Loading...
080607 CC WS AgPCITY OF SHOREWOOD CITY COUNCIL WORK SESSION MONDAY, AUGUST 6, 2007 AGENDA 1. 2. 3. 4. 5. 6. CONVENE CITY COUNCIL WORK SESSION A. Roll Call B. Review Agenda Mayor Lizee Woodruff Turgeon Callies Wellens 2008 SLMPD BUDGET (Att. -City Administrator's memorandum) (Detailed budget to be provided by SLMPD Chiefj 2008 DRAFT BUDGET (Att. -Staff memorandum) CITY HALL DISCUSSION (Att. -Administrator's memorandum) OTHER ADJOURN 5755 COUNTRY CLUB ROAD COUNCIL CHAMBERS 6:00 P.M. CITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD •SHOREWOOD, MINNESOTA 55331-$927 • (952) 474-3236 FAX (952) 474-0128 • www.ci.shorewood.mn.us • cityhall@ci.shorewood.mn.us MEMORANDUM TO: City Council FROM: Craig W. Dawson, City Administrator DATE: August 2, 2007 SUBJECT: SLMPD Proposed 2008 Budget (Work Session Item) Chief Bryan Litsey will present the SLMPD proposed 2008 budget at the August 6 work session. The SLMPD Coordinating Committee has recommended approval of the proposed budget.. It has also forwarded an option for additional CSO (Community Service Officer) services, which the Department will be able to offer within its current administrative and supervisory capacity. • The 2008 budget projects $1,996,900 in operating expenses, an increase of $99,875 (or 5.3%) over the 2007 budget. • The four cities' payments to support the proposed 2008 services are projected to be $1,726,900, or $95,375 (or 5.8%) over the 2007 budget. • Shorewood's share of cost, which is 50%, would increase $47,688: from $815,762 in 2007 to $863,450 in 2008. • The lease on the building is essentially constant from year to year. It is apportioned among the cities on a tax capacity (or ad valor°em) basis, and each city's share of the total tax capacity can change slightly from year to year. The cities have agreed to pay their respective annual amounts until the lease financing for the SLMPD facility is retired. Lease payments for 2008 will total $441,000. • Shorewood's share for 2008 will be $244,003 (55.33%), compared to $249,509 (56.45%) in 2007. On the expenditure side, the major changes are in the personnel area: salary and overtime costs, PERA (which reflects increases mandated by th~o HealthPartnersdfhom Medica for 008) hIn the non- have been higher had the switch not been made personnel costs, the significant change is for fuel (a $4,000 increase shown under "supplies"). On the revenue side, the anticipated changes in non-city funds total +$4,500. There is a $50,000 reduction shown in "miscellaneous State Reimbursement ,which reflects only ahalf--year payment to the SLMPD to lend Investigator Talbot to the Minnesota Financial Crimes Task Force (MNFCTF) through the end of the State's fiscal year on June 30. ~nt nt~to retiretfrotm SLMPD when his ervicel be extended, and Investigator Talbot has indicated. his on the MNFCTF is concluded. s-~~ PRINTED ON RECYCLED PAPER SLMPD Proposed 2008 Budget August 6, 2007, City Council Worlc Session Page 2 Additional CSO Services: These services were proposed in 2007, and approved by all cities except Excelsior. CSOs can provide many services in a more cost-effective manner than having them performed by a sworn police officer. In 2007, the focus of discussion was on the animal control services that the CSOs would perform, rather than on the broad range of activities they would be able to do. The four cities contract for animal control services exclusively; what they are paying could go instead for the additional CSO services, which would include animal control, for essentially the same cost. If all four city councils approved the proposal for additional CSO services, it would be added to the basic services provided by SLMPD and apportioned by the fixed-percentage amounts for the cities. The additional CSO services as proposed would be $45,000 in 2008; Shorewood would be responsible for 50% of the cost, or $22,500. For comparison, Shorewood is paying $21,325 to Orono for animal control services in 2007, and would be paying $21,925 if the adjustment were 3% in 2008. The City is also paying an annual $1,200 retainer to an impound facility. If all four city councils do not come to an agreement on this proposal by September 1, work on it, or some revised version, could be continued through this fall and some conclusory action taken before they set their final budgets for 2008. However, the cost of the services for each city would need to be handled within the not-to-exceed tax levy set by September 15. Approval Process: The cities must act on the annual operating budget by September 1. Under the terms of the Fourth Amendment to the JPA approved in 2006, if all of the city councils do not agree to the annual operating budget (and their resulting individual contributions to the SLMPD), then there are automatic adjustments based on the current year's budget: a) The increase in the July Minneapolis/Saint Paul Consumer Price Index for All Urban Consumers (CPI-U) over the previous 12-month period; or b) The percentage increase in the most restrictive statutory levy limit applicable to the budget year placed on any of the cities over the levy limit for that city for the prior year; or c) In the even that (a) or (b) decreases, the operating budget shall remain the same. There is another important caveat: "The above formula applies only to operating expenses not governed by wage or benefit increases required by any union contracts. All cities must pay wage or benefits increases as required by union contracts• other expenses can have ceilings applied per the above formula." Consideration of the SLMPD Proposed 2008 Budget will be placed on the August 13, 2007, City Council agenda. If necessary, this item may be continued to the August 27, 2007, City Council meeting. 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 MEMORANDUM TO: City Council FROM: Craig W. Dawson, City Administrator ~- Bonnie Burton, Director of Finance DATE: August 2, 2007 ° SUBJECT: Overview of Draft of Proposed 2008 Budget The Council had preliminary discussion on the 2008 budget process on June 25, 2007. Councilmembers had differing comments on their expectations going into the process. Subsequently, staff has been developing a budget that is as responsible and "lean" as possible for 2008. Department directors' proposed budgets were forwarded to the Finance department for compilation. At this point, the budget is in draft form. Council has until September 15 to adopt the "proposed tax levy" for revenue in 2008; the last regularly-scheduled Council meeting prior to this deadline is September 10. The proposed tax levy is the not-to-exceed figure when the Council certifies the tax levy in December, and Council may, of course, certify a lesser amount. If necessary, additional work sessions tentatively have been scheduled for the remaining Monday evenings in August. Budgets for enterprise activities, which are entirely fee- or sales-supported, will be prepared for discussion in October. Action by the 2007 Legislature: Two items stand out from the 2007 session of the Legislature in terms of their effects on city revenue for 2008: Levy Limits: From 1972 through 2004, the Legislature imposed property tax levy limits on cities over 2,500 population in 27 of those 33 years. Now, for the fourth year running, the Legislature has not imposed local levy limits for the next calendar year. Since 2005, the City has been able to use this flexibility to address matters that were deferred. If past actions of the Legislature are any guide, if levy limits were to be reinstated, the base for the limited levy would be the current-year levy. Market Value Homestead Credit: The MVHC is levied by the local government, remitted to the State, and then returned from the State as a form of aid. In recent years, the State retained the MVHC in order to fix its own budget. In 2006, the MVHC cut was approximately $46,000. The Legislature and Governor approved full restoration of MVHC in 2008 and it must be included in the proposed tax levy. Or, another way of putting it, the Pay2008 levy will not be reduced by further MVHC cuts, should they occur during the 2008 legislative session. „ ~e ~' PRINTED ON RECYCLED PAPER ~".3 Overview of Draft of Proposed 2008 Budget August 6, 2007, City Council Work Session Page 2 Tax Base: Very preliminary information from Hennepin County on new figures for Shorewood's estimated market values indicates an increase of 16.6 percent for 2007Pay2008. We have not yet received information regarding the resulting change in tax capacity (i.e., taxable value). Overview: The general approach in preparing the proposed budget has been to make adjustments to capital transfers as has been discussed during review of the CIP, to continue addressing matters that have been deferred, and to consider changes that will enhance productivity and effectiveness. At this stage in the process, the proposed budget shows an increase of $185,054, or 3.71 percent, in expenditures and transfers to capital funds for 2008. (The expenditure increase by itself is 1.91 percent of the 3.71 percent.) The increase in the tax levy to support it would be $228,554, or 5.2 percent. The proposed budget includes the use of $100,000 from the balance in the General Fund to support one-time activities or acquisitions. The projected 2008 year-end undesignated fund balance would represent 56.1 percent of 2008 expenditures. This level is considered moderately high based on past opinions of the State Auditor's Office. By excluding transfers to capital funds, overall costs would increase $125,000 in this first draft of the proposed budget. If one excludes the proposed budgets for police and fire services ($1,734,438) but includes capital transfers ($770,000), the operating costs increase 3.48 percent. In the overall expenditure increase of 3.71 percent, Police and Fire account for 40%, or 1.50 percentage points, of the change. Other City activities account for the remaining 60%, or 2.21 percentage points. Truth-in-Taxation Exemption: The City is exempted from the truth-in-taxation process if its levy increase is no greater than the implicit price deflator (IPD) for the