6.0. HRSR 08-27-2001 Item# 6
City of
Elk
River
MEMORANDUM
TO: Housing & Redevelopment Authority
FROM: Catherine Mehelich, Director of Economic Developme
DATE: August 27, 2001
SUBJECT: Year 2002 Budget & Levy Resolution
Attachments
*Budget worksheet—HRA revenue &expenditure projections
*Levy Resolution
Summary
The economic development department is funded by three separate budgets including:
* General Fund
• * Economic Development Authority
* Housing&Redevelopment Authority
Dollars from all three sources has been used, and continues to be necessary to balance the
department's budget. Revenues are estimated at an 8%growth in market value for year
2002.
The only expenses proposed to be shared by all three categories include full time and part
time salaries and benefits —to be divided among the three categories as follows:
* General Fund—20%
* EDA—60%
* HRA—20%
Despite the recent resignation of the Assistant Director of Economic Development, staff
recommends the funding for the full time position be continued.
Other common office and operating expenses are proposed to be shared by the EDA (75%)
and the HRA (25%). As in previous years, the HRA makes a transfer to the EDA to cover a
portion of the shared expenses. Staff estimates $3,500 for the total administrative expenses
assigned to HRA in year 2002.
•
Year 2002 HRA Budget
August 27,2001
Page 2
iFollowing is a line item analysis of the proposed year 2002 expenditures for the HRA:
Personal Services $26,650
Legal Fees $ 1,750
Other Professional Services $24,000
* Historical Context Study- $12,000
* Downtown Design Plan - $12,000
Insurance $ 200
Transfer-- General Fund $ 1,500
Transfer—Capital Outlay (sidewalk project) $50,000
Transfer-- EDA (25% shared expenses) $ 3,500
Total HRA Year 2002 proposed expenditures: $107,600
Total HRA Year 2002 proposed revenues: $113,100
The excess $5,500 in revenues will go into the HRA reserve. The plan for the reserves is to
build up funds for future projects. The more reserves that can be built up, the less debt that
would have to be incurred for a future project.
Staff proposes to bring a specific proposal to the HRA for hiring a design consultant for the
Central Business District. The physical design plan has been discussed as phase II upon
completing the visioning/action Master Redevelopment Plan to be completed in 2001.
IPRecommendation
Staff recommends the HRA approve the Year 2002 HRA Budget,with the understanding
that the line item for hiring a CBD designer will be brought back for specific authorization,
and approval of Resolution 01- with a request that the City Council levy a tax in the
amount of.0131 percent of the taxable market value of the City in 2002.
•
BUDGET WORKSHEET
PROPOSED 2002 HRA BUDGET Date: 08/22/01
Time: 12:29pm
CITY OF ELK RIVER Page: 1
Prior Current Year
Year Original Amended Actual Thru Estimated
11 M 08/22/01 Actual Budget Budget August Total Requested Recommended Adopted
Fun : 910 HRA
Revenues
TAX TAXES
3111 Current Ad Valorem Taxes 94,607 97,300 97,300 55,566 111,100
TAXES 94,607 97,300 97,300 55,566 111,100
GOVT INTERGOVERNMENTAL REVENUE
3322 Homestead Credit 5,642 5,600 5,600 2,806
INTERGOVERNMENTAL REVENUE 5,642 5,600 5,600 2,806
OREV OTHER REVENUE
3621 Interest Income 6,023 2,000 2,000 1,658 2,000
3910 Sale of Equip/Assets 175,000 0 0 0
OTHER REVENUE 181,023 2,000 2,000 1,658 2,000
Total Revenues 281,272 104,900 104,900 60,030 113,100
Expenditures
Dept: 610.610 HOUSING & REDEVELOPMENT
PS PERSONAL SERVICES
4101 Regular Pay 11,969 21,000 21,000 8,918 21,750 21,750
4102 Overtime Pay 30 0 0 0
4103 Part-time Pay 0 0 0 0
410 PERA 582 1,100 1,100 489 1,200 1,200
ACA 704 1,300 1,300 586 1,350 1,350
4107 Medicare 164 300 300 137 300 300
4108 Insurance 985 2,000 2,000 867 1,950 1,950
4109 Workers Comp 20 0 0 26 100 100
PERSONAL SERVICES 14,454 25,700 25,700 11,023 26,650 26,650
SUPP SUPPLIES I
4201 Office Supplies 33 0 0 0
SUPPLIES 33 0 0 0
OSC OTHER SERVICES & CHARGES
4304 Legal Fees 1,301 0 0 0 1,750
4319 Other Professional Services 1,104 20,000 20,000 26,132 15,000 24,000
4321 Telephone 0 0 0 0
4322 Postage 5 0 0 12
4331 Travel, Conferences & Schools 22 0 0 0
4349 Advertising/Marketing 0 0 0 0
4359 Publishing 166 0 0 23
4361 Insurance 190 200 200 225 200 200
4433 Dues & Subscriptions 0 0 0 0
•scellaneous 12,191 0 0 0
OTHER SERVICES & CHARGES 14,979 20,200 20,200 26,392 15,200 25,950
CAP CAPITAL OUTLAY
BUDGET WORKSHEET
PROPOSED 2002 HRA BUDGET Date: 08/22/01
Time: 12:29pm
CITY OF ELK RIVER Page: 2
Prior Current Year
Year Original Amended Actual Thru Estimated
M : 08/22/01 Actual Budget Budget August Total Requested Recommended Adopted
Fun 910 HRA
Expenditures
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
TROU TRANSFERS OUT
4721 Transfer-General Fund 1,000 1,500 1,500 1,500 1,500 1,500
4725 Transfer-Capital Outlay Resery 0 0 0 0 50,000
4735 Transfer-EDA 6,300 6,500 6,500 6,500 6,500 3,500
TRANSFERS OUT 7,300 8,000 8,000 8,000 8,000 55,000
HOUSING 6 REDEVELOPMENT 36,766 53,900 53,900 45,415 49,850 107,600
Total Expenditures 36,766 53,900 53,900 45,415 49,850 107,600
HRA 244,506 51,000 51,000 14,615 -49,850 5,500
•
RESOLUTION 0 I-
• 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
2002
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
2002 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 27th day of
August, 2001.
Larry Toth, Chair
ATTEST:
Catherine Mehelich,Executive Director