10.4. SR 09-04-2018
Request for Action
To Item Number
Mayor and City Council 10.4
Agenda Section Meeting Date Prepared by
Work Session September 4, 2018 Lori Ziemer, Finance Director
Item Description Reviewed by
2019 Budget Discussion Cal Portner, City Administrator
Reviewed by
Action Requested
2019 budget discussion
Background/Discussion
Over the past couple of months, staff has presented the budget requests and related goals for each
department. Staff will provide an overview of the General Fund budget and an update on the preliminary
levy.
On September 17, the Council must approve a maximum levy to be certified to Sherburne County by
September 30, 2018. Currently, with the adjustments that have been made, the levy change is 7.9% for
2019 with a projected decrease in the tax rate. We are awaiting notification of the 2019 preliminary tax
values from Sherburne County, but early estimates project over an 8% increase.
Staff is seeking Council direction regarding the tax levy and potential adjustments.
Financial Impact
N/A
Attachments
General Fund summary
Preliminary tax levy
Personnel summary
Capital outlay summary
The Elk River Vision
A welcoming community with revolutionary and spirited resourcefulness, exceptional
service, and community engagement that encourages and inspires prosperity
CITY OF ELK RIVER
GENERAL FUND BUDGET
20182019% of %
BudgetPreliminaryBudget Change
General Fund Revenues:
Property taxes$10,497,800$11,242,40069.1%7.1%
Other taxes150,000150,0000.9%0.0%
Licenses & Permits877,900857,0005.3%-2.4%
Intergovernmental Revenues324,500571,5003.5%76.1%
Charges for Services937,900969,2006.0%3.3%
Fines151,000154,5000.9%2.3%
Other Revenues226,500259,5001.6%14.6%
Transfers In2,063,9502,072,10012.7%0.4%
Total General Fund Revenues15,229,55016,276,200100.0%6.9%
General Fund Expenditures
General Government:
Mayor & Council155,300149,0500.9%-4.0%
Communications306,900326,8002.0%6.5%
Administrative Services511,900532,2003.3%4.0%
Human Resources250,550280,7501.7%12.1%
Elections 42,250 6,8000.0%-83.9%
Finance586,250645,6004.0%10.1%
Information Technology431,300447,4002.7%3.7%
Legal230,000230,0001.4%0.0%
Community Development150,050163,0501.0%8.7%
Planning405,800353,0002.2%-13.0%
Building Maintenance 679,750714,5504.4%5.1%
Energy City33,00031,2000.2%-5.5%
Contingency - 160,8001.0%-
Total General Government3,783,0504,041,20024.8%6.8%
Public Safety:
Police5,470,0505,756,45035.4%5.2%
Fire955,0001,150,9007.1%20.5%
Building Safety678,450723,4504.4%6.6%
Code Enforcement98,750115,7000.7%17.2%
Environmental48,40032,5000.2%-32.9%
Total Public Safety7,250,6507,779,00047.8%7.3%
Public Works:
Street Maintenance1,355,4501,413,1008.7%4.3%
Snow Removal298,700279,6001.7%-6.4%
Equipment Services 210,400216,3001.3%2.8%
Engineering234,200368,1002.3%57.2%
Total Public Works2,098,7502,277,10014.0%8.5%
Culture & Recreation:
Parks Maintenance 1,118,8001,135,4507.0%1.5%
Recreation726,800792,9004.9%9.1%
Sr. Citizen Programs251,500250,5501.5%-0.4%
Total Culture & Recreation2,097,1002,178,90013.4%3.9%
Total General Fund Expenditures$15,229,550$16,276,200100.0%6.9%
CITY OF ELK RIVER
2019 BUDGET
GENERAL FUND REVENUES
20182019
REVENUES:BUDGETPRELIMINARY% Change
TAXES
Property Taxes$10,497,800$11,242,4007.1%
Gravel Tax150,000150,0000.0%
TOTAL TAXES10,647,80011,392,4007.0%
LICENSES & PERMITS
Liquor License70,00075,0007.1%
Cigarette License2,8003,0007.1%
Rental License65,00065,0000.0%
Mining License23,00025,0008.7%
Garbage Hauler License1,6002,00025.0%
Other Business License/Permit13,00014,0007.7%
NPDES Permit12,00018,00050.0%
Building Permit480,000480,0000.0%
Plumbing/Heating Permit195,000160,000-17.9%
Permit Surcharge1,0001,0000.0%
Animal License5,5005,000-9.1%
Other Non-Business Lic/Permit9,0009,0000.0%
TOTAL LICENSES & PERMITS877,900857,000-2.4%
INTERGOVERNMENTAL REVENUE
MV Credit5,5005,5000.0%
PERA Aid14,00014,0000.0%
Fire State Aid -182,0000.0%
Police State Aid270,000275,0001.9%
Police Training Reimb10,00030,000200.0%
State Crime Prevention Grant25,00065,000160.0%
TOTAL INTERGOVTL REVENUE324,500571,50076.1%
CHARGES FOR SERVICES
Planning & Zoning Fees32,00032,0000.0%
Plan Check Fee200,000200,0000.0%
Special Assessment Search8008000.0%
