The URL can be used to link to this page

Home My WebLink About3. 2010 Budget Information . ~ fowre~ poiNt ?,Qi.s~nt:lt/~~ 2010 Budget Information SHAKOPEE Budget Background " i')Cf b ~ ,", ,', . I ~ ~~ ;,~ ~:; " ,. .,< ,_ :;. ,r. ~'.' \, ~~, _,;,. '~ _" -.~).. , v 'i_..:~'. <: ~ ". ," \ '. ,,. " 1>\...' . General Government . City Council . . Administration & HR (3 FT, 1 PT) City Clerl< (3 FT, 2 PT) Finance (3) Legal- Prosecutions/Civil Planning/Community Development (5) Information Technology (2) Facility Maintenance (6) Communications & Telecom (1 FT, 1 PT) 3 Public Safety Services 24/7 Police Services Chief 2 Captains 8 Sergeants I 36 Patrol Officers 3 Community Service Officers 5 Records Staff 1 Secretary . In 2008, the Police Department responded to 19,052 calls for service. 4 Public Safety Services 24/7 Fire Services 1 Fire Chief 1 Fire Inspector / Marshal 50 Paid-on-Call Firefighters 1 Secretary In 2008, the Fire Department responded to 537 calls for service. s Public Safety Services Building Inspection Services 1 Building Official 3 Building Inspectors 1 Secretary 6 . . - Public Works Services Engineering Division Desjft and inspection ofpublic infrastructure projects - roa s/utilities PW Director / City Engineer Assistant City Engineer Project Engineer Eng Tech 4 Eng Tech 3 GIS Specialist Secretary 7 Public Works Services Street Division Snow Plowing Street/Alley /Parking lot Maintenance Sewer & Storm Drainage -- 11 Employees 8 Public Works Services Fleet Division Vehicle & Equipment set up and repair 3 Employees 9 Recreation & Culture Parl< Maintenance Division mow 355 acres per week maintain 28 parks & public spaces 8 Employees 10 i. Recreation & Cu Itu re Recreation Programs/Parl< Development & Scheduling Community Center open 100 hrs/week 130+ Programs/activities offered 7.5 FT Employees 130 PT Employees 11 Recreation & Culture Natural Resources Library Congregate Dining 12 Expenditures by Service Admin.} Clerk} Finance} Parks & Recreation, Park Admin., Clerk, Finance, Legal} Planning} Gen. Gov't Maintenance, Library Legal, Planning, Gen. Buildings 16% Gov't Buildings 19% . Police . Fire . Inspections Eng.} Streets Inspections Parks & Recreation} Park 4% Maintenance} Library Expenditures by Type 2009 General Fund Budget Rentals 10% Insurance 2% Communications 1% Wages & Benefits $10,849,940 60% Professional Services 12% Tax Levy How are City taxes determined? Levy / Tax Base = Tax Rate Tax Rate x Property Value = Hom.eowner's Tax Bill · The City Council sets a ((Levy" - this is the total dollar amount the City needs to collect from property taxes. · The levy is divided by or ((spread" over the City's tax base (the total value of all properties in the City) · This yields a tax rate which is applied to the value of each individual parcel of property to determine their tax bill. City Tax Rate (2004-2009) 60 55 50 45 40 Q) .... 35 ~ - 30 25 20 15 10 2004 2005 2006 2007 2008 2009 Year Levy I Tax Base = Tax Rate · In recent years the City Council has placed a great deal II of emphasis on maintaining a stable tax rate. · Our growing tax base has allowed the same tax rate to yield more and more levy dollars to fund City services. Problem: · Our tax base is no longer growing. · It's shrinl<ing. Latest Tax Base Information Marl<et Value Changes from 2008 to 2009 · Residential -7.46% · Commercial/Industrial 3.71 · Apartments .61 · Agricultural -2.42 · OVERALL CHANGE -5.16% Why is this a problem? 