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HomeMy WebLinkAbout1994 08-15 CCP Work Session CITY COUNCIL AGENDA CITY OF BROOKLYN CENTER AUGUST 15, 1994 7 p.m. Council Work Session :. I'T5� HATyJ,.COUNCIL.CfER....:: >' `:. >;':: ` >< ` >:` 1. Call to Order 2. Roll Call 3. Discussion Items: Joint Discussion of 1995 Preliminary Budget and Levy - City Council and Financial Commission 4. Auditor's Selection Process 5. Adjournment MEMORANDUM TO: Mayor Todd Paulson Chairman Donn Escher Councilmember Kristen Mann Commissioner Denis Kelly Councilmember Dave Rosene Commissioner Lee Anderson Councilmember Barb Kalligher Commissioner Vi Kanatz Councilmember Celia Scott Commissioner Larry Peterson Commissioner Ned Storla Con0dissioner Ron Christensen FROM: Gerald G. Splinter, City Manage, DATE: August 12, 1994 SUBJECT: 1995 City Manager's Preliminary Budget and Property Tax Levy Report Attached please find a preliminary version of the city manager's preliminary 1995 budget and tax levy report. This document is labeled preliminary because some revenue and expenditure estimates could change in the next 30 days. Our 1995 budget calendar indicates the City Council is to review the preliminary 1995 operating budget and levy in a joint meeting with the Financial Commission on Monday, August 15, 1994. This calendar schedules the last day for adoption under State law of the preliminary operating budget and tax levy as Council's regular scheduled meeting of September 12, 1994. In previous years, the time between the joint meeting of the City Council and the Financial Commission was used by both bodies to review the preliminary budget and levy. At a September Council meeting the Financial Commission makes recommendations and comments regarding the city manager's preliminary budget and levy. The general purpose of the joint session was to give both the City Council members and Financial Commission members an opportunity to review the staffs budget presentation and exchange views and comments on the preliminary budget so that the next approximately 30 days can be used to thoroughly consider the preliminary budget and levy. The joint session will commence at 7 p.m. on Monday evening, and I am scheduled to appear before the Brooklyn Center School Board meeting at 8:30 p.m. regarding our proposed tax increment district. Both Assistant City Manager Nancy Gohman and Assistant Finance Director Tim Johnson will be available should your discussions extend past the 8:30 p.m. time limit. If any Council members or Commission members have any questions, please do not hesitate to contact me. Attachments Cmmcil Meeting Date 31 City of Brooklyn Center Agenda Item Number Request For Co uncil Consideration Item Description: 1995 City Manager's Preliminary Budget and Property Tax Levy Report Department Approval: PRELIMINARY Gerald G. Sp nter, City Manager Manager's Review/Recommendation: No comments to supplement this report Comments below /attached Recommended City Council Action: I recommend your favorable consideration of the attached resolution establishing the preliminary 1994 levy and budget figures to be adopted prior to September 15, 1994, in accordance with State law. Summary Explanation: (supporting documentation attached Attached is a summary of the 1995 City Manager's Preliminary Budget. This preliminary budget is designed to give the City Council sufficient information to approve a preliminary 1995 property tax levy and budget total by the September 15, 1994, certification deadline established by State law. Counties are responsible under the same law and regulation for mailing parcel specific tax notices notifying property owners of the required hearings to be held by cities, schools, counties, and other taxing districts between November 15 and December 20 of each year. Under State law, cities must finalize their property tax levies and budgets prior to December 30, 1994. The 1995 preliminary budget is being submitted based on preliminary estimates of revenues and expenditures. Please understand these are preliminary figures which must be finalized in October and November and, as in past years, are subject to considerable modification and change. The 1995 preliminary maximum budget levy of $6,228,287 would increase taxes on a $73,000 Brooklyn Center home by $31.71 per year or $2.64 per month. During October and November we will have more reliable figures on which to finalize the 1995 proposed budget. As in previous years, the City Council should understand whatever you set the preliminary tax levy at for the 1995 budget, it cannot be exceeded at a later time. You can levy less than what you establish in the preliminary 1995 levy but you cannot increase it. While ou certify the 1995 preliminary proposed bud y fY P az'Y P Po et amount in the same g fashion as the levy, e law allows o vy, y ou to increase the total budget amount but not the property tax levy amount. There are a number of significant factors actors which contribute to the complexity of the 1995 preliminary budget and levy report and they are as follows: 1. The 1995 preliminary budget calls for a 4% increase ($436,538) in general fund spending. In the general fund, non - property tax revenues are increasing by $25,280 in 1995. This contrasts Request For Council Consideration Page 2 to 1994 which experienced a decrease from 1993. However, that still means that $411,258 of the general fund's $436,538 budget increase must be raised from the property tax. 2. The E.D.A. tax levy returns to the maximum allowed by State law compared to a levy that was $10,000 less than the maximum in 1994. 