9.4 SR 07-18-2022Request for Action
To
Item Number
Mayor and City Council
9.4
Agenda Section
Meeting Date
Prepared by
Work Session
July 18, 2022
Lori Ziemer, Finance Director
Item Description
Reviewed by
2023 Budget Overview
Cal Portner, City Administrator
Reviewed by
Action Requested
Overview of 2023 budget.
Background/Discussion
Staff has developed their preliminary 2023 budgets and meetings with department directors and/or
division managers to review their requests were scheduled in June. All of this leads up to the Council
adopting a maximum tax levy prior to September 30 and the final budget being adopted in December.
Proposed Budget Schedule
■ July/August Budget Work Sessions — Council budget work session dates are as follows:
0 1" Budget Work Session — Monday, July 25 at 4:30 pm
0 21id Budget Work Session — Monday, August 8 at 4:30 pm
o Additional Work Session (if needed) — Monday, August 29 at 4:30 pm
■ September 19 Regular Meeting — Approve maximum tax levy.
■ October/November — Continue budget, Capital Improvement Plan and tax levy discussion.
■ December 5 Regular Meeting — Present and adopt final budget and tax levy.
The preliminary 2023 budget is developed based on the following initial estimates and may be adjusted as
we progress through the budget process:
■ Same level of services as the 2022 budget.
Wages and benefits:
o Captains union - new in 2022, 7.45% increase in 2023.
o Sergeants union - 2.5% general wage increase plus market adjustment.
o Patrol union - contract is up for renewal in 2023.
0 49ers union - percent provided to non -union employees or 2.75%, whichever is higher.
o Non -union employees - 3% increase.
o Insurance benefits - 5% increase.
o Workers' compensation — 10% average rate increase. As was the case last year, due to public
safety PTSD claims about a 30% rate increase is projected for police job classes.
Fuel — projecting $4.50/gallon for 2023, compared to $2.75/gallon used in the 2022 budget. The
state fuel contract will continue to be used.
The Elk River Vision
A welcoming community with revolutionary and spirited resourcefulness, exceptional,` 01 e
service, and community engagement that encourages and inspires pi ospei ly INAMIRE1
Property/liability insurance — rates have been restructured for specific building types to align with
the risks certain buildings present. Some building types will increase and for others rates will
decrease. Property types with the biggest rate increases include city halls, police/fire stations, and
community centers, while the biggest decreases include park property. Premiums are affected by
other factors such as added amenities/exposures, a 25% increase in the experience rating, changes
in expenditures, and a new premium charge for first -party cyber coverage.
Attached is a summary of the preliminary 2023 General Fund budget by department with the attached
personnel requests included.
Financial Impact
N/A
Mission/Policy/Goal
To be good stewards where council and staff work to responsibly grow and develop a sustainable and
prosperous community.
Attachments
■ Preliminary 2023 General Fund Budget
■ Personnel Requests
General Fund Revenues:
Property taxes
Othertaxes
Licenses & Permits
Intergovernmental Revenues
Charges for Services
Fines
Other Revenues
Transfers In
Total General Fund Revenues
General Fund Expenditures
General Government:
Mayor & Council
Communications
Administrative Services
Human Resources
Elections
Finance
Information Technology
Legal
Community Dev/Planning
Facilities Maintenance
Energy City
Total General Government
Public Safety:
Police
Fire
Building Safety
Code Enforcement
Environmental
Total Public Safety
Public Works:
Street Maintenance
Snow Removal
Equipment Services
Engineering
Total Public Works
Culture & Recreation:
Park Maintenance
Recreation
Sr. Citizen Programs
Total Culture & Recreation
Transfers Out
CITY OF ELK RIVER
2023 PRELIMINARY BUDGET
GENERAL FUND
2019 2020 2021 2022 2023
ACTUAL ACTUAL ACTUAL BUDGET PRELIMINARY
Increase/ %
(Decrease) Change
$11,171,848
$ 11,934,049
12,297,572
$13,109,300
$15,158,250
$2,048,950
15.6%
158,232
193,275
233,745
180,000
200,000
20,000
11.1%
822,899
665,519
1,015,529
865,700
876,200
10,500
1.2%
607,320
607,367
581,927
623,000
608,800
(14,200)
-2.3%
923,063
779,964
1,035,953
1,018,000
1,044,900
26,900
2.6%
134,493
89,359
127,266
120,000
125,000
5,000
4.2%
495,889
278,453
297,915
260,000
275,000
15,000
5.8%
1,922,657
2,613,943
2,281,960
2,737,650
2,651,500
(86,150)
-3.1%
16,236,401
17,161,929
17,871,867
18,913,650
20,939,650
$2,026,000
10.7%
142,390
141,884
161,522
189,250
203,750
14,500
7.7%
274,801
282,556
334,651
412,750
439,150
26,400
6.4%
540,930
566,052
597,464
618,500
658,250
39,750
6.4%
281,080
300,387
344,469
376,600
447,500
70,900
18.8%
6,300
73,561
6,300
48,700
6,600
(42,100)
-86.4%
632,392
597,788
620,548
686,150
731,900
45,750
6.7%
419,605
501,899
454,648
542,550
649,200
106,650
19.7%
315,866
232,017
244,402
255,000
275,000
20,000
7.8%
495,545
554,689
578,245
601,600
476,900
(124,700)
-20.7%
711,842
755,149
812,257
931,250
1,030,150
98,900
10.6%
29,573
22,307
23,922
38,700
71,450
32,750
84.6%
3,850,324
4,028,289
4,178,428
4,701,050
4,989,850
288,800
6.1%
5,647,822
5,734,695
6,338,212
6,788,600
7,541,150
752,550
11.1%
1,289,696
1,243,609
1,514,752
1,611,200
1,920,250
309,050
19.2%
514,626
498,824
489,072
548,650
578,150
29,500
5.4%
91,458
80,360
86,316
94,200
102,350
8,150
8.7%
32,477
54,759
57,578
62,500
136,550
74,050
118.5%
7,576,079
7,612,247
8,485,930
9,105,150
10,278,450
1,173,300
12.9%
1,323,279
1,411,936
1,472,080
1,429,500
1,681,550
252,050
17.6%
334,574
284,921
336,707
338,000
359,700
21,700
6.4%
232,155
221,272
253,000
362,800
386,700
23,900
6.6%
330,734
336,587
396,165
493,450
508,900
15,450
3.1%
2,220,742
2,254,716
2,457,952
2,623,750
2,936,850
313,100
11.9%
1,152,105
1,185,529
1,310,852
1,548,700
1,686,500
137,800
8.9%
787,334
661,903
648,970
801,050
902,100
101,050
12.6%
203,479
153,302
119,465
133,950
145,900
11,950
8.9%
2,142,918
2,000,734
2,079,287
2,483,700
2,734,500
250,800
10.1%
237,813 887,986 171,591
0.00%
Total General Fund Expenditures $16,027,876 $16,783,972 $17,373,188 $18,913,650 $20,939,650 $2,026,000 10.7%
2023 BUDGET
PERSONNEL REQUESTS
Human
Community
Building
Police -
Energy
GENERAL
Department:
Resources
Development
Safety
Support Svcs
Fire
Streets
Streets
City
FUND
Planning
Permit Tech/
Records
Sign
Street
Position:
HR Assistant
Intern
Plan Review
Clerk
Fire Officer
Shop Tech
Maintenance
Intern
TOTAL
Regular Pay
30,450
-
5,950
53,950
49,300
-
38,600
-
178,250
Part -Time Pay
-
20,800
-
-
24,550
-
20,800
66,150
PERA
2,300
-
450
4,050
8,700
1,850
2,900
-
20,250
FICA
1,900
1,300
400
3,350
-
1,500
2,400
1,300
12,150
Medicare
450
300
100
800
700
350
550
300
3,550
Insurance
17,050
-
-
17,050
13,650
13,650
11,400
-
72,800
Workers Comp
150
-
-
250
2,850
100
2,150
-
5,500
52,300
22,400
6,900
79,450
75,200
42,000
58,000
22,400
358,650
Total Personal Services
Additional Costs:
Uniform Allowance
250
650
900
Supplies
2,500
300
2,800
Training/License
400
1,000
1,000
2,400
-
-
-
3,150
-
1,000
1,950
-
6,100
Total Additional Costs
Total Position Requests
52,300
22,400
6,900
82,600
75,200
43,000
59,950
22,400
364,750
PT to FT I New I Position reclassI New I New I Addl hours I New I New
Start Date: 1/2023 4/23 -10/23 1/2023 1/2023 6/2023 1/2023 5/2023 4/23 -10/23