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HomeMy WebLinkAboutWK - July 17, 2018CNI T Y O OVEF 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 5530 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV City Council Workshop Tuesday, July 17, 2018 Conference Rooms A & B Call to Order — 6:00 p.m. 4 • (763) 755-5100 2. 2019-2023 CIP Discussion— Focus on Equipment -Administration 3. 2019 Budget Development Discussion -Administration 4. June 2018 General Fund Budget Progress Report -Administration 5. June 2018 City Investment Report - Administration 6. Other Business 7. Adjournment C I T Y O F MOVE 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: Mayor and Councilmembers FROM: Jim Dickinson, City Administrator SUBJECT: 2019-2023 CIP Discussion — Focus on Equipment DATE: July 17, 2018 INTRODUCTION e Late March, Administration/Finance distributed baseline worksheets to Department Heads for the 2019-2023 CIP kick-off. Subsequent discussion centered on the 2019-2023 CIP development, the need of other committees (Vehicle/Equipment Purchasing & Facility Management Committees) and commissions (Parks and Recreation & Community Center Advisory) to start their work and to work toward a "draft" proposed 2019-2023 CIP to present to the City Council. DISCUSSION Throughout the summer a significant amount of time will be spent on evaluating utility infrastructure, transportation improvements, building maintenance, equipment and park and recreation needs. Each of these items will be supported by a detailed fund balance analysis of funding sources (based on various assumptions and estimates) that will be presented to the Council for review at future workshops. At this time the Staff would like the Council to review the proposed equipment (attached) as recommended by the Vehicle/Eguipment Purchasing Committee proposed to be included in the 2019-2023 CIP. ACTION REQUESTED The Council is requested to review the attachments, receive a brief presentation, and provide direction to staff on Council priorities for the 2019-2023 CIP. submitted, 4 Equipment Only City of Andover, MN Capital Plan 2019 thru 2023 PROJECTS & FUNDING SOURCES BY DEPARTMENT Department Project Priority 2019 2020 2021 2022 2023 Total Building Replacement - Small Extended Cab Pick Up #8 19-42300-01 1 35,000 35,000 Capital Equipment Reserve 35,000 35,000 Building Total Central Equipment Replacement - Senlice Truck #371 20A8800-01 Capital Equipment Reserve Central Equipment Total 8,000 Community Center 15,000 Replacement - Skate Sharpener 19-44200-01 Comm Car Operations Replacement - Floor Scrubber 20-44000-04 Comm Ctr Operations 15,000 Replacement- Zamboni Battery Pack 20-44300-04 Comm Ctr Operations Replacement - Scissor Lift 21-44000-01 Equipment Bond Replacement- Kaivac Cleaning System 21-44000-03 Comm Ctr Operations Replacement-Zamboni 22-44300-01 Comm Ctr Operations Replacement -Electric Edger 22-04300-03 Comm err Operations 15,000 Community Center Total Elections Replacement- Election Voting Booths 19-41310-01 Capital Equipment Reserve 10,000 Elections Total Engineering Replacement - Pick Up Track #6 20-41600-02 Equipment Bond Replacement -3/4 Ton Truck#12 22-41600-01 Equipment Bond Engineering Total Fire 35,000 35,000 2 45,000 45,000 45,000 45,000 45,000 45,000 1 8,000 8,000 8,000 8,000 1 15,000 15,000 15,000 15,000 1 15,000 15,000 15,000 15,000 1 15,000 15,000 15,000 15,000 1 10,000 10,000 10,000 10,000 1 180,000 180,000 180,000 180,000 1 10,000 10,000 10,000 10,000 8,000 30,000 25,000 190,000 253,000 1 25,000 25,000 25,000 25,000 25,000 25,000 2 40,000 40,000 40,000 40,000 2 50,000 50,000 50,000 50,000 40,000 50,000 90,000 Friday, July 13, 2018 Equipment Only 132,000 669,000 160,000 646,000 71,000 1,678,000 Park & Ree - Operations Department Project# Priority 2019 2020 2021 2022 2023 Total Replacement -Turnout Gear 19-42200-01 1 22,000 23,000 24,000 25,000 25,000 119,000 General Fund New - Large Capacity Mower 20A5000-02 21,000 23,000 24,000 25,000 25,000 119,000 Replacement -Engine 21 #4 884 19-02200-D2 1 110,000 400,000 110,000 Replacement- Cushman Field Dresser #547 20A5000-03 510,000 Equipment Bond 110,000 400,000 27,000 510,000 New- Bullex Fire Extinguisher Prop 19-42200-03 2 20-45000-04 10,000 18,000 10,000 Capital Equipment Reserve 18,000 10,000 18,000 New- Buffalo Turbine Tow -Behind Blower 10,000 Replacement -(2) SCBA Compressors Sta. 2 and 3 20-42200-01 1 130,000 Capital Equipment Reserve 130,000 Equipment Bond 8,000 Replacement- Large Capacity Mower#11-582 130,000 1 130,000 Replacement -800 MHz radios 20-42200-02 2 46,000 46,000 46,000 46,000 184,000 Capital Equipment Reserve 1 46,000 46,000 46,000 46,000 184,000 Replacement -Thermal Imaging Cameras 20-42200-04 1 50,000 45,000 330,000 45,000 Equipment Bond 508,000 Storm Sewer 45,000 45,000 Replacement -Automated External Defibrillator 20-42200-D5 1 15,000 250,000 250,000 Equipment Bond 15,000 Capital Equipment Reserve 250,000 15,000 Storm Sewer Total 15,000 Replacement- Grass Utility Vehicle (UTV) #4813 21-42200-01 1 Streets / Highways 45,000 45,000 Equipment Bond New - Sign Message Board 19-43100-11 1 18,000 45,000 18,000 45,000 Replacement -1999 GMC Sonoma Truck (U-10) #4810 21-42200-02 3 45,000 Replacement - Front End Loader#124 20-43100-01 45,000 Equipment Bond 275,000 Equipment Bond 45,000 275,000 45,000 Replacement -Engine 31#4800 22-42200-01 1 20-43100-02 1 80,000 475,000 475,000 Equipment Bond 475,000 475,000 Replacement -4818 Rescue#31 22-42200-02 1 100,000 100,000 Equipment Bond 100,000 100,000 Fire Total 132,000 669,000 160,000 646,000 71,000 1,678,000 Park & Ree - Operations Replacement -Water Tanker#161 20-45000-01 1 175,000 175,000 Equipment Bond 175,000 175,000 New - Large Capacity Mower 20A5000-02 1 110,000 110,000 Equipment Boad 110,000 110,000 Replacement- Cushman Field Dresser #547 20A5000-03 1 27,000 27,000 Equipment Bond 27,000 27,000 Replacement -Trailer #T-555 20-45000-04 1 18,000 18,000 Equipment Bond 18,000 18,000 New- Buffalo Turbine Tow -Behind Blower 21-45000-01 1 8,000 8,000 Capital Equipment Reserve 8,000 8,000 Replacement- Large Capacity Mower#11-582 22-45000-01 1 120,000 120,000 Equipment Bond 120,000 120,000 Replacement -JD Tractor #515 22-45000-02 1 50,000 50,000 