The URL can be used to link to this page

Home My WebLink AboutItem 3.aMemorandum To: Mayor and Council From: Justin Miller, City Administrator Jerilyn Erickson, Finance Director Date: November 23, 2015 Subject: 2016 Proposed Budgets (Utilities/Liquor/General Fund) City of Lakeville Finance Department The purpose of this report is to provide the City Council with information regarding the 2016 proposed budgets for the Utility Funds, Liquor Fund and General Fund. PERSONNEL REQUESTS New positions included in the 2016 proposed budgets: o General Fund: ■ Street Dept -Maintenance II -effective 09/01/2016 ■ Police Dept -Technology Technician -effective 07/01/2016 ■ Operations/Maintenance - Construction Rep - effective 01 /01 /2016 o Other Funds: ■ Environmental Resources - Forester - effective 01/01/2016 (part-time) ■ Utility Dept - Maintenance II - effective 04/01/2016 WATER OPERATING FUND The Water Fund reflects the cost of operating the City's water system as well as water main repair projects. The 2016 budget includes both the 2015 Reconstruction Project Phase II and the 2016 Reconstruction Project. It also includes the addition of a Maintenance II position which is funded by the Water and Sewer Operating Funds. The revenues for water sales reflect a 10% increase for all tiers as well as the base charge for years 2016-2020. Despite these increases, the working capital balance declines every year and negative cash is projected in 2020. Revenues are currently covering operating costs, capital acquisitions and a portion of major maintenance costs, but are not sufficient to pay for the replacement of infrastructure. Historically, the Fund had sufficient reserves to pay for the replacement of infrastructure but starting in 2015, bonds had to be issued. Going forward, bonds will need to be issued to fund infrastructure replacement. Staff is recommending that a utility rate study be updated in 2016 to determine the appropriate level of rates to fund operations and replacement of infrastructure, minimize the use of bonds and maintain an appropriate level of reserves. SANITARY SEWER OPERATING FUND The Sanitary Sewer Fund reflects the cost of operating the City's wastewater system as well as sewer main repair projects. The 2016 budget includes lift station rehabilitation and replacement, other system major maintenance and the replacement of the Sterling Vactor ($462k). It also includes the addition of a Maintenance II position which is funded by the Water and Sewer Operating Funds. The revenues for sanitary sewer sales reflect a 5% increase for the sewer rate as well as the base charge for years 2016-2020 in order to maintain a relatively constant working capital balance. Staff is recommending that a utility rate study be updated in 2016 to determine the appropriate level of rates to fund operations and replacement of infrastructure, minimize the use of bonds and maintain an appropriate level of reserves. STREET LIGHT OPERATING FUND The Street Light Operating Fund reflects the cost of operating city street lights as well as replacement of existing lights. We anticipate increases from both Xcel Energy and Dakota Electric Association. The proposed 2016-2020 CIP did not include any street light replacements. Based on public meetings that have been held to discuss the Holyoke Improvement Project (2017), an estimated $400k of expenditures has been added to the Fund projections along with bond proceeds as a funding source. To maintain approximately 3 months of operating costs in reserve, an increase of $.28 or 3.5% per quarter for the Street Light fee is necessary. Future rate increases range from 5.0-15.0%. ENVIRONMENTAL RESOURCES OPERATING FUND The Environmental Resources Fund reflects the cost of managing, promoting and protecting the City's natural resources including lakes, wetlands, streams, prairies and woodlands. The 2016 budget includes the 205' Street Channel Phase II project, annual stormwater rehabilitation projects and improvements around City facilities to be in compliance with the MS4 permit. It also includes the addition of a