government sector published by the U.S. Department of Comb leve of $4 190,395, the approxrimate 4 3%~ hange0w0ould results n a 1.042853. Based on the 200 y , levy of $4,584,703 (or an increase of $188,395). The IPD for the 2007 tax levy was 1.061487. The City's 20071evy increase was $206,000, or $63,000 under the IPD. General Categories of Expenses: The types of expenditures that are significantly responsible for increases in the draft of the proposed budget follow. • Salaries and Insurance: The proposed budget anticipates the City's practice of making 2.0% economic adjustments on January 1 and July 1. Increases for public works maintenance employees are yet to be set in the labor agreement with AFSCME that will start in 2008. Total insurance premiums have been estimated to increase 12 to 15 percent. The City's payment of up to $680 per month of a regular full-time employee's insurance costs, which has remained the same since 2005, is proposed to be increased to be up to $730 per month, based on the formula in the AFSCME contract. This level could change when renewals are completed in the fall, and could be adjusted prior to final adoption of the budget and tax levy. Fuel Costs: Forecasts for fuel prices suggest that they will remain at least at current levels through the next year. The price for fuel, transportation costs for materials delivered, and petroleum-based products generally will increase related expenditures to maintain the status quo for these activities. Overview of Draft of Proposed 2008 Budget August 6, 2007, City Council Woric Session Page 3 • Transfers to Capital Funds: Transfers to these funds have been adjusted to reflect Council direction during consideration of the 2007-2011 Capital Improvement Program. For 2008, they are programmed at $770,000. • Cyclical Activities: Even-numbered years have two elections to conduct, and cause an additional spike in expenses. Review of Department/Division Budgets: The discussion below of changes in levels of expenditure not related to personnel-related costs, unless there is a significant change from general salary and benefit adjustments. Manor and Council: Minor adjustments based on organizational dues. In past budgets, the General Fund budget contingency was placed in Mayor and Council. No amount is included the proposed budget, and the monies in the balance of the General Fund would be used for contingency. Administration: This department remains unchanged in level of expense to support its activities. City Clerk: Much of this budget remains unchanged from 2007. Among the changes, reductions have been made in printing legal publications and document destruction expenses based on recent history. Slight increases are provided in supplies/materials for increased postage costs and in equipment maintenance for computer service agreements. Support services for Council packet delivery and recording secretary services have been increased slightly in anticipation of a more frequent number of Council work sessions. This budget continues 700 hours of funding part-time staff for scanning documents, with much emphasis on property files. This project should be completed by the end of 2008 at this level of effort. Elections: Primary and general elections will be conducted in 2008, and results in an increase of approximately $26,100 over the amount for off-year activity for Elections in the 2007 budget. Finance: This department remains unchanged except for a staffing reduction to remove the 0.5-time accountant position from the authorized staff. This authorized position has remained unfilled for approximately 18 months. Professional Services: The costs for assessing, audit, city attorney, and city prosecutor are shown in this department. The notable increase is for assessing services from Hennepin County, due in part to greater complexity with properties having structures that are newly constructed or remodeled. The prosecutor has also proposed an increase in his annual fee, which has been the same from 2004-2008, in part due to changes in the District Court's case management process that requires significantly more .time. Planning & Zoning: Non-personnel costs in this department remain unchanged, with the exception of the scheduled five-year replacement of the computer and software for the planning assistant work station. Overview of Draft of Proposed 2008 Budget August 6, 2007, City Council Work Session Page 4 Munic~al Building - Cit~Hall: This division includes costs for city hall and other municipal facilities as well as property and liability insurance coverage. The City's insurance package contemplates a 10 percent increase for 2008. Next year is the last of the City's annual payments for constructing the Southshore Center. Police: The SLMPD proposed budget results in a 5.8% increase in funds from the member cities. Shorewood's share of cost would increase $47,700. The City's obligation toward the lease payment on the new building declines approximately $5,500 for 2008. Costs for the SLMPD proposal for additional CSO services (which would include animal control) are not reflected. Fire: The EFD's proposed budget would result in a $25,000 (4.36%) increase for Shorewood. Shorewood's share of the budget continues to decline, most recently from 41.27% in 2007 to 40.61 in 2008. The Mound Fire Department's proposed budget would result in a $2,000 (8.6%) increase, based on the new formula put into effect in 2007. The City's cost in 2008 would be nearly identical for that in 2006. Protective Inspection: The budget for this department has been reduced approximately $10,000, due in most part to the one-time expense for permit tracking software in 2007. Mileage expenses have been increased somewhat due to changes in the IRS mileage rate. Animal Control: This budget anticipates a continuation of the 3.0% annual increases by Orono to provide these services. If the proposal for additional CSO services from SLMPD is approved by the member cities, this budget division would be discontinued. The costs for continuing animal control services from Orono and the additional CSO services from SLMPD are nearly identical. City En i~`neer: This budget includes the addition of software tools such as AutoCAD, HydroCAD, KYPIPE, and GPS as minimum-level tools to for such basic technical engineering tasks as drainage complaint analysis, water system modeling, building plan review, and as-built record drawing administration. These basic software tools, plus the scheduled replacement of a computer, are budgeted at $17,800. Several line items have been reduced at a total of $5,700, based on recent history expenditure trends. Public Works Maintenance Divisions: The staffing allocations among these various divisions of Public Works continue with minor adjustments based on historical averages for assignment of staff time. They may vary in actual time spent from division to division from year to year, but the total amount of time for the personnel positions across the divisions remains the same. Public Works Service: The major expense item in this division for the past few years has been the accumulation of $230,000 for the addition of a service bay to the Public Works Building. These amounts will be designated in the 2007 year-end fund balance. The CIP shows the remaining $170,000 needed to occur in 2008, and it is included with this proposed budget. Streets & Roadways: The transfer to the Local Street Reconstruction Fund has been increased by $100,000, with the amount to come from General Fund reserves. This additional transfer will be used for additional seal coating and street overlays. Anew expense item is shown: $8,500 for the proper disposal of materials in a landfill as directed by the Minnesota Pollution Control Agency. Overview of Draft of Proposed 2008 Budget August 6, 2007, City Council Work Session Page 5 Snow & Ice Removal: This budget assumes a "normal" level of winter activity. A notable increase in sand and salt supplies for 2007 is continued into 2008; it results from increased transportation costs for these materials. Traffic Controls/Street Li hg tiny: This division would continue at the same level of activity in 2008. Some savings from changing traffic signals to LED lighting is beginning to be seen. Sanitation/Waste Removal/Weeds: Activity in this division generally results from cleanup activities for weeds, and removal of trash and waste from private properties violating City zoning and sanitation regulations. Tree Maintenance: The level of contracted tree removal has been reduced from $15,000 in 2007 to $11,000 in 2008. Parks & Recreation: Two notable changes are reflected in the 2008 budget. First, the amount allocated for contracted park coordinator services has been reduced to be in line with historic levels of expense. Second, the costs for the most recent proposal regarding the Southshore Center, the Friends of the Southshore Center, the cities, and staffing/programming are included for budget planning purposes. Under the latest proposal, the City would pay $8,800, plus match 50% of the special fundraising effort by the Friends, which for Shorewood would be capped at $12,500. Revenue: The City's General Fund is heavily reliant on the property tax for revenues. Non-tax revenue is approximately 10.65 percent of the 2008 proposed budget, compared to 11.92 percent in 2007. The major change is a forecasted reduction of $40,000 in building permit revenue. Additionally, the use of fund balance is shown to remain at $100,000 (about 2 percent of Fund revenue) in 2008. The increase in the tax levy to support the budget as currently drafted would be 5.2 percent. Staff believes that the proposed 2008 budget provides a responsible plan to balance affordably the City's service delivery needs, infrastructure needs, and financial position. CI`I'~' ®F 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 MEMORANDUM TO: City Council FROM: Craig W. Dawson, City Administrator Bonnie Burton, Director of Finance DATE: August 2, 2007 SUBJECT: Draft of Policy regarding General Fund Balance The City needs to have a good balance in the General Fund in order to have sufficient