Equipment Bond 50,000 50,000 Park & Rec - Operations Total 330,000 8,000 170,000 508,000 Storm Sewer Replacement- Elgin Street Sweeper#169 22-08300-01 1 250,000 250,000 Equipment Bond 250,000 250,000 Storm Sewer Total 250,000 250,000 Streets / Highways New - Sign Message Board 19-43100-11 1 18,000 18,000 Capital Equipment Reserve 18,000 18,000 Replacement - Front End Loader#124 20-43100-01 1 275,000 275,000 Equipment Bond 275,000 275,000 Replacement- One Ton Truck wl Plow#133 20-43100-02 1 80,000 80,000 Friday, July 13, 2018 Equipment Only Department Project # Priority 2019 2020 2021 2022 2023 Total Equipment Bond 80,000 80,000 Replacement -Bobcat 5185#120 20-43100-03 1 60,000 60,000 Equipment Bond 60,000 60,000 New - Dump Truck wl snow removal 21-43100-01 1 240,000 240,000 Equipment Bond 240,000 240,000 New - 3/4 Ton Truck wl Snow removal 21-43100-02 1 60,000 60,000 Equipment Bond 60,000 60,000 New - Stump Grinder 21-43100-03 1 8,500 8,500 Equipment Bond 8,500 8,500 Replacement- Dump Truck wl Snow removal#198 22-43100-01 1 240,000 240,000 Equipment Bond 240,000 240,000 Replacement -Backhoe Loader#80 22-43100-02 1 100,000 100,000 Equipment Bond 100,000 100,000 Replacement - Dump Truck w/ Snow removal #200 23-43100-01 1 240,000 240,000 Equipment Bond 240,000 240,000 Replacement- Aerial bucket truck #00-139 2343100-02 1 200,000 200,000 Equipment Bond 200,000 200,000 Streets / Highways Total 18,000 415,000 308,500 3402000 440,000 1,521,500 Water New- Valve Maintenance Trailer 19-48100-03 1 70,000 Water Fund 70,000 Water Total 70,000 70,000 70,000 70,000 GRAND TOTAL 288,000 1,529,000 501,500 1,646,000 511,000 4,475,500 Friday, July 13, 2018 1685 CROSSTOWN BOULEVARD N.W.. ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: Mayor and Councilmembers FROM: Jim Dickinson, City Administrator SUBJECT: 2019 Budget Development Discussion DATE: July 17, 2018 O INTRODUCTION City Administration/Finance along with the Department Heads continue to work on the 2019 Annual Operating Budget Development process and are looking to update the City Council on progress and seek direction as the preparation of the 2019 Annual Operating Budget proceeds. City Administration will review with the Council the bold italics items at the meeting. Also, Administration will review various spreadsheets with the Council using the Smart Board in the conference room. DISCUSSION The following are the 2019 Budget Development guidelines adopted at the April 3`d 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 using sustainable revenue sources and operational efficiencies. Note: Preliminary Anoka County Assessor taxable market value figures for the City of Andover are reflecting close to a 5.8% increase in total taxable market value. Refer to attached Pay 2019 Valuation Estimates. 2) A fiscal goal that works toward establishing the General Fund balance for working capital at no less than 45% of planned 2019 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 2018 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. The 2018 budget exceeded this guideline, also Emergency Fund Balances (approximately 3% of planned General Fund expenditures) are in place to stabilize a situation, not be a complete solution. Staff will review with the Council a 2018 General Fund Fund Balance Analysis at the meeting. 3) A commitment to limit the 2019 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 adopted 2018 debt levy was 12.88% of the gross tax levy, the 25% guideline provides reasonable margin to accommodate additional debt. Please keep in mind thatfor the 2017 & 2018 budgets, $500,000 & $525,000 respectively of existing debt levy through 2016 was temporarily moved to a Capital Levy to fund planned equipment purchases (rather than issuing debt), that decreased the debt levy percentage of the gross tax levy significantly. The $525.000 will be returning to debt levy for 2019. 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 based on 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 2019-2023 Capital Improvement Plan (CIP) development process. This will be covered in more detail with the CIP discussion. 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 a complex set of financial data including growth factors, tax capacity valuations, per capita spending and debt ratios. 6) Continued commitment to strategic planning targeted toward meeting immediate and long- term operational, staffing, infrastructure and facility needs. Note: A Council Community Vision and Organizational Goals and Values document was approved by the City Council. Administration is to assure that 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: Administration pays special attention to fiscal values, commercial & residential development or redevelopment, collaboration opportunities, service delivery, livability and image of the community. Staffing: Administration has received new full-time staffing requests from the Fire Department, Engineering Department and the Community Center for consideration in the 2019 budget. The Fire Department staffing request focuses on administrative support and community education activities. The Engineering Department request is for a Geographic Information System (GIS) specialist position to focus on mapping solutions. The Community Center request for an Assistant Manager to assist with facility and recreational management. Administration is reviewing the requests with the respective departments and will make a recommendation on the positions to the Council at a future workshop. There are also some anticipated retirements and staff vacancies within the next few years; in response Administration/Human Resources will continue to focus on succession planning, utilization of internship opportunities, continued cross -training of staff, and/or possible realignment of resources. Personnel Related Implications: To date the following are the other projected issues facing personnel related expenses: Human Resources has reviewed all position -based salaries and the associated benefit package to determine if the total package is competitive with other government entities. Based on the research, there are a few positions where salaries are lagging the market. Overall, pay steps for eligible employees are included in the 2019 budget proposal. A cost of living adjustment (COLA) for non -bargaining employees is currently being evaluated. The current Public Works Union contract expires December 31, 2019 and the negotiated wage for 2019 will be included in the 2019 budget proposal numbers. 