Refunding Bonds Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 $ 7,889 $ - $ - $ Revenues Investment Income Other Sources Operating Transfers In Actual 1 Adopted 1 Estimate Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 $ 7,889 $ - $ - $ Revenues Investment Income Other Sources Operating Transfers In 380,961 - - - Total Revenues and Other Sources: 380,961 - - - Total Available: 388,850 - - - Expenditures Debt Service Principal 385,000 - - Interest 3,850 - - Other - - - - Total Expenditures: 388,850 - - - Other Uses Operating Transfers Out - - - - Total Expenditures and Other Uses: 388,850 - - - Fund Balance, December 31 $ - $ - $ - $ - D Fund: 3605 Cost Center: 2010A G.O. PIR Refunding Bonds Department Head: Finance Director Activity Type/Code: Debt Service This fund was closed in 2014. General Activity Description To account for the payment of principal and interest on long -term debt. Process Used The City sold $2,450,000 of Permanent Improvement Revolving Bonds in in 2006 to finance improvement projects in the City. This issue will be used to refund a portion of the original issue sold in 2006. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Debt Service Funds State Aid Bonds - 2009A G.O. State Aid Road Refunding Bonds Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Actual Adopted Estimate Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 $ 281,577 $ 109,742 $ 109,742 $ - Revenues Intergovernmental 61,680 - - - Investment Income 1,270 - - Total Revenues: 62,950 - - Other Sources Operating Transfers In - - - Total Revenues and Other Sources: 62,950 - - Total Available: 344,527 109,742 109,742 - Expenditures Debt Service Principal 230,000 60,000 60,000 Interest 4,785 840 840 Other - - - Total Expenditures: 234,785 60,840 60,840 - Other Uses Operating Transfers Out - 47,632 48,902 - Total Expenditures and Other Uses: 234,785 108,472 109,742 Fund Balance, December 31 $ 109,742 $ 1,270 $ - $ �la Fund: 3702 Cost Center: 2009A G.O. State Aid Refunding Bonds Department Head: Finance Director Activity Type /Code: Debt Service This fund will be closed in 2015. General Activity Description To account for the payment of principal and interest on long -term debt. Process Used The City sold $2,755,000 of G.O. State Aid Bonds in 2001 to finance state aid eligible road improvement projects in the City. This issue will be used to refund a portion of the original issue sold in 2001. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Debt Service Funds General Obligation Bonds - 2010A G.O. Open Space Referendum Bonds Statement of Revenues, Expenditures and Changes in Fund Balance LWIR-01 Fund Balance, January 1 Revenues General Property Taxes Investment Income Total Revenues: Other Sources Operating Transfers In Total Revenues and Other Sources Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 191,769 Actual 1 Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues General Property Taxes Investment Income Total Revenues: Other Sources Operating Transfers In Total Revenues and Other Sources Total Available: Expenditures Debt Service Principal Interest Other Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 191,769 $ 207,019 $ 207,019 $ 213,892 187,700 184,238 184,238 186,291 2,765 - - - 190,465 184,238 184,238 186,291 - - - 5,262 190,465 184,238 184,238 191,553 382,234 391,257 391,257 405,445 140,000 145,000 145,000 145,000 34,765 31,915 31,915 28,942 450 500 450 500 175,215 177,415 177,365 174,442 175,215 177,415 177,365 174,442 $ 207,019 $ 213,842 $ 213,892 $ 231,003 CH)y Fund: 3901 Cost Center: 2010A G.O. Open Space Referendum Bonds Department Head: Finance Director Activity Type /Code: Debt Service Debt Service is scheduled as listed below: Year Amount Principal Interest 2016 $ 173,942 $ 145,000 $ 28,942 2017 175,657 150,000 25,657 2018 176,841 155,000 21,841 2019 177,507 160,000 17,507 2020 172,827 160,000 12,827 2021 172,870 165,000 7,870 2022 172,656 170,000 2,656 $ 1,222,300 $ 1,105,000 $ 117,300 General Activity Description To account for the payment of principal and interest on long -term debt. Process Used The City sold $1,660,000 of Open Space Referendum Bonds in 2010 to finance the purchase of land to remain as open space. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA CITY OF ANDOVER, MINNESOTA 2016 ANNUAL BUDGET CAPITAL PROJECTS FUNDS DEFINITION: LI S Capital Projects Funds can be used to account for acquisition or construction of major capital facilities financed mainly with governmental fund resources, general obligation debt, special assessments, special assessment debt, grants, or other resources that are not part of proprietary funds or trust funds. City of Andover Capital Projects Funds 2016 Budget Summary - All Capital Projects Funds Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues General Property Taxes Tax Increments Special Assessments Intergovernmental Investment Income User Charges Miscellaneous Total Revenues: Other Sources Transfers In Bond Proceeds Bond Premium Proceeds from Sale of Capital Assets Total Other Sources: Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Other Services and Charges Capital Outlay Debt Service - Principal Retirement Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses $ 16,893,815 1,303,826 377,733 733,425 2,700,904 517,052 863,817 152,319 6,649,076 415,451 1,555,000 44,278 897,275 2,912,004 9,561,080 26,454,895 161,723 2,984,671 2,779,287 196,719 6,122,400 401,698 19,930,797 $ 19,930,797 $ 19,829,703 1,336,968 20,000 412,000 1,259,573 127,500 255,365 3,411,406 447,632 447,632 3,859,038 23,789,835 156,000 2,812,000 1,367,496 4,335,496 58,249 6,524,098 4,393,745 1,336,968 3,000 450,573 183,770 166,200 527,725 8,160 2,676,396 448,902 1,252,688 1,701,590 4,377,986 24,308,783 179,428 2,813,500 1,231,184 196,719 4,420,831 58,249 4,479,080 1,415,984 1,153,000 813,743 158,400 262,421 2,000 3,805,548 504,123 504,123 4,309,671 24,139,374 340,000 4,193,000 1,535,000 196,719 6,264,719 90,358 6,355,077 Fund Balance, December 31 $ 19,930,797 $ 19,396,090 $ 19,829,703 $ 17,784,297 Actual Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues General Property Taxes Tax Increments Special Assessments Intergovernmental Investment Income User Charges Miscellaneous Total Revenues: Other Sources Transfers In Bond Proceeds Bond Premium Proceeds from Sale of Capital Assets Total Other Sources: Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Other Services and Charges Capital Outlay Debt Service - Principal Retirement Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses $ 16,893,815 1,303,826 377,733 733,425 2,700,904 517,052 863,817 152,319 6,649,076 415,451 1,555,000 44,278 897,275 2,912,004 9,561,080 26,454,895 161,723 2,984,671 2,779,287 196,719 6,122,400 401,698 19,930,797 $ 19,930,797 $ 19,829,703 1,336,968 20,000 412,000 1,259,573 127,500 255,365 3,411,406 447,632 447,632 3,859,038 23,789,835 156,000 2,812,000 1,367,496 4,335,496 58,249 6,524,098 4,393,745 1,336,968 3,000 450,573 183,770 166,200 527,725 8,160 2,676,396 448,902 1,252,688 1,701,590 4,377,986 24,308,783 179,428 2,813,500 1,231,184 196,719 4,420,831 58,249 4,479,080 1,415,984 1,153,000 813,743 158,400 262,421 2,000 3,805,548 504,123 504,123 4,309,671 24,139,374 340,000 4,193,000 1,535,000 196,719 6,264,719 90,358 6,355,077 Fund Balance, December 31 $ 19,930,797 $ 19,396,090 $ 19,829,703 $ 17,784,297 City of Andover (� Capital Projects Funds