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HomeMy WebLinkAboutEDA - August 16, 2011 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923 . WWW.ANDOVERMN.GOV ECONOMIC DEVELOPMENT AUTHORITY MEETING August 16, 2011 6:00 p,m, Conference Rooms A & B 1. Call to Order - 6:00 p.m. 2. Approval of Minutes (July 19, 2011 Regular; July 19, 2011 Closed) 3, Monument Entrance/Electric Reader Board Update 4. EDA Project Progress Report 5, TIP District & EDA Budget Update 6. Other Business 7. Closed Session - Parks ide at Andover Station Negotiations Update 8. Adjournment (01~ 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: Economic Development Authori~'" CC: Jim Dickinson, City Administrator FROM: Michelle Hartner, Deputy City Cler SUBJECT: Approval of Minutes DATE: August 16, 2011 INTRODUCTION The following minutes were provided by Staff for EDA approval: July 19,2011 Regular July 19,2011 Closed DISCUSSION The minutes are attached for your review. ACTION REQUIRED The EDA is requested to approve the above minutes. Respectfully subrnitted, L(Y)~ Michelle Hartner Deputy City Clerk Attach: Minutes 1 2 3 4 5 ANDOVER ECONOMIC DEVELOPMENT AUTHORITY MEETING 6 JULY 19, 2011-MINUTES 7 8 9 A Meeting of the Andover Economic Development Authority was called to order by President Mike 10 Gamache, July 19,2011,6:00 p,rn" at the Andover City Hall, 1685 Crosstown Boulevard NW, 11 Andover, Minnesota, 12 13 Present: Commissioners Sheri Bukkila, Don Jacobson, Mike Knight, Julie 14 Trude, and Joyce Twistol 15 Absent: Commissioner Robert Nowak 16 Also present: Executive Director, Jim Dickinson 17 Community Developrnent Director, Dave Carlberg 18 19 20 APPROVAL OF MINUTES 21 22 June 21, 2011 Regular Meeting: Correct as amended. 23 24 Commissioner Trude indicated on page 2, line 3 the e should be removed from the word Mobile. 25 26 Commissioner Bukkila stated on page 3, line 28 after the word City the following statement 27 should be added "by not creating additional maintenance costs to area businesses," 28 29 Motion by Jacobson, Seconded by Knight, approval of the minutes as amended. Motion carried 30 unanimously (Twistol present), 31 32 June 21, 2011 Closed Meeting: Correct as amended. 33 34 Commissioner Trude stated on page I, line 26 "and note" should be added after mortgage, line 35 29 the apostrophe should be removed from developer's and line 30 put a period after interested, 36 remove the word and, add "negotiated before the word cost. 37 38 Motion by Trude, Seconded by Bukkila, approval of the minutes as amendedo Motion carried 39 unanimously (Twistol present). 40 41 MONUMENT ENTRANCE/ELECTRONIC READER BOARD UPDATE 42 43 Mr. Carlberg indicated the City Hall electronic reader board has been installed and is up and 44 runmng. 45 46 Commissioner Twistol thought the sign was suppose to be higher, Mr, Dickinson stated this sign 47 was a replacement and to have the sign taller would require an engineer to look at the wind load 48 and to check the footings of the sign, Andover Economic Development Authority Meeting Minutes -July 19,2011 Page 2 1 Mr. Carlberg stated Staff is working on the Round Lake Boulevard entrance monument sign. Mr, 2 Carlberg handed out pictures ofthe easement stakes at this location. The easement is located 3 between the second and third house in the front yard. 4 5 Commissioner Knight asked why the sign cannot be placed where the current green population 6 sign is? Mr, Carlberg indicated there would not be enough room in that area to place the 7 permanent structure, Mr, Dickinson stated in order to place the sign in that area a new easement 8 would need to be secured. 9 10 The easement was discussed, 11 12 Commissioner Jacobson suggested talking to the City of Coon Rapids about placing the sign in 13 front of the green utility box on the Coon Rapids side. President Gamache suggested talking to 14 the homeowners where the City has the existing easement also, 15 16 The recommendation for Staff is to talk to Anoka County about using the area that the current 17 sign is located in. 18 19 Mr, Dickinson asked if the next electronic reader board focus should be at Crosstown Boulevard 20 and Bunker Lake Boulevard, The EDA agreed, A license agreement will be needed with the 21 County for the location. 