2. A midyear review of the employee health plan will be conducted with our broker in late July. The City offers employees an open access high deductible plan ($5,000 family plan deductible and $2,500 single plan deductible) with a health spending account (HSA), this was implemented originally in 2006 As part of the program, the City pays for 100% of the single health insurance premium and 76%for a family health insurance premium. The City does contribute annually to the employee's HSA. Contractual Departments: The City Attorney agreed to a fee neutral status -quo service level contract for 2018. There have been discussions on the contract for the 2019 budget, but nothing finalized as of yet. 2. The 2018 City of Andover Law Enforcement expenditure budget is $3,053,526 which is offset by a Police State Aid revenue budget of $135,200 and School Liaison revenue budget of $95,529 reflecting a net tax levy impact of $2,822,797. The 2018 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. Per contract, the Sheriff always provides the required number of deputies for all hours contracted by the City. If the Sheriff's Office has a deputy 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. Staff has had initial discussions with the Anoka County Sherifffor a 2019 contract and has received a proposal for a status quo contract. That proposal reflects a 4.26% increase ($130,084) over the 2018 contract. The primary driver of the contract increase is the recent wage settlements with the various bargaining units for the Anoka County Sheriff's Departments. Another driver is the inability to be able to acquire sedan squads, about the only option at this time is the SUV Council Memberships and Donations/Contributions: The following memberships/contributions are currently included in the 2018 Budget: • North Metro Mayors Association $15,150 (GF) • Metro Cities $ 9,518 (GF) • Mediation Services $ 3,366 (GF) ■ YMCA — Water Safety Program $ 8,500 (GF) ■ Alexandra House $18,328 ($15,328 GF & $3,000 CG) • Youth First (Program Funding) $14,000 ($12,000 GF & $2,000 CG) • NW Anoka Co. Community Consortium - JPA $10,000 (GF) • Teen Center Funding (YMCA) $24,500 ($8,100 GF & $16,400 CG) • Family of Promise $ 3,000 (CG) • Lee Carlson Central Center for Family Resources $ 1,500 (GF) • Senior High Parties $ 1,000 (CG) ■ Stepping Stone $ 900 (CG) Some are funded via the General Fund (GF), and those that qualify for charitable gambling funding are done through the Charitable Gambling (CG) Special Revenue Fund. Council direction will be sought on the memberships/contributions for 2019. Capital Projects Levy: Capital Projects Levy — The 2018 Capital Projects Levy Budget specifically designates $2,134,014 of the general tax levy to capital projects and equipment needs relating to Capital Project Outlay ($275,000), Capital Equipment Purchases ($525,000) Road and Bridge ($1,169,014), Pedestrian Trail Maintenance ($100,000), Park Projects ($15,000) and Facility Maintenance Reserve ($50,000). 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 $0.00 in 2017 and 2018. Future increases in LGA or even the presence of LGA for the City of Andover based on the current State formula are remote. The 2018 City of Andover Road & Bridge levy is $1,169,014. That was a 4.74% increase over 2017. Administration is proposing a 7.34% increase ($85,774) for 2019. The 2018 City of Andover Pedestrian Trail Maintenance levy was increased significantly from $63,075 in 2017 to $100,000 for 2018, a 58.54% increase in funding. Administration is proposing a 2% increase to this levy ($2.000) for 2019. • 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 was $61,500, but only $15,000 was levied f n-2016. $46,500 of the previous levy was re -assigned to the General Fund to focus on Park's maintenance/replacement items. In addition to the re -assigned funds an additional $43,500 of General Fund levy was assigned to Parks Repair/Replacement items for a total levy of $90,000 in 2016, and that continued for 2017. The 2018 General Fund levy assigned to Parks Repair/Replacement items levy was increased to $100,000, and the Parks Project levy remained at $15,000. Administration/Finance has evaluated these levy items throughout the CIP process and is not proposing any adjustment to these levies for 2019. • Equipment/Projects Under the Capital Projects Levy, a levy is proposed to be designated to Capital 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 2018 levy is $275,000, Administration will likely be recommending the same $275,000 for 2019. • Equipment/Projects This was a reassigned levy in 2017 to provide for the 2017 equipment purchases. AdministrationlFinance proposed a straight $500,000 Capital Equipment Purchases Levy for the 2017 equipment purchases rather than through debt service levy and an equipment bond. This process continued through 2018 but increased the levy by $25,000 to $525,000. In 2019, this levy is turned back to debt service levy for the City Campus Master Plan implementation. • Facility Maintenance This was a new $50,000 levy proposed for 2018. A facility condition assessment study identified many maintenance repairs for City facilities such as roofs, HVAC, electrical panels, fire alarm systems, windows and air quality related items. This levy is anticipated to continue. Administration/Finance after evaluating this levy throughout the CIP process is recommending a $5,000 increase in this levy to $55,000 for 2019. 