HomeMy WebLinkAbout19880818_special. 250 MINUTES OF SPECIAL MEETING
OF THE EDINA CITY COUNCIL HELD AT CITY HALL
AUGUST 18, 1988
8:OO A.M.
Answering rollcall were Members Kelly, Richards, Smith, Turner and Mayor Courtney.
The special meeting was held for the purpose of presenting to the Council the 1989
Budget Assumptions in preparation for the budget hearings in September.
1989 BUDGET ASSUMPTIONS PRESENTED.
in preparations for the 1989 Budget hearings to be held during the month of
September summarized as follows. Levv Limits - The maximum tax dollars which the
City can levy is based solely upon the amount of taxes actually levied in the
preceding year. According to the 1988 property tax law, the City may increase its
1989 levy by 4% from its 1988 actual levy. In addition, the levy may be increased
by the greater of a) the percentage increase in number of households, or b) the
percentage increase in population, during the past year. Based on the greatest
increase, e.g. households numbers, the maximum 1989 levy may be increased by about
7.5%. The property tax law states further that the 1990 maximum levy may increase
by only 3% over the 1989 levy.
maximum for 1989 be levied. Council Salaries - By statute a change in salaries .
may not take effect until after the next succeeding municipal election.
Budget Study - The study provides a comparison of Edina's operations with other
Group V cities, e.g. Bloomington, Brooklyn Park, Burnsville, Coon Rapids,
Minnetonka, Plymouth, Richfield, Roseville and St. Louis Park, and were selected
due to similarity in demographics, population, employee types and size, and
proximity to Edina.
for a few selected general fund services; b) compared Edina's 1988 budgeted .
payroll amounts for the same services; and c) compared Edina's 1988 comparable
worth adjustments with other cities. The first two parts were done on a per
capita basis and were presented graphically for ease of analysis.
the per capita budget/payroll suggests that Edina ranks in the middle of the
selected cities for budgeted dollars and payroll dollars. The salary analysis
showed that for the majority of the selected positions, Edina ranks in the middle
of the Group V cities which is consistent with the Council's directive. 1989
Budget Assumptions - Scenario 1 - Expenditures - Salaries $6,467,058 (4.00%
increase); Contractual Services $1,635,427 (3.00% increase); Commodities $647,024
(3.00% increase); Central Services $2,562,661 (3.00% increase); Equipment $981,064
(3.00% increase); and New Programs $324,610; Total $12,617,843 (6.26% increase).
Revenues - Taxes $9,197,648; Licenses & Permits $599,112 (6.00% increase); Fees &
Charges $1,954,286 (6.00% increase); Intergovernmental $866,797 (.OO% increase);
Total $12,617,843 (6.26% increase). Below levy limit by $46,431. Tax Capacity
Rate 10.2%. Scenario 2 - New Programs Total $482,242. Scenario 3 - New Programs
Total ($98,160). Discussion followed concerning the proposed new programs,
revenues from licenses/permits and fees/charges, medical/worker's compensation
expense, relocation of the Senior Center, and capital budgeting. Following the
discussion it was informally agreed by the Council that staff be directed to
prepare a proposed 1989 Budget with an overall increase range of between 4.00 and
5.00% to be considered at the first budget hearing scheduled for September 6,
1988.
Manager Rosland presented the following data
Staff would recommend that the State allowed
1988
The analysis a) compared Edina's 1988 budgeted dollar amounts
The results of
No formal action was taken and no other business was presented.
at approximately 9:30 a.m.
Meeting adjourned
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City Clerk