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7.0. HRSR 08-26-2002 Item # 7 111/ City of Elk - -� River MEMORANDUM TO: Housing & Redevelopment Authority FROM: Catherine Mehelich, Director of Economic Developmen / 7' DATE: August 26, 2002 SUBJECT: Consider Year 2003 Budget and Resolution Regarding HRA Levy Attachments • Budget worksheet—Page 1 &2—HRA Projected Revenue &Expenses • Resolution establishing the HRA tax levy for collection in year 2003 Summary • The Economic Development Department consists of two separate budgets including: • Economic Development Authority • Housing&Redevelopment Authority In the past the City General Fund supported 20% of the personal service expenses. The EDA and HRA levies are not at a point that it is feasible to balance the Economic Development Department without the General Fund. Revenues are estimated at 8%growth in market value for year 2003. Personal Service costs (salaries and benefits) are proposed to be divided as follows: • EDA-70% • HRA-30% Other common administrative expenses are proposed to be shared by the EDA and the HRA. As in previous years, the HRA would make a one time transfer to the EDA in the amount of$3,500 to cover approximately 25% of the shared expenses. Following is a line item analysis of the proposed year 2003 expenditures for the HRA: • Personal Services $ 38,650 • Office Supplies (shared with EDA) $ 1,950 • Fuels and Lubricants (shared with EDA) $ 150 • • Legal Fees $ 1,750 Consider HRA Year 2003 Budget August 20,2002 Page 2 of 2 • • Other Professional Services $ 16,000 o Ehlers &Assoc. -Redevelopment Project Management • Telephone (shared with EDA) $ 200 • Postage (shared with EDA) $ 1,500 • Travel, Conference&Schools (shared with EDA) $ 8,650 • Publishing (Downtown Project Communications) $ 4,400 • Insurance $ 200 • Dues & Subscriptions (shared with EDA) $ 1,600 • Transfer out to General Fund $ 1,500 • Transfer—Capital Outlay (sidewalk project) $ 67,000 • Transfer out to EDA (approx. 25% shared expenses) $ 3,500 Total HRA Year 2003 Proposed Expenditures: $133,000 Total HRA Year 2003 Proposed Revenue: $143,500 Recommendation Staff recommends that the HRA approve the year 2003 HRA Budget as presented, and approve of the attached Resolution establishing the HRA tax levy for collection in year 2003. • 1111 RESOLUTION 02- • A RESOLUTION OF THE ELK RIVER HOUSING AND REDEVELOPMENT AUTHORITY A RESOLUTION ESTABLISHING THE TAX LEVY FOR THE ELK RIVER HOUSING AND REDEVELOPMENT AUTHORITY FOR COLLECTION IN 2003 WHEREAS, Minnesota Statute Section 469.033, Subdivision 6, authorizes a Housing and Redevelopment Authority to levy an amount not to exceed .0131 percent of the taxable market value of property within the city to be used for redevelopment purposes; and, WHEREAS, the Elk River Housing and Redevelopment Authority anticipates expenditures in 2003 for various redevelopment activities; and, WHEREAS, the Housing and Redevelopment Authority will adopt and approve its budget before a special tax can be levied. NOW, THEREFORE, BE IT RESOLVED that the Housing and Redevelopment Authority requests that the City Council of the City of Elk River,Minnesota,levy a special tax not to exceed . the statutory limit of.0131 percent of taxable market value of the city for the benefit of the Authority to be used for purposes as provided in Minnesota Statutes. Passed and adopted by the Elk River Housing and Redevelopment Authority this 26th day of August,2002. Larry Toth, Chair ATTEST: Catherine Mehelich, Executive Director • BUDGET WORKSHEET August 19 Proposed Budget Date: 08/14/02 Time: 4:28pm CITY OF ELK RIVER Page: 1 Prior Current Year Year Original Amended Actual Thru Estimated 12/31/02 Actual Budget Budget December Total Requested Recommended Adopted Fund: 910 HRA Revenues TAX TAXES 3111 Current Ad Valorem Taxes 109,036 111,100 111,100 62,258 141,500 TAXES 109,036 111,100 111,100 62,258 141,500 GOVT INTERGOVERNMENTAL REVENUE 3322 Homestead Credit 5,639 0 0 0 INTERGOVERNMENTAL REVENUE 5,639 0 0 0 OREV OTHER REVENUE 3621 Interest Income 2,844 2,000 2,000 1,532 2,000 3910 Sale of Equip/Assets 0 0 0 0 OTHER REVENUE 2,844 2,000 2,000 1,532 2,000 Total Revenues 117,519 113,100 113,100 63,790 143,500 Expenditures Dept Group: 600 HOUSING & ECONOMIC DEVELOPMENT Dept: 610.610 HOUSING & REDEVELOPMENT PS PERSONAL SERVICES 4101 Regular Pay 15,761 21,750 21,750 6,325 19,300 31,150 4102 Overtime Pay 0 0 0 0 4103 Part-time Pay 0 0 0 0 •RA 799 1,200 1,200 383 1,050 1,700 4105 FICA 967 1,350 1,350 435 1,200 1,950 4107 Medicare 226 300 300 102 300 450 4108 Insurance 1,239 1,950 1,950 860 2,200 3,300 4109 Workers Comp 36 100 100 19 100 100 PERSONAL SERVICES 19,028 26,650 26,650 8,124 24,150 38,650 SUPP SUPPLIES 4201 Office Supplies 9 0 0 308 SUPPLIES 9 0 0 308 OSC OTHER SERVICES & CHARGES 4304 Legal Fees 0 1,750 1,750 0 1,750 1,750 4319 Other Professional Services 33,492 24,000 24,000 17,893 16,000 16,000 4321 Telephone 0 0 0 0 4322 Postage 15 0 0 399 4331 Travel, Conferences & Schools 32 0 0 59 4349 Advertising/Marketing 0 0 0 2,134 4359 Publishing 292 0 0 1,927 4,400 4,400 4361 Insurance 225 200 200 51 200 200 •es & Subscriptions 0 0 0 0 4440 Miscellaneous 0 0 0 0 OTHER SERVICES & CHARGES 34,056 25,950 25,950 22,463 22,350 22,350 BUDGET WORKSHEET August 19 Proposed Budget Date: 08/14/02 Time: 4:28pm CITY OF ELK RIVER Page: 2 Prior Current Year Year Original Amended Actual Thru Estimated 12/31/02 Actual Budget Budget December Total Requested Recommended Adopted Fund: 910 HRA Expenditures Dept Group: 600 HOUSING & ECONOMIC DEVELOPMENT Dept: 610.610 HOUSING & REDEVELOPMENT CAP CAPITAL OUTLAY 4510 Land 0 0 0 0 4530 Improvement Project Contract 0 0 0 0 CAPITAL OUTLAY 0 0 0 0 TROD TRANSFERS OUT 4720 Transfers 243,465 0 0 7,581 4721 Transfer-General Fund 1,500 1,500 1,500 1,500 1,500 1,500 4725 Transfer-Capital Outlay Resery 0 50,000 50,000 0 67,000 67,000 4735 Transfer-EDA 6,500 3,500 3,500 3,500 3,500 3,500 TRANSFERS OUT 251,465 55,000 55,000 12,581 72,000 72,000 HOUSING & REDEVELOPMENT 304,558 107,600 107,600 43,476 118,500 133,000 HOUSING & ECONOMIC DEVELOPMENT 304,558 107,600 107,600 43,476 118,500 133,000 Total Expenditures 304,558 107,600 107,600 43,476 118,500 133,000 HRA -187,039 5,500 5,500 20,314 -118,500 10,500 •