5.1. - 5.3. SR 12-13-1999
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Item # 5.1. - 5.3.
River
MEMORANDUM
TO: Mayor and City Council
FROM: Pat Klaers
City Administrator
DA TE: December 9, 1999
SUBJECT: Budget Tax Levy and Pay Plan
In September the City Council approved a proposed maximum tax levy for 2000. The net
levy was proposed in the amount of $3,995,469. This is a $366,255 or a 10.09% increase
over the adopted 1999 net tax levy amount. The majority of the tax levy funds
(approximately 84%) are dedicated toward general fund activities.
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City Council reviewed the proposed budget at July, August, and September meetings. The
final draft 2000 budget is proposed in the amount of $5,862,500. This proposed budget
reflects a $499,050 or 9.3% increase over the adopted 1999 General Fund Budget.
On December 6, 1999, the City Council held its Truth in Taxation public hearing. This
public hearing is required by law to receive public input on the proposed city budget tax
levy. Notice of this public hearing was sent out to all property owners in the city and a
notice was published in the Elk River Star News. No citizens or property owners
addressed the City Council on the budget or proposed levy. Figures included in the mailed
notice and in the newspaper notice were based on the draft budget and the September tax
levy proposal. Based on these figures the city tax levy increase will cause the city tax rate
to go from 29.324 in 1999 to approximately 30.194 in 2000. This is a 3% increase in the
city tax rate. Overall the tax rate in the city is proposed to go from 121.13 in 1999 to
approximately 119.362 in 2000.
As previously discussed with the City Council the impact of the increased tax rate on
property owners varies depending upon the property classification and whether or not the
properties saw an increase in valuation. A residential homesteaded property, which saw a
modest increase in valuation, will still see a decrease in their tax payment because of the
overall decrease in the tax rate and the increase in the education credit. However, the
commerciallindustrial properties that saw a modest increase in values will most likely see a
small increase in taxes because these properties do not benefit from the education credit.
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As part of the budget process the City Council approves the pay resolution for the
upcoming year. Attached is the proposed pay resolution which is very similar to previous
years, however, a number of items such as the employee leave time policy and the
13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330. TDD & Phone: (612) 441-7420 · Fax: (612) 441-7425
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education reimbursement policy have been removed from this resolution and are now
being incorporated into the city employee policy manual. Accordingly, overall the pay
resolution is a little bit more brief than it has been in the past. Exhibit 2 of this proposed
pay resolution includes the City Council approved pay plan from last July (following the
council discussion on comporable worth) and all of these pay ranges have increased 3%.
Attachments
- 2000 General Fund Revenues
- 2000 General Fund Expense Summary
- Budget Resolution
- Tax Levy Resolution
- Pay Plan Resolution
Recommendation
It is recommended that the City Council approve Resolution 99-_ approving the 2000
Municipal General Fund Budget
It is recommended that the City Council approve Resolution 99-_ authorizing the 1999
proposed tax levy for collection in 2000.
It is recommended that the City Council approve Resolution 99-_ adopting the 2000 pay
plan for non-organized employees.
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SOURCE OF FUNDS
1997 1998 1999 2000
ACTUAL ACTUAL ADOPTED PROPOSED
$2,470,418 $2,632,140 $2,993,950 $3,311,100
1,041,805 1,169,775 1,028,800 1,061,100
509,976 516,794 436,500 482,400
84,221 115,753 95,000 115,700
492,321 540,826 351,150 478,100
122,621 147,091 78,250 92,700
270,169 295,000 354,800 321 ,400
25,000
$4,991,531 $5,417,379 $5,363,450 $5,862,500
GENERAL PROPERTY TAX
