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Special Budget City Council Packet 07-28-2025
City Council Special Meeting Agenda Monday, July 28, 2025 4:00 PM Elk River City Hall ▪ Special meeting in Upper Town Conference Room 1. CALL MEETING TO ORDER 1.1 Notice of Meeting by Interactive Technology 2. PLEDGE OF ALLEGIANCE 3. 2026 BUDGET 3.1 2026 Budget Discussion/Presentations 4. MOTION TO ADJOURN Page 1 of 42 League of Minnesota Cities Model Form: 10/19/2021 Notice of Interactive Technology Meeting Page 1 Notice for Meeting pursuant to Minn. Stat. § 13D.02 City of Elk River City Council Meeting Notice of Meeting by Interactive Technology NOTICE IS HEREBY GIVEN that the City Council of the City of Elk River will hold a special meeting on Monday, July 28, 2025, at 4:00 p.m. at Elk River City Hall, 13065 Orono Parkway, Elk River, MN. The purpose of the meeting is to review the 2026 budgets for city departments. In accordance with the requirements of Minnesota Statute Section 13D.02, Councilmember Mike Beyer will appear remotely via interactive technology. Members of the public may acquire information on the meeting by contacting City Administrator Cal Portner cportner@elkrivermn.gov or Accountant Jill Knutson jknutson@elkrivermn.gov or calling 763-635-1000. Page 2 of 42 The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity Request for Action To City Council Item Number 3.1 Meeting Date July 28, 2025 Prepared By Lori Stich, Finance Manager Item Description 2026 Budget Discussion/Presentations Reviewed by Lori Stich Joe Stremcha Cal Portner Tina Allard Action Requested Overview of 2026 budget, budget review, discussion, and provide staff with direction. Background/Discussion Staff have been developing their preliminary 2026 budgets over the past few months. Meetings with department directors and/or division managers to review their preliminary budget requests were held in June/July. All of this leads up to the Council adopting a maximum tax levy before 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: o 1st Budget Work Session – Monday, July 28, at 4:00 p.m. o 2nd Budget Work Session – Monday, August 25 at 4:00 p.m. ▪ September 15 Regular Meeting – Approve maximum tax levy. ▪ October/November – Continue budget, Capital Improvement Plan, and tax levy discussion. ▪ December 1 Regular Meeting – Present and adopt final budget and tax levy. The preliminary 2026 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 2025 budget. ▪ Insurance benefits - 5% increase. ▪ Workers’ compensation – 10% average rate increase, which is consistent with estimates for previous years. A change to what is included in wages for the workers’ compensation calculation resulted in significant premium increases for all job classes. Page 3 of 42 ▪ Property/liability insurance – 10% average rate increase. The premiums did not increase for the 2025 renewal period, but we expect an increase for the 2026 renewal period. Included are the 2026 preliminary budget worksheets, along with department/division goals for the following departments, following review by the budget committee, which consists of the City Administrator, Assistant City Administrator/Business Services Director, Finance Manager, and Accountant. General Fund: ▪ Facilities Maintenance ▪ Park Maintenance ▪ Streets/Snow Removal ▪ Equipment Services ▪ Engineering ▪ Environmental ▪ Senior Programs ▪ Recreation ▪ Finance ▪ Legal Enterprise Funds: (funded by generated revenues) ▪ WWTP ▪ Stormwater ▪ Garbage ▪ Liquor ▪ Cannabound Financial Impact N/A Mission/Policy/Goal Responsible for every dollar - good stewards. Attachments 1. 2026 General Fund Summary 2. Department Budgets-Goals 3. 2026 Position Requests 4. 2025 Org Chart Changes Page 4 of 42 2022 2023 2024 2025 6/30/2025 2026 % of Increase/% ACTUAL ACTUAL ACTUAL BUDGET ACTUAL PRELIMINARY Budget (Decrease)Change General Fund Revenues: Property taxes 13,017,377 13,785,282 14,887,537 15,626,050 5,620,248 $16,252,600 70.7%$626,550 4.0% Other taxes 173,039 156,365 168,050 225,000 15,290 220,000 1.0%($5,000)-2.2% Licenses & Permits 939,133 976,260 768,995 974,200 650,623 984,700 4.3%$10,500 1.1% Intergovernmental Revenues 657,106 706,917 921,230 778,000 41,903 816,000 3.5%$38,000 4.9% Charges for Services 1,129,410 1,210,808 1,271,008 1,243,850 803,724 1,281,750 5.6%$37,900 3.0% Fines 127,954 169,910 176,559 155,000 66,586 170,000 0.7%$15,000 9.7% Other Revenues 335,594 445,610 477,201 361,000 349,901 414,000 1.8%$53,000 14.7% Other Financing Source - Lease 225,719 - 99,914.00 - - - 0.0%$0 0.0% Transfers In 2,599,306 3,202,249 2,953,568 2,847,000 583,620 2,859,050 12.4%$12,050 0.4% Total General Fund Revenues 19,204,638 20,653,401 21,724,062 22,210,100 8,131,895 22,998,100 100.0%$788,000 3.5% General Fund Expenditures General Government: Mayor & Council 180,733 196,879 196,900 233,000 90,787 243,000 1.1%10,000 4.3% Communications 368,036 436,535 461,967 522,150 244,153 553,150 2.4%31,000 5.9% Administrative Services 609,868 691,952 732,615 727,050 317,814 764,750 3.3%37,700 5.2% Human Resources 367,643 398,243 433,692 456,150 204,884 472,200 2.1%16,050 3.5% Elections 41,864 6,280 76,300 6,800 6,306 53,400 0.2%46,600 685.3% Finance 696,918 733,973 822,161 850,250 439,512 907,100 3.9%56,850 6.7% Information Technology 652,096 617,017 814,783 748,200 282,049 785,600 3.4%37,400 5.0% Legal 270,650 288,808 334,342 300,000 116,579 340,000 1.5%40,000 13.3% Community Dev/Planning 479,845 460,952 489,137 504,750 250,250 514,700 2.2%9,950 2.0% Facilities Maintenance 925,910 1,054,680 1,087,119 1,151,350 499,172 1,093,750 4.8%(57,600) -5.0% Energy City 24,475 56,284 21,268 40,200 0 0 0.0%(40,200) -100.0% Total General Government 4,618,038 4,941,603 5,470,284 5,539,900 2,451,506 5,727,650 24.9%187,750 3.4% Public Safety: Police 6,909,469 7,190,412 7,847,040 8,028,300 3,642,382 8,288,100 36.0%259,800 3.2% Fire 1,733,540 1,979,598 2,103,602 2,096,450 819,856 2,209,500 9.6%113,050 5.4% Building Safety 610,684 572,772 621,274 648,400 285,530 686,250 3.0%37,850 5.8% Code Enforcement 76,049 116,261 123,987 132,900 58,916 141,650 0.6%8,750 6.6% Environmental 111,919 128,842 125,041 57,800 28,699 76,650 0.3%18,850 32.6% Total Public Safety 9,441,661 9,987,885 10,820,944 10,963,850 4,835,383 11,402,150 49.6%438,300 4.0% Public Works: Street Maintenance 1,391,531 1,532,241 1,500,154 1,778,350 686,274 1,798,050 7.8%19,700 1.1% Snow Removal 366,282 338,473 263,917 380,650 224,361 388,950 1.7%8,300 2.2% Equipment Services 353,287 363,728 402,213 428,700 193,827 448,600 2.0%19,900 4.6% Engineering 426,794 464,372 408,497 382,100 166,330 409,900 1.8%27,800 7.3% Total Public Works 2,537,894 2,698,814 2,574,781 2,969,800 1,270,792 3,045,500 13.2%75,700 2.5% Culture & Recreation: Park Maintenance 1,572,359 1,558,303 1,649,764 1,736,000 701,565 1,736,950 7.6%950 0.1% Recreation 761,741 773,426 785,316 784,500 330,684 816,950 3.6%32,450 4.1% Sr. Citizen Programs 136,016 178,074 203,726 216,050 98,928 268,900 1.2%52,850 24.5% Total Culture & Recreation 2,470,116 2,509,803 