funds for cash flow purposes, to accumulate savings for projects, and have reserves for unexpected shortfalls or emergencies. Several guidelines or opinions have been made about what proper levels of fund balances should be. The City's auditors have placed a minimum level of 40 to 50 percent of annual expenditures, primarily for cash flow needs; a higher level would be good also. A few years ago, the State Auditor gave some opinions about what levels are low (20-35%), acceptable (35-50%), moderately high (50- 65%), or high (65-100%). The latest position of the State Auditor, which is currently under revision, is that the undesignated General Fund balance should be between 35 and 50 percent of operating revenues or no less than five months of operating expenditures. Bond-rating agencies prefer to see very strong and healthy balances, as they indicate fiscal prudence and an ability to weather revenue volatility (including such things as tax levy limits). And they confer higher credit ratings, which result in lower interest costs. Shorewood has an Aa3 rating, which is very good for an entity of our size. The State Auditor notes that "cities that rely heavily on property taxes and state aid for the majority of their revenue will need relatively large balances to meet their cash flow needs from January 1 through June 1 of every calendar year." The City receives tax revenues in June and December, and property taxes account for 88 percent of the revenue to the General Fund in the 2007 budget. The. year-end fund balance is a snapshot taken just after the City has received the last half of its taxes. The City's undesignated balance in the General Fund has steadily increased over the past several years., from 57 percent of the next year's budget in 2002 to 66 percent of the next year's budget at the end of 2006. This is the result from a combination of careful spending within amounts authorized and unanticipated fee revenue. The current level has called into question what an appropriate upper end of the range might be established. ®s t.«O PRINTED ON RECYCLED PAPER Policy regarding General Fund Balance August 2, 2007 Page 2 One goal would be to maintain an undesignated balance in the General Fund of 55 to 60 percent of the next year's budget. This would maintain reserves at a healthy level to handle unexpected expenditures or emergencies, particularly if the practice is continued to use the balance rather than to budget for contingencies. The next part of the policy, then, would be to identify ways to move toward the 55 to 60 percent level. It is important to view surpluses (i.e., funds above the 55 to 60 percent level) as one-time revenues. Relying on surpluses to subsidize on-going operations develops dependence on a variable source of revenue. One-time revenues should be spent on one-time activities or projects. Transfers to such capital funds as the Local Street Reconstruction Fund or the Public Facilities Fund would also be a prudent use of funds in the balance. The funds in excess of 60 percent could be used immediately for capital projects or transfers, or could be reduced in a phased manner. In the latter approach, the fund balance could be monitored yearly to ensure that the 60 percent level would more likely be maintained. The undesignated balance in the General Fund should be in the range of 55 to 60 percent of the next year's budget. When the balance is greater than 60 percent, then the balance should be reduced to 60 percent by using those funds for specific projects, acquisitions, or transfers to capital funds. They may also be used to provide limited property tax relief; for example, to maintain the property tax rate. The amount of those funds in the undesignated balance should be reduced to 60 percent, but should not be more than three percentage points of the amount above 60 percent in any one year. The other parts of the policy would relate to what happens when the undesignated balance falls within or below the 55 to 60 percent level. If the undesignated balance in the General Fund falls between 55 to 60 percent of the next year's budget, then none of the funds should be used purposes other than cash flow and contingencies. If the undesignated balance in the General Fund falls below 55 percent, then the undesignated balance should be restored by budgeting no more than two percentage points annually until the 55 percent level is attained. Following Council discussion on the suggested policy as drafted above, staff will revise and refine it accordingly. CITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD •SHOREWOOD, MINNESOTA 55331-8927 • (952) 474-3236 FAX (952; 474-0?28 • www.ci.shorewood.mn.us • cityhall@ci.shorewood.mn.us MEMORANDUM TO: City Council FROM: Craig W. Dawson, City Administrator ~ `r Bonnie Burton, Director of Finance~~~' DATE: August 2, 2007 SUBJECT: Overview of Draft of Proposed 2008 Budget The Council had preliminary discussion on the 2008. budget process on June 25, 2007. Councilmembers had differing comments on their expectations going into the process. Subsequently, staff has been developing a budget that is as responsible and "lean" as possible for 2008. Department directors' proposed budgets were forwarded to the Finance department for compilation. At this point, the budget is in draft form. Council has until September 15 to adopt the "proposed tax levy" for revenue in 2008; the last regularly-scheduled Council meeting prior to this deadline is September 10. The proposed tax levy is the not-to-exceed figure when the Council certifies the tax levy in December, and Council may, of course, certify a lesser amount. If necessary, additional work sessions tentatively have been scheduled for the remaining Monday evenings in August. Budgets for enterprise activities, which are entirely fee- or sales-supported, will be prepared for discussion in October. Action by the 2007 Le;isIature: Two items stand out from the 2007 session of the Legislature in terms of their effects on city revenue for 2008: Levy Limits: From 1972 through 2004, the Legislature imposed property tax levy limits on cities over 2,500 population in 27 of those 33 years. Now, for the fourth year running, the Legislature has not imposed local levy limits for the next calendar year. Since 2005, the City has been able to use this flexibility to address matters that were deferred. If past actions of the Legislature are any guide, if levy limits were to be reinstated, the base for the limited levy would be the current-year levy. Market Value Homestead Credit: The MVHC is levied by the local government, remitted to the State, and then returned from the State as a form of aid. In recent years, the State retained the MVHC in order to fix its own budget. In 2006, the MVHC cut was approximately $46,000. The Legislature and Governor approved full restoration of MVHC in 2008 and it must be included in the proposed tax levy. Or, another way of putting it, the Pay2008 levy will not be reduced by further MVHC cuts, should they occur during the 2008 legislative session. ®~ ®~ PRINTED ON RECYCLED PAPER ~' , " Overview of Draft of Proposed 2008 Budget August 6, 2007, City Council Work Session Page 2 Tax Sase: Very preliminary information from Hennepin County on new figures for Shorewood's estimated market values indicates an increase of 16.6 percent for 2007Pay2008. We have not yet received information regarding the resulting change in tax capacity (i.e., taxable value). Overview: The general approach in preparing the proposed budget has been to make adjustments to capital transfers as has been discussed during review of the CIP, to continue addressing matters that have been deferred, and to consider changes that will enhance productivity and effectiveness. At this stage in the process, the proposed budget shows an increase of $185,054, or 3.? 1 percent, in expenditures and transfers to capital funds for 2008. (The expenditure increase by itself is 1.91 percent of the 3.71 percent.) The increase in the tax levy to support it would be $228,554, or 5.2 percent. The proposed budget includes the use of $100,000 from the balance in the General Fund to support one-time activities or acquisitions. The projected 2008 year-end undesignated fund balance would represent 56.1 percent of 2008 expenditures. This level is considered moderately high based on past opinions of the State Auditor's Office. By excluding transfers to capital funds, overall costs would increase $125,000 in this first draft of the proposed budget. If one excludes the proposed budgets for police and fire services ($1,734,438) but includes capital transfers ($770,000), the operating costs increase 3.48 percent. In the overall expenditure increase of 3.71 percent, Police and Fire account for 40%, or 1.50 percentage points, of the change. Other City activities account for the remaining 60%, or 2.21 percentage points. Truth-in-Taxation Exemption: The City is exempted from the truth-in-taxation process if its levy increase is no greater than the implicit price deflator (IPD) for the government sector published by the U.S. Department of Commerce. The IPD (i.e., inflationary change) for the 2008 tax levy is 1.042853. Based on the 20071evy of $4,190,395, the approximate 4.3% change would result in a levy of $4,584,703 (or an increase of $188,395). The IPD for the 2007 tax levy was 1.061487. The City's 20071evy increase was $206,000, or $63,000 under the IPD. General Categories of Expenses: The types of expenditures that are significantly responsible for increases in the draft of the proposed budget follow. Salaries and Insurance: The proposed budget anticipates the City's practice of making 2.0% economic adjustments on January 1 and July 1. Increases for public works maintenance employees are yet to be set in the labor agreement with AFSCME that will start in 2008. Total insurance premiums have been estimated to increase 12 to 15 percent. The City's payment of up to $680 per month of a regular full-time employee's insurance costs, which has remained the same since 2005, is proposed to be increased to be up to $730 per month, based on the formula in the AFSCME contract. This