4.7. SR 12-21-1998'ity of
River
MEMORANDUM
Item #4.7.
TO:
FROM:
DATE:
SUBJECT:
Mayor & City Council
Lori Johnson, Finance Director
December 21, 1998
1998 Budget Amendments
Attached are the proposed 1998 budget amendments (in draft form) and
pertinent background information. The information as presented
incorporates expenditures which the council has approved throughout the
year for various unanticipated and/or new program expenditures which were
not included in the adopted budget, revenue adjustments to reflect increases
in building and planning revenues, and also included are numerous
department head requests. Unlike past years, this year there are two very
substantial requests which, if approved, will utilize almost all of the revenue
surplus.
It is important to remember that budget amendments are not intended to
reflect actual year end revenues and expenditures. Rather, budget
amendments incorporate additional expenditures as approved by the council
and significant revenue variances unanticipated when the budget was
approved. Although numerous revenue categories may exceed the adopted
budget, budget amendments are only proposed for the hne items with
substantial revenue increases. Therefore, the year end revenues will exceed
the amended budget amount. The same is true for expenditures - hopefully
most departments will be under budget.
The two main requests included in the budget amendments are for the police
department and the Ice Arena. The council previously approved transferring
funds from the General Fund to the Ice Arena Fund to ehminate the deficit
fund balance at year end. The pohce department computer needs were
discussed earher by the council; however, the request has changed
significantly since that time. Attached is an excerpt of a report from
Assistant Pohce Chief Jeff Beahen regarding this issue. Based on a hardware
quote received late Thursday, it appears that the request may increase by
approximately $30,000. Jeff will be present Monday to discuss this issue in
more detail and answer any questions the council may have.
13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 · TDD & Phone: (612) 441-7420 · Fax: (612) 441-7425
As I stated earlier, budget amendments are not intended to mimic year end
actual revenues and expenditures. Based on very preliminary estimates, it
appears as though the fund balance may increase very slightly depending
upon the amount of the transfer to the Ice Arena Fund and the cost of the
police computer system. I want to again clarify that year end revenues will
actually exceed the adopted budget by more than the proposed budget
amendments totaling $288,300.
I will be available Monday night to provide additional information and an
updated ice arena projection. There are several budget requests included in
the budget amendments which have not been approved by the council which
may require council discussion in addition to any other amendment requests
the council may have.
Action Requested
The council is asked to consider the 1998 budget amendments and
encumbrances as presented.
1998 BUDGET AMENDMENT SUMMARY
nEVENUES
GENERAL PROPERTY TAX
INTERGOVERNMENTAL REVENUES
CHARGES FOR SERVICES
FINES & FORFEITS
LICENSES & PERMITS
OTHER REVENUES
TRANSFERS
USE OF FUND BALANCE
TOTAL
1998 1998
ADOPTED AMENDMENT AMENDED
$2,632,600 $2,632,600
1,102,550 19,000 1,121,550
347,300 104,000 451,300
80,000 17,000 97,000
317,950 189,000 506,950
142,150 26,400 168,550
257,000 (40,000) 217,000
25,700 25,700
$4,905,250 $315,400 $5,220,650
EXPENDITURES
1998 1998
ADOPTED AMENDMENT AMENDED
MAYOR & COUNCIL
ADMINISTRATION & FINANCE
ECONOMIC DEVELOPMENT
ELECTIONS
LEGAL
BUILDING & ZONING
ENERGY CITY
DATA PROCESSING
~,NNING COMMISSION
· _ANNING
ENGINEERING
GOVERNMENT BUILDINGS
POLICE
FIRE
POLICE RESERVES
EMERGENCY PREPAREDNESS
STREETS
EQUIPMENT REPAIR & MAINT.
