HomeMy WebLinkAboutBM August 24, 1992
CITY OF ANDOVER
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REQUEST FOR COUNCIL ACTION
August 24, 1992
DATE
AGENDA SECTION
NO.
ORIGINATING DEPARTMENT
Finance
ITEM
NO.
Budget Discussion
Howard D. Koolick
BY: Finance Director
REQUEST
The Andover City Council is requested to review, discuss and
amend the 1993 budget for the General Fund, Lower Rum River Fund
and the Drainage and Mapping Fund. please note that the budgets
for the Debt Service Funds and the Water and Sewer Fund will be
presented to the City Council at a future date.
BACKGROUND
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Based on the discussion at the August 11th budget meeting, the
following changes were made to the General Fund:
A. Mayor and Council Salaries were decreased by
$500 each. Net decrease in budget of $2,803.
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B. Fire Chief and Public Works Secretary removed from the
budget and the fire de~artment secretary was reduced to
one-quarter time from half time. Net decrease in budget
of $37,155.
C. New cars for the planning department and the building
department were deleted and will not be purchased in
1993. Net decrease in budget of $37,600.
D. Computer hardware and software for special assessment
accounting and GIS were deleted and will not be purchased
in 1993. Net decrease in budget of $17,000.
COUNCIL ACTION
MOTION BY
TO
SECOND BY
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E. The following fire station and fire department equipment
was deleted and will not be purchased in 1993:
Two file Cabinets
Zodiac Life Boat
One Data Terminal
New Rescue Vehicle
Net decrease in budget of $48,332.
F. The following fire station and fire department equipment
was deleted from the General Fund Budget and will need to
be discussed as part of the 1993 capital purchases.
Equipment to test One Data Terminal
new recruits Training Site Construction
Extension of Parking Meeting Room at Station #2
Lot at Station #2 Defibulator
Barcode Inventory Equipment
Net decrease in budget of $20,525 plus the unknown cost
for the improvements to Station #2.
G. Exhaust Fans, lighting and other improvements were
deleted from the Public Works Building and the Equipment
Building and will not be done in 1993. Net decrease in
budget of $13,600.
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H. The Motor Grader and Tree Spade were deleted from the
budget and will not be purchased in 1993. Net decrease
in budget of $189,000.
I. The following Public Works equipment was deleted from the
budget and will need to be discussed as part of the 1993
capital purchases:
4-Wheel Drive Tractor
Asphalt Paving Machine
1-Ton Truck with Boom
Toro
2-Ton Asphalt Roller
Two 4 x 4 Pick-ups
Tree Chipper
Net decrease in budget of $178,300.
J. Sealcoating and Cracksealing amount was decreased to
$50,000. Net savings in budget of $150,000.
K. Tax Levy was increased 5% from 1992 levy. Net increase
in revenue budget of $110,299 including 13,466 of 1992
debt service levies which can be applied to the 1993
General Fund.
L. Tax Levy was increased for the effect of sales tax. The
budget shows $474,658 of taxable purchases. Net increase
in revenue budget of $30,853.
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After making the changes listed above, the following summarizes
the budget.
Revenue
General Property Taxes
Business Licenses/Permits
Non-Business Lic./Permits
Intergovernmental Revenue
Charges for Services
Fines
Special Assessments
Miscellaneous Revenue
Transfers
$1,254,366
17,025
258,785
603,792
101,200
37,000
3,000
78,000
97,498
$2,450,666
Total Revenue
Expenditures
General Government $
Public Safety
Public Works
Park and Recreation
Recycling
Economic Development
Unallocated
Other Financing Uses
Contingency
625,888
899,678
579,059
244,357
32,381
19,059
28,950
52,783
69,360
Total Expend.
$2,551,515
AS you can see, the 1993 budget is still unbalanced by $100,849.
The following are several options for balancing the budget.
1. Increase amount of State Aid Maintenance Money that is
credited to General Fund. The budget currently includes
$100,000. The City's 1993 allotment should be around
$140,000. The unbudgeted portion was to be credited to
the State Aid Project Fund and used to pay for the
reconstruction of county Road 58 and the traffic signals
at Round Lake and Bunker Lake Boulevards. The State Aid
Project Fund, as of July 31, 1992, has a cash balance of
$299,281.