INTERGOVERNMENTAL REVENUES
CHARGES FOR SERVICES
FINES & FORFEITS
LICENSES & PERMITS
OTHER REVENUES
TRANSFERS
USE OF RESERVES
TOTAL
GENERAL PROPERTY TAX
Ad Valorem Tax
INTERGOVERNMENTAL REVENUES
Local Government Aid
HACA
PERA Aid
Police Relief
Gravel Tax
Urban Street Maintenance
Cops Fast Grant
Police Training Reimbursement
Other Grants (Safe & Sober)
CHARGES FOR SERVICES
GENERAL GOVERNMENT
Administrative Project Fees
Plan Check Fees
Planning & Zoning Fees
Contractor License Surcharge
Sewer Inspection Fees
Miscellaneous Sales
Assessment Searches
PUBLIC SAFETY
School Liaison
Police Contract
Impound Fees
Fire Calls & Contracts
PUBLIC WORKS
Street Services
RECREA TION
Recreation Fees
$3,311,100
$3,311,100
277,000
498,250
11,500
114,900
45,000
28,000
71,450
7,500
7,500
1,061,100
50,000
201,650
17,500
5,200
1,000
1,500
5,000
43,000
7,000
2,300
76,000
3,000
69,250
482,400
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SOURCE OF FUNDS
FINES & FORFEITS
Court Fines
Parking Fines
LICENSES & PERMITS
PERMITS
Building Permits
Building Permit Surcharge
Plumbing & Heating Permits
Other Non-Business
LICENSES
Dog/Cat
Cigarette
Liquor
Amusement
Gas Fitters
Garbage Haulers
Mineral Extraction
Apartment Licenses
Other Business
OTHER REVENUE
Interest
Landfill Surcharge
Contribution-Guardian Angels
Refunds & Reimbursements
TRANSFERS
Liquor
Equipment & Program Reserve
Street Reserve
Landfill
NSP/RDF Reserve
Sewer
Utilities
Development
Economic Development Authority
Housing & Redevelopment Authority
Undesignated Fund Balance
TOTAL SOURCE OF FUNDS
5
110,700
5,000
339,200
800
63,250
1,000
1,900
2,500
35,000
2,250
1,800
750
10,800
11 ;850
7,000
80,000
9,000
3,700
110,000
20,000
45,000
19,750
19,750
10,000
90,000
3,900
2,000
1,000
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115,700
478,100
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92,700
321,400
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$5,862,500
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. APPROPRIATIONS SUMMARY
1997 1998 1999 2000
Actual Actual Adopted Adopted
. MAYOR & COUNCIL $ 79.778 $ 83.933 $ 106.400 $ 105,900
ADMINISTRATION & FINANCE 551.793 578.398 582.400 610.950
ECONOMIC DEVELOPMENT 35,880 35.983 33.150 46,350
ELECTIONS 18,500 19.913 13,400 29.700
LEGAL 83,652 77,232 72,600 72,600
ENGINEERING 39,502 34.775 42,000 42.000
BUILDING & ZONING 337.671 379,917 399,350 447,550
ENERGY CITY 14.773 15,854 21.050 20,300
PLANNING 139,818 163,774 215.050 230,500
PLANNING COMMISSION 6,153 6.331 7.300 7.400
GOVERNMENT BUILDINGS 175,457 177 ,555 134,400 155.350
POLICE 1.631.674 1,821 ,573 2,006,650 2.150,600
POLICE RESERVE 14.419 24,292 34,450 29,150
. FIRE 280,805 277.969 301,100 340.650
EMERGENCY PREPAREDNESS 19,363 17,088 14,050 15,850
STREETS 493,642 523.514 510.300 577.600
EQUIPMENT REPAIR & MAINT. 137,377 155.779 136,200 156,450
SNOW REMOVAL 81,140 53,529 124,550 160.750
STREET LIGHTING 1,301 1,500
SHADE TREE 8,188 10,160 11 ,500 7,950
PARKS 160.256 197,382 182,050 230,150
RECREATION 134,171 224,825 249,450 232,500
SR. CITIZEN PROGRAMS 40,354 43,344 57,900 62,250
CONTINGENCY 72,714 40,686 106,650 130,000
TOTAL $ 4,558,381 $ 4,963,806 $ 5,363,450 $ 5,862,500
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RESOLUTION 99-_
A RESOLUTION FOR THE CITY OF ELK RIVER
A RESOLUTION APPROVING THE 2000 MUNICIPAL
GENERAL FUND BUDGET
WHEREAS, the City Council annually reviews and adopts a municipal
budget, which balances proposed expenditures with anticipated
revenues; and,
WHEREAS, on September 13,1999, the City Council adopted Resolution
99-66, which established the proposed maximum levy for
2000; and,
WHEREAS, on December 6, 1999, the City Council, in compliance with state
law, held a public hearing on the proposed 2000 levy and
proposed 2000 budget; and,
WHEREAS, after due review and consideration, the City Council is now
prepared to adopt its 2000 general fund municipal budget.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Elk River, Minnesota, that it does hereby approve and adopt its 2000
municipal general fund budget in the amount of $5,862,500.
Passed and adopted by the City Council of the City of Elk River this 13th day of
December, 1999.
