Loading...
HomeMy WebLinkAbout2013-10-14_WORK SESSIONAGENDA CITY COUNCIL WORK SESSION BUSINESS MEETING /UTILITY RATE STUDY COMMUNITY ROOM OCTOBER 14, 2013 5:30 P.M. CALL TO ORDER II. ROLL CALL III. 2013 CITY OF EDINA WORK PLAN AND 3RD QUARTER PROGRESS REPORT IV. UTILITY RATE STUDY V. FINANCIAL REVIEW VI. ADJOURNMENT The City of Edina wants all residents to be comfortable being part of the public process. If you need assistance in the way of hearing amplification, an interpreter, large -print documents or something else, please call 952 - 927 -8861 72 hours in advance of the meeting. SCHEDULE OF UPCOMING MEETINGS /DATES /EVENTS Mon Oct 14 Work Session — Business Meeting/Utility Rate Study 5:30 P.M. Mon Oct 14 Regular Meeting 7:00 P.M. Mon Nov 4 Work Session — Human Services Task Force 5:30 P.M. Mon Nov 4 Regular Meeting 7:00 P.M. Mon Nov I I VETERANS DAY HOLIDAY OBSERVED — City Hall Closed Tues Nov 19 Work Session — Final Budget Review /Finalize 2014Work Plans 5:30 P.M. Tues Nov 19 Regular Meeting 7:00 P.M. Thur Nov 28 THANKSGIVING HOLIDAY OBSERVED — City Hall Closed Fri Nov 29 DAY AFTER THANKSGIVING HOLIDAY OBSERVED — City Hall Closed Tues Dec 2 Work Session —joint Meeting With Edina Housing Foundation 5:30 P.M. SWLRT Housing Corridor Report Tue Dec 2 Regular Meeting 7:00 P.M. Tues Dec 10 Special Meeting - Public Improvement Hearings 6:00 P.M. Tues Dec 17 Work Session —TBD Tues Dec 17 Regular Meeting 7:00 P.M. is Dec 24 CHRISTMAS EVE HOLIDAY OBSERVED — City Hall Closed at Noon :d Dec 25 CHRISTMAS DAY HOLIDAY OBSERVED — City Hall Closed Tues Dec 31 NEW YEAR'S EVE HOLIDAY OBSERVED — City Hall Closed at Noon COMMUNITY ROOM COUNCIL CHAMBERS COMMUNITY ROOM COUNCIL CHAMBERS COMMUNITY ROOM COUNCIL CHAMBERS COMMUNITY ROOM COUNCIL CHAMBERS COUNCIL CHAMBERS COUNCIL CHAMBERS O� e 1�z1 Cn .,° 2013 City of Edina Work Plan and Progress Report •'A'r.LnrtnN••Y The City of Edina's mission is to provide effective and valued services, maintain a sound public infrastructure, offer premier public facilities and guide the development and redevelopment of lands, all in a manner that sustains and improves the uncommonly high quality of life enjoyed by our residents and businesses. Our vision is to be the preeminent place for living, learning, raising families and doing business distinguished by: • A livable environment • Effective and valued city services • A sound public infrastructure • A balance of land uses, and • Innovation The City of Edina is known for excellent city services and sound fiscal management. Our ongoing work will contribute this to tradition. In addition to our core services, the Council has identified six themes for the 2012 -13 biennial budget in support of our mission and vision. These themes will guide our organization as we identify projects and prioritize our work. '2012-13 Council Priorities Progress -.. '! ' . - - Uft Oom@@ Yft 2013 Targets: 2013 Targets: a) Create diving streets policy Engineering: Approved by City Council on August 20, 2013. b) Complete construction of new pedestrian crossings on Engineering: Bid opened on 6 -27, $600,000 over budget; rejected by City France Ave. Council. Revised plans have been submitted to MNDOT for approval. Project is expected to be bid on November 20. c) Coordinate the greater Southdale area transportation study Engineering: On hold, scope of work will be developed this winter with help of Transportation Commission. d) Develop prioritized plan for the use of pedestrian and Engineering: Will be incorporated with the Living Streets Plan. cyclist safety funds e) Develop sidewalk inventory and multi -year plan for building Engineering: Inventory is complete. Multi -year plan will be incorporated the City's sidewalk system with the Living Streets Plan. f) Develop standards for signage and pavement markings for Engineering: Completed. Might need to be re- reviewed due to recent bikeways and pedestrian paths interest on less obtrusive signs — ie. 54"' St project. g) Develop safe routes to school comprehensive plan Engineering: Anticipated plan to go to CC in November / December. Future Years: Establish France Avenue collaborative group 2. Support Redevelopment of Major Commercial Areas 2. Support Redevelopment of Major Commercial Areas 2013 Targets: 2013 Targets: a) 501h and France: Develop plan to add parking and Administration: In progress. Real estate purchase completed in June. implement way finding /ramp usage signage. Second real estate acquisition in process. Consultant teams interviewed in July with design work to follow. b) Grandview: Identify and implement near term Administration: In progress. Public works site razed in May /June. improvements to physical infrastructure; work to identify Consultants preparing TIF Study for implementation by year -end. Options economic development tools to induce development and to relocate bus garage being explored and existing soil conditions being conduct developer forums studied. Community Advisory Team appointed in June with first meeting scheduled for July. c) Southdale area: Work to determine priority of Administration: In progress. Staff continues to work with owners and redevelopment of aging properties and appropriate developers in pursuit of redevelopment of key sites including: 6500 development tools France, former Wicks building, Eberhardt & Titus buildings. d) Identify priorities for the use of HRA funds Administration: Council work session was held on January 8 to discuss priorities with respect to the HRA. e) Develop small area plan template Community Development: In progress. Had discussion with Planning Commission Chair. Future Years: Work to determine priority of redevelopment of aging properties and appropriate development tools in