Copies2,5002,5000.0%
Other General Govt Services5,0001,500-70.0%
Lockout Fees6,5006,000-7.7%
Police Services9,00010,00011.1%
School Liaison130,000130,0000.0%
Animal Impound Fee4,0004,0000.0%
Fire Contracts255,000275,0007.8%
Fire Services2,0002,0000.0%
Street Services20,00012,000-40.0%
Engineering Services Reimb125,000130,0004.0%
Recreation Fees75,00078,0004.0%
Sr Center Activities35,00044,00025.7%
Park Use Fee24,00027,00012.5%
Building Rent2,4002,4000.0%
Sewer Inspection Fee9,00011,00022.2%
Contractor License Check7001,00042.9%
TOTAL CHARGES FOR SERVICES937,900969,2003.3%
20182019
REVENUES:BUDGETPRELIMINARY% Change
FINES & FORFEITS
Court Fines145,000145,0000.0%
Parking Fines6,0009,50058.3%
TOTAL FINES & FORFEITS151,000154,5002.3%
OTHER REVENUE
Interest Income90,000100,00011.1%
Refunds & Reimbursements110,000130,00018.2%
Contributions20,00023,00015.0%
Miscellaneous Revenue6,5006,5000.0%
TOTAL Other Revenue226,500259,50014.6%
TRANSFERS IN
Transfer-Landfill56,00050,000-10.7%
Transfer-Capital Outlay Reserv13,60014,0002.9%
Transfer-GRE Reserve45,00050,00011.1%
Transfer-Development14,00010,600-24.3%
Transfer-WWTS150,000150,0000.0%
Transfer-Liquor492,000500,0001.6%
Transfer-Garbage46,75048,0002.7%
Transfer-Utilities1,165,0001,165,0000.0%
Transfer-Stormwater15,00015,0000.0%
Transfer-EDA36,60038,0003.8%
Transfer-HRA30,00031,5005.0%
TOTAL TRANSFERS IN2,063,9502,072,1000.4%
TOTAL GENERAL FUND REVENUE$15,229,550$16,276,2006.9%
General Fund
Revenues by Source
Fines
Other Revenues
Charges for Services Transfers In
$151,000
$259,500
$969,200 $2,063,950
Intergovtl Revenue
$571,500
Licenses/Permits
$857,000
Other Taxes
$150,000
Property Taxes
$11,242,400
CITY OF ELK RIVER
2019 BUDGET
GENERAL FUND EXPENDITURES
2018 2019
EXPENDITURES:BUDGETPRELIMINARY% Change
PERSONAL SERVICES
FULL TIME SALARIES$7,971,300$8,532,0507.0%
OVERTIME 200,000 199,500 -0.2%
PART TIME SALARIES 742,800 758,000 2.0%
PERA 933,150 1,014,2008.7%
FICA 339,750 364,200 7.2%
OTHER RETIREMENT CONTRIBUTIONS 30,000 212,000 606.7%
MEDICARE 128,800 137,050 6.4%
INSURANCE 1,013,800 1,116,10010.1%
WORKERS COMPENSATION 226,850 240,300 5.9%
TOTAL PERSONAL SERVICES 11,586,450 12,573,400 8.5%
SUPPLIES
OFFICE SUPPLIES 57,650 41,800-27.5%
FUELS & LUBES 217,100 230,000 5.9%
UNIFORM ALLOWANCE 67,750 74,65010.2%
OPERATING SUPPLIES 647,650 589,600 -9.0%
EQUIPMENT PARTS 117,800 126,300 7.2%
STREET SIGNS 31,000 32,5004.8%
TOTAL SUPPLIES 1,138,950 1,094,850-3.9%
OTHER SERVICES & CHARGES
AUDIT FEES 19,250 16,000-16.9%
LEGAL FEES 230,000 230,000 0.0%
PROFESSIONAL SERVICES 128,300 117,150 -8.7%
TELEPHONE 86,850 91,0004.8%
POSTAGE 18,700 13,600-27.3%
TRAVEL/CONFERENCES/SCHOOLS 183,900 169,700 -7.7%
CAR ALLOWANCE 4,800 4,8000.0%
ADVERTISING/MARKETING 13,200 18,70041.7%
PUBLISHING 18,800 15,800-16.0%
PROPERTY/LIABILITY INSURANCE 152,800 156,900 2.7%
UTILITIES 394,650 396,200 0.4%
BLDG REPAIR/MAINT SERVICES 150,900 178,600 18.4%
EQUIP REPAIR/MAINT SERVICES 437,400 453,350 3.6%
CONTRACTUAL SERVICES 207,000 231,900 12.0%
BUILDING RENT 1,900 1,400-26.3%
EQUIPMENT RENTAL 27,000 31,50016.7%
UNIFORM RENTAL 900 --100.0%
DUES & SUBSCRIPTIONS 55,050 54,300-1.4%
TAXES & LICENSES 700 7000.0%
CREDIT CARD FEES 10,600 12,10014.2%
MISCELLANEOUS 36,450 82,250125.7%
EQUIPMENT REPLACEMENT CHARGE 310,000 332,000 7.1%
TOTAL OTHER SERVICES & CHARGES 2,489,150 2,607,9504.8%
CAPITAL OUTLAY 15,000 --
TOTAL GENERAL FUND EXPENDITURES$15,229,550$16,276,2006.9%
General Fund
Expenditures by Category
Services & Charges
$2,607,950
Supplies
$1,094,850
Personal Services
$12,573,400
8/13/20189/4/2018
City of Elk RiverLeviedPreliminaryPreliminary
Tax LevyPay 2018Pay 2019Pay 201
General Fund$10,497,800$11,356,200$11,242,400
Library54,00068,00066,000
General Property Tax Levy10,551,80011,424,20011,308,400
Special Levies:
2010 GO CIP Bonds369,500470,130470,130
Economic Development Tax Abatement142,530160,235160,235
Total Levy11,063,83012,054,56511,938,765
General Fund Change from Previous Year$858,400744,600
Percentage Change from Previous Year8.2%7.1%
Total Dollar Change from Previous Year990,735874,935
% Change9.0%7.9%
Note: This will be adjusted as we go thru the budget process and do updates.
