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2008 Adopted Annual Operating Budget CITY OF SHOREWOOD 2008 ANNUAL OPERATING BUDGET TABLE OF CONTENTS PAGE NO. INTRODUCTION Budget Message............................................................................................................ 1-6 SUMMARY INFORMATION Resolution Adopting 2008 Budgets........................ .......................................................7 Organization Chart............................................................................. .............................8 Budget Schedule................................................................. ..... .........................................9 Newsletter Insert: December 2007 Shore Report.......................................................10 Truth-In-Taxation Published Notice ...........................................................................11 Truth-In-Taxation Budget Presentation Handouts ............................................. 13-28 GENERAL FUND General Fund Description..................... ................................ ................................ ........29 General Fund Budget Summary... ......................... ...... ............... ........ .......... ......... 30-31 General Fund Revenue Summary ...............................:......................................... 32-33 General Fund Expenditure Summary .........................................................................37 Mayor and Council..............................;....................... ....... ..................................... 38-39 Administration.................................................. ............ ......;.................................... 40-41 General Government/City Clerk.... ........ ................................................................ 42-43 Elections............. ......................... ............................................................................... 44-45 Finance....................................................... ................................................................ 46-47 Professional Services............................................................................................... 48-49 Planning and Zoning.............................................................................. ................. 50-51 Municipal Building - City Hall...... ............................ .......... ............. ..... ................. 52-53 Police............................................................................................................ .............. 54-55 Fire Protection........................................................................................................... 56-57 Protecti.ve Inspection............................................................................................... 58-59 Animal Control......................................................................................................... 60-61 City Engineer............................................................................................................ 62-63 Public Works Service........ ....................................................................................... 64-65 Streets and Roadways.............................................................................................. 66-67 Snow and Ice Removal............................................................................................ 68-69 Traffic Control/Street Lighting............................................................................... 70-71 TABLE OF CONTENTS (Continued) Sanitation/W aste Removal/W eeds......................................................................... 72-73 Tree Maintenance..................................................................................................... 74-75 Parks and Recreation............................................................................................... 76-77 DEBT SERVICE Debt Service Fund Description.........................................................................~.......... 79 Schedule of Bonds Payable........................................................................................... 80 Bond Rating Information........................................................................... ............. 81-84 CAPITAL PROJECTS Capital Projects Funds Description........................................... .................. ................ 85 Capital Improvements Fiscal Policy............................................................................ 86 Capital Projects by Department............... .............. .......... ................... ................... 87-90 ENTERPRISE Enterprise Fund Descriptions...................................................................................... 91 Water Debt Service.................................................................................................. 92-93 Water Operations................................................. .................................................... 94-95 Sanitary Sewer........................................... ............................................................... 96-97 Recycling................................................................................................................... 98-99 Stormwater Management......:............................................................................ 100-101 GLOSSARy....................................................................................................................... 103-106 CITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD. SHOREWOOD, MINNESOTA 55331-8927. (952) 474-3236 FAX (952)474-0128. www.ci.shorewood.mn.us . cityhall@ci.shorewood.mn.us January 1, 2008 Honorable Mayor and City Councilmembers Residents of the City of Shorewood INTRODUCTION We are pleased to present the City of Shorewood 2008 Annual Operating Budget for your review and approval. This document, after adoption by the City Council, becomes the guide for - delivery of services to the residents of the City in the coming year. The budgets anticipate the level of funding necessary to provide these services. This budget is the result of Council and staff work-sessions on June 25th~ August 6th, 20th, and 27th, October 8th and 29th, and, November 5th, 2007. During the work-sessions, Council and Staff reviewed closely all aspects of the preliminary 2008 General Fund Budget. CounCil also approved implementation of a General Fund Reserve Policy in conjunction with using some General Fund reserves for capital improvements: 2008 GENERAt FUNDBUDGET HIGHLIGHTS . Levy Limits: There are no levy limit restrictions in place for 2008. . . 2008 Tax Levy: The 2008 budget reflects a tax levy of $4,611,995, based on the direction of the Council in work sessions in October and November. This is an increase of 4.91 % from the 2007 tax levy of $4,396,308. In September, the City Council certified a proposed levy of $4,806,995, or a 9.34% increase. This was revised downward by $195,000 at . subsequent work sessions; however, the larger number was certified to the County, and thus used to calculate the Proposed Property Tax Statements. #. . . t~ PRINTED ON fECYCLED PAPER 2008 Adopted Budget & Levy Page 2 . License & Permit Revenue: Other revenues (fees, licenses, permits) are generally expected to remain stable. Building permit revenue is expected to decrease due to the City being substantially developed and a quiet housing market, currently. . Use of Reserves: The 2008 budget also proposes the use of $100,000 in General Fund reserves, in addition to tax revenue and fee revenue. This use of reserves should result in an anticipated General Fund balance of $3.18 million, or approximately 57% of 2008 expenditures and transfers. This percentage is on target with the proposed General Fund Balance Policy adopted by the City Council. . Transfers to Capital Funds: Transfers to Capital improvements funds are programmed at $945,000 for 2008, an increase of $275,000 or about 41 %, from 2007. The major increase is to the Street Reconstruction fund to provide for sealcoating and street I slurry' projects. These transfers are important to provide funding for projects and purchases that will protect infrastructure and enhance productivity and effectiveness. Equipment Replacement Street Reconstruction Park Capital Improvement Public Facilities Land & Open Space Sewer Fund Stormwater Management 2007 $175,000 345,000 10,000 50,000 5,000 60,000 25,000 $670.000 2008 $175,000 645,000 15,000 50,000 o 60,000 o $945.000 . Key 2008 General Fund Expenditures: Total 2008 expenditures, not including capital transfers, are programmed at $4,374,145, which is a decrease of 1.95% from 2007 expenditures of $4,460,958. A key expenditure that was previously considered by the City Council, but then postponed to future years, was the Public Works building addition construction costs of $170,000. . Staffing Levels: Salary and insurance adjustments were reviewed by the Council, and the budget includes $20,000 for employee merit increases. No staffing additions are contemplated; a %-time position in the Finance department, previously budgeted in 2007, was removed from the 2008 budget. . Shorewood Tax Base: We received some preliminary information from Hennepin County on the estimated market values and tax capacity. It indicates that the City's tax base would increase approximately 9 percent for Pay2008 taxes. 2 2008 Adopted Budget & Levy Page 3 . Public Safety: Police and fire services are major components of the budget, and total approximately $1.734 million in 2008. For police, the City Council has approved the level of funding for 2008 recommended by the SLMPD Coordinating Committee for operations ($863,450). Shorewood's share of the Police Building component is $244,000 for 2008. The SLMPD will provide animal control services in 2008 as part of the expanded CSO program. Shorewood's share of fire services from the Excelsior Fire District (EFD) will increase $25,000 from 2007 to 2008, even though Shorewood's share of the EFD budget will decline a percentage point, from 41.27% to 40.61%. The services to Shorewood's Islands from the Mound Fire Department constitute a small portion of the fire program budget; the 2008 budget is based on a new (2007) formula for MFD services. The result is an increase of $2,000 or 8.6%, but would be at the same cost as in 2006. 2008 ENTERPRISE FUND HIGHLIGHTS Water Budget The Water Fund Budget is comprised of two parts: the Water Debt Service budget and the Water Operating Budget. The 2008 Water Debt Service Budget includes payments for existing bond issues, including the most recent 2006 issue for financing major water and well improvements. The debt service payments are programmed at approximately $388,000 and are paid by a transfer from the Water Operating budget. The 2008 Water Operating budget revenues are projected at $714,000 while expenses (including depreciation) are forecast at about $1.1 million. This amount includes capital expenditures to be funded from bond proceeds including: Amesbury Well enhancements; the Radio Read Meter project; the Woodhaven Well building demolition and the SE water tower rehab and painting. The 2008 budget includes $8,000 for possible feasibility studies. There are currently about 1,250 water connections that use an average of 30,000 gallons per quarter. There are no plans for a rate increase at this time. A restructuring of rates may be considered in the near future. There is interest in a rate structure that rewards water conservation and adjusts minimum rates, thereby benefiting seniors and other low-gallon users, while remaining neutral in terms of total revenue to the fund. 3 2008 Adopted Budget & Levy Page 4 Sanitary Sewer Budget The City currently has about 2,800 connections to its Sanitary Sewer System. Proposed operating expenditures for year 2008 are programmed at approximately $1.2 million. This amount includes capital improvements of approximately $325,000. The Sanitary Sewer rate is currently $70 per quarter and the City Council decided that a sewer rate change would not be required for 2008. Information about the sanitary sewer flow in millions of gallons is provided to the City annually by Metropolitan Council Environmental Services (MCES) for the period July 1 prior year to June 30 current year. MCES determines the 2008 cost by calculating each city's share using a formula based on the last actual known flows from the period July I, 2006 - June 30, 2007. The MCES wastewater charge, which is the amount the City must pay for wastewater processing will be $548,000 for Budget 2008. The monthly processing charge does not include I & I surcharges, which MCES could impose. However, the City expects to again be exempted in 2008 from the Inflow & Infiltration surcharge program that the MCES implemented in 2007. Stormwater Management Budget The Stormwater Management budget contemplates expenditures of about $233,000 for 2008. The major change to the 2008 Stormwater Management Budget from earlier budget drafts wa.s the removal of the large capital improvement project of the Amlee, Manitou, Glenn Road Stormwater project which was estimated at $540,500. Also changed, as a result of the elimination of this project, is the contemplated rate increase that would have been needed to generate additional funds. The largest planned expenditures to this fund are $40,000 for the Comprehensive Stormwater Management Plan (CSMP) updates required by the Comprehensive Plan; $10,000 for seasonal pumping of Lake Mary if needed; and some increased staffing costs for various project planning and analysis. At this time, no additional projects are planned for 2008; however $100,000 has been budgeted in the Capital Outlay line item for a to-be-determined project. Recycling Budget There are about 1,100 households monthly recycling an average of 90 tons per month. The 2008 Recycling budget is approximately $100,000. The City again anticipates receiving $21,000 from Hennepin County Grant Funds. In addition, the revenue item 'Charges for Services' is programmed at $61,000 in recycling fees annually (no rate change is planned) and $13,000 in City clean-up revenue. Expenditures include the City's recycling obligation based on the Veolia contract and $15,000 for City clean-up fees. (Every effort is made to recover costs through collection site fees however the City may have to subsidize a portion of this program.) The yeolia contract is a new 33-month recycling contract, with a slight rate increase. 