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HomeMy WebLinkAboutBudget Amendments General Fund Budget Reconciliation 12/31/98 Final Approved Amended Actual and Department Adjustments Total 12/9/97 Budget Approved Changes 6/9/98 1/22/99 Adjustments FINANCIAL COMMITMENTS: 1. Expenditures General Management 109,925 75,310 (34,615) (53,640) 1,025 18,000 (34,615 Mayor and Council 46,470 51,980 5,510 (1,140) 6,650 5,510 Legal 20,000 20,000 13,500 6,500 20,000 Elections 3,120 3,120 0 0 Administration 199,760 152,250 (47,510) (104,060) 56,550 (47,510 Planning and Zoning 30,900 83,000 52,100 4,100 48,000 52,100 Municipal Building 33,625 0 (33,625) (33,625) (33,625) Finance 85,250 85,250 85,250 85,250 EDP(Computer) 2,450 2,450 2,450 2,450 Auditor 11,105 11,105 9,255 1,850 11,105 Insurance 153,180 153,180 153,180 153,180 Assessor 16,000 16,000 0 0 Engineering 10,000 52,000 42,000 12,000 30,000 42,000 Community Develop 35,825 35,825 35,825 35,825 Police 786,885 735,175 (51,710) (59,150) 7,440 (51,710) Fire 70,780 70,780 0 0 Building Inspections 89,180 84,070 (5,110) (5,110) (5,110) Animal Control 1,100 1,100 0 0 Street Maintenance 16,675 20,675 4,000 4,000 4,000 Snow Removal 50,000 50,000 0 0 Street Lighting 44,900 44,900 0 0 Arborist 2,600 6,660 4,060 4,060 4,060 Sanitation/Waste 312,100 190,400 (121,700) (121,700) (121,700) Tree and Weed 15,000 15,000 0 0 Recreation 122,835 131,205 8,370 (6,910) 15,280 8,370 Contingency - General 0 10,000 10,000 10,000 10,000 Subtotal 1,961,855 2,101,435 139,580 Total (121,700) 165,280 96,000 139,580 2. Transfers Out Capital Improvements 90,923 90,923 0 2,052,778 2,192,358 139,580 FINANCIAL RESOURCES: 1. Revenue: Tax Levy: 1,440,637 1,440,637 0 0 HACA 74,493 74,493 0 0 Licenses and Permits 149,425 174,425 25,000 25,000 25,000 Fines & Forfeits 54,600 54,600 0 0 Local Performance Aid 5,133 5,133 0 0 Other Aids 111,040 111,040 0 0 Charges for Services: 0 0 0 General Government 2,500 6,900 4,400 4,400 4,400 Waste Removal 121,700 0 (121,700) (121,700) (121,700) Development Chgs 9,600 9,600 9,600 9,600 Bayport Permits 23,450 40,675 17,225 17,225 17,225 Charges to Other Fds 0 0 0 0 Administrative Fees 101,125 101,125 135,000 (33,875) 101,125 Interest Earnings 49,500 49,500 0 0 Other Revenue 20,300 40,950 20,650 20,650 20,650 Subtotal 2,052,778 2,109,078 56,300 Total (121,700) 160,000 18,000 56,300 Fund Balance 78,000 78,000 78,000 78,000 Total Resources 2,052,778 2,187,078 134,300 Total (121,700) 160,000 96,000 134,300 Memo To: Mayor and Council From: Thomas M. Melena Date: 01/21/99 Re: Final 1998 Budget Adjustments As per our discussions at the worlisession and other individual dialogue, we now have the further developed numbers for the 1998 Budget and its close -out. Those numbers show slightly more than $18,000 as additional revenues and also show that the final budget was over expended b $ 95,375. Based on the additional revenues, we would recommend that the revenues for the general fund be modified by those $18,000, that at the same time, the line item for expenditures under the General Management /Building be increased b the corresponding amount of $18,000. As a side note, please realize that the actual amount of increased revenues is expected to be approximately $23,000 to 25,000, but the $18,000 adjustment suits the budget needs at this point. Additionally, after reviewing the line item expenditures and specific budgets, its very obvious that our two major overature of accounts were Planning and Zoning at $48,660 more than what was budgeted and Engineering that was $30,850 more than what was budgeted. Based on this, we would therefore recommend that the Planning and Zoning line item budget be increased b $48,000 and the Engineering line item budget be increased by $30,000. To balance this, we would recommend that the general fund contingency reserve be authorized for this additional draw -down of $78,000. • Page 1 With the above budget adjustments, that is an increase of revenues by $18,000, ^ an increase in the General Management line item by $18,000, the adjustment to Planning and Zoning and the adjustment to Engineering with the corresponding authorization for the contingency reserve, the 1998 budget is now clarified and balanced. We have now received these preliminary numbers and we now need to know Where we had to matte adjustments, however, we should keep in the back of our mind as to why we are malting these adjustments. The number one project, that being the largest, most expensive and the most encompassing for our future needs is the Comp. Plan. You have received earlier correspondence that