southwest industrial district; evaluate potential development plans for Pentagon Park 3. Evaluate Public Recreation Facilities/Enterprise Funds 2013 Targets: 3. Evaluate Public Recreation Facilities/Enterprise Funds 2013 Targets: a) Braemar Golf Course: implement path improvements and Parks and Recreation: A consultant for design of the driving range and develop plans to redesign the driving range and adjacent executive course was hired in June. Design was completed in August. executive golf course. The design is currently being reviewed and a decision will be made by y December, 2013. Ongoing path maintenance will be completed during the golf season. A master plan for cart path improvements will be completed by December. b) Evaluate and implement recommendations from the Art Parks and Recreation: Part time staffing changes were implemented in Center study April through June, 2013. An Art Center Mission statement was approved in February. Expansion of programming and inclusion in the Parks and Recreation Activities Directory has been completed. Software for POS, membership and registration is being researched. c) Evaluate and resolve future of the proposed Sports Dome Parks and Recreation: Staff will be making a recommendation to the City Council on October 14, 2013. d) Complete Hornet's Nest addition to Braemar arena Parks and Recreation: The final issue regarding roofing has been resolved as of October 11, 2013. e) Evaluate and resolve the reconstruction of the Golf Dome Parks and Recreation: Golf Dome reconstruction project was approved by City Council on March 19. Construction started in May and dome will be open by November 1, 2013. f) Provide direction to staff on cost recovery expectations of Parks and Recreation: The project is on the Park Board's 2014 Work Plan. current facilities The Park Board plans to form a working group to begin this project in 2014. Anticipated completion is December, 2014. g) Develop a parks and recreation strategic plan Parks and Recreation: Staff and Park Board working group are working on RFP for consultant. This project will be completed by December 2014. Future Years: Conduct senior center study 4. Encourage Neighborhood Associations 2013 Targets: 4. Encourage Neighborhood Associations 2013 Targets: a) Finalize neighborhood names and boundaries and City Administration: A neighborhood map and Neighborhood Association policy on recognized neighborhood associations Policy were approved by the Council in April. Morningside became the first recognized neighborhood this summer. b) Begin administration of neighborhood association program, Administration: Community Development: Continue to hold develop resources and conduct public information sessions informational meetings. Created an informational packet for anyone interested in becoming a neighborhood association. An "Organize Your Neighborhood" workshop was held in late September with 30 participants. Staff expects the Concord and Countryside neighborhoods to vote on recognition this month. Staff is implementing the neighborhood awareness campaign. Held a workshop in September. Future Years: 2013 Targets: 2013 Targets: a) Adopt policy on naming of public facilities Parks and Recreation: A work session was held in January with members, of the naming and donations committees and City Council. Staff will present a recommendation for new naming and donations policies by December 2013. b) Adopt policy on donations Parks and Recreation: A work session was held in January with members of the naming and donations committees and City Council. Staff will present a recommendation for new naming and donations policies by December 2013. c) Complete recodification of City Code Administration: A corrected proof was returned to Municipal Code Corporation. The anticipated delivery of the final /completed City Code is November, 2013. d) Conduct 2013 Quality of Life survey Communication .& Technology Services: Completed. e) Develop a strategic plan for economic growth Administration: In progress. Staff researching effective plans for sustainable long -term growth. One current tool is the Emerald Export Initiative. A successful export business forum was held in March. f) Evaluate and potentially adopt rental housing registration Fire- Rescue & Inspections: Researching Eagan's program. Should meet program with City Council to review. g) Evaluate and potentially adopt code changes to address Community Development: Code changes have been adopted by the City citizen concerns about redevelopment on 50ft lots. Council. h) Adopt construction management policy and a plan for Community Development: Residential Redevelopment Coordinator has enforcement been hired and is enforcing the ordinance. i). Revamp the City's operating budget process and document Administration: Staff is working on new budget content /narrative for the to improve public input and understanding 2014 -2015 operating budget. A Council retreat was held in May to identify strategic priorities for 2014 -15 budget. Staff partnered with the Citizens League to complete three citizen engagement sessions in June. Budget recommendations were presented on August 5. Future Years: Identification sections of City Code for "best practices" review; review policy manual Promote lk . . . 2013 Targets: . . . . . 