10.0. EDSR 08-08-1995 ELK RIVER ECONOMIC DEVELOPMENT AUTHORITY
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MEMORANDUM
TO: Economic Development Authority
FROM: William Rubin, Executive Directo r
DATE: July 10, 1995
SUBJECT: 1996 EDA Budget and Levy
INTRODUCTION
Based on a maximum statutory levy of.01813.percent of the taxable market value in the
City, it is estimated that the EDA will have revenues of approximately $90,000 in 1996.
The proposed 1996 EDA budget is outlined on the attached page and a narrative summary
follows:
• PERSONAL SERVICES $45,350 . 4 4-121$
This proposed expenditure of$45,350 includes the part-time salaries of the EDA
- Commissioners ($100/month per Commissioner) plus 50% of the Economic
Development Coordinator's salary, pension and benefits. In addition, one-fourth
of an administrative support position (plus pension and benefits) is funded through
the EDA as is one-fourth of the time of the Recording Secretary for EDA
meetings.
SUPPLIES AND CHARGES ($800)
$800 is attributable to office supplies to the EDA in 1996.
CONTRACTURAL SERVICES 542,850) diu5,35o
$1,000 is allocated for theEconomic Development Consultant in 1996.
$1,000 has been allocated for legal fees in 1996.
$18,000 is allocated to support various advertising initiatives for the EDA in 1996.
This includes expenditures in regional and state publications such as Corporate
Report Ventures, Minnesota Real Estate Journal, Business Media, and Twin
Cities Business Monthly. Specialty ads that are required in, say, the progress
Aih edition of the Star News, and the Parade of Homes publication are also attributable
IP to this category.
P.O. Box 490 • 13065 Orono Parkway • Elk River, MN 55330-1743 • (612) 441-7420 • Fax: (612) 441-7425
Equal Opportunity Housing and Equal Opportunity Employment
• $7,000 is allocated to the marketing/newsletter projects in 1996. A typical
quarterly newsletter costs $550 to print for an annual expense of $2,200. In
addition, the community profile expense and the cost to update the marketing
brochure inserts are attributable to this category.
$4,500 is allocated to EDA postage. This reflects a slight increase from 1995 and
takes into consideration the increase in postage. The EDA spends approximately
$2,200 in postage to mail the four economic development newsletters.
$800 is allocated for the telephone in 1996.
$6,000 is allocated to the Elk River Area Chamber of Commerce.
1665° $4,050 is allocated for undefined development activities in 1996. Proposed
expenditures may include appraisals, feesability studies, and the like.
$500 is allocated for insurance in 1996.
TRANSFERS OUT ($1,000)
$1,000 is allocated as a transfer to the City's general fund in 1996. Tnis covers the
Assistant City Administrator's time on EDA projects, including financial updates,
and updates on the micro-loan fund.
ACTION REQUESTED
The EDA Commissioners are asked to approve the 1996 EDA budget in the
amount of$90,000.
The EDA is also asked to adopt a resolution requesting that the City of Elk River
levy a tax in an amount not to exceed .01813 percent of the taxable market value
in the City to be used for economic development purposes by the Elk River
Economic Development Authority. A draft of this resolution is attached to the
memo.
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ECONOMIC DEVELOPMENT AUTHORITY
i
1993 1994 1995 1996
ACTUAL ACTUAL ADOPTED PROPOSED
PERSONAL SERVICES $21,000 $33,659 $41,400 $42,850
SUPPLIES AND CHARGES 35 819 800 800
CONTRACTUAL SERVICES 30,381 59,620 37,800 45,350
OTHER CHARGES 0 45,751 0 0
CAPITAL OUTLAY 0 0 0 0
TRANSFERS OUT 6,000 1,000 1,000 1,000
TOTAL $57,416 $140,849 $81,000 $90,000
EXPENDITURE ANALYSIS
PERSONAL SERVICES
Regular Salaries (50%) $27,750
Part Time Salaries 8,400
Over Time 800
Employee Pensions (50%) 3,750
Employee Insurance (50%) 2,150 $42,850
SUPPLIES AND CHARGES
Office Supplies 800 800
• CONTRACTUAL SERVICES
Economic Development_Fonsultant 1,000
Legal 1,000
Advertising 18,000
Marketing/Newsletter 7,000
Postage 4,500
Telephone 800
Miscellaneous(Chamber of Commerce) 6,000
Development Activities 6,550
Insurance 500 45,350
OTHER CHARGES
0 0
CAPITAL OUTLAY
0 0
TRANSFERS OUT
General Fund 1,000 1,000
$90,000
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ECONOMIC DEVELOPMENT AUTHOR/TY
1993 1994 1995 1996
ACTUAL ACTUAL ADOPTED PROPOSED
PERSONAL SERVICES $21,000 $33,659 $41,400 $45,350
SUPPLIES AND CHARGES 35 819 800 800
CONTRACTUAL SERVICES 30,381 59,620 37,800 42,850
OTHER CHARGES 0 45,751 0 0
CAPITAL OUTLAY 0 0 0 0
TRANSFERS OUT 6,000 1,000 1,000 1,000
TOTAL $57,416 $140,849 $81,000 $90,000
EXPENDITURE ANALYSIS
PERSONAL SERVICES
Regular Salaries (50%) $30,000\\ 4Z 600
Part Time Salaries 8,4001 R DUGe
Over Time 1,050
Employee Pensions (50%) 3,750
Employee Insurance (50%) 2,150 $45,350 (.4i g5o
SUPPLIES AND CHARGES
Office Supplies 800 800
• CONTRACTUAL SERVICES
Economic Development Consultant 1,000
Legal 1,000
Advertising 18,000
Marketing/Newsletter 7,000
Postage 4,500
Telephone 800
Miscellaneous(Chamber of Commerce) 6 000 (91560Development Activities 4,05•
Insurance 500 42,850 (15135o
OTHER CHARGES
0 0
CAPITAL OUTLAY
0 0
TRANSFERS OUT
General Fund 1,000 1,000
$90,000
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RESOLUTION 95-3
• RESOLUTION OF THE ELK RIVER
ECONOMIC DEVELOPMENT AUTHORITY
A RESOLUTION ESTABLISHING THE TAX LEVY FOR THE
ELK RIVER ECONOMIC DEVELOPMENT AUTHORITY
IN AND FOR THE CITY OF ELK RIVER,MINNESOTA
WHEREAS, Minnesota Statute Section 469.107, Subdivision 1, authorizes the
Economic Development Authority to levy an amount not to exceed
.01813% of the taxable market value in the City to fund the Authority's
anticipated budget needs for the next fiscal year; and,
WHEREAS, the Elk River Economic Development Authority has adopted its budget
and will forward such to the City of Elk River pursuant to Minnesota
Statutes, Section 469.100, Subdivision 2.
NOW, THEREFORE, BE IT RESOLVED by the Economic Development Authority in
and for the City of Elk River, Minnesota,that it hereby requests the City
Council of the City of Elk River to levy a tax in the amount of.01813% of
the taxable market value in the City for the year 1995 for the benefit of the
• Authority to be used for Economic Development Authority purposes as
provided in the Statute.
Passed and adopted by the Elk River Economic Development Authority this day of
1995.
Jeffrey A. Gongoll, President
ATTEST:
William Rubin, Executive Director
• resoluti:eda95-1r