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HomeMy WebLinkAbout7. General Fund Revenues and Expense Summary Discussion & Requested Initiatives 32 August 17, 2012 To: Mayor and City Councii From: Julie A. Linnihan, Finance Director Subject: 2013 Preliminary Budget Overview Action Requested: Review and discussion of the status of the 2013 preliminary budget.After review of the final departmental requests, Council will need to consider the requests,as well as determine the preliminary Property Tax Levy. Overview: As Council continues to review the preliminary budget information,the attached General fund summary of revenues, expenditures and fund transfers can provide guidance for decisions that will be required prior to the adoption of the preliminary levy and budget. • The summary sheet maintains the levy at the 2012 level.The amount estimated for Fiscal Disparities has increased this revenue source. Staff will continue to update the County information when received. • Licenses and permits reflect slightly increased rates, as staff will be updating the fee schedule to revise these fees for 2013 to more accurately reflect cost coverage for service. It has been several years since this has been updated. • Intergovernmental revenues still include the Municipal State Aid revenue for crack fill and seal coat. As discussed during the Capital Improvement Fund (CIF) presentation, Engineering staff has requested that these fund be pulled from the General fund, and placed in the Capital fund. This would reduce the General fund revenues by slightly under$400,000 for 2013. • Charges for Service now include the revenues received from SPUC for electric and water service. These were historically recorded in Transfers, but due to accounting standard changes in the 2011 audit,these revenues are now classified as "Charges". Prior years have also been adjusted to reflect this classification change. • Interest income has been reduced to reflect the on-going reduction in interest rates that is expected to continue into 2014. • Transfers into the General fund reflect a transfer from the CIF for interdepartmental charges. Transfers out of the General fund reflect$500,000 to the CIF to initiate funding for the projects, as well as$150,000 to the EDA fund per their recent request for facade program funding. • The current preliminary budget has the city reducing general fund fund balance by$180,031. The initiatives that have been requested,for personnel additions as well as project additions have not been added to the initial 2013 budget. The approved additions will require additional tax levy funding or use of existing fund balance. 33 2013 PRELIMINARY BUDGET GENERAL FUND SUMMARY GENERALFUND GENERALFUND GENERALFUND GENERALFUND Actual Actual Budget Preliminary Budget 2010 2011 2012 2013 Property Taxes � 13,554,931.62� 14,279,016.22 13,407,920.00� 13,962,000.00 Tax Increments 2,074.88 0.00 0.00 0.00 Special Assessments 28,988.14 21,905.73 11,000.00 11,000.00 Licenses and Permits 1,303,896.02 1,225,560.50 1,275,300.00 1,316,700.00 Intergovernmental 828,905.56 796,075.18 619,760.00 755,500.00 Charges for Services 3,844,681.96 3,879,116.69 3,890,630.00 3,776,300.00 Fines and Forfeitures 423,746.32 357,249.16 436,000.00 425,000.00 Interest Income 316,086.53 274,745.73 409,000.00 225,000.00 OYher 104,610.88 122,731.76 71,400.00 83,500.00 Total Revenues 20,�07,921.)1 20,956,400.97 20,121,010.00 20,5�5,000.00 General Government (2,960,229.12) (2,713,537.13) (3,272,307.00) (3,322,335.00) Public Safety (8,953,172.94) (9,401,911.10) (9,667,231.00) (9,728,238.00) Public Works (2,632,924.55) (2,602,097.93) (2,868,352.00) (2,883,328.00) Park and Recreation (4,075,919.58) (3,856,866.73) (3,992,289.00) (4,026,130.00) Unallocated (70,019.01) (61,339.00) (225,000.00) (225,000.00) Interest 0.00 0.00 0.00 0.00 CapitalOutlav (32,>65.13) (39,190.50) (95,500.00) 0.00 Total Expenditures (18,72d,830.33) (18,674,9�2.39) (20,120,679.00) (20,18�,031.00) � * - Transfers ln 244,400.00 122,400.00 222,�00.00 100,000.00 * -Proceeds from Sale of Assets 6,000.00 0.00 0.00 0.00 * -Transfers Out (4,396,000.00) (2,137,394.00) 0.00 (650,000.00) Total Othcr Financing Sources (Uscs) (4,14�,600.00) (2,014,994.00) 222,400.00 (��0,000.00) '" - �3eginning Fwld �3alance 11,�OZ,281.