22 23 EDA PROJECT PROGRESS REVIEW 24 25 Mr. Dickinson updated on the following: 26 27 Dynamic Sealing Technologies, Inc. - Staffhas completed the commercial site plan review, 28 The footing to grade construction has begun. One outstanding issue is the water connection fees. 29 Mr, Dickinson indicated he has done some comparisons of what our connection fees are when 30 dealing with large commercial projects, His fmdings indicate our water connection fee for 31 commercial hook up is not competitive. The fee may need to be looked at. He asked the EDA if 32 they would support DSTI's fee be at a more competitive rate, The EDA concurred. 33 34 2011 Special EDA Events - Concert events at the ponds at Andover Station schedule, July 21st 35 the Blue Drifters and August 11th will be Bellows & Brass, How the events are publicized was 36 reviewed, President Gamache suggested checking the radio station 88,1, they publicize local 37 events on Saturday mornings, 38 39 Community Center Shelter - He has talked to the YMCA about placing some trees by the 40 shelter. The Y indicated the trees would be located in an "activity area", The Y was asked to 41 give the City some suggestions on where to plant some trees. 42 43 Site Design for Parking Lot at Andover Station North - This project is currently out for bid. 44 The project will be cornpleted this year. Andover Economic Development Authority Meeting Minutes -July 19, 2011 Page 3 1 2 Andover Station Service Road Concept - This concept is still in discussion. 3 4 Andover Station Area Medians - Prairie Restorations was out to do maintenance and weed 5 control. The contract with Prairie Restorations expires in August 2011, 6 7 www.metroMSP.ore and City Website - Staff continues to market land for sale in Andover. 8 Kottkes Services is no longer operating as such, that property will be marketed for something 9 else. 10 11 Potential Restaurants - The Moose & Co. site has liens attached to the property, 12 13 Redevelopment - Staff is putting together a plan on how to acquire properties, CDBG money 14 that was awarded for a project is not panning out, he proposed to the County to redirect the funds 15 for another water line project. The County Staffliked the idea and will work on getting an 16 extension on the funds that was allocated 17 18 OTHER BUSINESS 19 20 Mr, Carlberg indicated the Andover Dog Park Committee requested permission to place a sign in 21 Andover Station North asking for donations, The EDA agreed to allow a sign to be placed by the 22 potential dog park area in Andover Station North with a letter of agreement indicating the sign is 23 only temporary. 24 25 The EDA recessed at 6:50 p,m. to go into a closed sessiono 26 27 The EDA reconvened at 6:55 p,m, from the closed session, 28 29 The Pov's property was discussed. 30 31 Motion by Jacobson, Seconded by Bukkila, to adjourn. Motion carried unanimously, The meeting 32 adjourned at 6:57 p,rn. 33 34 Respectfully submitted, 35 36 37 Michelle Hartner, Recording Secretary @ 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923 . WWW.Cl.ANDOVER.MN.US TO: President and Commissioners FROM: David L. Corlb",g, Community Dmlopmon' Directo, ~ SUBJECT: Monument EntrancelElectronic Sign Update DATE: August 16,2011 INTRODUCTION The EDA is requested to receive a presentation from the Community Development Director at the rneeting, DISCUSSION Monument Entrance Signs and Other Electronic Reader Board Signs Round Lake Boulevard Location - monument only Staff submitted to the Anoka County Highway Department (ACHD) on July 29th general information regarding the proposed locations and type of sign to be erected requesting direction as to the permitting process and the execution of a licensing agreement. ACHD requested additional information as to the specific size and dimensions of the sign with more detailed specifics on the locations. Staff met with Scott Maciej of DeMars Signs on Wednesday, August 