shows as of now, we are committed to $106,000 worth of expenditures on this project alone. The majority of those expenditures are for the Planning and Zoning consulting contract. Additional expenditures are for Engineering. At the same time, we have had a dramatic increase in the need for analysis on both Planning and Zoning, as well as Engineering. Those needs range in everything from the rezoning we have been doing to the map malting to the dialogue on the central business district to additional meeting requirements for meeting with the public as well as the development community. All of these efforts have stretched and ^ strained the 1998 budget and as a result, we do have these expenditures that were not anticipated back in the summer of 1997 when the 1998 budget was contemplated. The good news is that much of the efforts are now in place and coming to a conclusion. The Comp. Plan will be submitted to the Met Council no later than the end of March. The Engineering analysis and efforts are starting to address the long -term infrastructure and development needs of the community. Additionall the 1999 budget was adjusted to ensure that the necessary funds were in the budget to accomplish the remaining tasks for the two areas of our operation. With the above in mind, we anticipate that these should be one -time over - expenditures and will not be a continuing issue for the City. If you have any further questions or comments, please let me know. Thomas M. Melena • Page 2 January 22, 1999 To: Mayor, Council, City Administrator From: Judy Holst, Deputy Clerk/Finance Director December 31, 1998 Budget Amendments As per our discussion at the worksession, please approve the following budget adjustments: Revenues Increase Charges for Services- General Government $4,400 $2,500 to $6,900 Increase Charges for Services- Development Charges $9,600 $0 to $9,600 Increase Charges for Services -Other Services $17,225 $23,450 to $40,675 Decrease Charges for Services - Charges to Other Funds $33,875 $135,000 to $101,125 Increase Miscellaneous Revenue -LMCIT Dividend $20,650 $0 to $20,650 Increase Miscellaneous Revenue - Receipt from General Contingency Fund Balance, Contingency $78,000 $0 to $78,000 Net Change - $96,000 Charges to Other Funds are administration fees: Water $17,000 Sewer $32,000 Garbage $14,525 TIF $37.600 Total $101,125 Expenditures Increase General Management -Other Contractual Services $14,500 $ 7,000 to $21,500 Increase General Management -Other Materials & Supplies $12,400 $ 7,945 to $20,345 Decrease General Management - Capital Outlay, Furniture $8,900 $10,000 to $1,100 Increase Planning & Zoning $48,000 $35,000 to $83,000 Increase Engineering $30,000 $22,000 to $52,000 Net Change - $96,000 January 14, 1999 To: Mayor, Council, City Administrator From: Judy Holst, Deputy Clerk/Finance Director Re: 1998 Budget Analysis I have reviewed the 1998 budget information including the December payables and receivables. There are quite a number of changes to be made as you will see in the attached 1998 Budget Analysis. General Management/Building Department is over budget due to a variety of factors. The professional fees for the Coalition of Utility Cities, postage, utilities, hall cleaning, portraits, copier maintenance, memberships, aerials, frames and miscellaneous supplies are the major contributors to this overage. Legal fees were higher than anticipated. Elections was over budget due to the increase in wage for the Judges. In previous years it was $6.50 /hour, this year it was raised to $7.00, $8.00 or $10.00 per hour depending on the job and years as a judge with the City. City Administrator was over budget due to salaries, travel and schools, comp worth service, office supplies, miscellaneous supplies and memberships. Planning and Zoning was over budget due to charges for the comp plan, various rezoning projects, i.e. Central Business District, Kern Center, B -2 and B -3 changes and increase usage of the planner for planning commission meetings, etc. Engineering was over budget due to all the maps and changes to the maps, additional meeting requirements, etc. Tree Inspector was over budget by a small amount. There were some departments that were pretty much on target or had a surplus at the end of the year. The Assessor, Community Development, Police Department, Fire Protection, Building Inspections, Public Works- Street Maintenance, Park & Recreation and Council Contingency were under budget. 