6.6. SR 12-20-2010REQUEST FOR ACTION
To Item Number
Ci Council 6
Agenda Section Meeting Date Prepared by
Administration December 2Q 2010 Tim Simon, Finance Director
Item Description Reviewed by
2010 Budget Amendments Lori ohnson, Ci Administrator
Reviewed by
Action Requested
The City Council is asked to consider the budget amendments as stated in the proposed 2010 budget
amendments attachment.
Background/Discussion
Budget amendments axe presented to the City Council each December in accordance with the City's
Financial Management Plan. Sections 6.3 and 6.3.1 of the Financial Management Plan regarding budget
amendments are reprinted below fox your reference.
6.3 The budget shall be adjusted as needed to recognize signiFicant deviations from original budget
expectations. The Council shall consider budget amendments each December. Budget amendments
are intended to recognize changes made by the Council during the year, to reflect major revenue and
expenditure deviations from budgeted amounts, and to consider year-end budget requests. Budget
amendments are not intended to create a budget that matches budgeted revenues and expenditures to
actual revenues and expenditures.
6.3.1 Administrative budget amendments may be made throughout the year by Department Heads to
adjust line item budgets within their department as long as the total departmental budget does not
change. These line item budget changes exclude personal service and capital outlay categories.
Administrative budget amendments must be requested in writing and approved by the City
Administrator and Finance Director.
During the course of the year, the City Council approves items which axe not included in the adopted
budget. Some of the expenditures are authorized to be taken out of the Council Contingency budget.
Also during the course of the year, a grant may be received ox another revenue source identified in which
case both the revenues and expenditures axe approved. Department heads make administrative
adjustments as allowed by the financial management plan. All of these items axe incorporated into the
year end budget amendments presented to the Council for approval.
In October 2010, the council approved amendments fox the Hillside race event and a federal grant award
fox project conserve which is reflected in the amended budget column on the attached worksheet.
N:\Public Bodies\City Council\Council RCA\Agenda Packet\12-20-2010\Budget
Amendments.docx
There are no significant changes to the 2010 expenditure budget. Most departmental budgets axe under
budget or running at budget targets at this point.
An item to be considered doing a portion early is the in-squad video upgrade planned fox 2011in the IT
budget. This would upgrade all squads to the current thud generation systems and implementation of the
new Panasonic video management software. This will provide the squads with additional camera support,
consistency between the squad and server software, single vendor support, and consistency between
squads. The IT budget has capital outlay funds remaining after the 2010 Microsoft upgrade. The amount
was less than expected and could be used to purchase a portion this year and the remaining next year.
The estimated state contract pricing fox the in-squad video upgrade is $41,065 and $29,000 could be used
this year.
Revenue amendments are proposed fox the following items.
1. Increase in cable franchise fee in the amount of $131,111 was approved from the cable
commission fox 2010. This is not expected to continue in 2011.
2. Increase in building permits revenue in the amount of $70,000 due to increase in storm damage
repairs, United Health Group expansion, and The Depot apartment project.
3. Reduction in the fire contract due to decrease in calls to Otsego. Anew contract that shifts to a
per parcel cost should provide more consistent budgeting going forward.
Pinewood and Ice Arena operating transfer will be adjusted based on the actual required amounts, which
will be determined at year-end.
Financial Impact
General Fund revenue amendments are proposed in the amount of $141,111. The budgeted difference if
realized would be offset by fund balance reserves which were planned fox 2010. Other offsets will be
council contingency and many departments ending the year below budgeted amounts.
