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7.2. SR 12-18-2006 City of Elk River REQUEST FOR COUNCIL ACTION Agenda Section Meeting Date Administration December 18, 2006 Item Description Consider 2006 Bud et Amendments Item Number 7.2. Prepared by Lori ohnson, Ci Administrator Reviewed by Introduction Budget amendments are presented to the City Council each December in accordance with the city's Financial Management Plan. Sections 6.3 and 6.3.1 of the Financial Management Plan regarding budget amendments are reprinted below for your reference. 6.3 The budget shall be adjusted as needed to recognize significant deviations from original budget expectations. The Council shall consider budget amendments each December. Budget amendments are intended to recognize changes made by the Council during the year, to reflect major revenue and expenditure deviations from budgeted amounts, and to consider year-end budget requests. Budget amendments are not intended to create a budget that matches budgeted revenues and expenditures to actual revenues and expenditures. 6.3.1 Administrative budget amendments may be made throughout the year by Department Heads to adjust line item budgets within their department as long as the total departmental budget does not change. These line item budget changes exclude personal service and capital ouday categories. Administrative budget amendments must be requested in writing and approved by the City Administrator and Finance Director. Discussion During the course of the year, the City Council approves expenditures for items which were not included in the adopted budget. Some of these expenditures are authorized to be taken out of the Council Contingency budget. In addition, department heads make administrative adjustments as allowed by the Financial Management Plan. Both of these are incorporated into the year end budget amendments presented to the Council for approval. Further, at year end department heads may make requests for addition expenditures or for changes in the way their department's existing budget allocations are spent. There are four such requests this year. First, Police Chief Jeff Beahen is requesting $18,000 to seal the concrete floor in the police garage to stop s: \ Council\Lori\2006\Budget Amendments.doc deterioration of the floor. This issue was identified after the 2007 budget proposals were reviewed so it was not included in the 2007 budget. Funds are available within the 2006 adopted police department budget for this expenditure. If the funds were not available in 2006 for this item, and if the Council does not approve this request, it will be included in the 2008 budget proposal. However, as Chief Beahen states in the attached memo, doing the work now will stop deterioration of the floor and ultimately reduce the cost to repair and seal the floor. Second, Fire Chief Bruce West is requesting $7,800 for the purchase of dress coats for all firefighters. These are used when the department attends official functions such as firefighter funerals and other events. Chief West has indicated to me that many departments have dress uniforms. Third, Building Official Bob Ruprecht is requesting $6,700 to purchase computer presentation equipment for the building department conference room. This would be used by building inspectors to review and discuss current building projects and the related inspections. Funds for this would come from building permit revenue. Finally, Street Superintendent Phil Hals is requesting $5,200 to purchase a shop press. Funds are for this item are available in the equipment services budget. The 2006 Budget Amendment Summary is attached for your review. Revenue amendments are proposed in the amount of $418,000 and expenditure amendments are proposed in the amount of $78,350. This includes $37,700 for the three new items listed above. Attachments · 2006 Budget Amendment Summary · Memo from Police Chief Jeff Beahen · Memo from Fire Chief Bruce West Action Reauested The City Council is asked to consider the budget amendments as stated in the proposed 2006 budget amendments attachment. Council Action Motion by _ Second by _ Vote Follow Up s: \ Council\Lori\2006 \Budget Amendments.doc City of Elk River Proposed 2006 Budget Amendments December 18, 2006 Proposed Final Revenues Adopted Amendment Amended Taxes 7,280,500 7,280,500 Licenses & Permits 870,700 300,000 1,170,700 Intergovernmental Revenue 938,650 938,650 Charges for Service 700,850 53,000 753,850 Fines & Forfeits 159,500 159,500 Other Revenues 82,200 110,000 192,200 Transfers 