Stephanie Klinzing, Mayor
ATTEST:
Sandra A. Peine, City Clerk
RESOLUTION 99 -
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A RESOLUTION FOR THE CITY OF ELK RIVER
A RESOLUTION AUTHORIZING THE 1999 PROPERTY TAX LEVY
FOR COLLECTION IN 2000
WHEREAS, the Elk River City Council has review the City's anticipated
expenditures for all funds in 2000; and,
WHEREAS, revenues from sources other than property taxes are not sufficient
to meet anticipated expenditures of all funds.
WHEREAS, the Elk River City Council has received publci input and comment
on the Tax Levy and Budget.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River that
the following amounts are to be levied as property taxes payable in 2000:
HACA
Gross Levy Reduction Net Levy
General Fund $ 3,809,355 $ 498,244 $3,311,111
Lake Orono 100,000 13,080 86,920
Library 66,650 8,717 57,933
Dam Loan 32,572 4,260 28,312
Development Fund 145,000 18,965 126,035
. Surface Water Management 57,500 7,521 49,979
City Special Assessments 28,926 3,783 25,143
1989 Fire Equipment 72,891 9,534 63,357
1994 Storm Sewer Bonds 116,073 15,182 100,891
2000 Certificate of Indebtedness 57,500 7,521 49,979
1999 Certificate of Indebtedness 40,000 2,851 37,149
1998 Certificate of Indebtedness 23,150 3,307 19,843
1997 Certificate of Indebtedness 25,283 3,028 22,255
1996 Certificate of Indebtedness 21,794 5,232 16,562
TOTAL $ 4,596,694 $ 601,225 $3,995,469
Passed and adopted by the City Council of the City of Elk River this 13th
day of December, 1999.
Stephanie Klinzing, Mayor
ATTEST:
Sandra A. Peine, City Clerk
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RESOLUTION 99 -
A RESOLUTION OF THE CITY OF ELK RIVER
A RESOLUTION ADOPTING THE 2000 PAY PLAN FOR
NON-ORGANIZED EMPLOYEES
BE IT RESOLVED, by the City Council of the City of Elk River that the
attached Pay Plan marked Exhibit 1 and Exhibit 2 be approved and adopted
effective January 1, 2000.
Passed and adopted by the City Council of the City of Elk River this _ day
of , 1999.
Stephanie Klinzing, Mayor
ATTEST:
Sandra A. Peine, City Clerk
s:documentJresolution/paypln99
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CITY OF ELK RIVER
1999 COMPENSATION PLAN
FOR NON-UNION EMPLOYEES
EXHIBIT 1
PAY
Pay Ranges
1. All 1999 pay ranges established by the City Council will increase by 3
percent on January 1, 2000.
The 2000 pay ranges for City employees are listed in Exhibit 2.
2. Any employee who is paid at a rate which is higher than the top of the
pay range will receive a 3 percent increase but the base pay will
increase only 1.5 percent.
3.
The Waste Water Treatment Operators shall be paid as follows:
License
Step
A
B
C-D
E
D
C
B
Once a license has been obtained, the employee shall immediately
move to the lowest step for that license. The employee will move up
one step each July 1 until the highest step for that license has been
reached.
Step Increases
4. On July 1, 2000, all city employees performing at an acceptable level
will move up one step in their pay range.
5.
All orientation period employees shall receive increases as stated in
the offer of employment letter. If no special provision was outlined in
the offer of employment letter, the orientation period employee shall
receive the first step increase no earlier than six months following date
of hire.
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6.
The part time Liquor Store Clerks shall move up one step on their
anniversary date.
Lead Worker
7. When the Waste Water Treatment System Chief Operator is absent for
at least one continuous eight hour period, at the discretion of the Chief
Operator, one Waste Water Treatment Operator may be appointed as
the "Lead Worker." The "Lead Worker" will receive an additional
$1.80 per hour for the additional "Lead Worker" duties and
responsibilities.
Part Time Pay
8. The part time Ice Arena Workers shall be paid in accordance with the
following schedule:
Ice Arena Worker One
Ice Arena Worker Two
Ice Arena Worker Three
Cashier
Start
$7.50-$8.25/hr.
$6.50-$7.25/hr.
$6.00-$6.7 5/hr.
$6.50-$7.25/hr.
Employees will receive a $.50/hr increase in pay for each additional
year the employee works as an Ice Arena Worker up to a maximum of
$2.00/hr. in additional pay.