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2. Increase Building Permit Revenue.' The budget currently
is based on 300 new homes. The 1992 budget is based on
303 homes and the budget has been met as of July 31,
1992. The protective inspection budget includes an
additional $10,000 for a contract inspector without
recognizing any additional revenue. This appears to be
an inconsistency in logic.
3. Increase taxes. The budget as it currently stands
results in the tax levy increasing $127,686 or 6.59%.
Each additional one percent increase in the tax levy will
generate $19,366.
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4. Eliminate from the Fire Department budget the capital
currently included which is either mandated by law or
required to replace worn-out equipment. The budget
includes the following capital items totaling $16,760.
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Five breathing air bottles $
Breathing air quality tester to test
air bottles per N.F.P.A. requirements $
Six turnout gear to replace existing sets $
Two Drager SCBA units $
Six ranger fire boots to replace existing
boots $
Six Personal Alarm Safety Systems $
Six radios to replace old units $
3,000
1,000
4,500
4,000
510
750
3,000
5. Eliminate some or all of the contingency amount. The
contingency amount in the budget is currently $69,360.
It is made up of the following:
4% Salary Increase for all
Staff
Salary Plan Increases
PERA, FICA and Medicare on
Above
Unanticipated Items
$34,560
5,000
4,800
25,000
6. Eliminate $3,000 transfer to establish severance fund.
The severance fund is designed to accumulate, over a
number of years, the funds necessary to pay severance
benefits as employees leave the City. This method
results in more level General Fund operations since the
General Fund is not required to absorb a large severance
amount in one year.
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7. Eliminate the Fire Department Secretary. This new
position was left in at the request of the Fire Chief.
The position is one-quarter time at a total cost
including benefits of $4,494.
8. Eliminate the contract inspector with the stipulation
that if 1993 is a busy year, the building permit revenue
will exceed budget to the extent that the position could
be hired at that time. Total savings of $25,000.
9. Decrease the budget for park improvements. Currently the
budget contains $28,475 for park improvements excluding
Kelsey Park. The 1992 budget had approximately $11,000
excluding Kelsey Park.
10. Other revenue increases or expenditure decreases as City
Council deems necessary. See Exhibits A and B for a
detailed description of the changes in between the 1992
amended budget and the 1993 budget.
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CAPITAL EQUIPMENT REQUESTS
The department requests contained a large number of equipment
requests. The changes made by City Council listed above, combined
with decisions from department heads, resulted in the following
equipment being totally deleted from consideration as part of the
1993 budget:
Planning and zoning
Vehicle for inspection
Fire Station Building
Two file cabinets
One data terminals to receive data
from central communications
Public Works Building
New lighting
Exhaust Fan
Replace sidewalk & garage door approaches
Fence around trash container
Equipment Building
Cement floor
Finish walls and ceiling
Automatic garage door opener
Exhaust fan
Fire Protection
Zodiac 14' life boat, motor and trailer
for ice and water rescues
Rescue
Rescue vehicle to replace current vehicle
Protective Inspection
8-10 Blazer with radio for inspections
Public Works
Split between a number of departments
New grader to replace old grader
Tree spade
Total Deleted Equipment
$ 17,600
$
$
$
$
$
$
$
$
$
$
1,400
2,750
3,500
1,500
1,500
2,000
2,000
1,500
600
1,000
$ 6,682
$ 33,000
$ 20,000
$180,000
$ 9,000
$284,032
The equipment listed below was deleted from the General Fund
budget in order to balance this budget. The department heads are
still interested in purchasing this equipment. The City Council
will need to decide which, if any, will be purchased and how it
will be funded. If Equipment Certificates are sold in mid-1993,
the City will not need to levy for them until 1994.
~) These requests, listed by department, are as follows:
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Administration
Computer and special assessment software
to help the City better manage and
track special assessments
Fire Station Building
Equipment to test new recruits
One data terminals to receive data
from central communications
Training site construction
Extend parking lot at station *2
Finish meeting room at station *2 to
make up for lost meeting room in
station *3
Engineering
GIS Information system software and
any necessary hardware to run the
software
Fire Protection
Bar code inventory software and readers to
do automated inventory
Rescue
Defibulator
Public Works
Split between a number of departments
Four-wheel drive tractor
Two-ton asphalt roller
Asphalt paving machine
4 x 4 Pickup truck
One-ton truck with utility box and boom
Tree chipper
Hot Box for patching streets
Replacement Toro
Total Equipment Acquisition Requested
$ 7,000
$ 3,000
$ 2,750
$ 5,000
$ ??