3. The H.R.A. tax levy is projected to decrease slightly as it is directly related to the taxable g Y Y market value of the City which has declined in the last year. 4. The 1995 preliminary budget includes a $72,116 property tax levy for debt service on street improvement bonds compared to zero bond payments in 1994. 5. One police officer is added to be a school liaison officer and the school will reimburse the City for 75 % of the base pay. 6. One art -time secr in the Cit Ma er's /E.D.A. d artments is converted to full-time. P �'Y Y g departments 7. The police department will get mobile data terminals in all squad cars at an annual cost of $45,000. 8. The City's comprehensive plan will be updated through a $40,000 appropriation in the community development department. 9. Capital outlays are up primarily because the general fund is paying $34,300 to the central garage fund for one item of additional equipment and $80,895 to cover the difference between accumulated depreciation and replacement cost on other equipment purchases. 10. In the 1994 budget, the City instituted a 2 % estimated uncollectible allowance for property taxes. Based on continued shortfalls in collections and the recommendations of the City's auditors, Deloitte & Touche, that allowance is raised to 3 % in the 1995 budget. This factor increases the 1995 budget taxes by $63,466. 11. An additional transfer of $450,000 from the special assessment debt service fund and $200,000 from the general fund will be made during 1994 to the central garage fund to help cover inflation in the replacement cost of vehicles and equipment between the time of their original purchase and their eventual replacement. 12. We, at this time, do not have final H.A.C.A. aid figures from the State of Minnesota and we are still refining other expenditure and revenue estimates. An additional complicating factor in the 1995 budget will be the tax impact on homestead single- family homes will be magnified by the fact that our commercial and industrial tax base has shrunk from its 1994 levels. Because commercial and industrial properties pay a significantly higher property tax rate as a percent of value, when their value drops, those taxes shift to other properties and in this case largely to single- family homestead properties. Our assessor points out the 4% increase in our overall budget will result in an increase of 15.5 % in the tax on a $73,000 Brooklyn Center home. A significant portion of this increase is due to a shift in taxes from commercial and industrial to homestead properties because of the reduced value and lowered classification rates of commercial and industrial properties in Brooklyn Center. This is a phenomena which is impacting virtually all communities. As the Council reviews the 1995 preliminary budget, you can use a rule of thumb that each $100,000 in levy (spending) equates to a $4.20 annual tax increase on an average $73,000 home. Request For Council Consideration Page 2 to 1994 which experienced a decrease from 1993. However, that still means that $411,258 of the general fund's $436,538 budget increase must be raised from the property tax. 2. The E.D.A. tax le returns to the maximum allowed b State law compared to a le that was �'Y Y P �'Y $10,000 less than the maximum in 1994. 3. The H.R.A. tax levy is slightly reduced because it was at the maximum in 1994 and the total estimated market value declined for 1995. 4. The 1995 preliminary budget includes a $72,116 property tax levy for debt service on street improvement bonds compared to zero bond payments in 1994. 5. One police officer is added to be a school liaison officer and the school will reimburse the City for 75 % of the base pay. 6. One part-time secretary in the City Manager's /E.D.A. departments is converted to full-time. 7. The police department will get mobile data terminals in all squad cars at an annual cost of $45,000. 8. The City's comprehensive plan will be updated through a $40,000 appropriation in the community development department. 9. Capital outlays are up primarily because the general fund is paying $34,300 to the central garage fund for one item of additional equipment and $80,895 to cover the difference between accumulated depreciation and replacement cost on other equipment purchases. 