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. (Staffalong with Ehlers & Associates have completed reviews to see if any refinancing opportunities are available at this time, there are none. Finance will continue to monitor refunding opportunities, as markets can move quickly, and calculate potential savings for issues that may meet parameters which may generate savings.) The current 2018 Debt Service levy is as follows: • 2010A G.O. Open Space Referendum $ 183,989 • 2012C Taxable G.O. Abatement Bonds $ 969,378 • 2014A G.O. Equipment Certificates $ 294,525 • 2016A G.O. Equipment Certificates $ 142,837 • (New) 2019 Capital Improvement Bonds $ 525,000 Total $2,115,729 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). Staff will review with the Council at the meeting the City of Andover Debt Service Levy Summary. The 2019 levy has the reassignment of the $525.000 Capital Projects Levy back to Debt Service Levy for the City Campus Master Plan implementation. ACTION REQUESTED The Council is requested to receive a presentation and provide direction to staff. 9 Andover Valuation Totals Captured Tax Increment CITY OF ANDOVER Pay 2019 Valuation Estimates Pay 2016 Pay 2017 Pay 2018 Estimate Pay 2019 Taxable Tax Taxable Tax Taxable Tax Taxable Tax Market Capacity Market Capacity Market Capacity Market Capacity Value Value Value Value Value Value Value Value $ 2,539,686,867 $ 26,847,273 $ 2,636,599,713 $ 27,920,178 $ 2,959,411,470 $ 31,287,043 (248,327) (91,996) (94,415) $ 3,131,174,122 $ 32,538,525 (94,542) Fiscal Disparity Contribution (1,055,284) (1,124,211) (1,184,724) (1,184,728) Local Tax Rate Value 25,543,662 26,703,971 30,007,904 31,259,255 Fiscal Disparity Distribution 4,264,789 4,516,466 4,807,372 4,807,372 Total Adjusted Values $ 29,808,451 $ 31,220,437 $ 34,815,276 $ 36,066,627 4.74% 11.51% 3.59% Taxable Market Value Tax Capacity Value % Change % Change Pay 2015 $ 2,539,686,867 Pay 2015 $ 26,847,273 Pay 2016 $ 2,636,599,713 3.82% Pay 2016 $ 27,920,178 4.00% Pay 2017 $ 2,959,411,470 12.24% Pay 2017 $ 31,287,043 12.06% Pay 2018 $ 3,131,174,122 5.80% Pay 2018 $ 32,538,525 4.00% Taxable Market Values $3,500,000,000 $3,000,000,000 $2,500,000,000 $2,000,000,000 $1,500,000,000 $1,000,000,000 $500,000,000 $0 Pay 2015 Pay 2016 Pay 2017 Pay 20111 Tax Capacity Values $35,000,000 $30,000,000 $25,000,000 ~— $20,000,000 $15,000,000 $10,000,000 $5,000,000 $0 Pay 2015 Pay 2016 Pay 2017 Pay 2018 1685 CROSSTOWN BOULEVARD N.W.. ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: Mayor and Councilmembers FROM: Jim Dickinson, City Administrator SUBJECT: June 2018 General Fund Budget Progress Report DATE: July 17, 2018 INTRODUCTION The City of Andover 2018 General Fund Budget contains total revenues of $11,085,238 and total expenditures of $11,319,815; a decrease in fund balance is planned. Monthly reporting of the City Budget progress to the Governing body is a recommended financial practice and often viewed positively by rating agencies. DISCUSSION Attached is the General Fund Revenue & Expenditure Budget Summary - Budget Year 2018 reflecting year to date actual through June 2018 The attachment provided is to assist discussion in reviewing 2018 Progress; other documents may be distributed at the meeting The following represents Administration's directives and departmental expectations in place for 2018: 1. Expenditure budgets while approved, expenses are to meet with the spirit that needs are fulfilled first, expansions of service and special requests are to be reviewed with City Administration before proceeding. 2. Departments are to be committed to search for the best possible prices when purchasing goods and services. 3. Departments are to be committed to continually searching out new efficiencies and to challenge the status quo of how the City provides services. 4. Departments are to be committed to searching out collaborative opportunities to facilitate efficient and cost-effective utilization of governmental assets and personnel. 5. Departments are to be committed to developing effective, consistent and ongoing communications with City residents, businesses and other stakeholders. 6. Departments are to be cognizant that services provided are subject to available revenues and should not commit to services that are not sustainable. ACTION REQUESTED Ne Council is requested to receive a presentation from staff. f\��\ CITYOF ANDOVER General Fund Budget Summary Totals Budget Year 2018 2017 2018 REY'ENf I':5 Budget June YTD %Bud Final Budget June YTD %Bud General Property Tax S 8,420,354 $ 52 0% $ 8,332,634 S 8,721,256 S 7,707 0% Licenses and Permits 367,705 290,561 79% 544`568 377,900 259,548 69% Intergovernmental 766,150 284,549 37% 793,931 766,274 301,543 39% Charges for Services 773,950 371,307 48% 787,042 746,700 382,727 51% Fines 100,750 34,298 34% 75,287 90,250 31,806 35% Investment Income 75,000 (4,811) .6% 64,751 75,000 (6,871) -9% Miscellaneous 124,300 100,060 80% 179,789 129,300 78,734 61% Transfers In 196,930 196,930 100% 196,930 178,558 178,558 100% Total Revenues S 10,825,139 S 1,272,946 12% S 10,974 32 S 11,085,238 S 1,233,752 ll% 2017 1 2019 EXPENDITURES Budget June YTD % Bud Final Budget June YTD % Bud GENERAL GOVERNMENT Mayor and Council $ 89,991 $ 56,476 63% $ 84,136 S 91,298 $ 56,872 62% Administration 199,541 93,336 47% 187,514 203,833 96,380 47% Newsletter 26,000 10,653 41% 25,287 26,000 7,243 28% Human Resources 27,913 11,553 41% 15,520 28,431 11,053 39% Attorney 191,360 78,387 41% 188,644 191,360 78,397 41% City Clerk 148,599 72,952 49% 147,450 155,608 74,534 48% Elections 63,881 12,479 20% 17,852 59,781 13,190 22% Finance 268,129 153,984 57% 258,883 278,660 154,826 56% Assessing 150,000 145,367 970/a 147,914 154,000 146,403 95% Information Services 180,722 80,626 45% 149,513 180,597 80,401 45% Planning & Zoning 462,212 194,989 42% 398,780 438,827 207,020 47% Engineering 535,715 257,300 48% 511,183 553,765 264,476 48% Facility Management 681,733 222,401 33% 509,547 678,519 214,941 32% Total General Gov 3,025.796 1x90503 46% 2,642 23 3,040,679 1,405,736 46 PUBL/CSAFETY Police Protection 2,962,551 1,481,275 50% 2,962,551 3,053,526 1,526,763 50% Fire Protection 1,422,522 586,278 41% 1,353,209 1,423,914 597,050 42% Protective Inspection 446,688 221,580 50% 443,712 462,164 212,704 46% Civil Defense 24,847 10,686 43% 16,320 32,502 12,105 37% Animal Control 5,950 1,124 19% 2.544 5,950 935 16% Total Public Safety 4,862,558 2,300,943 47% 4,778336 4,978,056 2.349,557 47% PUBLIC WORKS Streets and Highways 614,668 286,941 47% 597,964 659,943 293,296 44% Snow and Ice Removal 547,777 245,119 45% 449,881 562,706 402,375 _72% Street Signs 215,244 97,421 45% 214,540 219,418 