Water Trunk Fund Statement of Revenues, Expenditures and Changes in Fund Balance Actual Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Special Assessments Investment Income User Charges Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 2,245,932 $ 2,637,713 37,274 60,000 71,236 50,000 487,928 65,150 596,438 175,150 596,438 2,842,370 183,920 183,920 175,150 2,812,863 30,000 30,000 20,737 58,249 204,657 88,249 $ 2,637,713 $ 2,724,614 2,637,713 $ 2,898,551 40,000 30,000 50,000 50,000 261,585 67,756 351,585 147,756 351,585 147,756 2,989,298 3,046,307 32,498 40,000 32,498 40,000 58,249 85,096 90,747 125,096 $ 2,898,551 $ 2,921,211 Fund: 4110 Cost Center: Water Trunk Activity Type /Code: Capital Projects Expenditure Hi2hli2hts Projects planned for 2016 include: New Development Projects $ 40,000 A portion of the connection fee is used to support the Water Treatment Plant and is transferred to the Water Enterprise Fund. Projects for 2015 included: Water Trunk Oversizing - Catcher's Creek $ 32,498 D �� Department Head: City Engineer General Activity Description The Water Trunk Capital Projects Fund accounts for water access fees and trunk improvements as part of development. Process Used The water system is continually reviewed by the Engineering and Water Departments through studies of service, water quality, and future system expansion or improvements. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Capital Projects Funds Sewer Trunk Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Special Assessments Investment Income User Charges Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ 4,918,165 Actual Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Special Assessments Investment Income User Charges Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ 4,918,165 $ 5,541,793 $ 5,541,793 $ 5,995,270 13,219 20,000 27,005 20,000 156,454 50,000 50,000 50,000 188,898 12,415 86,472 12,415 358,571 82,415 163,477 82,415 400,000 400,000 400,000 400,000 758,571 482,415 563,477 482,415 5,676,736 6,024,208 6,105,270 6,477,685 134,943 - - - - 110,000 110,000 110,000 134,943 110,000 110,000 110,000 134,943 110,000 110,000 110,000 $ 5,541,793 $ 5,914,208 $ 5,995,270 $ 6,367,685 Fund: 4120 Cost Center: Sewer Trunk Activity Type /Code: Capital Projects Expenditure Hiehliehts Projects planned for 2016 include: New Development Projects $ 110,000 Projects for 2015 included: Sanitary Sewer Oversizing - Catcher's Creek $ 58,512 Department Head: City Engineer 0 General Activity Desciption The Sewer Trunk Capital Projects Fund accounts for access fees and sanitary sewer improvements. City sewage flows through a pipe and lift station system to a large sewer interceptor, which is then carried to a metro treatment plant. Process Used The Sewer and Engineering Departments continually review the system to determine the proper sizing of pipes and lift stations to process sewage. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover 6 Capital Projects Funds Storm Sewer Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Investment Income User Charges Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ (64,940) $ (64,418) Actual 1 Adopted 1 Estimate 1 Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Investment Income User Charges Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ (64,940) $ (64,418) $ (64,418) $ (63,250) (1,551) - (700) 2,073 - 1,868 522 - 1,168 522 - 1,168 (64,418) (64,418) (63,250) (63,250) $ (64,418) $ (64,418) $ (63,250) $ (63,250) Fund: 4130 Cost Center: Storm Sewer Activity Type /Code: Capital Projects Expenditure 1-liehliehts No expenditures planned for 2016. 9 Department Head: City Engineer General Activity Description The Storm Sewer Capital Projects Fund accounts for storm sewer fees and improvements as part of development and ongoing maintenance. Process Used The storm sewer system is continually reviewed by Public Works and Engineering through studies of storm water runoff and drainage patterns. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover �j 3 Capital Projects Funds Road and Bridge Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Actual Adopted 1 Estimate 1 Adopted Description 2014 2015 2015 2016 7 Fund Balance, January 1 $ 3,114,711 $ 4,998,161 $ 4,998,161 $ 3,805,195 Fund Balance, December 31 Revenues $ 4,840,834 $ 3,805,195 $ 2,669,922 General Property Taxes 1,031,647 1,025,468 1,025,468 1,150,984 Special Assessments 576,993 282,000 302,972 1,053,000 Intergovernmental 2,698,473 1,259,573 171,692 813,743 Investment Income 114,289 - 30,000 25,000 Miscellaneous - _ _ Total Revenues: 4,421,402 2,567,041 1,530,132 3,042,727 Other Sources Transfers In 5,500 47,632 48,902 - Total Revenues and Other Sources: 4,426,902 2,614,673 1,579,034 3,042,727 Total Available: 7,541,613 7,612,834 6,577,195 6,847,922 Expenditures Other Services and Charges 2,026,438 2,772,000 2,772,000 4,178,000 Capital Outlay 517,014 - - _ Total Expenditures: 2,543,452 2,772,000 2,772,000 4,178,000 Other Uses Operating Transfers Out Total Expenditures and Other Uses: 2,543,452 2,772,000 2,772,000 4,178,000 Fund Balance, December 31 $ 4,998,161 $ 4,840,834 $ 3,805,195 $ 2,669,922 Fund: 4140 Cost Center: Road and Bridge Department Head: City Engineer Activity Type /Code: Capital Projects Expenditure Highlights Some of the major 2016 projects are as follows Annual street seal coat $ 460,000 Annual street crack seal 225,000 New / reconstruct routes 693,000 MSA - New / reconstruct routes 2,600,000 Pedestrian trail maintenance 45,000 Pedestrian trail reconstruction 50,000 Annual pavement markings 40,000 Gravel road improvements 15,000 Curb replacement 50,000 $ 4,178,000 Some of the major 2015 projects are as follows: Annual street seal coat $ 480,000 Annual street crack seal 285,000 Annual street mill and overlay 600,000 MSA - New / reconstruct routes 1,259,000 Pedestrian trail maintenance 70,000 Annual pavement markings 33,000 Curb Replacement 45,000 $ 2,772,000 General Activity Description The Road and Bridge Fund accounts for road projects and the Pavement Management Program. Process Used Construction projects are identified by the capital improvement process and contained in the five -year Capital Improvement Plan (CIP). The council approves the CIP annually, thereby initiating a process of feasibility study, preparation of plans and specifications, public hearings, ordering of the project, bidding the project and construction. This fund also accounts for the pavement management program, which includes annual seal coating, crack sealing and overlays for roads. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Capital Projects Funds Park Dedication Projects Statement of Revenues, Expenditures and Changes in Fund Balance 55 Fund Balance, January 1 Revenues General Property Taxes Investment Income User Charges Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 343,151 61,460 8,846 156,384 226,690 226,690 569,841 44,784 190,491 235,275 $ 334,566 Actual Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues General Property Taxes Investment Income User Charges Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 343,151 61,460 8,846 156,384 226,690 226,690 569,841 44,784 190,491 235,275 $ 334,566 $ 334,566 $ 327,566 61,500 61,500 15,000 - 1,000 - 140,500 140,500 144,950 202,000 203,000 159,950 202,000 203,000 159,950 536,566 537,566 487,516 15,000 15,000 15,000 195,000 195,000 258,000 210,000 210,000 273,000 235,275 210,000 $ 334,566 $ 326,566 210,000 273,000 $ 327,566 $ 214,516 Fund: 4150 Cost Center: Park Dedication Projects Activity Type /Code: Capital Projects Expenditure Highlights 2016 Projects include: Annual Miscellaneous Projects $ 15,000 Timber Trails Park Renovation 200,000 Terrace Park - Irrigation & Water Service 35,000 Sunshine Park - Scoreboard Wiring & Design 23,000 Fencing Upgrades - Ballfield Safety Initiatives $ 273,000 2015 Projects included: Annual Miscellaneous Projects $ 15,000 Irrigation Project - Small 20,000 Pine Hills North - Phase II 70,000 Kelsey Round Lake Park Master Plan 50,000 Fencing Upgrades - Ballfield Safety Initiatives 25,000 Crooked Lake School Hockey Rink 10,000 Langseth Park Trail Improvement 20,000 210,000 506 Department Head: City Engineer General Activity Desciption The Park Dedication Fund accounts for contributions associated with land development to be used for constructing and upgrading the City's park system. Process Used The Park and Recreation Commission evaluates the needs of the community with regard to park and recreation facilities. Recommendations are made to the City Council and projects are then placed into the annual City Capital Improvement Plan. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Capital Projects Funds Building Fund Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Proceeds from Sale of Capital Assets Total Other Sources: Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Capital Outlay Miscellaneous Debt Service - Principal Retirement Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ 1,092,916 Actual 1 Adopted Estimate 1 Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Proceeds from Sale of Capital Assets Total Other Sources: Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Capital Outlay Miscellaneous Debt Service - Principal Retirement Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ 1,092,916 $ 886,411 $ 886,411 $ 830,695 28,495 6,000 6,000 6,000 - - 6,200 - 28,495 6,000 12,200 6,000 9,951 - - 104,123 - - 128,803 - 9,951 - 128,803 104,123 38,446 6,000 141,003 110,123 1,131,362 892,411 1,027,414 940,818 48,232 - - - - 200,000 - 196,719 - 196,719 196,719 244,951 200,000 196,719 196,719 244,951 200,000 196,719 196,719 $ 886,411 $ 692,411 $ 830,695 $ 744,099 Fund: 4160 Cost Center: Building Fund Activity Type /Code: Capital Projects Expenditure Hiahliahts In 2013, the City has signed a contract for deed to take down some land adjacent to the city hall / public works campus. As part of that agreement, annual payments will be made starting in 2013 with final payment in 2018. 2016 196,719 2017 196,719 2018 196,719 $ 590,157 Department Head: Finance Director General Activity Description (:5 The Building Fund accounts for miscellaneous building improvement projects for all facilities, including land acquisitions. Process Used Facilities are reviewed annually for non - recurring repairs or for future facility needs. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Capital Projects Funds Trail & Transportation Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Investment Income User Charges Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ 106,678 Actual 1 Adopted Estimate Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Investment Income User Charges Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ 106,678 $ 134,963 $ 134,963 $ 149,235 3,526 - 400 400 28,534 37,300 37,300 37,300 32,060 37,300 37,700 37,700 32,060 37,300 37,700 37,700 138,738 172,263 172,663 186,935 3,775 - 23,428 - - - - 357,000 3,775 - 23,428 357,000 3,775 - 23,428 357,000 $ 134,963 $ 172,263 $ 149,235 $ (170,065) r Fund: 4170 Cost Center: Trail & Transportation Activity Type /Code: Capital Projects Expenditure Hiehliahts Projects planned for 2016 include: 8' Bituminous trail along Crosstown Blvd - Coon Creek bridge to South Coon Creek Drive - $118,000 5' Concrete sidewalk along Bunker Lake Blvd - Yukon St to Hidden Creek Park North - $52,000 5' Concrete sidewalk along Bunker Lake Blvd - Crosstown Blvd to Yukon St - $187,000 No projects planned for 2015. 6� Department Head: Dir of PW I City Engineer General Activity Description The Trail and Transportation Capital Projects Fund accounts for contributions associated with land development to be used for constructing and upgrading the City's Trail System. Process Used The Park and Recreation Commission evaluates the needs of the community with regard to trail facilities. Recommendations are made to the City Council and projects are then placed into the annual City Capital Improvement Plan. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Capital Projects Funds DG, Capital Equipment Reserve Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues General Property Taxes Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Proceeds from Sale of Capital Assets Total Other Sources: Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ 687,274 Actual 1 Adopted Estimate 1 Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues General Property Taxes Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Proceeds from Sale of Capital Assets Total Other Sources: Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ 687,274 $ 861,635 $ 861,635 $ 976,027 210,719 250,000 250,000 250,000 21,935 2,000 4,000 4,000 78,037 - 1,960 2,000 310,691 252,000 255,960 256,000 - - 114,432 - - 114,432 - 310,691 252,000 370,392 256,000 997,965 1,113, 635 1,232,027 1,232,027 114,482 156,000 156,000 340,000 21,848 100,000 100,000 20,000 136,330 256,000 256,000 360,000 136,330 256,000 256,000 360,000 $ 861,635 $ 857,635 $ 976,027 $ 872,027 r Fund: 4180 Cost Center: Capital Equipment Reserve Activity Type /Code: Capital Projects Expenditure Highlights Projects outlined in the 2016 - 2020 CIP for year 2016 using the Capital Equipment Reserve Capital Projects Fund include: Using 2015 Capital Projects Reserve / levy: Annual Parking Lot Maintenance $ 30,000 Public Works /Community Center Master Planning 25,000 Replacement - SCBA's 250,000 Add / Replace server 20,000 Replacement - 800 MHz Radios 35,000 $ 360,000 Using 2015 Capital Projects Reserve / levy Annual Parking Lot Maintenance $ 28,000 Repair /Replace Play Structures - Parks 50,000 Repair /Replace Major Park Projects - Parks 25,000 Replacement - Carpet / Tile 10,000 Building A - Seal Floor 20,000 Public Works /Community Center Master Planning 25,000 Replacement - Turnout Gear 18,000 Microsoft DataCenter & CAL's License 15,000 Microsoft Office Upgrade 15,000 Crooked Lake School Hockey Rink 50,000 $ 256,000 Department Head: Finance Director General Activity Description Resources for this fund come from residual fund transfers, interest earnings, and, in 2015 and 2016, a $250,000 property tax (capital) levy. Process Used During 2015 and 2016 budget processes, it was determined that various capital expenditures were necessary. The Andover Management Team and Andover Vehicle Purchasing Committee reviewed departmental needs and prioritized capital needs. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover 0�-3 Capital Projects Funds 2012A G.O. Equipment Certificates Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 $ 50,552 $ - $ - $ Revenues Investment Income Other Sources Proceeds from Sale of Capital Assets Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 50,552 50,552 50,552 50,552 Actual 1 Adopted 1 Estimate 1 Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 $ 50,552 $ - $ - $ Revenues Investment Income Other Sources Proceeds from Sale of Capital Assets Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 50,552 50,552 50,552 50,552 Fund: 4211 Cost Center: 2012A G.O. Capital Notes Activity Type /Code: Capital Projects Expenditure Hiehliehts This fund was closed in 2014. The following is a list of equipment purchased with the 2012 Capital Note. Vehicle / Equipment Replacements: Fire Chiefs Vehicle $ 45,000 Rescue #11 55,000 Hydraulic Rescue Cutters 13,000 10 ft. Wide Trail Mower #583 65,000 New Vehicle / Equipment Thermal Imaging Camera 20,000 Front -End Loader 140,000 Cab and Snowblower Attachment 4,500 Trail Plow Attachment 5,600 $ 348,100 With interest rates being low, additional items were added to eliminate the need for another issuance in 2013. Vehicle / Equipment Replacements: Trailer #T -554 $ 10,000 One -Ton Truck w/ Plow #599 65,000 Ditch Mowing Tractor w/ Mowers #115 90,000 One -Ton Truck w/ Plow #132 65,000 $ 230,000 $ 578,100 Department Head: Finance Director 9 General Activity Description This fund accounts for major capital equipment purchases. Resources for the capital equipment come from the issuance of equipment notes. The notes are typically of a 5 -year duration and debt service is funded via the annual tax levy. Process Used During the 2012 budget process it was determined that various capital equipment was necessary. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover v Capital Projects Funds 2014 G.O. Equipment Certificates Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Investment Income Other Sources Bond Proceeds Bond Premium Total Other Sources: Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Capital Outlay Total Expenditures: Other Uses Bond Discount Total Other Uses Total Expenditures and Other Uses Fund Balance, December 31 $ - Actual 1 Adopted Estimate 1 Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Investment Income Other Sources Bond Proceeds Bond Premium Total Other Sources: Total Revenues and Other Sources: Total Available: Expenditures Purchased Services Capital Outlay Total Expenditures: Other Uses Bond Discount Total Other Uses Total Expenditures and Other Uses Fund Balance, December 31 $ - $ 112,513 $ 112,513 $ - 6,347 - 1,000 - 1,555,000 - - 44,278 - - 1,599,278 - - 1,605,625 - 1,000 1,605, 625 112,513 113,513 - 35,040 - - - 1,458,072 113,513 - 1,493,112 113,513 - 113,513 - 1,493,112 $ 112,513 $ 112,513 $ - $ Fund: Cost Center: Activity Type /Code: 4212 2014 G.O. Capital Notes Capital Projects Expenditure HiQhliehts The following is a list of equipment purchased with a 2014 Capital Note. Capital Note. Vehicle / Equipment Replacements: New- Mobile Vehicle Lifts $ 24,000 Survey Equipment 32,000 Replacement - Ladder Truck #11 1,100,000 Replacement - Bobcat #610 36,000 Replacement - Dump Truck w/ Snow Removal Equipment 150,000 Replacement - Fire Utility #4 32,000 Replacement - Fire Utility #5 32,000 Replacement - Toro Groundmaster #559 35,000 Replacement - One Ton Truck w/ Plow #503 65,000 New - Snowblower Attachment - Belos 23,000 Replacement - Snowblower Attachment - Bobcat 7,000 New - Add Rear Wing to Plow Truck 30,000 $ 1,566,000 This fund will be closed in 2015. 6E Department Head: Finance Director General Activity Description This fund accounts for major capital equipment purchases. Resources for the capital equipment come from the issuance of equipment notes. The notes are typically of a 5 -year duration and debt service is funded via the annual tax levy. Process Used During the 2014 budget process it was determined that various capital equipment was necessary. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Capital Projects Funds Tax Increment Projects Statement of Revenues, Expenditures and Changes in Fund Balance �7 Fund Balance, January 1 Revenues Tax Increments Special Assessments Intergovernmental Investment Income Miscellaneous Total Revenues: Other Sources Proceeds from Sale of Capital Assets Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 2,657,590 Actual Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Tax Increments Special Assessments Intergovernmental Investment Income Miscellaneous Total Revenues: Other Sources Proceeds from Sale of Capital Assets Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 2,657,590 $ 3,546,286 $ 3,546,286 $ 4,065,817 377,733 20,000 3,000 - 3,559 - - 2,431 - 12,078 - 77,119 15,000 20,000 20,000 74,282 - - - 535,124 35,000 35,078 20,000 897,275 - 1,009,453 - 1,432,399 35,000 1,044,531 20,000 4,089,989 3,581,286 4,590,817 4,085,817 543,703 25,000 25,000 - - 500,000 500,000 750,000 543,703 525,000 525,000 750,000 543,703 525,000 525,000 750,000 $ 3,546,286 $ 3,056,286 $ 4,065,817 $ 3,335,817 Fund: 4501 Cost Center: Tax Increment Projects Activity Type /Code: Capital Projects Expenditure Highlights 2016 Budgeted expenditures include: Redevelopment Site Purchases 2015 Budgeted expenditures include: Administration Redevelopment Site Purchases $ 750,000 $ 25,000 500,000 $ 525,000 TIF District 1 -1 was decertified in 2012 and TIF District 1 -2 was decertified in 2014. Department Head: Finance Director General Activity Description The Tax Increment Projects Fund accounts for activities in TIF districts 1 -1, 1 -2, 1 -3, 1 -4, 1 -5 and 1 -6 and all TIF land sales and expenditures to reach the goals of the TIF district plans. Process Used Promotion and expansion of the commercial / industrial tax base through redevelopment of land. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Capital Projects Funds Permanent Improvement Revolving Statement of Revenues, Expenditures and Changes in Fund Balance 0 Fund Balance, January 1 Revenues Special Assessments Investment Income Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ 968,636 $ 705,751 $ 705,751 102,380 50,000 80,596 18,347 3,000 3,000 120,727 53,000 83,596 120,727 11,089,363 2,651 380,961 383,612 $ 705,751 $ 787,847 50,000 3,000 53,000 53,000 83,596 53,000 758,751 789,347 840,847 - 1,500 - - 1,500 - $ 758,751 $ 787,847 $ 840,847 Actual Adopted Estimate Adopted Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Special Assessments Investment Income Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Other Services and Charges Other Uses Operating Transfers Out Total Expenditures and Other Uses: Fund Balance, December 31 $ 968,636 $ 705,751 $ 705,751 102,380 50,000 80,596 18,347 3,000 3,000 120,727 53,000 83,596 120,727 11,089,363 2,651 380,961 383,612 $ 705,751 $ 787,847 50,000 3,000 53,000 53,000 83,596 53,000 758,751 789,347 840,847 - 1,500 - - 1,500 - $ 758,751 $ 787,847 $ 840,847 r Fund: 4601 Cost Center: Permanent Improvement Revolving Activity Type /Code: Capital Projects Expenditure Hiehliehts No major expenditures are planned for 2016. The transfer for debt service in 2014 paid off the remaining PIR bonds. Department Head: Finance Director General Activity Description The Permanent Improvement Revolving (PIR) Fund serves as a long -term funding source for large capital improvement expenditures. Process Used The City has issued four bonds totaling $15.4 million thru 2008 in the PIR Fund for large capital projects. This fund has collected $18.99 million of special assessments over the past 14 years. The annual cash flow of this fund is intended to eliminate unfunded projects through effective management of debt payments and project expenditures. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover �% Capital Projects Funds 2010A G.O. Open Space Referendum Bonds Statement of Revenues, Expenditures and Changes in Fund Balance Fund Balance, January 1 Revenues Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources Total Available Expenditures Purchased Services Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 773,150 Actual Adopted Estimate 1 Adopted 1 Description 2014 2015 2015 2016 Fund Balance, January 1 Revenues Investment Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources Total Available Expenditures Purchased Services Capital Outlay Total Expenditures: Other Uses Operating Transfers Out Total Expenditures and Other Uses Fund Balance, December 31 $ 773,150 $ 235,423 $ 235,423 $ 5,262 12,009 1,500 1,500 - 12,009 1,500 1,500 - 12,009 1,500 1,500 - 785,159 236,923 236,923 5,262 8,426 - - - 541,310 232,496 231,661 - 549,736 232,496 231,661 - - - - 5,262 549,736 232,496 231,661 5,262 $ 235,423 $ 4,427 $ 5,262 $ - Fund: 4901 Cost Center: 2010A G.O.Open Space Referendum Bonds Activity Type /Code: Capital Projects Exuenditure HiQhlithts Over the past four years, four parcels have been purchased for the preservation of open space in the City of Andover. The remaining funds ($5,262) will be transferred to the Open Space Referendum Bonds Debt Service Fund to assist in the debt payments. Department Head: Finance Director 0 General Activity Description This fund is used to finance various land acquisitions for open space preservation within the City of Andover through the use of G.O. Open Space Referendum Bonds. Process Used An Open Space Advisory Commission has been created to establish both short and long term goals, in addition to, determining the criteria for which to acquire open space. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA CITY OF ANDOVER, MINNESOTA 2016 ANNUAL BUDGET ENTERPRISE FUNDS DEFINITION: `73 Governments establish enterprise funds to account for activities that consist of rendering services or providing goods to the public for which a fee or charge is collected. City of Andover Enterprise Funds 2016 Budget Summary - All Enterprise Funds Statement of Revenues, Expenditures and Changes in Fund Net Assets Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Meters Permits Penalties Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Personal Services Supplies and Materials Other Services and Charges Capital Outlay Debt Service Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 6,237,200 $ 6,606,934 4,823,394 115,425 12,592 3,425 560 55,978 5,011,374 20,737 5,032,111 11,269,311 915,923 197,815 2,122, 902 828,807 4,065,447 596,930 4,662,377 4,954,705 57,000 13,000 3,500 16,000 67,000 5,111,205 58,249 5,169,454 11,776,388 972,417 280,200 2,051,624 99,500 831,487 4,235,228 596,930 4,832,158 $ 6,606,934 4,894,705 57,000 13,000 3,500 16,000 67,000 5,051,205 58,249 5,109,454 11,716,388 972,417 254,350 2,018,064 99,500 831,487 4,175,818 596,930 4,772,748 d Dq I Adopted 2016 $ 6,943,640 4,895,000 56,000 13,000 3,500 16,000 67,000 5,050,500 85,096 5,135,596 12,079,236 1,020,809 289,200 2,192,448 833,101 4,335,558 596,930 4,932,488 $ 6,606,934 $ 6,944,230 $ 6,943,640 $ 7,146,748 Actual Adopted Estimate Description 2014 2015 2015 Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Meters Permits Penalties Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Personal Services Supplies and Materials Other Services and Charges Capital Outlay Debt Service Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 6,237,200 $ 6,606,934 4,823,394 115,425 12,592 3,425 560 55,978 5,011,374 20,737 5,032,111 11,269,311 915,923 197,815 2,122, 902 828,807 4,065,447 596,930 4,662,377 4,954,705 57,000 13,000 3,500 16,000 67,000 5,111,205 58,249 5,169,454 11,776,388 972,417 280,200 2,051,624 99,500 831,487 4,235,228 596,930 4,832,158 $ 6,606,934 4,894,705 57,000 13,000 3,500 16,000 67,000 5,051,205 58,249 5,109,454 11,716,388 972,417 254,350 2,018,064 99,500 831,487 4,175,818 596,930 4,772,748 d Dq I Adopted 2016 $ 6,943,640 4,895,000 56,000 13,000 3,500 16,000 67,000 5,050,500 85,096 5,135,596 12,079,236 1,020,809 289,200 2,192,448 833,101 4,335,558 596,930 4,932,488 $ 6,606,934 $ 6,944,230 $ 6,943,640 $ 7,146,748 City of Andover Enterprise Funds / Water Statement of Revenues, Expenditures and Changes in Fund Net Assets Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Meters Permits Penalties Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources Total Available: Expenditures Personal Services Supplies and Materials Other Services and Charges Capital Outlay Debt Service Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses Unrestricted Net Assets, December 31 $ 2,521,106 $ 2,795,147 $ 2,795,147 $ 3,006,987 2,286,243 45,394 12,592 3,425 171 54,838 2,402,663 20,737 2,423,400 4,944,506 418,313 163,797 588,192 828,807 1,999,109 150,250 2,149, 359 $ 2,795,147 2,397,686 15,000 13,000 3,500 6,000 67,000 2,502,186 2,337,686 15,000 13,000 3,500 6,000 67,000 2,442,186 58,249 Actual 1 Adopted Estimate 1 Adopted Description 2014 2015 2015 2016 Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Meters Permits Penalties Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources Total Available: Expenditures Personal Services Supplies and Materials Other Services and Charges Capital Outlay Debt Service Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses Unrestricted Net Assets, December 31 $ 2,521,106 $ 2,795,147 $ 2,795,147 $ 3,006,987 2,286,243 45,394 12,592 3,425 171 54,838 2,402,663 20,737 2,423,400 4,944,506 418,313 163,797 588,192 828,807 1,999,109 150,250 2,149, 359 $ 2,795,147 2,397,686 15,000 13,000 3,500 6,000 67,000 2,502,186 2,337,686 15,000 13,000 3,500 6,000 67,000 2,442,186 58,249 58,249 2,560,435 2,500,435 5,355,582 5,295,582 431,808 222,200 677,400 4,500 831,487 2,167,395 150,250 2,317,645 431,808 200,050 670,500 4,500 831,487 2,138, 345 150,250 2,327,984 15,000 13,000 3,500 6,000 67,000 2,432,484 85,096 2,517,580 5,524,567 454,771 229,700 703,800 833,101 2,221,372 150,250 2,288,595 2,371,622 $ 3,037,937 $ 3,006,987 $ 3,152,945 Fund: 5100 Cost Center: Water Activity Type /Code: Enterprise Fund Expenditure I1i2hli2hts No major changes planned in 2016. Department Head: Utility Supervisor 560 General Activity Description Operate and maintain the City's water system including WTP, wells, towers and water mains. Provide a continuous, potable, bacteria free water supply at proper pressure levels. Maintain customer water meters and respond to other service requests. Maintain water distribution for fire protection system needs. Conform to all State and Federal monitoring rules, provide tours and information to the public. Process Used Operate wells and WTP in a manner that ensures a safe, clean and adequate water supply, that will meet peak daily demands and fire protection demands. Maintain wells, treatment facility, and related infrastructure. Operate and maintain chemical feed equipment. Collect, analyze and record water samples daily. Maintain, test and repair water meters. Respond to emergencies 24 hours a day. Work with contractors to locate watermains, locate and operate gate valves, monitor tests during final inspections. Check WTP, 8 wells, 7 days a week, 365 days per year. Flush all watermains in the spring every other year. Maintain all hydrants. Locate operate and clean gate valves to ensure proper operation. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Enterprise Funds Sanitary Sewer Statement of Revenues, Expenditures and Changes in Fund Net Assets Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Penalties Miscellaneous Total Revenues: Other Sources Gain on the Sale of Capital Assets Total Revenues and Other Sources Total Available Expenditures Personal Services Supplies and Materials Other Services and Charges Capital Outlay Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 3,358,463 $ 3,642,961 2,116,453 68,248 389 782 2,185, 872 2,185, 872 5,544,335 301,695 10,446 1,142,553 1,454,694 2,134,919 40,000 10,000 2,184,919 2,184,919 5,827,880 329,036 29,800 1,182,439 90,500 1,631,775 $ 3,642,961 Actual 1 Adopted Estimate Adopted Description 2014 2015 2015 2016 Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Penalties Miscellaneous Total Revenues: Other Sources Gain on the Sale of Capital Assets Total Revenues and Other Sources Total Available Expenditures Personal Services Supplies and Materials Other Services and Charges Capital Outlay Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 3,358,463 $ 3,642,961 2,116,453 68,248 389 782 2,185, 872 2,185, 872 5,544,335 301,695 10,446 1,142,553 1,454,694 2,134,919 40,000 10,000 2,184,919 2,184,919 5,827,880 329,036 29,800 1,182,439 90,500 1,631,775 $ 3,642,961 $ 3,754,435 2,134,919 2,142,281 40,000 40,000 10,000 10,000 2,184,919 2,192,281 2,184,919 2,192,281 5,827,880 5,946,716 329,036 345,663 28,200 31,300 1,179,029 1,316,313 90,500 - 1,626,765 1,693,276 446,680 446,680 446,680 446,680 1,901,374 2,078,455 2,073,445 2,139,956 $ 3,642,961 $ 3,749,425 $ 3,754,435 $ 3,806,760 I Fund: 5200 Cost Center: Sanitary Sewer Activity Type /Code: Enterprise Fund Expenditure HiQhliehts In 2016, the Metropolitan Waste Water Charge to Metropolitan Council increased 13% ($127,474). 2015 included the purchase of new televising equipment. Department Head: Utility Supervisor General Activity Desciution City sewage is collected through a pipe and lift station network to large Metro City Sewer interceptor pipes that carry it to the Metro Treatment Plant for processing. The sewer division inspects, cleans, and maintains the City's collection system which includes breaks in pipes, manholes, and lift stations. Sewer backups caused by blockage due to debris or breaks in pipe are cleaned and /or repaired immediately. This department maintains the integrity of the entire sanitary sewer system. Process Used Inspect all lift stations five days per week. Clean one - quarter of the City's sewer collection system via jetting and vacuuming each year. City has implemented a televising program of the collection system that analyzes the entire system over a five year period. A spot check program checks flows in problem areas. Start 1/1 program to monitor inflow and infiltration into sewer system. Clean known problem area once per month. Monitor inspection and testing of all new sewer lines and manholes before accepting from contractor. Respond to and record all requests from customers, respond to emergencies 24 hours a day. Contract out all major system repairs. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Enterprise Funds Storm Sewer Statement of Revenues, Expenditures and Changes in Fund Net Assets 6) Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Personal Services Supplies and Materials Other Services and Charges Capital Outlay Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 357,631 420,698 1,783 358 $ 168,826 422,100 2,000 168,826 422,100 2,000 $ 182,218 424,735 1,000 422,839 424,100 424,100 425,735 422,839 Actual 1 Adopted 1 Estimate 1 Adopted Description 2014 2015 2015 2016 Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures Personal Services Supplies and Materials Other Services and Charges Capital Outlay Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 357,631 420,698 1,783 358 $ 168,826 422,100 2,000 168,826 422,100 2,000 $ 182,218 424,735 1,000 422,839 424,100 424,100 425,735 422,839 424,100 424,100 425,735 780,470 592,926 592,926 607,953 195,915 211,573 211,573 220,375 23,572 28,200 26,100 28,200 392,157 191,785 168,535 172,335 - 4,500 4,500 - 611,644 436,058 410,708 420,910 611,644 436,058 410,708 420,910 $ 168,826 $ 156,868 $ 182,218 $ 187,043 tr Fund: 5300 Cost Center: Storm Sewer Activity Type /Code: Enterprise Fund Expenditure Highlights No major changes planned in 2016. the 3rd Generation Storm Water Plan was completed in 2015. V� Department Head: Utility Supervisor General Activi�Descriotion Maintenance of all storm sewers, catch basins, manholes, pipes, ditches, and sediment ponds. Process Used The ditches are cleaned with a backhoe for better drainage and to avoid the ponding of stagnant water. This dirt is hauled away or dumped in low places on ditch banks. When it is dumped on site, it becomes necessary to level and grade the banks to facilitate proper mowing. All catch basins and pipes are cleaned with a vac truck. The material is then hauled away for proper disposal. Occasional use of outside contractors to maintain parts of the system. Televising a portion of the system each year to help comply with new federal regulations. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA CITY OF ANDOVER, MINNESOTA 2016 ANNUAL BUDGET INTERNAL SERVICE FUNDS DEFINITION: ■ Internal Service Funds are used to account for goods and services that are provided to other City departments, or to other governments, on a cost reimbursement basis. City of Andover Internal Service Funds 2016 Budget Summary - All Internal Service Funds Statement of Revenues, Expenditures and Changes in Unrestricted Net Assets EP Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures and Other Uses Personal Services Supplies and Materials Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 677,192 Actual Adopted 1 Estimate Adopted 1 Description 2014 2015 2015 2016 Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures and Other Uses Personal Services Supplies and Materials Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 677,192 $ 613,684 $ 613,684 $ 560,071 1,078,928 1,111,844 1,111,844 1,111,844 12,296 1,500 1,500 1,500 123,144 - - - 1,214,368 1,113, 344 1,113, 344 1,113, 344 1,214, 368 1,113, 344 1,113, 344 1,113, 344 1,891,560 1,727,028 1,727,028 1,673,415 376,250 391,930 399,213 422,009 397,664 386,950 386,950 388,010 503,962 359,872 380,794 360,122 1,277, 876 1,138, 752 1,166,957 1,170,141 1,277, 876 1,138, 752 1,166,957 1,170,141 $ 613,684 $ 588,276 $ 560,071 $ 503,274 City of Andover LV Internal Service Funds Central Equipment Maintenance Statement of Revenues, Expenditures and Changes in Fund Net Assets Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available Expenditures and Other Uses Personal Services Supplies and Materials Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 359,993 Actual Adopted Estimate -T Adopted Description 2014 2015 2015 2016 Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available Expenditures and Other Uses Personal Services Supplies and Materials Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 359,993 $ 322,692 $ 322,692 $ 322,705 699,603 720,592 720,592 720,592 7,156 500 500 500 5,250 - - - 712,009 721,092 721,092 721,092 712,009 721,092 721,092 721,092 1,072,002 1,043,784 1,043, 784 1,043,797 233,649 239,097 239,097 258,548 367,551 360,960 360,960 360,960 148,110 121,022 121,022 121,272 749,310 721,079 721,079 740,780 749,310 721,079 721,079 740,780 $ 322,692 $ 322,705 $ 322,705 $ 303,017 Fund: 6100 Cost Center: Central Equipment Activity Type /Code: Internal Service Fund Expenditure Hi2hliehts The primary increase in 2016 is the reallocation of staffing from Recycling to Central Equipment. 