10th to review the size of the signs in relation to the location to be placed to insure that the signs were properly sized to be viewed by the general public, Staff has submitted additional location and sign size information to the Anoka County Highway Department for their review, Two locations were identified as depicted on the attached map. The preferred location is to place the sign in the right of way and not utilize the easement secured with the City View Farm Plat. Crosstown/Bunker Location - monument with electronic reader board Staff submitted to the Anoka County Highway Department (ACHD) on July 29th general information regarding the proposed locations and type of sign to be erected requesting direction as to the permitting process and the execution of a licensing agreement. ACHD requested additional information as to the specific size and dimensions of the sign with more detailed specifics on the locations, Staff met with Scott Maciej of DeMars Signs on Wednesday, August 10th to review the size of the signs in relation to the location to be placed to insure that the signs were properly sized to be viewed by the general public. Based on this discussion staff requested revised schematics ofthe sign to reduce the height and length of the sign as this sign will sit higher than the traveled roadways. Attached are depictions of the proposed location and sign dimensions, ACTION REOUESTED Receive a presentation and provide direction to staff if necessary. Respectfully submitted, David L. Carlberg Z I. j ll! . II " I ;I. i I , ,: I I . I \ I ~ ~, I I !JffiE II 1 ) I , i i; I i I. """0"'" ~ j ;,1 """""--..;u...._---"-~ .....'" __-*",""'-- , , ,,~ ~ " ' i~ I, "","' I' '" :I", I .. 1" ,g 't - I ',o,l> / !; ,I;, ?" i , ',I (<['1'11 r~_\\'l!tj I ,~ I 0l I '. 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WWW.CI.ANDOVER.MN.US TO: EDA President and Board FROM: Jim Dickinson, Executive Director David L. Carlberg, Community Development Director b( SUBJECT: EDA Activity - Project Status Report DATE: August 16,2011 INTRODUCTION This memo provides a brief update of all EDA activities, Further details will be provided at the meeting. DISCUSSION Dynamic Sealing Technologies, Inc. - A building permit was issued on July 20, 2011. Construction completion is expected within 90 days, 2011 Special EDA Events - The outdoor concert schedule at the pond/pergola at Andover Station is listed below: June 15t Oak View Middle School 7:00-8:00 pom. Attendance 120-140 June 23rd Erin Rogue (Irish folk band) 7:00-9:00 porn. Attendance 40-60 July 21 5t The Blue Drifters (Bluegrass) 7:00-9:00 porn. Attendance 30-50 th Bellows and Brass (concertina) 6:30-8:30 p.m. Attendance ? August 11 The events continue to be publicized through various media devices including the City Facebook page, on the City of Andover website calendar and now on the City Hall electronic reader board. Staff also recently had a local sign company design a banner that could be placed along Bunker Lake Boulevard on the day of the event stating "Music in the Park Tonight". The cost of the banner was $375000-$400,00. Staff will ask for direction from the EDA on the purchase of the banner if the EDA would like to continue this program next year. ASN Parking Lot - Staff has prepared a design drawing for the driveway/parking lot for the site next to the ball field, The project was officially ordered by the City Council at the May 3rd City Council meeting and the bid awarded on August 4th along with the City's next round of street reconstruction projects, This driveway/parking lot is budgeted for as a T1F project expense and is planned to be under construction by the end of August. Andover Station Service Road Concept - Staff has started conceptual discussion with sorne of the business owners in the Andover Station area to gauge support. Staff is evaluating the impact of the through street/road in relation to parking requirements for the adjacent businesses. This concept is being presented as an alternative to the proposed Bunker Lake Blvd 0 left turn lane to Martin Street. Also as part