100,097 46% Traffic Signals 37,000 10,582 29% 36,152 37,000 9,527 26% Street Lighting 38,400 11,314 29% 27,735 40,400 13,677 34% Street Lights - Billed 217,500 59,627 27% 144,451 220,500 54,948 25% Park & Recreation 1,275,530 581,481 46% 1,207,359 1,318,395 557,072 42% Natural Resource Preservation 12,697 585 0% 6,503 15,074 1,568 10% Recycling 122,221 80,017 45% 169,956 157,216 90,965 58% , Total Public Works 3,081,037 1,373,087 45% 2,854,541 3,230,652 1,523,525 47 OTHER Miscellaneous 31,728 14,550 46% 764,875 31,828 2,040 6%0 Youth Services 38,600 0% 38,600 8,500 22% Total Other 70,328 14,550 21% 764,875 70,428 10,540 15% Total Expenditures S 11,039,719 S 5,079,083 46% S 11,039,975 S 11,319,815 S 5,289}58 47 NET INCREASE (DECREASE) S (214,580) S (3,806,137) S (65,043) S (234,577) S (4,055,606) 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755-5100 FAX (763) 755-8923 • WWW.ANDOVERMN.GOV TO: Mayor and Councilmembers FROM: Jim Dickinson, City Administrator SUBJECT: June 2018 City Investment Reports DATE: July 17, 2018 INTRODUCTION (i) Summary reporting of the City Investment portfolio to the Governing body is a recommended financial practice and often viewed positively by rating agencies. Furthermore, the City of Andover Investment Policy recommends the Finance Director presents to the City Council at least quarterly the type of investments held by the City. DISCUSSION Attached is the Investment Maturities Summary for June 2018, the June 2018 Investment Detail Report, and the June 2018 Money Market Funds Report. These attachments are intended to provide a status report on the June 2018 investments. ACTION REQUESTED Informational, for Council review. Staff will provide a brief presentation and answer questions. Investment Maturities - June 2018 Investment Maturities (in Years) Credit Fair Less Than More Than Investment Type Rating Value 1 1 -5 6- 10 10 Money market funds N/A $ 1,216,282 $ 1,216,282 $ $ $ MN Municipal Money Market Fund (4M) N/A 1,018,152 1,018,152 - - - Premier Banks Money Market Fund N/A 275,931 275,931 - - - Certificates of deposit FDIC 11,384,924 6,850,183 4,534,741 - - Local governments A/Al/A2 444,576 121,103 222,506 100,967 - AAl/AA2/AA3 5,655,572 1,619,196 2,742,015 1,191,200 103,161 AAA 3,925,225 854,226 2,492,692 578,307 - State governments A/Al/A2 201,012 - 201,012 - - AAl/AA2/AA3 1,163,440 390,068 773,371 - - AAA 586,103 125,238 460,864 - - U.S. agencies AAA 8,615,414 3,683,008 4,778,941 153,466 - FNMA REMIC N/A 105 105 - - - U.S. agencies N/A 197,549 197,549 - - - Total investments $ 34,684,286 $ 16,351,042 $ 16,206,143 $ 2,023,940 $ 103,161 Deposits - 1,181,784 Total cash and investments $ 35,866,070 June 2018 Investment Detail Description Cusip Number Credit RatinglF DIC # Type Purchase Price Carrying Cost Maturity Amount Interest Rate Current Market Value Interest Paid Date Acquired Coupon Date Maturity) Due Date Capital One Bank (USA) 140420ZQ6 33954 CD 245,000.00 245,000.00 245,000.00 0.900% 244,914.25 semi-annual 07/13/16 01/13/17 07/13/18 Key Bank National Association 49306SWQ5 17534 CD 245,000.00 245,000.00 245,000.00 0.850% 244,919.15 semi-annual 07/13/16 01/13/17 07/13/18 Bank of China NY 06426WNJ7 33653 CD 245,000.00 245,000.00 245,000.00 1.500% 244,943.65 maturity 07/20/17 none 07/20/18 First National Bank of Omaha 332135HA3 5452 CD 245,000.00 245,000.00 245,000.00 1.450% 244,914.25 maturity 07/28/17 none 07/27/18 Israel Discount Bank of NY_ Pacific Wastern Bank BMO Harris Bk 465076JU2 19977 CD 245,000.00 245,000.00 245,000.00 245,000.00 245,000.00 245,000.00 1.450% 244,867.70 maturity 08/09/17 none 08/09/18 69506YFTJ 24045 _ 16571 CD 245,000.00 1.450% 1.400% 244,867.70 maturity 08/09/17 none 08/09/18 05581WST3 CD 245,000.00 245,000.00 244,808.90 maturity 10/20/17 none 08/20/18 Cathay Bank 149159LR4 18503 CD 245,000.00 245,000.00 245,000.00 1.500% 1.500% 244,779.50 maturity 12/07/17 none 09/07/18 ZB NA 98878BLC0 2270 CD 245,000.00 245,000.00 245,000.00 244,789.30 maturity 12/07/17 none 09/07/18 Beal Bk 07370W5B8 57833 CD 245,000.00 245,000.00 245,000.00 1.500% 244,759.90 maturity 12/13/17 none 09/12/18 BNY Mellon 05584CBA3 7946 CD 245,000.00 245,000.00 245,000.00 1.550% 244,784.40 maturity 12112/17 none 09/12/18 Bank India New York _ _ _ CD F & M Bank New York Community Bank 06279H4M2 33648 CD 245,000.00 245,000.00 245,000.00 245,000.00 1.450% 244,568.80 maturity maturity maturity 10/19/17 10/20/17 12/22/17 none none none 02/08/18 10/17/18 10/19/18 10/22/18 11/08/18 12/16/18 12/16/18 12/16/18 01/22/19 02/27/19 02/28/19 04/10/19 30246AFM5 9963 CD 245,000.00 245,000.00 1.350% 244.485.50 649447RD3 16022 CD 245,000.00 245,000.00 245,000.00 2_45,000.00 245,000.00 245,000.00 245,000.00 245,000.00 245,000.00 245,000.00 1.600% 244,664.35 244,563.90 245,000.00 Amex Centurion Bk 1 Year CD - Premier Bank 1 Year CD - Premier Bank Rochester 1 Year CD - Premier Bank MN BMW_ Bank of North America Safra National Bk 02587DU63 1091003210 27471 21714 CD 245,000.00 245,000.00 245,000.00 245,000.00 245,000.00 1.550% maturity CD 245,000.00 1.500% maturity _08/03/17 12/16/17 none 2055214401 33202 CD 245,000.00 1.500% 245,000.00 maturity maturity semi-annual maturity maturity maturity 12/16/17 12/16/17 01/22/16 02/28/18 02/28/18 04/11/18 04/20/18 none none 07/22/16 none none none 3041574901 33204 CD 245,000.00 1.500% 245,000.00 244,233.15 05580ADR2 35141 CD 245,000.00 1.600% 786580205 26876 CD 245,000.00 245,000.00 1.950% 1.900% 2.000% 2.100% 2.050% 1.950% 244,529.60 244,443.85 TCF National Bank 872278X76 28330 CD 245,000.00 245,000.00 245,000.00 245,000.00 245,000.00 245,000.00 245,000.00 245,000.00 Beak Bank SSB 07370XDZ4 3257_4 _ 33686 CD CD 245,000.00 245,000.00 245,000.00 245,000.00 245,000.00 244,431.60 Bank Hapoalim, BM of NY 06251AT42 244,593.30 maturity none 04/18/19 Bank Baroda New York 06062RC42 33681 CD 245,000.00 244,478.15 maturity 04/23/18 none none 04/23/19 Berkshire Bk Pittsfield MA 084601NP4 23204HFAl 23621 34444 CD CD 245,000.00 245,000.00 245,000.00 245,000.00 22,877.60 101,558.00 102,787.00 45,466.80 245,000.00 245,000.00 245,000.00 244,274.80 maturity 04/24/18 04/24/19 Customers Bank Banner Bank First Foundation Bk _ _ _ Oneida County NY Junction City Kansas 2.000% 244,274.80 semi-annual 