�9 9,037,729.58 0.00 0.00 Total Ending Fund Balance 9,039,773.17 9,304,194.16 222,731.00 (180,031.00) Page 1 of 1 34 Personnel and Project Budget Initiative Requests Compared to Levy 2013 Preliminary Budget 2012 Tax Levy $ 12,976,991 Personnel Budget Requests: % of Position Full Year Cost Levy Economic Development Specialist $ 86,057 0.7% Public Relations/Social Media Coordinator (.5 time) $ 32,300 0.2% Cominunication Coordinator to Full Tiine $ 35,000 0.3% Grants Writer (.5 time) $ 25,530 0.2% Recreation Facilities Maintenance Manager $ 66,284 0.5% Human Resources Technician $ 67,600 0.5% 6- Paid-On-Call Firefighters $ 79,348 0.6% 4- Full Time Firefighters $ 247,962 1.9% Natural Resources Technician $ 68,701 0.5°/o Crime Prevention Specialist $ 62,151 0.5% $ 770,932 5.9% Project Budget Requests: Project Full Year Cost Feasibility Studies $ 100,000 0.8% Neighborhood Festivals $ 20,000 0.2% Downtown Flower Baskets $ 13,000 0.1% Centralized Recycling $ 50,000 0.4% Security System CameraUpgrade $ 16,500 0.1% $ 199,500 1.5% $ 970,432 7.5% ersonnel and Project Budget Initiative Requests �13 Preliminary Budget ersonnel Budget Requests: Start Date Estimated Full Year osition Division/Department 2013 Cost Cost �onomic Development Specialist 19 - EDA 3/1/2013 $ 72,146 $ 86,057 ablic Relations/Social Media Coordinator (.5 time) 12 - Communications 1/1/2013 $ 32,300 $ 32,300 ommunication Coordinator to Full Time 12 - Communications 1/1/2013 $ 35,000 $ 35,000 rants Writer(.5 time) 12 - Administration 6/1/2013 $ 14,968 $ 25,530 ecreation Facilities Maintenance Manager 67 - Recreation 3/1/2013 $ 55,570 $ 66,284 uman Resources Technician 12 - Payroll 1/1/2013 $ 67,600 $ 67,600 � Paid-On-Call Firefighters 32 - Fire 7/1/2013 $ 40,000 $ 79,348 � Full Time Firefighters 32 - Fire 7/1/2013 $ 125,000 $ 247,962 atural Resources Technician 66 -Natural Resources 3/1/2013 $ 57,596 $ 68,701 rime Prevention Specialist 31 - Police 1/1/2013 $ 62,151 $ 62,151 $ 562,331 $ 770,932 roject Budget Requests: Estimated roject Division/Department 2013 Cost °asibility Studies 11 - Mayor& Council $ 100,000 eighborhood Festivals 11 - Mayor& Council $ 20,000 owntown Flower Baskets 11 - Mayor& Council $ 13,000 entralized Recycling 42 - Public Works $ 50,000 :curity System Camera Upgrade 67 - Recreation $ 16,500 $ 199,500 Total $ 761,831 $ 770,932 W � 36 City of Shakopee Budget Personnel Request Form 2013 Budget Department: Administration Prepared By: Mark McNeill, City Administrator Position Request for: Economic Development Specialist Description Details of This position would be responsible for the full-time marketing f the City's Request: economic development program, and would act as the City's liaison for prospective commercial/industrial development. The position, in conjunction with the Shakopee Chamber of Commerce, EDAC and SCALE TED initiative, would promote the development of tax base and job creation in Shako ee. Pay Grade Estimate Pay Grade 8 $59,684 to $74,543 Date of Implementation 3/1/2012 Additional Information Total first year ersonnel costs, assuming 3/1/13 hire, is $72,146 Date Submitted 7/20/2012 Date Reviewed: 37 City of Shakopee Budget Personnel Request Form 2013 Budget Department: Administration Prepared By: Mark McNeill, City Administrator Position Request for: Public Relations/Social Media Coordinator (.5 time) Description Details of This half time position would be responsible for monitoring the City's Request: social media sites (Twitter, Facebook)by sending messages, and responding to inquiries and comments. It would also be responsible for the roactive sendin of the Ci media messa e to various news outlets. Pay Grade Estimate Grade 7 Date of Implementation 1/1/2013 Additional Information Annual ersonnel costs of this half-time position is $32,300 Date Submitted 7/20/2012 Date Reviewed: 38 City of Shakopee Budget Personnel Request Form 2013 Budget Department: Administration Prepared By: Kris Wilson Request for: Increase Communications Coordinator to full-time Description Details of Communications Coordinator position is currently authorized at 25 hours Request: per week. In order to conduct more pro-active communications activities, the position needs to be full-time. The additional hours will also be key to the timely roll-out of a new website and the surrounding tools & features. Pay Grade Estimate Position would remain in Grade 6. Date of Implementation 1-Jan-12 Additional Information Total cost would be $35,000 (an additional $24,000 in wages and $11,000 Specific to this Request in benefits.) Date Submitted 8/14/2012 Date Reviewed: 39 City of Shakopee Budget Personnel Request Form 2013 Budget Department: Administration Prepared By: Mark McNeill, City Administrator Position Request for: Grants Writer(.5 time) Description Details of Currently,the City's departments are