SNOW REMOVAL
STREET LIGHTING
SHADE TREE
PARKS
RECREATION
SR. CITIZEN PROGRAMS
CONTINGENCY
TRANSFERS OUT
TOTAL
$78,900
532,450 4,500
33,750 1,000
22,050
62,600
347,650 17,300
20,200
40,200 13,000
7,300
175,100
42,000
166,500 26,800
1,790,300 226,300
273,200 17,600
28,350
14,800
490,500 11,800
111,650
123,250 3,000
1,500
11,600
154,100
191,750
43,900 900
141,650 (106,800)
100,000
$4,905,250
$78,9OO
536,950
34,750
22,050
62,600
364,95O
20,200
53,200
7,300
175,100
42,000
193,300
2,016,600
290,800
28350
14800
502.300
111 650
126.250
1.500
11 600
154 100
191 750
44,800
34,850
100,000
$315,400 $5,220,650
12/21/98;Bgtamend Page 1
REVENUES
Intergovernmental Revenue
Charges for Services
Licenses & Permits
Fines & Forfeits
Miscellaneous Revenue
Transfers In
Use of Fund Balance
1998 BUDGET AMENDMENT DETAIL
Police Aid
Plan Check Fees
Building Permits
Plumbing & Heating Permits
Fines
Interest Income
Street Reserve
Dept,
Detail Total
~19,000 819,000
104,000 104,000
170,000
19,000 189,000
18,400 18,400
25,000 25,000
(40,000) (40,000)
EXPENDITURES
Administration & Finance
Economic Development
Building & Zoning
Data Processing
City Hall
(1)
(1)
(1)
(2)
(2)
(2)
(2)
Personal Service
Personal Service
Personal Services
Personal Services
Capital Outlay
Personal Services
Cleaning Contract
Capital Outlay
Capital Outlay
Additional Clerical Staff
File Server & 4 PCs
Telephone & Voice Mail Y2K
Floor Scrubber
$4,500 84,500
1,000 1,000
7,500
9,800 17,300
13,000 13,000
15,000
(7,70O)
16,500
3,000
26,800
Police
(1)
(2)
(3)
(3)
(2)
(3)
(2)(4)
Personal Service
Personal Service
Personal Service
Conferences & Schools
Professional Services
Capital Outlay
Capital Outlay
Capital Outlay
Reduction in Work Comp
Additional Staff - Asst, Chf
Vision Software training
Data Conversion
5 PCs
Computer Y2K
Opticom/EVP
7,500
(19,000)
40,000
16,400
10,000
10,000
150,000
11,400
226,300
Fire Department
Streets
Removal
(2)
(2)
(1)
Personal Service
Equipment Repair & Maint,
Capital Outlay
Capital Outlay
Personal Service
Capital Outlay
Capital Outlay
Relief Assn Retirement
4 air/elec auto eject outlets
Air Compressor
Carbon Cylinders for air packs
Computers
Pickup Snow Plow
2,650
1,400
8,250
5,300
7,800
4,000
3,000
17,600
11,800
3,000
12/21/98;Bgtamend Page 1
Senior Citizen Programs (1)
Contingency (1)
Transfers Out (2)(5)
Personal Service
Personal Services
Capital Outlay
Ice Arena Special Revenue Fund
900
(67,300)
(39,500)
100,000
900
(106,800)
100,000
NOTES:
(1) Cost of Living Adjustment previously approved.
(2) Expenditure request previously approved.
(3) Police Computer - all are estimated costs which may change.
(4) Previously approved but funding source not identified.
(5) Year End fund deficit is an estimate only. This transfer will be based on the actual deficit.
1998 PURCHASE REQUESTS (not previously approved)
Request Department Budget Amendment
Snowmobile Police Reserve Not needed
Floor Scrubber City Hall yes - included above
4 air & 4 electric auto eject grits. Fire yes - included above
Light weight cylinders Fire yes - included above
Update PCs Streets yes - included above
Snow Plow for I ton Snow Removal yes - included above
Amount
$5,000
3,000
1,400
5,300
4,000
3,000
Personnel Ordinance Revision
ENCUMBRANCE REQUESTS
Council Contingency
not needed
$10,000
COUNCIL CONTINGENCY EXPENDITURES
Adopted Budget
8141,650.00
Rivers of Hope
Park Referendum
Sherburne County Historical Society
Personnel Ordinance Revisions
2,000.00
17,022.62
3,000.00
10,000.00
Balance Available
109,627.38
Budget Amendments
Personal Services
Capital Outlay
67,300.00
39,500.00
Balance Available After Amendments
$2,827.38
12/21/98;Bgtamend Page 2
POLICE DEPARTMENT COMPUTER
PRO3ECT
SYSTEM RECOMMENDATI'ONS
December :!.4~ :t998
Prepared by 3effrey Beahen
Assistant Chief of Police
OVERV]:EW:
In May of this year, the Police Department presented to council, a request for an
upgrade to a new computer system. This upgrade was requested for several reasons.