2,638,806 2,736,550 1,131,177 2,822,800 12.3%86,250 3.2% Transfers Out - - - - - 0.0%- 0.00% Total General Fund Expenditures $19,067,709 $20,138,105 $21,504,815 $22,210,100 $9,688,858 $22,998,100 100.0%$788,000 3.5% ^ CITY OF ELK RIVER GENERAL FUND 2026 PRELIMINARY BUDGET Page 5 of 42 Division:Completed by:Date:Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 ProjectedFacilities maintained 11 11 11 11 11 11Square feet cleaned daily180,000 180,000 180,000 180,000 180,000 180,000Work order requests 269 569 452 600 433 600PM work order completion rate 100% 100% 100% 100% 100% 100%Maintain longevity of facilitiesMaintain clean and safe facilitiesImprove building operations and efficiency Continue to complete PM's on schedulePlanning and positioningKeeping up with and implementing new technologiesPlanning, prioritizing, staffingUpdating operating systems and routine preventative maintenance and repairPerformance Measures & Goals for 2026Facilities MaintenanceGary LoreDivision Goal Goal Objective/Task6/11/2025Page 6 of 42 FACILITIES MAINTENANCE 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change Personal Services Regular Pay 523,176 613,253 659,324 298,783 695,700 650,850 (44,850)-6.4% Overtime Pay 3,985 2,784 1,401 1,998 8,000 8,000 0 0.0% Part-time Pay 100 20,280 14,313 1,842 4,700 4,700 0 0.0% PERA 39,537 46,203 49,558 22,035 52,800 49,400 (3,400)-6.4% FICA 32,895 38,922 41,295 18,522 43,900 41,150 (2,750)-6.3% Medicare 7,693 9,103 9,658 4,332 10,250 9,600 (650)-6.3% Insurance 66,557 87,373 78,711 37,855 83,900 72,300 (11,600)-13.8% Workers Comp 24,448 25,949 33,640 21,111 31,500 28,700 (2,800)-8.9% Unemployment Benefits 700 603 4,270 2,083 0 0 0 0.0% Total Personal Services 699,092 844,470 892,170 408,561 930,750 864,700 (66,050)-7.1% Supplies Fuels & Lubes 5,623 6,959 6,137 1,824 7,000 7,500 500 7.1% Uniform Allowance 3,670 3,597 3,377 2,741 3,600 4,000 400 11.1% Operating Supplies 21,869 30,095 25,656 14,298 34,750 34,750 0 0.0% Total Supplies 31,163 40,651 35,171 18,864 45,350 46,250 900 2.0% Services & Charges Telephone 14,307 11,662 10,216 4,993 14,550 14,550 0 0.0% Travel, Conferences & Schools 845 3,066 2,000 1,000 3,000 3,000 0 0.0% Insurance 7,822 8,711 9,900 5,192 10,500 11,550 1,050 10.0% Utilities 102,931 84,007 74,207 20,716 89,600 77,300 (12,300)-13.7% Bldg Repair/Maint Services 34,447 35,897 40,280 23,617 36,100 43,850 7,750 21.5% Equip Repair/Maint Services 30,203 16,716 13,176 4,663 10,300 12,500 2,200 21.4% Contractual Services 0 0 0 6,920 0 0 0 0.0% Equip Replacement Charge 5,100 6,000 6,500 2,938 7,050 14,600 7,550 107.1% IT Equip Charge 0 3,500 3,500 1,729 4,150 5,450 1,300 31.3% Total Services & Charges 195,655 169,559 159,778 71,767 175,250 182,800 7,550 4.3% TOTAL FACILITIES MAINTENANCE 925,910 1,054,681 1,087,119 499,192 1,151,350 1,093,750 (57,600)-5.0% Page 7 of 42 Division:Completed by:Date: 6/11/2025Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 ProjectedAthletic Fields 17 17 17 17 17 17Sport Court Surfaces 13 13 13 13 13 13Playgrounds 18 18 18 18 18 17Miles of Sidewalks 24.1 24.1 56.0 56.8 56.8 58.0Miles of Bituminous Trails 30.1 30.1 34.8 36.6 36.6 37.0EAB Tree Removals 0 0 25 30 20 0Miles of Grass Trails 12 12 12 12 12 12Acres of Park Property1,392 1,392 1,392 1,392 1,394 1,416Ensure a safe park and recreation systemMaximize life expectancy of park amenities and maintain the highest level of aesthetics and safetyContinue to maintain our athletic fields to the highest standardConduct preventative maintenance and safety inspection program utilizing trained staff. Conduct park inspections weekly to included inspection of playgrounds, shelters, electrical infrastructure, trails, etc. Continue preventative maintenance and weekly inspections of park amenities to include splash pads, pickleball courts, picnic shelters, and restroom buildings. Continue to schedule staff for weekend maintenance support for facility reservations and splash pad maintenance.Maintain athletic fields to the standards expected by our user groups and visiting teams. Enhance playability and safety of fields by conducting maintenance on turf/ag-lime transition areas. Edge all ballfields once per season, perform weekly irrigation inspections, drag fields daily, and aerate and topdress to reduce compaction when and where necessary.EAB ManagementConclude EAB tree removal of ash trees within city parks and assist the Street Division with tree removals of publicly owned ash trees in public road ROWs in accordance with the city's EAB Management Plan. Continue to work towards replacement of trees as a result of EAB management.Performance Measures & Goals for 2026Park MaintenanceJoshua BaasDivision Goal Goal Objective/TaskPage 8 of 42 PARKS MAINTENANCE 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change Personal Services Regular Pay 666,974 527,000 662,607 276,755 617,250 636,600 19,350 3.1% Overtime Pay 8,295 30,429 5,137 4,309 9,000 9,000 0 0.0% Part-time Pay 54,727 63,328 69,342 30,700 116,000 116,000 0 0.0% PERA 42,612 47,508 47,412 20,995 46,950 48,400 1,450 3.1% FICA 43,276 35,861 43,536 18,302 46,000 47,200 1,200 2.6% Medicare 10,121 8,387 10,182 4,280 10,750 11,050 300 2.8% Insurance 112,573 135,273 147,486 72,300 153,050 151,700 (1,350)-0.9% Workers Comp 26,114 32,271 41,615 26,610 36,250 37,350 1,100 3.0% Unemployment Benefits 4,830 537 95 1,024 0 0 0 0.0% Total Personal Services 969,521 880,594 1,027,413 455,275 1,035,250 1,057,300 22,050 2.1% Supplies Fuels & Lubes 31,009 32,529 29,305 7,721 37,200 35,700 (1,500)-4.0% Uniform Allowance 6,770 5,793 5,589 2,950 6,550 6,700 150 2.3% Operating Supplies 160,880 153,772 140,851 69,782 164,150 159,650 (4,500)-2.7% Equipment Parts 35,603 38,804 23,145 26,405 40,000 40,000 0 0.0% Total Supplies 234,262 230,898 198,889 106,858 247,900 242,050 (5,850)-2.4% Services & Charges Telephone 1,235 1,770 826 401 1,600 1,700 100 6.3% Postage 0 214 56 0 0 0 0 0.0% Travel, Conferences & Schools 2,047 4,210 3,222 2,060 8,950 8,750 (200)-2.2% Insurance 42,749 26,423 29,388 15,278 30,600 33,650 3,050 10.0% Utilities 140,750 179,373 159,146 43,590 181,000 179,000 (2,000)-1.1% Bldg Repair/Maint Services 21,410 6,270 10,662 3,309 12,000 14,000 2,000 16.7% Equip Repair/Maint Services 21,192 15,615 13,747 6,265 36,000 38,000 2,000 5.6% Contractual Services 37,991 116,133 64,743 29,314 72,850 64,350 (8,500)-11.7% Equipment Rental 29,401 18,103 23,342 1,360 19,000 23,000 4,000 21.1% Equip Replacement Charge 71,800 77,000 83,150 37,417 89,800 73,850 (15,950)-17.8% IT Equip Charge 0 1,700 1,700 438 1,050 1,300 250 23.8% Equipment 0 0 33,480 0 0 0 0 0.0% Total Services & Charges 368,577 446,810 423,463 139,432 452,850 437,600 (15,250)-3.4% TOTAL PARKS MAINTENANCE 1,572,359 1,558,303 1,649,764 701,565 1,736,000 1,736,950 950 0.1% Page 9 of 42 Division:Completed by:Date: 6/11/2025Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 ProjectedCenterline Miles of Bituminous Roadway159 161 157 158 157 159Pavement Maintenance Miles16 18 20 20 5 22Street Sweepings Per Year2.5 2.5 2.5 2.5 1.5 