part-time Forester position. The revenues for this Fund reflect a $.75 or 10.7% per quarter increase. This increase is specifically for funding the new Forester position. Future increases will be needed to fund ongoing operations and improvement projects. Regardless of the direction given on the new Forester position, Staff is recommending that the "Surface Water Management Fee" be changed to "Environmental Resources Fee" to be more transparent regarding the planned use of the fee. LIQUOR FUND The Liquor Fund budget reflects a lower net operating income for 2016 as compared to prior years. Net profits from the Liquor Operation are used to pay for administrative and technology support from the General Fund, police station bonds, as well as capital replacement in the Equipment Fund. The transfer to the Equipment Fund was decreased by $326k for 2016. The level of reserves has been declining in recent years due to the continued transfers exceeding the net income generated by the operation. GENERAL FUND 2015 Year End Estimates Staff has prepared year end revenue and expenditure estimates for the General Fund. The following chart summarizes the impact of those estimates: *Financial Policy: Unrestricted Range of 40% - 50% **Amended budget for transfer of unencumbered 2014 funds ($885k), grants, etc. The 2015 year end estimate includes assumptions that Staff believe are reasonable. Staff recognizes that actual activity will differ from the assumptions by varying degrees. A few areas that may have greater risk or opportunity from the assumptions are shown below: 2015 Original 2015 Amended 2015 Year End Building Permit Budget Budget" Estimate Net Change in Fund Balance $ 531,012 ($397,582) $ 334,508 Ratio: Fund Balance to Next 45.7% 42.0% 44.9% Year Expenditures* Fair Value Adjustment Fair Value Adjustment *Financial Policy: Unrestricted Range of 40% - 50% **Amended budget for transfer of unencumbered 2014 funds ($885k), grants, etc. The 2015 year end estimate includes assumptions that Staff believe are reasonable. Staff recognizes that actual activity will differ from the assumptions by varying degrees. A few areas that may have greater risk or opportunity from the assumptions are shown below: Assumption Risk Opportunity Building Permit 339 SF/TH Units 325 SF/TH Units 345 SF/TH Units ($50,000) $22,000 Investment $40,000 Rates Increase; Negative Rates Decrease; Positive Income Fair Value Adjustment Fair Value Adjustment Snowplowing Normal Levels for Increased number of Less than normal levels for November & snow events November & December December Fuel Based on current Increased cost of fuel Decreased usage contract prices and usage 2016 Revenue Changes in the General Fund The following changes have been incorporated into the current budget presented to you today: Revenues Totals Preliminary (includes Transfers In) - 09/14/2015 2.20% 25,663,375 Property Taxes Debt - Street Projects ( 85,000) Intergovernmental: (23,771) Total Grants (26,983) 4,500 Charges for Services: 147,801 168,170 Revise Engineering Fee Estimates (83,968) Adjust Engineering Fees for New Position 252,138 Total $25,751,045 *Single family building permits are budgeted at 300 for 2016. 2016 Expenditure Changes in the General Fund The following changes have been incorporated into the current budget presented to you today: Expenditure Totals Preliminary (Includes Transfers Out) - 09/14/2015 2.20% $25,270,084 Adjustments: Debt - Street Projects 168,607 Personnel - Adjust for Employee Turnover/Changes (23,771) Total Personnel - Delay hiring of Street Maintenance II (26,983) New O & M Construction Rep - Wages/Benefits/Vehicle/Etc. 147,801 Other 21,560 Transfers Out - Equipment Fund 50,000 Total $25,438,691 PROPERTY TAX LEVY Impact of Growth, Inflation and Other Factors In seeking ways to quantify community needs, the following data was considered by Staff when formulating a levy recommendation: 4 Low Community Growth 2.20% Consumer Price Index (CPI -U) 1.30% Debt - Street Projects 0.62% Replenish Tax Levy - One-time TIF Decertification Revenues ($85,000) 0.34% Total 4.46% 4 Proposed