One of the primary reasons was that the current computer system will not run past
December 31m 1999, as it is not a year 2,000 capable system.
This primary issue means that the police department will lose it's entire record keeping
system on that date. This would include all past records as well as the ability to
continue to enter records, communicate with the state and national network and query
any vehicle or person data.
In addition, the current system has been running out of memory, is not able to be
upgraded to facilitate additional storage, and the minor changes made just to keep it
running have been very expensive.
OR]:G]:NAL PROPOSAL:
The department originally proposed allocating funds to join in with Sherburne County
on a shared records system which would be not only cost effective but would integrate
the dispatch center, records units and all users on one network configuration.
The system proposed was the MASYS Corporation Stratus system. Sherburne County is
using this system now. This corporation provides the ENFORS system that Elk River is
using currently.
The cost for the original system was $53,500 for the shared software with Sherburne
and a monthly maintenance cost of $945.00 a month.
We would need a local area network and server to facilitate the upgrade, and estimated
our network costs around $15,000.00.
The long-range goal was to install in car computers to complete the integration with a
cost per car factor of $10,000.00 for the Cerulean's PacketCluster mobile package. The
cost for ten squads would be $100,000 but the department has applied for a grant to
cover the majority of the Cerulean costs.
PROBLEM ]:DENT]:FTCAT]:ON:
Council approved the original project and the police department has proceeded forward
as planned. The project however has not been trouble free and in fact, several areas of
concern have risen which caused the department to re-evaluate the original proposal.
The concerns include the following items:
l)
2)
3)
4)
rvlASYS has been a provider for the Elk River Police Department for a long period
of time. Our experiences with this company have been less than satisfactory.
They use subcontracted employees to provide maintenance service, some of who
travel from out of state and are not available for emergency repairs. :in recent
years, calls for service have resulted in very poor service and lengthy response
times. HASYS also formally had a user base of over 30 departments in
Minnesota. That number is shrinking as more and more departments leave for
other vendors. :It would appear that by the year 2,000 there will be less than 12
departments on line in Minnesota using any MASYS products. This creates grave
concerns for what type of support and product development will be available
over the next 5-10 years.
MASYS has offered a shared records system but has been very unclear as to
what we will receive once the system is finally installed. Promises of dispatch and
records integration on the county end have failed to materialize. They county
records staff has in fact reported that the new system has failed to perform as
expected and in most cases is causing a slowdown in daily work.
The hardware specifications were very vague. When these were put out for bids,
the companies had a very difficult time specifying what we would have installed.
:It took months to finally receive a suitable bid as the company had to build the
specifications themselves by researching the software and configuration
proposed by HASYS.
Once a final bid had been received and it appeared the cost would be around
$:[7,000, we gave the go ahead to start network installation. The vendor decided
to double check with Sherburne County on one last hardware issue. :In doing so,
they discovered that MASYS had failed to inform Sherburne of our local area
network configuration. Sherburne did not consent to our network hooking up as
planned due to security concerns on their end. They agreed to the shared
records portion of the agreement, but had no prior information as to how we
were going to tie in.
s)
6)
Several meetings were held, and a new configuration was designed which would
allow Elk River to tie in with Sherburne's system. The cost increased to $23,000
due to additional hardware which we would have to purchase.
During these meetings, it became apparent that Sherburne was not totally
pleased with the performance of the system, and that there were still many
unanswered questions about how this was all going to work. Our department
faith in rvlASYS during all this began to diminish.