1 I am predicting the revenues to be over budget by approximately $18,070. There may be some small change in this figure, as I do not know what the remainder of the tax settlement will be. It should be remitted to the City some time this month. I also do not know the amount of time Mark Leiferman spent on the St. Croix Mall. We should be able to transfer some additional funds from the TIF Fund to cover his time spent on the Mall. I will contact Mr. Leiferman to see if he can give me a breakdown. The building permits were not what we anticipated due mostly to VSSA. We anticipated that project to have been started by now and some of the permits taken out in 1998. I assume the permits will now be pulled in 1999. This overage also depends on the amount of administration fees you transfer from the Water, Sewer, Garbage and TIF Funds. The Water Fund revenues for customer collections will be approximately $215,000. If you charge a 10% administration fee this would be $21,500. The budget for administration fee was $17,000. The Sewer Fund revenues for customer collection will be approximately $329,000. 10% administration fee would be $32,900. The budget for administration fee was $32,000. The Garbage Fund revenues will be approximately $92,925, with the $190,400 subsidy from the City; the total revenues would be $283,325. The total garbage bill with the recycling awards will be approximately $268,750. There is a transfer of $31,000 for administration fees budgeted. 10% of the expenditure would be $26,870. To balance revenues and expenditures in the Garbage Fund, the administration fee would have to be reduced to $14,575. TIF Fund charges are based on the time staff has spent on the TIF District (this is the area defined according to our St. Croix Mall TIF plan). This includes all meetings, staff time, Council time, engineering, planning, etc. We are also entitled to the interest earned in the TIF Fund before 6/30/97. My tabulation to date for 1998 is $37,600. As stated previously, I still have to determine Mark Leiferman's time. Please give me some direction on the amount you would like charged for these administration fees. Current Budget Water 17,000 Sewer 32,000 Garbage 31,000 TIF 55,000 2 My recommendation would be to do a budget transfer between line items in expenditures (i.e. transfer funds from the departments that are under budget to the departments that are over budget). Where possible, increase the revenue budget by the amount we anticipate to be over budget and increase expenditure budget, where possible, by the amount of the revenue we increase (i.e. increase revenue budget $18,070 and increase expenditure budget by $18,070). There will still be a decrease of revenues over expenditures in the amount of $77,300. There are two possible sources for funds for this overage: 1. The Capital Revolving Fund 2. General Fund, General Contingency Fund Balance. I would not recommend taking any of this out of the Capital Revolving Fund as this Fund has dwindled rapidly this past year and we still have some expenditures anticipated in this fund. There would not be a great deal of an effect on the City if we took it out of the General Fund Contingency Fund Balance. This is a 15% Contingency against any unanticipated expenditures or revenues that are budgeted and we do not receive, mainly our tax levy. The tax levy is received twice per year, therefore we reserve 50% of our fund balance to pay the first six months of bills so we don't have a cash flow problem nor have to borrow from other funds. We also reserve 15% of the expenditures as a contingency (about two months bills) in case our tax collection rate goes down or other revenues do not come in as expected or we have some unforeseen expenditures (i.e. the Junker lawsuit). We have had a very good track record of receiving 99% to 100% of our levy. I do not anticipate that changing for 1998, so I don't anticipate using any of the 15% contingency for delinquent tax collections. If all goes as expected in 1999, we should be even with the 1999 budget or possibly replenish this contingency. 