2.5EAB Tree Removals 0 0 25 175 125 150ROW Mowing Per Year 2 2 2 2 1 2Parking Lots 21 21 22 22 22 23Performance Measures & Goals for 2026StreetsChris TeffDivision Goal Goal Objective/TaskSnow and Ice ControlUtilize BMPs to extend pavement lifeSign MaintenanceMeet approved timelines for snow removal. Continue to reduce road salt usage while maintaining safe winter driving surfaces through utilization of new equipment and applying BMPs for chemical application. Develop a plan of action for future liquid deicing equipment.Crack seal, pothole repair and other procedures to maintain bituminous roadways, parking lots, and trails. Desire BMP application system wide every 7 to 9-years. Continue to inspect and replace regulatory signage throughout the city. Update citywide signage for consistency. Maintain railroad quiet zone delineators to BNSF standard.EAB ManagementContinue EAB tree removal of publicly owned ash trees from road rights-of-way utilizing a systematic approach in accordance with the city's EAB Management Plan. Provide public notice to residents utilizing social media outlets, the city website, and door-knockers in affected areas. Page 10 of 42 STREETS MAINTENANCE 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change Personal Services Regular Pay 502,727 530,221 531,073 258,907 641,950 652,850 10,900 1.7% Overtime Pay 2,429 3,828 2,999 1,180 3,000 3,000 0 0.0% Part-time Pay 57,456 64,106 66,487 32,455 87,500 90,350 2,850 3.3% PERA 41,850 44,296 43,682 21,679 53,700 5,700 (48,000)-89.4% FICA 33,372 35,446 35,946 17,317 45,400 46,250 850 1.9% Medicare 7,805 8,290 8,407 4,050 10,600 10,800 200 1.9% Insurance 97,177 91,498 83,747 41,814 124,350 112,050 (12,300)-9.9% Workers Comp 29,997 32,078 37,189 24,309 41,550 41,450 (100)-0.2% Total Personal Services 772,812 809,763 809,527 401,712 1,008,050 962,450 (45,600)-4.5% Supplies Office Supplies 1,390 652 799 293 1,500 1,000 (500)-33.3% Fuels & Lubes 68,677 98,232 57,187 50,253 97,000 100,000 3,000 3.1% Uniform Allowance 5,186 5,584 6,420 2,986 5,950 6,100 150 2.5% Operating Supplies 86,346 129,761 94,769 34,589 101,000 100,000 (1,000)-1.0% Equipment Parts 80,549 75,503 53,491 30,746 75,000 75,000 0 0.0% Street Signs 22,109 11,205 24,417 2,377 31,000 31,000 0 0.0% Total Supplies 264,257 320,938 237,084 121,244 311,450 313,100 1,650 0.5% Services & Charges Other Professional Services 0 0 0 1,096 0 0 0 0.0% Telephone 3,689 3,874 2,439 1,020 700 2,500 1,800 257.1% Postage 128 426 274 71 350 350 0 0.0% Travel, Conferences & Schools 270 9,297 19,302 4,814 8,500 8,500 0 0.0% Publishing 0 0 60 0 0 0 0 0.0% Insurance 19,104 18,070 19,973 10,526 21,150 23,250 2,100 9.9% Utilities 94,489 92,038 90,043 41,344 95,000 95,000 0 0.0% Bldg Repair/Maint Services 44,880 39,379 46,559 10,072 43,000 46,000 3,000 7.0% Equip Repair/Maint Services 8,756 66,969 1,671 1,138 10,000 10,000 0 0.0% Contractual Services 43,001 19,014 62,445 6,475 97,300 107,500 10,200 10.5% Equipment Rental 3,254 98 978 0 6,500 5,000 (1,500)-23.1% Dues & Subscriptions 0 26 0 0 0 0 0 0.0% Taxes & Licenses 689 551 4,370 13,491 500 1,500 1,000 200.0% Equip Replacement Charge 136,200 146,000 157,700 71,000 170,400 213,300 42,900 25.2% IT Equip Charge 0 5,800 5,800 2,271 5,450 9,600 4,150 76.1% Equipment 0 0 41,929 0 0 0 0 0.0% Total Services & Charges 354,461 401,540 453,543 163,318 458,850 522,500 63,650 13.9% TOTAL STREETS MAINTENANCE 1,391,531 1,532,241 1,500,154 686,274 1,778,350 1,798,050 19,700 1.1% Page 11 of 42 SNOW REMOVAL 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change 12/31/2022 12/31/2023 12/31/2024 6/30/2025 12/31/2025 12/31/2026 Personal Services Regular Pay 131,240 109,429 123,142 94,952 144,400 147,500 3,100 2.1% Overtime Pay 52,888 41,031 13,740 11,680 50,000 50,000 0 0.0% PERA 13,810 11,285 11,150 7,113 14,600 14,800 200 1.4% FICA 11,416 9,329 9,218 5,880 12,050 12,250 200 1.7% Medicare 2,670 5,364 2,156 1,375 2,800 2,850 50 1.8% Insurance 19,703 14,431 16,263 15,102 24,850 22,400 (2,450)-9.9% Workers Comp 7,880 9,718 10,248 6,309 8,950 9,150 200 2.2% Total Personal Services 239,606 200,587 185,917 142,413 257,650 258,950 1,300 0.5% Supplies Operating Supplies 126,675 137,886 78,000 81,948 123,000 130,000 7,000 5.7% Total Supplies 126,675 137,886 78,000 81,948 123,000 130,000 7,000 5.7% TOTAL SNOW REMOVAL 366,282 338,473 263,917 224,361 380,650 388,950 8,300 2.2% Page 12 of 42 Division:Completed by:Date: 6/11/2025Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 ProjectedPreventative Repairs 366 364 337 400 195 370Corrective Repairs 481 411 491 320 158 425Performance Measures & Goals for 2026Equipment ServicesMitch LitfinDivision GoalMaintain 95% fleet operational rateUtilize technology to enhance service time and facilitate tracking of servicesMinimize equipment failures through preventative maintenanceGoal Objective/TaskConduct routine preventative maintenance and equipment inspections.Carry out unscheduled repairs in conjunction with preventative maintenance.Ensure repairs are completed within the manufacturer's specified time standards; outsource any repairs estimated to require over 40 labor hours.Continue training and effectively utilizing ManagerPlus Lightning Software to improve labor tracking for service operations.Upgrade and maintain vehicle diagnostic scan tools to improve the identification of deficiencies and minimize equipment downtimePerform routine maintenance services when equipment reaches 90–110% of the manufacturer’s recommended service intervals.Perform comprehensive inspections of all vehicles and equipment during routine maintenance, promptly identifying and repairing any deficiencies.Perform at least annual inspections on all equipment, including mandatory annual DOT inspections for all primary movers and trailers.Page 13 of 42 EQUIPMENT SERVICES 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change Personal Services Regular Pay 211,642 221,121 243,712 112,824 253,150 253,150 0 0.0% Overtime Pay 2,013 1,505 3,599 30 1,000 1,000 0 0.0% PERA 16,024 16,700 18,558 8,469 19,050 19,050 0 0.0% FICA 12,353 12,524 13,891 6,224 15,750 15,750 0 0.0% Medicare 2,889 2,929 3,249 1,456 3,700 3,700 0 0.0% Insurance 52,894 53,909 64,974 34,221 67,200 70,550 3,350 5.0% Workers Comp 6,034 5,945 7,664 4,938 7,450 7,700 250 3.4% Total Personal Services 303,849 314,633 355,647 168,161 367,300 370,900 3,600 1.0% Supplies Fuels & Lubes 8,765 7,063 4,192 3,601 9,000 10,000 1,000 11.1% Uniform Allowance 1,932 2,064 2,205 1,025 2,000 2,000 0 0.0% Operating Supplies 16,132 28,299 24,569 8,579 21,200 25,600 4,400 20.8% Equipment Parts 5,656 1,614 (18)(34)4,500 7,000 2,500 55.6% Total Supplies 32,485 39,039 30,948 13,170 36,700 44,600 7,900 21.5% Services & Charges Telephone 296 296 296 149 300 300 0 0.0% Travel, Conferences & Schools 2,074 570 1,988 520 1,500 1,800 300 20.0% Equip Repair/Maint Services 14,528 4,373 7,445 4,437 8,000 10,000 2,000 25.0% Contractual Services 56 3,117 4,189 6,724 13,300 19,100 5,800 43.6% IT Equip Charge 0 1,700 1,700 667 1,600 1,900 300 18.8% Total Services & Charges 16,954 10,056 15,618 12,496 24,700 33,100 8,400 34.0% TOTAL EQUIPMENT SERVICES 353,287 363,728 402,213 193,827 428,700 448,600 19,900 4.6% Page 14 of 42 Division:Completed by:Date: 6/23/2025Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 ProjectedFlow Rate (MGD)1.35 1.35 1.35 1.36 1.36 1.36Tons of biosolids landfilled 2,850 3,335 3,167 3,958 1,979 3,500Total gallons of leachate treated 12,604,24313,339,132 10,562,624 11,204,600 4,677,184 11,500,000# of pump station call outs 88 105 82 90 46 95# of pump stations 23 23 24 24 24 25# of plant and collection call outs 23 37 31 20 11 20Meet all the requirements that are given to us by the MPCA, and maintain an efficient plant and collection system. Keep the hybrid sunfish alive.Preventative maintenance program: ● Inspect 25 lift stations weekly ● Clean 25 lift station 2 times/year and exercise valves ● Annual lift station inspection ● Ongoing inspection of sanitary sewer system ● Jet 50% of city sewer lines/yearPerformance Measures & Goals for 2026Wastewater TreatmentMatt StevensDivision Goal Goal Objective/TaskPage 15 of 42 WWTP SUMMARY 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change REVENUES Other Revenue Special Assmts-County 1,496 1,735 2,946 (2,795)0 0 0 0.0% Special Assmts-City 0 0 0 0 1,500 0 (1,500)-100.0% Interest Income (999,746)515,308 419,464 90,599 135,000 130,000 (5,000)-3.7% Miscellaneous Revenue 13,140 1,928 3,825 (205)0 0 0 0.0% Total Other Revenue (985,110)518,970 426,235 87,599 136,500 130,000 (6,500)-4.8% Charges for Services Sewer Customer Charges 2,441,729 2,581,293 2,782,896 1,223,267 2,745,000 0 (2,745,000)-100.0% Sewer Connection Fee 1,789,641 840,480 831,976 167,657 1,000,000 1,000,000 0 0.0% Disposal Fees 177,367 189,121 172,106 74,835 195,000 0 (195,000)-100.0% Total Charges for Services 4,408,737 3,610,894 3,786,978 1,465,759 3,940,000 1,000,000 (2,940,000)-74.6% Other Financing Sources Disposal of Assets 0 0 1,878 0 0 0 0 0.0% Transfers 0 0 640,795 0 0 0 0 0.0% Capital Contributions 2,700,332 1,641,841 356,602 0 0 0 0 0.0% Total Other Financing Sources 2,700,332 1,641,841 999,276 0 0 0 0 0.0% TOTAL WWTP REVENUES 6,123,959 5,771,705 5,212,489 1,553,357 4,076,500 1,130,000 0 (2,946,500)-72.3% Page 16 of 42 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change EXPENDITURES Personal Services Regular Pay 514,823 542,825 548,339 266,711 603,400 615,250 11,850 2.0% Overtime Pay 28,262 36,635 37,287 18,025 40,900 39,400 (1,500)-3.7% Part-time Pay 1,184 0 3,200 0 9,600 9,600 0 0.0% PERA 40,731 43,472 10,424 21,361 48,350 49,100 750 1.6% FICA 31,154 32,767 33,461 16,525 40,550 41,200 650 1.6% Other Retirement Contributions 66,584 31,786 18,091 0 0 0 0 0.0% Medicare 7,286 7,663 7,825 3,865 9,500 9,650 150 1.6% Insurance 109,009 117,810 113,895 58,448 129,500 135,750 6,250 4.8% Workers Comp 15,943 16,325 20,220 13,185 19,500 19,950 450 2.3% Unemployment Benefits 0 0 15,444 0 0 0 0 0.0% Total Personal Services 814,977 829,284 808,185 398,119 901,300 919,900 18,600 2.1% Supplies Office Supplies 177 0 0 92 4,400 500 (3,900)-88.6% Fuels & Lubes 12,579 11,587 8,821 3,195 14,000 14,000 0 0.0% Operating Supplies 285,798 296,137 240,935 109,805 316,500 309,500 (7,000)-2.2% Equipment Parts 0 0 0 3,541 0 5,000 5,000 0.0% Total Supplies 298,554 307,724 249,756 116,633 334,900 329,000 (7,000)-1.8% Services & Charges Audit Fees 5,233 5,951 6,444 5,400 6,900 6,900 0 0.0% Engineering Fees 0 0 0 0 5,000 5,000 0 0.0% Legal Fees 31,040 37,728 351,812 0 0 0 0 0.0% Professional Services 34,856 52,711 35,223 28,769 44,500 45,800 1,300 2.9% Telephone 6,079 5,994 4,675 2,379 5,850 4,800 (1,050)-17.9% Postage 71 113 151 153 300 300 0 0.0% Travel, Conferences & Schools 10,011 1,769 2,895 1,648 3,700 4,300 600 16.2% Publishing 0 138 0 0 0 0 0 0.0% Insurance 28,744 32,647 36,710 18,966 37,950 41,750 3,800 10.0% Waste Disposal 3,139 1,742 1,867 778 0 0 0 0.0% Utilities 414,474 419,053 343,186 180,859 460,600 438,400 (22,200)-4.8% Equip Repair/Maint Services 138,919 78,980 154,717 53,672 159,050 165,050 6,000 3.8% Contractual Services 208,351 255,482 250,684 133,947 264,000 264,000 0 0.0% Uniform Rental 7,267 7,375 7,552 3,424 7,500 8,000 500 6.7% Depreciation 1,636,649 1,705,514 1,703,318 0 1,710,000 1,710,000 0 0.0% Amortization 4,795 5,427 5,356 0 5,450 0 (5,450)-100.0% Dues & Subscriptions 576 420 400 550 550 550 0 0.0% Taxes & Licenses 6,285 5,946 9,799 2,638 6,600 7,900 1,300 19.7% Total Services & Charges 2,536,490 2,616,991 2,914,790 433,185 2,717,950 2,702,750 (15,200)-0.6% Capital Outlay Improvements 0 0 0 0 150,000 0 (150,000)-100.0% Equipment 0 134,413 477,951 202,754 193,000 117,200 (75,800)-39.3% Total Capital Outlay 0 134,413 477,951 202,754 343,000 117,200 (225,800)-65.8% Debt Service Principal 0 0 0 530,000 530,000 535,000 5,000 0.9% Interest 106,424 82,807 78,066 39,818 77,000 71,660 (5,340)-6.9% Interest Expense - Lease 448 600 0 0 0 0 0 0.0% Agent Fees 500 500 500 0 550 550 0 0.0% Total Debt Service 107,372 83,907 78,566 569,818 607,550 607,210 (340)-0.1% Transfers Out Transfers 0 0 0 0 0 0 0 0.0% Transfer-General Fund 165,000 170,000 175,000 0 180,000 187,200 7,200 4.0% Total Transfers Out 165,000 170,000 175,000 0 180,000 187,200 7,200 4.0% Total WWTP EXPENDITURES 3,922,393 4,142,318 4,704,249 1,720,507 5,084,700 4,863,260 (229,400)-4.4% Page 17 of 42 Division:Completed by:Date: 6/10/2025Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 ProjectedActive Public Engineering Projects 12 14 10 10 11 9Active Private Development Projects 10 43554Total Projects 22 18 13 15 16 13Responsibly GrowCommunity EngagementContinue planning for utility service extension in new urban service target areasWork with internal and external team members to establish downtown revitalization goals.Performance Measures & Goals for 2026EngineeringJ FemriteDivision Goal Goal Objective/TaskPage 18 of 42 ENGINEERING 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change Personal Services Regular Pay 324,218 348,930 310,452 125,842 283,650 299,650 16,000 5.6% Overtime Pay 0 0 0 0 0 0 0 0.0% PERA 24,316 26,170 21,801 9,438 21,300 22,450 1,150 5.4% FICA 20,282 21,636 19,096 7,727 17,600 18,600 1,000 5.7% Medicare 4,779 5,060 4,466 1,807 4,100 4,350 250 6.1% Insurance 17,676 42,198 33,246 14,884 29,700 31,050 1,350 4.5% Workers Comp 1,405 1,934 2,161 984 1,500 1,550 50 3.3% Total Personal Services 392,676 445,928 391,221 160,681 357,850 377,650 19,800 5.5% Supplies Office Supplies 310 251 266 63 250 250 0 0.0% Fuels & Lubes 562 430 309 106 550 550 0 0.0% Operating Supplies 2,663 484 2,241 0 2,000 2,000 0 0.0% Total Supplies 3,534 1,165 2,815 169 2,800 2,800 0 0.0% Services & Charges Engineering Fees 17,348 4,220 1,088 0 0 1,500 1,500 0.0% Professional Services 2,016 57 45 50 5,500 1,000 (4,500)-81.8% Telephone 887 730 591 116 700 720 20 2.9% Postage 38 277 228 1 250 250 0 0.0% Travel, Conferences & Schools 3,093 956 1,223 589 3,650 5,800 2,150 58.9% Car Allowance 4,800 4,800 4,800 2,400 4,800 4,800 0 0.0% Insurance 128 136 140 74 150 150 0 0.0% Equip Repair/Maint