level could change when renewals are completed in the fall, and could be adjusted prior to final adoption of the budget and tax levy. ® Fuel Costs: Forecasts for fuel prices suggest that they will remain at least at current levels through the next year. The price for fuel, transportation costs for materials delivered, and petroleum-based products generally will increase related expenditures to maintain the status quo for these activities. Overview of Draft of Proposed 2008 Budget August 6, 2007, City Council Worlc Session Page 3 • Transfers to Capital Funds: Transfers to these funds have been adjusted to reflect Council direction during consideration of the 2007-2011 Capital Improvement Program. For 2008, they are programmed at $770,000. • Cyclical Activities: Even-numbered years have two elections to conduct, and cause an additional spike in expenses. Review of Department/Division Budgets: The discussion below of changes in levels of expenditure not related to personnel-related costs, unless there is a significant change from general salary and benefit adjustments. Mayor and Council: Minor adjustments based on organizational dues. In past budgets, the General Fund budget contingency was placed in Mayor and Council. No amount is included the proposed budget, and the monies in the balance of the General Fund would be used for contingency. Administration: This department remains unchanged in level of expense to support its activities. City Clerk: Much of this budget remains unchanged from 2007. Among the changes, reductions have been made in printing legal publications and document destruction expenses based on recent history. Slight increases are provided in supplies/materials for increased postage costs and in equipment maintenance for computer service agreements. Support services for Council packet delivery and recording secretary services have been increased slightly in anticipation of a more frequent number of Council work sessions. This budget continues 700 hours of funding part-time staff for scanning documents, with much emphasis on property files. This project should be completed by the end of 2008 at this level of effort. Elections: Primary and general elections will be conducted in 2008, and results in an increase of approximately $26,100 over the amount for off-year activity for Elections in the 2007 budget. Finance: This department remains unchanged except for a staffing reduction to remove the 0.5-time accountant position from the authorized staff. This authorized position has remained unfilled for approximately 18 months. Professional Services: The costs for assessing, audit, city attorney, and city prosecutor are shown in this department. The notable increase is for assessing services from Hennepin County, due in part to greater complexity with properties having structures that are newly constructed or remodeled. The prosecutor has also proposed an increase in his annual fee, which has been the same from 2004-2008, in part due to changes in the District Court's case management process that requires significantly more time. Planning & Zoning: Non-personnel costs in this department remain unchanged, with the exception of the scheduled five-year replacement of the computer and software for the planning assistant work station. Overview of Draft of Proposed 2008 Budget August 6, 2007, City Council Work Session Page 4 Munic~al Building -City Hali: This division includes costs for city hall and other municipal facilities as well as property and liability insurance coverage. The City's insurance package contemplates a 10 percent increase for 2008. Next year is the last of the City's annual payments for constructing the Southshore Center. Police: The SLMPD proposed budget results in a 5.8% increase in funds from the member cities. Shorewood's share of cost would increase $47,700. The City's obligation toward the lease payment on the new building declines approximately $5,500 for 2008. Costs for the SLMPD proposal for additional CSO services (which would include animal control} are not reflected. Fire: The EFD's proposed budget would result in a $25,000 (4.36%) increase for Shorewood. Shorewood's share of the budget continues to decline, most recently from 41.27% in 2007 to 40.61% in 2008. The Mound Fire Department's proposed budget would result in a $2,000 (8.6%) increase, based on the new formula put into effect in 2007. The City's cost in 2008 would be nearly identical for that in 2006. Protective Inspection: The budget for this department has been reduced approximately $10,000, due inmost part to the one-time expense for permit tracking software in 2007. Mileage expenses have been increased somewhat due to changes in the IRS mileage rate. Animal Control: This budget anticipates a continuation of the 3.0% annual increases by Orono to provide these services. If the proposal for additional CSO services from SLMPD is approved by the member cities, this budget division would be discontinued. The costs for continuing animal control services from Orono and the additional CSO services from SLMPD are nearly identical. City En i_g Weer: This budget includes the addition of software tools such as AutoCAD, HydroCAD, KYPIPE, and GPS as minimum-level tools to for such basic technical engineering tasks as drainage complaint analysis, water system modeling, building plan review, and as-built record drawing administration. These basic software tools, plus the scheduled replacement of a computer, are budgeted at $17,800. Several line items have been reduced at a total of $5,700, based on recent history expenditure trends. Public Works Maintenance Divisions: The staffing allocations among these various divisions of Public Works continue with minor adjustments based on historical averages for assignment of staff time. They may vary in actual time spent from division to division from year to year, but the total amount of time for the personnel positions across the divisions remains the same. Public Works Service: The major expense item in this division for the past few years has been the accumulation of $230,000 for the addition of a service bay to the Public Worlcs Building. These amounts will be designated in the 2007 year-end fund balance. The CIP shows the remaining $170,000 needed to occur in 2008, and it is included with this proposed budget. Streets & Roadways: The transfer to the Local Street Reconstruction Fund has been increased by $100,000, with the amount to come from General Fund reserves. This additional transfer will be used for additional seal coating and street overlays. Anew expense item is shown: $8,500 for the proper disposal of materials in a landfill as directed by the Minnesota Pollution Control Agency. Overview of Draft of Proposed 2008 Budget August 6, 2007, City Council Worlc Session Page 5 Snow & Ice Removal: This budget assumes a "normal" level of winter activity. A notable increase in sand and salt supplies for 2007 is continued into 2008; it results from increased transportation costs for these materials. Traffic Controls/Street Li hg ting: This division would continue at the same level of activity in 2008. Some savings from changing traffic signals to LED lighting is beginning to be seen. Sanitation/Waste Removal/Weeds: Activity in this division generally results from cleanup activities for weeds, and removal of trash and waste from private properties violating City zoning and sanitation regulations. Tree Maintenance: The level of contracted tree removal has been reduced from $15,000 in 2007 to $11,000 in 2008. Parks & Recreation: Two notable changes are reflected in the 2008 budget. First, the amount allocated for contracted park coordinator services has been reduced to be in line with historic levels of expense. Second, the costs for the most recent proposal regarding the Southshore Center, the Friends of the Southshore Center, the cities, and staffing/programming are included for budget planning purposes. Under the latest proposal, the City would pay $8,800, plus match 50% of the special fundraising effort by the Friends, which for Shorewood would be capped at $12,500. Revenue: The City's General Fund is heavily reliant on the property tax for revenues. Non-tax revenue is approximately 10.65 percent of the 2008 proposed budget, compared to 11.92 percent in 2007. The major change is a forecasted reduction of $40,000 in building permit revenue. Additionally, the use of fund balance is shown to remain at $100,000 (about 2 percent of Fund revenue) in 2008. The increase in the tax levy to support the budget as currently drafted would be 5.2 percent. Staff believes that the proposed 2008 budget provides a responsible plan to balance affordably the City's service delivery needs, infrastructure needs, and financial position. CITY OF SHOREWOQD 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 MEMORANDUM TO: City Council ~- FROM: Craig W. Dawson, City Administrator Bonnie Burton, Director of Finance ~~~ DATE: August 2, 2007 SUBJECT: Draft of Policy regarding General Fund Balance The City needs to have a good balance in the General Fund in order to have sufficient funds for cash flow purposes, to accumulate savings for projects, and have reserves for unexpected shortfalls or emergencies. Several guidelines or opinions have been made about what proper levels of fund balances should be. The City's auditors have placed a minimum level of 40 to 50 percent of annual expenditures, primarily for cash flow needs; a higher level would be good also. A few years ago, the State Auditor gave some opinions about what levels are low (20-35%), acceptable (35-50%), moderately high (50- 65%}, or high (65-100%). The latest position of the State Auditor, which is currently under revision, is that the undesignated General Fund balance should be between 35 and 50 percent of operating revenues or no less than five months of operating expenditures. Bond-rating agencies prefer to see very strong and healthy balances, as they indicate fiscal prudence and an ability to weather revenue volatility (including such things as tax levy limits). And they confer higher credit ratings, which result in lower