3 1998 Budget Analysis Expenditures Over Budaet Under Budaet Net General Management/Building Personal Services 6,450 Contractual Services 22,285 Materials & Supplies 13,560 Fixed Charges 3,800 Furniture & Equipment 8,900 Miscellaneous 285 Total 46,380 8,900 (37,480) Legal 13,450 (13,450) Election 1,065 (1,065) City Administrator Personal Services 5,875 Contractual Services 8,040 Material & Supplies 4,650 Fixed Charges 1,100 Capital Outlay 190 Total 19,665 190 (19,475) Planning & Zoning 48,660 (48,660) Auditing 3,350 (3,350) Assessor 1,600 1,600 Engineering 30,850 Est. (30,850) Economic Development Personal Services 13,065 Contractual Services 1,950 Material & Supplies 280 Fixed Charges 1,385 Capital Outlay 110 Total 3,445 13,345 9,900 Page 1 1998 Budget Analysis Expenditures (Continued) Over Budget Under Budget Net Police Department Personal Services 11,175 Contractual Services 1,600 Material & Supplies 2,500 Fixed Charges 1,080 Capital Outlay 5,980 Total 0 22,335 22,335 Fire Protection 3,100 3,100 Building Inspections Personal Services 5,175 Contractual Services 390 Material & Supplies 400 Fixed Charges 20 Capital Outlay 500 Total 390 6,095 5,705 Public Works- Street Maintenance Contractual Services 760 Material & Supplies 745 Fixed Charges 40 Total 40 1,505 1,465 Arborist 1,440 (1,440) Park & Recreation Personal Services 4,425 Contractual Services 4,120 Material & Supplies 1,480 Fixed Charges 1,430 Capital Outlay 225 Total 225 11,455 11,230 Contingency 5,060 5,060 Total Expenditures (over) /under budget (95,375) Page 2 1998 Budget Analysis Revenues Over Budget Under Budget Net Taxes 16,500 Est. 16,500 Business Licenses /Permits 1,470 1,470 Non - Business Licenses /Permits 50,400 (50,400) Fines & Forfeits 2,500 Est. 2,500 Intergovernmental Revenues 700 Est. 700 Charges for Services 24,250 Est. 24,250 Miscellaneous Revenues 23,050 Est. 23,050 Total Revenues over /(under) budget 18,070 Net Increase/ (Decrease) in Fund Balance (77,305) Page 3 r . CITY OF--- _ OAK PARK HEIGHTS 14168 N. 57th Street - Box 2007. Oak Park Hem MN 55082 - Phone: (612) 439 -4439 FAX 439 -0574 To: Mayor and Council From: Thomas Melena, City Administrator Subject: 1998 Budget modifications Date: June 5, 1998 We have made the modifications to the 1998 budget and are requesting approval of the amendments as presented in the enclosed memo. If you have any questions, please let me know. � � iii illiniuu Tree City U.S.A. To: Mayor and City Council From: Thomas Melena, City Administrator Subject: Revised Budget Date: May 26, 1998 With this letter, I am hereby transmitting to you, the City Council, the Revised 1998 Budget Document, completed in a modified program budget format. This document incorporates the necessary funding changes to support the operational modifications we have approved in the last few months. We do have a balanced budget with these changes and we would whole heartily recommend their approval. The highlights of these changes include: • Coverage of the cost for the Comm. Dev. Secretary * Coverage of the cost for Planning * Coverage of the cost for the Arborist • Coverage of the cost for the Secretarial Intern * Coverage of the cost for Engineering * Coverage of the cost for Parks & Recreation • Coverage of the cost for the Administrative Salary * Coverage of the cost for Legal * Coverage of the cost for Street Maint. /Sweeping • Coverage of the cost for the Supervisors Salary * Coverage of the cost for mediation program * Creation of a special City Council Contingency * Coverage of the cost for Economic Development *Coverage on the cost of increased lobbying * These $160,000 expenses are, in -turn, funded by $160,000 of increased revenues. Those being: * $80,000 10% Administrative Fee to Utilities (This will require a slight rate adjustment for super users of the system * $55,000 Administrative fee for the T.I.F. Economic Development work. * $25,000 Building Permit Fees Lastly, it has been recommended that we charge a 1 % Administrative Fee for any of our Special Assessment Bond Issuance work. We anticipate $2 million of bonding for this year. This would now generate about another $20,000 of revenues. I would recommend that we not dedicate these monies but that we hold these funds in reserve for any unanticipated emergencies or revenue short falls. We believe the document as presented will give you and the Department Heads a very good and thorough management tool. However, . as with all documents of this type, we are open to modifications or adjustments. As we review this document at the work session, we can then make those necessary adjustments. Thank you for your support, patience, and understanding as we have tried to address this project. I CITY OF OAK PARK HEIGHTS WASHINGTON COUNTY, MINNESOTA RESOLUTION 98 -06 -42 A RESOLUTION APPROVING CHANGES TO THE 1998 BUDGET WHEREAS, the City Council has received the amended 1998 budget for the City of Oak Park Heights, Washington County, Minnesota; and, WHEREAS, the City Council has determined that the amendments are appropriate to provide for a budget management tool. NOW THEREFORE BE IT RESOLVED, by the City Council of the City of Oak Park Heights that the amendments as attached are true and accurate and are now approved. Passed by the City Council