Services 73 103 96 0 1,000 12,500 11,500 1150.0% Equip Replacement Charge 2,200 3,000 3,250 1,458 3,500 0 (3,500)-100.0% IT Equip Charge 0 3,000 3,000 792 1,900 2,700 800 42.1% Equipment 0 0 0 0 0 0 0 0.0% Total Services & Charges 30,584 17,279 14,461 5,479 21,450 29,420 7,970 37.2% TOTAL ENGINEERING 426,794 464,372 408,497 166,330 382,100 409,870 27,770 7.3% Page 19 of 42 Division:Completed by:Date: 6/11/2025Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 ProjectedActive Stormwater Projects Reviewed 10 6 12 10 5 8Completed Stormwater Projects 6 4 4 2 0 8Water Quality Inspections 275 280 280 285 120 320Active Site Inspections in Compliance70% 70% 70% 70% 70% 70%Stormwater Basin Cleaned 0 0 5 1 0 3Stormwater Basin % Performance: <70% - Considerable Maintenance663232 70-80% - Notable Maintenance 23 24 25 25 25 24 80-90% - Some Maintenance 92 92 92 92 92 92 >90% - Little to No Maintenance 230 230 235 240 239 245Permit Application Reviews351 352 320 345 205 350Review permit applicationsEnsure that all city water resource protection ordinances are considered in the preliminary planning stages before building permits are issuedApply for water quality grantsReduce the financial impact on the stormwater fund for future projects that reduce nutrient loading to Lake OronoEnsure compliance to protect and improve water quality and continue Stormwater Program Guide updates and implementationAsset ManagementPermit complianceMaintain Municipal Separate Storm Sewer System (MS4) PermitTMDL Waste Load Reduction Construct stormwater management projects that reduce nutrients entering Lake OronoElectronically track all stormwater assets, conditions and track potential illicit dischargesEnsure that all construction site obtain required permits and continue to improve active inspection compliance with the city building departmentPerformance Measures & Goals for 2026StormwaterRyan SandhoefnerDivision GoalGoal Objective/TaskPage 20 of 42 STORMWATER 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change REVENUES: Delinq Taxes 4 0 0 0 0 0 0 0.0% Special Assmts - County 301 212 139 (242)0 0 0 0.0% Interest Income (191,635)85,586 72,876 22,680 30,000 35,000 5,000 16.7% Miscellaneous Revenue 0 271,710 0 0 0 0 0 0.0% Storm Water Charges 608,796 633,969 674,715 280,441 675,000 640,000 (35,000)-5.2% Capital Contributions 872,439 487,524 0 0 0 0 0 0.0% TOTAL STORMWATER REVENUE 1,289,905 1,479,001 747,729 302,879 705,000 675,000 (30,000)0.0% EXPENDITURES: Supplies Operating Supplies 2,075 757 315 0 1,000 1,000 0 0.0% Total Supplies 2,075 757 315 0 1,000 1,000 0 0.0% Services & Charges Audit Fees 1,744 1,984 2,148 1,800 2,300 2,300 0 0.0% Engineering Dept Svcs 0 0 0 0 0 0 0 0.0% Professional Services 13,633 10,570 10,359 4,363 13,000 13,000 0 0.0% Telephone 330 300 90 0 350 0 (350)-100.0% Travel, Conferences & Schools 3,000 0 0 0 500 500 0 0.0% Equip/Software Maint 0 0 0 0 20,000 0 (20,000)-100.0% Contractual Services 162,637 470,915 50,360 8,021 265,000 50,000 (215,000)-81.1% Equipment Rental 0 0 0 0 0 0 0 0.0% Depreciation 478,502 494,793 481,076 0 500,000 500,000 0 0.0% Dues & Subscriptions 1,500 1,650 1,970 1,840 1,800 1,300 (500)-27.8% Total Services & Charges 661,346 980,212 546,002 16,024 802,950 567,100 (235,850)-29.4% Capital Outlay Improvement Project Contract 0 0 0 0 150,000 100,000 (50,000)-33.3% Equipment 0 0 0 0 0 0 0 0.0% Total Capital Outlay 0 0 0 0 150,000 100,000 (50,000)-33.3% Transfers Out Transfers 0 0 40,000 0 0 0 0 0.0% Transfer-General Fund 135,000 135,000 135,000 0 125,000 130,000 5,000 4.0% Total Transfers Out 135,000 135,000 175,000 0 125,000 130,000 5,000 4.0% TOTAL STORMWATER EXPENDITURES 798,420 1,115,969 721,318 16,024 1,078,950 798,100 (280,850)0.0% Page 21 of 42 Division:Completed by:Date: 6/10/2025Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 ProjectedWetland Conservation Act applications/decisions1211912512Shoreland permit applications657505Wetland and shoreland resident interactions (calls, emails, etc. but not permits)29 33 30 35 10 32Increase public education on environmental topicsCoordinate Wetland Conservation Act projects to comply with state laws protecting natural resources. Detailed review of existing city ordinances related to wetlands, floodplain, shoreland, etc. Increase public outreach on environmental issues and regulations (via social media, website and publications) about city's natural resource protection requirements.Work cooperatively with TEP members to ensure water resource protection regulations are applied and maintained. Perform a review of environmental ordinances and work with the Council to determine if ordinances are consistent with statutory requirements and the Council's vision. EnvironmentalJoe HailDivision Goal Goal Objective/TaskPerformance Measures & Goals for 2026Page 22 of 42 ENVIRONMENTAL 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change Personal Services Regular Pay 65,429 65,152 66,660 15,850 39,800 56,100 16,300 41.0% PERA 4,358 4,886 4,065 1,189 3,000 4,200 1,200 40.0% FICA 3,976 3,912 3,797 970 2,450 3,500 1,050 42.9% Medicare 930 915 888 227 600 800 200 33.3% Insurance 3,445 3,772 3,226 1,720 8,050 5,850 (2,200)-27.3% Workers Comp 446 892 943 546 500 550 50 10.0% Unemployment Benefits 0 0 0 0 0 0 0 0.0% Total Personal Services 78,584 79,528 79,580 20,501 54,400 71,000 16,600 30.5% Supplies Fuels & Lubes 33 0 0 0 0 0 0 0.0% Operating Supplies 345 1,616 545 172 50 50 0 0.0% Total Supplies 379 1,616 545 172 50 50 0 0.0% Services & Charges Telephone 210 360 180 0 350 360 10 2.9% Postage 258 183 332 5 100 100 0 0.0% Travel, Conferences & Schools 279 346 199 90 350 350 0 0.0% Contractual Services 32,149 45,359 42,739 7,930 2,200 4,700 2,500 113.6% Dues & Subscriptions 60 700 716 0 350 100 (250)-71.4% IT Equip Charge 0 750 750 0 0 0 0 0.0% Total Services & Charges 32,956 47,698 44,917 8,026 3,350 5,610 2,260 67.5% TOTAL ENVIRONMENTAL 111,919 128,842 125,041 28,699 57,800 76,660 18,860 32.6% Page 23 of 42 Division:Completed by:Date: 6/25/2025Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 Projected% Residential recycling participants 89 89 88 85 83 87Organics participation 347 359 403 411 411 N/AClean Up Day participation 317 321 311 331 331 320Recycle Coach monthly interactions 1,638 1,664 1,330 700 640 1,700Goal Objective/TaskPerformance Measures & Goals for 2026GarbageJoe HaleDivision GoalIncrease curbside recycling and yard waste participationPromote responsible waste disposal Use public outreach to educate city residents about solid waste best management practicesPromote the various waste and recycling resources that are available to city residents and increase monthly participation ratesPage 24 of 42 GARBAGE 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change REVENUES: Special Assmts-County 2,275 2,312 2,433 (2,301)0 0 0 0.0% Interest Income (75,952)30,922 30,738 9,387 10,000 15,000 5,000 50.0% Garbage Customer Charges 1,886,972 1,918,204 1,962,002 826,802 2,070,000 2,195,000 125,000 6.0% TOTAL GARBAGE REVENUE 1,813,295 1,951,438 1,995,173 