4 2008 Adopted Budget & Levy Page 5 The City Council also discussed a desire to consider cooperative recycling efforts and organic recycling. Administrative and public works staff will research options; however, at this time no budget impact is contemplated. CONCLUSION The 2008 General Fund Operating Budget and levy were prepared according to the priorities and direction from the City Council, and continue the same level and array of services as provided in 2007. Staff believes the proposed 2008 budget provides a responsible plan to balance the City's service delivery needs, infrastructure needs, and financial position, while continuing to provide quality services to the residents of Shorewood. Respectfully submitted, L~ Bonnie Burton Finance DirectorfTreasurer 5 CITY OF SHOREWOOD RESOLUTION NO. 07-084 A RESOLUTION ADOPTING THE 2008 BUDGETS AND APPROVING THE 2007 PROPERTY TAX LEVY COLLECTIBLE IN 2008 WHEREAS, the 2008 Budget and 2007 property tax levies collectible in 2008 for the City of Shorewood have been prepared and reviewed by the City Council; and, WHEREAS, the City Council held a Truth-In-Taxation meeting on December 3,2007, to receive public comment regarding the adoption of such budgets and property tax levies; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Shorewood as follows: 1. That the following budgets are adopted for the year 2008: General Fund Water Fund - Operating and Debt Service Sewer Fund Recycling Fund Stormwater Management Fund $5,319,145 1,501,709 1,247,618 99,675 233,680 2. That the following sums be levied for 2007, collectible in 2008, upon taxable property in the City of Shorewood for the following purposes: General Fund Operations Levy Special Levy Total General Fund Levy $4,056,917 555,078 $4.611.995 3. That the City Administrator/Clerk is hereby instructed to transmit a certified copy of this resolution to the County Auditor of Hennepin County, Minnesota. ADOPTED BY THE CITY COUNCIL OF THE CITY OF SHOREWOOD this 10th day of December, 2007. ATTEST: Qw~~ Christine Lizee, Mayor Dawson, City Administrator/Clerk 7 CITY OF SHOREWOOD ORGANIZATION CHART I SHOREWOOD RESIDENTS I I CITY COUNCIL JOINT POWERS ORGANIZATIONS ADVISORY BOARDS POLICE - SLMPD PARK COMMISSION FIRE. EXCELSIOR FIRE DISTRICT I CITY I PLANNING COMMISSION LMCC. Lake M'tka Communication ADMINISTRATOR Commission LMCD . Lake M'tka Conservation ICITY ATTORNEY I District I I I CO I FINANCE I ADMINISTRATION I I PLANNING/ZONING I I PUBLIC WORKS I I I FINANCE 1 EXEC. SECRETARY/ I PLANNING DIRECTOR OF DIRECTOR/ DEPUTY CLERK DIRECTOR PUBLIC WORKS TREASURER I I RECEPTIONISTI SECRETARY/ I CITY I PARK SECRETARY RECEPTIONIST ENGINEER LIGHT EQPT. / I SR. ACCOUNTING I COMMUNICATIONS PLANNING BUILDING I UTILITY MAl NT. ENGINEERING I CLERK TECHNICIAN ASSISTANTS OFFICIAL OPERATORS TECHNICIAN ------------------------. ------------------ ------------------ -------------- ------------ Personnel I HR MIS General Government Planning Building and Ground, Engineering Svcs Accounting Budgeting Licensing Zoning Administration Tree Maintenance Project Mgmt Investments Purchasing Elections Property Records Park Maintenance Water Maintenance Utility Billing Payroll Records Inspection Street Maintenance Sewer Mainrenance Accts. Payable Legal Publications Equipment Maintenal SanitationlWeeds Accts. Receivable Public Information Stormwater System Street Lighting Special Assessments Cable TV Franchise Park Planning /Recreation Programs Insurance/Risk Management CONTRACTED SERVICES ASSESSOR. HENNEPIN COUNTY RECYCLING - VEOLIA ANIMAL CONTROL. SLMPD ; FIRE /Islands}. MOUND CITY OF SHOREWOOD, MINNESOT A 2008 ADOPTED ANNUAL OPERATING BUDGET 5755 Country Club Road, Shorewood, MN 55331 www.cLshorewood.mn.us CITY OF SHOREWOOD 5755 COUNTRY ~LUB ROAD' SHOREWOOD, MINNESOTA 55331-8927' (952) 474-3236 FAX (952) 474-0128 . www.cLshorewood.mn.us . cityhall@cLshorewood.mn.us CITY OF SHOREWOOD, MINNESOT A r 2008 ANNUAL OPERATING BUDGET ADOPTED DECEMBER ~O, 2007 #. , ~J PRINTED ON RECYCLED PAPER . Date 06/25/07 06/29/07 07/16/07 08/06/07 08/20/07 08/27/07 09/10/07 09/15/07 10/08/07 10/29/07 11/05/07 11/20-11/24 11/29/07 12/03/07 12/10/07 12/28/07 CITY OF SHOREWOOD Year 2008 Budget Schedule Description CIP Budget Work-session; Operating budget philosophy discussion Budget worksheets distributed to staff and department heads. Completed budget worksheets due back to Finance from staff. Work-session: General Fund Operating Budget draft (Council and Staff) Work-session: Additional General Fund session (Council and Staff) Work-session: Additional General Fund session (Council and Staff) Regular Council meeting. Council adopts 2008 proposed budget and levy. Proposed budget and levy must be adopted and certified to County Auditor by this date. State form Payable 2008 PT Form 280 also to be submitted. Work-session: Enterprise Budget session (Council and staff) Work-session: Enterprise Budget session (Council and staff) Work-session: General Fund Budget Final Review (Council and staff) Counties to mail Notice of Proposed Property Tax by this date. Budget hearing advertisement published in the official newspaper. Truth-In-Taxation Budget Public Hearing. Regular Council meeting. Final 2008 budgets and levy to be adopted. Final levy and budgets must be certified to the County Auditor by this date. State forms Payable 2008 Property Tax Levy Report and PT Form TNT2008 also due. 9 THE SHORE REPORT / DECEMBER 2007 . City of Shorewood 2008 City Budget CITY PROPERTY TAXES PAY FOR SERVICE Police and fire protection remains our top priority. Demands for these ser- vices continue to increase. Over 35 percent of the tax levy is allocated to the public safety services provided by the South Lake Minnetonka Police Department, Excelsior Fire District, and Mound Fire Department. Public works is another high priority. Nearly 20 percent of the tax levy pays for road maintenance, snow and ice removal, and rehabilitating City streets. The City plans to place more financial resources in its street sealing and over- lay projects in 2008 (which is included in the "Transfer to Capital Funds" cat- egory). Parks andrecreaUon account for about 5 percent of City property taxes. Most park programs are fee-supported. General government/other consist of administrative expenses, several contractual services, city planning and zoning administration, elections, building maintenance, and other day-to-day business items. Property taxes make up about 75 percent of the revenues to the General Fund. The City also provides several services as utilities: water, sanitary sewer, stormwater management, and recycling. These services are paid by user fees; no tax dollars are placed in these enterprises. Public Works 19% Shorewood 23% PROPERTY TAX DOLLARS AT WORK Less than one-fourth of your property tax dollar goes to the City of Shorewood. . Gen Govtl Other 24% Other 9% Schools (#276 before referendum) 33% YOUR 2008 PROPERTY TAX' NOTICE THE CITY ACCOUNTS for less than one-fourth of your total tax bill. The proposed tax notice you receive does not distinguish between the components of an increase or decrease. Your actual taxes may be lower than the amounts on your proposed tax notice. These are the maximum taxes that can be levied. The proposed taxes shown for the school districts (Minnetonka or Budget Hearings CITY OF SHOREWOOO Monday, Deccmber 3, 7 PM City Council Chambers 5755 Country Club Road Shorewood, MN 55331 (952) 474-3236 . MINNETONKA SCHOOL DISTRICT #276 Tuesday, Deccmber ] I, 7 PM Community Room, District Service Center 562] Co. Rd. 101 S Minnetonka, MN 55345 (952) 401-5024 HENNEPIN COUNTY Thursday, December 6,5:30 PM Commissioners' Board Room A-2400 Government Ccnter Minneapolis, MN 55438 (612) 348-5433 "VESTONKA PUBLIC SCHOOLS No budget hearing rcquired this year. For more information contact Westonka Public Schools at (952) 491-8021. 10 Westonka) do not include the amounts for the referenda approved by voters in November 2007; consequently, the school levies certified may be higher than what is shown on your proposed tax statement. Your actual tax statement will arrive in the spring. ~ ~ IF YOU HAVE ANY QUESTIONS ABOUT THE PROPOSED BUDGET OR ABOUT YOUR PROPERTY TAXES, PLEASE CONTACT THE FINANCE DEPARTMENT AT (952) 474-3236. www.ci.shorewood.mn.us Notice of Proposed Total Budget and Property Taxes The Shorewood City Council will hold a public hearing on its budget and on the amount of property taxes it is proposing to collect to pay for the costs of services the City will provide in 2008. SPENDING: The total budget amounts below compare the City's 2007 total actual budget with the amount the city proposes to spend in 2008. 2007 Total Proposed 2008 Change from Actual Budget Budget 2007 - 2008 $5,130,958 $5,514,145 7.47% TAXES: The property tax amounts below compare that portion of the current budget levied in property taxes in the City of Shorewood for 2007 with the property taxes the City proposes to collect in 2008. 2007 Property Proposed 2008 Change from Taxes Property Taxes 2007 - 2008 $4,396,308 $4,806,995 9.3% LOCAL TAX RATE COMPARISON: The following compares the City's current local tax rate, the City's tax rate for 2008 if no tax levy increase is adopted, and the City's proposed tax rate for 2008. 2007 2008 Tax Hate if Tax Rate NO Levy Increase 26.889% 24.649% 2008 Proposed Tax Rate 27.016% Attend the Public Hearing All Shorewood City residents are invited to attend the public hearing of the City Council to express their opinions on the budget and on the proposed amount of 2008 property taxes. The hearing will be held on: Monday, December 3, at 7:00 p.m. Shorewood City Hall 5755 Country Club Road, Shorewood, MN If the discussion of the budget cannot be completed, a time and place for continuing the discussion will be announced at the hearing. You are also invited to send your written comments to: City of Shorewood, Finance Department 5755 Country Club Road, Shorewood, MN 55331 11 2008 Truth-In-Taxation Budget Presentation Handouts 13 CITY OF of"'" " " 'I.. SHOREWOOD ~ l,.,' n It. I I:;: 1\ It "n "'" 2008 Budget Presentation DecembeL3,.200"Z CITY OF SHOREWOOD 1'" ,-. f"H_ "~L1'" U ~ J\^" H '-,", BUDGET PRESENTATION PURPOSE p n nr=- P:"' ...... M r:~ II:'_A H-*' I,... '" l.. n.J. '- o..-,c )C Present the 2008 City budgets )C Discuss the budget and levy changes )C Invite public comment 2008 Budget Presentadon - December 3, 2007 15 N(") "'" -. :I: ~~ (") m. <..lO:::J tnt::::J ~:::Jm o ~"S!. :::J / N l 0 I 0 OJ '" c: a. cog ...... 00 ~ C) ." ~::r i:l o m ~ ... 6r c. g ~ !E ~~ '" :5 " ocn <..l -'0 ~~::r ;;:::~. g -- ... x X X X X X ,Ota,}("') en rr1 -i OJ -i Z JC:::=i ;:s X """'t C 0) 0 0 "C 0) a. X '0..-< """'t CD :J ao. - CD ~~~9 CD :J 00 CD CD ~ :E a. -It ~ CD rl' _-I -n 0 ;::+ ~ :E 00. -. :-:J:' 1(J) 0 c 3 a. """'t rl' ... ":J: CD 0 C Cb uf -- . rl' 00 ~C) )0 0) () 00 0.. X ;:s 0) CD t:: :J C:J: "::0 0- 0) "C 00 (") ,. 1m N 0) < ;::+ 0 CD "C 0 CD 0.. ..- .:E 0 00 0) 3 0) ;lc) OJ OJ CD 0.. - -It (") c: a. CD -n CD """'t CD C:J: 0 00 -. ~ :J (") C 0 --I 4' """'t 3 -It >0 * (") Cb :J CD 0 iJ(J) !! """'t a. 00 """'t '0 ![ CD Q) 00 CD en t\.) 0 0) en :< CD :J 00 CD 0) "C 0 0 CD 0.. """'t CD 0 ~ CD rl' n a. 00 00 3 -It ~ cr -It ~ 0) """'t "C 01 ~ 0 0 N 0- 3 0) """'t (") 0 0 :J 0 -It CD " C t\.) :J C rl rl' CD :J (0 0 a. a. -ti *' 0 :J (") -...J 0) ao. c. CD 0 < :J CD w 00 CITY OF SHOREWOOD f'"\' '- .~ "'\1 -, . f" ''."... ". - -.r:'P4. BUDGET CALENDAR pn ",,...u"', "wrr.;' 1.4 f"'W" x February + City council sets goals and priorities x Mav & June + Departmental budgets prepared + Budget workshops with council & staff x July & August + Budget workshops x September + Preliminary budgets approved by the City Council and certified to theceQuntYatauditGr3, 2007 5 selTY Qf ~HQR~WQQR BUDGET CALENDAR CONTINUED on nn r.:' I f'wrr:. 1 n,,",u' r""'" , "... ('l en . x November + Proposed property tax notices mailed by County + Additional budget work sessions held x December + Budget presentation for public comment + Council adopts the final budget + Budget and levy is certified to the county 2008 Budget Presentation - Derember 3, 2007 6 '..,.. " ....::. 17 CITY OF SHOREWOOD of"'\'" ru ..,..n"r-~Annn GENERAL FUND BUDGET 2007-2008 nt:" AI ,... t.( "" f"" · '"',. n ~ ,..,,'" - r- I "C" f" (' , - ~ (' rv:~ j I $6,000,000 j $5,000,000 . 1 $4,000,000 . 1 $3,000,000 ~ $2,000,000 - I $1.,000,000 - $0 - L__ _ 2007 2008 . 2008 Budget Presentation - December 3, 2007 ~!TY QE ~t!Qfj~W~~R PROPOSED REVENUES 2007-2008 ~ I.( ".... n? r:' n u -= " r:.J' n c.-;) '" n n , - -c; (' np Sources 2007 2008 % Taxes $4,396,308 $4,611,995 4.91 Licenses/Permits 256,650 216,150 (15.78 ) Intergovernmental 65,000 65,000 0.00 Fines/Forfeits 80,000 80,000 0.00 Charges for Service 43,000 56,000 30.23 Miscellaneous 150,000 150,000 0.00 Transfers In 140.000 140.000 0.00 TOTAL: $5.130.958 $5.319.145 3.67% 2008 Budget Presentation - Dc<:ember 3, 2007 8 18 CITY OF SHOREWOOD ('IJ .-~ .n !.~ ~~~.,..... u~,." ^-.- 'r'. PROPOSED 2008 REVENUES r '(0' n':)r"",, oc;;:'"no II r.' ^ r,:"'.4(H::? . Taxes . Licenses/Permits . Intergovernmental Fines& Forfeits . Charges for Service . Miscellaneous & Transfers 2008 BUdget Presentation - December 3, 2007 9 CITY OF SHOREWOOD ~,,~ ? ~,!!!. ?~',~'--''='~,~~_.''''~ PROPOSED EXPENDITURES , V n' .rv"'u:- '" l'" V 1~ t', ~ n J . f"\ U r..., Sources 2007 2008 % General Govt $ 1,303,562 $1,368,824 5.01% Public Safety 1,821,850 1,887,632 3.61 Public Works 1,093,166 899,081 -17.75 Park & Rec 242,380 218,608 -9.81 Capital Tsfrs 670.000 945.000 41.04 TOTAL: $5.130.958 $5.319.145 3.67% 2008 Budget Pr=tation - [k(:ember 3, 2007 10 19 CITY OF SHOREWOOD ~I'. '" -..,.,.....r-"""".--. PROPOSED 2008 EXPENDITURES l.III"'" n#"t........,. "",^.,....n r", r'M"'" ""'.1"-" Park & Rec 4% General Govt . 26% 2008 Budget Presentation - December 3, 2007 11 CITY OF SHOREWOOD rot., -" -"_.'.-lII.-_.n_ BUDGET REDUCTIONS Q"n,~u:", "~nnl'" I ,nI4? )( Public Works Building Addition ($ 170,000) )( Stormwater Budget Transfer (25.000) ($ 195,000) 200B Budget Presentation - December 3, 2007 12 20 CITY OF SHOREWOOD f'" I 1- r--.7"\~fI1"'O:7fJit-ll'""7T,rl""ji'""I TAX LEVY 2007-2008 ~\..4"f r'1I7" . '~".n, _~ni"'O r-...-.._-.._--n_--.--n-.-.-.-...-T~~-L~.~;c~~-~~;i~~~"..-----........---....--.-------1 .1 .2007 .2008 l 2007 2008 .-:r-:~-~-~_.:~_.--._.~..-.-..,..,..._,__.,..--~__,...~.~~-.~.~....-r-~..~..........-~~_,.,.,_-r"T"l".-::.>..,.~~....r~T'."'J 2008 Budget Presentation - December 3, 2007 CITY OF SHOREWOOD "" , ru "llnl.lr.,,~n.n ESTIMATED TAX IMPACT 2007-2008 c ~ " II ^ ",.,. t......, i "rlV ,,~tl.. w,..... '" n n \. -" f\ ('\ q Home Actual Estimated Change Value 2007 2008 U $ 250,000 $ 672 $ 675 3 431,000** 1,159 1,164 5 500,000 1,344 1,351 6 750,000 2,185 2,195 10 1,000,000 3,025 3,039 14 ** Shorewood median value home 2008 2008 BudQet Presentation - December 3, 2007 21 13 14 CITY OF SHOREWOOD '"'Il' r)' ~""lf""A4\""f""\"" TAX RATE DATA 2003-2008 ''+-IV J,J \-n r f"' \-I f\..,f '" n n ')- '" f") n. (") 33 : 32.00 32 i I 31 I i 30 I 29 l 28 I I 27 f I 26 i I 25 r 24 L."_ ---.r- _. _..- 29.88 29.33 27.02 2003 2004 2005 2006 2007 2008 2008 Budget Presentation. December 3, 2007 CITY OF SHOREWOOD ""',....' '" -..-.,.-.,,--- ENTERPRISE FUNDS - 2008 r::'jJ' ,...u\. '0""'" , "t~n"':t - ~nno )C Enterprise Funds include: Water, Sanitary Sewer, Recycling, and Stormwater. )C These are the City's 'business' funds and are intended to be self-supporting with user fees and charges; not with tax dollars. )C Annual budgets are prepared for Enterprise Funds. 200B &Jdget Prese~tation - December 3, 2007 22 15 16 CITY OF SHOREWOOD 4""'11-- ...~ ~'~..dfr~"~.r'\.n ENTERPRISE FUNDS - 2008 ,...,.. ~ ,......,. 'L.lI"1l"" J ,,,qllf,"",,- "I:"'n"t'"'I $1,400,000 $1,200,000 - $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 112007 I . 2008 i ~'? ~o I..'b' ~'lJ 1..0 ~ ~'b' ..::,.V ,&C:J ~ 1..<:) ~ ~'b' 'lJ' .~ilo # 'lJ~ (f ~~ C:J. i~l 'lJ' ~ if <$'~ 0" ~~ 17 2008 Budget Presentatlon . December 3, 2007 CITY OF SHOREWOOD ,,- '-~.. ? q~,.,,\ ~, t:" ." ."1- -I!""'. WATER BUDGETS 2008 Jqq..,f' r- 1-' n,., r'\ N r I ,., "" no Q )( Currently 1,250 connections using an average of 30,000 gallons per quarter )( 2008 capital projects ($386,000) + Woodhaven Well building rehab + Amesbury Well system improvements + Radio Read water meter project + SE Area water tower painting & rehab )( No water rate increase planned for 2008 200a Budget Pres.entltion . December 3. 2007 IB 23 r-'---~-- 1 1,800,000 'I ,I 1,600,000 1,400,000 .. 1,200,000 1,000,000 .. 800,000 .. 600,000 - 400,000 200,000 - CITY OF SHOREWOOD ,.... H........ '1,~ -, ~. ~ ; -, . .- r'- .~, 1\ r i~~'r;.