responsible for researching and writing Request: grants on their own--recent examples are Police, Parks, Recreation, and Natural Resources, Engineering, and the Community Development Departments. This position would provide for a half-time specialist who would wark with the departments, and research further opportunities for seeking grants from other levels of government, and other sources. Pay Grade Estimate $14,968 would be the 2013 wage Date of Implementation 6/1/2013 Additional Information Even in an era of reduced grant opportunities, it is hoped that this position will more than pay for itself via the obtaining of grant funds. Note that some of these grants may require local matches, but those may be decided upon individually. Date Submitted 7/20/2012 Date Reviewed: 40 City of Shakopee Budget Personnel Request Form 2013 Budget Department: Parks, Recreation, and Natural Prepared By: Mark McNeill, City Resources Administrator Position Request for: Recreation Facilities Maintenance Manager Description Details of Maintenance of the current recreation facilities (Community Center and Request: Youth Building) are currently provided by the Facilities Maintenance Division,which has responsibility to oversee seven other city buildings. Funding of this position will add a position, and will shift the responsibility for the planning and maintenance of the HVAC and building maintenanceof the Recreation Buildings to a position which will be under the supervision of the Parks, Recreation, and Natural Resources Director. The addition resource will lead to a higher level of maintenance standards than are what currently are able to be provided with the existing Pay Grade Estimate Grade Level 5 $45,577 to $56,792 Date of Implementation 3/1/2013 Additional Information Total first year ersonnel costs, assuming 3/1/13 hiring, is $55,570 Date Submitted 7/20/2012 Date Reviewed: 41 City of Shakopee Budget Personnel Request Form 2013 Budget Department: Administration Prepared By: Kris Wilson Position Request for: HR Technician Description Details of The Administration Department lacks the staff to keep up with necessary and Request: desired HR tasks. Regulatory compliance items are falling through the cracks, current employees are not being well served -- particularly in the areas of training/development and performance evaluation. Other Admin. Dept. Pay Grade Estimate Grade 6-wages and benefits for the requested position would be $67,600. Date of Implementation 1/1/2013 Additional Information Total cost for wages and benefits for the requested position would be $67,600. The city spends $12.4 million dollars on wages and benefits (61.5% of total expenditures). This is huge investment that warrants additional staff resources to serve and support. Conversly, the lack of proper personnel administration creates a significant liability for the City. Date Submitted 8/14/2012 Date Reviewed: 42 City of Shakopee Budget Personnel Request Form 2013 Budget Department: Fire Prepared By: Rick Coleman Request for: 6- Paid-on-call firefighters Description Details of Hire 6 Paid-on-call firefighters to increase staffing levels for the construction Request: and opening of station 3 in 2016/2017 Pay Grade Estimate Wage and benefits for 6 Paid-on-call firefighters $40,000 for a half a year in 2013 Date of Implementation 7/1/2013 Additional Information Hiring addition paid-on-call staff has to start in 2013 to be ready with trained staff for the opening of station 3 in 2016/2017. Total estimate cost for a full year $80,000 Date Submitted Date Reviewed: 43 City of Shakopee Budget Personnel Request Form 2013 Budget Department: Fire Prepared By: Rick Coleman � Request for: 4- Full time firefighters Description Details of Hire 4 full time firefighters Monday- Friday (40 hours). These Request: positions would provide for daytime response which is currently not able to be provided by part time responders in a timely manner. Pay Grade Estimate Wage and benefits for 4 firefighters $125,000 for a half a year in 2013 Date of Implementation 7/1/2013 Additional Information Total estimate cost far a full year $250,000 Date Submitted � Date Reviewed: 44 City of Shakopee Budget Personnel Request Form 2013 Budget Department: Parks, Recreation&Natural Prepared By: Jamie Polley, Director of Resources Parks, Recreation&Natural Request for: Natural Resources Technician Description Details of The City had made a large commitment to managing and protecting the City's natural resources. In the absence of the Natural Resources position the Parks, Recreation&Natural