10. In the 1994 budget, the City instituted a 2 % estimated uncollectible allowance for property taxes. Based on continued shortfalls in collections and the recommendations of the City's auditors, Deloitte & Touche, that allowance is raised to 3 % in the 1995 budget. This factor increases the 1995 budget taxes by $63,466. 11. An additional transfer of $450,000 from the special assessment debt service fund and $200,000 from the general fund will be made during 1994 to the central garage fund to help cover inflation in the replacement cost of vehicles and equipment between the time of their original purchase and their eventual replacement. 12. We, at this time, do not have final H.A.C.A. aid figures from the State of Minnesota and we are still refining other expenditure and revenue estimates. An additional complicating factor in the 1995 budget will be the tax impact on homestead single - family homes will be magnified by the fact that our commercial and industrial tax base has shrunk from its 1994 levels. Because commercial and industrial properties pay a significantly higher property tax rate as a percent of value, when their value drops, those taxes shift to other properties and in this case largely to single - family homestead properties. Our assessor points out the 4 % increase in our overall budget will result in an increase of 15.5 % in the tax on a $73,000 Brooklyn Center home. A significant portion of this increase is due to a shift in taxes from commercial and industrial to homestead properties because of the reduced value and lowered classification rates of commercial and industrial properties in Brooklyn Center. This is a phenomena which is impacting virtually all communities. As the Council reviews the 1995 preliminary budget, you can use a rule of thumb that each $100,000 in levy (spending) equates to a $4.20 annual tax increase on an average $73,000 home. Request For Council Consideration Page 3 Eliminated from departmental requests for 1995 were a number of major requests: 1. Three police officers requested by the police department, as well as the additional squad car and equipment needed for this addition. 2. One code enforcement officer position requested jointly by the police and community development departments. 3. A full-time fire marshal /inspector position and the third person duty crew requested by the fire department. 4. One dump truck requested by the street department. 5. One full-time park maintenance and two converted from part-time to full-time custodial maintenance personnel requested by the building and grounds and recreation departments. 6. Approximately $60,000 in computer and equipment requests including a computer disaster recovery plan. 7. The image campaign $30,000; to hire a consultant to develop and help implement such a program for the City. Also, the intern in communications $2,500 who would have developed a customer /shopper program to monitor staff customer service. I recommend the City Council approve the attached resolution setting the 1995 preliminary property tax levy for Brooklyn Center at $6,148,684 and the preliminary 1995 general fund budget total at $11,349,983. Under State law, the preliminary property tax levy cannot be exceeded once the City Council approves the preliminary budget. The budget figure can be exceeded later if authorized by the City Council. Because you can only lower the preliminary property tax levy, we recommend the 1995 preliminary levy be set on the high side to allow you flexibility in considering the proposed 1995 budget and levy in December. It is my intention to submit to the City Council the City Manager's Proposed Budget for 1995 by mid - October. This document will have more reliable figures in which you can make intelligent and informed decisions. This preliminary document is designed strictly to establish the required preliminary property tax levy and budget figures to comply with State notice requirements. This year your staff will again be working closely with the financial commission in reviewing the proposed 1995 budget. prelimly \combrev2 CITY OF BROOKLYN CENTER, MINNESOTA COMBINED ANNUAL OPERATING BUDGET INCLUDING THE GENERAL FUND DEBT RETIREMENT FUNDS - ECONOMIC DEVELOPMENT AUTHORITY (EDA) SPECIAL OPERATING FUND 1995 PRELIMINARY RESUME OF REVENUE AND ESTIMATED REVENUE 1995 1995 % 1992 1993 1994 1995 Increase Increase Actual Actual Budgeted Estimated - Decrease - Decrease Revenue Revenue Revenue Revenue From 1994 From 1994 I. GENERAL PROPERTY TAXES General Fund Levy 3,896,362 4,629,537 5,489,414 5,900,672 411,258 7.49% Debt Retirement Levy 632,150 220,998 72,116 72,116 EDA Special Levy 0 140,750 129,256 136,374 7,118 5.51% HRA Special Levy 128,362 121,682 121,525 119,125 -2,400 -1.97% ---- - - - - -- ---- - - - - -- ---- - - - - -- ---- - - - - -- -- - - - - -- - - - - -- Total Property Taxes 4,656,874 5,112,967 5,740,195 6,228,287 488,092 8.50% ---- - - - - -- ---- - - - - -- ---- - - - - -- ---- - - - - -- - - - - - - -- - - - - -- II. LODGING