564,150 (45,000) 519,150 Total 10,596,550 418,000 11,014,550 Expenditures Proposed Final Department Adopted Amendment Amended MAYOR & COUNCIL 200,950 200,950 CABLE TV 88,700 88,700 ADMINISTRATION 420,650 420,650 ELECTIONS 35,900 35,900 FINANCE 508,300 508,300 INFORMATION TECHNOLOGY 256,700 (6,000) 250,700 LEGAL 242,450 242,450 PLANNING 442,350 9,600 451,950 GOVERNMENT BUILDINGS 211,300 211,300 CONTINGENCY 110,000 (9,600) 100,400 POLICE 3,543,850 6,000 3,549,850 FIRE 625,350 6,650 632,000 EMERGENCY MANAGEMENT 42,300 42,300 BUILDING & ENVIRONMENTAL 743,700 71,700 815,400 STREETS 930,100 930,100 SNOW REMOVAL 255,200 255,200 EQUIPMENT SERVICES 270,250 270,250 ENGINEERING 188,000 (40,000) 148,000 PARK MAINTENANCE 535,250 535,250 RECREATION 649,350 649,350 SR. CITIZEN PROGRAMS 110,750 110,750 ENERGY CITY 40,000 40,000 TRANSFERS 145,150 40,000 185,150 TOTAL 10,596,550 78,350 10,674,900 Surplus (Deficit) 339,650 339,650 * Ice Arena operating transfer will be adjusted based on actual required CITY OF ELK RIVER 2006 BUDGET AMENDMENT DETAIL December 18, 2006 REVENUES Dept. Detail Total Source Line Item Description Licenses & Permits Building Permits $ 110,000 Plmg/Htg Permits 190,000 $ 300,000 Charges for Services Planning Fees 12,000 Plan Check Fees 16,000 School Liaison 25,000 53,000 Other Revenue Interest Income 110,000 110,000 Transfers In Street Reserve (45,000) (45,000) TOTAL REVENUE AMENDMENTS $ 418,000 EXPENDITURES Dept. Department Line Item Description Detail Total IT Operating Supplies Transfer to Mobile Software (6,000) (6,000) Planning Capital Outlay E-Sized Copier 9,600 9,600 Police Equip R & M Eliminate Visionair Maint (19,000) Capital Outlay Investigations Bar Code Software (25,000) Capital Outlay Admin Mobile Software 50,000 6,000 Fire * Travel Cont. & Schools Reduction for Coats (6,000) * Other Professional Service Reduction for Coats (1,500) * Operating Supplies Dress Coats 8,500 Capital Outlay Overhead Doors Station 1 6,650 7,650 Fire Inspections * Travel Cont. & Schools Reduction for Coats (1,000) (1,000) Building/Envi ron mental Personal Services Building Inspector Intern 30,000 Insurance Additional Liability Premium 25,000 * Capital Outlay Furniture for Inspectors/Projection Equi~ 16,700 71,700 Snow Removal Operating Supplies Admin Transfer 15,000 Contractual Services Admin Transfer (15,000) Equipment Services Operating Supplies Shop Press (5,200) * Capital Outlay Shop Press 5,200 Engineering Capital Outlay Transfer to purchase in 2007 (40,000) (40,000) Contingency Allocate to Planning E-Sized Copier (9,600) (9,600) Transfers Out Capital Outlay Reserve Engineering Capital Outlay 40,000 40,000 TOTAL EXPENDITURE AMENDMENTS $ 78,350 Note: All budget amendments listed above have been approved by the Council with the exception of those marked with an asterick. Those are new requests that require Council approval. 12/14/2006;2006 Amendments.xls Page 1 COUNCIL CONTINGENCY ACTIVITY SUMMARY Adopted Continaencv Budaet Council Approved Expenditures Riley Dettmann & Kelsey Pay Plan Reclassification Study Council Approved Allocations to other Departments Planning Capital Outlay - E-Sized Copier Subtotal Contingency Balance Remaining 12/14/2006;2006 Amendments.xls Page 2 $ 110,000 17,000 9,600 26,600 $ 66,400 City of Elk River REQUEST FOR COUNCIL ACTION Agenda Section Meeting Date 12-18-06 Item Number Item Description Bud et Amendment -re Prepared by effre A. Beahen, Chief of Police Reviewed by Introduction The police department budget, specifically payroll, will have reserve funds available at the end of the budget year. This is attributed to the number of vacant positions that have remained open for periods of time this year during our six hiring processes. I am requesting utilization of a portion of the remaining funds to repair the garages floors at the police department. Discussion When the public safety building was built, there were sufficient funds available to apply an epoxy coating to the fire department garage floors. Funding was not available to coat the police floors. The raw concrete in the police garage was sealed with a normal waterproofing product. During the last three years, with the washing of squads, salt and other corrosives, the floor has started to efface, and significant pitting and erosion of the actual concrete is starting to take place. If we let the floor remain in the untreated condition, this erosion will continue and the condition of the floor will deteriorate rapidly. An inspection of the floor shows that water is seeping into the effaced areas, and as it does