PROBLEM RESOLUT'~ON:
One element which played into the original MASYS requeSt, was that Sherburne County
had sought out product specifications for their new system. Although it was a possibility
that Elk River might share a system, we were not included in the bid specification or
equipment selection process. Sherburne made the decision on their own without any
input from our department. This locked us into one product, without the ability to
specify what our needs are. This is not the best way to obtain software products, but
seemed to be the most economical.
The ongoing dissatisfaction however convinced us that MASYS was lacking in
organization, reliability and product support. Once it started to become apparent that
MASYS might not offer the best or most reliable product, we began looking at other
systems which were available in the Minnesota area.
Anoka County police and sheriff's departments had consolidated on a venture where
they hired a consultant to exam the specifications for a joint records system and specify
a request for bid process for same. After two years of research, the company chosen
was Vision Software.
The choice was based on several major points of consideration. They included:
1) Individual department capabilities in designing default settings for
management, records recall, system integration and software additions.
2) Integration with mobile computer systems. Instead of having to purchase the
radio based mobile computers, we can purchase cellular operating systems
for one-third the cost.
3) Increased communication capabilities. (E-mail, automatic queries, state link)
4) Windows operating environment also operates in Windows NT on the server
which allows much better integration with any windows run application.
Proprietary applications, such as Stratus, do not allow conversion to any other
applications.
5) Used in over 600 department nationwide
6) Increased support services including on-line support, upgrades and technical
audits.
7) Module design. Allows purchase of sections to build system as department
needs change or grow.
8) System installed and guaranteed fully functional prior to technical staff
leaving your site.
9) Extensive training provided for all staff.
There are several weaknesses with the Vision system which include:
1) More difficult to integrate with Sherburne's dispatch center.
2) No records conversion in place. We would have to pay to have an
independent contractor covert our old files over to the new system.
3) More expensive.
NEW PROPOSAL:
It appears to be a wiser decision to proceed forward with the Vision system. The long-
range use, support and integration factors appear to be stronger with this system.
The cost for Vision is not exact at this time. The software costs are accurate, but we are
still waiting to hear from the hardware vendor on the network costs. The specifications
for hardware are very specific which had slowed the bid process down significantly.
The other unknown factors are whether or not Anoka County will allow us to tie in with
them for both a message center and records management. This would be a significant
cost reduction. We would still use Sherburne for 91:l communication, but all other
messaging would go through the Anoka network.
Anoka is still evaluating that decision. The combined agencies in Anoka County spent
almost $300,000 on consultant fees just to design and locate a vendor to meet their
needs. We were not part of that process. They are deciding if we should be allowed to
hook up without sharing any of the consultants fees and what our software costs would
be if we enter the shared network.
The projected costs thus far are:
l)
2)
3)
4)
6)
7)
8)
Hardware - rough estimate from CPS is around $27,000. This does not
included Microsoft e-mail, which has a combined City Hall/Police
Department cost of $10,000. (Includes license, hardware and software)
Software costs for Vision is $63,722.00.
Annual maintenance is $7,647.00 or $637.00 per month.
Training costs are $16,400.00
Installation costs are $:[5,400.00
Configuration costs are $4,200.00
Project management is $10,500.00
CDPD MDC for I0 cars @ $3,000 per car = $30,000.00
Total cost for the project is $i84,869.00
Applied for grant: $70,000
Final cost: $1:[4,869.00
The total cost for Stratus would be:
1)
2)
3)
4)
5)
Hardware- $22,750.00
Maintenance - $11,340.00 or $945.00 per month
Software- $53,500.00
E -Mail, would be the same, (if ordered) $10,000
MDC for squad use, 10 cars @ $10,000.00 per car = $100,000.00
Total costs: $197,590.00
Applied for grant: $70,000.00
Final cost: $127,590.00
There is a significant difference in maintenance per month between the two companies.
We would actually see savings of $308.00 per month with the Vision system.
CDPD (Cellular Digital Packet Data) does however require a cellular link between the
computer and the car. There is a set fee per car of $50.00 per month or $500.00 for
the ten cars. Taking into fact the maintenance savings, we would be paying
approximately $192.00 a month more a month for our service needs.