TAXES 394,960 376,146 360,000 395,000 35,000 9.72% III. BUS. LICENSES & PERMITS 168,494 136,210 159,600 153,100 -6,500 -4.07% IV. NONBUS. LIC. & PERMITS 163,691 164,269 129,700 140,800 11,100 8.56% V. INTERGOVERNMENTAL REV. General Fund 3,133,495 3,167,212 3,319,818 3,364,679 44,861 1.35% EDA Special Levy 34,792 36,483 36,483 0 0.00% HRA Special Levy 14,497 16,304 17,835 17,835 0 0.00% Debt Retirement Fund 157,200 58,410 0 0 0 Comm Dev Block Grant 251,747 240,781 235,627 261,194 25,567 10.85% -- -- - - - - -- ---- - - - - -- ---- - - - - -- ---- - - - - -- -- - - - - -- - - - - -- Total Intergovmt. Rev. 3,556,939 3,517,499 3,609,763 3,680,191 70,428 1.95% ---- - - - - -- ---- - - - - -- ---- - - - - -- ---- - - - - -- -------- _ - - - -- VI. GEN. GOVERN. CHARGES 34,934 37,968 35,100 32,500 2,600 7.41% VII. PUBLIC SAFETY CHARGES 25,669 16,861 22,100 18,100 -4,000 - 18.10% VIII. RECREATION FEES 734,273 784,056 879,713 843,132 - 36,581 -4.16% IX. FINES 6 FORFEITURES 148,701 140,104 144,000 112,000 - 32,000 - 22.22% X. MISCELLANEOUS REVENUE Sale of Certificates 480,000 120,000 0 0 0 Other Revenue General 301,771 279,212 184,000 200,000 16,000 8.70% EDA 142,485 113,750 115,000 66,100 - 48,900 - 42.52% Debt Retirement 23,339 16,628 0 0 0 - - - - -- ---- - - - - -- ---- - - - - -- --- - - - - - -- -- - - - - -- - - - - -- Total Miscl. Revenue 997,595 529,590 299,000 266,100 - 32,900 - 11.00% - - - - -- ---- - - - - -- ---- - - - - -- ---- - - - - -- -- - - - - -- - - - - -- XI. TRANSFERS -OTHER FUNDS To General 140,000 175,000 190,000 190,000 0 0.00% - - - - -- ---- - - - - -- ---- - - - --- ---- - - - - -- -- - - - - -- -- - - -- Total Transfers -Other 140,000 175,000 190,000 190,000 0 0.00% ---- - - - - -- ---- - - - - -- ---- - - - - -- ---- - - - - -- -- - - - - -- - - - - -- TOTAL REVENUE & TRANSFERS 10,972,130 10,990,670 11,569,171 12,059,210 490,039 4.24% TOTAL GENERAL FUND 9,622,350 10,026,575 10,913,445 11,349,983 436,538 4.00% TOTAL DEBT RETIREMENT FUND 812,689 296,036 0 72,116 72,116 TOTAL EDA SP. OPER. FUND 394,232 530,073 516,366 500,151 - 16,215 -3.14% TOTAL HRA SP. OPER. FUND 142,859 137,986 139 136,960 -2,400 -1.72 - --- - - - - -- ---- - - - - -- ---- - - - - -- ---- - - - - -- -- - - - - -- - - - - -- TOTAL BY FUND 10,972,130 10,990,670 11,569,171 12,059,210 490,039 4.24% 8/11/94 pre1im1y \gnfdrev2 CITY OF BROOKLYN CENTER, MINNESOTA ANNUAL OPERATING BUDGET GENERAL FUND 1995 PRELIMINARY RESUME OF REVENUE AND ESTIMATED REVENUE 1995 1995 1995% 1993 1994 Esti- Increase Increase Acct. Actual Budgeted mated - Decrease - Decrease No. Revenue Revenue Revenue From 1994 From 1994 I. GENERAL PROPERTY TAXES Ad Valorem Levy 3011 4,630,564 5,601,443 6,083,167 481,724 8.60% Estimated 2% Uncollectable - 112,029 - 182,495 - 70,466 62.90% - - - - -- --- - - - - -- --- - - - - -- --- - - - - -- -- - - -- Total 4,630,564 5,489,414 5,900,672 411,258 7.49% II. LODGING TAXES 3021 376,146 360,000 395,000 35,000 9.72% --- - - - - -- --- - - - - -- --- - - - - -- --- - - - - -- - - - - -- III. BUSINESS LICENSES AND PERMITS Liquor Licenses 3111 98,617 107,300 107,300 0 0.00% Beer Licenses 3112 5,460 5,400 5,400 0 0.00% Garbage Licenses 3113 2,005 2,100 2,000 -100 -4.76% Taxicab Licenses 3114 540 400 500 100 25.00% Mechanical Licenses 3 115 3,935 3,400 4,000 600 17.65 Service Station Lics. 3119 2,326 1,700 1,700 0 0.00% Motor Vehicle Dealers 3120 950 1,000 1,000 0 0.00% Bowling Alley Licenses 3121 708 700 700 0 0.00% Miscl. Business Lics. 3124 1,795 1,000 1,600 600 60.00% Cigarette Licenses 3126 1,010 1,000 1,300 300 30.00% Sign Permits 3128 3,177 2,000 2,000 0 0.00% Rental Dwell. Licenses 3129 11,089 28,000 20,000 -8,000 - 28.57% Amusement Licenses 3132 5,098 5,600 5,600 0 0.00% - - - - - -- - - - -- -- - - - - - -- - - - - - -- - - - - -- Total 136,210 159,600 153,100 -6,500 -4.07% - - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- IV. NONBUSINESS LICENSES AND PERMITS Dog Lics. & Pound Fees 3150 4,796 5,700 4,800 -900 -15.79% Building Permits 3151 111,262 95,000 100,000 5,000 5.26% Mechanical Permits 3152 31,905 20,000 25,000 5,000 25.00% Sewage & Water Permits 3153 620 1,000 1,000 0 0.00% Plumbing Permits 3154 15,701 8,000 10,000 2,000 25.00% Electrical Permits 3157 35 0 0 0 - - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- Total 164,269 129,700 140,800 11,100 8.56% - - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- 0 8/11/94 1995 1995 1995% 1994 Esti- Increase Increase Acct. 1993 Budgeted mated - Decrease - Decrease No. Actual Revenue Revenue From 1994 From 1994 V. INTERGOVERNMENTAL REVENUE Fed. Civil Def. Reimb. 3212 14,495 6,000 6,000 0 0.00% State Police Drug Asst 3242 11,348 0 0 0 State Police Training 3247 11,415 10,000 10,000 0 0.00% State Local Govt. Aid 3250 1,697,803 1,757,227 1,799,076 41,849 2.38% State Pol. Pension Aid 3252 205,637 195,988 205,000 9,012 4.60% State Fire Pension Aid 3254 64,039 70,000 64,000 -6,000 -8.57% State Homestead Credit 3255 1,162,475 1,280,603 1,280,603 0 0.00% --- - - - - -- --- - - - - -- --- - - - - -- --- - - - - -- - - - - -- Total 3,167,212 3,319,818 3,364,679 44,861 1.35% --- - - - - -- --- - - - - -- --- - - - --- --- - - - - -- - - - - -- VI. GENERAL GOVERNMENT CHARGES Plan. Comm. Appls. 