of this discussion are directional signage options, Andover Station Area Medians - Pursuant to EDA action last year, Public Works will be maintaining the medians in the Andover Station Area, Relative to the Bunker Lake Boulevard median, staff is coordinating the prairie establishment with Prairie Restorations Incorporated (pRI), recently PRI was out to do maintenance and weed control. PRI's contract has now expired, Andover Station North - Mowing of the unsold lots is currently being monitored by staff, Public Works is being utilized to do the mowing, but if availability becomes an issue, staff will utilize the City's abatement contractor for periodic mowing. www.MetroMSP.orl! and City Website - Staff continues to monitor the EDA's land sales information on the MetroMSP web site sponsored by Anoka County. We have also shown information on other commercial or industrial lands that are for sale in Andover on both the www.metroms{),org and the city planning department's websiteo Staff continues to receive positive feedback from commercial property owners that they have received calls on their property frorn brokers viewing the MetroMSP website. Potential Restaurants - Staff has been researching the Moose & Co, site to determine current impediments to continued development or resell the siteo Redevelopment - Staff has coordinated the process to modify the Development District and Tax Increment Financing (TIF) Plans. On June 7th Andover City Council held the public hearing and approved the modifications, Staff has recently updated the property ownership list. Staff will be monitoring the area for potential acquisitions as they become available. Parkside at Andover Station Negotiations - Staff has been negotiating with Premier Bank and Bruggeman Homes to determine if there is a possibility of the City EDA gaining control of the lots in the Parkside at Andover Station development that are not yet built on, Recent meetings have been positive. A detailed progress report will be made as part of a separate agenda itemo A closed session is listed, but may be regular discussion dependent on the progress made to dateo ACTION REOUESTED \ , \ , \ i \J 2 @ 1685 CROSSTOWN BOULEVARD N.Wo . ANDOVER, MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923 . WWWoCI.ANDOVERoMNoUS TO: President and Commissioners FROM: Jim Dickinson, Executive Director SUBJECT: TIF District Cash Flow & EDA Fund Budget Update - July 2011 DATE: August 16,2011 INTRODUCTION The EDA is requested to receive the monthly Tax Increment Financing (TIF) District Cash Flow and EDA Budget update, In addition the EDA will receive a brief presentation on a resolution the City Council will be requested to approve, DISCUSSION The Executive Director will use the attached TIF Cash Flow Analysis as the basis for the TIF District financial update and to facilitate discussion. The Executive Director will explain the attached "Resolution Related to Tax Increment Financing District No, 1-1 and Tax Increment Financing District 1-2" that the City Council will be requested to approve at the August 16, 2011 City Council meeting, The Executive Director will also review with the EDA the 2011 EDA Fund budget - July 2011. ACTION REOUESTED Receive a presentation and provide direction to staff, "~._~., -- ---- ~~ otOmo(O(O(O o c (0 v 0 ~ ~ ~ ~ 8.9! ~~~d-~~M~ ~ ~<<OJ~ m(O~ovv~ ~ ~O ~~~~~~~ ~ ~i N~~~~~~ _ 0 CO o ~O ~ ~ ~ - 00 ~ ~ ~ '" '" ~LL.~ ~I OR ef=~ ~ ~ J!:? 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Gl ~ ~ :s UJ m ?3,....C\I(")....It)CO = ?3....C\I(I')....lOCD o ~,....~,....~,....,.... w -,....,....,....,........,.... ... .a'" >-Q) ~oooooo >-Q) :;::000000 ~ ~ ~C\lC\lC\lNNN ~NNC\lNNN I- C ~ ~ -'d.