02/21/18 08/21/18 08/23/18 05/21/19 05/23/19 06652XFP5 28489 CD 245,000.00 1.850% 244,049.40 semi-annual 02/23/18 32026UFSO 58647 CD 245,000.00 245,000.00 2.000% 244,242.95 semi-annual 02/28/18 08/28/18 05/28/19 6824543R2 Al local 22,877.60 20,000.00 100,000.00 100000.00 40,000.00 140,000.00 6.250% 20,573.80 100,529.00 100,315.00 40,376.80 semi-annual semi-annual semi-annual semi-annual 08/16/10 none 04/15/19 09/01/18 481502F72 A2 local 101,558.00 5.500% 05/28/08 03/01/09 Farmington MN _ 311297W84 762698GK8 454624540 AA local 102,787.00 2.000% 07/06/16 none 02/01/19 Rice Cnty, MN AA local 45,466.80 4.400% 03/07/12 none 02/01/19 Indiana Sl Bond Bank AA+ local 146,123.60 146,123.60 4.302% 140,233.80 semi-annual 12/30116 none 08/01/18 Ramsey MN 751813/386 AA+ local 158,677.85 158,677.85 145,000.00 4.500% 145,216.05 semi-annual 02/16/12 04/01/16 04/01/19 Minneapolis MN 60374YS73 AA1 local 111,898.00 111,898.00 100,000.00 3.250% 100,415.00 semi-annual 06/05/12 12/01/11 12/01/18 Orange Beach ALA 68406PHFI AA1 local 241,689.60 241,689.60 240,000.00 4.400% _ 242,397.60 semi-annual 08/05/10 02/01/11 02/01/19 Cedar Rapids IA 150528RM1 AA1 local 217,672.00 217,672.00 200,000.00 3.000% 200,832.00 semi-annual 06/11/13 12/01/13 06/01/19 Multnomah Cnty OR Sch Dist 1J Sioux City IA 625517JMO 829458FC7 AA1 local 250,000.00 250,000.00 250,000.00 1.450% 247,512.50 semi-annual 08/10/17 12/15/17 06/15/19 06/01/19 AA2 local 156,100.50 156,100.50 155,000.00 2.000% 154,299.40 semi-annual 12/22/16 none Waterloo IA 941647PAl AA2 local 50,559.50 50,559.50 50,000.00 2.000% 49,756.00 semi-annual 06/27/13 12101/13 06/01/19 Kane McHenry Cook & De Kalb Zero Cpn 484080MB9 AA3 local 157,328.00 157,328.00 200,000.00 197,842.00 maturity 07/16/12 none 12/01/18 _ Brownsville TX ISD Zero Coupon 116421E46 AAA local 229,640.00 229,640.00 250,000.00 249,225.00 maturity 06/26/13 none 08/15/18 King Cnty WA 4947401.5 AAA local 224,634.00 224,634.00 200,000.00 3.980% 201,448.00 semi-annual 03/27/12 none 12/01/18 6,850,182.85 CD Description Cusip Number Credit Rating/F DIC # Type Purchase Price Carrying Cost Maturity Amount Interest Rate Curtest Market Value Interest Paid Date Acquired Coupon Date Maturity 1 Due Date Minnetonka MN ISD#276 604195RA7 AAA AAA _ AAA AA _ AA2 AA2 AAA AAA AAA_ AAA _ AAA AAA AAA_ AAA AAA _ AAA _ AAA AAA_ AAA _ AAA AAA AAA AAA _ 57803 57203 27314_ 628 _ 33306 33124 58177 29690 _ 58615 57176 17266 _30012 _57056 10988 local local 37,433.20 87,444.75 37,433.20 87,444.75 262,890.00 35,000.00 75,000.00 300,000.00 200,000.00 3.100% 5.898% 4.500% 1.939% 1.875% 2.970% 2.894% 1.125% 1.200% 5.050% 1.020% 1.375% 1.060% 1.350% 1.250% 1.080% 1.250% 1.700% 1.270% 1.500% 1.375% 1.125% 1.250% 4.500% 1.200% 2.050% 2.050% 1.100% 2.000% 2.050% 1.700% 1.500% 2.000% 2.300% _ 35,075.25 76,374.00 292,104.00 200,592.00 105,000.00 84,476.40 25,054.25 100,184.00 249,902.50 199,880.00 100,248.00 199,552.00 249,417.50 448,290.00 248,937.50 198,980.00 198,668.00 99,329.00 249,072.50 198,670.00 248,737.50 198,726.00 297,234.00 297,363.00 104.93 98,863.00 98,686.00 13,840,676.13 242,086.95 246,056.46 245,982.36 241,822.35 245,918.14 245,809.46 243,042.45 247,777.41 245,510.59 244,291.95 244,436.50 127,171.84 245,757.59 semi-annual semi-annual maturity semi-annual 12/22/11 07/06/11 12/27/13 01/24/12 12/09/15 01/26/18 02108/12 08/10/11 07/07/17 07/30/12 09111/13 03/30/17 11/03/17 08121/17 07107/17 06/16/17 10/30/12 01/07/13 07/07/17 06/16/17 07/07/17 06/22/17 12/14/17 07/19/17 07/30/03 12/29/14 04117/15 06/30/16 07/03/14 07/11/14 07/15/16 07/21/14 07/23/14 08/09/17 none 02/01/19 06/01/19 Palm Beach Cnty FLA Tenn Val Auth Cpm Strip Zero Cpn Washington State New Hampshire St Hag Colorado St Hall &Fin Auth Georgia State Texas State Fed Nall Mtg Assn Fed Home Ln Mlg Corp Med Term Note Fed Farm Credit Bank _ Fed Farm Credit Bank Fed Home Ln Bank Govt Nad Mtg Assn Fed Farts Credit Bank Fed Farts Credit Bank Fed Nag Mtg Assn Fed Farts Credit Bank _ _ Fed Farm Credit Bank Fed Farm Credit Bank _ Fed Home Ln Bank _ Fed Nall Mtg Assn Fed Home Ln Mi Corp Fed Nall Mtg Assn _ _ Fed Nall Mlg Assn Remic _ FICO Strip Cpn13 Zero Coupon_ _ FICO Strip Cpn Zero Coupon Ally Bank Midvale Utah Barclays Bank _ Synchrony Bank JP Morgan Chase Bank NA PrivateBank & Trust Cc _ Goldman Sachs Bank USA Sallie Mae Bank First Federal Svgs Bk_ Victory Bank _ _ CommerceWest Bank N/A Umpqua Bk Roseburg Ore Third Federal Sav&Loan _ _ _ _ Celtic Bank _ Steams Bank NA _ Jefferson Bk&Tr Cc 696497TR7 none 88059EWZ3 939758DL9 64469DWV9 1964791 373384RQ1 882722,151 local 262,890.00 none 06115/19 state 205,804.00 205,804.00 105,625.80 84,864.00 26,742.50 103,089.00 249,677.50 200,000.00 114,000.00 199,462.00 249,862.50 448,245.00 249,870.00 199,711.60 199,300.00 99,587.00 251,285.00 199,654.80 250,470.00 200,000.00 297,417.00 299,700.00 107.27 93,140.00 94,480.00 245,000.00 247,000.00 247,000.00 245,000.00 247,000.00 247,000.00 245,000.00 249,000.00 247,000.00 245,000.00 245,000.00 128,000.00 247,000.00 247,000.00 04/01/12 10/01/18 07/01/18 05/01/19 10/01/18 10/01/18 07/20/18 07/30118 state 105,625.80 105,000.00 semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual semi-annual monthly maturity maturity semi-annual semi-annual semi-annual quarterly, semi-annual semi-annual semi-annual 07/01/16 none none state 84,864.00 26,742.50 103,089.00 85,000.00 25,000.00 100,000.00 250,000.00 state stale US 04/01/12 3135GOE33 249,677.50 07/20/15 3134G3ZK9 US US US 200,000.00 200,000.00 01/30/13 311331Y4136AAA 114,000.00 100,000.00 200,000.00 250,000.00 450,000.00 250,000.00 200,000.00 200.000.00 none 08/01118 09/24/18 11/02/18 3133EGK87 3130ACR89 3136G1LU1 3133EHQF3 3133EG3Xi 3136GOY70 _3133EC5NO 3133EDTU6 3133EHLZ4 3133782M2 313661 FYO 199,462.00 249,862.50 448,245.00 249,870.00 199,711.60 199,300.00 99,587.00 251,285.00 199,654.80 250,470.00 200,000.00 297,417.00 299,700.00 204,187.50 93,140.00 94,480.00 245,000.00 247,000.00 247,000.00 245,000.00 247,000.00 247,000.00 none 05/02/18 none 01/07118 07117/17 01/30/13 03/04/13 03/04/15 09/06/17 09/08112 none 10/15/16 US US 11/14/18 US 01/07/19 US 01/17/19 US 01/30/19 03/04/19 03/04/19 03/06/19 03/08/19 03/13/19 04/15/19 04/26119 08/25/18 12/27/18 US 100,000.00 250,000.00 200,000.00 