Resources Director spends approximately 20% of her time on natural resource related tasks and responsibilities. The time commitment and limited abilities has impacted natural resource projects as well as recreation management. Many tasks that are important to managing and protecting the City's natural resources are either not completed or completed with less knowledge and resources. Some of the items that are currently not completed include: * Updating the Natural Resources Section of the Comprehensive Plan and Natural Resources Design Criteria, *Administering the Shade Tree Disease Control and Prevention on Private and Public Property, *Updating the Natural Resources Inventory(Minnesota Land Cover Classification System), *Reviewing, Administering, Enforcing and Managing Conservation Easements to Address Encroachments, *Applying for MnDNR Forest Stewardship Grants, *Coordinating Buckthorn Management in Parks and Conservation Easements, *Preparing Current Public Education Information Handouts at City Hall and on Website, *Coordinating Public Tree and Raingarden Workshops , *Coordinating the Arbor Day Tree Sale, *Parks and Recreation Classes, etc. Pay Grade Estimate Grade Leve16 $51,196 to $63,995 Date of Implementation 3/1/2013 Additional Information Date Submitted 7/23/2012 Date Reviewed: 45 City of Shakopee Budget Personnel Request Form 2013 Budget Department: Police Prepared By: Chief Tate Request for: Crime Prevention Specialist(civilian) Description Details of The department seeks to civilianize the Multi-housing/Crime Request: prevention position with a non-sworn, Crime Prevention Specialist. Officers have typically been assigned to this position for a three-year term. It has been our experience that officers rarely serve their three- year term, and typically ask to be transferred prior to serving three years. This has resulted in instability for this essential position over the years. It is expensive to train officers for this position, which requires multiple certifications. The Crime Prevention Unit needs to remain consistent. Training a person to become a crime prevention officer takes a lot of time and money;therefore, we would like to limit the turnover in this position. We are looking for a civilian who specializes in Crime Prevention programs and has no interest in becoming a police officer. . Pay Grade Estimate Grade Leve14- $62,151 Date of Implementation First Quarter 2013 Additional Information By using a civilian instead of a sworn officer, we anticipate a substantial cost savings for the City long-term. This is becoming a common practice in law enforcement, and I believe a talented applicant pool exists to fill this position. Additionally, by adding a civilian we would be able to transfer our sworn officer back to patrol,thus adding to our street patrol numbers. Our last staffing analysis showed the department short approximately five officers. This will allow the department to utilize our street crimes unit more often as well as possibly assigning that officer as a traffic unit. This move will enhance our service to the community, is a better use of current skill sets, will enable the department to operate more efficiently, and is more cost effective than adding a sworn officer. Date Submitted 6/29/2012 Date Reviewed: 46 City of Shakopee Project Budget Request Form 2013 Budget Department Mayor and Counci10111 Prepared By: Mark McNeill, City Administrator Project Name Feasibility Studies Description Details of This would provide funding for three feasibility studies: 1) $10,000 for Request: archeological studies at west of Memorial Park,to determine where excavations for other improvements (i.e.; the undergrounding of utilities,or future park shelters) could take place; 2) $80,000-$100,000 for the study of a "No Whistle Zone" along the downtown 2nd Avenue rail corridor Estimated Cost of Request $90,000-$110,000 � Departments Benefitting or Mayor and Council Cost Sharing Potential Revenue and General Fund Source of Revenue to Fund Date of Implementation 1/1/2013 Additional notes for It is estimated that in order to fully implement a "No Whistle" zone, rail discussion crossings which are not to be closed will need to be reconstructed with full crossing arms. There are 10 crossings between Marschall Road and Rahr malting. The estimated cost per crossing is $200,000. Date Submitted: 7/20/2012 � Date Reviewed: 47 City of Shakopee Project Budget Request Form 2013 Budget Department Mayor/Council Prepared By: Mark McNeill, City Administrator Project Name Neighborhood