-- WATER BUDGETS 2008 1\ ^ ~ It:'" P fH"'\ 417'- . ..., ~ n (''U''''1 --.---..---.--------....---.-------..--......-----.-..----.--_...____.__________....__._________.___.___.._...c-_..~___.._'=I i I I ....'" 2007 2008 I . Water Operating I . Water DebtSvc I - - - _.. __ I 2008 Budget Presentation. December 3, 2007 19 CITY OF SHOREWOOD ",.... 1 -, -. 1"1 ,,- It" ,,-.-. SEWER BUDGET 2008 ..,~ I\/t lC'V Ol1nn..-, ~n"'o x Currently about 2,840 connections x Capital improvements include lift station refurbs (Christmas Lake & Enchanted Lane) x MCES wastewater charges are largest expense x City is not sUbject to I & I surcharges for 2008 x No sewer rate increase for 2008 2008 Budget Presentation" December 3, 2007 20 24 CITY OF SHOREWOOD .rt-a ---~~-~~ SEWER BUDGET 2008 ",... ,. A r- t.I ,..,. n" n r ~ ~ n~'" r----------nn-----------~~~~-~_-n-~:~~:~=n-n=----~~--.n=~~_~~~~~~~_J I $1.,400,000 ' .----------J 1 $1,200,000 ---------1 l' $1,000,000 .600__; $800,000 ----I I $600,000 ----I I $400,000 - ~ l $200,000 i $0 ,-~ - ~ I: -1 2007 2008 I '.,..y...~~...;I<\~..,:..,~..,..J..."'...........'-".......''t....'':..''''.......'."""~..".,.,...v........'...1.'W'lo'."'l>>...ll..'~.',,:....:.l?-.."":....."...."?"'!'___l<'~~-:'l"'""...,......'."~ .. 2008 Budget Presentation - December 3, 2007 CITY OF SHOREWOOD r". ~ ~ r t. ~ r ,", f"'\ f-" 'C' .~."\ n "'" 'n . STORMWATER BUDGET 2008 ':). "l-J..{fll' '\1''''"'1 cv Df'nntr: I "nf'(~ + 2008 budget about $230,000 + The largest anticipated project was removed from the budget (Amlee, Manitou, ~Ienn) + $100,000 has been included for yet-to-be - .. determined projects. + No rate increase planned for 2008 2boB Budget Prescntatlon - December 3, 2007 25 21 22 CITY OF SHOREWOOD ". 1-. --t- !" ,. --::." .~,~ ,~ ~ _(\ ~, ~" .;+., ~ RECYCLING BUDGET 2008 IA r::,.... I ,.... r"" jf n ~,,~ ~ ~, -.:- ("\ " p + City receives grant funds ($21,000) from Hennepin County + Participation is about 1,100 households per month; 75-90 tons per month + No rate increase planned for 2008 2008 8udget Presentatlon - December 3, 2007 23 CITY OF SHOREWOOD RECYCLING & ~1; I .".;... "'). J, .L<CE\'~\f H-ll'~' lJr;.. J ,"""rllll,.J ~ STORMWATER BUDGETS 2008 4:)' nf,.('^" ""'\-I' eLl Qnnr:u::' ~ 'lII:::'(,\("\Q ., . $350,000 $300,000 $250,000 $200,000 $150,000 $100,000 $50,000 $0 I I ~ I L~_. 2007 2008 . Recycling . Stormwater Mgmt .......,.....,.............~,.,...,......-....,_..-:-.....~(...-.o:.m.~.._~..~...,_.:":.._<._~..-_~~.__:..,:,.,:...,~.-._!'..."':..-:...~-r.w.._..-~~..!;..'1..._~,....,'-...24 26 CITY OF SHOREWOOD ~~. 1,.,1 ry"~'I'"7"A_D.-c.- b!~UQR ~~Q~~T x The City of Shorewood has sold the municipal liquor operation. Therefore, there are no liquor budgets to consider for 2008. 2008 8udget Presenta~on - December 3, 2007 2S CITY OF SHOREWOOD - '-oJ., ..... '. -. ~ r ~_r r::" 1!\ f"" ..... n TAX IMPACT q...." ""'__WI"" x Total property tax on a $431,000 home in Shorewood is $4,918 x The City portion of this tax bill is about $1,160 (approximately 24%). Other 8% School District 34% City 24% 2008 Budget Presentation - December 3, 2007 Hennepin County 35% 26 27 CITY OF SHOREWOOD r'-'" nl -. ."1.....-::- lIIf10 __ro. VALUE IN CITY SERVICES ^ w rn r:- ")I ,.....' I ". r Ll ^ , f" r:-? )C Police Protection )C Fire Protection )C Clean Drinking Water )C Snow Plowing )C Street Maintenance )C Parks & Trails )C Building Inspections )C Other City Services . 2008 Budget Presentation - December 3, 2007 CITY OF SHOREWOOD "I ~ 'l t""4\ 1., '" Il.-l " ,-' If"': oft Jl n f" n , THE END 2008 Budget Presentation - December 3, 2007 28 27 28 THE GENERAL FUND The General Fund is used to account for resources traditionally associated with government which are not required legally or by sound financial management to be accounted for in other funds. It normally receives a greater variety and number of taxes and other general revenues than any other fund. The majority of the current day-to-day operations will be financed from this fund. . 29 CITY OF SHOREWOOD GENERAL FUND REVENUE AND EXPENDITURE SUMMARY 2008 ADOPTED BUDGET Actual Actual Budget YTD Oct Requested Proposed Adopted $$ % 2005 2006 2007 2007 2008 2008 2008 Change Change Revenues and Other Sources Property Taxes 3,750,633 4,141,539 4,396,308 2,145,376 4,806,995 4,611,995 4,611,995 215,687 4.91% Licenses and Permits 334,720 382,408 256,650 238,447 216,150 216,150 216,150 (40,500) -15.78% Intergovernmental 64,480 4,925 65,000 47,815 65,000 65,000 65,000 0 0.00% Fines and Forfeitures 90,149 79,040 80,000 69,220 80,000 80,000 80,000 0 0.00% Charges for Service 50,750 45,450 43,000 64,610 56,000 56,000 56,000 13,000 30.23% Miscellaneous Revenue 204,636 195,090 150,000 164,239 150,000 150,000 150,000 0 0.00% Total Revenues 4,495,368 4,848,452 4,990,958 2,729,707 5,374,145 5,179,145 5,179,145 188,187 3.77% Expenditures General Government Mayor and Council 59,706 60,960 72,893 49,845 70,093 70,093 70,093 (2,800) -3.84% Administration 132,686 125,505 159,389 124,043 178,621 178,621 178,621 19,232 12.07% General Government 222,437 195,099 239,574 195,493 242,183 242,183 242,183 2,609 1.09% Elections 407 30,018 11,630 2,851 37,642 37,642 37,642 26,012 223.66% Finance 167,597 159,336 214,412 121,416 190,581 190,581 190,581 (23,831) -11.11% Professional Services 162,271 164,864 187,600 157,398 217,000 217,000 217,000 29,400 15.67% Planning and Zoning 166,103 194,305 192,320 145,602 206,390 206,390 206,390 14,070 7.32% Municipal Building 507,659 207,400 225,744 104,874 226,314 226,314 226,314 570 0.25% Total General Government 1,418,867 .1,137,485 1,303,562 901,522 1,368,824 1,368,824 1,368,824 65,262 5.01% Public Safety Police 987,130 1,036,609 1,069,063 1,001,344 1,111,503 1,111,503 1,111,503 42,440 3.97% Fire Protection 492,774 563,850 595,947 595,947 622,935 622,935 622,935 26,988 4.53% Protective Inspection 110,126 139,580 132,510 104,637 128,134 128,134 128,134 (4,376) -3.30% Animal Control 24,673 21,845 24,330 17,950 25,060 25,060 25,060 730 3.00% Total Public Safety 1,614,703 1,761,884 1,821,850 1,719,878 1,887,632 1,887,632 1,887,632 65,782 3.61% Public Works City Engineer 152,899 195,435 176,568 111,350 157,436 157,436 157,436 (19,132) -10.84% Public Works Services 300,431 363,218 554,915 316,426 563,088 393,088 393,088 (161,827) -29.16% Streets and Roadways 161,189 164,708 196,258 146,743 183,272 183,272 183,272 (12,986) -6.62% Snow and Ice Removal 45,339 27,330 81,235 46,448 85,566 85,566 85,566 4,331 5.33% Traffic Control/Street Lights 36,119 41,701 43,700 28,638 43,800 43,800 43,800 100 0.23% Sanitation/Waste Removal 4,088 6,003 6,757 4,296 5,641 5,641 5,641 (1,116) -16.52% Tree Maintenance 23,258 30,556 33,733 20,557 30,278 30,278 30,278 (3,455) -10.24% Total Public Works 723,323 828,952 1,093,166 674,458 1,069,081 899,081 899,081 (194,085) -17.75% Culture and Recreation Parks and Recreation 177,508 169,411 242,380 159,024 218,608 218,608 218,608 (23,772) -9.81% Total Culture and Recreation 177,508 169,411 242,380 159,024 218,608 218,608 218,608 (23,772) -9.81 % Total Expenditures 3,934,400 3,897,732 4,460,958 3,454,882 4,544,145 4,374,145 4,374,145 (86,813) -1.95% <'r:;:>; Total Revenues Over (Under) Expenditures 560,968 950,720 530,000 (725,175) 830,000 805,000 805,000 30 CITY OF SHOREWOOD GENERAL FUND REVENUE AND EXPENDITURE SUMMARY 2008 ADOPTED BUDGET Actual Actual Budget YTD Oct Requested Proposed Adopted $$ % 2005 2006 2007 2007 2008 2008 2008 Change Change Fund Transfers In Liquor Fund 50,000 50,000 40,000 0 40,000 40,000 40,000. 0 Street Reconstr Fund 0 0 0 0 0 0 0 0 Trail Fund 0 0 0 0 0 0 0 0 Sewer Fund 0 0 0 0 0 0 0 0 Water Fund 0 0 0 0 0 0 0 0 Total Transfers In 50,000 50,000 40,000 0 40,000 40,000 40,000 0 0.00% Fund Transfers Out Equip Replacemt Fund (PW) 116,000 175,000 175,000 0 175,000 175,000 175,000 0 Street Reconstr Fund 311,000 345,000 345,000 0 645,000 645,000 645,000 300,000 Park Capital Imp Fund 10,000 10,000 10,000 0 15,000 15,000 15,000 5,000 Trail Capital Imprvment Fnd 0 0 0 0 0 0 0 0 Public Facilities Fund 50,000 50,000 50,000 0 50,000 50,000 50,000 0 Land & Open Space Fund 5,000 5,000 5,000 0 0 0 0 (5,000) Sewer Fund 60,000 60,000 0 60,000 60,000 60,000 0 Stormwater Mgmt Fund 7,000 25,000 25,000 0 25,000 0 '0 (25,000) Total Fund Transfers Out 559,000 610,000 670,000 0 970,000 945,000 945,000 275,000 41.04% Excess (Deficiency) of Revenues and Other Financing Sources Over Expenditures and Other Uses 51,968 390,720 (100,000) (725,175) (100,000) (100,000) (100,000) Amounts to be Provided from General Fund Balance 0 (390,720) 100,000 725,175 100,000 100,000 100,000 General Fund Balance January 1 2,941,223 2,993,181 3,383,901 3,383,901 3,283,901 3,283,901 3,283,901 General Fund Balance December 31 2,993,181 3,383,901 3,283,901 2,658,726 3,183,901 3,183,901 3,183,901 31 CITY OF SHOREWOOD GENERAL FUND SUMMARY OF ESTIMATED REVENUES 2008 ADOPTED BUDGET TAXES: Taxes - The City levies property taxes to finance the general operating fund which provides municipal governmental services Fiscal Disparities - Received with taxes above. In 1971, the legislature enacted this law to allow municipalities to share in metropolitan commercial/industrial growth. A percentage of commercial/industrial taxes are pooled and distributed and distributed to communities in the metropolitan area. Special Levy - In addition to levy limits, this special levy is for Shorewood's share of the debt service for the public safety bldg. LlCENSE/PERMIT FEES: Rental Housing License Fees - License fees for rental housing units. License is valid for a term of three (3) years. Liquor License Fees Other Business Licenses - Fees for refuse hauler and tree trimming licenses. Building Permits - Permit fee based upon valuation of structure according to Uniform Building Code Schedule. Dog Licenses Other Non-business - Horse permit and alarm permit fees. INTERGOVERNMENTAL REVENUE: Local Government Aid - the continuance of the discontinued Local Performance Aid. LGA was discontinued as of 2003. Homestead and Agriculture Credit Aid (HACA)- A state credit which reduces the tax levy. HACA was discontinued as of 2003. Market Value Homestead Credit (MVHC) - A state credit that replaced HACA in 2004. Essentially, it is a state tax levied by a municipality that is rebated to the City. The state legislature decided not to make MVHC payments for calendar years 2004 - 2007, as part of its budget balancing techniques. PERA Aid - A state aid approved in the 1997 legislature to fund an mandated increase in the employer's contributions. MSA Road Aid - Aid provided by the state to cities over 5,000 in population to maintain designated MSA roads. CHARGES FOR SERVICES: General Government The City provides services to the publicfor which a charge is collected such as assessment searches, map sale, planning fees. Includes rental income from residential property. Engineering - Fees charged to other City funds and developers for engineering services. Recreation - Fees charged for park maintenance and Crescent Beach charges. FINES & FORFEITS - Fines imposed for traffic & ordinance violations. MISe. REVENUES - Revenue from a variety of sources such as interest income, dry hydrant charges, cellular antenna rental and other miscellaneous revenues. TRANSFERS FROM OTHER FUNDS - Transfers from liquor funds. FUND BALANCE - Fund Balance allocated for 2008 budget purposes. 32 CITY OF SHOREWOOD GENERAL FUND SUMMARY OF ESTIMATED REVENUES 2008 ADOPTED BUDGET Actual Actual Budget YTD Oct Proposed Adopted $ % REVENUES 2005 2006 2007 2007 2008 2008 Change Change Taxes General Property 3,140,295 4,023,948 3,835,173 2,089,259 4,056,917 4,056,917 221,744 5.78% Fiscal Disparities 113,546 117,591 0 56,117 0 0 0 0.00% Special Levy 496,792 561,135 0 555,078 555,078 (6,057) -1.08% Total Taxes 3,750,633 4,141,539 4,396,308 2,145,376 4,611,995 4,611,995 215,687 4.91% License/Permits Rental Housing 720 120 500 1,080 500 500 0 0.00% Tobacco 1,500 1,000 1,500 750 1,500 1,500 0 0.00% Alcoholic Beverages 8,200 8,200 8,200 13,381 8,200 8,200 0 0.00% Others-Business 2,515 0 2,000 964 1,000 1,000 (1,000) -50.00% Building Permits 317,390 365,510 240,000 219,943 200,000 200,000 (40,000) -16.67% Tree Trimming Licenses 450 510 450 120 450 450 0 0.00% Dog Licenses 3,844 4,104 3,500 2,134 3,500 3,500 0 0.00% Others-Misc. 100 2,964 500 75 1,000 1,000 500 100.00% Total License/permits 334,720 382,408 256,650 238,447 216,150 216,150 (40,500) -15.78% Inter-governmental Revenues State Aids Mkt Value Credit Aid 34 174 0 16,362 0 0 0 0.00% PERA Aid 4,751 4,751 5,000 2,375 5,000 5,000 0 0.00% MSA Road Aid 59,695 0 60,000 29,078 60,000 60,000 0 0.00% Total State Aids 64,480 4,925 65,000 47,815 65,000 65,000 0 Total Inter-governmental 64,480 4,925 65,000 47,815 65,000 65,000 0 0.00% Charges For Service General Government 16,262 14,320 8,000 31,120 21,000 21,000 13,000 162.50% Engineering 0 5,000 0 5,000 5,000 0 0.00% Recreation 34,490 31,130 30,000 33,490 30,000 30,000 0 0.00% Total Charges For Service 50,752 45,450 43,000 64,610 56,000 56,000 13,000 30.23% Fines & Forfeits 90,149 79,040 80,000 69,220 80,000 80,000 0 0.00% Misc. Revenues 204,636 195,090 150,000 164,239 150,000 150,000 0 0.00% Total Revenues Before Tsfrs 4,495,369 4,848,452 4,990,958 2,729,707 5,179,145 5,179,145 188,187 3.88% Transfers From General Fnd Rsvs 0 0 100,000 0 100,000 100,000 0 0.00% From Other Funds 0 0 0 0 O' 0 0 0.00% From Liquor Stores 50,000 50,000 40,000 0 40,000 40,000 0 0.00% Total Transfers 50,000 50,000 140,000 0 140,000 140,000 0 0.00% Total Revenues & Transfers 4,545,369 4,898,452 5,130,958 2,729,707 5,319,145 5,319,145 188,187 3.67% Other Funding Sources 0 0 0 0 0 0 0 0.00% Total Revenues $4,545,369 $4,898,452 $5,13898 $2,729,707 $5,319,145 $5,319,145 188,187 3.67% CITY OF SHOREWOOD 2008 GENERAL FUND REVENUES & EXPENDITURES CITY OF SHOREWOOD ADOPTED 2008 GENERAL FUND REVENUES Intergov't Revenue 1% Tsfrs & Mise 4% CITY OF SHOREWOOD ADOPTED 2008 GENERAL FUND EXPENDITURES General Gov't 25% Police 21% 35 CITY OF SHOREWOOD GENERAL FUND SUMMARY OF EXPENDITURES & TRANSFERS OUT 2008 ADOPTED BUDGET Actual Actual Budget YTD Oct Proposed Adopted $$ % 2005 2006 2007 2007 2008 2008 Change Change Expenditures General Government Mayor and Council 59,706 60,960 72,893 49,845 70,093 70,093 (2,800) -3.84% Administration 132,686 125,505 159,389 124,043 178,621 178,621 19,232 12.07% General Government 222,437 195,099 239,574 195,493 242,183 242,183 2,609 1.09% Elections 407 30,018 11,630 2,851 37,642 37,642 26,012 223.66% Finance 167,597 159,336 214,412 121,416 190,581 190,581 (23,831) -11.11% Professional Services 162,271 164,864 187,600 157,398 217,000 217,000 29,400 15.67% Planning and Zoning 166,103 194,305 192,320 145,602 206,390 206,390 14,070 7.32% Municipal Building 507,659 207,400 225,744 104,873 226,314 226,314 570 0.25% - Capital Tsfr: Pub Facilities 110,000 50,000 110,000 0 110,000 110,000 0 0.00% Total General Government 1,528,866 1,187,487 1,413,562 901,522 1,478,824 1,478,824 65,262' 4.62% Public Safety Police 987,130 1,036,609 1,069,063 1,001,344 1,111,503 1,111,503 42,440 3.97% Fire Protection 492,774 563,850 595,947 595,947 622,935 622,935 26,988 4.53% Protective Inspection 110,126 139,580 132,510 104,637 128,134 128,134 (4,376) -3.30% Animal Control 24,673 21,845 24,330 17,950 25,060 25,060 730 3.00% Total Public Safety 1,614,703 1,761,884 1,821,850 1,719,878 1,887,632 1,887,632 65,782 3.61% Public Works City Engineer 152,899 195,435 176,568 111,350 157,436 157,436 (19,132) -10.84% Public Works Services 300,431 363,218 554,915 316,426 393,088 393,088 (161,827) -29.16% -Capital Tsfr: Equip/Strmwtr 123,000 200,000 200,000 0 175,000 175,000 (25,000) -12.50% Streets and Roadways 161,189 164,708 196,258 146,743 183,272 183,272 (12,986) -6.62% -Capital Tsfr: Street Imprvs. 