3310 7,300 5,600 5,000 -600 - 10.71% Zoning & Sp. Use Prmts. 3311 2,885 1,500 2,100 600 40.00% Reinspection Fee (HM) 3312 0 1,500 0 -1,500 100.00% Metro Sec. 8 Inspcts. 3317 13,344 14,000 13,500 -500 -3.57% Sale of Maps &Documents 3321 738 1,000 1,000 0 0.00% Sale of Plans & Specs 3323 1,250 3,000 3,000 0 100.00% Filing Fees 3324 0 50 0 -50 - 100.00% Legal Fees & Reimburse 3326 0 1,000 0 -1,000 - 100.00% IDR Bond Admin Fee 3328 4,000 0 0 0 Weed Cutting Charges 3330 1,432 2,000 1,500 -500 - 25.00% Abatement Fees 3331 1,215 1,200 1,200 0 0.00% Assessment Searches 3332 451 0 0 0 Research Charges 3334 808 500 500 0 0.00% Final Plat Fee 3335 750 500 500 0 0.00% Tree Disposal Fee 3336 0 750 750 0 0.00% Shade Tree Admin. 3338 2,000 2,000 2,000 0 0.00% Tree Registrations 3339 500 500 500 0 0.00% Blvd Tree Plant Fee 3340 1,295 0 950 950 - - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- Total 37,968 35,100 32,500 - 2,600 -7.41% - - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- VIZ. PUBLIC SAFETY CHARGES Fire Alarm Fees 3341 150 3,600 600 -3,000 - 83.33% Burglar Alarm Fees 3342 6,300 10,000 7,200 -2,800 - 28.00% Towing Charges 3344 803 1,000 1,000 0 0.00% Accident Reports 3346 4,422 4,500 4,500 0 0.00% License Investigations 3347 1,910 1,000 1,800 800 80.00% Private Security 3348 3,276 2,000 3,000 1,000 50.00% - - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- Total 16,861 22,100 18,100 -4,000 - 18.10% - - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- 8/11/94 1995 1995 1995% 1994 Esti- Increase Increase Acct. 1993 Budgeted mated - Decrease - Decrease No. Actual Revenue Revenue From 1994 From 1994 VIII. RECREATION FEES Adult Programs 3361 318,459 346,005 326,244 - 19,761 -5.71% Teen Programs 3362 15,125 13,580 13,900 320 2.36% Children' Programs 3363 68,963 .68,132 72,612 4,480 6.58% General Programs 3364 17,696 31,496 26,176 -5,320 - 16.89% Comm. Center Programs 3367 363,813 420,500 404,200 - 16,300 -3.88% - -- - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- Total 764,056 879,713 843,132 - 36,581 -4.16% - - - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- IX. FINES & FORFEITURES 3450 140,104 144,000 112,000 - 32,000 - 22.22% - - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- X. MISCELLANEOUS REVENUE Interest 3800 249,688 170,000 186,000 16,000 9.41% Other Revenue 3461 6,191 8,000 8,000 0 0.00% Refunds 6 Reimburs. 3462 397 6,000 6,000 0 0.00% Sale of Property 3467 13 0 0 0 Contributions 3468 860 0 0 0 Cash Over or (Short) 3471 777 0 0 0 Check Process Fees 3472 80 0 0 0 Unclaimed Evidence 3478 216 0 0 0 Forfeited Drug Money 3479 20,990 0 0 0 Sale of Cert. Of Indeb. 3955 120,000 0 0 0 - - - - - -- - - - - - -- - - - - - -- - - - - - -- - -- - -- Total 399,212 184,000 200,000 16,000 8.70% - - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- XI. TRANSFERS FROM OTHER CITY FUNDS Liquor Stores - Earnings 3951 100,000 100,000 100,000 0 0.00% State Aid Maintenance 3854 75,000 90,000 90,000 0 0.00% - - - - - -- - - - - --- - - - - - -- - - - - - -- - - - - -- Total 175,000 190,000 190,000 0 0.00% -- - - - - -- -- - - - - -- -- - - - - -- -- - - - - -- - - - - -- TOTAL GENERAL FUND 10,027,602 10,913,445 11,349,983 436,538 4.00% 8/11/94 prelimly \combexpl CITY OF BROOKLYN CENTER, MINNESOTA COMBINED ANNUAL OPERATING BUDGET INCLUDING THE • GENERAL FUND - DEBT RETIREMENT FUNDS ECONOMIC DEVELOPMENT AUTHORITY (EDA) FUND - HOUSING AND REDEVELOPMENT(HRA) FUND 1995 PRELIMINARY APPROPRIATIONS AND EXPENDITURES 1992 1993 1994 1995 1995 1995 % Actual Actual Adopted Preliminary Increase Increase Expend- Expend- Approp Approp- - Decrease - Decrease itures itures riations riations From 1994 From 1994 I. GENERAL FUND BY FUNCTION AND ORGANIZATIONAL UNIT A. General Government 1,797,895 1,560,674 1,741,423 1,843,571 102,148 5.87% B. Public Safety 3,938,920 3,870,563 4,703,657 4,777,474 73,817 1.57% C. Public Works 1,594,190 1,756,187 1,624,036 1,558,203 - 65,833 -4.05% D. Health & Social Service 114,579 41,325 41,572 40,860 -712 -1.71% E. Recreation 1,783,811 1,999,270 2,149,887 2,306,774 156,887 7.30% F. Economic Development 187,606 178,703 171,000 187,625 16,625 9.72% G. Unallocated Expenses 273,275 300,803 481,870 635,476 153,606 31.88% --- - - - - -- --- - - - - -- ---- - - - - -- ---- - - - - -- -- - - - - -- - - - - -- Total General Fund 9,690,276 9,707,525 10,913,445 11,349,983 436,538 4.00% II. DEBT SERVICE FUNDS BY FUND A. 1980 Park Improvement Bond Redemption Fund 335,748 0 0 0 0 B. 1991 Cert. of Indebtedness Redemption Fund 261,000 73,000 0 0 0 C. 1992 Cert. of Indebtedness Redemption Fund 198,000 185,200 0 0 0 D. 1993 Cert. of Indebtedness Redemption Fund 0 49,600 0 0 0 E. 1994 Street