Property Tax Levy The proposed 2016 property tax levy is comprised of the following components: Fund Proposed 2016 Levy 8/24/15 Proposed 2016 Levy 11/23/15 Change from 2015 ($) Change from 2015 (%) General Fund $18,638,795 $18,553,795 $793,318 4.47% Street Reconstruction 50,000 50,000 0 0.00% Pavement Management Fund 1,191,550 1,191,550 0 0.00% Building Fund 300,000 51,000 0 0.00% Equipment Fund 300,000 250,000 (50,000) (16.67%) Park Improvement Fund 75,000 50,000 50,000 n/a Trail Improvement Fund 78,200 78,200 0 0.00% Debt Service Funds 5,455,074 5,455,074 157,752 2.98% TOTAL LEVY $26,088,619 $25,679,619 $951,070 3.85% The preliminary property tax levy was adopted in September at $25,940,248 which was an increase of $1,211,699 or 4.90% from the 2015 tax levy. The proposed tax levy is $260,629 less than the preliminary tax levy. Impact on Average Valued Home The average valued home increased 2.41 % from $268,203 to $274,673. The city portion of the property taxes is estimated to increase by $15. Of this increase, $27 would be due to the increase in the value of the property offset by a reduction of $12 with a 3.85% increase in the property tax levy. UTILITY FEE CHANGES The following chart reflects the fee changes that have been incorporated into the proposed revenues for each of the Utility Funds: 2016 2015 I Quarterly rates Basis Proposed Actual Increase Water base Account $ 4.38 $ 3.98 $ 0.40 10.0% Water tier 1 (<30 thousand gallons) Gallonage $ 1.03 $ 0.94 $ 0.09 10.0% Water tier 2 (30 - 49 thousand gallons)Gallonage $ 1.63 $ 1.48 $ 0.15 10.0% Water tier 3 (>49 thousand gallons) Gallonage. $ 2.79 $ 2.54 $ 0.25 10.0% Irrigation sprinkler accounts Gallonagd $ 2.79 1$ 2.54 $ 0.25 10.0% Water testing fee 1 $ 1.59 1 $ 1.59 $ - 0.0% Sanitary sewer base Sanitary sewer usage Account Gallonag( $ 7.19 1 $ 6.85 $ 3.56 $ 3.39 $ 0.34 5.0%I $ 0.17 5.0% Sanitary sewer non metered accounts Accountl $ 71.27 1 $ 67.87 1 $ 3.40 5.0%1 Street lights Environmental Resources Fee (Surface Water Management Fee) Account f.f. $ 8.42 $ 8.14 $ 0.2357 $ 0.2277 $ 0.28 3.5%I $ 0.0080 3.5% Account 1 $ 7.75 1 $ 7.00 1 $ 0.75 10.7%I The following chart reflects the impact of the proposed rate increases on a property using 18,000 gallons/quarter: Impact of Utility Rate Increases Quarter Water $2.02 Sewer $3.40 Street Lights $0.28 Environmental Resources $0.75 Tota 1 $6.45 This equates to $2.15 monthly and $25.80 annual increases for City water, sewer, street lights and environmental resource services. M BUDGET SCHEDULE Nov 23 Workshop - Budget Review Dec 7 Meeting - Public Budget Meeting (Truth in Taxation) / Possibly Adopt 2016 Budget, 2016 Tax Levy and 2016-2020 CIP Dec 21 Meeting - Adopt 2016 Budget, 2016 Tax Levy and 2016-2020 CIP (if needed) COUNCIL DIRECTION Staff is seeking direction regarding the final 2016 property tax levy and budgets as well as the 2016-2020 Capital Improvement Program in order to prepare the resolutions for the December 21, 2015 council meeting. Attachments: 1) Budgets/Projections for Utility Funds 2) Budget for Liquor Fund 3) Budget for General Fund 4) Facility Plan 5) Equipment Plan WATER OPERATING FUND Statement of Revenue, Expense and Changes in Working Capital Expenses Personnel services 918,358 960,734 2015 2015 2016 2017 2018 2019 2020 Commodities 2013 2014 ADOPTED ESTIMATED PROPOSED ESTIMATED ESTIMATED ESTIMATED ESTIMATED Contractual services ACTUAL ACTUAL BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET Revenues - 414,391 8,318,673 4,631,181 7,446,360 3,380,361 3,249,464 2,936,513 3,928,987 Water sales 3,123,871 2,985,043 3,423,662 3,062,451 $ 3,526,004 $ 3,888,829 $ 4,290,922 $ 4,736,011 $ 5,228,712 Penalties 161,503 149,411 161,503 161,503 161,503 161,503 161,503 161,503 161,503 Meter sales, net (963) 3,048 2,500 2,500 2,500 2,500 2,500 2,500 2,500 State of Mn - PERA 1,632 1,632 1,632 1,632 1,632 1,632 1,632 1,632 1,632 State of Mn - Petro cleanup grant - 2,828,773 _ - 3,298,981 _ - _ - DOH - Wellhead Protection grant 2,682 - _ _ _ Transfers to General Fund (144,573) (143,107) (146,652) Other grants (146,412) 8,928 - - _ _ - (66,684) Disposal ofassets (41,256) 22,946 4,500 4,500 4,500 4,500 4,500 4,500 4,500 Investment income (charges) (16,594) 48,774 28,988 24,336 21,424 17,824 14,946 10,577 5,068 Total Revenues 3,230,875 3,219,782 3,622,785 3,256,922 3,717,563 4,076,788 4,476,003 4,916,723 5,403,915 Expenses Personnel services 918,358 960,734 986,129 964,446 1,066,234 1,087,559 1,109,310 1,131,496 1,154,126 Commodities 264,275 302,106 366,252 324,565 337,082 343,824 350,700 357,714 364,868 Contractual services 1,194,969 1,032,375 1,254,657 1,156,197 1,235,537 1,260,248 1,285,453 1,311,162 1,337,385 Major maintenance projects - 414,391 8,318,673 4,631,181 7,446,360 3,380,361 3,249,464 2,936,513 3,928,987 Total Expenses 2,377,602 2,709,606 10,925,711 7,076,389 10,085,213 6,071,991 5,994,928 5,736,887 6,785,369 Net Operating Income (loss) 853,273 510,176 7,302,926 (3,819,467) (6,367,650) (1,995,203) (1,518,925) 820,164 (1,381,455) Other Receipts (Disbursements) Bond proceeds - 7,050,000 3,703,780 6,753,720 2,828,773 2,650,099 2,429,083 3,298,981 Transfers to Building Fund - _ - _ _ - _ Transfers to General Fund (144,573) (143,107) (146,652) (142,993) (146,412) (151,536) (156,840) (162,330) (168,011) Debt payments (66,684) (66,684) (399,893) (761,174) (1,323,576) (1,875,767) (2,163,815) Capital outlay acquisitions (2,414,170) (440,080) (68,624) (68,624) (63,841) (161,373) 89,960 (154,113) (193,215) Net Other (2,562,766) 587,210 6,768,040 3,425,479 6,143,574 1,754,690 1,079,723 236,873 753,940 Net Increase (Decrease) (1,709,493) (77,034) (534,886) (393,988) (224,076) (240,513) (439,202) (583,291) (627,515) Working Capital, January 1 7,374,867 5,665,374 6,177,704 5,588,340 5,194,352 4,970,276 4,729,763 4,290,561 3,707,271 Working Capital, December 31 5,665,374 5,588,340 5,642,818 5,994,352 $ 4,970,276 $ 4,729,763 $ 4,290,561 $ 3,707,271 $ 3,079,756 G:laudgetQ016 Budget\Budget Working\UTILITY CASH FLOW 2015 - 2016 LINKED TO REV: Water 11/20/2015 Revenues Sewer use fees State of Mn - PERA Grants Disposal of assets Investment income (charges) Total Revenues Expenses MCES charges Personnel services Commodities Contractual services Major maintenance projects Total Expenses Net Operating Income (loss) Other Recei Disbursements Bond proceeds Transfers from Environmental Res. Fund Transfers to General Fund Debt payments Capital outlay acquisitions Net Other Net Increase (Decrease) Working Capital, January 1 SANITARY SEWER OPERATING FUND Statement of Revenue, Expense and Changes in Working Capital 720,000 19,248 19,045 19,055 19,235 19,260 19,260 19,260 19,260 19,260 (148,367) (146,428) (150,220) (150,220) (146,428) (149,885) (149,885) (149,885) (149,885) 3,782 - - (25,200) (104,743) (104,743) (104,743) (133,758) (593,376) (68,624) (68,624} (501,282) (161,373) (89,960) _ (154,113) (193,215) 262,877 (720,759) 196,007 (199,609) 91,550 (317,198) 325,328 (389,481) (428,583) 108,619 (202,625) (22,393) (184,885) (1,072,893) (99,662) (22,301) 74,113 52,978 2,535,057 2,643,676 2,544,932 2,441,051 2,256,166 1,183,272 1,083,610 1,061,309 1,135,422 Working Capital, December 31 2,643,676 2,441,051 2,522,539 2,256,166 $ 1,183,272 $ 1,083,610 $ 1,061,309 $ 1,135,122 $ 1,188,399 G:IBudget12016 BudgellBudget WorkinglUTILITY CASH FLOW 2015 - 2016 LINKED TO REV: Sanitary Sewer 11/20/2015 2015 2015 2016 2017 2018 2019 2020 2013 2014 ADOPTED ESTIMATED PROPOSED ESTIMATED ESTIMATED ESTIMATED ESTIMATED ACTUAL ACTUAL BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET 4,455,298 4,707,611 4,966,743 4,712,496 $ 5,130,765 $ 5,414,602 $ 5,718,290 $ 6,039,744 $ 6,377,472 1,632 1,632 1,632 1,632 1,632 1,632 1,632 1,632 1,632 20,373 47,884 - - 25,000 - - (64,964) 11,332 4,500 4,500 114,500 5,250 5,250 5,250 5,250 (8,358) 37,639 18,187 19,087 16,750 10,261 8,749 8,622 9,132 4,403,981 4,806,098 4,991,062 4,737,715 5,288,647 5,431,745 5,733,921 6,055,248 6,393,486 3,092,195 3,297,982 3,253,486 3,253,486 3,263,530 3,426,707 3,598,042 3,777,944 3,966,841 628,232 641,555 711,807 713,677 794,026 809,907 826,105 842,627 859,479 64,745 63,253 88,484 96,041 99,067 101,048 103,069 105,131 