311,000 345,000 345,000 0 645,000 645,000 300,000 86.96% Snow and Ice Removal 45,339 27,330 81,235 46,448 85,566 85,566 4,331 5.33% Traffic Cntrl/Street Lights 36,119 41,701 43,700 28,638 43,800 43,800 100 0.23% Sanitation/Waste Removal 4,088 6,003 6,757 4,296 5,641 5,641 (1,116) -16.52% Tree Maintenance 23,258 30,556 33,733 20,557 30,278 30,278 (3,455) -10.24% Total Public Works 1,157,323 1,373,951 1,638,166 674,458 1,719,081 1,719,081 80,915 4.94% Culture and Recreation Parks and Recreation 177,508 169,411 242,380 159,024 218,608 218,608 (23,772) -9.81% -Cap Tsfr: Park Capital Imps. 15,000 15,000 15,000 0 15,000 15,000 0 0.00% Total Culture and Recreation 192,508 184,411 257,380 159,024 233,608 233,608 (23,772) -9.24% Total Expenditures & Transfers 4,493,400 4,507,733 5,130,958 3,454,882 5,319,145 5,319,145 188,187 3.67% 37 FUND: 101 General DEPARTMENT MISSION: The Mayor and City Council set policy for the City and provide general direction to the Administrator in policy implementation. _ The department budget supports council development, information efforts and special City associations and programs. DEPARTMENT: Mayor and Council DEPT NO: 41110 DESCRIPTION OF ACTIVITY: The City Council meets twice montly and in periodic special worksessions to consider and adopt legislative and administrative policies that pertain to the services provided to residents. The City Council also sits as the Shorewood Economic Development Authority (EDA). OBTECTIVES / ESTIMATED SERVICE INDICATORS - Establish annual work program of goals and priorities for the City - Meet at least annually with advisory commissions. - Strategic planning and direction - Seminars, Conferences & Schools Attended - No. of Council Mtgs./EDA - No. of Workshops/Special - Agenda Items - Ordinances & Resolutions Adopted 5 24 24 400 120 HIGHLIGHTS/COMMENTS: Staffing: City Council Salaries Supplies/Materials: Awards and misc. supplies Support Services: Conferences and Seminars Appreciation Function for City Volunteers/Staff Special Brochures Lake Minnetonka Conservation District (LMCD) Assn of Metro Municipalities League of MN Cities Excelsior Chamber of Commerce July 4th Celebration Charges, Fees & Other: 38 FUND: 101 DEPARTMENT: Mayor and Council DEPT 41110 BUDGET ITEM Actual 2005 Actual Adopted 2Q06 2007 YTD Oct 2007 Requested 2008 Proposed 2008 Adopted 2008 Staffing 16,794 16,794 16,793 13,995 16,793 16,793 16,793 Supplies/Materials 1,411 1,127 1,000 1,223 1,200 1,200 1,200 Support Services 41,407 43,039 55,100 34,628 52,100 52,100 52,100 Charges, Fees & Other 95 0 0 0 0 0 0 Capital Outlay 0 0 0 0 0 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 59,706 60,960- 72,893 49,845 70,093 70,093 70,093 STAFFING: Part time: Mayor Councilmembers 1.00 4.00 1.00 4.00 1.00 4.00 1.00 4.00 1.00 4.00 1.00 4.00 1.00 4.00 39 FUND: 101 General DEPARTMENT MISSION: To implement policy established by the City Cmmcil; offer staff support to the City Council in its policy making role; and manage day-to-day operations of the City in a manner consistent with established City values to effectively and efficiently meet set goals & objectives. DEPARTMENT: Administration DEPT NO: 41300 DESCRIPTION OF ACTIVITY: The City Administrator directs City departmental operations to ensure compliance with policies established by the City Council and with state and federal laws. The department supports the City Council by managing Council agendas, directing the flow of information and requests for action to the Council. OBJECTIVES / ESTIMATED SERVICE INDICATORS - Take a leadership role in intergovernmental cooperative efforts in the Lake Minnetonka area - Participate actively in joint powers organizations - Participate actively in legislative and policy activities of municipal associations - Actively monitor legislation and communicate with legislators - Council Mtgs/Work Sessions - Council Agenda Items - Public Safety Board Meetings - Public Safety Staff Meetings - Staff Meetings 36 400 22 24 52 HIGHLIGHTS/COMMENTS: Staffing: Includes an allocation for staff merit increases Supplies/Materials: Miscellaneous books & supplies Support Services: Conference, mileage, meetings & seminars Memberships to ICMA, MCMA, MAMA 40 FUND: 101 DEPARTMENT: Administration DEPT 41300 BUDGET Actual Actual Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 120,964 120,341 148,689 120,552 169,971 169,971 169,971 Supplies/Materials 262 148 400 0 400 400 400 Support Services 9,808 5,015 10,300 3,491 8,250 8,250 8,250 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 1,652 0 0 0 0 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 132,686 125,503 159,389 124,043 178,621 178,621 178,621 STAFFING: Full Time: Admistrator/Clk Exec Sec/Dep Clk 1.00 .33 1.00 .20 1.00 .33 1.00 .25 1.00 .25 1.00 .25 1.00 .25 est. 41 FUND: 101 General DEP AR1MENT MISSION: Provide staff support for the City Council including preparation of agendas and meeting packets. Responsible for City Clerk functions including records retention, notices and licenses. DEP AR1MENT: General Government/City Clerk DEPT NO: 41400 DESCRIPTION OF ACTIVITY: This department provides for reception and clerical duties in the City offices, and the recording secretary for City Council meetings. This department is the official recordkeeper of minutes, contracts, and permanent records; and is also responsible for all licensing functions and City communication tools. OBTECTIVES / ESTIMATED SERVICE INDICATORS - Continue to improve web site, to include information for residents and tools for communication with City Hall - Produce monthly City newsletter to include articles & photos, council & commission articles, & project updates - Provide information for general requests from residents and contractors - Prepare orientation package for new council members, commission members and staff - Maintain updates to Employee Handbook and City Code - No. of Ordinances - No. of Resolutions - Newsletters Published - Dog licenses issued - Other licenses issued - Council/WS/EDA/Spec Agendas 2006 Actual 14 106 12 357 60 54 2007 Est. 10 92 12 362 60 55 2008 Est. 10 100 12 360 60 55 HIGHLIGHTS/COMMENTS: Staffing: Deputy Clerk; Admin Asst-Parks; Admin Asst-PW Part-time communications tech; and part-time Web Developer Part-time, temporary, general office support Supplies/Materials: General Office Supplies and postage Software upgrades/Misc. Publications Support Services: Travel, Conferences and Education Publication of legal notices for all General Fund Depts Council Recording Secretary and Council Packet Delivery Newsletter Printing and Mail Service City Code Book Updates/Web Hosting Document Destruction Service Membership Dues Capital Outlay: Digital Camera 42 FUND: 101 DEPARTMENT: General Government/City Clerk DEPT 41400 BUDGET Actual Actual Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 139,868 136,706 168,444 159,017 180,938 180,938 180,938 Supplies/Materials 20,330 19,965 29,300 13,724 24,910 24,910 24,910 Support Services 16,394 29,454 39,880 22,752 35,835 35,835 35,835 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 45,845 8,974 1,950 0 500 500 500 Transfers 0 0 0 0 0 0 0 TOTAL 222,437 195,099 239,574 195,493 242,183 242,183 242,183 STAFFING: Full time: Exec SeclDep Clk .67 .61 .57 .75 .55 .55 .55 Parks Secretary .70 .60 .70 .58 .65 .65 .65 SecretarylReceptionist 0.25 .55 .25 .78 .60 .60 .60 Accounting Clerk I 0.25 est. Part time: Communications Tech. 0.66 0.57 0.57 0.57 0.57 0.57 0.57 Website Maint. 0.20 0.20 0.20 0.20 0.20 0.20 0.20 Temporary Receptionist 43 FUND: 101 General DEPARTMENT MISSION: Responsible for Election functions. DEPARTMENT: Elections DEPT NO: 41410 DESCRIPTION OF ACTIVITY: This department provides for the preparation for and supervision of State/Federal Primary City General and Special elections by the Deputy City Clerk. OBTECTIVES / ESTIMATED SERVICE INDICATORS - Increase youth awareness of local government issues through active involvement with school officials and instructors through programs such as student election judges and kids voting - No. of Elections held (in election years) - No. of Absentee Ballot Requests - No. of Elections held (in election years) - Total Number of Voters 2004 * 2 706 569 5,315 2006 2 442 381 4,830 2008* 2 725 575 5,400 * Presidential Election HIGHLIGHTS/COMMENTS: Staffing: .20 Exec Sec/Deputy Clerk Election Judges Supplies/Materials: Misc. Office Supplies Postage Equipment Maintenance General Supplies Support Services: Legal Notices Travel- Mileage Reimb. Printing (ballots, envelopes) Capital Outlay: Voting booths (4) Vote here signs for Ward 4 44 FUND: 101 DEPARTMENT: Elections DEPT 41410 BUDGET Actual Actual Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 0 24,348 8,780 323 31,117 31,117 31,117 Supplies/Materials 249 1,688 2,700 2,498 3,025 3,025 3,025 Support Services 158 2,051 150 31 2,200 2,200 2,200 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 0 1,931 0 0 1,300 1,300 1,300 Transfers 0 0 0 0 0 0 0 TOTAL 407 30,018 11,630 2,851 37,642 37,642 37,642 STAFFING: Full time: Exec Sec/Dep Clk 0.18 0.10 0.01 0.20 0.20 0.20 Part time: Election Judges 0 35 0 0 75 75 75 45 FUND: 101 General DEPARTMENT MISSION: To administer financial policies of the City; perform accounting functions for all fund types; invest available funds in accordance with State Statutes; oversee City insurance policies; and provide for timely reporting of financial matters to City Council staff and the public. DEPARTMENT: Finance DEPT NO: 41500 DESCRIPTION OF ACTIVITY: Finance is responsible for processing all financial transactions of the City in accordance with Federal, State and Local laws, and in compliance with Generally Accepted Accounting Principles. Transactions include accounts payable, accounts receivable, payroll, investments, utility billing, special assessments, risk management, personnel benefits and financial reporting. The Finance Director is responsible for the preparation and administration of the City budget. OBJECTIVES / ESTIMATED SERVICE INDICATORS - Prepare annual budget document - Coordinate the annual City audit - Prepare CAFR documents for submittal to GFOA Certificate of Achievement Program - Review debt issues and make recommendations on debt structure - Review, update, and maintain financial policies and procedures - Coordinate and make recommendations on employee benefits - Manage the City's investment portfolio within the Investment Policy guidelines - No. Accounts Payable Checks Issued - Utility Bills Sent - No. of Payroll Checks Issued 2,600, 12,000 1,200 Supplies/Materials: Computer checks & budget supplies Finance software support and maintenance Miscellaneous supplies Support Services: Conferences, Mileage, Meetings, Education & Seminars Publication of Financial Statements & Budgets Memberships to GFOA & MGFOA Subscription to GFOA periodicals Submittal fee - GFOA Certificate of Excellence Program Bank & Broker service charges Capital Outlay: 46 FUND: 101 DEPARTMENT: Finance DEPT 41500 BUDGET Actual Actual Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 153,459 144,311 189,212 113,432 168,881 168,881 168,881 Supplies/Materials 5,056 5,018 7,500 5,009 7,500 7,500 7,500 Support Services 8,496 9,368 13,200 2,336 12,700 12,700 12,700 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 586 639 4,500 639 1,500 1,500 1,500 Transfers 0 0 0 0 0 0 0 TOTAL 167,597 159,336 214,412 121,416 190,581 190,581 190,581 STAFFING: Finance Dir 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Sr Acctg Clerk .75 .62 .85 .58 .75 .75 .75 Acctg. Clerk .5 .5 .5 .0 .0 .0 .0 est. 47 FUND: 101 General DEPARTMENT MISSION: DEPARTMENT: Professional Services Provide contracted professional services including general legal, prosecution, financial audit and property assessment. DEPT NO: 41600 DESCRIPTION OF ACTIVITY: This department provides for contracted legal, assessing and auditing services for the City. Legal services include general counsel to the City Council, litigation and prosecution of criminal misdemeanors. Assessing services provide property valuation information for tax purposes. Audit services provide for the annual financial audit required by Minnesota State Statutes. OBJECTIVES / ESTIMATED SERVICE INDICATORS - Contain costs on contracted professional services - No. of taxable parcels - No. of litigations 2008 - 2008 - 3,036 2-5 HIGHLIGHTS/COMMENTS: Supplies/Materials: Support Services: Includes general legal fees and prosecutions, mediation services, assessing contract, annual audit services. Charges and Fees: 48 FUND: 101 DEPARTMENT: Professional Services DEPT 41600 BUDGET Actual Budget Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 0 0 0 0 0 0 0 Supplies/Materials 0 0 0 0 0 0 0 Support Services 162,271 164,867 187,600 157,348 217,000 217,000 217,000 Charges & Fees 0 0 0 '0 0 0 0 Capital Outlay 0 0 0 0 0 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 162,271 164,867 187,600 157,348 217,000 217,000 217,000 STAFFING: 49 FUND: 101 General DEPARTMENT MISSION: Guide and control the physical development of the community. Coordinate and implement long range city-wide and area planning activities. DEPARTMENT: Planning & Zoning DEPT NO: 41910 DESCRIPTION OF ACTIVITY: This department is responsible for the review of development proposals, preparing and updating the City's Comprehensive Plan, and other long range planning activities. It provides for administration and enforcement of the City's zoning codes, and preparation and upkeep of zoning, subdivision, floodplain, and other planning and zoning related ordinances. OBJECTIVES / ESTIMATED SERVICE INDICATORS - Establish an action plan to implement Comprehensive Plan - Complete GIS parcel data base - Update/enhance City maps - Update/enhance procedure handouts - No. of zoning apps. - No. of zoning complaints - No. of scheduled office appts - Planning Comm. Meetings - Planning Comm. Work Sessions 24 30 220 12 12 HIGHLIGHTS/COMMENTS: Staffing: Supplies/Materials: Maintenance contracts for computer & office equipment Miscellaneous supplies Support Services: Recording Secretary for Planning Commission Meetings Air time for cellular phone Conferences, mileage, meetings & seminars Memberships to APA, MN APA, Sensible Land Use Coalition Subscriptions to AP A Journal & Zoning News Charges & Fees: Capital Outlay: 50 FUND: 101 DEPARTMENT: Planning & Zoning DEPT 41910 BUDGET Actual Actual Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 154,669 180,556 175,405 138,037 190,830 190,830 190,830 Supplies/Materials 707 789 1,225 604 210 210 210 Support Services 7,914 10,125 15,540 6,961 12,900 12,900 12,900 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 2,813 2,834 150 0 2,450 2,450 2,450 Transfers 0 0 0 0 0 0 0 TOTAL 166,103 194,305 192,320 145,602 206,390 206,390 206,390 STAFFING: Full time: Planning Dir Planning Asst. .95 1.00 .97 1.00 .95 1.00 .97 1.00 .97 1.00 .97 1.00 .97 1.00 est Part Time: Clerical 51 FUND: 101 General DEPARTMENT MISSION: Provide for the physical operation of City Hall: utilities; maintenance of office equipment and the building structure; and provide for the City's general liability, property, auto and workers' comp insurance. DEPARTMENT: Municipal Bldg - City Hall DEPT NO: 41940 DESCRIPTION OF ACTIVITY: The Municipal Building department provides for maintenance of all equipment located in the City Hall, and for janitorial services to furnish a clean environment in which to conduct City business. General Liability, Property and Casualty insurance coverages are also provided under this department. OBTECTIVES / ESTIMATED SERVICE INDICATORS - Identify facility maintenance needs - Identify options for maximum utilization of office space - Maintain existing facilities at current level or better utilizing staff to reduce maintenance costs - Maintenance of all office equipment - Continue to promote community programs to enhance public facilities, such as "Adopt a Garden." HIGHLIGHTS/COMMENTS: Supplies/Materials: Maintenance /lease contracts for copiers, telephones and office equipment Maintenance to city hall building City Hall maintenance, cleaning, and paper suppl~es Support Services: City Hall janitorial, rug services, & pest control Utilities and phone service for City Hall Insurance coverage for all City departments except enterprise funds Rental of postage meter City Hall refurb/maint expense: $47,544 (assumes prepaymt of 2008 Sr. Ctr debt) Residential maintenance costs $5,000 Charges & Fees: Capital Outlay: Debt Service on Internal Loan to Sewer Fund for purchase of 5795 Country Club Rd. Transfers: Public Facilities Fund 52 FUND: 101 DEPARTMENT: Municipal Building - City Hall DEPT 41940 BUDGET Actual Actual Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 0 0 0 0 0 0 0 Supplies/Materials 16,471 22,390 29,500 30,284 76,314 76,314 76,314 Support Services 139,915 130,974 141,700 22,446 149,000 149,000 149,000 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 351,272 54,036 54,544 52,143 1,000 1,000 1,000 Transfers 110,000 50,000 110,000 0 110,000 110,000 110,000 TOTAL 617,659 257,400 335,744 104,873 336,314 336,314 336,314 STAFFING: 53 FUND: 101 General DEPARTMENT MISSION: To provide a modem, flexible, full-service criminal justice agency which is responsive to community needs. DEPARTMENT: Police DEPT NO: 42100 DESCRIPTION OF ACTIVITY: The South Lake Minnetonka Police Department is a cooperative joint venture between the cities of Excelsior, Greenwood, Shorewood and Tonka Bay. Through this venue; the department provides for the protection of the safety and well-being of citizens in the community, the preventio~ and detection of crime, and the enforcement of all local, state and federal laws in a cost-efficient manner. Costs and staff are allocated to each of the participating cities on a set percentage basis. In 2006, Shorewood's share was 46.0%. Shorewood's share for the period 2007-2011 is 50%. A separate obligation is required to finance the new SLMPD station. The cost is apportioned on an ad valorum basis among four cities. Shorewood's pro-rata share of the 2008 payment is $244,003. OBJECTIVES / ESTIMATED SERVICE INDICATORS - Initial complaint reports - Part I (serious) & Part II (other) crimes - Citations issued - Police vehicles - Shorewood ICR's 6,600 1,250 4,600 9 2,300 HIGHLIGHTS/COMMENTS: Supplies/Materials: Support Services: Police services contract for 2008 Prisoner expense, court officer expense, & booking fees Annual Police Reserve Dinner 54 FUND: 101 DEPARTMENT: Police DEPT 42100 BUDGET Actual Actual Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 0 0 0 0 0 0 0 Supplies/Materials 0 184 0 0 0 0 0 Support Services 727,726 781,829 819,563 751,836 867,500 867,500 867,500 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 259,404 254,596 249,500 249,508 244,003 244,003 244,003 Transfers 0 0 0 0 0 0 0 TOTAL 987,130 1,036,609 1,069,063 1,001,344 1,111,503 1,111,503 1,111,503 STAFFING: Chief 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Deputy Chief 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Sergeant 3.00 3.00 3.00 3.00 3.00 3.00 3.00 Investigator * 2.00 2.00 2.00 2.00 3.00 3.00 3.00 Patrol Officer 7.00 7.00 7.00 7.00 7.00 7.00 7.00 Office Administrator 1.00 1.20 1.20 1.20 1.20 1.20 1.20 Office Specialist (part time) ** 2.00 1.00 1.00 2.00 2.00 2.00 2.00 Community Service Officer 1.00 1.00 1.00 1.00 1.00 1.00 * 1 Juvenile Specialist 55 FUND: 101 General DEPARTMENT MISSION: Provide the highest possible quality of fire suppression, prevention and eduction services, and First Responder emergency medical services. DEPARTMENT: Fire Protection DEPT NO: 42200 DESCRIPTION OF ACTIVITY: Fire services are contracted by the City through the Excelsior Fire District and the City of Mound. This department provides for the protection of life and property of the residents of Shorewood through fire prevention and suppression, fire inspection, building inspection, fire code enforement and emergency medical services. A separate obligation is made toward financing the new facilities for the Excelsior Fire District. The cost is apportioned on the same allocation for the operating budget. A separate obligation is made toward financing the new (2003) fire station for the Mound Fire Dept. This cost is apportioned on the same allocation for the operating budget. Shorewood's share for 2008 debt service is $7,551. OBJECTIVES / ESTIMATED SERVICE INDICATORS - EFD Fire & Rescue Calls - Mound Fire & Rescue Calls 2006 - 2006 - 297 14 HIGHLIGHTS/COMMENTS: Support Services: Fire contracts with Mound and Excelsior Fire District --- 56 FUND: 101 DEPARTMENT: Fire Protection DEPT 42200 BUDGET Actual Actual Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 0 0 0 0 0 0 0 Supplies/Materials 0 0 0 0 0 0 0 Support Services 263,107 314,647 284,312 291,368 311,860 311,860 311,860 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 229,667 249,203 311,635 304,579 311,075 311,075 311,075 Transfers 0 0 0 0 0 0 0 TOTAL 492,774 563,850 595,947 595,947 622,935 622,935 622,935 EFD STAFFING: Chief (Fff) 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Asst. Chief 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Dist. Chief 2.00 2.00 2.00 3.00 3.00 3.00 3.00 Captain 3.00 3.00 3.00 4.00 4.00 4.00 4,00 Coordinators 0.00 0.00 0.00 8.00 8.00 8.00 8.00 Fire Marshal (FfT) 0.50 0.00 0.00 0.00 0.00 0.00 0.00 Fire Inspector (PfT) 0.75 1.25 1.25 1.25 1.25 1.25 1.25 Training Officer 1.00 1.00 1.00 0.00 0.00 0.00 0.00 Firefighters 41.00 41.00 41.00 34.00 34.00 34.00 34.00 . Admin Support (PfT) .25 .25 .25 .25 .5 .5 .5 -#.~ 57 FUND: 101 General DEPARTMENT MISSION: Enforce construction safety and related building codes through plan review and inspections. DEPARTMENT: Protective Inspection DEPT NO: 42400 DESCRIPTION OF ACTIVITY: This department provides for the issuance building and construction permits, review of construction plans and specifications, enforcement of all building codes under the Uniform Building Code, inspection of rental housing units and zoning violations. OBJECTIVES / ESTIMATED SERVICE INDICATORS - Increase and enhance public information through the development of handouts relative to building codes - Enhance environmental inspections - NOrof permits issued New Homes Additions/Other - Avg inspections/permit New Homes Additions/Other 15 - 17 600 9 -12 2-9 HIGHLIGHTS/COMMENTS: Supplies/Materials: Maintenance contracts on computer and office equipment Miscellaneous supplies Support Services: Contractual inspections during vacations, sick leave Con~rences, mileage, meetings & seminars Printing of application forms Membership to ICBO Charges & Fees: Remittances to state of permit surcharges collected ... Capital Outlay: 58 FUND: 101 DEPARTMENT: Protective Inspection DEPT 42400 BUDGET Actual Actual Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 101,925 124,767 110,740 97,529 116,634 116,634 116,634 Supplies/Materials 162 38 550 254 400 400 400 Support Services 7,028 14,689 11,220 6,854 11,100 11,100 11,100 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 1,012 87 10,000 0 0 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 110,126 139,580 132,510 104,637 128,134 128,134 128,134 STAFFING: Full time: Building Official 1.00 1.00 1.00 1.00 1.00 1.00 1.00 Planning Dir .05 .03 .03 .05 .03 .03 .03 Planning Asst .30 .20 .20 .20 .20 .20 .20 SecretaryfRecept .10 .10 .10 .10 .10 .10 .10 Parks Secretary .05 .04 .05 .05 .05 est. - - 59 FUND: 101 General DEPARTMENT MISSION: Enforce animal control ordinances. DEPARTMENT: Animal Control DEPT NO: 42700 DESCRIPTION OF ACTIVTIY: The department provides for contrachlal animal control, which inciudes patrol, detention, and disposition of stray domestic animals. OBJECTIVES /ESTIMATED SERVICE INDICATORS: - To provide appropriate care for dogs found at-large within the City limits. - No. of Animal Complaints HIGHLIGHTS/COMMENTS: Staffing: Supplies/Materials: Support Services: Animal control contracts with South Lake Minnetonka Police Department and City of Mound (2008) Charges & Fees: Capital Outlay: 60 FUND: 101 DEPARTMENT: Animal Control DEPT 42700 BUDGET Achlal AchIal Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 0 0 0 0 0 0 0 Supplies/Materials 0 0 0 0 0 0 0 Support Services 24,673 21,845 24,330 17,950 25,060 25,060 25,060 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 0 0 0 0 0 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 24,673 21,845 24,330 17,950 25,060 25,060 25,060 STAFFING: Full time: ,~ 61 FUND: 101 General DEPARTMENT MISSION: DEPARTMENT: City Engineer Provide engineering and construction management services for the City. DEPT NO: 4301 0 DESRIPTION OF ACTIVITY: This department is responsible for general engineering services in the City, as well as preparation of feasibility shldies, plans and specifications, and on-site inspection of City projects. The City Engineer also reviews all development proposals and plans. OBJECTIVES / ESTIMATED SERVICE INDICATORS - Assist the City in determining right-of-way needs - Keep construction project files up-to-date and accurate - Communicate in written form to affected residents at least two (2) times during a construction project - Provide in-hollse engineering where feasible - Provide good public relations with property owners adjacent to construction projects - Resolve construction issues promptly. - Engineer Hours on City projects 1,248 - Engineer Hours on private development pro 600 HIGHLIGHTS/COMMENTS: Staffing: .95 City Engineer .25 FIT Engineer Technician .02 Dir of Pub Wks .10 FIT Clerical Supplies/Materials: Computer maintainance/Upgrade Books, Materials and Software Support Services: Cellular phone Airtime & Pager Conferences and mileage ... . Subscriptions and Memberships Charges & Fees: Capital Outlay: GPS; Software (AutoCAD, KYPIPE, HydroCAD, ArcView); Computer (Engineering Tech) 62 FUND: 101 DEPARTMENT: City Engineer DEPT 43010 BUDGET ITEM Actual. 2005 Actual 2006 Adopted 2007 YTD Oct 2007 Requested 2008 Proposed 2008 Adopted 2008 Staffing 111,604 111,465 148,868 100,547 122,126 122,126 122,126 Supplies/Materials 906 579 1,950 1,238 875 875 875 Support Services 39,886 83,389 22,150 7,039 16,435 16,435 16,435 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 503 0 3,600 2,526 18,000 18,000 18,000 Transfers 0 0 0 0 0 0 0 TOTAL 152,899 195,433 176,568 111,350 157,436 157,436 157,436 STAFFING: Full time: City Engineer 0.00 0.00 1.00 0.92 0.95 0.95 0.95 Eng Technician 0.25 0.71 0.50 0.32 0.25 0.25 0.25 Clerical 0.25 0.10 0.25 0.01 0.10 0.10 0.10 Dir of Pub Wks 0.65 0.50 0.25 0.02 0.02 0.02 est. Part time: Clerical 63 FUND: 101 General DEPARTMENT MISSION: DEPT NO: 43050 Provide supervision and support for all public works functions; provides for public works utilities, shop and equipment maintenance and fuels DEPARTMENT: Public Works Service DESCRIPTION OF ACTIVITY: The Public Works Service department is responsible for all general public works duties, maintenance of all public works equipment, and maintenance of the public works facility. OBTECTIVES: - Perform preventative maintenance on all equipment within 100 miles or 10 hours of scheduled service - Perform various City building repairs and preventative maintenance using City personnel HIGHLIGillS/COMMENTS: Staffing: Supplies/Materials: Includes motor fuel, maintenance of equipment and buildings, and inventory supply items Support Services: Uniforms for crew Janitorial Services Utilities and telephone service for public works building Conference, mileage, meetings & seminars Miscellaneous - damage to private property (mailboxes, etc) Hazardous Waste Licenses Miscellaneous equipment rentals Memberships Charges & Fees: Capital Outlay: Replacement Radios; computers, tire machine Transfers: Transfer to Equipment Replacement Fund ($175,000 - 2008) --.- 64 FUND: 101 DEPARTMENT: Public Works Service DEPT 43050 BUDGET ITEM Actual 2005 Actual 2006 Adopted 2007 YTD Oct 2007 Requested 2008 Proposed 2008 Adopted 2008 Staffing 219,118 266,420 261,640 240,689 276,798 276,798 276,798 Supplies/Materials 51,558 53,501 61,750 41,132 65,050 65,050 65,050 Support Services 29,406 35,829 44,175 33,966 43,640 43,640 43,640 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 350 7,468 187,350 639 177,600 7,600 7,600 Transfers 123,000 200,000 200,000 0 200,000 175,000 175,000 TOTAL 423,431 563,218 754,915 316,426 763,088 568,088 568,088 STAFFING: Full time: Pub Wks Dir 0.10 0.49 0.75 0.71 0.50 0.50 0.50 Lt Equip Oper 2.50 1.93 1.50 1.78 1.95 1.95 1.95 Clerical 0.05 .08 .05 .00 .05 .05 .05 Utility Maint. Operators .00 .77 .67 .65 .67 .67 .67 Utility Lead .44 .25 .61 .50 .50 .50 est. .. 65 FUND: 101 General DEPARTMENT MISSION: DEPARTMENT: Streets & Roadways To maintain and upgrade City streets, parking areas and storm water control systems in an efficient and economical manner DEPT NO: 43100 DESCRIPTION OF ACTIVITY: Includes ongoing maintenance consisting of street patching, street sweeping, roadside mowing, painting of lane markings, and minor storm sewer repair. OBJECTIVES / ESTIMATED SERVICE INDICATORS - Maintain the pavement management system to aid in scheduling of street projects - Paint lane markings on all designated streets - Sweep each City street at least once annually - Mow roadsides at least twice annually - Visually inspect storm drainage grates annually and repair as needed - Miles of street State County City - MSA City - Local - Miles Sealcoated - Tons of patch material 3 2 9 50 5 1,400 HIGHLIGHTS/COMMENTS: Staffing: 1.15 LEO 0.2 Util. Lead Supplies/Materials: Rock, gravel & bituminous for street & road repair Support Services: Safety training Contracted road striping Transfers: Tr<u;lsjer to Local Street Reconstruction Fund $645,000 (2008) .. 66 FUND: 101 DEPARTMENT: Streets & Roadways DEPT 43100 BUDGET ITEM Actual 2005 Actual 2006 Adopted 2007 YTD Oct 2007 Requested 2008 Proposed 2008 Adopted 2008 Staffing 87,338 87,376 109,108 83,991 89,272 89,272 89,272 Supplies/Materials 59,856 65,953 63,650 58,839 62,000 62,000 62,000 Support Services 13,995 11,379 23,500 3,913 32,000 32,000 32,000 Charges & Fees 0 0 0 0 0 O. 0 Capital Outlay 0 0 0 0 0 0 0 Transfers 311,000 345,000 345,000 0 645,000 645,000 645,000 TOTAL 472,189 509,708 541,258 146,743 828,272 828,272 828,272 STAFFING: Full time: Lt Equip Operators Uti!. Lead 2.20 1.03 .25 2.00 .33 0.97 .03 1.15 .2 1.15 .2 1.15 .2 est. 67 FUND: 101 General DEPARTMENT MISSION: DEPARTMENT: Snow & Ice Removal Provide snow and ice control for public streets and City owned parking lots to ensure the safe and efficient movement of traffic DEPT NO: 43125 DESCRIPTION OF ACTIVITY: This department is reponsible for the plowing and removal of snow after a 2-inch or greater snowfall has occured. Street sanding with a salt/sand mixture is used as a measure of ice control, and is performed as needed. OBJECTIVES / ESTIMATED SERVICE INDICATORS: - Remove snow and ice and complete salt/sand operations within 14 hours after the end of a snow event - Complete widening and clean up functions within 48 hours of a snow event - Miles of street plowed - Tons of salt used - Tons of sand used - Manhours spent - No. of cul-de-sacs plowed 50 250 1,200 1,000 94 HIGHLIGHTS/COMMENTS: Staffing: .4 LEO .05 Util Maint .05 Util Lead Supplies/Materials: Sand and salt for ice control 68 4<. FUND: 101 DEPARTMENT: Snow & Ice Removal DEPT 43125 BUDGET ITEM Actual 2005 Actual 2006 Adopted 2007 YTD Oct 2007 Requested 2008 Proposed 2008 Adopted 2008 Staffing 24,475 14,468 34,435 20,916 39,166 39,166 39,166 Supplies/Materials 20,864 12,862 44,500 25,532 44,500 44,500 44,500 Support Services 0 0 0 0 0 0 0 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 0 0 2,300 0 1, 900 1,900 1,900 Transfers 0 0 0 0 0 0 0 TOTAL 45,339 27,330 81,235 46,448 85,566 85,566 85,566 STAFFING: Full time: .50 .14 .04 .04 .50 .42 .09 .10 .40 .05 .05 .40 .05 .05 .40 .05 .05 Lt Equip Oper (LEO) Util Maint Util Lead est. 69 FUND: 101 General DEPARTMENT MiSSION: Provide for street lighting and traffic signals at intersections and other locations throughout the City for the safety of pedestrians and vehicular traffic DEPARTMENT: Traffic Control/St Lights DEPT NO: 43160 DESCRIPTION OF ACTIVITY: Includes maintenence of semaphores and traffic control devices, and maintenance/replacement of regulatory and informational road signs. Provides for electricity for street lights and traffic control devices. OBJECTIVES / ESTIMATED SERVICE INDICATORS: - Number of street lights - Number of traffic signals 195 6 HIGHLIGHTS/COMMENTS: Supplies/Materials: Maintenance to semaphores and Hwy 7 & Vine Hill Road, Christmas Lake Road, County Road 19, Hwy 41, Old Market Road; County Road 19 and Smithtown Road. Street signs & posts Support Services: . 