interest costs. Shorewood has an Aa3 rating, which is very good for an entity of our size. The State Auditor notes that "cities that rely heavily on property taxes and state aid for the majority of their revenue will need relatively large balances to meet their cash flow needs from January 1 through June 1 of every calendar year." The City receives tax revenues in June and December, and property taxes account for 88 percent of the revenue to the General Fund in the 2007 budget. The year-end fund balance is a snapshot taken just after the City has received the last half of its taxes. The City's undesignated balance in the General Fund has steadily increased over the past several years, from 57 percent of the next year's budget in 2002 to 66 percent of the next year's budget at the end of 2006. This is the result from a combination of careful spending within amounts authorized and unanticipated fee revenue. The current level has called into question what an appropriate upper end of the range might be established. ®~ ®p0 PRINTED ON RECYCLED PAPER Policy regarding General Fund Balance August 2, 2007 Page 2 One goal would be to maintain an undesignated balance in the General Fund of 55 to 60 percent of the next year's budget. This would maintain reserves at a healthy level to handle unexpected expenditures or emergencies, particularly if the practice is continued to use the balance rather than to budget for contingencies. The next part of the policy, then, would be to identify ways to move toward the 55 to 60 percent level. It is important to view surpluses (i.e., funds above the 55 to 60 percent level) as one-time revenues. Relying on surpluses to subsidize on-going operations develops dependence on a variable source of revenue. One-time revenues should be spent on one-time activities or projects. Transfers to such capital funds as the Local Street Reconstruction Fund or the Public Facilities Fund would also be a prudent use of funds in the balance. The funds in excess of 60 percent could be used immediately for capital projects or transfers, or could be reduced in a phased manner. In the latter approach, the fund balance could be monitored yearly to ensure that the 60 percent level would more likely be maintained. The undesignated balance in the General Fund should be in the range of 55 to 60 percent of the next year's budget. When the balance is greater than 60 percent, then the balance should be reduced to 60 percent by using those funds for specific projects, acquisitions, or transfers to capital funds. They may also be used to provide limited property tax relief; for example, to maintain the property tax rate. The amount of those fiends in the undesignated balance should be reduced to 60 percent, but should not be more than three percentage points of the amount above 60 percent in any one year. The other parts of the policy would relate to what happens when the undesignated balance falls within or below the 55 to 60 percent level. If the undesignated balance in the General Fund falls between 55 to 60 percent of the next year's budget, then none of the funds should be used purposes other than cash flow and contingencies. If the undesignated balance in the General Fund falls below 55 percent, then the undesignated balance should be restored by budgeting no more than two percentage points annually until the 55 percent level is attained. Following Council discussion on the suggested policy as drafted above, staff will revise and refine it accordingly. CITY OF S~IORE~~TOOD 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 Celebrating 50 Years • 1956 - 2006 ~, CITY OF SHOREWOOD, MINNESOTA 2008 DRAFT A N N U A L GENERAL FUND OPERATING BUDGET BUDGET WORKSESSION 6 AUGUST 2007 opp PRINTED ON RECYCLED PAPER 1 Revenues and Other Sources Property Taxes Licenses and Permits Intergovernmental Fines and Forfeitures Charges for Service Miscellaneous Revenue Total Revenues Expenditures General Government Mayor and Council Administration General Government Elections Finance Professional Services Planning and Zoning Municipal Building Total General Government Public Safety Police Fire Protection Protective Inspection Animal Control Total Public Safety Public Works City Engineer Public Works Services Streets and Roadways Snow and Ice Removal Traffic ControVStreet Lights SanitationlWaste Removal Tree Maintenance Total Public Works Culture and Recreation Parks and Recreation Total Culture and Recreation Total Expenditures Total Revenues Over (Under) Expenditures CITY OF SHOR EWOOD GENERAL FUND REVENUE AND EXPENDITU RE SUMMARY 2008 PROPOSED BUDGET Actual Actual Budget YTD June Requested Proposed Adopted $$ 2005 2006 2pp7 2007 2008 2008 2006 Change Change 3,750,633 4,141,539 4,396,308 1,521,200 4,624,862 228,554 5.20% 334,720 382,408 256,650 135,080 216,150 (40,500) -15.78% 64,480 4,925 65,000 0 65,000 0 0.00% 90,149 79,040 80,000 43,912 80,000 0 0.00% 50,750 45,450 43,000 65,074 40,000 (3,000) -6.98% 204,636 195,090 150,000 75,027 150,000 0 0.00% 4,495,368 4,848,452 4,990,958 1,840,293 5,176,012 0 0 185,054 3.71% 59,706 60,960 72,893 29,676 70,093 (2,800) -3.84 132,686 125,505 159,389 75,328 166,655 7,266 4.56% 222,437 195,099 239,574 112,119 236,267 (3,307) -1.38% 407 30,018 11,630 2,479 37,714 26,084 224.28% 167,597 159,336 214,412 75,072 197,972 (16,440) -7.67% 162,271 164,864 187,600 122,093 210,000 22,400 11.94% 166,103 194,305 192,320 84,011 211,811 19,491 10.13% 507,659 `~ 207,400 225,744 73,368 221,314 (4,430) -1.96% 1,418,867 1,137,465 1,303,562 574,146 1,351,826 0 0 48,264 3.70% 987,130 1,036,609 1,069,063 732,382 1,111,503 42,440 3.97° 492,774 563,850 595,947 446,960 622,935 26,988 4.53%° 110,126 139,580 132,510 60,815 128,211 (4,299) -3.24° 24,673 21,845 24,330 10,999 25,060 730 3.00% 1,614,703 1,761,884 1,821,850 1,251,156 1,887,709 0 0 65,859 3.61% 152,899 195,435 176,568 67,812 197,524 20,956 11.87% 300,431 363,218 554,915 196,807 548,127 (6,788) -1.22% 161,189 164,708 196,258 48,045 186,073 (10,185) -5.19% 45,339 27,330 81,235 46,448 87,409 6,174 7.60% 36,119 41,701 43,700 16,483 43,800 100 0.23% 4,088 6,003 6,757 2,752 5,641 (1,116) -16.52% 23,258 30,556 33,733 12,977 23,864 (9,869) -29.26° 723,323 828,952 1,093,166 391,324 1,092,438 0 0 (728) -0.07% 177,508 169,411 242,380 93,775 214,039 (28,341) -11.69°0 177,508 169,411 242,380 93,775 214,039 0 0 (28,341) -11.69°'0 3,934,400 3,897,732 4,460,958 2,310,401 4,546,012 0 0 85,054 1.91°6 560,968 950,720 530,000 (470,108) 630,000 0 0 2 CITY OF SHOREWOOD GENERAL FUND REVENUE AND EXPENDITURE SUMMARY 2008 PROPOSED BUDGET Actual Actual Budget YTD June Requested Proposed Adopted $~ 2005 2006 2007 2007 2008 2008 2008 Change Change Fund Transfers In Liquor Fund Street Reconstr Fund Trail Fund Sewer Fund Wafer Fund Total Transfers In Fund Transfers Out Equip Replacemi Fund (PW) Street Reconstr Fund Park Capital Imp Fund Trail Capital Imprvment Fnd Public Facilities Fund Land & Open Space Fund Sewer Fund Stormwater Mgmt Fund Total Fund Transfers Out Excess (Deficiency) of Revenues and Other Financing Sources Over Expenditures and Other Uses Amounts to be Provided from General Fund Balance General Fund Balance January 1 General Fund Balance December 31 50,000 50,000 40,000 0 40,000 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 50,000 50,000 40,000 0 40,000 0 0 0 0.00°a 116,000 175,000 175,000 0 175,000 0 311,000 345,000 345,000 0 445,000 100,000 10,000 10,000 10,000 0 15,000 5,000 0 0 0 0 0 0 50,000 50,000 50,000 0 50,000 0 5,000 5,000 5,000 0 0 (5,000) 60,000 60,000 0 60,000 0 7,000 25,000 25,000 0 25,000 0 559,000 610,000 670,000 0 770,000 0 0 100,000 14.93% 51,968 390,720 (100,000) (470,108) (100,000) 0 0 0 (390,720) 100,000 470,108 100,000. 0 0 2,941,223 2,993,181 3,383,901 3,383,901 3,283,901 3,283,901 3,283,901 2,993,181 3,383,901 3,283,901 2,913,793 3,183,901 3,283,901 3,283,901 3 CITY OF SHOREWOOD GENERAL FUND SUMMARY OF ESTIMATED REVENUES 2008 PROPOSED BUDGET TAXES: Taxes -The City levies property taxes to finance the general operating fund which provides municipal governmental service: 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. LICENSE/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. Buildino 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 (HACAI- 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 employee'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 public for which a charge is collected such as assessment searches, map sale, planning fees. 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. MISC. 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 - For 2007, transfers from liquor funds. FUND BALANCE - Fund Balance allocated for 2008 budget purposes. CITY OF SHOREWOOD GENERAL FUND SUMMARY OF ESTIMATED REVENUES 2008 PROPOSED BUDGET REVENUES Actual 2005 Actual 2006 Budget 2007 YTD June 2007 Proposed 2008 Adopted 2008 $ Change Change Taxes General Property 3,140,295 4,023,948 3,835,173 1,521,200 4,069,784 234,611 6.12% Fiscal Disparities 113,546 117,591 0 0 0 0 0.00% Special Levy 496,792 561,135 0 555,078 (6,057) -1.08% Total Taxes 3,750,633 4,141,539 4,396,308 1,521,200 4,624,862 0 228,554 5.20% License/Permits Rental Housing 720 120 500 60 500 0 0.00% Tobacco 1,500 1,000 1,500 0 1,500 0 0.00% Alcoholic Beverages 8,200 8,200 8,200 8,200 8,200 0 0.00% Others-Business 2,515 0 2,000 0 1,000 (1,000) -50.00% Building Permits 317,390 365,510 240,000 123,800 200,000 (40,000) -16.67% Tree Trimming Licenses 450 510 450 120 450 0 0.00% Dog Licenses 3,844 4,104 3,500 1,961 3,500 0 0.00% Others-Misc. 100 2,964 500 939 1,000 500 100.00% Total License/Permits 334,720 382,408 256,650 135,080 216,150 0 (40,500) -15.78% Inter-governmental Revenues State Aids Mkt Value Credit Aid 34 174 0 0 0 0 0.00% PERA Aid 4,751 4,751 5,000 0 5,000 0 0.00% MSA Road Aid 59,695 0 60,000 0 60,000 0 0.00% Total State Aids 64,480 4,925 65,000 0 65,000 0 0 Totallnter-governmental 64,480 4,925 65,000 0 65,000 0 0 0.00% Charges For Service General Government 16,262 14,320 8,000 36,819 5,000 (3,000) -37.50% Engineering 0 5,000 0 5,000 0 0.00% Recreation 34,490 31,130 30,000 26,255 30,000 0 0.00% Total Charges For Service 50,752 45,450 