$ ??
$ 10,000
$ 5,000
$ 5,275
$ 30,000
$ 17,000
$ 30,000
$ 19,000
$ 35,000
$ 18,200
$ 32,000
$ 14,000
$233,225
This equipment can be funded by Equipment Certificates or the PIR
Fund. The estimated cash balance in the PIR Fund as of December
31, 1992 is approximately $66,000. There will be no old
certificates dropping off the tax levy in 1994.
The City Council will need to discuss the how and if they wish to
purchase any or all of the above equipment.
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LOWER RUM RIVER WATERSHED FUND
The Lower Rum River Watershed Fund will be budgeted for the first
time in 1993. This fund will be used to account for the tax
revenue received from those individuals in the Lower Rum River
taxing district and the expenditures incurred by the city for the
watershed's activity.
The proposed budget for 1993 is as follows:
Revenue
Current Property Taxes and
State Aids
Interest Earnings
Total Revenue
$15,697
1,000
$16,697
Expenditures
Engineering Salaries
and Benefits
City's share of LRRWMO
expenditures
Contingency
Total Expenditures
$10,237
5,460
1,000
$16,697
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The expenditures include 16 hours per month of the City Engineer's
and the Assistant Engineer's time plus benefits. Per the
Engineer, this is an accurate estimate of the time he and the
Assistant Engineer spend on watershed business. The City's share
of the LRRWMO expenditures was accounted for in the General Fund
in prior years. The amount shown above is the City Engineer's
estimate and is $460 higher than 1992's budget and $1,153 higher
than the 1992 actual expenditure.
The main source of revenue is the tax levy for the residents
within the taxing district. The proposed tax levy is slightly
more than three times the 1992 levy, which was $5,000. The large
increase is caused by the allocation of the Engineer's and
Assistant Engineer's time. previously all taxpayers, whether they
were in the Lower Rum River Taxing District or not, paid for these
costs.
The effect of levying for the costs attributable to the watershed
is to increase the City taxes for these residents benefitting from
the watershed and decrease the taxes of the residents within the
Coon Creek Watershed District who levies their own taxes.
In 1992, a resident within the taxing district owning a $100,000
house paid $13.31 in property taxes to fund the Lower Rum River
Watershed Organization. In 1993, assuming all factors are the
same as 1992 except this levy, the same resident would pay $21.63,
an $8.32 increase.
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DRAINAGE AND MAPPING FUND
This fund is also being budgeted for the first time in 1993. This
fund accounts for the revenues and expenditures relating to the
updating of the City's maps and drainage plan.
The following is the proposed 1993 budget:
Revenue
Interest Earnings
Transfers from Other Funds
Total Revenue
$ 3,400
8,000
$ 11,400
Expenditures
Engineering Charges
Contribution to Coon Creek
watershed Grant
Total Expenditures
$ 7,900
3,500
$ 11,400
The transfers from other funds represent the amounts assessed for
mapping when new developments are done. The Engineering charges
are an estimate of the amounts that TKDA will spend updating the
City's maps. The last item represents the City's contribution to
a grant the Coon Creek hopes to get that will produce data
regarding the quality of water as well as maps of soil quality.
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PROPERTY TAXES
In 1992, the City levied property taxes as follows:
General Operations
Lower Rum River
Taxing District
1991 Fire Station Bonds
Certificates of
Indebtedness:
1990
1989
1987
Total
$1,423,203
5,000
415,407
28,766
27,466
36,807
$1,936,649
Each one percent increase in taxes levied for 1993 will generate
an additional $19,366 of revenue. However, do not make the
mistake of thinking that this percentage increase will be uniform
across all properties. Due to changes is class rates, homestead
and agricultural credit aid and fiscal disparities calculations, a
property could see a higher or lower increase than the percentage
of the increased total levy.