so, the corrosive action is accelerated and causes even greater damage. If the concrete has enough erosion, the only repair is to cut out and remove/replace the damaged sections. The cost for doing just a small section of flooring would be in excess of $50,000. We requested pricing from a flooring company, who has given us a very good price on a polyurethane floor coating system. This involves the shot-blasting of the current floor, an epoxy primer, a solid epoxy finish, covered with two coats of clear alphatic polyurethane. This will protect our floors from any future water damage while in turn stopping the existing erosion from continuing. It is expected that with routine maintenance, this floor covering should protect the garage floor for a period of twenty-five years. This is very cost effective preventive maintenance. Financial Impact Sufficient funds are available to complete this project within the current 2006 police budget. The total cost of the project, including the main police garage, the sally port and the entrance to the evidence room is $18,646. There is significant savings to do the smaller two floors, asthe equipment is already in place for the main garage project. Essentially the cost for the two smaller floors is product only. C:\Documents and Settings\jbeahen\Local Settings\Temporary Internet Files\OLK3\REQUEST COUNCIL AC110N (5).doc Attachments Photos of damage to floor. Quote from SwedBro for floor fInishes. Action Reauested Request that the Council approve the budget amendment to complete the floor coatings at the cost listed. Council Action Follow Up Motion by _ Second by _ Vote C:\Documents and Settings\jbeahen\Local Settings\Temporary Internet Files\OLK3\REQUEST COUNCIL ACTION (S).doc 1409 159th Ave NE Phone 763-434-9237 WWW.SwedeBro.Com Ham Lake, MN 55304 Fax 763-434-8999 Customer: City of Elk River Jeffrey Beahen 13077 Orono Parkway Elk River, MN 55330 Date: 9/8/06 RE: Police Station Garage Floor Description: Main Garaae Floor - Police Station A. Polyurethane System Shot-blast concrete for profile and correct bond. Clean and prepare concrete for resurfacing. Apply BR-110 1000/0 solids epoxy primer. Apply thick squeegee coat of BR-330 100% solids epoxy in a color to be determined. Broadcast silica sand and/or aluminum oxide for skid resistance. Apply two top coats of BR-440 clear aliphatic pOlyurethane.......................$16,896.00 Or B. Epo /Quartz System Prepare a . e as above. Apply quartz epoxy broa Apply BR-340 1000/0 s' ear epoxy. Apply two ats of BR-440 clear aliphatic polyur q:>1b .................... ..$27,188.00 Project to take approximately 4-5 working days to complete and cure properly. Foot traffic may resume 24 hours after final coat. Vehicle traffic must wait an additional 72 hours. *Custom samples available for an additional fee. * Deposit Required - 500/0 Non-Refundable BALANCE DUE $ $ Colors and Textures will vary from any color charts or samples shown. Exis(ingexpansion joints covered during process may be re-cut; cracks in. base substrate may reoccur. Total Price $ To accept this bid: Sign and return the original copy of this document along with the required deposit, and other forms to schedule your installation. Contract subject to terms/conditions listed. Balances are due upon completion. After 30 days, a late fee is assessed. Unpaid balances are assessed a 1.5% (18% APR) finance charge per month after 30 days. A Mechanic's Lien may be filed on any unpaid balances after 30 days. Buyer's Signature Date Price quote is validfor 60 days THIS CONTRACT SUBJECT TO THE TERMS AND CONDITIONS LISTED BELOW 1. The terms set forth in this agreement are intended as the complete and exclusive statement of the contract and may not be contradicted by evidence of any prior agreement or of a contemporaneous oral agreement. Only a memorandum signed by both parties and their authorized agent may amend this contract with the exception of the SwedeBro Expectation Form which may be signed by the customer only. Any changes to this contract may subject Buyer to additional charges. 2. Seller will complete work as expediently as possible once started and begin work within terms agreed to. Seller is not responsible for delays beyond his control. 3. This agreement is the actual order of the items listed above and it is understood that all items are custom made and all work is custom. Deposit is non-refundable. In the event of the buyer's death prior to completion of work, job is to be completed whether or not it has begun and buyer's estate or spouse is responsible for payment. In case of sale of home, contract may be terminated upon payment to Seller of a sum equal to one third of the remaining balance. 