43,000 65,074 40,000 0 (3,000) -6.98% Fines & Forfeits 90,149 79,040 80,000 43,912 80,000 0 0.00% Misc. Revenues 204,636 195,090 150,000 75,027 150,000 0 0.00% Total Revenues Before Tsfrs 4,495,369 4,848,452 4,990,958 1,840,293 5,176,012 0 185,054 3.82% Transfers From General Fnd Rsvs 0 0 100,000 0 100,000 0 0.00% From Other Funds 0 0 0 0 0 0 0.00% From Liquor Stores 50,000 50,000 40,000 0 40,000 0 0.00% Total Transfers 50,000 50,000 140,000 0 140,000 0 0 0.00°0 Total Revenues & Transfers 4,545,369 4,898,452 5,130,958 1,840,293 5,316,012 0 185,054 3.61% Other Funding Sources 0 0 0 0 0 0 0 0.00% Total Revenues $4,545,369 $4,898,452 $5,130,958 $1,840,293 $5,316,012 $0 185,054 3.61% 5 CITY OF SHOREWOOD GENERAL FUND SUMMARY OF EXPENDITURES i~ TRANSFERS OUT 2008 PROPOSED BUDGET Actual Actual Budget YTD June Requested Proposed Adopted 2005 2006 2007 2007 2008 2008 2008 Expenditures General Government Mayor and Council Administration General Government Elections Finance Professional Services Planning and Zoning Municipal Building -Capital Tsfr: Pub FaciVOffc. Equip. Total General Government Public Safely Police Fire Protection Protective Inspection Animal Control Total Public Safety Public Works City Engineer Public Works Services -Capital Tsfr: Equip(Strmwtr Streets and Roadways -Capital Tsfr: Street Imprvs. Snow and Ice Removal Traffic Cntrl/Street Lights SanitationlWaste Removal Tree Maintenance Total Public Works Culture and Recreation Parks and Recreation -Cap Tsfr: Pk ImprvlLand Open Total Culture and Recreation Total Expenditures $$ ange Change 59,706 60,960 72,893 29,676 70,093 (2,800) -3.84% 132,686 125,505 159,389 75,328 166,655 7,266 4.56% 2L2,437 195,099 239,574 112,119 236,267 (3,307) -1.38% 407 30,018 11,630 2,479 37,714 26,084 224.28% 167,597 159,336 214,412 75,072 197,972 (16,440) -7.67% 162,271 164,864 187,600 122,093 210,000 22,400 i 1.94% 166,103 194,305 192,320 84,011 211,811 19,491 10.13% 507,659 207,400 225,744 73,368 221,314 (4,430) -1.96% 110,000 50,000 110,000 0 110,000 0 0.00% 1,528,866 1,187,487 1,413,562 574,146 1,461,826 0 0 48,264 3.41% 987,130 1,036,609 1,069,063 732,382 1,111,503 42,440 3.97% 492,774 563,850 595,947 446,960 622,935 26,988 4.53% 110,126 139,580 132,510 60,815 128,211 (4,299) -3.24% 24,673 21,845 24,330 t0,999 25,060 730 3.00% 1,614,703 1,761,884 1,821,850 1,251,156 1,887,709 0 0 65,859 3.61% 152,899 195,435 176,568 67,812 197,524 20,956 11.87% 300,431 363,218 554,915 196,807 548,127 (6,788) -1.22% 123,000 200,000 200,000 0 200,000 0 0.00% 161,189 164,708 196,258 48,045 186,073 (10,185) -5.19% 311,000 345,000 345,000 0 445,000 100,000 28.99% 45,339 27,330 81,235 46,448 87,409 6,174 7.60% 36,119 41,701 43,700 16,483 43,800 100 0.23% 4,088 6,003 6,757 2,752 5,641 (1,116) -16.52% 23,258 30,556 33,733 12,977 23,864 (9,869} -29.26% 1,157,323 1,373,951 1,638,166 391,324 1,737,438 0 0 99,272 6.06% 177,508 169,411 242,380 93,775 214,039 (28,341) -11.69% 15,000 15,000 15,000 0 15,000 0 0.00% 192,508 184,411 257,380 93,775 229,039 4,493,400 4,507,733 5,130.958 2,310,401 5,316,012 0 0 (28,341) -11.01°'° 0 0 185,054 3..61% 7 FUND: 101 General DEPARTMENT MISSION The Mayor and City Council set policy for the City DEPARTMENT: Mayor and Council and provide general direction to the Administrator in policy implementation. The department budget DEPT NO: 41110 supports council development, information efforts and special City associations and programs. 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). BJECTIV~SLESTIMATED SERVI - 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 5 - No. of Council Mtgs./EDA 24 - No. of Workshops/Special 24 - Agenda Items 400 - Ordinances & Resolutions Adopted 120 T 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: 8 FUND: 101 DEPARTMENT: Mayor and Council DEPT 41110 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 16,794 16,794 16,793 8,397 16,793 0 0 Supplies/Materials 1,411 1,127 1,000 599 1,200 0 0 Support Services 41,407 43,039 55,100 20,680 52,100 0 0 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 29 676 70 093 0 0 NAFFING: Part time: Mayor Councilmembers 1.00 1.00 1.00 1.00 4.00 4.00 4.00 4.00 1.00 1.00 1.00 4.00 4.00 4.00 9 FUND: 101 General DEPARTMENT MISSION To implement policy established by the City Council; offer DEPARTMENT: Administration staff support to the City Council in its policy making role; and manage day-to-day operations of the City in a manner DEPT NO: 41300 consistent with established City values to effectively and efficiently meet set goals & objectives. pF~SC:RIPTION OF ACTIVITY: The City Administrator directs City departmental operations to ensure compliance with policies established by the City Council and with state and federal caws. 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 Session 36 -Council Agenda Items 400 - Public Safety Board Meetirn 22 -Public Safety Staff Meeting: 24 -Staff Meetings 52 H-rHl IrHTS/COMMENTS Staffing: Supplies/Materials: Miscellaneous books & supplies Support Services: Conference, mileage, meetings & seminars Memberships to ICMA, MCMA, MAMA 10 FUND: 101 DEPARTMENT: Administration DEPT 41300 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 120,964 120,341 148,689 68,892 158,005 0 0 Supplies/Materials 262 148 400 3,371 400 0 0 Support Services 9,808 5,015 10,300 3,065 8,250 0 0 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 75 328 166 655 0 0 STAFFING: Full Time: Admistrator/Clk 1.00 1.00 1.00 Exec Sec/Dep Clk .33 .33 .33 1.00 1.00. 1.00 1.00 .33 .33 .33 .33 11 FUND: 101 General DEPARTMENT MISSION- Provide staff support for the City Council including DEPARTMENT: General Government/City Clerk preparation of agendas and meeting packets. Responsible for City Clerk functions including DEPT NO: 41400 records retention, notices and licenses. IMF. RIPTION OF ACTIVITY: This department provides far 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. 9BJECTIVES /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 2006 Actual 2007 Est. 2008 Est. - No. of Ordinances 14 10 10 - No. of Resolutions 106 92 100 - Newsletters Published 12 12 12 -Dog licenses issued 357 362 360 - Other licenses issued 60 60 60 - Council/WS/EDA/Spec Agende 54 55 55 HI(~HI IC~HTS/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: Generai 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 12 FUND: 101 DEPARTMENT: General Government/City Clerk DEPT 41400 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 139,868 136,706 168,444 89,409 168,457 0 0 Supplies/Materials 20,330 19,965 29,300 9,057 29,910 0 0 Support Services 16,394 29,454 39,880 13,653 35,835 0 0 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 45,845 8,974 1,950 0 300 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 222 437 195 099 239 574 112 119 234,502 0 0 STAFFING: Full time: Exec Sec/Dep Clk Parks Secretary Secretary/Receptionist Accounting Clerk I Part time: Communications Tech. Website Maint. Temporary Receptionist .67 .60 .60 .60 0.47 .70 .70 .70 .70 .667 0.25 0.50 0.50 0.50 0.50 0.25 - - - - 0.66 0.57 0.57 0.57 0.57 0.20 0.20 0.20 0.20 0.20 13 FUND: 101 General DEPARTMENT: Elections DEPARTMENT MISSION Responsible for Election functions. 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. QB IEC'TIVES (ESTIMATED SERVICE INDICATOR - 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 2004* 2006 2008 - No. of Elections held (in election years) 2 2 2 - No. of Absentee Ballot Requests 706 442 725 - No. of Elections held (in election years) 569 381 575 - Total Number of Voters 5,315 4,830 5,400 "Presidential Election 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 14 FUND: 101 DEPARTMENT: Elections DEPT 41410 BUDGET Actua! Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 0 24,348 8,780 323 31,189 0 0 Supplies/Materials 249 1,688 2,700 2,141 3,025 0 0 Support Services 158 2,051 150 16 2,200 0 0 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 0 1,931 0 0 1,300 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 407 30 018 11 630 2 479 37 714 0 0 STAFFING: Full time: Exec Sec/Dep Clk - 0.10 0.10 0.10 0.20 Part time: Election Judges 0 35 0 0 75 15 FUND: 101 General DEPARTMENT MISSION- To administer financial policies of the City; perform DEPARTMENT: Finance accounting functions fora-I fund types; invest available funds in accordance with State Statutes; DEPT NO: 41500 oversee City insurance policies; and provide for timely reporting of financial matters to City Council staff and the public. 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. OB IECTIVES /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 2,600 - Utility Bills Sent 12,000 - No. of Payroll Checks Issued 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: 16 FUND: 101 DEPARTMENT: Finance DEPT 41500 BUDGET Actual Budget Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 153,459 144,311 189,212 68,180 176,272 0 0 Supplies/Materials 5,056 5,018 7,500 4,424 7,500 0 0 Support Services 8,496 9,368 13,200 1,829 12,700 0 0 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 586 639 4,500 639 1,500 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 167 597 159 336 214 412 75,072 197,972 0 0 Finance Dir 1.00 1.00 1.00 1.00 1.00 Sr Acctg Clerk .75 .85 .85 .85 .85 Acctg. Clerk .5 .5 .5 .5 .0 17 FUND: 101 General DEPARTMENT MISSION: Provide contracted professional services DEPARTMENT: 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. t_egal 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. (~R IFC'TIVES /ESTIMATED SERVICE INDICATORS - Contain costs on contracted professional services - No. of taxable parcels 2007 - 3,036 - No. of litigations 2007 - 5 HI ~H IGHTS/COMMENTS: Supplies/Materials: Support Services: Includes general legal fees and prosecutions, mediation services, assessing contract, annual audit services. Charges and Fees: 18 FUND: 101 DEPARTMENT: Professional Services DEPT 41600 BUDGET Actual Budget Adopted YTD June 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 162,271 164,867 187,600 122,093 210,000 0 0 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 162 271 164 867 187 600 122 093 210 000 0 0 19 FUND: 101 General DEPARTMENT MISSION: Guide and control the physical development of DEPARTMENT: Planning & Zoning the community. Coordinate and implement long range city-wide and area planning activities. 