Festivals Description Details of Newcomers to Shakopee have limited opportunities to assimilate into Request: the community to make friends or neighborhood contacts. City assistance is proposed to help fund neighborhood celebrations, which will help to establish a sense of identity and provide for community connections. Applications would be screened by a committee, which would establish eligibility criteria and amounts to be funded. Estimated Cost of Request $20,000 Departments Benefitting or Mayor/Council Cost Sharing Potential Revenue and General Fund Source of Revenue to Fund Date of Implementation 1-May-13 Date Submitted: 7/19/2012 Date Reviewed: Additional notes for 48 City of Shakopee Project Budget Request Form 2013 Budget Department Mayor/Council 011 1 Prepared By: Mark McNeill, City Administrator Project Name Downtown Flower Baskets Description Details of Since the Downtown Partnership disbanded,there is no group with which Request: to share the expenses of the downtown flower baskets. Unti12012,the City provided the labor for the required daily waterings, and the DP paid for the lamp pole brackets, $6,000 towards rental of the watering vehicle("Gator"), and the flower pots themselves. If the City is to resurrect this program itself, it will cost an estimated$13,000. Estimated Cost of Request $13,000 Departments Benefitting or Mayor and Council Cost Sharing Potential Revenue and General Fund Source of Revenue to Fund Date of Implementation Basket assembly--3/1; placement 5/15/13 Additional notes for Date Submitted: 7/20/2012 Date Reviewed: 49 City of Shakopee Project Budget Request Form 2013 Budget Department Public Works Prepared By: Mark McNeill, City Administrator Project Name Recycling Materials Center Description Details of By State law, cities must provide opportunities for the curbside pickup of Request: residential recycling materials. However,there is no requirement for commerical or multi-family residential pickup, and it is up to individual properiy owners to provide for recycling. In this case, the City would establish a centralized recycling location for C/I and multi-tenant housing. Recyclable material could be brought to the location, and the City would take sell the collected materials on the open market(it should be noted that market rates for recyclable materials fluctuate significantly). It is anticipated that the income could offset the costs of providing a centralized collection point The location would have to be secured or monitored, and pilfering of dropped off materials is a possibility. Estimated Cost of Initial set-up of recycling Request containers--$50,000. On oin costs of Departments Benefitting Public Works or Cost Sharing Potential Revenue and General Fund and Solid Waste Fund for initial set-up costs. Ongoing Source of Revenue to costs would be offset by sale of recycled materials revenues. Fund Project. Date of Implementation 4/1/2013 Date Submitted: 7/20/2012 Date Reviewed: Additional notes for An alternative would be for the City to negotiate the recycling center's discussion operation with the City's designated garbage hauler. 50 City of Shakopee Project Budget Request Form 2013 Budget Department Parks, Recreation&Natural Prepared By: Jamie Polley, Director of Resources Parks, Recreation&Natural Project Name Security System Camera Upgrade Description Information The current security system that is at the Community Center was installed of Request: in 2005. The software is recommended to be updated every five years. The current software is beginning to wear down and lose it's functionality. Four new cameras are also being proposed to cover all of the entrances of the Community Center. The cameras are specified to capture license plates. The cameras are beneficial to the Community Center by allowing the monitoring of the entire building with minimal staff. In addition the cameras have served as a helpful tool when there have been issues within the building however in most cases they do not provide enough quality information or beneficial recordings to assist the Police Department in making an arrest. Estimated Cost of Request $ 16,500.00 Departments Benefitting or Parks, Recreation& Cost Sharing Natural Resources Potential Revenue and Funding Source should be the General Fund balance. Source of Revenue to Fund Project. Date of Implementation 3/1/2013 Date Submitted: 7/23/2012 Date Reviewed: Additional notes for Although the crime at the Community Center is minimal in nature, the discussion City Council should consider if a camera system is needed.