70 FUND: 101 DEPARTMENT: Traffic Control/Street Lighting DEFT 43160 BUDGET ITEM Actual 2005 Actual 2006 Adopted 2007 YTD Oct 2007 Requested 2008 Proposed 2008 Adopted 2008 Staffing 0 0 0 356 0 0 0 Supplies/Materials 4,662 1,415 500 3,581 1,500 1,500 1,500 Support Services 31,457 40,286 43,200 24,700 42,300 42,300 42,300 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 0 0 0 0 0 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 36,119 41,701 43,700 28,638 43,800 43,800 43,800 STAFFING: 71 FUND: 101 General DEPARTMENT MISSION: DEPARTMENT: SanitationfWeed Control Provide for the general sanitation and cleanliness of the City and provide for the treatment of noxious weeds on City properties. DEPT NO: 43200 DESCRIPTION OF ACTIVITY: Activities include spraying of boulevards and roadways for weed control, and clean-up of properties in violation of City zoning and sanitation codes, as necessary. OBTECTIVES / ESTIMATED SERVICE INDICATORS - Resolve 100% of weed complaints - No of weed complaints - No of notices served - No of parcels sprayed - Miles/roadside sprayed 5 5 o 50 HIGHLIGHTS/COMMENTS: Staffing: Miscellaneous staff time for property clean-ups Support Services: Miscellaneous property clean-ups Contracted weed spraying services 72 FUND: 101 DEPARTMENT: SanitationfWaste RemovalfWeeds DEPT 43200 BUDGET ITEM Actual 2005 Actual 2006 Adopted 2007 YTD Oct 2007 Requested 2008 Proposed 2008 Adopted 2008 Staffing 586 608 757 2,505 641 641 641 Supplies/Materials 0 0 500 0 500 500 500 Support Services 3,502 5,395 5,500 1,791 4,500 4,500 4,500 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 0 0 0 0 0 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 4,088 6,003 6,757 4,296 5,641 5,641 5,641 STAFFING: 73 FUND: 101 General DEPARTMENT MISSION: To provide diseased tree inspection services to residents; to remove diseased trees located on City property; and to maintain and trim trees located on City rights-of-way and other property DEPARTMENT: Tree Maintenance DEPT NO: 43250 DESCRIPTION OF ACTIVITY: This department is responsible for detection and removal of diseased and unsafe trees on City rights-of-way and other properties, and pruning of trees on city property. Tree inspection services are provided to residents on an on-call basis. OBJECTIVES /ESTIMATED SERVICE INDICATORS: - Remove 100% of diseased trees on public property - Respond to all property owner requests to identify diseased trees - Maintain and trim trees on City property which present a hazard to public - No of trees removed - Yards of brush hauled 40 700 HIGHLIGHTS/COMMENTS: Staffing: .25 LEO Supplies/Materials: Small Tools Paint for tree marking Support Services: Contracted tree and brush removal Tree inspection certification 74 FUND: 101 DEPARTMENT: Tree Maintenance DEPT 43250 BUDGET ITEM Actual 2005 Actual 2006 Adopted 2007 YTD Oct 2007 Requested 2008 Proposed 2008 Adopted 2008 Staffing 15,011 22,122 15,233 11,553 16,128 16,128 16,128 Supplies/Materials 479 1,323 2,950 461 3,150 3,150 3,150 Support Services 7,768 7,110 15,550 8,543 11,000 11,000 11,000 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 0 0 0 0 0 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 23,258 30,555 33,733 20,557 30,278 30,278 30,278 STAFFING: Lt Equip Operator (LEO) .20 .27 .25 .25 .25 .25 .25 est. 75 FUND: 101 General DEPARTMENT MiSSION: Maintain City parks, trails & beaches to ensure safe and enjoyable recreational amenities, and coordinate recreational opportunities for City residents of all ages and physical abilities DEPARTMENT: Parks & Recreation DEPT NO: 45200 DESCRIPTION OF ACTIVITY The department is responsible for the maintenance of all City parks, including playgrounds, ballfields, trails, ice rinks, buildings and other play areas. Winter ice skaing and summer rec programs are coordinated by this department. OBTECTIVES: - Continue promoting the benefits of investing in Shorewood parks and park improvements. Acres of maint park Cost of maint per acre No. of ballfields Softball Baseball No. of Tennis Courts No. of hockey rinks No. of skating rinks No. of times rinks are cleaned/resurfaced No. of shelters No. of picnic tables Miles of Trails 99.70 1600 3 5 4 2 3 80 4 47 3.50 HIGHLIGHTS/COMMENTS: Staffing: Part time includes Park Commission Secretarial Seasonal includes Summer employees and Winter Rink Attendants Supplies/Materials: Maintenance to park equipment and buildings Rock, black dirt, gravel, sand, fertilizers, seed for parks Support Services: Park Coordinating Svcs ($20,000); Crescent Beach Lifeguard Svcs ($6,000); Contributions to 'Music In The Parks' ($2,500), Friends of Center ($8,800); Friends Fund-raising Match ($12,500); Buckthorn Removal Prog ($1,600); Portable toilets ($9,000). Charges & Fees: Capital Outlay: Transfers: Transfer to Park Capital Improvement Fund $15,000 76 FUND: 101 DEPARTMENT: Parks & Recreation DEPT 45200 BUDGET Actual Actual Adopted YTD Oct Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 109,305 112,753 140,530 102,961 131,408 131,408 131,408 Supplies/Materials 10,026 6,861 15,400 8,335 12,400 12,400 12,400 Support Services 48,189 49,797 81,450 47,728 74,800 74,800 74,800 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 9,989 0 5,000 0 0 0 0 Transfers 15,000 15,000 15,000 0 15,000 15,000 15,000 TOTAL 192,508 184,411 257,380 159,024 233,608 233,608 233,608 STAFFING: Full time: Dir of Public Wks .07 .03 .03 .03 .03 Lt Equip Oper 1.50 1.51 1.50 1.14 1.25 1.25 1.25 Clerical .25 .30 .33 .36 .35 .35 .35 Part time: Clerical Seasonal: Summer 2.00 1.00 1.00 1.00 1.00 1.00 1.00 Winter (rinks) 10.00 10.00 10.00 10.00 10.00 10.00 10.00 est. 11 DEBT SERVICE FUNDS Debt service funds are used to account for the payment of interest and principal on long-term general obligation debt other than debt issued for "and serviced primarily by enterprise funds. 79 City of Shorewood Schedule of Bonds Payable 12/31/2007 Item Fund Issue Bonds (Additions) Outstanding Issued 12/31/2006 2007 #1 601 GO Water Revenue 1996A (A506) 345,000 0 #2 304 EDA Public Safety West Fire Facility Lease Revenue Bonds, Series 2002A 3,590,000 0 #3 304 EDA Public Safety Police Facility Lease Revenue Bonds, Series 2002B 3,740,000 0 #4 304 EDA Public Safety East Fire Facility Lease Revenue Bonds, Series 2002C 1,915,000 0 #5 305 EDA Public Safety West Fire Facility Lease Revenue Bonds, Series 2003A 1,145,000 0 #6 305 EDA Public Safety Police Facility Lease Revenue Bonds, Series 2003B 1,165,000 0 #7 601 Water Revenue Crossover Refunding Bonds, 2003 670,000 0 #8 601 GO Water Revenue Bonds 2005A 1,455,000 0 #9 601 GO Water Revenue Bonds 2006A . 1,450,000 0 #10 307 EDA Public Safety Fire Facility Lease Revenue Crossover Refunding Bonds, Series 2007, 0 4,130,000 #11 307 EDA Public Safety Police Facility Lease Revenue Crossover Refunding Bonds, Series 20071 0 4,285,000 #12 307 EDA Public Safety E. Fire Facility Lease Revenue Crossover Refunding Bonds, Series 20071 0 1,585,000 (Reductions) Bonds Original Paid Outstanding Issue 2007 12/31/2007 Amount 55,000 b) 290,000 860,000 140,000 a) 3,450,000 3,865,000 150,000 a) 3,590,000 4,025,000 75,000 a) 1,840,000 2,060,000 50,000 a) 1,095,000 1,195,000 50,000 a) 1,115,000 1,220,000 145,000 c) 525,000 815,000 55,000 b) 1,400,000 1,525,000 0 b) 1,450,000 1,450,000 o a) 4,130,000 4,130,000 o a) 4,285,000 4,285,000 o a) 1,585,000 1,585,000 $720,000 $24,755,000 $27,015,000 $ 21,090,000 $22,365,000 3,140,000 3,835,000 525,000 815,000 $ 24,755,000 $27,015,000 Totals $15,475,000 $10,000,000 a) EDA Lease Revenue Debt: b) Water Revenue Debt: c) Water Refundino Debt TOTAL: 80 ~ _l_'_ .-..-..- _....".-. --','-- .. -- Moody's Investors Service 123 N. Wacker Drive Suite 1350 Chicago, IL 60606 December 15,2006 Ms. Bonnie Burton Finance Director City of Shorewood 5755 County Club Road Shorewood, MN 55331-8927 Jonathan North Vice President/Analyst Tel: 312.706.9973 Fax: 312.706.9999 E-mail: jonathan.north@moodys.com Dear Ms. Burton: We wish to inform you that on December 13,2006, Moody's Rating Committee reviewed and assigned a rating of At to Shorewood (City of) MN's Public Safety Fire Facility Lease Revenue Crossover Refunding Bonds, Series 2007 A issued through Shorewood Economic Development Authority, MN. In order for us to maintain the currency of our ratings, we request that you provide ongoing disclosure, including annual financial and statistical information. Moody's will monitor this rating and reserves the. right, at its sole discretion, to revise or withdraw this rating at any time in the future. The rating, as well as any revisions or withdrawals thereof, will be publicly disseminated by Moody's through normal print and electronic media and in response to verbal requests to Moody's ratings desk. Should you have any questions regarding the above, please do not hesitate to contact me '" or the analyst assigned to this transaction, Molly Shellhorn, at 312-706-9972. Sincerely, ,S;- cc: Mr. Paul Donna Northland Securities 81 ~i"~ -.::;,;;...-;- Moody's lrwlNlOJ'$ Se.tVA:e Global Credit Research New Issue 13 DEC 2006 New Issue: Shorewood (City of) MN MOODY'S ASSIGNS INITIAL A1 RATING TO SHOREWOOD ECONOMIC DEVELOPMENT AUTHORITY'S (MN) $4.135 MILLION PUBLIC SAFETY FIRE FACILITY LEASE REVENUE CROSSOVER REFUNDING BONDS, SJ;RU=S.?()()7A,~NR$4~~_~5_1\I1!I,.LIQNPlJE!1,.19 ~AEI;TXpOI,,!CE: .F~~ILlTY.LE:ASE:RE"_E:NU E 9B()~~()"E:~ MOODY'S AFFIRMS Aa3 RATING ON SHOREWOOD'S $3.92 MILLION OF OUTSTASNDING GENERAL OBLIGATION DEBT Shorewood (City of) MN Municipality MN Moody's Rating ISSUE UNDERLYING RATING RATING Public Safety Fire Facility Lease Revenue Crossover Refunding Bonds, Series 2007 A Sale Amount Expected Sale Date Rating Description Aa3 A1 $4,135,000 12/13/06 Lease Rental Public Safety Police Facility Lease Revenue Crossover Refunding Bonds, Series 2007B Sale Amount Expected Sale Date Rating Description Aa3 A1 $4,285,000 12/13/06 Lease Rental Opinion NEW YORK, Dec 13, 2006 -- Moody's Investors Service has assigned an initial A1 rating to Shorewood Economic Development Authority's (MN) $4.135 million Public Safety Fire Facility Lease Revenue Crossover Refunding Bonds, Series 2007A, and $4.285 million Public Safety Police Facility Lease Revenue Crossover Refunding Bonds, Series 2007B. The bonds are payable first from lease payments made to the Shorewood Economic Development Authority from the Joint Powers Fire District and Police Department, but are ultimately secured by the annual appropriation pledge of the City of Shorewood. Proceeds will be used to refund the Authority's Public Safety Fire Facility Lease Revenue Bonds, Series 2002A and 2003A, and Public Safety Police Facility Lease Revenue Bonds, Series2002B and Series 2003B. Concurrently, Moody's has affirmed the City of Shorewood's Aa3 rating on $3.92 million of outstanding general obligation debt. The A1 rating is based on the essentiality of the project being financed, risk of non-appropriation, and the credit quality inherent in the general obligation rating of the obligor. The city's Aa3 rating reflects the city's mature economy with affluent wealth levels and healthy tax base growth; strong financial operations characterized by healthy reserve levels; and below average debt levels. LEASE PAYMENTS FOR ESSENTIAL PUBLIC SAFETY FACILITY SUBJECT TO ANNUAL APPROPRIATION Moody's believes the legal provisions outlined in the lease agreement and the indenture of trust affords bondholders with a satisfactory level of protection. The City of Shorewood and the Shorewood Economic Development Al!th<xity have entered intg a lease agreement in which the city will make lease payments, subject to annual appropriation, sufficient to cover debt service. Because the City consolidates public safety services with neighboring jurisdictions, the City has subleased the public safety facility to the Joint Powers Police Department and the Joint Powers Fire District. The Police Department and Fire District include scheduled debt service payments in their annual budgets. Sufficient measures are in place to deter member cities from backing out of the Joint Powers agreements. Additionally, from a credit perspective, the framework of the lease hinges on the appropriation pledge of the City of Shorewood. The city's annual appropriation is absolute and unconditional and not subject to set-off or abatement. The Authority's title and interest in the lease agreement are assigned to US Bank, National~~sociation (Senior unsecured rated Aa1). Lease payment dates are scheduled 30 days prior to debt s~e payment dates. MATURE AND WEALTHY SUBURB OF THE TWIN CITIES Located about 15 miles west of the Minneapolis (Aa1 )/St. Paul (Aa2) region along the southern shore of Lake Minnetonka, Shorewood is a mature bedroom community with limited available land for taxbase growth. City officials report most of the taxbase's average annual growth of 11.7% in recent years is due to natural appreciation of existing properties and the replacement of older residential properties with larger, more valuable, homes - particularly along the lakefront. Moody's believes the taxbase will continue to grow, though at a more moderated pace, due to the City's desirable lakefront location and proximity to the Twin Cities. The city displays very strong wealth indices with per capita income of 191.5% of state average and median family income of 183% of state average (census 2000). For a residential taxbase, full value per capita is very healthy at $206,107, and the City's fiscal 2005 full valuation is over $1.5 billion. STRONG FINANCIAL OPERATIONS CHARACTERIZED BY AMPLE RESERVES Moody's expects the city to maintain stable financial operations due to a history of conservative budgeting, characterized by the maintenance of healthy reserves, as well as the lack of reliance on state aid. Following an operating surplus of $381,000, the city ended FY 2004 with a General Fund balance of $2.9 million, or a very healthy 73.8% of General Fund revenues. FY 2005 ended with an operating surplus of $99,000, maintaining a General Fund balance of $2.9 million (65.9%). District officials anticipate fiscal 2006 will end with balanced operations and anticipate slightly spending down fund balance in fiscal 2007 due to budgeted