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. 24 - No. of zoning complaints 30 - No. of scheduled office a~ 220 - Planning Comm. Meeting: 12 -Planning Comm. Work Se 12 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 APA Journal & Zoning News Charges & Fees: Capital Outlay: 20 FUND: 101 DEPARTMENT: Planning & Zoning DEPT 41910 BUDGET Actual Budget Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 154,669 180,556 175,405 79,290 196,251 0 0 Supplies/Materials 707 789 1,225 592 210 0 0 Support Services 7,914 10,125 15,540 4,129 12,900 0 0 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 2,813 2,834 150 0 2,450 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 166 103 194 305 192 320 84 011 211 811 0 0 STAFFING: Full time: Planning Dir Planning Asst. Part Time: Clerical .95 .95 .95 .95 .95 1.00 1.00 1.00 1.00 1.00 21 FUND: 101 General DEPARTMENT: Municipal Bldg -City Hall DEPT NO: 41940 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 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 Gity business. General Liability, Property and Casualty insurance coverages are also provided under this department. OB IECTIVES /ESTIMATED SERVICE INDIGATOR~ -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." HI ~H IGHTS/COMMENTS: Supplies/Materials: Maintenance /lease contracts for copiers, telephones and office equipment Maintenance to city hall building City Hall maintenance, cleaning, and paper supplies Support Services: City Hall janitorial, rug services, & pest control Utilities and phone service for City Hall Insurance coverage for all city depts except enterprise funds Rental of postage meter Charges & Fees: Capital Outlay: Senior Community Center Debt Service Payment ($37,544 - 2008 is final year) Debt Service on Internal Loan to Sewer Fund for purchase of 5795 Country Club Rd. Transfers: Public Faciiities Fund -Office Equipment 22 FUND: 101 DEPARTMENT: Municipal Building - City Hali DEPT 41940 BUDGET Actual Actual Adopted YTD June 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 20,948 33,770 0 0 Support Services 139,915 130,974 141,700 10,732 149,000 0 0 Charges & Fees 0 0 0 0 0 0 0 Capita! Outlay 351,272 54,036 54,544 41,959 38,544 0 0 Transfers 110 000 50 000 110 000 0 110,000 0 0 TOTAL 617 659 257 400 335 744 73 639 331 314 0 0 STAFFING: 23 FUND: 101 General DEPARTMENT: Police DEPT NO: 42100 DESCRIPTION OF ACTIVITY DEPARTMENT MISSION: To provide a modern, flexible, full-service criminal justice agency which is responsive to community i 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 prevention and detection of crime, and the enforcement of all local, state and federal laws in acost-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 6,600 - Part I (serious) & Part II (other) 1,250 - Citations issued 4,600 - Police vehicles 9 - Shorewood ICR's 2,300 Supplies/Materials: Support Services: Police services contract for 2008 Prisoner expense, court officer expense, & booking fees Annual Police Reserve Dinner 24 FUND: 101 DEPARTMENT: Police DEPT 42100 BUDGET Actual Actual Adopted YTD June 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 727,726 781,829 819,563 545,134 867,500 0 0 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 259,404 254,596 249,500 187,131 244,003 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 987, i 30 1,036,609 1,069,063 732,265 1,111,503 0 0 STAFFING: Chief Deputy Chief Sergeant Investigator Patrol Officer Office Administrator Office Speciaiist (part time) ~~ Community Service Officer * 1 Juvenile Specialist 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 1.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00 2.00 2.00 2.00 2.00 3.00 3.00 3.00 7.00 7.00 7.00 7.00 7.00 7.00 7.00 1.00 1.20 1.20 1.20 1.20 1.20 1.20 2.00 1.00 1.00 2.00 2.00 2.00 2.00 1.00 1.00 1.00 1.00 1.00 1.00 25 FUND: 101 General DEPARTMENT MISSION Provide the highest possible quality of fire DEPARTMENT: Fire Protection suppression, prevention and eduction services, and First Responder emergency medical services. DEPT NO: 42200 VI 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. nB IFC'TIVES /ESTIMATED SERVICE INDICATORS - EFD Fire & Rescue Calls 2006 - 297 - Mound Fire & Rescue Calls 2006 - 14 HIGHLIGHTS/COMMENTS: Support Services: Fire contracts with Mound and Excelsior Fire District 26 FUND: 101 DEPARTMENT: Fire Protection DEPT 42200 BUDGET Actual Actual Adopted YTD June 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 263,107 314,647 284,312 218,526 311,860 0 0 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 229,667 249,203 311,635 228,434 311,075 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 492 774 563 850 595 947 446 960 622,935 0 0 EFD STAFFING: Chief (F/T) 1.00 1.00 1.00 1.00 1.00 Asst. Chief 1.00 1.00 1.00 1.00 1.00 Dist. Chief 2.00 2.00 2.00 3.00 3.00 Captain 3.00 3.00 3.00 4.00 4.00 Coordinators 0.00 0.00 0.00 8.00 8.00 Fire Marshal (F/T) 0.50 0.00 0.00 0.00 0.00 Fire Inspector (P/T) 0.75 1.25 1.25 1.25 1.25 Training Officer 1.00 1.00 1.00 0.00 0.00 Firefighters 41.00 41.00 41.00 34.00 34.00 Admin Support (P/T) .25 .25 .25 .25 .5 27 FUND: 101 General DEPARTMENT: Protective Inspection DEPT NO: 42400 DESCRIPTION OF ACTIVITY: DEPARTMENT MISSION: Enforce construction safety and related building codes through plan review and inspections. This department provides for the issuance building and construction permits, review of construction plans and specificatior enforcement of all building codes under the Uniform Building Code, inspection of rental housing units and zoning violation: OBJECTIVES /ESTIMATED SERVICE INDICATORS - Increase and enhance public information through the development of handouts relative to building codes - Enhance environmental inspections - No. of permits issued New Homes 15 - 17 Additions/Other 600 - Avg inspections/permit New Homes 9 - 12 Additions/Other 2 - 9 Staffing: Supplies/Materials: Maintenance contracts on computer and office equipment Miscellaneous supplies Support Services: Contractual inspections during vacations, sick leave Conferences, mileage, meetings & seminars Printing of application forms Membership to ICBO Charges & Fees: Remittances to state of permit surcharges collected Capital Outlay: Permit Tracking Software 28 FUND: 101 DEPARTMENT: Protective Inspection DEPT 42400 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 101,925 124,767 110,740 57,277 116,711 0 0 Supplies/Materials 162 38 550 176 400 0 0 Support Services 7,028 14,689 11,220 3,362 11,100 0 0 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 60 815 128 211 0 0 STAFFING• Full time: Building Official 1.00 1.00 1.00 1.00 1.00 Planning Dir .05 .05 .05 .05 .05 Planning Asst .30 .20 .20 .20 .20 Secretary/Recept .10 .15 .10 .10 .10 29 FUND: 101 General DEPARTMENT MISSION Enforce animal control ordinances. DEPARTMENT: Animal Control DEPT NO: 42700 DESCRIPTION OF ACTIVITY: The department provides for contractual animal control, which includes 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 HI HEIGHTS/COMMENTS: Staffing: Supplies/Materials: Support Services: Animal control contracts with City of Orono and Auntie Ruth's. Charges & Fees: Capital Outlay: 30 FUND: 101 DEPARTMENT: Animal Control DEPT 42700 BUDGET Actual Actual Adopted YTD June 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 10,999 25,060 0 0 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 10 999 25 060 0 0 STAFFING: Full time: 31 FUND: 101 General DEPARTMENT: City Engineer DEPT NO: 43010 DEPARTMENT MISSION• Provide engineering and construction management services for the City. DESRIPTION OF ACTIVITY: This department is responsible for general engineering services in the City, as well as preparation of feasibility studies, plans and specifications, and on-site inspection of City projects. The City Engineer also reviews all development proposals and plans. OB IECTIVES /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-house 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 I 600 Staffing: 1.00 City Engineer .50 F/T Engineer Technician .05 Dir of Pub Wks .25 F/T 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: CPS; Software (AutoCAD, KYPIPE, HydroCAD, ArcView); Computer (Engineering Tech) 32 FUND: 101 DEPARTMENT: City Engineer DEPT 43010 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted {TEM 2005 2006 2007 2007 2008 2008 2008 Staffing 111,604 111,465 148,868 59,401 162,214 0 0 Supplies/Materials 906 579 1,950 664 875 0 0 Support Services 39,886 83,389 22,150 5,222 16,435 0 0 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 503 0 3,600 2,526 18,000 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 152 899 195 433 176 568 67,812 197,524 0 0 GAFFING: Full time: City Engineer Eng Technician Clerical Dir of Pub Wks Part time: Clerical 0.65 1.00 1.00 1.00 0.25 0.50 0.50 0.50 0.25 0.25 0.25 0.25 -- -- -- 0.05 33 FUND: 101 General DEPARTMENT: Public Works Service DEPT NO: 43050 DEPARTMENT MISSION: Provide supervision and support for all public works functions; provides for public works utilities, shop and equipment maintenance and fuels 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. OB IE TIVES~ - 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 HIGHLIGHTS/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: Public Works Building Addition - 1/2 cost $170,000 (2007); and 1/2 cost $170,000 (2008) Replacement Radios; computers, tire machine Transfers: Transfer to Equipment Replacement Fund ($175,000 - 2007) Transfer to Stormwater Management Fund ($25,000 - 2007) 34 FUND: 101 DEPARTMENT: Public Works Service DEPT 43050 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 219,118 266,420 261,640 147,142 261,837 0 0 Supplies/Materials 51,558 53,501 61,750 26,757 65,050 0 0 Support Services 29,406 35,829 44,175 22,270 43,640 0 0 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 350 7,468 187,350 639 177,600 0 0 Transfers 123 000 200 000 200 000 0 200,000 0 0 TOTAL 423 431 563 218 754 915 196 807 748 127 0 0 STAFFIN Full time: Pub Wks Dir Lt Equip Oper Clerical Utility