8.3. SR 12-19-2011REQUEST FOR ACTION
To Item Number
Ma or and Ci Council 8.3
Agenda Section Meeting Date Prepared by
Administration December 19, 2011 Tim Simon, Finance Director
Item Description Reviewed by
Approve 2011 Budget Amendments Cal Portner, Ci Administrator
Reviewed by
Action Requested
Approve the budget amendments as stated in the proposed 2011 budget amendments attachment.
Background/Discussion
Budget amendments are 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 axe reprinted below for 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 are 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 or another revenue source identified in which
case both the revenues and expenditures are approved. Department heads make administrative
adjustments as allowed by the Financial Management Plan. All of these items are incorporated into the
year-end budget amendments presented to the Council for approval.
There are no significant changes to the 2011 expenditure budget. At this point, most departmental
budgets axe at budget targets. The administration budget will be adjusted for the net amount of the
severance payout and staff transition savings.
Revenue amendments are proposed for the following items.
tANtRE~ 8~
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1. Increase in building permits revenue in the amount of $50,000 is due to a few additional
commercial projects (Pizza ranch, Ashley Furniture, and Guardian Angels).
2. Increase in plumbing/heating permits revenue in the amount of $105,000 relates to the school
district doing a number of renovation projects in Elk River and United Health.
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 net amendments are proposed in the amount of $65,000. Other offsets will be Council
Contingency and some departments ending the year below budgeted amounts.
Attachments
• 2011 Budget Amendment Summary
Action Motion by Second by Vote
Follow Up
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City of Elk River
Proposed 2011 Budget Amendments
December 19, 2011
Proposed Final
Revenues Adopted Amendment Amended
Taxes 9,612,400 9,612,400
Licenses & Permits 252,700 155,000 ,407,700
Intergovernmental Revenue 528,050 528,050
Charges for Service 643,100 643,100
Fines & Forfeits 130,000 130,000
Other Revenues 212,700 212,700
Transfers 784,500 784,500
Total 12,163,450 155,000 12,318,450
Expenditures Proposed Final
Department Adopted Amendment Amended
MAYOR & COUNCIL 177,800 177,800
CABLE TV 77,800 77,800
ADMINISTRATION 473,650 90,000 563,650
HUMAN RESOURCES 150,750 150,750
ELECTIONS -
FINANCE 454,700 454,700
INFORMATION TECHNOLOGY 266,600 266,600
LEGAL 240,000 240,000
COMMUNITY DEVELOPMENT 67,100 67,100
PLANNING 303,550 303,550
CITY HALL 300,850 300,850
CONTINGENCY 75,000 75,000
POLICE 4,288,650 4,288,650
FIRE 774,450 774,450
EMERGENCY MANAGEMENT 107,400 107,400
BUILDING SAFETY 465,200 465,200
ENVIRONMENTAL 56,950 56,950
STREETS 1,524,450 1,524,450
SNOW REMOVAL 262,850 262,850
EQUIPMENT SERVICES 245,950 245,950
ENGINEERING 177,800 177,800
PARK MAINTENANCE 790,350 790,350
RECREATION 756,900 756,900
SR. CITIZEN PROGRAMS 204,450 204,450
ENERGY CITY 51,650 51,650
TRANSFERS 205,200 - 205,200
TOTAL 12,500,050 90,000 12,590,050
Surplus (Deficit) (336,600) 65,000 (271,600)
CITY OF ELK RIVER
2011 BUDGET AMENDMENT DETAIL
DECEMBER 19, 2011
REVENUES
Dept.
Detail Total
Source Line Item Description
Licenses & Permits Building Permits Increase in building permit activity 50,000 2
Plumbing/Heating Permits Increase in building permit activity 105,000 2
155, 000
TOTAL GENERAL FUND REVENUE AMENDMENTS $ 155,000
EXPENDITURES
Dept.
Department Line Item Description Detail Total
Administration Regular Pay Personnel adjustments 90,000 90,000 3
Fire Equipment Repair/Maintenance Overall increased repaircosts/ hydraulic repair: 11,000 1
Travel, Conferences & Schools Amend to equipment repair/maintenance (10,000) 1
Telephone Amend to equipment repair/maintenance (1,000) - 1
Emergency Management Operating Supplies Update ID Citywide ID Card system 3,500 1
Telephone Amend to operating supplies (1,000) 1
Travel, Conferences & Schools Amend to operating supplies (1,500) 1
Equip Reapir/Maint Services Amend to operating supplies (1,000) - 1
Streets Operating Supplies Amend to Contractual Services (15,000) 1
Contractual Services Amend from Operating Supplies 15,000 - 1
Engineering Office Supplies Amend to Equipment Repair/Maint. (750) 1
Operating Supplies Amend to Other Professional Services (4,800) 1
Other Professional Services Pavement Mgmt Software/Database upgrades 7,800 1
Travel, Conferences & Schools Amend to Other Professional Services (3,000) 1
Travel, Conferences & Schools Amend to Equipment Repair/Maint. (1,000) 1
Equip Repair/Maint Services Copier lease 1,750 - 1
Park Maintenance Operating Supplies Amend from various accounts 8,650 1
Equipment Parts Amend from various accounts 9,100 1
Telephone Amend to Operating Supplies (1,400) 1
Travel, Conferences & Schools Amend to Equipment Parts (1,100) 1
Utilities Amend to Operating Supplies (4,250) 1
Building Repair/Maint Services Amend from Equipment Rental 400 1
Contractual Services Amend from Equipment Rental 2,000 1
Equipment Rental Amend to various accounts (13,400) - 1
TOTAL GENERAL FUND EXPENDITURE AMENDMENTS $ 90,000
Department Line Item
ARENA Operating Supplies
Travel, Conferences & Schools
Publishing
Building Repair/Maint Services
Contractual Services
Hockey Operating Supplies
Contractual Services
Concessions Operating Supplies
Other Merchandise for Resale
Description
Detail Total
TOTAL ARENA EXPENDITURE AMENDMENTS
Amend from Hockey Operating Supplies
Amend from Building Repair/Maint Services
Amend from Hockey Contractual Services
Amend to various accounts
Amend from Building Repair/Maint Services
Amend to Arena Operating Supplies
Amend to Arena Publishing
Amend to Other Merchandise for Resale
Amend from Operating Supplies
Tickmark explanations
1= Department requested administrative adjustments no increase to budget.
2=Increase revenue due to commercial project rennovations/expansions in 2011.
3=Amendment net of severance and staff transition savings.
3, 500 1
100 1
1,750 1
(850) 1
750 1
(3,500) 1
(1,750) 1
(1,500} 1
1,500 - 1
$ -
12/15!2011;2011 Amendments