Improvement Bond Redemption Fund 0 0 0 72,116 72,116 -- - - - - -- -- - - - - -- -- - - - - -- -- - - - - -- -- -- - - -- Total Debt Redemption 794,748 307,800 0 72,116 72,116 -- - - - - -- -- -- - - -- -- - - - - -- -- - - - - -- -- - - - - -- III. E.D.A. & H.R.A. FUNDS A. Economic Development 478,628 1,101,965 655,726 637,111 - 18,615 -2.84% - - - - - -- --- - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- Total E.D.A. 478,628 1,101,965 655,726 637,111 - 18,615 -2.84% - - - - - -- --- - - - - -- - - - - - -- - - - - - -- - - - - - -- - - - - -- TOTAL APPROPRIATIONS AND EXPENDITURES 10,963,652 11,117,290 11,569,171 12,059,210 490,039 4.24% 8/11/94 prelimly \gensumry CITY OF BROOKLYN CENTER, MINNESOTA ANNUAL OPERATING BUDGET GENERALFUND 1995 PRELIMINARY BUDGET SUMMARY OF APPROPRIATIONS AND EXPENDITURES 1992 1993 1994 1995 1995 1995% Actual Actual Adopted Recommd Increase Increase Unit Expend- Expend- Approp- Approp- - Decrease - Decrease Num. itures itures nations nations From 1994 From 1994 A. GENERAL GOVERNMENT Council 111 78,476 76,772 85,688 99,550 13,862 16.18% Commissions 112 3,113 916 9,500 9,500 0 0.00% City Mgr's Office 113 313,417 271,213 320,365 348,631 28,266 8.82% Elections 114 44,181 22,966 49,136 37,162 - 11,974 - 24.37% Assessing 115 183,765 190,195 208,382 206,728 -1,654 -0.79% Finance 116 149,624 146,324 158,263 168,007 9,744 6.16% Independent Audit 117 16,450 17,500 18,000 18,400 400 2.22% Legal Counsel 118 202,220 185,216 204,196 204,700 504 0.25% Government Buildings 119 465,670 329,577 336,751 345,577 8,826 2.62% Data Processing 120 340,979 319,995 351,142 405,316 54,174 15.43% Total General Govt 1,797,895 1,560,674 1,741,423 1,843,571 102,148 5.87% B. PUBLIC SAFETY Police Protection 131 3,148,769 3,183,456 3,802,863 3,869,801 66,938 1.76% Fire Protection 132 417,964 365,876 508,263 512,242 3,979 0.78% Community Developm 133 308,633 264,523 310,559 324,723 14,164 4.56% Emerg Preparedness 134 29,251 33,771 46,143 37,535 -8,608 - 18.66% Animal Control 135 34,303 22,937 35,829 33,173 -2,656 - 7.41% Total Public Safetv 3,938,920 3,870,563 4,703,657 4,777,474 73,817 1.57% C. PUBLIC WORKS Engineering 141 219,195 329,382 307,620 340,064 32,444 10.55% Street Maintenance 142 746,403 813,471 1,130,116 1,033,639 - 96,477 -8.54% Vehicle Maintenance 143 466,299 427,773 0 0 0 0.00% Traffic Control 144 32,723 39,266 39,500 39,600 100 0.25% Street Lighting 145 126,520 141,677 143,500 141,500 -2,000 -1.39% Weed Control 146 3,050 4,618 3,300 3,400 100 3.03% Total Public Works 1,594,190 1,756,187 1,624,036 1,558,203 - 65,833 -4.05% D. HEALTH AND SOCIAL SERVICES Health 151 84,069 0 0 0 0 0.00% Social Services 152 30,510 41,325 41,572 40,860 -712 -1.71% Total Health & Soc. Svcs. 114,579 41,325 41,572 40,860 -712 -1.71% 8/9/94 1992 1993 1994 1995 1995 1995% Actual Actual Adopted Requested Increase Increase Unit Expend- Expend- Approp- Approp- - Decrease - Decrease Num. itures itures nations nations From 1994 From 1994 E. RECREATION Administration 160 311,713 307,035 346,805 231,927 - 114,878 - 33.12% Adult Programs 161 275,694 306,939 293,897 339,509 45,612 15.52% Teen Programs 162 12,878 14,210 13,772 15,483 1,711 12.42% Children's Programs 163 82,832 85,249 88,154 117,996 29,842 33.85% General Programs 164 89,299 79,869 91,601 95,066 3,465 3.78% Community Center 167 507,159 644,769 637,430 692,363 54,933 8.62% Parks Maintenance 169 504,236 561,199 678,228 814,430 136,202 20.08% Total Recreation 1,783,811 1,999,270 2,149,887 2,306,774 156,887 7.30% F. ECONOMIC DEVELOPMENT Convention & Tourism 170 187,606 178,703 171,000 187,625 16,625 9.72% Total Economic Dev. 187,606 178,703 171,000 187,625 16,625 9.72% G. UNALLOCATED EXPENSES Un. Dept. Expenses 180 273,153 300,597 301,250 351,236 49,986 16.59% Personal Services 181 120 206 0 109,240 109,240 Contingency 182 0 0 180,620 175,000 -5,620 -3.11% Total Unall. Expenses 273,273 300,803 481,870 635,476 153,606 31.88% TOTAL GENERAL FUND 9,690,274 9,707,525 10,913,445 11,349,983 436,538 4.00% 8/9/94 proptax \1vyincr4 CITY OF BROOKLYN CENTER, MINNESOTA ANNUAL OPERATING BUDGET 1995 PRELIMINARY PROJECTION OF TAX LEVY BY FUND 1995 1995 1995% 1994 for a 4% Increase Increase Budgeted Budget - Decrease - Decrease Levy Increase From 1994 From 1994 I. GENERAL PROPERTY TAXES General Fund Gross Levy 5,601,443 6,083,167 481,724 8.60% Est Uncollectable 112,029 182,495 70,466 62.90% Net Levy 5,489,414 5,900,672 411,258 7.49% E.D.A Gross Levy 131,894 140,592 8,698 6.590 Est Uncollectable 2,638 4,218 1,580 59.89% Net Levy 129,256 136,374 7,118 5.510 S.A. Bonds of 1994 Gross Levy 0 72,116 72,116 Net Levy 72,116 72,116 H.R.A. Gross Levy 124,005 122,809 -1,196 -0.96% Est Uncollectable 2,480 3,684 1,204 48.55% Net Levy 121,525 -- 119,125 -2,400 -1.97% --- - - - - -- - - - - - -- Total Gross Levy 5,857,342 6,418,684 561,342 9.58% - - - - -- --- - - - - -- - - - - - -- Total Net Levy 5,740,195 6,228,287 488,092 8.50% - - - - -- --- - - - - -- - - - - - -- II. INTERGOVERNMENTAL