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2010 07-19 CCP Joint Work Session with Financial Commission
Joint Budget Meeting July 19, 2010 6:30 p.m. City Council and Financial Commission Council Chambers 1. Call to Order 2. Brief Review of Strategic Desired Outcome Results Expected Outcome - Shared Understanding of Results. 3. Expenditure Forecast Ranges Expected Outcome — Consensus regarding 2011 general fund expenditure target range 4. Tax Levy Estimates and Impacts Expected Outcome — Consensus regarding 2011 general fund property tax levy target 5. Other Revenue including State Aid Estimates Expected outcome — Consensus regarding general fund General State Aid limitations 6. Adjournment Strategic Plan D.O. Ranking Worksheet Strategic Goal Desired Outcome Desired C -1 C -2 C -3 CA C -5 F -1 F -2 F -3 Maintain Enhance Reduce Outcome Service Service Service Ranking Level Level Level sc, - i we WUL DO - 1 The threat 40 2 1 1 1 10 2 1 7 4 3 evusure a -soft and fear of real awd seekre or perceived 63 GDA&W -kyatIj crime among citizens and others will be greatly reduced. DO -2 Citizens 4 7 3 2 1 3 2 will feel and be safe in their 31 homes, areas of concern and throughout the City. sc, -2 we WUL DO -1 Private 17 2 3 9 3 4 2 aoiares WeLU redevelopment .�rpoeeol with will expand and 27 L pLevu.ewtueWv,. improve. of at1 , s redevelDUw tout pi.aKS DO -2 24 3 5 1 5 4 3 3 "Opportunity Site" 37 redevelopment will commence. City Councilmember Financial Commissioner Strategic Plan D.O. Ranking Worksheet DO -3 EDA owned 36 1 6 2 8 2 4 8 7 1 5 properties redevelopment 50 will proceed expeditiously. sc, -3 we WUL DO -1 Citizens 6 7 9 8 I 1 1 stabLUZe awd will benefitfrom wuprove a diverse stock of 9 restdewttat housing types wt%ghborhoods and styles. DO -2 Owners and 37 5 3 4 2 4 7 9 3 4 occupants of housing in residential 45 neighborhoods will comply with City codes and regulations which will be adequate to assure a safe well maintained and attractive community. DO -3 Owner 8 4 10 8 5 occupied housing will increase as a 11 City Councilmember Financial Commissioner Strategic Plan D.O. Ranking Worksheet percentage of total housing. DO -4 Problems 20 8 10 3 3 8 8 I 1 1 associated with foreclosures will 28 be dramatically reduced or eliminated. DO -5 Residential 9 8 5 10 4 property values will improve and 10 citizens will be proud of their neighborhood and community. sc,-4 we Wul, DO -1 All 13 6 8 9 8 3 I W .SLtWe L14 demographic Address the groups will be covu.vKRV.Lt� represented and dew ar-aahtc encouraged to Mak'&Q awd participate in twcreas�6g civic, 6 uLturaL governmental, okersttI4 community organizations and activities City Councilmember Financial Commissioner Strategic Plan D.O. Ranking Worksheet DO -2 Youth will 12 10 5 10 G 2 2 3 be adequately served by 21 recreation and educational programs and activities. DO -3 The social, 2 9 9 2 1 health and housing needs of 4 the aging and moderate income population will be improved sc,-s we w%I.I. DO -1 