107,233 227,200 273,738 303,401 276,517 349,557 356,548 363,679 370,953 378,372 20,113 11,436 460,270 383,270 1,946,910 520,000 540,000 495,000 600,000 4,032,485 4,287,964 4,817,448 4,722,991 6,453,090 5,214,210 5,430,895 5,591,654 5,911,925 371,496 518,134 173,614 14,724 1,164,443 217,535 303,027 463,594 481,561 720,000 19,248 19,045 19,055 19,235 19,260 19,260 19,260 19,260 19,260 (148,367) (146,428) (150,220) (150,220) (146,428) (149,885) (149,885) (149,885) (149,885) 3,782 - - (25,200) (104,743) (104,743) (104,743) (133,758) (593,376) (68,624) (68,624} (501,282) (161,373) (89,960) _ (154,113) (193,215) 262,877 (720,759) 196,007 (199,609) 91,550 (317,198) 325,328 (389,481) (428,583) 108,619 (202,625) (22,393) (184,885) (1,072,893) (99,662) (22,301) 74,113 52,978 2,535,057 2,643,676 2,544,932 2,441,051 2,256,166 1,183,272 1,083,610 1,061,309 1,135,422 Working Capital, December 31 2,643,676 2,441,051 2,522,539 2,256,166 $ 1,183,272 $ 1,083,610 $ 1,061,309 $ 1,135,122 $ 1,188,399 G:IBudget12016 BudgellBudget WorkinglUTILITY CASH FLOW 2015 - 2016 LINKED TO REV: Sanitary Sewer 11/20/2015 Revenues Street light fees Investment income (charges) Total Revenues Expenses Personnel services Commodities Contractual services Major maintenance projects Total Expenses Net Operating Income (loss) Other Recei Disbursements Transfers from/(to) General Fund Bond Proceeds Debt Service Payments Capital outlay acquisitions Net Other Net Increase (Decrease) Working Capital, January 1 STREET LIGHT OPERATING FUND Statement of Revenue, Expense and Changes in Working Capital 2015 2015 2016 2017 2018 2019 2020 2013 2014 ADOPTED ESTIMATED PROPOSED ESTIMATED ESTIMATED ESTIMATED ESTIMATED ACTUAL ACTUAL BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET 699,457 748,009 739,621 760,472 778,918 797,232 805,790 892,697 905,201 (385) 327 499 1,371 996 1,121 1,273 1,220 1,256 699,072 748,336 740,120 761,843 779,914 798,353 807,062 893,917 906,457 16,538 16,652 18,238 17,738 17,738 18,270 18,818 19,383 19,964 5 41 31 31 31 31 32 33 34 677,250 656,345 681,805 706,074 738,330 760,480 783,294 806,793 830,997 0 0 96,200 124,736 - 400,000 - 693,793 673,038 796,274 848,579 756,099 1,178,781 802,144 826,209 850,995 5,279 75,298 (56,154) 86,736 23,815 _ (380,428) 4,918 67,708 55,462 (3,794) (3,436) (3,568) (3,479) (3,538) (3,538) (3,538) (3,538) (3,538) 400,000 - - - (14,000) (58,191) (58,191) (3,794) 3,43 3,568 (3,479} (3,538) 396,462 (17,538) (61,729) (61,729) 1,485 71,862 (59,722) (90,215) 20,277 16,034 (12,620) 5,979 (6,267) 181,352 182,837 245,502 254,699 164,484 184,761 200,796 188,175 194,155 Working Capital, December 31 182,837 254,699 185,780 164,484 184,761 200,796 188,175 194,155 187,888 G:IBudget12016 Budget\Budget Working\UTILITY CASH FLOW 2015 - 2016 LINKED TO REV Street Light 11/20/2015 ENVIRONMENTAL RESOURCES OPERATING FUND Statement of Revenue, Expense and Changes in Working Capital 2015 2015 2016 2017 2018 2019 2020 2013 2014 ADOPTED ESTIMATED PROPOSED ESTIMATED ESTIMATED ESTIMATED ESTIMATED ACTUAL ACTUAL BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET BUDGET Revenues Environmental Resource Fees 685,567 700,430 694,606 718,641 787,096 821,392 877,987 937,977 1,001,567 Otherfees 2,105 2,566 2,500 4,350 4,350 4,350 4,350 4,350 4,350 Grants 153,509 52,105 44,892 52,292 52,292 50,000 50,000 50,000 50,000 Investment income (3,014) 13,415 3,812 3,506 3,446 3,716 2,427 1,914 1,674 Total Revenues 838,167 768,516 745,810 778,789 847,184 879,458 934,764 994,242 1,057,591 Expenses Personnel services 232,995 229,004 245,258 250,650 298,822 304,798 310,894 317,112 323,455 Commodities 26,276 28,577 26,561 48,136 34,997 35,697 36,411 37,140 37,882 Contractual services 217,566 277,575 530,083 408,053 702,660 451,713 460,747 469,962 479,362 Total Expenses 476,837 535,156 801,902 706,839 1,036,479 792,209 808,053 824,214 840,699 Net Operating Income (loss) 361,330 233,360 (56,092} 71,950 (189,296) 87,249 126,710 170,028 216,892 Other Recel Disbursements Transfers from/(to) General Fuad (143,697) (136,426) (141,377) (141,627) (144,527) (148,863 ) 153,329 ( ) (157,929) (162,666) Transfer to Building Fund - (460) Transfer to Equipment Fund - - (31,000) (31,000 ) 31,000 { ) (31,000) (31,000) Transfer to Sanitary Sewer Operating (19,248) (19,045 (19,055) (19,235) (99,260) (19,260) (19,260) (19,260) (19,260) Transfer from Water Fund 4,023 Transfer from Liquor Fund 1,396 2,989 874 1,898 1,967 1,967 1,967 1,967 1,967 Capital outlay acquisitions 121,669 {117,994} - (660) ('7,268) - - - Net Other (279.195) {270,936] (159,558) _ (159,624} (210,088) 197,156) (201,622) (206,222) (210,959} Net Increase (Decrease) 82,135 (37,576) (215,650) (87,674) (399,384) (109,907) (74,911) (36,194) 5,933 Working Capital, January 1 778,538 860,673 587,184 823,097 735,423 336,039 226,132 151,221 115,027 Working Capital, December 31 860,673 823,097 371,534 735,423 336,039 226,132 151,221 115,027 120,960 G:113udget=1I6 BudgetlBudget WorkingWTILITY CASH FLOW 2015 - 2016 LINKED TO REV: Environmental Resources 11/20/2015 LIQUOR FUND PROJECTED WORKING CAPITAL Total transfers __ (1,749,982) (1,369,063} 1,391,859 (1,397,678) (1,073,844} Net increase!(decrease) (438,017) (2,101,282) 2015 2015 2016 Working capital, January 1 2013 2014 ADOPTED ESTIMATED PROPOSED Working capital, December 31 ACTUAL ACTUAL BUDGET BUDGET BUDGET Revenues Liquor sales 15,381,124 14,883,888 14,764,135 13,561,103 13,882,928 Cost of goods sold _(11,432,525 (11,078,916) 11,093,360 (10,248,107} (10,497,922) Net revenues 3,948,599 3,804,972 3,670,775 3,312,996 3,385,006 fx� enses Personnel services 1,282,013 1,317,782 1,288,667 1,272,626 1,358,238 Commodities 50,973 52,476 66,420 56,582 72,276 Contractual services 844,285 866,128 875,561 907,904 846,686 Total expenses 2,177,271 2,236,386 2,230,648. 2,237,112 2,277,200 Net operatingincomel(loss) 1,771,328 1,568,586 1,440,127 1,075,884 1,107,806 Other Receipts (Disbursements) Interest income (13,469) 49,005 19,800 20,559 17,115 Federal energy grant _ _ _ _ Other income 14,049 11,023 7,500 7,500 7,500 Interest expense (162,842) (154,513) (145,879) (145,679) (136,950) Uncollectible checks Capital outlay acquisitions (132,101) (2,031,320) (39,399) (62,338) (107,915) Current portion of bonds payable (165,000) (175,000} (180,0 (180,000) 190,000 Total other (459,363) 2,300,805 (337,978} 360,158 (410,250} Net inc(dec) before transfers 1,311,965 (732,219) 1,102,149 715,726 697,556 Transfer to General Fund (Admin.) (117,282) (119,652) (124,876) (129,803) (131,345) Transfer to Gen Fund (technology) (45,206) (39,671) (40,297) (41,189) (41,625) Transfer to Environmental Resources (1,396) (2,989) (874) (874) (874) Transfer to Equipment Fund (837,738) (800,000) (825,812) (825,812) (500,000) Transfer to Building Fund (648,360) (6,751) Transfer to Fire Station #4 Bonds Transfer to Police Station Bonds 100,000 (400,000} (400,000} (400,000) (400,000) Total transfers __ (1,749,982) (1,369,063} 1,391,859 (1,397,678) (1,073,844} Net increase!(decrease) (438,017) (2,101,282) (289,710) (681,952) (376,288) Working capital, January 1 4,781,852 4,343,835 2,077,605 2,242,553 1,560,601 Working capital, December 31 4,343,835 2,242,553 1,787,895 1,560,601 1,184,313 G.Sudget12016 BudgetlBudget ProposedlLIQUQR BUDGET: BUDGET 11120!2015 CITY OF LAKEVILLE, MINNESOTA General Fund Schedule of Revenues, Expenditures and Changes in Fund Balances For the Year Ending December 31, 2015 759,814 809,935 807,651 806,513 (3,422) 2,401,607) 2015 (727,000} 2016 Change from 677,000 2013 2014 Adopted 2015 Preliminary 2015 Adopted (1,825,215) Actual Actual Budget Estimate _ Budget Budget 9,666,560 Revenues 11,071,769 11,406,277 1,652,240 (Amourt) (Perces) General property taxes $15,964,728 $16,844,083 $17,811,502 $ 17,811,502 $ 18,553,538 $ 742,036 4.2% Licenses and permits 2,087,937 2,159,364 1,968,416 2,523,267 1,855,528 (112,888) -5.7% Intergovernmental 797,372 809,596 827,661 1,131,362 988,816 161,155 19.5% Charges for services 2,037,504 2,499,340 2,939,577 3,058,073 3,149,629 210,052 7.1% Court fines 219;535 223,642 288,001 314,913 315,000 26,999 9.4% Investment income (27,206) 99,179 40,376 40,376 40,376 - 0.0% Miscellaneous 93,913 71,484 