833,888 2,080,000 2,210,000 130,000 6.3% EXPENDITURES: Personal Services Regular Pay 32,592 36,196 29,246 6,604 22,100 23,400 1,300 5.9% PERA 2,426 2,715 (5,138)495 1,650 1,750 100 6.1% FICA 1,978 2,173 1,761 404 1,400 1,450 50 3.6% Other Retirement Contributions 7,236 2,631 0 0 0 0 0 0.0% Medicare 462 508 412 95 300 350 50 16.7% Insurance 1,941 2,095 1,790 716 4,450 2,450 (2,000)-44.9% Total Personal Services 46,636 46,318 28,070 8,315 29,900 29,400 (500)-1.7% Supplies Operating Supplies 8,539 2,958 2,107 666 23,250 2,000 (21,250)-91.4% Total Supplies 8,539 2,958 2,107 666 23,250 2,000 (21,250)-91.4% Services & Charges Audit Fees 1,744 1,984 2,148 1,800 2,300 2,300 0 0.0% Other Professional Services 20,704 25,049 23,292 13,021 35,000 35,000 0 0.0% Postage 2,792 59 0 0 250 200 (50)-20.0% Travel, Conferences & Schools 0 0 0 0 150 150 0 0.0% Advertising/Marketing 154 0 0 0 500 250 (250)-50.0% Waste Disposal 497,081 522,506 524,418 220,069 578,150 605,000 26,850 4.6% Contractual Services 1,088,203 1,099,338 1,153,607 512,367 1,223,400 1,275,000 51,600 4.2% Miscellaneous 4,600 4,600 4,600 5,449 4,800 5,500 700 14.6% Total Services & Charges 1,615,279 1,653,536 1,708,065 752,705 1,844,550 1,923,400 78,850 4.3% Transfers Out Transfer-General Fund 54,000 56,500 58,000 0 60,000 62,400 2,400 4.0% Total Transfers Out 54,000 56,500 58,000 0 60,000 62,400 2,400 4.0% TOTAL GARBAGE EXPENDITURES 1,724,453 1,759,311 1,796,242 761,687 1,957,700 2,017,200 59,500 3.0% Page 25 of 42 Division: Completed by: Date: Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 Projected Guest Count 285,953 267,312 293,170 290,000 136,444 295,000 Basket Size (Avg. Sale per Guest $29.68 $29.80 $29.42 $29.00 $31.16 $29.00 Gross Profit % (cost of good/revenue)28%28%29%28%30%28% Labor Costs % (cost of labor/revenue) Rev. Calc. Method eff. 2025)12.76%14.04%13.56%14.00%13.67%14.00% Net Profit % (total expenses/revenue)12.10%10.95%11.00%11.04%12.00% # of Deliveries 318 326 505 1,000 230 1,000 Promote community value of liquor operations Improve delivery sales and service offerings Recruit and retain staff Promote a unified "message" paired with liquor transfers and a better knowledge of where consumer dollars go. Make your community Shine has grown year over year. Facilitate events to boost community engagement through educational tastings, wine clubs, "No & Low" tastings for non-alcoholic and low-calorie options, etc. Leverage the FT Center Overlook Lounge as an Emporium venue. Leverage eCommerce site through City Hive. Add Northbound to deleveries Promote Hemp-based THC product offerings Promote the new sales category and educational awareness videos such as THC 101. Increase user engagement through events at the FT Center Explore new strategies to recruit and retain liquor store employees. Performance Measures & Goals for 2026 Liquor Joe Audette Division Goal Goal Objective/Task July 11, 2025 Page 26 of 42 LIQUOR SUMMARY 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change REVENUES: Sales 8,528,181 7,973,270 8,625,315 4,059,876 8,640,000 8,845,000 205,000 2.4% Cost of Sales 6,191,510 5,762,668 6,169,283 2,691,280 6,235,750 6,344,000 108,250 1.7% GROSS PROFIT 2,336,671 2,210,602 2,456,033 1,368,597 2,404,250 2,501,000 96,750 4.0% Other Revenue Other Sales - Events 0 1,483 0 0 0 0 0 0.0% Delivery Fee 1,970 1,660 2,525 1,290 5,000 3,000 (2,000)-40.0% Interest Income (489,851)329,635 186,554 30,278 135,000 75,000 (60,000)-44.4% Refunds & Reimbursements 0 0 0 0 0 0 0 0.0% Miscellaneous Revenue 2,400 3,033 2,503 1,452 4,000 2,400 (1,600)-40.0% ATM Revenue 1,339 58 0 0 0 0 0 0.0% Cash Over/(Short)(2,477)(612)995 3 0 0 0 0.0% Disposal of Assets 0 (4,150)135 0 0 0 0 0.0% Transfers 0 0 9,682 0 0 0 0 0.0% TOTAL LIQUOR REVENUE 1,850,053 2,541,710 2,658,426 1,401,620 2,548,250 2,581,400 33,150 1.3% Page 27 of 42 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change EXPENDITURES: Personal Services Regular Pay 533,642 581,819 602,498 295,937 675,500 702,550 27,050 4.0% Overtime Pay 8 395 87 0 0 0 0 0.0% Part-time Pay 264,863 278,385 293,184 118,941 275,000 290,000 15,000 5.5% PERA 56,928 60,472 42,175 30,116 72,450 74,450 2,000 2.8% FICA 48,675 51,958 53,427 24,695 59,850 61,550 1,700 2.8% Other Retirement Contributions 44,571 10,293 13,436 0 0 0 0 0.0% Medicare 11,384 12,151 12,495 5,776 14,050 14,400 350 2.5% Insurance 94,856 104,880 128,240 65,022 146,800 154,150 7,350 5.0% Workers Comp 30,090 20,190 24,023 14,853 24,650 25,400 750 3.0% Unemployment Benefits 1,126 767 41 0 0 0 0 0.0% Total Personal Services 1,086,142 1,121,309 1,169,605 555,340 1,268,300 1,322,500 54,200 4.3% Supplies Fuels & Lubes 957 833 624 208 2,000 2,000 0 0.0% Uniform Allowance 3,772 4,137 3,093 812 4,500 8,000 3,500 77.8% Operating Supplies 18,701 33,119 34,594 6,077 25,000 30,000 5,000 20.0% Total Supplies 23,430 38,089 38,312 7,097 31,500 40,000 8,500 27.0% Services & Charges Audit Fees 8,722 9,919 10,740 9,000 11,500 11,500 0 0.0% Other Professional Services 0 0 0 17,400 0 271,000 271,000 0.0% Telephone 3,083 3,312 884 576 4,300 2,250 (2,050)-47.7% Travel, Conferences & Schools 530 959 4,046 3,222 4,000 5,500 1,500 37.5% Advertising/Marketing 5,396 6,526 10,848 6,965 20,000 20,000 0 0.0% Insurance 18,656 18,730 20,773 8,882 19,650 21,600 1,950 9.9% Utilities 72,674 72,604 70,731 28,962 69,500 69,500 0 0.0% Repair/Maint Services 104,792 95,956 50,171 21,635 77,700 50,050 (27,650)-35.6% Depreciation 90,127 57,854 59,545 0 70,000 60,000 (10,000)-14.3% Amortization 3,688 4,175 4,192 0 4,200 0 (4,200)-100.0% Dues & Subscriptions 6,200 6,225 9,906 0 6,300 10,000 3,700 58.7% Taxes & Licenses 459 940 1,336 2,645 500 1,700 1,200 240.0% Credit Card Fees 167,247 144,472 231,287 126,738 180,000 245,000 65,000 36.1% Miscellaneous 0 13 0 0 0 0 0 0.0% Total Services & Charges 481,576 421,686 474,461 226,023 467,650 768,100 300,450 64.2% Capital Outlay Improvement Project Contract 0 0 0 0 0 10,000 10,000 0.0% Total Capital Outlay 0 0 0 0 0 10,000 10,000 0.0% Debt Service Interest Expense - Lease 344 461 360 0 0 0 0 0.0% Total Debt Service 344 461 360 0 0 0 0 0.0% Transfers Out Transfers 250,000 250,000 250,000 0 250,000 0 (250,000)-100.0% Transfer-General Fund 750,000 1,000,000 1,000,000 0 850,000 850,000 0 0.0% Total Transfers Out 1,000,000 1,250,000 1,250,000 0 1,100,000 850,000 (250,000)-22.7% TOTAL LIQUOR EXPENDITURES 2,591,493 2,831,545 2,932,737 788,461 2,867,450 2,990,600 123,150 4.3% Page 28 of 42 CANNABOUND 2024 6/30/2025 2025 2026 Increase/% ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change REVENUES: Sales 0 0 0 1,052,000 1,052,000 0.0% Cost of Sales 0 0 0 526,000 526,000 0.0% GROSS PROFIT 0 0 0 526,000 526,000 #DIV/0! Other Revenue Interest Income 0 0 0 0 0 0.0% Transfer-Liquor 0 500,000 0 0 0 0.0% TOTAL CANNABOUD REVENUE 0 500,000 0 526,000 526,000 #DIV/0! EXPENDITURES: Personal Services Regular Pay 0 0 0 155,000 155,000 0.0% Part-time Pay 0 0 0 126,500 126,500 0.0% PERA 0 0 0 21,200 21,200 0.0% FICA 0 0 0 17,500 17,500 0.0% Medicare 0 0 0 4,100 4,100 0.0% Insurance 0 0 0 52,000 