City 14 7 G 6 6 6 10 4 1 cowt%wu.e to government vu.ai KWV6 awd buildings, major 25 upgrade Ctt� equipmentand twfrastructure other physical awd pubLLC, assets of the City tvuprovevKewts will be maintained and improved. DO -2 20 4 4 5 1 5 5 4 1 Neighborhood streets and 41 utilities will be maintained and im roved. City Councilmember Financial Commissioner Strategic Plan D.O. Ranking Worksheet DO -3 The 4 7 2 traveling public will benefitfrom multi -modal transportation options fostered and provided by the City. DO -4 Citizens 4 9 9 7 2 2 will benefit from the expansion S and improvement of needed technology infrastructure as cost effective feasible options become available. sr - we Wal, DO -1 Public 5 10 7 3 I 2 1 respowd to appreciation for tvwareased public the environment 13 awnrewess a will improve and twterest un, recycling and ey-V�rowvucwtal energy S StaLN.aKl.ltU conservation will awd greev. improve (d.o.1) OOVVL u.uw%tU issues City Councilmember Financial Commissioner Strategic Plan D.O. Ranking Worksheet DO -2 The 0 4 2 1 purchasing power of the City 7 will support the goal of environmental sustainability (d.o.2) 6/22/2010 IC I City Councilmember Financial Commissioner Budget vs. Actual Expenditures 2004 - 2010 $18,000,000.00 - - ---- $16,000,000.00 $14,000,000.00 - $12,000,000.00 _ $10,000,000.00 $8,000,000.00 - $6,000,000.00 $4,000,000.00 $2,000,000.00 $0.00 2004 2005 2006 2007 2008 2009 2010 -Budget 12,982,258 13,391,078 13,841,836 14,544,372 15,518,836 16,017,021 15,989,578 -Actual 12,842,895 13,250,519 14,200,842 15,155,696 15,226,118 15,401,606 City of Brooklyn Center Pay 2011 Property Tax Levy Alternatives as of 18 July 2010 A B C D E F Actual Budget Low Alternate "0" Median Alternate 3% Expense Alt. Maximum Alternate Pay Pay Pay Pay Pay Pay 2009 2010 2011 2011 2011 2011 1 Lim ited Levy: 6,593,550 6,684,916 6,796,554 6,796,554 6,796,554 6,796,544 2 Police & Fee Levy: 5,085,466 5,122,581 5,173,806 5,173,806 5,173,806 5,173,806 3 Fee Relief Association Pension - 65,945 - - - - 4 Foreclosure Levy: 125,000 125,000 125,000 125,000 125,000 125,000 5 2008 LGA Unallotment: - 42,100 - - - - 6 2009 LGA Unallotment: - 463,502 - - - - 7 2010 LGA Unallotment - 287,225 532,548 1,069,476 8 2010 MVHC Unallotment - - - - 9 2010 Supplemental Cuts to LGA/MVHC 504,022 504,022 504,022 504,022 10 2011 Supplemental Cuts to MVHC - - - - 11 2004A Bonds Levy: 703,903 715,183 695,632 695,632 695,632 695,632 12 HRA Levy: 385,289 349,745 310,831 310,831 310,831 310,831 13 TOTAL LEVY 12,893,208 13,568,972 s 13,605,845 13,893,070 14,138,393 14,675,311 14 General Fund Portion 11,804,016 12,504,044 12,599,382 12,886,607 13,131,930 13,668,848 15 General Fund Portion Change 700,028 95,338 382,563 627,886 1,164,804 16 Percentage 5.9% 0.8% 3.1% 5.0% 9.3% 17 Total Dollar Increase 675,764 36,873 324,098 569,421 1,106,339 18 Total% Increase 5.2% 0.27% 2.39% 4.20% 8.15% 19 MVHC Allotted (583,308) (630,990) (681,459) (681,459) (681,459) (681,459) 20 MVHC Received 583,308 