46,145 40,879 41,645 (4,500) -9.8% Total revenues 21,173,783 22,706,688 23,921,678 24,920,372 24,944,532 1,022,854 4.3% Expenditures General government Mayor and Council 91,761 93,122 97,411 98,117 99,866 2,455 2.5% Committees and Commissions 56,606 70,622 71,096 70,694 71,284 188 0.3% City administration 347,280 386,351 414,285 400,363 413,336 (949) -0.2% City Clerk 114,304 183,285 127,401 127,731 195,441 68,040 53.4% Legal counsel 72,033 53,495 82,351 78,178 78,178 (4,173) -5.1% Planning 361,156 418,192 429,809 440,360 458,036 28,227 6.6% Community and econ. development 293,513 272,594 300,526 292,679 297,952 (2,574) -0.9% Inspections 840,837 893,563 854,922 943,812 1,000,761 145,839 17.1% General government facilities 401,024 392,356 433,123 417,500 427,117 (6,006) -1.4% Finance 612,903 639,522 665,298 710,963 718,826 53,528 8.0% Information systems 460,185 472,685 530,931 535,149 543,979 13,048 2.5% Human resources 334,446 344,028 378,472 473,262 490,511 112,039 29.6% Insurance 227,420 289,075 322,100 322,100 182,180 (139,920) -43.4% Public safety Police 8,648,351 8,790,329 9,211,309 9,365,738 9,693,385 482,076 5.2% Fire 1,469,731 1,519,138 1,639,147 1,678,791 1,753,089 113,942 7.0% Public works Engineering 666,090 715,285 712,273 702,200 785,343 73,070 10.3% Operations and Maintenance - 144,811 553,796 574,486 652,545 98,749 17.8% Streets 3,100,857 3,040,942 2,994,209 2,936,529 3,321,247 327,038 10.9% Parks and recreation Parks 2,135,103 2,212,461 2,388,645 2,377,622 2,442,197 53,552 2.2% Recreation 562,675 602,430 608,476 661,393 622,974 14,498 2.4% Heritage Center 90,419 101,236 104,516 97,475 98,770 (5,746) -5.5% Arts Center 425,994 425,771 448,505 476,373 479,173 30,668 6.8% Other - = 105,000 -562,501 457,501 435.7% Total expenditures 21,312,688 22,061,293 23,473,601 23,781,515 25,388,691 1,915,090 8.2% Excess (deficiency) of revenues over expenditures (138,905) 645,395 448,077 1,138,857 (444,159) (892,236 -199.1% Other fmancin sources uses Transfer from other funds Transfer to other funds Total other financing sources (uses) Net change in fund balance Fund balance, January I Fund balance, December 31 Ratio: Fund balance to CY expenditures Ratio: Fund balance to NY expenditures 715,297 759,814 809,935 807,651 806,513 (3,422) 2,401,607) - (727,000} (1,612,000) 50,000 677,000 (1,686,310) 759,814 82,935 (804,349) 756,513 673,578 (1,825,215) 1,405,209 531,012 334,508 312,354 (218,658) 11,491,775 9,666,560 9,754,037 11,071,769 11,406,277 1,652,240 $ 9,666,560 $11,071,769 $10,285,049 $ 11,406,277 $ 11,718,631 $ 1,433,582 45.4% 50.2% iLm 48.0 s°l ALM 112% GABudget12016 BudgetlBudget ProposeMBudget Exp by Dept & Revenues 2015-11-23 COUNCIL WORKSHOP 11.23.2015 -0.4% -93.1% 812.2% -41.2% 16.9% 13.9% CITY OF LAKEVILLE ' 2015 - 2025 FACTLITY PLAN Use of Funds: Art Centel Central Maintenance Facility City Hall Fire Station #1 Fire Station #2 Fire Station #3 Fire Station #4 Heritage Center Galaxle Liquor Store Kenrick Liquor Store Liquor Store Interfund Loan Police Station Public Works Storage Facility Radio Communications Building Water Treatment Barn Water Treatment Facility Total Use of Funds Source of Funds: Interest Earnings (2%) Annual Levy (Building Fund) General Fund Contribution Liquor Fund Contribution Communications Fund Contribution Liquor Fund Water Fund Energy R Bond Pr( Total Source of Change in Fund BI Beginning Fund BI Ending Fund 11 - Council Worlrshop 11.23.2015 2015 2015 Est'd 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025T- -- $ 48.575 $ 73565 $ 216,150 $ 101,292 ' 47,375 $ 10;800 $ $ - $ $ - $ 45,000 $ 420,617 40.850 77,119 102.300 92700 203.000 - 36,000 80,000 7,000 - 521,000 293,500 368,396 339450 275,650 77.000 145.000 75,000 175,000 - - 1,087,100 173:000 157.114 42,550 - - 15.000 - 14,800 - - 72,350 134500 125,231 16100 5300 13,800 - 5,900 41,100 10,700 5-475 13 000 4 800 6850 3.800 - -150,000 28,450 2,400 4.825 11400 7f200 26,000 115.000 - 4,800 - 164,400 94.950 186 350 80,800 39;000 30,000 60,400 54.000 56,000 - 320,200 - - 11.475 2,500 65,000 78,975 89.000 89,000 64,500 46.100 6.400 113 000 - 230,000 4,100 3,819 19,050 55.500 36,000 160,000 - 60,000 330,550 671,800 1 671.8001 62,775 15,000 - 27,200 32,000 - 11,006 147,975 $ 1563,175 1 $ 1762,694 1 $ 979,550 $ 645,042 $ 432.625 $ 491,200 $ 274.6001$ 424,000 $ 112,000 $ 21,800 $ 11,000 $ 50,900 $ 3,442,717 $ - $ - $ - _ - $ $ - $ - $ - $ - $ - $ $ - $ 51.000 51,000. 