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The following is a summary of the scheduled debt levies for 1993:
402,281
1991 Fire Station Bonds
Certificates of
Indebtedness:
1992
1990
1989
1977 Improv. Bonds
36,000 (Estimated)
25,677 (Assuming Sewer Fund
continues to pay
$37,360 for Sewer
Jet)
26,022
24,449
(This levy will be
cancelled since the
City has adequate
funds on hand)
Adding in the General Levy and Lower Rum River Taxing District
Levy as they are currently figured, results in a total 1993 tax
levy of $2,064,335, or an increase of 6.59% over the 1992 levy.
Please remember that the percentage increases relate to the tax
levy and not individual properties. Changes in homestead and
agricultural credit aid, fiscal disparities amounts and class
rates will effect each property resulting in a different
percentage.
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Exhibit A
Page 1 of 4
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GENERAL FUND
BUDGETED REVENUE
1992 1993
Revised Proposed
Budget Budget Difference
General Property Taxes $1,113,714 $1,254,366 $140,652
Business Licenses/Permits 20,325 17,025 (3,300)
Non-Business Licenses/Permits 253,973 258,785 4,812
Intergovernmental Revenue 644,326 603,792 (40,534)
Charges for Services 80,200 101,200 21,000
Fines 40,000 37,000 (3,000)
Special Assessments 1,000 3,000 2,000
Miscellaneous Revenue 90,124 78,000 (12,124)
Transfers 93,300 97,498 4,198
Total Revenue $2,336,962 $2,450,666 $113,704
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General property Taxes
Current Ad Valorem Taxes
1992
Budget
$1,074,214
1993
Budget Difference
$1,215,366 $141,152
The 1993 increase of $141,152 includes the following
components:
Five Percent Increase
Increase for Sales Tax
1992 Debt Levy Freed Up for
General Operations
Lower Rum River District Levy
$96,833
30,853
18,466
(5,000)
Business Licenses/Permits
Liquor-Intoxicating
$4,100
$300
($3,800)
The 1992 budget included one on-sale license for Richard
Reischel at the Downtown Center. The proposed restuarant
was not built and hence, the 1993 budget does not include
the license fee of $3,500.
Non-Business Licenses/Permits
Building Permits
$193,863
$191,850
($2,013)
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The 1993 budget is based on 300 homes as estimated by the
Building Official. The 1992 budget is based on
approximately 303 homes.
Exhibit A
Page 2 of 4
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Heating Permits
1992
Budget
$11,000
1993
Budget
$13,000
Difference
$2,000
The fee for heating permits was increased from $15 to $25
in 1992. The 1993 budget is based on approximately the
same number of permits as 1991 at the higher rate.
Plumbing Permits
$33,000
$35,000
$2,000
The fee for plumbing permits was increased for 1992 from
four dollars per opening to seven dollars. The 1993 amount
is based on the 1992 actual through June slightly deflated
in case building in 1993 is not as prolific as 1992.
Burning Permits
$600
$1,800
$1,200
The fee for burning permits was increased during 1992 from
three dollars to ten dollars. Since the change was made
after the budget was adopted, the 1993 budget is
significantly higher than the 1992 budget.
~_) Intergovernmental Revenue
Comm. Dev. Block Grant
$47,723
$29,783 ($17,940)
The 1992 budget included the major share of the senior
center remodeling ($20,000). This project will be complete
before 1993 resulting in the City being eligible for a
lesser amount of grant funds.
other Grants
$84,352
$58,012 ($26,340)
The 1992 budget included $20,000 from the LAWCON grant for
Kelsey Park. The terms of the grant require these monies
to be accounted for in a separate fund. Therefore, a
LAWCON grant fund has been created and the revenue and
associated expenditures have been budgeted in that fund.
The estimated recycling funding is less than the 1992
budget due to decreasing needs as the recycling program is
now in place.
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Exhibit A
Page 3 of 4
1992
Budget
1993
Budget
Difference
Charges for Services
Street Light User Fees
$55,000
$72,000
$17,000
The rapid growth during 1992 has resulted in a large number
of new street light accounts. The year-to-date for 1992 is
projecting approximately $64,000 with several large
subdivisions not yet being billed.
Assessment Searches
$4,800
$6,500
$1,700
The fee was increased for 1992 from five dollars to twelve
dollars. The 1993 budget includes a modest increase over
the 1992 budget with a slight decrease over the projected
1992 actual.