Maint. Operators Utility Lead 0.10 0.75 0.75 0.75 0.75 2.50 1.75 1.50 1.50 1.50 0.05 0.05 .05 .05 .05 .00 .67 .67 .67 .67 .25 .25 .25 .25 35 FUND: 101 General DEPARTMENT MISSION• DEPARTMENT: Streets & Roadways To maintain and upgrade City streets, parking area: and storm water control systems in an efficient and DEPT NO: 43100 economical manner 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 3 County 2 City - MSA 9 City -Local 50 -Miles Sealcoated 5 - Tons of patch material 1,400 HIGHLIGHTS/COMMENTS' Staffing: .05 Dir of Public Wks 1.5 LEO 0.25 Util. Lead Supplies/Materials: Rock, gravel & bituminous for street & road repair Support Services: Safety training Contracted road striping Transfers: Transfer to Local Street Reconstruction Fund $345,000 36 FUND: 101 DEPARTMENT: Streets & Roadways DEPT 43100 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 87,338 87,376 109,108 36,591 122,073 0 0 SupplieslMaterials 59,856 65,953 63,650 9,910 62,000 0 0 Support Services 13,995 11,379 23,500 1,544 32,000 0 0 Charges & Fees 0 0 0 0 0 0 0 Capital Outlay 0 0 0 0 0 0 0 Transfers 311 000 345 000 345 000 0 445,000 0 0 TOTAL 472 189 509 708 541 258 48,045 661,073 0 0 STAFFING: Full time: Dir. Of Public Wks Lt Equip Operators Util. Maint. Operators 2.20 2.00 2.00 2.00 0.33 0.33 0.33 .05 1.50 0.25 37 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 DEPT NO: 43125 efficient movement of traffic 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 asap/sand mixture is used as a measure of ice control, and is performed as needed. nB 1FC'TIVES /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 50 -Tons of salt used 250 - Tons of sand used 1,200 - Manhours spent 1,000 - No. of cul-de-sacs plowed 94 HIGHLIGHTS/COMMENTS: Staffing: .5 LEO Supplies/Materials: Sand and salt for ice control 38 FUND: 101 DEPARTMENT: Snow & Ice Removal DEPT 43125 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 24,475 14,468 34,435 20,916 38,784 0 0 Supplies/Materials 20,864 12,862 44,500 25,532 46,725 0 0 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 0 0 Transfers 0 0 0 0 0 0 0 TOTAL 45 339 27 330 81 235 46 448 87 409 0 0 STAFFING: Full time: Lt Equip Oper (LEO) .50 .50 .50 .50 .50 .50 .50 39 FUND: 101 General DEPARTMENT: Traffic Control/St Lights DEPT NO: 43160 nF~cR1PTION OF ACTIVITY: 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 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 (fights 195 - Number of traffic signals 6 HIrHLIGHTS/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: 40 FUND: 101 DEPARTMENT: Traffic Control/Street Lighting DEPT 43160 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 0 0 0 356 0 0 0 Supplies/Materials 4,662 1,415 500 776 1,500 0 0 Support Services 31,457 40,286 43,200 15,351 42,300 0 0 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 16 483 43,800 0 0 41 FUND: 101 General DEPARTMENT: Sanitation/Weed Control DEPT NO: 43200 nF~C;RIPTION OF ACTIVITY: DEPARTMENT MIS ION: Provide for the general sanitation and cleanliness of the City and provide for the treatment of noxious weeds on City properties. 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. nR IFC'TIVES /ESTIMATED SERVICE INDICATORS - Resolve 100% of weed complaints - No of weed complaints 5 - No of notices served 5 - No of parcels sprayed 0 - Miles/roadside sprayed 50 HIGHLIGHTS/COMMENTS Staffing: Miscellaneous staff time for property clean-ups Support Services: Miscellaneous property clean-ups Contracted weed spraying services 42 FUND: 101 DEPARTMENT: Sanitation/Waste Removal/Weeds DEPT 43200 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 586 608 757 2,505 641 0 0 Supplies/Materials 0 0 500 0 500 0 0 Support Services 3,502 5,395 5,500 247 4,500 0 0 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 2 752 5 641 0 0 STAFFING: 43 FUND: 101 General DEPARTMENT MISSION To provide diseased tree inspection services to DEPARTMENT: Tree Maintenance residents; to remove diseased trees located on City property; and to maintain and trim trees located on DEPT NO: 43250 City rights-of-way and other property 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 40 -Yards of brush hauled 700 HIGHLIGHTS/COMMENTS: Staffing: .15 LEO Supplies/Materials: Small Tools Paint for tree marking Support Services: Contracted tree and brush removal Tree inspection certification 44 FUND: 101 DEPARTMENT: Tree Maintenance DEPT 43250 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 15,011 22,122 15,233 8,714 9,714 0 0 Supplies/Materials 479 1,323 2,950 382 3,150 0 0 Support Services 7,768 7,110 15,550 3,881 11,000 0 0 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 12 977 23 864 0 0 STAFFING: Lt Equip Operator (LEO) .20 .25 .25 .25 .25 .25 .25 45 FUND: 101 General DEPARTMENT MISSION• Maintain City parks, trails & beaches to ensure safe DEPARTMENT: Parks & Recreation and enjoyable recreational amenities, and coordinate recreational opportunities for City residents of all DEPT NO: 45200 ages and physical abilities 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. OBJECTIVES' -Continue promoting the benefits of investing in Shorewood parks and park improvements. Acres of maint park 99.70 Cost of maint per acre ~ 1600 No. of ballfields Softball 3 Baseball 5 No. of Tennis Courts 4 No. of hockey rinks 2 No. of skating rinks 3 No. of times rinks are clear 80 No. of shelters 4 No. of picnic tables 47 Miles of Trails 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 Services ($20,000); Crescent Beach Lifeguard Services ($6,000); Contributions to 'Music In The Parks' ($2,500), Friends of Center ($8,800), and Friends Fund-raising Match ($12,500); Buckthorn Removal Program ($1,600); Portable toilets ($9,000). Charges & Fees: Capital Outlay: Transfers: Transfer to Park Capital Improvement Fund $15,000 46 FUND: 101 DEPARTMENT: Parks & Recreation DEPT 45200 BUDGET Actual Actual Adopted YTD June Requested Proposed Adopted ITEM 2005 2006 2007 2007 2008 2008 2008 Staffing 109,305 112,753 140,530 61,454 126,839 0 0 Supplies/Materials 10,026 6,861 15,400 5,240 12,400 0 0 Support Services 48,189 49,797 81,450 27,081 74,800 0 0 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 0 0 TOTAL 192 508 184 411 257 380 93 775 229 039 0 0 STAFFIn Full time: Lt Equip Oper/Foreman 1.50 1.50 1.50 1.50 1.25 Clerical .25 .33 .33 .33 .33 Part time: Clerical -- -- -- °- -- Seasonal: Summer 2.00 1.00 1.00 1.00 1.00 Winter (rinks) 10.00 10.00 10.00 10.00 10.00 47 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 MEMORANDUM TO: City Council FROM: Craig W. Dawson, City Administrator DATE: August 3, 2007 SUBJECT: City Hali Planning Cost Updates; Sketch Plan (Work Session item) At its July 23 meeting, Council requested that BKV Group provide only updates to the construction costs estimates for the three alternatives currently under discussion for City Hall. These alternates are the 2004 bridge concept; 2005 Option A (renovation/addition, 12,200 square feet); and 2005 Option B (new/replacement, 11,000 square feet). BKV Group has responded with comments to me via email to me in order to meet the Council's preference to consider the City Hall item on August 6, rather than to wait for a work session on August 13. The comments in the Mr. Baxley's email are quoted below: "In reviewing the bridge option as illustrated in 2004, we had given a range of expense of $300,000 to $500,000 for the `Bridge'. Since the Bridge option was not considered at the time a long-term solution for many reasons in the previous report, to update the costs to 2008 dollars could be looked at two different ways. First, [by] simply adding construction escalation costs per amlum to the combined total of the `maintenance' scheme dollars and `Bridge' dollars, as we had previously discussed (these combined totals were necessary to complete the `bridge' scheme and conservatively equated to $700,000), would update the construction costs as a band-aid solution. Our office typically uses a 5% per year factor for construction costs. Applying this to $700,000 in 2004 would yield a compounded $851,000 construction cost for 2008. This solution did not provide for a council chamber on the current site nor were set up and moving costs for an off-site chamber accounted for. "Understanding that now it is the desire of the Council to view the `Bridge' scheme as a more permanent solution, additional costs should be accounted for to legitimize real costs for this as a long- term solution. These costs are primarily for the construction or accommodation of a new chamber in a remote location. Since the exact scope of this is indeterminate at this time, we would recommend using for budget purposes $250,000 for moving and set up costs for chamber equipment and set-up. This cost reflects an average cost for chamber infrastructure and for the city hall building typology. This would bring the total project construction costs for the `Bridge' solution to approximately $1,100,000. This scheme would then provide all of the upgrades and code compliance items elucidated in the previous study. as ~ 7 ,-®r0 PRINTED ON RECYCLED PAPER - City Hall Planning Cost Updates; Sketch Plan August 6, 2007, City Council Worlc Session Page 2 "In reviewing Options A and B submitted after the first study was completed, we were still utilizing a building total square footage requirement of 10,800 sf - 12,000 sf. Option `A' was a version of the `addition' scheme and Option `B' was a new building utilizing the newly acquired land to the south. Updating the approximate construction dollars for these schemes for 2008 would yield an anticipated construction cost range of $2,052,000 - $2,228,000 for the addition/renovation and $2,500,000 - $3,100,000 for the new building. "I hope this information is helpful. I certainly can provide additional details if requested when I return [from my family vacation]." Council also requested that the staff provide a sketch of how the building spaces might be used in the revised bridge concept. A copy of this sketchy sketch is attached. Any final plan would need to be prepared by a registered architect. ;i R .i ~ ` ~ '~ ~ r p.r Y ; ~ - .. ~ ~ ~ Y i ~~ f ~ .. _ ~ ma . qI _ . y ~ 4 ~'