126,968 681,459 681,459 681,459 681,459 21 LGA 1,019,990 411,544 - - - - 22 Other GF Revenues: 3,364,167 3,592,012 3,351,755 3,351,755 3,351,755 3,351,755 23 4,384,157 3,499,534 3,351,755 3,351,755 3,351,755 3,351,755 24 TotalGF Resources: 16,188,173 16,003,578 15,951,137 16,238,362 16,483,685 17,020,603 25 Net Dollar Increase: (184,595)] (52,441)1 234,784 1 480,107 1 1 1,0 025 Highest 3rd Quartile Median 1st Quartile Lowest LOW ALTERNATE Residential Taxes Payable in: 2010 2011 2010 2011 2010 2011 Estimated Market Value $ 142,800 $ 123,800 $ 154,900 $ 135,200 $ 167,900 $ 150,100 change (13.31%) (12.72%) (10.60%) Tax Capacity 1,428 1,238 1,549 1,352 1,679 1,501 Tax Capacity Extension Rate 52.372% 60.623% 52.372% 60.623% 52.372% 60.623% Market Value Extension Rate 0.03773% 0.03925% 0.03773% 0.03925% 0.03773% 0.03925% Market Value Homestead Credit 242 259 231 249 2191 236 Property Tax Amount $ 559.67 539.92 $ 638.50 $ 623.77 723.18 733.36 $ Increase/(Decrease): $ (19.75) $ (14.73) $ 10.17 % Increase/(Decrease): (3.53%) (2.31%) 1.41% Low Alternate Commercial/Industrial Taxes Payable in: 2010 2011 2010 2011 2010 2011 Estimated Market Value $ 505,900 $ 425,000 $ 908,000 $ 897,000 $ 2,142,100 $ 2,082,100 change (15.99%) (1.21%) (2.80%) Tax Capacity 15,050 14,350 67,020 61,650 185,970 205,970 Tax Capacity Extension Rate 52.372% 60.623% 52.372% 60.623% 52.372% 60.623% Market Value Extension Rate 0.03773% 0.03925% 0.03773% 0.03925% 0.03773% 0.03925% Market Value Homestead Credit - - - - - - Property Tax Amount LL81072.86 $ 8,866.21 $35,442.30 $37,726.15 $ 98,204.42 $125,682.42 $ Increase/(Decrease): $ 793.35 $ 2,283.85 $ 27,477.99 % Increase/(Decrease): 9.83% 6.44% 27.98% "0" Median Alternate Residential Taxes Payable in: 2010 2011 2010 2011 2010 2011 Estimated Market Value $ 142,800 $ 123,800 $ 154,900 $ 135,200 $ 167,900 $ 150,100 change (13.31%) (12.72%) (10.60%) Tax Capacity 11428 11238 1,549 1,352 1,679 1,501 Tax Capacity Extension Rate 52.372% 62.005% 52.372% 62.005% 52.372% 62.005% Market Value Extension Rate 0.03773% 0.03925% 0.03773% 0.03925% 0.03773% 0.03925% Market Value Homestead Credit 242 259 231 249 2191 236 Property Tax Amount $ 559.67 $ 557.03 $ 638.50 $ 642.45 723.18 $ 754.10 $ Increase/(Decrease): $ (2.64) $ 3.96 $ 30.91 % Increase/(Decrease): (0.47%) 0.62% 4.27% "0" Median Alternate Com m e rc is I/I nd ustria I Taxes Payable in: 2010 2011 2010 2011 2010 2011 Estimated Market Value $ 505,900 $ 425,000 $ 908,000 $ 897,000 $ 2,142,100 $ 2,082,100 change (15.99%) (1.21%) (2.80%) Tax Capacity 15,050 14,350 67,020 61,650 185,970 205,970 Tax Capacity Extension Rate 52.372% 62.005% 52.372% 62.005% 52.372% 62.005% Market Value Extension Rate 0.03773% 0.03925% 0.03773% 0.03925% 0.03773% 0.03925% Market Value Homestead Credit - - - - - - Property Tax Amount $ 8,072.86 $ 9,064.53 $35,442.30 $38,578.16 98 204.42 $128,528.92 $ Increase/(Decrease): $ 991.67 $ 3,135.85 $ 30,324.50 % Increase/(Decrease): 12.28% 8.85% 30.88% Maximum Alternate Residential