Fines
Court Fines
$40,000
$37,000
($3,000)
The 1993 budget is based on the collections for the first
five months of 1992, which have been averaging $3,027.
Historically, collections increase slightly in fall.
Special Assessments
Special Assessments
$1,000
$3,000
$2,000
The City certifies delinquent street light charges to the
County for collection. When the 1992 budget was prepared,
the amount of certified charges was not known. The 1993
budget includes approximately half of the 1991 certified
amount since it is expected that the amount certified in
1992 (collected in 1993) will be smaller than previous
years.
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Exhibit A
Page 4 of 4
1992
Budget
1993
Budget
Difference
Miscellaneous Revenue
Interest Earnings
$54,600
$44,000 ($10,600)
The 1993 budget is presented lower due to the continued
drop in interest rates combined with a cash flow that
almost reaches zero prior to tax collections.
Refunds/Reimbursements
$26,224
$31,000
$4,776
The 1993 budget is a conservative estimate based on the
actual amounts from 1989 through 1991. The largest refund
received each year is the insurance premium refund from the
League of Minnesota Cities Insurance Trust. This refund
has been in the range of $16,000 to $24,000 in each of the
last three years.
Sale of Equipment
$6,200
$-0-
($6,200)
The 1992 budget was revised to include the sale of fire
department breathing apparatus. The 1993 budget does not
include the planned sale of any equipment.
Transfers
Transfer from Admin Trust
$63,300
$67,498
$4,198
The large number of new plats in 1992 results in a slight
increase in this transfer.
Exhibit B
Page 1 of 10
GENERAL FUND
, BUDGETED EXPENDITURES
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1992
Revised 1993
Budget Budget Difference
City Council $ 34,297 $ 32,149 $ (2,148)
Newsletter 4,771 5,292 521
Mayor 4,521 3,984 (537)
Elections 13,900 -0- (13,900)
Adminstration 126,872 130,567 3,695
Financial Administration 96,717 103,465 6,748
Auditing 10,000 10,750 750
Assessing 38,289 47,192 8,903
Attorney 50,800 52,560 1,760
Planning and Zoning 54,166 54,516 350
Data Processing 21,248 19,537 (1,711 )
City Hall Building 45,375 43,902 (1,473)
Fire Station Building 31,564 33,086 1,522
Public Works Building 17,388 19,805 2,417
Senior Citizen Center 8,075 8,982 907
Equipment Building 2,975 2,980 5
Engineering 65,847 57,121 (8,726)
Police Protection 411,737 425,004 13,267
~) Fire Protection 267,435 267,247 (188 )
Rescue Service 32,280 35,183 2,803
Protective Inspection 145,703 159,029 13,326
Civil Defense 2,647 2,960 313
Animal Control 10,235 10,255 20
Streets and Highways 192,533 232,430 39,897
Snow and Ice Removal 119,112 164,406 45,294
Storm Sewers 22,688 23,474 786
Street Lighting 14,450 18,750 4,300
Street Signs 31,508 37,967 6,459
Traffic Signals 10,680 9,840 (840)
Street Lights-Billed 42,264 65,174 22,910
Park and Recreation 233,903 244,357 10,454
Trees and Weed Control 9,715 27,018 17,303
Recycling 37,398 32,381 (5,017)
Economic Development 18,307 19,059 752
Unallocated 24,950 28,950 4,000
Other Financing Uses 52,723 52,783 60
Contingency 29,789 69,360 39,571
$2,336,962 $2,551,515 $908,868
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Exhibit B
Page 2 of 10
City Council
1992
Budget
$34,203
($2,148)
1993
Budget
$32,149
Difference
Council salaries decreased by $500 per Councilmember.
Newsletter
$4,771
$5,292
$521
Salaries and Benefits $701 $1,222 $521
Increase based on longer time needed to put together
newsletter since the change to Express Advertising.
Previously, we typed and the school district did
typesetting and copying. Now the City must make the
newsletter copy ready before it is printed. Amount of
increase is based on 1991 actual and 1992 year-to-date.
Mayor
$4,521
($537)
$3,984
Mayor's salary decreased $500.
Elections
$13,900
$-0-
($13,900)
No elections scheduled for 1993 resulting in no budget being
requested.