If Anoka County does not allow us to use their message switch, we would have to pay
an additional $31,900 to allow use to use the mobile applications. This would bring the
vision cost up to $146,769.00.
We also have to decide how to approach the issue of records conversion. Getting at
least some of our current data over to the new system is essential and must be done.
There are several ways this can be done. St. Cloud and Apple Valley will be the first two
departments to covert records. They are both waiting for final bids on the conversion
itself. It would appear however in taking to a number of departments, that conversion
will be less than $20,000 a department - possibly much less. The exact cost is difficult
to predict without soliciting bids once the software purchase is approved.
CONCLUSION:
If Anoka County allows us to use their message system, Vision is a far better deal. Even
if they don't, the cost is well worth it as Vision is a far superior company and offers a
much better product for the money.
The extra cost spread out over 10-15 years in actually minimal when purchasing a
system that should provide service for that amount of time.
Investing in a quality system now will provide a system that allows the city to gain the
most out of the product. The ability to locate, use and transfer information between
work products gives the department a tremendous tool and resource for many years to
come.
Our goal is also to convince Sherburne County to join in at some point and also go with
the Vision system. Sheriff Anderson is open to changing and is waiting to see how the
project goes in Anoka County before he commits any further.
Submitted by:
Assistant Chief of Police
Elk Rive z
From:
r Date:
Police Department Subject:
Memorandum
Mayor and City Council
Thomas D. Zerwas, Chief of Police ~
Jeffrey Beahen, Assistant Chief of PoliceJ
December 17, 1998
PURCHASE OF SECOND SNOWMOBILE
This is a request for authorization to purchase a second snowmobile for enforcement
officers during the winter season. We currently have one snowmobile available that was
used last year with success. Our rationale for a second snowmobile is for officer safety.
Should an officer be injured or incapacitated for whatever reason, the second officer
would be able to provide assistance and call for help.
We have also received a $1,000.00 (one thousand dollars) overtime grant from the
Minnesota Department of Natural Resources. With the grant money, we intend on
scheduling officers on a more frequent basis to enforce snowmobile violations occurring
throughout the City. We also plan on using a police reserve on a volunteer basis to be the
backup officer during some shifts.
We have received quotes from Zimmerman Sports for a 1999 Polaris RMK for $4,214.13
(four thousand, two hundred fourteen dollars and thirteen cents) plus tax. This sled has a
two (2) year engine and one (1) year snowmobile warranty. Riverview Sports gave us a
quote tbr a 1999 Yamaha 500 SX with a full three (3) year warranty for $4,362.00 (four
thousand, three hundred sixty two dollars) plus tax.
There is currently sufficient funds remaining in the 1998 police reserve budget to
purchase the second snowmobile. I am, therefore, making a recommendation that we
purchase a snowmobile from Riverview Sports (a 1999 Yamaha SX for $4,362.00 plus
tax).
If you have any questions, please give me a call.
TDZ/kma
13065 Orono Parkway · P.O. Box 723 · Elk River, MN 55330 · (612) 441-2324 · Fax (612) 441-8937
DECEMBER 15, 1998
TO: CHIEF ZERWAS
FR: STEVE BOCKWITZ
RE: PURCHASE OF SNOWMOBILE
AS REQUESTED I OBTAINED THE FOLLOWING PRICE QUOTATIONS FOR THE
PURCHASE OF A SNOWMOBILE BY THE ELK RIVER POLICE DEPARTMENT.
ZIMMERMAN SPORTS CONTACT- ROB MEVISSEN
1999 POLARIS 500 RMK
TOTAL
4,089.36
125.00 FREIGHT
4,214.36 PLUS TAXES
1999 POLARIS 500 XCSP
TOTAL
4,400.08
125.00 FREIGHT
4,425.08 PLUS TAXES
RIVERVIEW SPORTS CONTACT- LES LUNDOUIST
1999 YAMAHA 500 SX
TOTAL
4,362.00
N/C FREIGHT
4362.00 PLUS TAXES
WARRANTY INFORMATION
YAMAHA
POLARIS
3 YEARS
2 YEARS ENGINE
1 YEAR BALANCE OF SNOWMOBILE