REVENUE State Local Govt. Aid 1,757,227 1,799,076 41,849 2.38% Homestead Credit General Fund 1,280,603 1,280,603 0 0.00% E.D.A. Fund 36,483 36,483 0 0.00% H.R.A. Fund 17,835 17,835 0 0.00% Total 3,092,148 3,133,997 41,849 1.35% --- - - - - -- --- - - - - -- - - - - - -- TOTAL TAX BASED REVENUES 8,949,490 9,552,681 603,191 6.74% 8/11/94 prelimly \combrevl CITY OF BROOKLYN CENTER, MINNESOTA COMBINED ANNUAL OPERATING BUDGET INCLUDING THE GENERAL FUND - DEBT RETIREMENT FUNDS ECONOMIC DEVELOPMENT AUTHORITY (EDA) - HOUSING & REDEVELOPMENT (HRA) FUNDS 1995 PRELIMINARY SUMMARY OF ESTIMATED REVENUE BY SOURCE AND FUND 1994 1995 1995 Percent Budgeted Revenue Increase Increase REVENUE BY SOURCE: Revenue Estimate - Decrease - Decrease I. GENERAL PROPERTY TAXES 5,740,195 6,228,287 488,092 8.50% II. LODGING SALES TAX 360,000 395,000 35,000 9.720 III. BUSINESS LICENSES & PERMITS 159,600 153,100 -6,500 -4.07% IV. NON - BUSINESS LICENSES & PERMITS 129,700 140,800 11,100 8.56% V. INTERGOVERNMENTAL REVENUE 3,609,763 3,680,191 70,428 1.95% VI. GENERAL GOVERNMENT SERVICE CHARGES 35,100 32,500 -2,600 -7.41% VII. PUBLIC SAFETY SERVICE CHARGES 22,100 18,100 -4,000 - 18.10% VIII. RECREATION FEES 879,713 843,132 - 36,581 -4.16% IX. FINES AND FORFEITURES 144,000 112,000 - 32,000 - 22.22% X. MISCELLANEOUS REVENUE 299,000 266,100 - 32,900 - 11.00% XI. TRANSFERS FROM OTHER FUNDS 190,000 190,000 0 0.00% --- - - - - -- --- - - - - -- -- - - - - -- - - - - -- TOTAL REVENUE: BY SOURCE 11,569,171 12,059,210 490,039 4.24% 1994 1995 1995 Percent Budgeted Revenue Increase Increase REVENUE BY FUND: Revenue Estimate - Decrease - Decrease I. GENERAL FUND 10,913,445 11,349,983 436,538 4.00% II. DEPT REDEMPTION FUNDS 0 72,116 72,116 III. EDA SPECIAL OPERATING FUND 516,366 500,151 - 16,215 -3.14% IV. HRA SPECIAL OPERATING FUND 139,360 136,960 -2,400 -1.72% --- - - - - -- --- - - - - -- -- - - - - -- - - - - -- TOTAL REVENUE BY FUND 11,569,171 12,059,210 490,039 4.24% 8/11/94 resgfapp Member introduced the following resolution and moved its adoption: RESOLUTION NO. RESOLUTION TO ADOPT THE 1995 PRELIMINARY BUDGET WHEREAS, the City of Brooklyn Center is annually required by Charter and state law to adopt an annual budget. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Brooklyn Center that the appropriations for budgeted funds for the calendar year 1995 shall be: 1. APPROPRIATIONS: GENERAL FUND: Preliminary Unit No. Organizational Unit Amount 111 City Council $99,550 112 Commissions 9,500 113 City Manager's Office 348,631 114 Elections 37,162 115 Assessing 206,728 116 Finance 168,007 117 Audit 18,400 118 Legal Counsel 204,700 119 Government Buildings 345,577 120 Data Processing 405,316 131 Police Protection 3,869,801 132 FireProtection 512,242 133 Community Development 324,723 134 Emergency Preparedeness 37,535 135 Animal Control 33,173 141 Engineering 340,064 142 Streets Maintenance 1,033,639 144 Traffic Control 39,600 145 Street Lighting 141,500 146 Weed Control 3,400 152 Social Services 40,860 160 Recreation Administration 231,927 161 Adult Programs 339,509 162 Teen Programs 15,483 163 Children's Programs 117,996 164 General Programs 95,066 167 Community Center 692,363 169 Parks Maintenance 814,430 170 Convention & Tourism 187,625 RESOLUTION NO. 180 Unallocated Department 635,476 TOTAL GENERAL FUND $11,349,983 STREET IMPROVEMENT DEBT SERVICE FUND $72,116 E.D.A. SPECIAL OPERATING FUND $637,111 --------------- TOTAL APPROPRIATIONS FOR BUDGETED FUNDS $12,059,210 2. ESTIMATED REVENUES: General Property Taxes $6,228,287 Sales Taxes on Lodging 395,000 Business Licenses & Permits 153,100 Non- Business Licenses & Permits 140,800 Intergovernmental Revenue 3,680,191 General Government Services Charges 32,500 Public Safety Service Charges 18,100 Recreation Fees 843,132 Fines & Forfeitures 112,000 Miscellaneous Revenue 266,100 Transfers from Other Funds 190,000 TOTAL REVENUE BY SOURCE $12,059,210 Date Todd Paulson, Mayor ATTEST: Deputy Clerk The motion for the adoption of the foregoing resolution was duly seconded by member and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted. restxlvI Member introduced the following resolution and moved its adoption: RESOLUTION NO. RESOLUTION TO AUTHORIZE A PRELIMINARY TAX LEVY FOR 1995 APPROPRIATIONS FOR THE GENERAL FUND THE STREET IMPROVEMENT DEBT SERVICE FUND THE E.D.A. FUND AND THE H.R.A. FUND BUDGETS WHEREAS, The City of Brooklyn Center is annually required by Charter and state law to approve a resolution setting forth an annual tax levy to Hennepin County; and WHEREAS, Minnesota statutes require certification of a proposed tax levy to Hennepin County on or before September 15, 1994 and a final tax levy on or before December 28, 1994. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Brooklyn Center as follows: 1. There is approved for expenditures from property taxes, the following sums for the purpose indicated: GENERAL FUND $6,083,167 STREET IMPROVEMENT DEBT SERVICE 72,116 ECONOMIC DEVELOPMENT AUTHORITY 140,592 HOUSING & REDEVELOPMENT AUTHORITY 122,809 $6,418,684 2. There is hereby levied upon all taxable property lying within the City of Brooklyn Center, a final tax levy of $6,418,684, and the City Clerk shall cause a copy of this resolution to be certified to Hennepin County so that said sum shall be spread upon the tax rolls and will be payable in the year 1995. 3. This final tax levy supersedes any tax levy previously certified for taxes payable in 1994 for the City of Brooklyn Center. Date Todd Paulson, Mayor ATTEST: Deputy Clerk L RESOLUTION NO. The motion for the adoption of the foregoing resolution was duly seconded by member and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted. Member introduced the following resolution and moved its adoption: 0 RESOLUTION NO. RESOLUTION APPROVING A PROPOSED TAX CAPACITY LEVY FOR THE PURPOSE OF DEFRAYING THE COST OF OPERATION, PROVIDING INFORMATIONAL SERVICE, AND RELOCATION ASSISTANCE PURSUANT TO THE PROVISIONS OF MSA 469.001 THROUGH 469.047 OF THE HOUSING AND REDEVELOPMENT AUTHORITY OF THE CITY OF BROOKLYN CENTER FOR THE YEAR 1995 WHEREAS, the City Council of the City of Brooklyn Center is the governing body of the City of Brooklyn Center; and WHEREAS, the City Council has received a resolution from the Housing and Redevelopment Authority of the City of Brooklyn Center entitled a "Resolution Establishing the Proposed Tax Levy for the Brooklyn Center Housing and Redevelopment Authority of the City of Brooklyn Center; and WHEREAS, Minnesota statutes currently require certification of a proposed tax levy to the Hennepin County Auditor on or before September 15, 1994 and a final tax levy on or before December 25, 1994; and WHEREAS, the City Council, pursuant to the provisions of MSA 469.033, Subdivision 6, must by resolution consent to the proposed tax levy of the Housing and Redevelopment Authority of the City,of Brooklyn Center. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Brooklyn Center that a special tax be levied upon all real and personal property within the City of Brooklyn Center at the rate of 0.0144 % of taxable market value of all taxable property, real and personal, situated within the corporate limits of the City of Brooklyn Center, Minnesota and not exempted by the Constitution of the State of Minnesota or the valid laws of the State of Minnesota. BE IT FURTHER RESOLVED that the said property tax levy be used for the operation of the Brooklyn Center housing and Redevelopment Authority pursuant to the provision of MSA 469.001 through 469.047. Date Mayor The motion for the adoption of the foregoing resolution was duly seconded by member and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted. Council Meeting Date 31 City of Brooklyn Center Agenda Item Number Request For Council Consideration Item Description: Auditor RFP Process Department Approval: Charles Hansen, Finance Director Manager's Review /Recommendation: No comments to supplement this report Comments below /attached Summary Explanation: (supplemental sheets attached Yes ) At the July 18, 1994 work session, the City Council requested a RFP for audit services be placed on an August work session agenda for further discussion about the City Council's and Financial Commission's involvement in the auditor's selection process. In order to complete the RFP process for the 1994 audit, the process must be initiated soon. The roles of the City Council, Financial Commission, and staff must be determined and incorporated into the specifications of the RFP. A possible RFP schedule could be to have the City Council determine the roles of the Council and Financial Commission at the August 15 work session, approve the RFP at the August 22 council meeting, require responses from auditors in September, interviews in October, and final selection in November. Attached are possible options concerning the respective roles of the City Council, Financial Commission, and staff concerning the RFP process. Recommended City Council Action: Discuss the City Council's' and Financial Commissions's involvement in the selection process for the auditors. AUDITOR RFP OPTIONS: 1. Create an Ad -hoc Auditor Selection Committee comprised of City Council Members, Financial Commission Members, and Staff. This Committee would review the RFP's submitted, conduct interviews and recommend one accounting firm for selection to the City Council. 2. Staff review the RFP's and recommend three accounting firms for interviews, the Ad -hoc Committee described in option one would conduct interviews and recommend one accounting firm to the City Council for selection. 3. The Financial Commission and Staff review the RFP's, conduct interviews, and recommend one accounting firm for selection to the City Council. 4. Staff and Financial Commission review the RFP's and recommend three accounting firms to interview. The City Council would conduct the interviews and make a choice.