52,000 0.0% Workers Comp 0 0 0 7,500 7,500 0.0% Total Personal Services 0 0 0 383,800 383,800 0.0% Supplies Operating Supplies 0 0 0 40,750 40,750 0.0% Total Supplies 0 0 0 40,750 40,750 0.0% Services & Charges Audit Fees 0 0 0 3,000 3,000 0.0% Other Professional Services 0 0 0 0 0 0.0% Travel, Conferences & Schools 0 0 0 2,000 2,000 0.0% Advertising/Marketing 0 0 0 30,000 30,000 0.0% Insurance 0 0 0 0 0 0.0% Utilities 0 0 0 31,200 31,200 0.0% Dues & Subscriptions 0 0 0 226,300 226,300 0.0% Taxes & Licenses 0 0 0 4,000 4,000 0.0% Total Services & Charges 0 0 0 296,500 296,500 0.0% TOTAL CANABOUND EXPENDITURES 0 0 0 721,050 721,050 0.0% Page 29 of 42 Division: Senior ProgramsCompleted by: Natalie and JeffDate: 6/17/2025Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 ProjectedMemberships 574 629 570 625 533 575Activity Center Attendance 14,487 16,662 17,550 16,500 8,491 18,000 Effective membership program and eventsPromote online registration for all activities and allow membership renewal via phone.Analyze current membership program to determine needed adjustments to function most productively in the facility - Implement needed adjustments to membership and activity fees to meet financial standards. Survey members and consider auto renewal.Increase marketing efforts to spur engagementEngage in program and facility analysis to determine ideal program offerings within available resources that will engage and serve the community.Balance recreation programs that are offered as a service with programs that produce revenue.Ensure that community members are aware of senior center programs and opportunities.Efficient membership and program registrationPerformance Measures & Goals for 2026Division Goal Goal Objective/TaskIncrease access to public recreationFiscal responsibility of public fundsPage 30 of 42 SENIOR PROGRAMS 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change REVENUES Charges for Services Sr Center Activities 40,515 43,817 46,450 27,924 47,500 55,500 8,000 16.8% EXPENDITURES Personal Services Regular Pay 73,319 79,042 82,862 38,800 85,500 88,900 3,400 4.0% Part-time Pay 7,951 12,746 30,196 17,103 36,950 38,450 1,500 4.1% PERA 6,095 6,884 8,434 4,193 9,200 9,550 350 3.8% FICA 5,183 5,400 6,883 3,380 7,600 7,900 300 3.9% Medicare 1,212 1,263 1,610 790 1,800 1,850 50 2.8% Insurance 3,654 22,374 23,922 12,627 24,700 25,900 1,200 4.9% Workers Comp 383 326 603 390 600 600 0 0.0% Unemployment Benefits 1,275 0 0 0 0 0 0 0.0% Total Personal Services 99,072 128,035 154,509 77,283 166,350 173,150 6,800 4.1% Supplies Operating Supplies 8,080 12,664 9,857 3,689 10,800 11,000 200 1.9% Total Supplies 8,080 12,664 9,857 3,689 10,800 11,000 200 1.9% Services & Charges Telephone 296 296 296 149 300 300 0 0.0% Postage 4,268 4,293 5,325 1,009 4,500 5,000 500 11.1% Travel, Conferences & Schools 130 145 426 1,001 1,650 1,500 (150)-9.1% Contractual Services 23,668 30,919 31,669 14,716 30,000 75,000 45,000 150.0% Dues & Subscriptions 501 622 544 415 850 850 0 0.0% IT Equip Charge 0 1,100 1,100 667 1,600 2,100 500 31.3% Total Services & Charges 28,864 37,375 39,360 17,956 38,900 84,750 45,850 117.9% TOTAL SENIOR PROGRAMS 136,016 178,074 203,726 98,928 216,050 268,900 52,850 24.5% Page 31 of 42 Division:Completed by:Date:Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 ProjectedYMCA Annual Hourly Gym Usage 52 64 115 135 125 135Number of Community Events49495655 9 60Recreation Program Participants 2,256 2,156 2,526 2,500 963 2,500Event Attendees 18,690 26,866 26,500 27,000 1,500 35,000Shelter/Pavilion Rentals 236 436 295 450 387 450Warming House Participants During Hours Staffed 2,122 2,130 1,377 2,000 4,070 3,500Rec Programs at FT Center11110110Performance Measures & Goals for 2026RecreationJeff, Karen, and WarrenDivision Goal Goal Objective/Task6/17/2025Balance recreation programs that are offered in the program plan as a service with programs that produce revenue based on our revenue and pricing policy. Utilizing business sponsors through collaboration. Engage in marketing analysis and implement adjustments to most effectively communicate services to the communityContinually evaluate programs, and make necessary adjustments to assure participant safetyImplement facility rental use policy and fee structure that balances the needs of service groups and revenue generating groups based on our organized use policy.Increase access to public recreationFiscal responsibility of public fundsPromote the public health and wellness benefits of Parks and RecreationMaintain facilities and programs that continue to meet the communities needsResponsible use of public rental facilitiesEngage in program and facility analysis to determine ideal program offerings within available resources that will engage and serve the communityPage 32 of 42 RECREATION SUMMARY 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change REVENUES Charges for Services Recreation Fees 45,160 53,082 49,424 35,332 52,500 52,500 0 0.0% Farmer's Market 50,381 48,492 57,987 28,378 15,000 15,000 0 0.0% Elk RiverFest 20,845 27,250 23,028 6,590 20,000 15,000 (5,000)-25.0% Park Use Fee 39,033 64,433 83,509 44,140 76,900 77,000 100 0.1% Contributions 24,811 42,260 26,250 26,000 26,000 27,000 1,000 3.8% Bank of Elk River - concert series Total Revenues/Charges for Services 180,230 235,518 240,198 140,440 190,400 186,500 -3,900 -2.0% EXPENDITURES Personal Services Regular Pay 374,848 370,754 391,120 181,835 401,200 422,600 21,400 5.3% Overtime Pay 551 108 0 0 0 0 0 0.0% Part-time Pay 56,705 53,901 49,561 16,041 59,850 59,850 0 0.0% PERA 29,953 28,998 27,163 13,800 30,100 32,200 2,100 7.0% FICA 25,492 24,475 25,200 11,482 27,750 29,100 1,350 4.9% Medicare 5,962 5,724 5,893 2,685 6,650 7,000 350 5.3% Insurance 80,459 84,314 84,788 47,988 93,700 98,300 4,600 4.9% Workers Comp 4,941 4,098 5,829 2,448 4,200 4,300 100 2.4% Total Personal Services 578,911 572,371 589,553 276,279 623,450 653,350 29,900 4.8% Supplies Operating Supplies 57,153 57,313 55,974 11,427 26,650 26,500 (150)-0.6% Total Supplies 57,153 57,313 55,974 11,427 26,650 26,500 (150)-0.6% Services & Charges Telephone 2,099 1,922 2,370 1,049 2,000 2,000 0 0.0% Postage 364 645 621 76 100 100 0 0.0% Travel, Conferences & Schools 6,215 7,587 3,131 1,847 4,750 4,500 (250)-5.3% Advertising/Marketing 5,766 9,819 2,704 1,199 8,000 8,000 0 0.0% Insurance 2,412 4,230 4,784 2,496 5,000 5,500 500 10.0% Bldg Repair/Maint Services 4,824 11,208 13,312 (640)5,950 6,000 50 0.8% Equip Repair/Maint Services 35,706 10,534 12,588 830 11,500 11,000 (500)-4.3% Contractual Services 58,468 82,642 79,881 27,850 76,900 77,500 600 0.8% Building Rent 1,710 1,841 7,754 880 5,000 5,500 500 10.0% Dues & Subscriptions 2,359 2,669 2,196 1,530 2,750 2,850 100 3.6% Credit Card Fees 5,630 5,444 5,247 3,277 6,250 6,000 (250)-4.0% IT Equip Charge 0 5,200 5,200 2,583 6,200 8,150 1,950 31.5% Total Services & Charges 125,554 143,741 139,789 42,978 134,400 137,100 2,700 2.0% TOTAL RECREATION 761,618 773,426 785,316 330,684 784,500 816,950 32,450 4.1% Page 33 of 