of the City of Oak Park Heights, Washington County, Minnesota on this 9th day of June, 1998. CITY OF OAK PARK HEIGHTS David D. Schaaf Attest: Mayor Thomas M. Melena City Administrator 1998 BUDGET ADJUSTMENTS ORIGINAL BUDGET ANTICIPATED BUDGET ADJUSTMENT AMOUNT CITY CLERK $180,950 $237,500 $56,550 Personnel Services Full -time Salaries $119,875 $148,250 $28,375 Part-time Salaries $26,475 $42,500 $16,025 Contractual Services l Telephone $5,250 $5,450 $200 J Travel, Schools, Conference $5,000 $8,500 $3,500 Fixed Charges Memberships $500 $1,050 $550 PERA, ICMA $7,600 $12,400 $4,800 FICA, Medicare $11,200 $14,300 $3,100 TOTAL $175,900 $232,450 $56,550 AUDIT TOTAL $9,150 $11,000 $1,850 MAYOR & COUNCIL, LEGAL Professional Services $18,000 $31,150 $13,150 l TOTAL $18,000 $31,150 $13,150 1 ORIGINAL BUDGET ANTICIPATED BUDGET ADJUSTMENT AMOUNT POLICE DEPARTMENT Profesional Services Salaries $505,785 $510,225 $4,440 Contractual Services Other $10,000 $12,500 $2,500 Fixed Charges PERA $55,150 $55,650 $500 \ TOTAL $570,935 $578,375 $7,440 ) PLANNING TOTAL $30,900 $35,000 $4,100 ENGINEERING TOTAL $10,000 $22,000 $12,000 ECONOMIC DEVELOPMENT Personnel Services Salaries $0 $3,200 $3,200 Professional Services $0 $30,000 $30,000 Contractual Services /1 Telephone $0 $200 $200 Other $0 $500 $500 Materials & Supplies Office Supplies $0 $1,000 $1,000 Other $0 $500 $500 ORIGINAL BUDGET ANTICIPATED BUDGET ADJUSTMENT AMOUNT Fixed Charges PERA $0 $175 $175 FICA $0 $250 $250 TOTAL $0 $35,825 $35,825 PUBLIC WORKS- STREET MAINTENANCE Contractual Services $15,000 $19,000 $4,000 \ TOTAL $15,000 $19,000 $4,000 l ARBORIST Professional Services $2,400 $6,460 $4,060 PARKS & RECREATION Full -time Salaries $58,000 $61,700 $3,700 Severance $0 $4,780 $4,780 (fund balance reserves) Part-time Salaries $16,750 $21,225 $4,475 Fixed Chara_ es. PERA $3,000 $3,200 $200 \ FICA $4,550 $6,675 $2,125 ) TOTAL $82,300 $97,580 $15,280 CONTINGENCY $0 $10,000 $10,000 GENERAL MANAGEMENT /BUILDING Settlement (Roger Benson) $0 $1,840 $1,840 Utilities $11,875 $11,060 ($815) .3 n Memo To: Mayor and Council From: Thomas M. Melena Date: 01/21/99 Re: Clarification of Spring 1998 Budget Actions If you recall, in the Spring of 1998, anticipating a different need and courses of actions, the City Council authorized modifications to the 1998 budget. Part of those modifications were increases in revenues as well as increases in certain ^ expenditure lines. From the revenue standpoint, obviously we were pretty correct on what we thought we could count on for increased revenues. However, in certain line item cases, we were light in some areas, but we were heavy in others. A notable example would be our initial estimate for building permits based on how fast we thought VSSA would be in the ground. On the other hand, other line item accounts more than covered the shortage in the building permit area. As part of those modifications, it was suggested that there be three administrative fees used as well as more aggressive use of TIF monies. The initial fees laid out were water at $17,000, sewer for $32,000 and garbage at $31,000 and TIF at $55,000. Those line items were then adjusted and put in as revenue for the general fund budget. As it turns out, by using the formula for the water and sewer, the last amount should stand as initially stated, however, the garbage fee should be reduced to $14,575 and the TIF fee would be reduced to $37,600. The garbage fee is based on the 10% admin. fee and with reduced expenditures as well as revenues, that fee should therefore, be reduced to that amount. The TIF portion is the amount of dollars that were used within the staff and consultant realm that can be attributed to TIF. Please note that even • Page 1 r -*-, /-1*1 with these reductions as so outlined, the revenue stream for the city would be approxima $23,000 more than what had been anticipated, of which we have requested $18,000 be reallocated to the revenue side of the 1998 budget. The purpose of this memo is to male sure that we have clarification on the use of administrative fees in these four separate categories. These fees are based on recommendations by our auditor, which indicated we could charge upwards to 10% of these funds for all of the general administration items we are doing that are not covered in the employee hourly cost for day to day operations. These charges cover things such as the time for administration, finance, legal and other general administrative or consulting functions for these operations. If you have any further questions or comments, please let me know. Thomas M. Melena r-� • Page 2