51,000 250,000 350.000 450-000 450,000 450,000 450,000 450,000 450,000 450,000 3,801,000 150,000 - - -150,000 89,000 89,000 75,975 48.600 6,400 113.000 65,000 308,975 671,800 671,800 62,775 15 oC0 - 27,200 32,000 11,000 147,975 27.000 27,100 _ - 122,371 122.711 650,000 - - - - - 650,000 $ 961,171 $ 961.511 $ 989.750 $ 313,600 $ 356.400 $ 450.000 $ 563000 $ 542,200 $ 482,000 $ 450,000 S 461,000 $ 450,000 $ 5,057,950 $ (602,004) $ (801,183) $ 10.200 $ (331,442) $ (76.225) $ (41.200) $ 288,400 $ 118,200 $ 370,000 $ 428,200 $ 450,000 $ 399,100 $ 1,615,233 $ 1.375010 $ 1,375,010 $ 573,827 $ 584,027 $ 252,585 $ 176-360 $ 135160 $ 423,560 $ 541,760 $ 911,760 $ 1,339,960 $ 1,789,960 $ 773008.$ 673,827,$ 584,027 $ 252,585 $ 176.360 $ 135-160 $ 423,560 $ 541,760 $ 911,760 $ 1,339,960 $ 1,789,960 $ 2.189.060 G'NCIP1201SR016-2020nFacllk&AFmftti Plan 2016-2025- oRArr3015.11.23:Plan SgMMary Page iof1 11/20,2015 CITY OF LAKEVILLE 2015 - 2025 EQUIPMENT PLAN rl- 2014 CF + Use of Funds: City Elect Information Sysl Inspect R Pc Stn Total Use of Ft. Source of Funds: Interest Earnings Annual General Fund Contrit Liquor Fund Contrit Communications Fund Contrit Pavement Mgml Fund Contrit Environmental Res Fund Contrit Auction/Sale Proc Sond Pn Total Source of Change in Fund & Beginning Fund & Ending Fund & Council W(u*shop 77.23.2015 2016-20 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Totals $ - $ - $ 69.347 $ 21,528 $ 4,487 $ 7.560 $ 12 722 $ 10,894 5,843 $ 13,835 $ 26,667 30,322 $ 30,322 a 30.322 $ $ $ - $ - $ - $ - $ $ 750,000 $ 561-534 877,260 678,784 232,247 265-000 88,000 663,000 1,075,000 20,000 70,000 - 591,000 60,644 3,703,031 87,926 83,953 557.679 426,039 375787 344,070 83,953 135,079 560,523 464,203 265,816 240,681 3,473,830 - - 600.000 600,000 - 22,460 22,460 22,460 22,460 - 89,840 364,972 371,308 335,092 602-545 328.985 205.570 390.315 128,900 384,525 312,725 429,575 486,800 3,605,032 304,441 415,423 220,971 702.736 1214,174 281,000 461-046 634,500 390,000 500,486 600,758 495,740 5,501,411 865,312 901,321 1,408730 1.285.565 987,908 1,236,794 361,830 373,492 334,716 764,688 1,109,912 652,892 8,516,527 $ 2,21o.852 I $ 2.679,597 I $ 3231 578 $ 3,279.454 $ 3,191.854 $ 2,155,434 $ 1960.144 1 $ 2,369,431 $ 1,712,224 $ 2,134,562 $ 3,039,521 $ 1,876,113 1 $ 24,950,315 $ - $ - $ 69.347 $ 21,528 $ 4,487 $ 7.560 $ 12 722 $ 10,894 5,843 $ 13,835 $ 14,541 $ 1,161 $ 151,916 30(1,000 300.000 250,000 450,000 600,000 750,000 1,000,000 1,250,000 1,250,000 1,300,000 1,500,000 1,600,000 9,950,000 727,000 877,000. 50,000 - - - - 50,000 825,812 825 812 500000 600.000 600,000 600,000 600.000 600,000 600,000 600,000 600,000 600,000 5,900,000 495 -ODD 495,000 100,000 - - - - - - 100,000 524,000 524,000 100,000 100 000 85.000 - - - - 285,000 - - 31.000 31.000 31000 31000 31,000 31,000 31,000 31,000 31,000 31,000 310,000 225,864 201,870 260,175 225.000 225400 225,000 225,000 225,000 225,000 225,000 225,000 225,000 2,275,175 - - 1000,000 1;800,000 800.000 31600,000 $ 3,097.616 $ 3.223,682 $ 1.340522 $ 2,427,526 $ 3,345,487 $ 2.413.560 $ 1868.722 $ 2,116,894 $ 2,111,843 $ 2,169,835 $ 2,370,541 $ 2,457,161 $ 22,622,091 $ 886,764 $ 544.085 $ (1,891,056) $ (851928) $ 153,633 $ 258,126 $ (91422) $ (252,537) $ 399,619 $ 35,273 $ (668,980) $ 581,048 $ (2,328,224; $ 2.423.24T $ 2,423 247 $ 2,967 332 $ 1.076,276 $ 224,348 $ 377.981 S 636.107 $ 544,686 $ 292,148 $ 691,768 $ 727,041 $ 58,061 $ 3310,011 $ 2,967,332 $ 1(176.276 $ 224,348 $ 377,981 $ 636107 $ 544,686 $ 292,148 $ 691,768 $ 727,041 $ 58,061 $ 639.108 "Vehicles and major equipment purchases Does not include vehicles for. Engineering, Operations & Maint, Environmental Resources, Utility Funds G:M\2015(2016-2a20)\Equ1pment\Egmipm tPlan 2026-2025- ORAFr2015.11.23: Plsn Sa-n Page iof} 22/2012015