Taxes Payable in: 2010 2011 2010 2011 2010 2011 Estimated Market Value $ 142,800 $ 123,800 $ 154,900 $ 135,200 $ 167,900 $ 150,100 change (13.31%) (12.72%) (10.60%) Tax Capacity 1,428 11238 1,549 1,352 1,679 1,501 Tax Capacity Extension Rate 52.372% 65.769% 52.372% 65.769% 52.372% 65.769% Market Value Extension Rate 0.03773% 0.03925% 0.03773% 0.03925% 0.03773% 0.03925% Market Value Homestead Credit 242 259 231 249 2191 236 Property Tax Amount $ 559.67 $ 603.63 $ 638.50 $ 693.34 $ 723.18 810.60 $ Increase/(Decrease): $ 43.96 $ 54.85 $ 87.41 % Increase/(Decrease): 7.85% 8.59% 12.09% Maximum Alternative Commercial/Industrial Taxes Payable in: 2010 2011 2010 2011 2010 2011 Estimated Market Value $ 505,900 $ 425,000 $ 908,000 $ 897,000 $ 2,142,100 $ 2,082,100 change (15.99%) (1.21%) (2.80%) Tax Capacity 15,050 14,350 67,020 61,650 185,970 205,970 Tax Capacity Extension Rate 52.372% 65.769% 52.372% 65.769% 52.372% 65.769% Market Value Extension Rate 0.03773% 0.03925% 0.03773% 0.03925% 0.03773% 0.03925% Market Value Homestead Credit - - - - - - Property Tax Amount $ 8,072.86 $ 9,604.66 $35,442.30 $40,898.66 98 204.42 $136,281.63 $ Increase/(Decrease): $ 1,531.80 $ 5,456.36 $ 38,077.21 % Increase/(Decrease): 18.97% 15.40% 38.77% State Aid as % of General Fund Operating Budget 2004 2005 2006 2007 2008 2009 2010 2011 LGA Received $ 877,555 $ 543,183 $ 667,665 $ 1,229,388 $ 572,708 $ 1,019,990 $ 411,544 ? MVHC Received $ 782,031 $ 715,715 $ 642,709 $ 573,464 $ 543,128 $ 583,308 $ 126,968 ? General Fund Budget $ 12,982,258 $ 13,391,078 $ 13,841,838 $ 14,544,372 $ 15,518,836 $ 16,017,021 $ 16,003,578 ? State Aid as % of General Fund Budget 12.78% 9.40% 9.47% 12.40% 7.19% 10.01% 3.36% ? $1,400,000 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $- 2004 2005 2006 2007 2008 2009 2010 ---LGAReceived -MVHCReceived -- -- 10 One Two Three Four Five 2010 G.F. Resources = Expenditures Amount 16,483,685 16,291,642 16,483,685 16,163,614 16,163,614 16,003,578 increase in expenditures from 2010 to 2011 3.00% 1.80% 3.00% 1.00% 1.00% Other Sources of Revenue 3,351,755 3,351,755 3,351,755 3,351,755 3,351,755 3,592,012 Amount Needed from Taxes/State Aid 13,131,930 12,939,887 13,131,930 12,811,859 12,811,859 12,411,566 GF Taxes to be Levied 12,806,750 12,806,750 12,599,382 13,493,318 12,806,750 12,504,044 increase in levy from 2010 to 2011 2.42% 2.42% 0.76% 7.91% 2.42% (less: MVC to taxpayers) 681,459 681,459 681,459 681,459 681,459 630,990 Net Taxes Collected 12,125,291 12,125,291 11,917,923 12,811,859 12,125,291 11,873,054 Amount Needed from General State Aic 1,006,639 814,596 1,214,007 - 686,568 538,512 State Aid as % of General Fund 6.11% 5.00% 7.36% 0.00% 4.25% 3.36% Notes: Spending: 3 percent 1.8 IPD 3 percent 1 percent 1 percent Tax Scenario: 1.8 IPD 1.8 IPD Low Alt No State Aid 1.8 IPD LGA 1,505,425 MVHC 681,459 "Allotted" State Aid for 2011 2,186,884 All Taxes Levied 13,813,213 13,813,213 13,605,845 14,499,781 13,813,213 13,568,972 1.80% 1.80% 0.27% 6.86% 1.80%