Adminstration
$126,872
$130,567
$3,695
Salaries and Benefits $100,687 $103,857 $3,170
In 1992, ten percent of the City Clerk's salary was
allocated to elections to cover her time spent on this
function. with no elections scheduled in 1993, the ten
percent was added back to administration.
other Charges $26,185 $26,710 $525
The budget for 1993 includes a 5% increase in insurance
premiums ($935). This increase is offset by a $1,000
decrease in the budget for dues and registrations. The
remainder of the increase is made up of a number of small
increases and decreases, all of which are under $200.
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Exhibit B
Page 3 of 10
Financial Administration
1992
Budget
$96,717
$6,748
1993
Budget
$103,465
Difference
Salaries and Benefits $ 90,989 $96,475 $5,485
The 1992 budget includes a miscalculation of the city's
contribution for health insurance. The 1993 budget for
this item is properly calculated.
Office Supplies $1,200 $2,700 $1,500
The 1993 budget includes ordering cash receipts, regular
and payroll checks. The 1992 budget did not include these
items since it has been a couple years since these supplies
were needed. The estimated cost of these special forms is
$1,300.
Auditing
$10,000
$10,750
$750
contract for 1993 includes a $500 increase. In addition,
expenses for photocopying and have been running higher than
budget in 1991 and 1992.
Assessing
$38,269
$47,192
$8,903
The contract with the assessor's office includes a 17.6%
increase in the rate per parcel. In addition, the number of
parcels is up resulting in an overall increase of $20.86%
Attorney
$50,800
$52,560
$1,760
The 1993 budget increases the amount budgeted for
prosecutions and meetings by by $1,000 and $600 respectively.
These increases are based on the 1991 actual expenditures and
the 1992 year-to-date expenditures.
Planning and Zoning
$54,166
$54,516
$350
No major changes from prior year.
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Exhibit B
Page 4 of 10
Data Processing
1992
Budget
$21,248
($1,711)
1993
Budget
$19,537
Difference
The 1992 budget included $998 for the final three payments
for the rental of one copier which the city subsequently
purchased. Therefore, the 1993 budget is decreased by $998
since no rental payments need to be made. In addition, the
budget for supplies is decreased slightly based on previous
years activity.
City Hall Building
$45,375
$43,902
($1,473)
The majority of the decrease is from a drop in salaries and
benefits due to an estimated decrease in the time spent by
public works personnel maintaining City Hall. Additional
minor increases are offset by a decrease in the schedule
contract for deed payments due to the Laputas.
Fire Station Building
$31,564
$33,086
$1,522
other Charges $25,680 $27,160 $1,480
The 1993 budget includes an additional $1,100 for telephone
service relating to the installation of dedicated lines for
data terminals. In addition, the 1993 budget includes $400
for water and sewer service at station #1. The 1992 budget
did not include this item.
Public Works Building
$17,388
$19,805
$2,417
SUPhli~s $3,000
T e lncrease is composed of three
each of which was increased based
expenditures.
$3,875 $875
different line items,
on past years actual
other Charges $13,243 $14,403 $1,160
The increase is composed of a variety of items that were
increased based on past expenditures.
Senior Citizen Center
$8,075
$8,982
$907
The major change is the budgeted increase in insurance
($501). The remainder is small increases relating to the
imposition of sales tax by the state.
Equipment Building
$2,975
$2,980
$5
No major changes from prior year.
Exhibit B
Page 5 of 10
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1992
Budget
1993
Budget
Difference
Engineering
$65,847
$57,121
($8,726)
Salaries and Benefits $57,484 $48,191 ($9,293)
The decrease in the 1993 budget is due to the reallocation
of 16 hours per month of the Engineer's and Assistant
Engineer's time to the Lower Rum River Fund to account for
the time they spend working on projects for the watershed
district.
Police Protection
$411,737
$425,004
$13,367
The vast majority of the increase ($13,190) is from the 3%
increase in the contract with Anoka County.
Fire Protection
$267,435
$267,247
($188)
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Salaries and Benefits $172,648 $168,790 ($3,858)
The decrease is a combination of the request to add a
quarter-time secretary $4,174 plus benefits less $9,475 in
the estimate of point pay for 1993.
Supplies and Other Charges
A decrease of $11,500 for
offset by minor increases
estimates to prior year's
$87,363 $81,197 ($6,166)
vehicle repairs is partially
caused by sales tax and adjusting
actually activity.
