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9.0. EDSR 08-08-1994 ELK RIVER ECONOMIC DEVELOPMENT AUTHORITY 111 MEMORANDUM TO: ECONOMIC DEVELOPMENT AUTHORITY FROM: WILLIAM RUBIN,EXECUTIVE DIRECTO rta_ DATE: AUGUST 3, 1994 SUBJECT: 1995 EDA BUDGET AND LEVY Based on a maximum levy, it is estimated that the EDA will have revenues of approximately $81,000 in 1995. The proposed 1995 EDA budget is outlined on the attached page and a summary follows: PERSONAL SERVICES • This proposed expenditure of$34,800 includes the part-time salaries to the EDA Commissioners plus 40% of the Economic Development Coordinator 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 is attributable to office supplies for the EDA in 1995. CONTRACTUAL SERVICES $1,500 has been set aside for the Economic Development consultant; an additional $1,000 is set aside for legal fees in 1995. Advertising has been allocated $12,000. This includes expenditures in regional and state publications such as Minnesota Ventures, The Real Estate Journal, Business Media, and Twin Cities Business Monthly. Specialty ads in the Star News are also attributable to this category. Of the $7,500 allocated to marketing, a portion is attributable to the quarterly Economic Development Newsletter, the novelty mailing item, etc. The other two major expenditures in contractual services is the $6,000 contribution to the Area Chamber of Commerce and $11,100 that is attributable to development activities. This expenditure can further be divided into $6,000 that is attributable to business park expenditures and $5,100 for other miscellaneous projects. • 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 EDA 1995 Budget Memo Page 2 August 3, 1994 • TRANSFERS OUT $1,000 is proposed for transfer to the City's General Fund in 1995. This covers the Finance Director's/City Administrator's time on EDA projects, including the Micro Loan Fund, etc: ACTION REQUESTED The EDA Commissioners are asked d to approve the 1995 EDA budget in the amount of$81,000. The EDA is also asked to adopt a resolution requesting that the City of Elk River levy a tax against the taxable market value in the City in the amount necessary to generate $81,000 to be used for economic development purposes by the Economic Development Authority. A draft of this resolution is attached to the memo. • eda:bdgtmemo • • ECONOMIC DEVELOPMENT AUTHORITY 1992 1993 1994 1995 ACTUAL ACTUAL ADOPTED PROPOSED PERSONAL SERVICES $ 16,800 $ 0 $ 32,650 $ 34,800 SUPPLIES AND CHARGES 0 0 800 800 CONTRACTUAL SERVICES 20,138 0 42,350 44,400 OTHER CHARGES 2,511 0 0 0 CAPITAL OUTLAY 0 0 0 0 TRANSFERS OUT 5,000 0 1,000 1,000 TOTAL $ 44,449 $ 0 $ 76,800 $ 81,000 EXPENDITURE ANALYSIS PERSONAL SERVICES Regular Salaries (40%) $ 21,200 Part Time Salaries 8,400 Over Time 150 Employee Pensions (40%) 3,100 Employee Insurance (40%) 1,950 $ 34,800 SUPPLIES AND CHARGES • Office Supplies 800 800 CONTRACTUAL SERVICES Economic Development Consultant 1,500 Legal 1,000 Advertising/Newsletter 12,000 Marketing 7,500 Postage 4,000 Telephone 800 Miscellaneous(Chamber of Commerce) 6,000 Development Activities 11,100 Insurance 500 44,400 OTHER CHARGES 0 0 CAPITAL OUTLAY 0 0 ' TRANSFERS OUT General Fund 1,000 1,000 $ 81,000 • Estimated Revenue - 105% of 1994 - $81,000 • RESOLUTION 94-1 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 1994 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 8th day of August, 1994. Jeffrey A. Gongoll, President ATTEST: William Rubin, Executive Director • eda:eda94-lr