capital projects. Favorably, the city relies primarily on property tax revenues, comprising 68.2% of operating revenues. An additional source of revenue and liquidity is the city's liquor fund, which ended fiscal 2005 with a fund balance of $389,308 and makes annual contributions to the city's General Fund. AVERAGE DEBT BURDEN AND LIMITED CAPITAL NEEDS Moody's expects the city's debt burden to remain manageable given expected ongoing tax base growth and limited capital needs. The city's overall debt burden is moderate at 1.7%, with less'than half due to the direct borrowing of the city (direct debt 0.6%). In the longer term, the city may borrow for a new city hall in three to five years, though the exact par value of such a bond issue has not been determined. Payout of outstanding obligations is below average with 51.2% of principal retired in ten years. KEY STATISTICS 2006 population estimate: 7,685 2005 full value: $1.54 billion Full value per capita: $206,107 Debt burden: 1.7% (0.6% direct) Payout of principal (10 years): 51.2% FY 2005 General Fund balance: $2.9 million (65.9% of General Fund revenues) Me2!!3.n Family Income (as percentage of state): 183.0% Per Capita Income (as percentage of state): 191.5% Analysts Molly Shellhorn Analyst Public Finance Group Moody's Investors Service John Humphrey Backup Analyst Public Finance Group Moody's Investors Service Contacts Journalists: (212) 553-0376 Research Clients: (212) 553-1653 83 CAPITAL PROJECTS FUNDS Capital Projects funds are used to account for the acquisition and construction of major capital facilities other than those financed by enterprise funds. Public Facilities - This fund was established to account for various capital improvement facility projects that may be financed without the need to issue bonds. Technology/Office Equipment Fund - This fund accounts for technology enhancements and other technology capital improvements. Park Capital Improvement Fund - This fund accounts for parkland acquisition and other capital improvements in the City parks. Equipment Replacement Fund -This fund was established for the purpose of funding the replacement of capital equipment. Street Reconstruction Fund - This fund was established for the purpose of funding the periodic reconstruction of City streets and roadways. MSA Road Reconstruction Fund - This fund was established.to account for the accumulation of Municipal State Aid (MSA) to fund the periodic reconstruction of MSA designated roads. EDA Public Safety PoliceIFire Construction Fund - This fund was established to account for the construction of the Police and Fire Public Safety facility in the City of Shorewood. 85 CAPITAL IMPROVEMENTS FISCAL POLICY GENERAL POLICY Shorewood's Capital Improvements Program reflects an assessment of the community's needs and its ability to pay for major improvements. It is founded on the policy that reinvestment required for replacement, maintenance, or the increased efficiency of existing systems shall have priority over investments for exp~sion of existing systems or the provision of new services. FUNDING PRIORITIES Capital spending proposals will generally be funded on the following priority basis: 1. Those projects necessary for contributing to the public health and welfare. 2. Those projects which will help to maintain an existing system. 3. Those projects that will make an existing system more efficient. 4. Those projects representing the expansion of an existing system for new service or completely new public facility or service. FUNDING PRINCIPLES As a result, the following principles shall govern the implementation of the recommended Capital Improvements Program: 1. The City will make all capital improvements in accordance with the adopted Capital Improvements Program. 2. The City will develop a multi-year plan for Capital Improvements and update it annually. 3. The City will coordinate development of the Capital Improvements Program with development of the annual operating budget. Future optional costs associated with new capital improvements will be projected and included in operation budget forecasts. 1 86 City of Shorewood, Minnesota Capital Improvement Program 2007 thru 2011 PROJECTS BY DEPARTMENT Department Project# Priority 2007 2008 2009 2010 2011 Total IEquipment Replacement , I Water Truck-Ford 7000 E-07-45 n/a 50,000 50,000 F350 & Flatbed E-07-49 n/a 41,031 41,031 F350 4x4 Pickup w/plow E-07-55 n/a 35,349 35,349 Mower - T oro Groundsmaster 325D E-07-70 n/a 22,093 22,093 Diesel Fuel Trailer 500 Gallons E-07-71 n/a 7,827 7,827 Attach - Blower for Groundsmaster E-07-75 n/a 5,757 5,757 Attach - 1985 Cabs for Groundmaster E-07-82 n/a 5,050 5,050 Snow Thrower - John Deere 826 (1970) E-07:91 n/a 947 947 Snow Thrower - John Deere 826 (1972) E-07-92 n/a 947 947 Attach - Flail side mower E-07-93 n/a 16,160 16,160 Attach - Flail rear mower E-07-94 n/a 8,080 8,080 Ford 555 Backhoe E-08-22 n/a 70,257 70,257 Dump Truck - Ford L8000 (1988) E-08-33 n/a 147,205 147,205 Sweeper - Tennant 240 E-08-46 n/a 16,059 16,059 Speed Awareness Display E-08-51 n/a 24,088 24,088 Skid Steer - Bobcat 753 E-08-76 n/a 23,887 23,887 Dump Box Rehabilitation and Sander E-09-54 n/a 25,533 25,533 Dump Truck - Ford L8000 (1995) E-09-68 n/a 153,200 '153,200 Tractor - Ford 3910 E-10-35 n/a 39,094 39,094 Air Compressor-Ingersoll Rand 185 E-10-38 n/a 16,465 16,465 Trailer 12' Tops E-10-41 n/a 3,458 3,458 Dump 1 ton - 4 x 2 Ford F-35o E-10-52 n/a 54,131 54,131 Groundsmaster Mower- Toro 328D E-10-57 n/a 26,314 26,314 Mower - Toro Walk Behind 44 E-10-73 n/a 3,308 3,308 Attach2 - 1985 Cabs for Groundmaster E-10-82 n/a 6,015 6,015 Trailer 24' - Trail King E-11-21 n/a 23,111 23,111 Mower - Toro Groundmaster 328D (84) E-11-74 n/a 27,892 27,892 Sand Pro 3000 E-11-77 n/a 13,548 13,548 Equipment Replacement Total 193,241 281,496 178,733 148,785 64,551 866,806 [Local Street Reconstruction , , Slurry Overlay LR-08-02 n/a 300,000 300,000 Harding Lane LR-09-01 1 586,011 586,011 Nelsine Drive LR-10-03 1 357,600 357,600 Meadowview Road LR-10-04 1 350,745 350,745 Rampart Court LR-11-01 1 171,572 171,572 Star Roads LR-11-02 1 535,700 535,700 Bituminous Overlays LR-11-100 n/a 95,000 95,000 95,000 95,000 95,000 475,000 Bituminous Sealcoating LR-11-99 n/a 66,000 66,000 66,000 66,000 66,000 330,000 Local Street Reconstruction Total 161,000 461,000 747,011 869,345 868,272 3,106,628 87 Department Project# Priority 2007 2008 2009 2010 2011 Total IMunicipal State Aid Streets I Vine Hill Road - Mill and Overlay M$A-03-05 2,500,000 2,500,000 Municipal State Aid Streets Total 2,500,000 2,500,000 IMunicipal Water System I S.E. Area Lineshaft Well- Pull & Inspect W-07-02 n/a 22,000 22,000 Amesbury Well Controls Replacement W-07-03 n/a 55,000 55,000 Water Meter Radio Read Project W-07-05 n/a 250,000 75,000 75,000 400,000 West Area Water Tower - Power Wash W-07-25 n/a 6,700 6,700 SE Area Water Tower - painting W-08-01 n/a 270,000 270,000 Amesbury Lineshaft Well - Pull & Inspect W-08-02 n/a 23,000 23,000 Wood haven Well Bldg Demolition W-08-03 n/a 18,000 18,000 Boulder Bridge Well #2 - Pull & Inspect W-09-01 n/a 24,000 24,000 Municipal Water System Total 333,700 386,000 99,000 818,700 IParks I Badger Park-Football Field Lighting P-07-02 n/a 95,000 95,000 Silverwood Park Resurface Tennis/Basketball Court P-08-01 n/a 2,000 2,000 Cathcart Park-Repave Existing Trail P-08-02 n/a 3,000 3,000 Cathcart Park-Swing Set Replacement P-08-04 n/a 2,500 2,500 Freeman Park-Restoration Dug-outs P-09-01 n/a 2,500 2,500 Cathcart Park-Resurface Magic Square P-09-02 n/a 7,500 7,500 Manor Park Tennis Court Reconstruction P-09-03 n/a 70,000 70,000 Silverwood Park-Bituminous Parking Lot P-10-01 n/a 18,000 18,000 Freeman Park-Picnic Shelter Rehab P-10-02 n/a 3,000 3,000 Freeman Park-Wetland Enhancement P-11-02 n/a 500,000 500,000 Park Improvements P-11-99 n/a 5,000 5,000 5,000 5,000 20,000 Parks Total 95,000 12,500 85,000 26,000 505,000 723,500 IPublic Facilities I Civil Defense Sirens PF-07-05 n/a 50,000 50,000 City Hall Project PF-08-02 n/a 1,200,000 1,200,000 5795 Country Club-Residence PF-09-01 n/a 5,000 5,000 Public Works Addition (Bay wllift) PF-10-01 n/a 400,000 400,000 Public Facilities Total 1,250,000 5,000 400,000 1,655,000 ISanitary Sewer I SCADA System 14 Lift Stations $$-07-02 n/a 75,000 75,000 Lift Station 12 Rehab-5705 Christmas Lake PI. $$-08-01 n/a 110,000 110,000 Lift Station 16 Rehab-4915 Shady Island Rd $$-08-02 n/a 104,000 104,000 Portable Lift Station Control Panel $$-08-03 n/a 7,000 7,000 Lift Station 15 Rehab-4360 Enchanted Dr. $$-08-06 n/a 28,000 100,000 128,000 Lift Station 17 Rehab-5295 Shady Island Rd $$-09-01 n/a 8,000 70,000 78,000 Annual Lift Station Inspect & Rehab $$-11-03 n/a 25,000 25,000 25,000 25,000 25,000 125,000 Infiltration and Inflow Reduction $$-11-05 n/a 50,000 50,000 50.000 50,000 50,000 250,000 Sanitary Sewer Total 150,000 324,000 183,000 145,000 75,000 877,000 IStormwater Management I 88 Department Project# Priorit)' 2007 2008 2009 2010 2011 Total Water Management Plan STM-07-06 2 78,000 78,000 Project T o-Be-Determined STM-08-02 n/a 100,000 100,000 Harding Lane Drainage STM-09-01 1 97,000 97,000 Stratford PI Drainage STM-09-02 1 30,000 30,000 Lake South Auto Drainage STM-09-03 1 21,000 21,000 5830 Echo Rd Drainage STM-09-04 1 33,000 33,000 6180 Chaska Rd Drainage STM-09-05 1 4,000 4,000 Meadowview Rd Storm STM-10-01 3 15,000 15,000 Nelsine Dr Drainage STM-10-02 1 16,000 16,000 6180 Murray Drainage STM-10-03 1 36,000 36,000 5925 Grant Drainage STM-10-04 1 49,000 49,000 Lake Mary Outlet STM-11-02 1 505,000 505,000 Star Circle Storm STM-11-03 3 89,000 89,000 Rampart Ct. Drainage STM-11-04 1 8,000 8,000 Storm water Management Total 78,000 100,000 185,000 116,000 602,000 1,081,000 jTechnology/Office Equip I Financial Software Package T-07-01 n/a 43,000 43,000 Network Server (Computer) Replacement T-07-02 n/a 19,500 19,500 Phone System (VOIP or other) - City Hall T-09-0 1 n/a 40,000 40,000 City Hall Copier & Maintenance Contract T-09-02 n/a 25,000 25,000 Computer Upgrades T-11-06 n/a 10,000 10,000 10,000 10,000 10,000 50,000 Technology/Office Equip Total 72,500 10,000 75,000 10,000 10,000 177,500 GRAND TOTAL 1,083,441 2,824,996 1,557,744 1,715,130 4,624,823 11,806,134 89 ENTERPRISE FUNDS Enterprise funds are used to account for operations that are financed and operated in a manner similar to private business, where the costs of providing services to the general public are financed primarily through user charges. Water Operations Fund - This fund is used to account for the activities of the City water system. Water Debt Service Fund - This fund is used to account for accumulation of funds for, and payment of, debt service for the City water system. Sewer Fund - This fund is used to account for the activities of the City sanitary sewer system. Recycling Fund - This fund is used to account for the activities of the City recycling program. Stormwater Management Utility Fund - This fund is used to account for the activities of the City Stormwater Management system. 91 FUND: Water MISSION: To provide for the retirement of debt incurred to construct water system improvements. SUBFUND: Water Debt Service FUND NO: 601 DESCRIPTION OF ACTIVITY: Responsible for the accumulation of resources for the retirement of Water Fund debt, and for the periodic payment of principal and interest. OBJECTIVES: To assure adequate resources to retire debt as scheduled, or more quickly if prudent. HIGHLIGHTS/COMMENTS: Revenues: Property Tax Levy for Debt Service Special Assessments on Water Improvements Connection Charges Interest Income Transfers from Water Operating Fund Expenses: Staffing: Supplies/Materials: Support Services: Charges & Fees: Capital Outlay: Other: Debt service payments - Principal and interest Fiscal Agent Fees 92 FUND: #601 FUND: Water - Debt Service DEPT # 49400 BUDGET Actual Actual Budget YTD Oct Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 REVENUE Sp Assess/Connect Chgs 46,124 663,633 46,000 152,138 105,000 105,000 Misc. Revenue 35,336 61,926 30,000 51,717 40,000 40,000 Transfers 260,000 0 310,000 0 260,000 260,000 TOTAL REVENUE 341,460 725,559 386,000 203,855 405,000 405,000 EXPENSES Staffing 0 0 0 0 0 0 Supplies/Materials 0 0 0 0 0 0 Support Services 0 0 0 0 0 0 Charges & Fees 0 0 0 0 0 0 Other - Debt Service 264,851 373,955 386,000 360,070 388,000 388,000 Capital Outlay 0 0 0 0 0 0 Transfers 0 0 0 0 0 0 TOTAL EXPENSES 264,851 373,955 386,000 360,070 388,000 388,000 SERVICE INDICATORS: Outstanding Debt, Year End 2,745,000 3,920,000 3,665,000 3,665,000 3,415,000 3,415,000 CASH FLOW IMPACT: Beginning Cash Balance 611,032 687,641 1,039,245 1,039,245 883,029 883,029 Revenues 341,460 725,559 386,000 203,855 405,000 405,000 Expenditures (264,851) (373,955) (386,000) (360,070) (388,000) (388,000) Ending Cash Balance 687,641 1,039,245 1,039,245 883,029 900,029 900,029 STAFFING: 93 FUND: Water MISSION: To provide a safe, clean, uninterrupted supply of drinking water to all City residents connected to the City water system. SUBFUND: Water Operations FUND NO: 601 DESCRIPTION OF ACTIVITY: Responsible for operation and maintenance of seven (7) well systems, including all pumps and well houses, maintenance of water tower and treatment plant, and extension of new watermain and construction of new water facilities, as necessary. OBTECTIVES: - Supply a safe, clean uninterrupted source of water to all connections - Explore possibility of interconnecting with other communities HIGHLIGHTS/COMMENTS: Revenues: Estimated water sales based on quarterly billing at a tiered rate of $2.95 - $3.75/1,000 gallons Connection and permit revenues Miscellaneous Income includes interest income and Cellular Antenna Space Rentals Expenses: Staffing: .15 Dir of Public Wks .25 Engineering Technician .15 Utility Lead Person .75 Utility Operator .06 Senior Accounting Clerk .05 Receptionist/Secretary Supplies/Materials: Office Supplies, including billing forms and postage Maintenance contracts for computer hardware and software Maintenance of gate valves Small tools and chemicals for water treatment Support Services & Charges: Engineering Water Operations Licenses & Training Insurance on water system Water testing & Water Quality Reporting Capital Outlay: Amesbury Lineshaft Well- Pull & Inspect ($23,000 - 2008) Radio Reild Meter project-($75,000 - 2008) Woodhaven Well Bldg Demo ($18,000 - 2008) SE Area Water Tower Painting ($270,000 - 2008) Other: Water Purchased from other communities Meter purchases Well utility charges Transfers to Water Debt Service Fund Depreciation (Non-cash expense accounts for future system replacement) 94 FUND: #601 FUND: Water Operations DEPT # 49400 BUDGET Actual Actual Budget YTD Oct Proposed Adopted $$ % ITEM 2005 2006 2007 2007 2008 2008 Change Change REVENUE Charges for Service 537,450 585,112 576,000 . 