Overtime for Inventory
9. All non-exempt liquor store employees will receive one and one-half
times their regular hourly rate for taking inventory on a Sunday or a
holiday.
Holiday Pay
10. All non-exempt liquor store employees will receive holiday pay at the
rate of one and one-half times their regular rate for working on the
following holidays:
. After 4:30 p.m. on New Year's Eve
. Saturday before Memorial Day
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Friday before the 4th of July ifit falls on a
Saturday or the Saturday before the 4th of July if it
falls on a Sunday
Saturday before Labor Day
Christmas Eve Day
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11. Snow plow operators shall be paid double time plus holiday pay for all
hours worked on holidays.
On Call Pay
12. Street Department employees shall be paid an additional hour of pay
at their regular rate for each day they are on call during the winter
snowplowing season.
Out of Class Pay
13. Ice Arena Workers Two or Three who operate the ice resurfacer will be
paid at the Ice Arena Worker One rate for the time spent operating the
ice resurfacer. Time will be tracked in quarter hour increments.
INSURANCE BENEFITS
14. The City's maximum contribution for single health, single dental, and
single life benefits for 2000 is $430.00 per month. Any difference
between the City's contribution and the premiums for single health,
single dental and single life insurance may be used to reduce the
employee's share of the family health insurance premium.
15. Prorated insurance benefits will be offered to all employees scheduled
to work an average of 30 or more hours per week.
OTHER
16. The City Council may make adjustments in any section of the Pay
Plan at any City Council meeting for any reason including changes in
employment status, changes in work responsibility, performance
incentives, state or federal law changes, the Pay Equity law or any
other reason the Council may deem appropriate.
17. All police employees who are members of the Law Enforcement Labor
Services, Local 231, shall receive compensation and benefits as
outlined in the Master Labor Agreement between the City and the
Union and are therefore not governed by any clauses of this resolution.
s:documentJresolutionlpaypln99
EXHIBIT 2
City of Elk River
Pay Plan
. Effective January 1, 2000
NON-EXEMPT
fAY
POINTS GRAPE A B C. 0 E
40-42 1 8.44 9.33 10.22 11.11 12.00
43-45 2 8.88 9.82 10.75 11.69 12.63
46-48 3 9.35 10.33 11. 32 12.31 13.29
49-51 4 9.84 10.88 11.91 12.95 13.99
52-54 5 10.36 11.45 12.54 13.63 14.73
55-57 6 10.90 12.05 13.20 14.35 15.50
58-60 7 11.47 12.69 13.90 15.11 16.32
61-63 8 12.08 13.35 14.63 15.90 17.18
64-66 9 12.71 14.06 15.40 16.74 18.08
67 -69 10 13.38 14.80 16.21 17.62 19.03
70- 72 11 14.09 15.57 17.06 18.55 20.03
73-75 12 14.83 16.39 17.96 19.52 21.09
76-78 13 15.61 17.26 18.90 20.55 22.20
79-81 14 16.43 18.17 19.90 21.63 23.37
82-84 15 17.30 19.12 20.95 22.77 24.60
85-87 16 18.21 20.13 22.05 23.97 25.89
88-90 17 19.17 21.19 23.21 25.23 27.25
EXEMPT
. A B C. 0 E
78-82 IE 40,425.68 43,618.62 46,811.56 50,004.50 53,197.44
83-87 2E 42,110.09 45,436.07 48,762.04 52,088.02 55,414.00
88-92 3E 43,864.67 47,329.23 50,793.80 54,258.36 57,722.92
93.97 4E 45,692.37 49,301.29 52,910.20 56,519.12 60,128.04
98-100 5E 47,596.22 51,355.51 55,114.80 58,874.09 62,633.37
101-102 6E 49,579.39 53,495.32 57,411.25 61,327.17 65,243.10
103-107 7E 52,057.55 56,169.21 60,280.87 64,392.52 68,504.18
108-112 8E 54,226.61 58,509.59 62,792.57 67,075.55 71,358.52
113-117 9E 56,486.06 60,947.49 65,408.93 69,870.36 74,331.80
118-122 lOE 58,839.64 63,486.97 68,134.30 72,781.63 77 ,428.95
123-127 lIE 61,291.29 66,132.26 70,973.23 75,814.19 80,655.16
128-132 12E 63,845.10 68,887.77 73,930.44 78,973.12 84,015.79
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12/8/99
Payplans:January 2000