4. Balance of money is due upon completion of work. If claim for payment is placed in the hands of an attorney for collection, Buyer agrees to pay Seller a reasonable attorney's fee fixed by the court. 5. Except as provided in writing, Seller does not warrant the goods covered by this agreement and no other warranty expressed or implied is made by Seller. 6. Seller is not responsible for sub-surfaces such as concrete or wood during the installation due to the fact the prior conditions of the surfaces cannot be determined. Any problems that occur due to these sub-surfaces can not be warranted. This includes moisture transmission and hydrostatic pressure in concrete. Any defects in sub-surface will not be addressed unless listed above 7. Satisfactory completion of the items listed is determined by the Seller and not by the Buyer. 8. Seller will make every reasonable effort, in advance, to protect shrubs, landscaping and all adjacent areas from damage; however, Seller cannot warranty these areas against possible damage. 9. Seller will not assume responsibility of damage caused by non-recommended maintenance procedures. 10. If an unauthorized person services the surface, any warranty is automatically voided and Seller assumes no liability or responsibility for damage. 11. In cases where buyer does not own the home or business to which Seller is installing surface, buyer represents that he has permission of owner to install surface and is fully responsible for completion of contract. 12. Warranty is void with regard to any part or parts subject to abuse, neglect, or accidental causes including but not limited to: fire, flood, acts of God, and war. 13. It is agreed that Seller shall not be liable for any defect or damage resulting from installations requested by Buyer that depart from accepted installation methods. 14. Condominium owners, homeowners, and business owners responsible to associations or boards represent that they have or will obtain any necessary approvals. 15. Buyer grants Seller permission to photograph the installation and installation site and use such photographs in future sales presentations and advertising. 16. In cases of financial contract, other instruments make all disclosures. 17. Buyer must notify Seller a minimum of 48 hours (not including weekends) prior to the scheduled start day of any delays or postponement. If Seller is not notified at least 48 hours in advance, additional charges will be added. 18. Seller hereby notifies the Buyer that a Mechanic's Lien may be filed on any unpaid balances after 30 days. 14091591h Ave NE Phone 763-434-9237 WWW.SwedeBro.Com Ham Lake, MN 55304 Fax 763-434-8999 Customer: City of Elk River Jeffrey Beahen 13077 Orono Parkway Elk River, MN 55330 Date: 9/8/06 RE: Police Station Garage Floor-OPTIONS Description: Option 1 - Sallv Port - Police Station Polyurethane System - Shot~blast concrete for profile and correct bond. - Clean and prepare concrete for resurfacing. - Apply BR-ll0 100% solids epoxy primer. _ Apply thick squeegee coat of BR~330 100% solids epoxy in a color to be determined. Broadcast silica sand and/or aluminum oxide for skid resistance. - Apply two top coats of BR-440 clear aliphatic pOlyurethane.......................add$1,210.00 Option 2 - Evidence Receivina Room - Police Station - Grind to remove existing coating and profile concrete. _ Apply thick squeegee coat of BR~330 100% solids epoxy in a color to be determined. Broadcast silica sand and/or aluminum oxide for skid resistance. - Apply one top coats of BR-440 clear aliphatic polyurethane..........................add$540.00 Deposit Required - 500/0 Non-Refundable $ $ Colors and Textures will vary from any color charts or samples shown. Existing expansion joints covered during process may be re-cut; cracks in base' substrate may reoccur. Total Price *Custom samples available for an additional fee. * BALANCE DUE $ To accept this bid: Sign and return the original copy of this document along with the required deposit, and other forms to schedule your installation. Contract subject to terms/conditions listed. Balances are due upon completion. After 30 days, a late fee is assessed. Unpaid balances are assessed a ) .5% (18% APR) finance charge per month after 30 days. A Mechanic's Lien may be filed on any unpaid balances "after 30 days. ' Buyer's Signature Date Price quote is valid/or 60 days THIS CONTRACT SUBJECT TO THE TERMS AND CONDITIONS LISTED BELOW 1. The terms set forth in this agreement are intended as the complete and exclusive statement of the contract and may not be contradicted by evidence of any prior agreement or of a contemporaneous oral agreement. Only a memorandum signed by both parties and their authorized agent may amend this contract with the exception of the SwedeBro Expectation Form which may be signed by the customer only. Any changes to this contract may subject Buyer to additional charges. 