16] Department Head: Vehicle Maintenance Supervisor General Activity Description Maintains and repairs all City motorized and non - motorized vehicles and equipment to provide safe operation. Evaluates equipment needs, orders equipment/vehicles and writes specifications. The department maintains nearly 500 pieces of equipment, in addition to normal preventative maintenance procedures of tires, brakes, electrical, fabricating and body work. All work; except automatic transmission overhauls, major engine and major body work are done at the Public Works garage. Staff inspects garbage trucks as part of their licensure process, and performs commercial vehicle inspections required on all applicable City vehicles. Process Used City equipment is scheduled for normal service by miles driven or hours /days of service. Most work is done based on a first -in- first -out with the exception of that emergency repairs are done in the order of importance. Emergency equipment are fire vehicles and snow plow equipment, streets, utilities, and parks. Non - emergency equipment are the Building and Engineering departments, Planning and Zoning department and all other city equipment. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA City of Andover Internal Service Funds Risk Management Statement of Revenues, Expenditures and Changes in Unrestricted Net Assets 5S Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures and Other Uses Personal Services Supplies and Materials Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 317,199 Actual Adopted Estimate 1 Adopted Description 2014 2015 2015 2016 Unrestricted Net Assets, January 1 Revenues Charges for Services Interest Income Miscellaneous Total Revenues: Other Sources Transfers In Total Revenues and Other Sources: Total Available: Expenditures and Other Uses Personal Services Supplies and Materials Other Services and Charges Total Expenditures: Other Uses Transfers Out Total Expenditures and Other Uses: Unrestricted Net Assets, December 31 $ 317,199 $ 290,992 $ 290,992 $ 237,366 379,325 391,252 391,252 391,252 5,140 1,000 1,000 1,000 117,894 - - - 502,359 392,252 392,252 392,252 502,359 392,252 392,252 392,252 819,558 683,244 683,244 629,618 142,601 152,833 160,116 163,461 30,113 25,990 25,990 27,050 355,852 238,850 259,772 238,850 528,566 417,673 445,878 429,361 528,566 417,673 445,878 429,361 $ 290,992 $ 265,571 $ 237,366 $ 200,257 Fund: 6200 Cost Center: Risk Management Activity Type /Code: Internal Service Fund Expenditure Highlights No major changes planned for 2016. 2014 included a some property damage claims: knock down of a stop light, roof collapse, frozen pipes, etc (9) Department Head: Finance Director General Activity Desciption The Risk Management Fund was established to provide funding for compensated absences, safety, training, loss reduction and insurance premium deductibles. Social security and Medicare tax savings resulting from participation in the "cafeteria plan" are recorded in this fund on an annual basis. This fund also functions to mitigate significant rate increases or decreases. Departmental rates are managed by analyzing claims history. Process Used The City Administrator / Finance Director along with the Human Resources Manager promote various safety and wellness programs with the funding received. One of the most notable products is the wellness fitness room. Safety training is provided both in -house and by contracting for service. The city works through a broker and is provided insurance for general liability, automotive and workers' compensation through the League of MN Cities Insurance Trust. ADOPTED 2016 BUDGET CITY OF ANDOVER, MINNESOTA CITY OF ANDOVER l/ Sanitary Sewer System Financial Projections Estimate Forecast Year 2011 2012 2013 1014 2015 2016 2017 2018 2019 2020 Inflation Factor 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% 3.0% Acres Added 5 5 5 5 5 5 New Connections 10 10 10 10 10 10 New Customers 35 35 35 35 35 35 Residential Accounts 7,025 7,093 7,130 7,301 7,511 Commercial SACS 1,403 1,411 1,479 1,499 1,517 Total Accounts 8,428 8,504 8,609 8,800 9,028 9,063 9,098 9,133 9,168 9,203 0.84% 0.90% 1.23% 2.22% 4.87% Rates Base Rate $57.64 $59.37 $59.37 $59.37 $59.37 $59.37 $61.15 $62.99 $64.88 $66.82 Connection Charge $418 $435 $435 $435 $435 $435 $452 $470 $489 $509 Area Charge $1,551 $1,613 $1,613 $1,613 $1,613 $1,613 $1,678 $1,745 $1,814 $1,887 Base Rate 0.0% 3.0% 0.0% 0.0% 0.0% 0.0% 3.0% 3.0% 3.0% 3.0% Connection/Area 0.0% 4.1% 0.0% 0.00% 0.0% 0.0% 4.0% 4.0% 4.0% 4.0% Area Charge 0.0% 4.0% 0.0% 0.0% 0.0% 0.0% 4.0% 4.0% 4.0% 4.0% Estimate Forecast [Enterprise Fund - Sanitary Sewer Operations 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Cash flows from operating activities: Receipts from customers and users $ 1,996,971 $ 2,035,033 $ 1,964,283 $ 1,938,680 $ 2,144,919 $ 2,152,281 $ 2,225,411 $ 2,300,991 $ 2,379,103 $ 2,459,832 Payment to suppliers (1,146,334) (1,051,249) (1,182,075) (1,156,406) (1,207,229) (1,320,648) (1,360,267) (1,401,075) (1,443,108) (1,486,401) Payment to employees (280,371) (294,583) (287,648) (295,075) (329,036) (345,663) (356,033) (366,714) (377715) (389047) Net from operating activities 570,266 689,201 494,560 487,199 608,654 485,970 509,111 533,202 558,280 584,384 Cash flows from noncapital financing activities: Transfers out - Replacement Reserve (400,000) (400,000) (400,000) (400,000) (400,000) (400,000) (400,000) (400,000) (400,000) (400,000) Transfers out (46,680) (46,680) (46,680) (46,680) (46,680) (46,680) (48,080) (49,523) (51,008) (52,539) Net from noncapital financing activities (446,680) (446,680) (446,680) (446,680) (446,680) (446,680) (448,080) (449,523) (451,008) (452,539) Cash flows from capital and related financing activities: Acquisition of capital assets - (4,482) (54,573) - (90,500 ) (245,000) (98,000) - _ Proceeds from the sale of capital assets 5,500 - 4,000 Net from capital and related financing activities 5,500 (4,482) (50,573) - (90,500) (245,000) (98,000) - - Cash flows from investing activities: Investment income 63,175 45,390 (15,205) 68,423 40,000 40,000 40,000 40,000 40,000 40,000 Net increase in cash and cash equivalents 192,261 283,429 (17,898) 108,942 111,474 79,290 (143,970) 25,679 147,272 171,845 Cash and cash equivalents - January I 2,216,663 2,408,924 2,692,353 2,674,455 2,783,397 2,894,871 2,974,161 2,830,191 2,855,870 3,003,142 Cash and cash equivalents - December 31 $ 2,408,924 $ 2,692,353 $ 2,674,455 $ 2,783,397 $ 2,894,871 $ 2,974,161 $ 2,830,191 $ 2,855,870 $ 3,003,142 $ 3,174,987 1 Capital Projects Fund - Sewer Trunk Revenues Connection Charges Area Charges Interest Special Assessment Replacement Reserve Bond Proceeds Other Total Expenses Debt Service Capital Outlay Total Net Increase (Decrease) in Fund Balance Fund Balance -January I Fund Balance - December 31 Capital Projects Infrastructure New Development Projects Sanitary Sewer Upsizing- 143rd Ave Sanitary Sewer Ext - Crosstown Blvd Aztec Estates Lift Station Upgrade Yellow Pine Lift Station Rum] Reserve Trunk Equipment Total Funded by Operations Funded by Infrastmctum/Tmnk