458,429 583,500 583,500 7,500 1.30% Bond Proceeds 1,525,000 1,402,585 0 0 0 0 0 0.00% Misc. Revenue 108,780 163,218 117,000 137,000 130,000 130,000 13,000 11.11% TOTAL REVENUE 2,171,230 2,150,915 693,000 595,429 713,500 713,500 20,500 2.96% EXPENSES Staffing 76,394 75,163 85,382 74,199 109,659 109,659 24,277 28.43% Supplies/Materials 58,306 53,323 62,525 41,970 76,625 76,625 14,100 22.55% Support Services & Charges 166,134 94,756 124,600 97,183 96,425 96,425 (~~fiJ 175) -22.61 % Capital Outlay 0 0 604,600 371,614 386,000 386,000 (218.600) -36.16% Transfers 0 0 310,000 0 260,000 260,000 (511.000) -16.13% Depreciation 182,145 184,105 185,000 162,763 185,000 185,000 0 0.00% TOTAL EXPENSES 482,979 407,348 1,372,107 747,728 1,113,709 1,113,709 (1SH,39B) -18.83% SERVICE INDICATORS: Miles of Water Line 16 16 16 16 16 16 No. of Connections 1,252 1,252 1,285 1,285 1,285 1,285 No. of Hydrants 272 272 280 280 280 280 Annual Gals Wtr Pumped* 175,000,000 175,000,000 188,509,000 188,509,000 188,509,000 188,509,000 Avg DailyConsump- gals 479,452 479,452 516,463 516,463 516,463 516,463 Water rate/1000 gals 2.95/3.75 2.95/3.75 2.95/3.75 2.95/3.75 2.95/3.75 2.95/3.75 CASH FLOW IMPACT: Beginning Cash Balance 1,855,878 2,356,223 2,693,608 2,693,608 2,199,501 2,199,501 Revenues 2,171,230 2,150,915 693,000 595,429 713,500 713,500 Expenditures (482,979) (407,348) (1,372,107) (747,728) (1,113,709) (1,113,709) Depreciation 182,145 184,105 185,000 162,763 185,000 185,000 Construction of Infrastructure Other Cash Flow Impacts (1,370,051 ) (1,590,288) 0 0 0 0 Ending Cash Balance 2,356,223 2,693,608 2,199,501 2,704,071 1,984,292 1,984,292 STAFFING: Dir. of Public Wks .025 .15 .15 City Engineer .01 Engineer Technician .250 .08 .25 .22 .25 .25 Utility Lead Person .14 .14 .15 .15 Utility Operator 1.15 .77 1.15 .75 .75 .75 Acctg. Clerk .125 .085 .125 .085 .06 .06 Sec./Recep. .100 .100 .10 .00 .05 .05 * Source: Annual DNR reports 95 FUND: Sanitary Sewer MISSION: To provide a safe, sanitary sewer service to all City residents SUBFUND: Sanitary Sewer DEPT NO: 611 DESCRIPTION OF ACTIVITY: Major activities include maintenance of fourteen (14) lift stations, and cleaning, televising and repairing sewer mains to control inflow and infiltration. Sewage treatment is performed by Metropolitan Council Environmental Services (MCES) and is provided for in this area. OBJECTIVES: - Work with MCES to monitor inflow and infiltration into the sanitary sewer system - Refurbish two lift stations per year HIGHLIGHTS/COMMENTS: Revenues: Quarterly Sewer service charges at $70.00 per quarter Interest revenue from investment of Sewer Fund cash balances Repayment of Interfund Loans Expenses: Staffing: .15 Dir of Public Wks .25 Engineering Technician .10 Utility Lead Person .53 Utility Operator .06 Senior Accounting Clerk .05 Receptionist/Secretary Supplies/Materials: Office Supplies, including billing forms and postage Maintenance contracts for computer hardware and software Support Services: Sewer Main Cleaning Inflow & Infiltration Control Insurance on sewer system Legal & engineering services Utilities Travel & seminars Charges & Fees: Charges for sewage flow into City of Excelsior trunk mains Metropolitan Council Environmental Services sewage treatment charges Capital Outlay: Refurbish Lift Stations 12, 15, & 16 (2008) Inflow & Infiltration Reduction Transfers In (2008): Residential Property purchase debt service payment (Genl Fnd): $60,000 Depreciation (Non-cash expense accounts for future system replacement) 96 FUND: # 611 FUND: Sanitary Sewer DEPT # 49450 BUDGET Actual Actual Budget YTD Oct Proposed Adopted $$ % ITEM 2005 2006 2007 2007 2008 2008 Change Change REVENUE Charges for Service 932,925 991,659 949,680 675,923 950,500 950,500 820 0.09% Transfers 60,000 0 236,000 0 60,000 60,000 (176,000) -74.58% TOTAL REVENUES 992,925 991,659 1,185,680 675,923 . 1,010,500 1,010,500 (175,180) -74.49% EXPENSES Staffing 66,487 46,260 89,382 62,781 90,236 90,236 . 854 0.96% Supplies/Materials 13,877 17,864 17,800 6,449 14,100 14,100 (3,700) -20.79% Support Services & Charges 456,026 517,448 637,336 578,245 639,282 639,282 1,946 0.31% Capital Outlay 0 0 236,000 20,898 299,000 299,000 63,000 26.69% Transfers 0 0 0 0 0 0 0 0.00% Depreciation 203,783 204,064 205,000 174,177 205,000 205,000 0 0.00% TOTAL EXPENSES 740,174 785,636 1,185,518 842,551 1,247,618 1,247,618 62,100 7.17% SERVICE INDICATORS: Miles of Sewer Line 65 65 65 65 65 65 No. of Connections 2,824 2,824 2,824 2,824 2,830 2,830 No. of Lift Stations 14 14 14 14 14 14 Flow (Mill. Gals.) 7/1- 6/30 N/A 299.52 375.81 322.89 322.89 322.89 CASH FLOW IMPACT: Beginning Cash Balance 3,548,050 3,550,499 3,958,626 3,958,626 4,163,788 4,163,788 Revenues 992,925 991,659 1,185,680 675,923 1,010,500 950,500 Expenditures (740,174) (785,636) (1,185,518) (842,551) (1,247,618) (1,247,618) Depreciation 203,783 204,064 205,000 174,177 205,000 205,000 Other Cash Flow Impacts (454,086) (1,959) Ending Cash Balance 3,550,499 3,958,626 4,163,788 3,966,176 4,131,670 4,071,670 STAFFING: Dir of Public Wks 0.15 0.15 Engineer. Technician .25 .13 .25 .20 0.25 0.25 Utility Lead .25 .07 .25 .10 0.10 0.10 Utility Operator .67 .29 .67 .34 0.53 0.53 Sr. Acctg. Clerk .10 .087 .025 .085 0.06 0.06 Receptionist/Secretary .05 .12 .05 .10 0.05 0.05 97 FUND: Recycling MISSION: To provide weekly pickup of recyclables to all City residents; provide for the annual City Clean-up activities SUBFUND: Recycling FUNDNO: 621 DESCRIPTION OF ACTIVITY: Weekly pick-up of newspaper, corrugated cardboard, recyclable plastics, glass and metal, and other recyclable materials. Includes annual City community clean-up at a drop-off site. OBTECTIVES: - Continue weekly pickup of recyclable materials - Hold City community clean-up in the Spring of the year - Provide a leaf and yard waste disposal site in Fall of the year HIGHLIGHTS/COMMENTS: Revenues: County Aid is a Hennepin County grant Charges for Service includes City Clean-up fees and a City Recycling Fee of $1.75 per month per household Tranfers/other includes transfers, interest income and revenue sharing from the Recycling Contractor Expenses: Staffing: Miscellaneous staffing for City Clean-up and Yardwaste Disposal Supplies/Materials: Office Supplies Support Services: Recycling contract with Veolia Recycling ($2.50!household/month for 2,796 households - 2008) City Clean-up costs (Est. $15,000 - 2008) 98 FUND: #621 FUND: Recycling DEPT # 49550 BUDGET Actual Actual Budget YTD Oct Proposed Adopted $$ % ITEM 2005 2006 2007 2007 2008 2008 Change Change REVENUE County Aid 21,030 20,971 21,030 20,631 21,000 21,000 (30) -0.14% Charges for Service 94,994 123,383 98,000 47,850 74,000 74,400 (23/6001 -24.08% Transfers/other 1,813 2,738 1,950 2,674 2,450 2,050 500 25.64% TOTAL REVENUE & 117,837 147,092 120,980 71,154 97,450 97,450 (23,130) -19.12% OTHER SOURCES EXPENSES Staffing 0 0 1,450 0 0 0 0,4.30) -100.00% Supplies/Materials 2,328 164 2,350 0 500 500 (I,S50) -78.72% Support Services & Charges 103,495 124,189 114,175 70,182 99,175 99,175 ()'>,(]OOl -13.14% Capital Outlay 0 0 0 0 0 0 0 0.00% Transfers 0 0 0 0 0 0 0 0.00% TOTAL EXPENSES 105,823 124,354 117,975 70,182 99,675 99,675 CI 8,3001 -15.51% SERVICE INDICATORS: Est. A vg. mo. Participant Hshld 1,100 1,100 1,100 1,100 1,100 1,100 Avg. mo. Tonnage* 63 90 90 90 CASH FLOW IMPACT: Beginning Cash Balance 51,760 61,905 83,554 83,554 86,559 86,559 Revenues 117,837 147,092 120,980 71,154 97,450 97,450 Expenditures (105,823) (124,354) (117,975) (70,182) (99,675) (99,675) Other Cash Flow Impacts (1,869) (1,090) Ending Cash Balance 61,905 83,554 86,559 84,526 84,334 84,334 * Annual Recycling Tonnage Reported: 2001 - 965 tons 2002 - 1,008 tons 2003 - 1,206 tons 2004 - 1,093 tons 2005 - 762 tons 2006 - ' 897 tons 99 FUND: Stormwater Management MISSION: To provide proper surface water and ground water management throughout the City. SUBFUND: Stormwater Management FUND NO: 631 DESCRIPTION OF ACTIVITY: Activities include maintenance of storm sewer system, including cleaning of catch basins, dredging of drainage ditches and retention ponds, and minor repairs to system problem areas. Provides partial funding for larger subwatershed drainage projects. OBTECTIVES: To build and maintain a stable fund balance in order to be able to fund needed projects and to facilitate council priorities. HIGHLIGHTS/COMMENTS: Revenues: Stormwater Management Utility Charges - The current residential rate is approximately $15 per quarter. Misc. Revenue includes interest income and other misc. revenue (cell antenna revenue) Expenses: Staffing: .15 Dir of Pub Wks (Additional staff engineering time is anticipated due to NPDS and SWPP required reporting) .05 City Engineer .25 Engineer Technician .06 Senior Accounting Clerk Supplies/Materials: Drainage Correction/Maintenance Materials Support Services: Engineering Contractual Services for drainage correction Contractual Services Contractual Services for seasonal pumping expense as needed ($10,000 - 2008) Includes CSMP Updates required by Met Council Comp Plan ($40,000 - 2008) Debt Service: Repayment of Internal Loan to Sewer Fund for land purchase (Balance outstanding at end of 2007: $0) Capital Outlay: $100,000 budgeted in 2008 for projects to-be-determined 100 FUND: #631 FUND: Stormwater Management Utility DEPT # 49600 BUDGET Actual Actual Budget YTD Oct Proposed Adopted $$ % ITEM 2005 2006 2007 2007 2008 2008 Change Change REVENUE Grant Proceeds 0 0 60,000 0 0 0 (60)000) -100.00% Special Assessments 0 0 0 0 0 0 0 0.00% Charges for Service 69,637 69,177 195,000 100,108 195,000 195,000 0 0.00% Misc. Revenue 40,399 72,323 35,000 8,570 33,000 33,000 (2yOOO} -5.71 % Transfers 7,000 25,000 25,000 0 0 0 (25,000 ) -100.00% TOTAL REVENUE & 117,036 166,500 315,000 108,678 228,000 228,000 (87,000) -27.62% OTHER SOURCES EXPENSES Staffing 9,439 10,19~ 9,242 22,265 47,880 47,880 38,638 418.07% Supplies/Materials 979 1,871 3,200 249 6,700 6,700 3,500 109.38% Support Services 57,550 62,566 105,000 21,730 79,100 79,100 (25,90n) -24.67% Charges & Fees 0 0 0 0 0 0 0 0.00% Other - Debt Service 35,918 4,438 52,500 0 0 0 r52.5(0) -100.00% Capital Outlay 0 90,056 141,000 638 100,000 100,000 (41,000) -29.08% Transfers 0 0 0 0 0 0 0 0.00% TOTAL EXPENSES 103,886 169,125 310,942 44,881 233,680 233,680 (77,262) -24.85% CASH FLOW IMPACT: Beginning Cash Balance 292,084 300,316 275,950 275,950 280,008 280,008 Revenues 117,036 166,500 315,000 108,678 228,000 228,000 Expenditures (103,886) (169,125) (310,942) (44,881) (233,680) (233,680) Other Cash Flow Impacts (4,918) (21,741) 0 0 0 0 Ending Cash Balance 300,316 275,950 280,008 339,747 274,328 274,328 STAFFING: Dir of Pub Wks 0.0 .15 .15 City Engineer .045 .05 .05 Engineer Technician .07 .21 .25 .25 Lt. Equip. Oper./Foreman .10 .00 .10 .0 .0 .0 Sr. Acctg. Clerk .05 .085 .05 .05 .06 .06 101 ALLOCATED APPROPRIATION BOND ISSUE BOND REFERENDUM BUDGET CAPITAL ASSET CAPITAL OUTLAY CAPITAL PROJECTS FUND COMMUNITY DEVELOPMENT BLOCK GRANT COMPARABLE WORTH CONTRACTUAL COMPREHENSIVE PLAN GLOSSARY Distribute costs between reporting divisions or funds. A grant of money by a legislative body to carry out a governmental function or program. A security representing a long-term promise to pay a certain sum of money at specified times with a fixed rate of interest payable to the holder. An election for a bond issue. (1) A statement describing the revenues and expenditures of all governmental units, and (2) a mechanism for controlling, managing, planning and evaluating the activities of each governmental unit. Assets of significant value and having a useful life of several years (Fixed Asset). Expenditures for the acquisition of capital assets. Funds used to account for activity of capital projects and equipment initiated or purchased by the City. A federal grant program intended for community development, rehabilitation and other public purposes purposes that enhance the community. Mandated by State law; a system which establishes the value of jobs by weighting tasks performed on a point scale. Ensures comparable wages for jobs within a comparable point range within the jurisdiction. A legally binding document that provides both parties perform specific duties. A comprehensive short-range and long-range plan intended to guide the growth and development of a community, and one that includes analysis, recommendations, and proposals for the community's population, economy, housing, "transportation, community facilities, and land use. 103 DEBT LEVY DEBT SERVICE FUND ENTERPRISE FUND EXPENDITURE FISCAL DISPARITIES FUND FUND BALANCE FUND EQUITY GASB 34 GENERAL FUND GOAL A tax collected to pay for bonds issued. Established to account for the accumulation of financial sources for the payment of principal and interest on debt incurred by the City. Debt incurred for improvements of an enterprise are accounted for in the appropriate enterprise fund. Established to account for operations that are financed and managed in a manner similar to private business enterprises where the intent of the governing body is that the costs (expenses, including depreciation) of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges. The amount of cash or property paid, or to be paid, for a service rendered, goods received, or an asset purchased. A metropolitan program that distributes a percentage of property tax revenue from new commercial and industrial development to all metropolitan communities. A fiscal and accounting entity with a self-balance set of accounts that are segregated for the purpose of carrying on specific activities or attaining certain objectives. The residual balance resulting from all fiscal activity within a fund which is available for appropriation. The residual balance, reserved and unreserved, resulting from all fiscal activity within a fund. The governmental financial reporting model for state and local governments issued by the Governmental Accounting standards Board (GASB) as Statement No. 34. Used to account for all financial resources except those required to be accounted for in another fund. The General Fund includes most operating functions of City government. A statement of broad direction, purpose, or intent based on the needs of the community. A goal is general and timeless; that is, it is not concerned with a specific achievement in a given time period. 104 GRANT HOMESTEAD AND AGRICULTURAL CREDIT AID (HACA) JOINT POWERS AGREEMENT LEVY LIMITS MUNICIPAL STATE AID PROGRAM (MSA) MUNICIPAL STATE AID STREETS (MSA) OBJECTIVE ORDINANCE SPECIAL ASSESSMENT TAX INCREMENT TAX LEVY TAXING JURISDICTION A contribution or gift of cash or other assets from another government to be used or expended for a specified purpose, activity or facility. State of Minnesota program that distributed revenue to cities as a result of state reductions in property taxes collected to keep property taxes at a reasonable level. A contract between two or more government jurisdictions to provide a common service. Statutory restriction on amount of property tax that may be levied. State of Minnesota program which provides for the distribution of highway user funds to qualifying cities over a population of 5,000. Funds are appropriated annually for construction and maintenance of MSA streets and roads. Designated by the City to be eligible for Municipal State Aid payments for construction and maintenance of collector streets and roads. Desired output which can be measured and achieved within a given time period. A municipal law. A cost paid by landowners for specific improvements to their property that adds at least as much value and benefit as the amount of the special assessment. The additional, or incremental, property taxes collected within a tax increment district. Increments are the difference between the taxes collected on the total value of the district and the taxes collected on the original value of the district. Increments include taxes levied by all taxing jurisdictions. The total amount of dollars assessed in taxes against property for the purpose of producing funds to meet financial obligations. A geographic area permitted to tax landowners within. 105 TRANSFERS Money moved from one fund to another with City Council authorization. TRUTH-IN- TAXATION State law that provides residents notice of proposed property tax changes through public hearings and newspaper publications. ZONING Regulation of land use by districts ensuring that certain land uses are compatible. 106