2. Seller will complete work as expediently as possible once started and begin work within terms agreed to. Seller is not responsible for delays beyond his control. 3. This agreement is the actual order of the items listed above and it is understood that all items are custom made and all work is custom. Deposit is non-refundable. In the event of the buyer's death prior to completion of work, job is to be completed whether or not it has begun and buyer's estate or spouse is responsible for payment. In case of sale of home, contract may be terminated upon payment to Seller of a sum equal to one third of the remaining balance. 4. Balance of money is due upon completion of work. If claim for payment is placed in the hands of an attorney for collection, Buyer agrees to pay Seller a reasonable attorney's fee fixed by the court. 5. Except as provided in writing, Seller does not warrant the goods covered by this agreement and no other warranty expressed or implied is made by Seller. 6. Seller is not responsible for sub-surfaces such as concrete or wood during the installation due to the fact the prior conditions of the surfaces cannot be determined. Any problems that occur due to these sub-surfaces can not be warranted. This includes moisture transmission and hydrostatic pressure in concrete. Any defects in sub-surface will not be addressed unless listed above 7. Satisfactory completion of the items listed is determined by the Seller and not by the Buyer. 8. Seller will make every reasonable effort, in advance, to protect shrubs, landscaping and all adjacent areas from damage; however, Seller cannot warranty these areas against possible damage. 9. Seller will not assume responsibility of damage caused by non-recommended maintenance procedures. 10. If an unauthorized person services the surface, any warranty is automatically voided and Seller assumes no liability or responsibility for damage. 11. In cases where buyer does not own the home or business to which Seller is installing surface, buyer represents that he has permission of owner to install surface and is fully responsible for completion of contract. 12. Warranty is void with regard to any part or parts subject to abuse, neglect, or accidental causes including but not limited to: fire, flood, acts of God, and war. 13. It is agreed that Seller shall not be liable for any defect or damage resulting from installations requested by Buyer that depart from accepted installation methods. 14. Condominium owners, homeowners, and business owners responsible to associations or boards represent that they have or will obtain any necessary approvals. \ 15. Buyer grants Seller permission to photograph the installation and installation site and use such photographs in future sales presentations and advertising. 16. In cases of financial contract, other instruments make all disclosures. 17. Buyer must notify Seller a minimum of 48 hours (not including weekends) prior to the scheduled start day of any delays or postponement. If Seller is not notified at least 48 hours in advance, additional charges will be added. 18. Seller hereby notifies the Buyer that a Mechanic's Lien may be filed on any unpaid balances after 30 days. To: Lori Johnson, City Administrator November 28, 2006 Subject: Budget Amendment Purchase of Dress Coats for all Elk River Fire Department firefighters (coats will stay with the fire department, if and when a firefighter leaves department) Double Breasted, Black with Gold/Silver Buttons Per enclosed quote from Streichers Includes: Coat, patch sewing, officer sleeve striping, Maltese crosses (1 for each 5 years in department), and shipping. Budget category to pay for this request: 101.230.231.4219 Operating Supplies Amount of request $ 7,788.99 Budget amendment to pay for this request: (transfers) 101.230.231.4331 101.230.231.4319 101.230.232.4331 Travel, conference, schools Other Professional Services Travel, conference, schools $ 6,000.00 $ 1,500.00 $ 1.000.00 $ 8,500.00 If you have any questions, please feel free to call me at xl105 BruceA.West;} ~ / / L FireCbief ~'~ --