Capital Outlay $7,424 $17,260
The 1993 requests for equipment are as follows:
$9,836
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Five breathing air bottles to
be used as spares $3,000
Breathing air quality test unit
so the City can test our
own equipment $1,000
Six sets of turnout gear to
replace existing gear $4,500
Two SCBA units to increase
the total number of units to
seventeen $4,000
Six ranger fire boots to
replace worn out boots $510
Six personal alarm safety
systems to meet requirement
of having one for each
entry person $750
Six Motorola radios to replace
16 year old units $3,000
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Exhibit B
Page 6 of 10
Rescue Service
1992
Budget
$32,280
$2,803
1993
Budget
$35,183
Difference
Salaries and Benefits $16,300 $20,454 $4,154
The increase in salaries for the volunteers is based on the
actual amounts paid in 1990, 1991 and the first half of
1992 and the associated benefits.
Protective Inspection
$145,703
$159,029
$13,326
Other Charges $18,631 $29,675 $11,044
The 1993 budget includes a contract inspector budgeted at
$25,000. The 1992 budget was $15,000. The building
department requested either the contractor or the hiring of
an additional inspector, with the costs of each being
equal.
Capital Outlay $-0- $600
The 1993 requests for equipment are as follows:
Office furniture for the new
inspector
$600
$600
Civil Defense
$2,647
$2,960
$313
No major changes from 1992.
Animal Control
$10,235
$10,255
$20
The 1993 budget includes $305 for the biennial dog clinic the
City has. This amount is offset by a decrease in the budget
for the animal control contract based on previous years
costs.
Exhibit B
Page 7 of 10
')
1992
Budget
1993
Budget
Difference
Streets and Highways
$192,533
$562,235
$369,702
Salaries and Benefits $109,643 $92,332 ($17,311)
The net decrease is a combination of the reallocation of
Ray Sowada's time from this department to Trees and Weed
Control, the reallocation of LuAnn Darveaux's time to a
number of public works departments.
Supplies and Other Charges $65,390 $80,098 $14,708
A number of items have been increased to more closely match
the 1993 budget with 1991 actual amounts and an estimation
of 1992 actual amounts based year-to-date information. The
following are the larger line item increases:
:- )
Operating Supplies $2,500 $4,260 $1,760
Repair/Maint Supplies
Vehicle $6,000 $10,000 $4,000
Repair/Maint Labor
Streets $2,000 $4,000 $2,000
Repair/Maint Labor
Vehicle $6,000 $8,000 $2,000
Rentals-Streetsweep. $20,800 $23,500 $2,700
Capital Outlaa $17,500 $60,000 $42,500
The 1993 bu get includes $50,000 for cracksealing and
sealcoating. The 1992 budget included $8,500 for
cracksealing. The City Council in 1992 decided, due to
budget constraints to assess seal coating when it was
requested. The Public Works Superintendent and City
Administrator have put this back into the budget in order
for the City Council to reconsider this decision.
Snow and Ice Removal
$119,112
$164,406
$45,294
Salaries and Benefits $65,063 $83,651 $18,588
The increase in the 1993 budget results from allocating 20%
of LuAnn Darveaux's time to this department plus the
addition of two new public works employees each of which
has 20% of their time allocated to this department.
Supplies and Other Charges $54,049 $80,755 $26,706
A number of items have been increased to more closely match
the 1993 budget with 1991 actual amounts and an estimation
of 1992 actual amounts based year-to-date information. The
following are the larger line item increases:
Repair/Maint Supplies
Vehicle $10,000 $15,500 $5,500
"- Repair/Maint Labor
,
I streets (Sand-Salt) $22,250 $37,300 $15,050
--_/
Repair/Maint Labor
Vehicle $6,000 $10,000 $4,000
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Exhibit B
Page 8 of 10
Storm Sewers
1992
Budget
$22,688
$786
1993
Budget
$23,474
Difference
Salaries and Benefits
The increase in the 1993
of LuAnn Darveaux's time
$17,232 $17,458 $288
budget results from allocating 5%
to this department.