2009 General Fund* Budget = $19,950,000 Property Tax Revenue '= $13,046,000 Property Taxes = 650/0 of our revenue *= including Telecom and Rec Fund 2009 Revenue Sources Possible 2010 Scenarios Estimated Expenditures We estimate that it would cost $641,230 more in 2010 to continue status quo operations - i.e. same service levels, same staffing levels, etc. Why? Based on What Assumptions? · 20/0 COLA plus normal step increases · Same health insurance coverages and increases · 30/0 increase in cost of supplies and services · $70,00 in capital expenditures (up from $26,000 this year) Stable Tax Levy = $1.1 mil shortfall · Increase in operating costs ($641,230) · Increase in uncollectable taxes ($147,000) · Increase in debt service payments ($135,000) · Decline in fine revenue ($235,500) · Decline in interest earnings ($50,000) -Questions? - Discussion? - Feedbacl< IDirection? Possible 2010 Scenarios Major Priorities -Transportation -Safety - Development - Recreation - Public facilities Service Goals - · The City will provide a transportation system that is effectively planned and well-maintained. · The City will provide a safe environment for residents and visitors through proactive public safety services and appropriate enforcement of codes and standards. · The City will guide land use and development in order to ensure a healthy economic base, protect & enhance residential neighborhoods and preserve the natural environment. Service Goals · The City will provide active and passive recreational opportunities and other community amenities. · The City will protect taxpayers' investment in public facilities and equipment through an active maintenance and planned replacement program. Major Spending Priorities 40 35 30 25 20 III Council Staff 15 10 5 0 Transportation Safety Planning Recreation Assets 2009 Budget vs Target 2009 Budget VS Council Results Target 60.0% 50.0% 40.0% 30.0% II 2009 Budget 20.0% Ii Target 10.0% 0.0% Transportation Safe Community Community Recreation & Capital Stewardship systems Development & Amenities Standards Evaluating Service Priorities · Is it a mandated service? · Is it all or partially self-supporting? '. What percentage of our residents does it benefit? .. How does it contribute to our goals? Internal and External Service Priorities · See charts in pacl<et Internal Service Fund Charges Equipment Fund \ 9000000 8000000 7000000 6000000 5000000 . Depreciation 4000000 Cash 3000000 2000000 1000000 - 0 2009 2010 2011 2012 2013 2014 2015 2017 2018 Building Fund 10000000 9000000 8000000 7000000 6000000 5000000 . Depreciation 4000000 . Cash 3000000 2000000 1000000 0 2009 2010 2011 2012 2013 2014 Pa rk Assets Fund 3500000 3000000 2500000 2000000 . Depreciation 1500000 . Cash 1000000 500000 0 2009 2010 2011 2012 2013 Use of Fund Balance Cash Balance 3/30/09 General Fund - Fund Balance 20,000,000 18,000,000 16,000,000 14,000,000 12,000,000 ."_. 10,000,000 -- Target 8,000,000 -- Balance 6,000,000 - Expend 4,000,000 2,000,000 - 2006 2007 2008 2009 ..-', Personnel Related Issues I, Possible Savings Citywide Wage Freeze $162,000 1 weel< Unpaid Furlough (Citywide) $156,000 Freeze City Contribution to Medical Insurance $215,000 Eliminate Vehicle Allowances * $6,200 Suspend Tuition Reimbursement $15,000 No City-Funded Out of State Travel $12,500 Vacant Natural Resources Coordinator position $89,700 Vacant Graduate Engineer position 70,000 Employee Budget Saving Ideas: Tribal Legal Fees 60,000 Fuel Savings 100,000 Cancel Huber Park Performance Series $21,000 Close Community Center on Sundays $12,000 Discontinue Hometown Messenger $23,000 Find New Site for Congregate Dining $24,000 Discontinue LOGIS GIS 32,000 , Charge more PW time to Utility Funds $75,000 Others ???