Attachments
• 2010 Budget Amendment Summary
Action Motion by _ Second by Vote
Follow Up
N:\Public Bodies\City Council\Council RCA\Agenda Packet\12-20-2010\Budget
Amendments.docx
City of Elk River
Proposed 2010 Budget Amendments
December 20, 2010
Proposed Final
Revenues Amended' Amendment Amended
Taxes 9,823,950 (89,989) 9,733,961
Licenses & Permits 299,050 70,000 369,050
Intergovernmental Revenue 117,800 221,100 338,900
Charges for Service 538,550 (60,000) 478,550
Fines & Forfeits 135,000 135,000
Other Revenues 257,200 257,200
Transfers 605,600 605,600
Total 11, 777,150 141,111 11, 918, 261
Expenditures Proposed Final
Department Amended' Amendment Amended
MAYOR & COUNCIL 167,650 167,650
CABLE TV 81,650 81,650
ADMINISTRATION 470,500 470,500
HUMAN RESOURCES 150,450 150,450
ELECTIONS 38,100 38,100
FINANCE 447,400 447,400
INFORMATION TECHNOLOGY 303,150 303,150
LEGAL 234,000 234,000
COMMUNITY DEVELOPMENT 67,150 67,150
PLANNING 299, 950 299, 950
CITY HALL 297,000 297,000
CONTINGENCY 113,100 113,100
POLICE 4,251,350 4,251,350
FIRE 650,150 650,150
EMERGENCY MANAGEMENT 30,800 30,800
BUILDING SAFETY 465,550 465,550
ENVIRONMENTAL 52,200 52,200
STREETS 1,336,950 (27,550) 1,309,400
SNOW REMOVAL 246,550 27,550 274,100
EQUIPMENT SERVICES 246,300 246,300
ENGINEERING 178,350 178,350
PARK MAINTENANCE 767,150 767,150
RECREATION 737,800 737,800
SR. CITIZEN PROGRAMS 203,250 203,250
ENERGY CITY 95,600 95,600
TRANSFERS 164,050 - 164,050
TOTAL 12,096,150 - 12,096,150
Surplus (Deficit) (319,000) 141,111 (177,889)
* After 10/18/10 City Council approved amendments
CITY OF ELK RIVER
2010 BUDGET AMENDMENT DETAIL
DECEMBER 20, 2010
REVENUES
Source
Taxes
Charges for Services
Taxes
Intergovernmental
Licenses & Permits
Line Item
Franchise Tax
Fire Contracts
MV Reduction
MV Credit
Building Permit
Description
Cable Franchise tax (3 qtrs.)
reduction in 2010 fire calls
MV Credit [o reduce Taxes
MV Credit to reduce Taxes
City building activity
TOTAL GENERAL FUND REVENUE AMENDMENTS
Department
Information Technology
Police
Fire
Emergency Management
Streets
Snow Removal
Engineering
Park Maintenance
Energy City
Line Item
Part-time Pay
Other Professional Services
Travel, Conferences & Schools
Operating Supplies
Other Professional Services
Uniform Allowance
Operating Supplies
Other Professional Services
Travel, Conferences & Schools
Publishing
Operating Supplies
Travel, Conferences & Schools
Publishing
Equip Repair/Main[ Services
Dues & Subscriptions
Operating Supplies
Bldg Repair/Maim Services
Contractual Services
Operating Supplies
Operating Supplies
Engineering Fees
Other Professional Services
Equip Repair/Maim Services
Utilities
Bldg Repair/Maim Services
Equip Repair/Maim Services
Contractual Services
Equipment Rental
Travel, Conferences & Schools
Publishing
EXPENDITURES
Description
Dept.
Detail Total
$131,111
($60AOOi
($221,100)
$221,100
70,000
141,111
Dept.
Total
Intern for 2010 5,000 1
Consulting time-virtualization project 3,500 1
Intern /Consulting time -virtualization project (8,500) - 1
Evidence room supplies 3,000 1
Evidence room supplies (3,000) - 1
Increase Uniform Allowance 2,000 1
Fire/Rescue equipment purchases 11,200 1
Fire/Rescue equipment purchases (700) 1
Fire/Rescue equipment purchases (12,000) 1
Fire/Rescue equipment purchases (500) - 1
EOC Computer/Virtualization 500 1
EOC ComputerNirtualizalton (1,600) 1
EOC ComputerNirtualization (500) 1
EOC ComputerNirtualization 1,800 1
EOC ComputerNirtualization (200) - 1
Transfer to Snow Removal/paint for shop (31,300) 1
Paint far shop (2,000) 1
Purchase sealcoat rock 5,750 (27,550) 1
Purchase salt 27,550 27,550 1
Copier lease (600) 1
GIS Mapping (4,000) 1
GIS Mapping 4,000 1
Copier lease 600 - 1
Equipment Repair/Contractual Services (3,000) 1
Equipment Repair/Contractual Services (4,000) 1
Equipment Repair/Contractual Services 7,000 1
Equipment Repair/Contractual Services 11,500 1
Equipment Repair/Contractual Services (11,500) - 1
Energy Expo under budget (10,000) - 1
Energy Expo under butlge[ 10,000 1
TOTAL GENERAL FUND EXPENDITURE AMENDMENTS
Tickmark explanations
1=Department requested administrative adjustments
12/16/2010,2010 Amendments