Street Lighting
$14,450
$18,750
$4,300
The increase in this department results from the addition of
anticipated addition of 13 new street lights in 1992 plus 10
new lights in 1993. Also causing the increase is the
imposition of sales tax on electric bills from AEC. In
addition, the budget includes $2,000 for installation costs
associated with street lights installed at intersections
involving County roads.
Street Signs
$31,508
$37,967
$6,459
Salaries and Benefits
The increase in the 1993
of LuAnn Darveaux's time
$17,924 $21,563 $3,639
budget results from allocating 13%
to this department.
Supplies and Other Charges $13,584
$16,404
$2,820
The majority of the increase ($2,650) relates the purchase
of signs to replace wornout and damaged signs. The
increase is based on past years trends plus the increasing
numbers of signs within the City.
Traffic Signals
$10,680
$9,840
($840)
No major changes within this department.
Street Lights-Billed
$42,264
$65,174
$22,910
The increase in this department relates to the new street
lights installed in the new developments being constructed in
1992 and 1993. Revenue from street light billings has been
increased accordingly to account for these new customers.
Park and Recreation
$233,903
$244,357
$10,454
Salaries and Benefits $79,411 $95,744 $16,333
The increase in the 1993 budget results from allocating 4%
of LuAnn Darveaux's time to this department plus a new
public works employee with 80% of their time allocated to
this department.
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Exhibit B
Page 9 of 10
1992
Budget
1993
Budget
Difference
Supplies and Other Charges $42,783 $50,915 $8,132
A number of items have been increased to more closely match
the 1993 budget with 1991 actual amounts and an estimation
of 1992 actual amounts based year-to-date information. The
following are the larger line item increases:
Repair/Maint Supplies
Vehicle $6,000
Repair/Maint Labor
Vehicle $1,500
$8,000
$4,000
$2,000
$2,500
Capital outlaB $50,673 $28,475 ($22,198)
The amount udgeted for park improvements has decreased
$22,198. Of this decrease, $20,000 is caused by the
requirement to budget the Kelsey Park grant in a separate
fund. Therefore, the budgeted $20,000 alohg with the grant
proceeds and expenditures are shown in the LAWCON Grant
Fund.
Miscellaneous $61,036 69,223 $8,187
The increase in this are relates to the 6.2% increase in
the community and summer school program run by Anoka-
Hennepin school district ($3,534) and an increase in the
budget for assessments on City park property based on
actual amounts paid in previous years.
Trees and Weed Control
$9,715
$27,018
$17,303
Salaries and Benefits $4,785 $11,546 $6,761
The increase in the 1993 budget results from allocating 18%
of Ray Sowada's time to this department.
Other Charges
This increase relates
contract for services
$4,930
to the addi tion
required by the
$15,472 $10,542
of $10,000 to
tree commission.
Recycling $37,398 $32,381
The major changes in this department are caused by
estimating the 1993 budget based on previous years
($5,017)
better
activity.
Economic Development
$18,307
$19,059
$752
No major changes in this department.
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Exhibit B
Page 10 of 10
1992
Budget
1993
Budget
Difference
Unallocated
$24,950
$28,950
$4,000
The increase relates to estimating our 1993 workers
compensation premiums. The 1991 premium was $23,828 while
the 1992 estimate is $26,804.
other Financing Uses
$52,723
$52,783
$60
This Department accounts for Transfers to Other Funds, CDBG
expenditures and the expenditure for the city's contribution
to the Lower Rum River Watershed District. Each of these
items is discussed below:
Transfers to other funds did not have a 1992 budget. The
1993 budget of $23,000 is composed of a $20,000 to the
LAWCON Grant Fund to finance the City's share of the
project. The remaining $3,000 is to open the Severance
Fund to begin funding the City's severance liability.
CDBG expenditures are budgeted to be down $17,940 since the
1992 budget included remodeling the Senior Center at a cost
of $20,000.
The City's share to the Lower Rum River Watershed District
has been budgeted in a separate fund for 1993, resulting in
a $5,000 decrease from the 1992 budget.
Contingency
$29,789
$69,360
$39,571
The contingency line in 1992 totaled $56,072 before
reallocations were made for salary increases. The 1993
contingency is composed of the following:
Anticipated salary increases
Increases caused by implementation
of a salary plan
Benefits on the above
Unanticipated events
$35,560
5,000
4,500
25,000