42 Division:Completed by:Date:Performance Measure 2022 Actual 2023 Actual 2024 Actual 2025 Estimated 2025 YTD 2026 ProjectedCity bond ratingAA+ AA+ AA+ AA+ AA+ AA+Avg rate of return to maturity4.92% 4.72% 4.63% 4.50% 4.43% 4.50%Accounts payable disbursements 4,663 4,622 4,449 4,500 2,524 4,700AP ACH vendors ~205 ~280 ~365 400 ~370 400Performance Measures & Goals for 2026FinanceLori Stich, Finance Manager6/17/2025Division Goal Goal Objective/TaskProvide meaningful and timely financial reports and information to Council and city departmentsEnsure compliance with applicable federal/state laws and GASB auditing standards and reporting requirementsAdminister the final reporting requirements of the ARPA fundsEfficient and effective processesEmployee developmentReview effectiveness of internal controls and implement auditor recommendationsContinue to enhance efficiencies and streamline operationsContinue to develop a long-term financial management plan to provide financial sustainability for the cityEnhance employee development through conference and workshop attendance along with peer networking opportunitiesCross training of finance department staffTransparency of public financesContinued participation in ACFR award programSustainable fundingRedistribute work among staff to ensure timely completion of all tasksPage 34 of 42 FINANCE 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change Personal Services Regular Pay 410,862 450,161 503,794 242,223 542,100 570,100 28,000 5.2% Overtime Pay 0 31 0 0 0 0 0 0.0% Part-time Pay 35,414 1,125 0 0 0 0 0 0.0% PERA 31,842 31,423 37,239 18,141 40,650 42,750 2,100 5.2% FICA 27,119 27,103 30,563 14,544 33,600 35,350 1,750 5.2% Medicare 6,342 6,339 7,148 3,401 7,850 8,250 400 5.1% Insurance 50,084 56,509 55,459 24,866 50,950 55,100 4,150 8.1% Workers Comp 2,044 2,024 2,628 1,608 2,450 2,500 50 2.0% Total Personal Services 563,708 574,715 636,832 304,783 677,600 714,050 36,450 5.4% Supplies Office Supplies 3,338 1,538 2,932 601 1,800 1,800 0 0.0% Total Supplies 3,338 1,538 2,932 601 1,800 1,800 0 0.0% Services & Charges Audit Fees 17,442 19,838 21,480 18,000 23,000 23,000 0 0.0% Other Professional Services 56,656 63,726 57,734 62,900 64,000 61,500 (2,500)-3.9% Telephone 180 0 0 0 400 0 (400)-100.0% Postage 1,460 2,692 1,950 1,549 3,000 2,500 (500)-16.7% Travel, Conferences & Schools 1,865 4,188 6,209 2,246 8,200 10,550 2,350 28.7% Publishing 240 273 215 0 300 250 (50)-16.7% Equip Repair/Maint Services 29,735 24,877 31,907 16,808 28,200 29,250 1,050 3.7% Dues & Subscriptions 1,484 1,700 3,061 899 2,050 3,200 1,150 56.1% Credit Card Fees 19,342 34,612 54,864 29,397 35,000 55,000 20,000 57.1% Miscellaneous 1,467 2,465 1,626 684 2,750 2,000 (750)-27.3% IT Equip Charge 0 3,350 3,350 1,646 3,950 4,000 50 1.3% Total Services & Charges 129,871 157,720 182,396 134,128 170,850 191,250 20,400 11.9% TOTAL FINANCE 696,918 733,973 822,161 439,512 850,250 907,100 56,850 6.7% Page 35 of 42 LEGAL 2022 2023 2024 6/30/2025 2025 2026 Increase/% ACTUAL ACTUAL ACTUAL YTD BUDGET PRELIMINARY (Decrease)Change Legal Fees 270,650 288,808 334,342 116,579 300,000 340,000 40,000 13.3% TOTAL LEGAL 270,649.96 288,807.79 334,342.46 116,578.97 300,000.00 340,000.00 40,000.00 13.3% Page 36 of 42 GENERAL Finance Finance Fire FUND Retail Operations Payroll Specialist*Community Risk Accounts Payable Position:Accountant*(to FT Finance)Reduction Specialist**TOTAL Assistant 4101 Regular Pay 91,185 35,191 81,974 126,376 70,153 4102 Overtime Pay - - 4103 Part-Time Pay - 4104 PERA 6,839 2,639 14,509 9,478 5,261 4105 FICA 5,653 2,182 7,835 4,349 4107 Medicare 1,322 510 1,189 1,832 1,017 4108 Insurance 17,861 7,144 17,861 25,005 3,660 4109 Workers Comp 436 169 5,207 605 1,634 Total Personal Services 123,296 47,835 120,740 - 171,131 86,074 Additional Costs: - 4217 Uniform Allowance 800 - 4219 Supplies - - 4331 Training/License - 4361 Auto insurance - 4560 Equipment - vehicle - - - Total Additional Costs - - 800 - - - Total Position Requests 123,296 47,835 121,540 - 171,131 86,074 *increase 32 hr/pp *50% Jan - Aug (Recreati **This position is included *100% Sep - Dec (Retail O in the General Fund budget Department: (split between liquor & cannabis funds) 2026 BUDGET PERSONNEL REQUESTS *These positions are not included in the General Fund budget Page 37 of 42 GENERAL Finance Finance Administration Administration FUND Retail Operations Payroll Specialist Front Desk Recreation/Finance Front Desk Accounts Payable Position:Accountant (to FT Finance)(FT)Assistant (Current staffing)TOTAL NET Assistant 4101 Regular Pay 91,185 35,191 50,684 (67,578) (82,617) 26,865 70,153 4102 Overtime Pay - - 4103 Part-Time Pay - 4104 PERA 6,839 2,639 3,801 (5,068) (6,196) 2,015 5,261 4105 FICA 5,653 2,182 3,142 (4,190) (5,122) 1,665 4,349 4107 Medicare 1,322 510 735 (980) (1,198) 389 1,017 4108 Insurance 17,861 7,144 18,754 (3,660) (18,754) 21,345 3,660 4109 Workers Comp 436 169 278 (284) (405) 194 1,634 Total Personal Services 123,296 47,835 77,394 (81,760) (114,292) 52,473 86,074 Additional Costs: 4217 Uniform Allowance 4219 Supplies - 4331 Training/License 4361 Auto insurance 4560 Equipment - vehicle Total Additional Costs - - - - - - Total Position Requests 123,296 47,835 77,394 (81,760) (114,292) 52,473 86,074 *increase 32 hr/pp *50% Jan - Aug (Recreation / Retail Operations) *100% Sep - Dec (Retail Operations) 2026 BUDGET PERSONNEL REQUESTS BUSINESS SERVICES / ADMINISTRATION Department: (split between liquor & cannabis funds) *These positions are NOT in the General Fund budget *These positions ARE in the General Fund budget Page 38 of 42 Retail Operations (Liquor Fund) Cannabound Manager Accounts Payable Assistant Retail Operations Manager Northbound Manager Westbound Manager +1 FTE Accounts Payable Assistant Page 39 of 42 Currently Job Share Recreation/Finance - 0.5 FTE Recreation Assistant Senior Programs Coordinator ½ FTE Recreation Assistant (Shared W/ Finance) Parks and Recreation Manager Recreation and Special Events Coordinator Recreation Sports Coordinator Senior Administrative Assistant Recreation Page 40 of 42 Current: 0.5 FTE Payroll Specialist* 0.5 FTE Payroll/Receptionist (Admin Job Share)* 0.5 FTE Finance Assistant (Rec Job Share) *32 hours are payroll Accounts Payable Specialist Accounta nt Payroll Specialist/Receptioni st (Shared W/ Administration) ½ Full Time Finance Assistant (Shared W/ Recreation) Payroll Specialist Accounta nt Finance Manager Finance Proposed: - 0.5 FTE Finance Assistant (Rec Job Share) +0.25 Payroll Specialist (stays FT in Finance) +1 FTE Accountant Page 41 of 42 + 0.5 Receptionist ** -0.5 FTE Receptionist/Payroll Specialist -0.5 FTE Receptionist/HR Job Share ** Remaining 0.5 Receptionist from Permit Tech with Backup from payroll and records. Administration Records Specialist/Receptio nist Secretary/Receptio nist City Clerk (Reclassified level from Director to Manager) Deputy City Clerk Payroll Specialist/Receptioni st (Shared W/ Finance) Human Resources Assistant/Receptioni st (Shared W/ Human Resources) Page 42 of 42