NTC Value$24,046,382$26,033,877$26,033,877
Tax Rate46.0146.30345.859
9/4/18 Adjustments:
Revenues:
Licenses & permits101-0000-32355 ,000
Recreation fees101-0000-34618 ,000
Police training reimb101-0000-3325 19,000
Parking fines101-0000-35113 ,500
Misc revenue101-0000-36291 ,500
Revenue Additions 37,000
Expenditures:
Library Fund - insurance/supplies211-5600-4219/4361 (2,000)
Environmental - Lake Orono Study101-2440-4409 (30,000)
Energy City - Solar picnic table101-6220-4219 (15,000)
Energy City - conferences/schools101-6220-4331 (2,000)
Comm Dev - health insurance101-1510-4108 (5,250)
Parks - foreman position101-5110-41XX6 ,300
Streets - foreman position101-3120-41XX6 ,200
Sr. Activity Center - personal services101-5510-41XX (6,500)
Liability insurance - various depts.101-XXXX-4361 (1,750)
WC insurance - various depts101-XXXX-4109 (28,800)
Expenditure Reductions (78,800)
Tax Levy Reduction (115,800)
2019 BUDGET
REQUESTED POSITIONS
Department: EngineeringCode Enf.RecreationWWTP
101-3300101-2420101-5210602-9020
GENERAL FUNDWW Operator/
Sr. Proj. EngineerInternPT Rec. CoordTOTALLocate Tech.
4101Regular Pay 90,000 - - 90,000 52,700
4103Part-Time Pay - 16,200 4,400 20,600 -
4104PERA 6,700 - 350 7,050 3,950
4105FICA 5,550 1,000 250 6,800 3,300
4107Medicare 1,300 250 50 1,600 750
4108Insurance 13,650 - 15,600 29,250 7,500
4109Workers Comp 350 100 50 500 1,900
Total Personal Services$ 117,550 $ 17,550$ 20,700$ 155,800 $ 70,100
Additional Costs:
Uniform Allowance - - - - 800
Computer/phone 2,000 - - 2,000 -
Training/License - - - - 300
Total Additional Costs$ 2,000$ -$ -$ 2,000$ 1,100
Total New Position Requests$ 119,550$ 17,550$ 20,700$ 157,800$ 71,200
Increase hours to
from 29 to 32/wk
+ benefits
NOTE: THESE POSITIONS ARE REFLECTED IN THE GENERAL FUND BUDGET
15,60040,00043,45080,00010,00014,50058,000
392,000571,050100,000753,550
Total
$
Department
$
-
100,000100,000
Liquor
$
$
-
58,00058,000
Water
Waste
$
$
40,00048,00024,000
Gov't
320,000392,000432,000432,000
$
$
Bldg Fund
15,60022,00021,45043,45080,000
139,050139,050
Capital
Reserve
$
$
Funding Source
-
9,5005,000
14,50014,500
Library
$
$
-
Ice10,00010,000
Arena
$
$
--
Fund
General
$
$
2019 CAPITAL OUTLAY
9,5005,000
15,60040,000 22,000 21,450 43,45080,000 48,000 24,000 10,00014,50058,000
320,000 392,000 571,050 100,000 753,550
Amount
Requested
$ $
ItemElection Equipment - City contributionBuilding Security System UpgradeSophos Malware/Ransomware LicenseNetwork UpgradesPermit/Plan Review SoftwareStation 1 - Kitchen Upgrade/RemodelStation
1 - Bay Floor ResurfaceStation 3 - DesignFloor ScrubberProjectorComputer Chairs/Library FurnitureLift Station Panel - Hwy 169Northbound Interior Remodel
DepartmentAdministrationBuilding MaintenanceInformation Tech.Building SafetyFireGeneral Fund DepartmentsIce ArenaLibraryWastewaterLiquor StoresTotal