- 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 . WWW,CI.ANDOVERoMN,US TO: Mayor & Councilmembers FROM: Jim Dickinson, City Administrator CC: Andover Economic Development Authority SUBJECT: Approve Resolution Relating to Tax Increment Financing Districts 1-1 and 1-2 DATE: August 16, 2011 INTRODUCTION As the City reaches the decertification dates of TIF District 1-1 and 1-2, City Administration would like to do some basic "housekeeping" to assure that the decertification and final close out reports for the TIF Districts goes smoothly. DISCUSSION A number of years ago (and Finance Directors ago), the budgets that were adopted for the TIF districts were under the true "pooling" concept, where the budget was not allocated by district, but by projects. Subsequent to the adoptions of those budgets, the Office of the State Auditor (OSA) started requiring the allocation by District instead of project. In response to that OSA requirement, the City in November 2009 processed a formal adoption of a budget modification to allocate and confirm the budgets according the new OSA requirernent. The 2009 TIF reports were filed and met the OSA requirements. In 2010, the OSA again has changed the future TIF District reportingo The new requirements start with the 2010 TIF reports, which are to be submitted in August of 2011, In response to the new requirements City Administration would again like to do some basic housekeeping" to assure that the decertification and final close out reports for the TIF Districts goes smoothly and is requesting the City Council approve the attached resolution, The primary purpose of the attached resolution is to assist in clarifying the City's intent for and understanding of the presence of land sale proceeds received by the City for land that was purchased prior to June 30, 1997 which do not constitute tax increments and other sums (revenues) not constituting tax increments (Non-TIF Funds) per Minnesota Statutes, In summary the resolution is stating Non-TIF funds were present in the TIF 1-1 and TIF 1-2 Funds since July 31, 2001 to cash flow the activities of those funds (Interfund Loan), The Non- TIF Funds are transferred out of the 1-1 and TIF 1-2 Funds as available tax increment is available. The City as part of the annual budget process has coordinated the appropriate transfers, - 3 ' City Staff has discussed the aforementioned resolution with Ehlers and Associates (fiscal advisor) and Briggs and Morgan (bond and nF legal counsel) and both are in agreernent with the process and recommend approval of the attached resolution, ACTION REQUESTED Approve the attached Resolution Relating to Tax Increment Financing Districts No, 1-1 and Tax Increment Financing District No,1-20 -4- ----------- CITY OF ANDOVER COUNTY OF ANOKA STATE OF MINNESOTA RESOLUTION RESOLUTION RELATING TO TAX INCREMENT FINANCING DISTRICT NO, 1-1 AND TAX INCREMENT FINANCING DISTRICT NO. 1-2 WHEREAS, the City Council of the City of Andover previously established Tax Increment Financing District No, 1-1 ("TIF 1-1 ") and Tax Increment Financing District No, 1-2 ("TIF 1-2") and established funds in connection therewith (the "TIF 1-1 and TIF 1-2 Fund"); WHEREAS, the City has deposited $2,500,000 of land sale proceeds received by the City for land that was purchased prior to June 30, 1997 which do not constitute tax increments and other sums not constituting tax increments under Minnesota Statutes, Section 469.174, Subd. 25 (collectively the "Non- TIF Funds") in the TIF 1-1 Fund and the TIF 1-2 Fund, NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ANDOVER, MINNESOTA, as follows: 1. The deposit of $2,500,000 ofNon-TIF Funds which occurred after July 31, 2001 is hereby ratified as an interfund loan (the "Interfund Loan") as of the date of such deposit. 2, The Interfund Loan shall bear no interest, 3, The Interfund Loan shall be repaid on or before December 31 of each year to the extent that there are available tax increments from TIF 1-1 and TIF 1-2 for such purpose. The foregoing resolution was adopted by the Andover City Council this 16th day of August, 2011. Attested: City Clerk Mayor 4150083vl -5- CITY OF ANDOVER Budget Worksheet - 2011 EDA 2110-46500 Account Actual Actual Actual Actual Budget July YTD Number Description 2007 2008 2009 2010 2011 2011 Charges for Services (D 54370 Tax Increment Administration F 162,553 173,096 181,416 199,403 165.400 7,650 Charges for Services 162,553 173,096 181,416 199,403 165.400 7,650 Investment Income 56910 