250.000.00 200,000.00 300,000.00 300,000.00 105.07 100,000.00 US US US US US US US US 3137EADZ9 3135GOK28 10/26/16 31393EAL3 31771C2G9 31358BAA6 02006LF32 06740KH86 87164WBT4 48125Y5L4 74267GUQB 38147JU59 none none none 12/30/16 01/02/15 01/11/15 10/15/16 US 100,000.00 02/01/19 07/01/19 07/02/19 245,000.00 247,000.00 247,000.00 245,000.00 247,000.00 247,000.00 CD CD CD 07/11/19 CD 07/15/19 07/22/19 07/23/19 08/09/19 08/21/19 09/24/19 10/25/19 10/28/19 11/25/19 12/20119 12/26/19 04/10/20 CD 01/21/15 01/23/15 CD CD CD 795450895 245,000.00 245,000.00 02109/18 32021YCH4 249,000.00 249,000.00 monthly 01/21/16 02/21/16 926441AB8 CD CD CD 247,000.00 247,000.00 semi-annual 09/24/14 03/24/15 20084TKXO 245,000.00 245,000.00 semi-annual 04/25/18 10/25/18 90421MBZ5 88413QAW8 15118RJMO 245,000.00 245,000.00 2.350% 2.000% 2.050% semi-annual semi-annual 04/27118 11/24/14 10/27/18 CD 128,000.00 247,000.00 247,000.00 128,000.00 247,000.00 05/24/15 CD semi-annual semi-annual semi-annual 12/20/13 12/26/14 04/11/18 06/20/14 857894PB9 CD 247,000.00 1.000% 245,211.72 243,850.95 06/26/15 _ 472376AD4 1071 CD 245,000.00 245,000.00 245,000.00 2.450% 10/11/18 2,594,525.20 local 515,306.65 state 3,880,661.43 US Less Than 1 year Description Cusip Number Credit Rating/F DIC # Type Purchase Price Carrying Cost Maturity Amount Interest Rate Curt Market Val Value Interest Paid Date Acquired Coupon Date Maturity/ Due Date CitiBank NA 17312QJ34 7213 CD 245,000.00 245,000.00 245,000.00 2.550% 244,262.55 244,049.40 semi-annual semi-annual 04/11/18 04/11/18 10/11/18 04/13/20 Discover Bk Greenwood Del 254673NR3 5649 CD 245,000.00 245,000.00 245,000.00 2.500% 10/11/18 04113/20 Citizens Alliance Bank 17318LAP9 1402 CD 249,000.00 249,000.00 249,000.00 2.000% 246,298.35 monthly 06/27/14 07/27/14 06/26/20 Enerbank USA 29266NA31 57293 CD 249,000.00 249,000.00 249,000.00 2.100% 245,404.44 monthly 07/18/14 08/18/14 07/20/20 Elbow take MN 284281KC5 A local 170,045.70 170,045.70 165,000.00 2.750% 163,765.80 semi-annual 12/08/14 none 12/01/19 Kaufman TX 486206KR5 A3 local 61,821.00 61,821.00 60,000.00 3.000% 58,740.60 246,660.00 semi-annual 06/28/16 05/16/18 02/15/17 none none none 02/15/23 Mounds View MN ISD #621 Rothsay MN SID #850 Steams Co MN _ Greenway MN ISD#31 Minneapolis MN Hampton VA 620637V70 778731AZ2 857896MH4 AA+ AA+ AA+ local local local 246,875.00 208,640.25 276,875.00 246,875.00 208,640.25 276,875.00 27,593.50 250,000.00 195,000.00 1.900% semi-annual semi-annual 02/01/20 3.000% 199,112.55 250,357.50 07/06/16 02/01/20 250,000.00 4.500% semi-annual semi-annual semi-annual semi-annual 04/17/13 06/01/20 39678LDF6 60374YS81 4095582J1 AA+ AA1 AA1 local 27,593.50 25,000.00 5.000% 25,298.00 07/09/13 none none 03/15/21 local 278,632.50 278,632.50 250,000.00 3.500% 252,900.00 99,132.00 02/26/13 12/01/19 local 100,836.00 100,836.00 100,000.00 100,000.00 2.209% 3.750% 2.450% 4.700% 3.150% 2.400% 01/20/16 none 04/01/20 09/01/20 Middleton WI 596782RX2 AA1 local 106,979.00 106,979.00 100,199.00 semi-annual 02/24/15 none Des Moines IA Area Cmnty Col 250097H21 AA1 local 50,606.00 50,606.00 50,000.00 49,237-00 semi-annual 11/10/14 10/31/11 08/16/11 12101/14 06/01/21 Minneapolis MN 60374YG68 AAi local 110,419.00 110,419.00 100,000.00 101,300.00 semi-annual none 03/01/23 Western Lake Superior MN 958522WU4 AA2 local 100,000.00 100,000.00 100,000.00 295,000.00 100,683.00 semi-annual 04/01/12 10/01/19 Portsmouth VA _ Brunswick Cnty Fon Du Lac Cnty WI Alexandria MN ISD#206 Moorhead MN 73723RSL8 AA2 local 286,268.00 286,268.00 293,681.35 107,179.60 251,185.00 268,126.20 101,545.00 semi-annual 07/17/13 02/01/14 02/01/20 117061VH1 344442KK3 015131LQ6 AA2 AA2 AA2 local 108,967.10 108,967.10 110,000.00 1.740% semi-annual 08/21/15 none 05/01/20 local 259,715.00 259,715.00 250,000.00 3.250% semi-annual 03/10/17 none 03/01/21 local 279,760.50 279,760.50 270,000.00 3.000% 3.800% semi-annual 01/21/15 none 02/01/23 6161412R7 AA3 local 108,820.00 108.820.00 100,000.00 semi-annual 11/14/11 none 02/01/20 _ _ Whitewater Wis 966204KA6 AA3 local _ 109,541.00 109,541.00 100,000.00 4.850% 104,687.00 semi-annual 06/09/11 none 12/01/20 West Bend Wl 951428BNO AA3 local 97,805.00 101,245.00 97,805.00 101,245.00 122,464.80 366,832.80 100,000.00 100,000.00 120,000.00 360,000.00 1.900% 96,164.00 semi-annual semi-annual 01/11/18 none 04101/22 10/01/22 08/01/19 W Palm Beach FL 955116BE7 AQ local 2264% 94,568.00 07/05/16 10/01/16 Norwalk Conn 668844DS9 AAA local 122,464.80 366,832.80 4.050% 3.263% 2.000% 3.250% 4.450% 2.000% 120,139.20 semi-annual semi-annual 08/04/10 07/15/11 08/01/11 Greensboro NC 39546OV21 AAA local 363,351.60 none 10/01/19 Saint Paul MN Port Auth 793028WSB 97913PCQ7 AAA AAA local local 201,806.00 123,037.35 201,806.00 123,037.35 200,000.00 115,000.00 197,604.00 semi-annual 12/22/16 08/01/17 none 02/01/20 Woodbury MN 115,454.25 102,958.00 78,576.80 284,772.00 semi-annual 12/22/11 02/01/20 Dallas TX Indpt Sch Dist 235308QK2 AAA local 116,900.00 116,900.00 100,000.00 semi-annual 04/16/12 08115/11 09101/17 none 06115/13 02/15/20 Saint Paul MN Port Auth Tenn Valley Auth Zero Cpn _ Salt Lake County UT 793067CC1 88059EHD9_ 795676QL2 88059EMX9 579086AW9 45528UGF2 AAA AAA_ AAA AAA AAA AAA local local local local local local 79,756.80 263,970.00 368,212.50 88,133.00 175,000.00 251,507.50 79,756.80 263,970.00 80,000.00 semi-annual 01/10/17 03/01/20 05/01/20 06/15/20 07/15/20 08/15/20 01/15/21 300,000.00 maturity 03/11/13 368,212.50 375,000.00 1.800% 368,047.50_ semi-annual 05/18/18 _ Tenn Val Auth Cpn Strip Zero Cpn 88,133.00 100,000.00 94,361.00 maturity semi-annual 03/18113 07/26/16 none 02/15/17 McAllen TX Dev Corp 175,000.00 175,000.00 1.400% 169,912.75 Indianapolis Ind 251,507.50 250,000.00 2.219% 246,622.50 semi-annual 07111/17 07/15/13 Baltimore Cnty MD 05914FME7 AAA local 51,290.00 51,290.00 50,000.00 2.097% 48,939.00 semi-annual 08131/16 none 08/01/21 New York St Mtge Agy 64988RHGO AAA local 100,000.00 100,000.00 100,000.00 40,000.00 2.375% 97,162.00 semi-annual semi-annual semi-annual 10/27/15 02/20/15 11/07/17 04/01/16 10/01/21 Columbus OH 199492CS6 AAA local 39,956.40 39,956.40 2.133% 38,767.60 none 12/01/21 11/01/22 Outagamie Cnty Wl 689900898 AAA local 170,000.00 170,000.00 170,000.00 2.350% 166,023.70 