Funded by debt Total IDebt I Rate Term AADS Cumulative DS CITY OF ANDOVER 14 Sanitary Sewer System Financial Projections Estimate Forecast 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 $ 2,926 $ 51,707 $ 103,775 $ 188,898 $ 65,948 $ 4,350 $ 4,524 $ 4,705 $ 4,893 $ 5,089 - - - - - 8,065 8,388 8,723 9,072 9,435 136,253 98,205 (19,019) 156,454 50,000 50,000 50,000 50,000 50,000 50,000 24,871 23,659 23,110 13,219 20,000 20,000 20,000 20,000 50,000 50,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 400,000 564,050 573,571 507,866 758,571 535,948 482,415 482,912 483,428 513,965 514,524 13,085 3,296 211,190 134,943 134,770 110,000 452,000 1,267,000 120,000 125,000 13,085 3,296 211,190 134,943 134,770 110,000 452,000 1,267,000 120,000 125,000 550,965 570,275 296,676 623,628 401,178 372,415 30,912 (783,572) 393,965 389,524 3,500,249 4,051,214 4,621,489 4,918,165 5,541,793 5,942,971 6,315,386 6,346,298 5,562,726 5,956,691 $ 4,051,214 $ 4,621,489 $ 4,918,165 $ 5,541,793 $ 5,942,971 $ 6,315,386 $ 6,346,298 $ 5,562,726 $ 5,956,691 $ 6,346,215 $ 110,000 $ 117,000 $ 117,000 $ 120,000 125,000 105,000 500,000 650,000 Current DS $ - $ - $ - $ - $ _ $ _ S _ $ _ $ _ $ 475,000 98,000 $ - $ - $ - $ - $ - $ 110,000 $ 697,000 $ 1,365,000 $ 120,000 $ 125,000 $ - $ - $ - $ - $ - $ - $ 245,000 $ 98,000 $ - $ - - - - - - 110,000 452,000 1,267,000 120,000 125,000 $ - $ - $ - $ - $ - $ 110,000 $ 697,000 $ 1,365,000 $ 120,000 $ 125,000 5.50% 5.50% 5.50% 5.50% 5.50% 5.50% 5.50% 5.50% 5.50% 5.50% 10 10 10 10 10 10 10 10 10 10 $ - $ - $ - $ - $ _ $ _ $ _ $ Current DS $ - $ - $ - $ - $ _ $ _ S _ $ _ $ _ $ CITY OF ANDOVER Water System Financial Projections I. EsOmate rw, Forecast Year 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Inflation Factor 3.0% 3.0% 3.0% 3.0 °/a 3.00/6 3.0% 3.00/6 3.0% 3.0% 3.0% Ave. Use (gal per user per qtr) 34,264 41,662 37,400 32,000 35,000 35,000 35,000 35,000 35,000 35,000 Acres Added 5 5 5 5 5 New Connections 10 10 10 10 10 New Customers 35 35 35 35 35 Residential Accounts 6,093 6,161 6,218 6,276 6,300 Commercial/Institutional Accts 143 142 149 153 153 Total Accounts 6,236 6,303 6,367 6,429 6,453 6,488 6,523 6,558 6,593 6,628 0.86% 1.07% 1.02% 0.97% 1.35% Rates Base Rate $11.89 $11.89 $12.19 $12.50 $12.81 $13.13 $13.46 $13.79 $14.14 $14.49 Use Rate $1.89 $1.89 $1.96 $1.98 $2.05 $2.12 $2.20 $2.27 $2.35 $2.43 Connection Charge $3,972 $3,972 $4,131 $4,296 $4,468 $4,647 $4,833 $5,026 $5.227 $5,436 Area Charge $3,640 $3,640 $3,786 $3,937 $4,094 $4,258 $4,428 $4,605 $4,789 $4,981 Base Rate 5.0% 0.00% 2.5% 2.5% 2.5% 2.5% 2.5% 2.5% 2.5% 2.5% Use Rate 6.8% 0.00/0 3.7% 1.0% 3.5% 3.5% 3.5% 3.5% 3.5% 3.5% Connection Charge 8.00% 0.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.00/. 4.0% 4.0% Area Charge 8.00% 0.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.00/6 4.0% 4.0% Cash flows from capital and related financing activities Acquisition of capital assets - - - - Estimate - (15,000) Forecast - - Enterprise Fund -Water Operations 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Cash flows from operating activities: (1,115,036) (7,600,675) (830,166) (828,807) (831,487) (833,101) (828,751) (833,338) (826,776) (829,045) Receipts front customers and users $ 2.094,287 $ 2,551,954 $ 2,305,675 $ 2,178,391 $ 2,300,000 $ 2,367,984 $ 2,456,601 $ 2,548,639 $ 2,644,229 $ 2,743,507 Payment to supplicns (778,830) (1,015,656) (742,008) (745,176) (870,550) (933,500) (961,505) (990,350) (1,020,061) (1,050,662) Payment to employees (389,688) (405,159) (382,518) (408,441) (431,808) (454,771) (468,414) (482,467) (496,941) (511,849) Net from operating activities 925,769 1,131,139 1,181,149 1,024,774 997,642 979,713 1,026,682 1,075,822 1,127,227 1,180,996 Cash flows from noncapital financing activities: (39,209) (6,325,932) 201,657 111,030 84,654 96,458 79,020 (858,059) 163,601 210,668 Transfers in - 7,134 4,242 20.737 58,249 85,096 35,847 11,857 12,332 12,825 Transfers out (150,250) (150,250) (150,250) (150,250) (150,250) (150,250) (154,758) (159400) (164182) (169108) Net from noncapital financing activities (150,250) (143,116) (146,008) (129,513) (92,001) (65,154 (118,911) (147,543) (151,850) (156,283) Cash flows from capital and related financing activities Acquisition of capital assets - - - - (4,500) - (15,000) (968,000) - - Receipt ofbonds Payment on debt (1,115,036) (7,600,675) (830,166) (828,807) (831,487) (833,101) (828,751) (833,338) (826,776) (829,045) Proceeds from the sale of capital assets 2,000 4,000 Net from capital and related financing activities (1,113,036) (7,600,675) (826,166) (828,807) (835,987) (833,101) (843,751) (1.801,338) (826776) (829045) Cash Flows from investing activities: Investment income 298,308 286,720 (7,318) 44,576 15,000 15,000 15,000 15,000 15,000 15 ,000 Net increase in cash and cash equivalents (39,209) (6,325,932) 201,657 111,030 84,654 96,458 79,020 (858,059) 163,601 210,668 Cash and cash equivalents - January 1 8.306,923 8,267,714 1,941,782 2,143,439 2,254,469 2,339,123 2,435,581 2,514,601 1 656 542 1,820,143 Cash and cash equivalents - December 31 $ 8,267,714 $ 1,941,782 $ 2,143,439 $ 2,254,469 $ 2,339.123 $ 2,435,581 $ 2,514,601 $ 1,656,542 $ 1 820 143 $ 2,030.811 Capital Projects Fund - Water Trunk Revenues Connection Charges Area Charges Interest Special Assessment Replacement Reserve Other Xfer In Total Expenses Debt Service Capital Outlay Xfer Out Total Net Increase (Decrease) in Fund Balance Fund Balance - January I Fund Balance - December 31 Ca ital Projects Wells Rehab Wells Trunk New Development Projects Water Main Improvements Plant CITY OF ANDOVER Dq Water System Financial Projections Estimate Forecast 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 $ 24,239 $ 118,495 $ 332,853 $ 487,928 $ 204,842 $ 46.467 $ 48,326 $ 50,259 $ 52,269 $ 54,360 - - - - - 21,289 22,140 23,026 23,947 24,905 88,543 54,177 (19,830) 71,236 40,000 40,000 40,000 40,000 40,000 40,000 47,742 59,440 34,216 37,274 30,000 30.000 30,000 30,000 30,000 30,000 160,524 232,112 347,239 596,438 274.842 137,756 140,466 143,285 146,216 149,265 485,406 - 784 7,134 973,950 4,242 183,920 20,737 35,000 58,249 40,000 85,096 43,000 35,847 683,000 11,857 755,000 12,332 50,000 12,825 485,406 7,918 978,192 204,657 93,249 125,096 78,847 694,857 767,332 62,825 (324,882) 224,194 (630,953) 391,781 181,593 12,660 61,619 (551,572) (621,116) 86,440 2,977,573 2,652,691 2,876,885 2,245,932 2,637,713 2,819,306 2,831,966 2,893,585 2,342,013 1,720,897 $ 2,652,691 $ 2,876,885 $ 2,245,932 $ 2,637,713 $ 2,819,306 $ 2.831,966 $ 2,893,585 $ 2,342.013 $ 1.720,897 $ 1,807,337 $ 50,000 $ 50,000 $ 50,000 $ 50,((1) $ 50,000 40,000 43,000 43,000 45,000 50,000 640,000 710,000 25,000 Equipment 15,000 68,000 Automated Meter Reading System 900,000 Total $ - $ - $ - $ - $ - $ 90,000 $ 108,000 $ 1,701,000 $ 805,000 $ 125,000 Funded by Operations $ - $ - $ - $ - $ - $ 50,000 $ 65,000 $ 1,018,000 $ 50.000 $ 75,000 Funded by Infmstmcture/Fmnk - - - - - 40,000 43,000 683,000 755.000 50,000 Funded by debt - _ _ _ - - Total $ _ $ _ $ _ $ _ $ $ 90,000 $ 108,000 $ 1,701,000 $ 805,000 $ 125,000 Debt Rate 5.50% 5.50% 5.50% 5.50% 5.50% 5.50% 5.50% 5.50% 5.50% 5.50% Term 10 10 10 10 15 15 15 15 15 15 AADS $ - $ - $ - $ - $ - $ - $ - $ S - $ Cumulative DS $ _ $ _ $ _ $ _ $ _ $ _ $ - $ _ S _ $ _ Current DS $ 1,115,036 $ 7,600,675 $ 830,166 S 828,806 $ 831,487 $ 833,101 $ 828,751 S 833,338 $ 826,776 $ 829,045