Interest Earned 8,174 14,670 7,959 8,222 6,000 2,662 56920 Valuation Adjustment 4,016 (1,283) 1,527 1,077 Investment Income 12,190 13,387 9,486 9,299 6,000 2,662 Miscellaneous Revenue 58100 Refunds & Reimbursements 1l,253 1,693 2,487 547 794 Miscellaneous Revenue 11,253 1,693 2,487 547 794 Total Revenues 185,996 188,176 193,389 209,249 171,400 11,106 Salaries & Benefits 60,725 79,811 84,380 100,556 102,468 51,346 Departmental 61005 Supplies - General 493 802 1,021 546 2,000 969 61105 R & M Supplies - General 1,202 1,483 Q) 61130 R & M Supplies - Landscape 11,226 4,093 10924 10 000 ,Qn 61310 Meals I Lodging 700 45 61315 Continuing Education 250 100 200 ],500 61320 Annual Dues I Licenses 14,630 750 765 915 800 575 61405 Postage 784 319 1,061 506 1,000 285 61410 Transportation I Mileage 1,205 1,839 1,943 ],800 2,200 ],050 Departmental 28,588 7,903 4,790 7,093 18,200 4.987 Operating 62005 Electric 7,134 5,172 8,000 62100 Insurance 2,239 2,190 2,537 4,738 5,250 2,873 62200 Rentals 2,563 ],924 62210 Computer Services 1,500 1,545 1,600 ],600 1,600 1,600 Operating 3,739 3,735 11,271 14,073 ]4,850 6,397 Professional Services 63005 Professional Services ],965 1,550 5,656 3,464 5,200 8,371 (J> 63010 Contractual Services 17,236 12,533 14,244 17,046 79,000 2377 63015 Attorney 619 1,810 2,000 63025 Publishing 947 816 25 988 2,500 404 63100 R & M Labor - General 30282 1,950 63200 Inspections 156 23 35 23 Professional Services 23,586 17,491 21,770 21,521 88,700 11,152 Capital Outlay (9) 65300 Improvements 47,364 Total Expenditures 116,638 108,940 122,211 143,243 224,218 121,246 Net Increase (Decrea.e) in FB 69,358 79,236 71,178 66,006 (52,818) (110,140) Fund Balance Beginning 181,058 250,416 329,652 400,830 466,836 466,836 Ending 250,416 329,652 400,830 466,836 414,018 356,696 -, - --------------- City of Andover Budget Detail for all Object Codes (List each expense account individually with specific cost detail) Department / Cost Center: Economic Development - 2110 Amount Requested Total Priority Object 2010 2011 2011 1 through 5 Code Explanation Budget Adjw;;tinent Request -high: 5-low 61005 SUPPLIES - GENERAL 2,000 2,000 paper/promotions supplies 0 0 0 0 Total 2,000 0 2,000 61130 R & M SUPPLIES. LANDSCAPE 0 0 median expenditures 0 10,000 10,000 0 0 Total 0 10,000 10,000 61310 MEALS / LODGING 700 700 Special events participation - Staff/Commission 0 0 0 0 Total 700 0 700 61315 CONTINUING EDUCATION 1,500 1,500 Training opportunities - Staff/Commission 0 0 0 0 Total 1,500 0 1,500 61320 ANNUAL DUES / LICENSES 800 800 Chamber of Commerce Dues 0 0 -Anoka Area & Metro North 0 0 0 0 Total 800 0 800 61405 POSTAGE 1,000 . 1,000 Newsletter Publication & Mailings 0 0 0 0 Total 1,000 0 1,000 61410 TRANSPORTATION / PARKING 2,200 2,200 Staff/Commision Travel 0 0 Executive Director % allocation 0 0 0 0 Total 2,200 0 2,200 62005 ELECTRIC 0 B.OOO 8,000 Andover Station Area Street Light Cost Sharing 0 0 0 0 Total 0 8,000 8,000 62100 INSURANCE 5,250 5,250 Risk ManagemenULMCIT Premiums 0 0 0 0 Total 5,250 0 5,250 62210 COMPUTER SERVICES 1,600 1,600 Central systems - Server/emaillimaging/etc. 0 0 0 0 Page 1 of2 -" ---- City of Andover Budget Detail for all Object Codes (List each expense account individually with specific cost detail) Department I Cost Center: Economic Development - 2110 Amount ReqUElsted Total Priority Object 2010 2011 2011 1 through 5 Code Explanation Budaet Adiustment Request 1.hiah:5-low Total 1,600 0 1,600 63005 PROFESSIONAL SERVICES 3,500 3,500 Audit and Financial Services 1,700 1,700 0 0 Total 5,200 0 5,200 63010 CONTRACTUAL SERVICES 1,000 1,000 Landscaping @ Andover Station - assoc membership 10,000 (8,000) 2,000 Maintenance . Andover Station Area 20,000 20,000 Partnership opportunities - EDA Discretionary 16,000 16,000 Three Community Monument Entrance Signs 0 40,000 40,000 .fotal 47,000 32,000 79,000 63015 ATTORNEY 2,000 2,000 0 0 0 0 Total 2,000 0 2,000 63025 PUBLISHING 2,500 2,500 Tax Increment Reporting 0 0 0 0 Total 2,500 0 2,500 Grand Total for all Expenditures $71,750 $50,000 $121,750 :< ...... <........:.>> ......:. Page 2 of2 -~ '