05/01/18 Connecticut State 20772JQN5 Al state 214,954.00 214,954.00 200,000.00 3.517% 2.090% 2.995% 201,012.00 197,890.00 semi-annual 05/27/16 02/15/14 11/01/14 07/01/13 08/15/21 05/01/20 07/01/20 Massachusetts State 57582P2T6 AA1 state 199,744.00 199,744.00 200,000.00 semi-annual 12/17/14 Florida St Hurricane 34074GDH4 AA3 state 279,439.80 279,439.80 270,000.00 270,761.40 semi-annual 11/10/15 Minnesota St Colleges & Univ 60414FPJ3 AA3 state 100,000.00 100,000.00 100,000.00 2.000% 98,252.00 semi-annual 02/26/15 10/01/15 10/01/20 Florida St Dept Environmental 34160WUAO AA3 state 217,800.00 217,800.00 200,000.00 6.206% 206,468.00 semi-annual 08/30/10 07/01/10 07/01/22 4,534,741.46 CD 5,457,213.50 local Description Cusip Number Credit RatinglF DIC # Type Purchase Price Carrying Cost Maturity Amount Interest Rate Current Market Value Interest Paid Date Acquired Coupon Date Maturity/ Due Date Tennessee State Virginia State 880541 QQ3 928109XD4 AAA state 48,218.85 22,126.00 48,218.85 22,126.00 45,000.00 3.178% 45,477.00 semi-annual semi-annual 08/30/16 02/07/12 02/01/12 none 08/01/20 06/01/21 AAA state 20,000.00 4.100% 20,291.40 Kentucky St Hag Corp 49130TSHO AAA _ state 203,458.00 203,458.00 200,000.00 2.780% 197,506.00 semi-annual 03/29/17 none 07/01/21 Georgia State 3733842Q8 AAA_ AAA AAA AAA state 204,444.00 204,444.00 200,000.00 2.780% 197,590.00 semi-annual 12/13/16 none 02/01/23 Fed Home Ln Mtg Corp_ 313766K2 US 249,035.00 249,035.00 250,000.00 1.250% 1.050% 246,867.50 196,912.00 298,413.00 semi-annual 07/07/17 02/01/13 08/01/19 Fed Home Ln Mtg Corp Med Term Note Fed Home Ln Bank 31346961.6 US 200,000.00 200,000.00 200,000.00 quarterly 08/23/16 11/23/16 08/23/19 313383VN8 US 301,065.00 301,065.00 300,000.00 300,000.00 2.0001/6' 1.160% semi-annual 12/07/17 none 09/13/19 Fed Fane Credit Bank Fed Farm Credit Bank 3133EGVJ1 _ AAA US 297,300.00 297,300.00 248,227.50 295,008.00 semi-annual 12/08/17 none 09/26/19 3130ACLS1 313OA8NRO AAA US 248,227.50 250000.00 300,000.00 1.550% 1.125% 247,175.00 semi-annual 01/04/18 04/11/18 10/11/19 Fed Home Ln Bank AAA US 294,603.00 294,603.00 294,888.00 semi-annual 04/10/18 10/11/16 10/11/19 RFCSP Strip Principal Zero Coupon 76116FAA5 AAA US 185,568.00 185,568.00 200,000.00 193,594.00 maturity 07/22/15 none 10/15/19 Fed Nall Mtg Assn 3135GOJ95 AAA US 98,570.00 98,570.00 100,000.00 1.350% 98,342.00 semi-annual 02/09/18 10/28/16 11/25/16 _ none none none 10/28/19 11/25/19 11/29/19 12/16/19 01/09/20 01/17/20 Fed Farm Credit Bank 3133EGSKO AAA US 199,600.00 950,527.00 223,031.25 147,300.00 199,600.00 950,527.00 200,000.00 1.300% 196,624.00 semi-annual 05/25/16 Fed Home Ln Mtg Corp Zero Cpn_ Fed Farm Credit Bank 3134008V4 AAA US US 1,000,000.00 962,610.00 maturity 11/02/15 3133EGFR1 AAA 223,031.25 225,000.00 1.330% 220,657.50 semi-annual 11/03/17 Fed Home Ln Bank_ Fed Home Ln Mtg Corp 313381 ND3 AAA AAA AAA AAA _ AAA_ AAA US US 147,300.00 150,000.00 1.450% 147,523.50 semi-annual 03/23/18 3137EAEE5 313OA3XL3 3134GBS78 297,912.00 297,912.00 300,000.00 1.500% 1.500% 295,287.00 98,351.00 semi-annual 12/07/17 07/17/17 Fed Home Ln Bank US 99,500.00 99,500.00 100,000.00 semi-annual semi-annual semi-annual semi-annual semi-annual 07/22/15 10/27/17 12/07/17 05/21/18 12/28/16 08/10/15 04/27/18 05/17/18 06/21/18 06/28/17 02/10/20 10/27/20 11/17/20 12/21/20 12/28/20 02/01/28 Fed Home Ln Mtg Corp Med Term Note US US 200,000.00 200,000.00 200,000.00 1.500% 197,376.00 Fed Home Ln Mtg Corp 3137EAEK7 299,193.00 299,193.00 300,000.00 1.875% 294,456.00 Fed Farm Credit Bank 3133EJPW3 US 299,769.00 299,769.00 300,000.00 200,000.00 2.700% 300,162.00 Fed Natl Mtg Assn 3136G4JM6 AAA US 200,000.00 200,000.00 105,024.00 1.850% 194,694.00 16,206,143.26 A local 105,024.00 Itasca County Minn 465452GP9 100,000.00 5.550% 4.000% 100,967.00 91,413.00 semi-annual 07/12/11 none Chaska MN 1616636S3 AA local 94,191.30 116,702.00 103,933.00 94,191.30 116,702.00 103,933.00 106,941.00 90,000.00 semi-annual 09/08/14 12/20/11 05/11/11 07/22/11 12/09/14 12/27/17 none 06/15/19 none none none 05/01/19 02/01/24 06/15/24 02/01/25 02/01/27 03/01/24 05/01/27 Mitchell SD Sch Dist #17-2 606687EHO AA local 100,000.00 6.000% 103,143.00 semi-annual semi-annual semi-annual Lake City Minn ISD #813 508084DW7 AA+ local 100,000.00 5.000% 102,287.00 _ MilawMinn ISD #912 598699NT9 AA+ local 106,941.00 72,201.35 262,025.00 100,000.00 5.650% 101,447.00 _ Minneapolis MN 60374YG76 AA1 local 72,201.35 262,025.00 65,000.00 4.800% 65,878.80 semi-annual semi-annual semi-annual maturity Ann Arbor Ml 035438CF5 AA1 local 250,000.00 5.750% 255,960.00 Duluth MN 264438ZL9 AA2 local 29,767.20 29,767.20 30,000.00 2.625% 28,784.10 12/05/12 08/01/13 02/01/25 Will County IL Cmnty Zero Coupon 969078QM9 AA2 local 159,000.00 159,000.00 500,000.00 341,055.00 08/25/09 none 11/01/27 Hawkins Cnty TN 420218PL7 AA3 local 111,480.00 111,480.00 100,000.00 4.800% 101,232.00 semi-annual 03/13/12 none 05/01/24 Savage Minn 80465PAN4 AAA local 198,018.00 198,018.00 200,000.00 4.800% 204,344.00 123,963.00 250,000.00 37,186.00 116,280.00 semi-annual 06/17/10 02/01/11 02/01/24 11/01/25 01/01/26 Tennessee Valley Aulh Ser E 880591CJ9 AAA local 121,500.00 121,500.00 100,000.00 6.750% 2.100% 5.250% semi-annual 03/19/09 none Ice Deposit- National Sports Center none local 250,000.00 250,000.00 250,000.00 maturity 02/06/08 none Fed Home Ln Bank 313OA8W33 31331 V_LC8_ AAA US 39,000.00 39,000.00 40,000.00 100,000.00 semi-annual 07/27/17 08/22/17 08/22/25 Fed Farm Credit Bank AAA US 106,030.45 106,030.45 semi-annual 02/26/10 none 04/21/28 2,023,939.90 Van Buren Mich Public Schools 920729HD5 W local 102,750.00 102,750.00 100,000.00 6.430% 103,161.00 semi-annual 07/17/09 11/01/09 05/01/29 103,161.00 32,173,920.29 1,435,247.80 state 4,778,940.50 US 1- 5 Years 1,870,473.90 local 153,466.00 US 6 -10 Years 103,161.00 local 10+ Years INVESTMENT SCHEDULE - Money Market Funds June 30, 2018 Description Current Market Value YTD Interest Wells Fargo 1 1wells Fargo Government Money Market Fund 1 $1,216,282.131 $13,553.26 4M 1 14M 1,011,168.681 6,570.85 4M PLUS I 14M Plus 6,983.621 49.58 Premier Bank 1 I Premier Bank Money Market 275,931.30 341.83 Grand Total Money Market Funds $2,510,365.73 $20,515.52 Updated. 7110/2018