2013 Targets: a) Promote Edina Emerald Energy Program and evaluate the Engineering: The Green Business page is up on the website and addition of a residential program occasional inquiries are made about the process. The Energy and Environment Commission reviewed the potential for expanding the property assessed clean energy (PACE) tool to the residential sector and voted to recommend against this option at its May meeting. b) Facilitate Do Town initiatives and evaluate the future of the Police: SHIP and do.Town initiatives are under review by the Community program when BCBS support ends Health Committee. c) Continue progress on Green Step cities certification Engineering: The City of Edina was again recognized as a Step 3 Green Step city at a June League of Minnesota Cities event. d) Broaden the mission of the Community Health Committee Police: The Community Health Committee has completed a revision to 1503.02, expanding the Committee's purpose and duties. The proposed revision will be presented to the Council at an upcoming meeting. e) Develop a "Health Vision for Edina" as an enhancement to Police: The proposed Vision is complete and will be presented to the the Vision 20/20 strategic plan Council in an upcoming meeting. Future Years: Organized hauling study In addition to proving core services, City leadership has also identified themes for the biennial budget related to internal city operations. These themes support Edina's mission, vision and Council priorities. 2013 Targets: 2013 Targets: a) Implement computer -aided mass appraisal for computer Community Development: In progress. testing b) Conduct needs assessment and bid contract for electronic records management Administration: Committee completed needs assessment survey and received RFI's from four proposers on 9/30/2013. The committee is in the process of viewing vendor demonstrations and completing the analysis of the RFI's and will forward a recommendation for purchase in November with initial implementation to begin in December of 2013. c) Design and implement second phase of City WiFi network Communication & Technology Services: The City's WiFi networks have been expanded to Arneson Acres Park, Edina Aquatic Center and Fire Stations No. 1 and 2. Plans have been made to extend the WiFi networks to Countryside Park and the Braemar Golf Dome when those facilities are rebuilt and open later this year. d) Develop mobile device strategy and related policies Communication & Technology Services: The Communications & Technology Services Department has implemented AirWatch for mobile device management. Mobile devices have been rolled out in the Administration, Community Development, Engineering Fire - Rescue & Inspections, Human Resources, Parks & Recreation and Public Works departments. Some Council Members are also using mobile devices. Outside of some inspectors, most devices are being used by directors. e) Complete new "Edina store" on city website Communication & Technology Services: All program registration is now handled through the new website and work is under way on the new "Edina Store," to be powered by Magento. Enhancements were made to the Public Works Department's load restrictions permit to allow users to print off permits from the website. Work is under way on a module to sell, track and enhance memberships.for the Edina Art Center, Edina Aquatic Center, Edina Senior Center and Edinborough Park. f) Introduce field use of ipad for fire and building inspections Fire - Rescue & Inspections: Initial (Pads have been put into service, are working well, and more [Pads on order. g) Purchase and implement CltyWorks code enforcement Police: This project is underway and scheduled for a fourth quarter software in health department implementation. h) Implement on -line facility registration Parks and Recreation: Completed i) Implement new fleet management software Public Works: Working with Technology Services, Software has been installed and we are now working with the Contractor to import our custom reports as well as train our Staff on the capabilities of the new system. The project is complete. j) Implement new software and hardware to improve the Communication & Technology Services: The Communications & distribution of Council packets Technology Services Department is trying the Granicus application iLegislate to deliver Council packets to Wad users. Additionally, iPads have been issued to three Council Members. 3. Hire and Assimilate Key Leadership and Staff Positions 3. Hire and Assimilate Key Leadership and Staff Positions 2013 Targets: 2013 Targets: a) IT Manager Human Resources: The new IT Manager began February 26. b) Building Services Manager Human Resources: The City Facilities Manager began April 22. c) Improve 4. Transportation Planner Human Resources: The Transportation Planner began June 19. Tools .. 2013 Targets: 2013 Targets: a) Implement branding committee recommendations Communications & Technology Services: A redesigned logo for the government access channel, Edina 16, was introduced earlier this year, as was a new logo for the Edina Senior Center. b) Complete implement of new employee onboarding Human Resources: In progress. HR is working to develop and implement software the new software. c) Develop intranet for internal communication Communication and IT Services: In progress as an extranet. d) Establish employee benefit committee to assist with the Human Resources: The Employee Advisory Committee (EAC) has been selection and communication of employee benefit plans meeting 1 -2 times per month. The primary 2014 goal is to recommend changes that will make most effective us of dollars available, improve the city's ability to recruit and retain high - performing employees, and maintain compliance with healthcare reform and other legal requirements. The EAC has been actively researching and evaluating options. The EAC has made recommendations for 2014 changes to the benefits structure and the City Manager has approved these recommendations. e) Establish labor management committees for police and fire Human Resources: HR has begun discussions with the Twin Cities Area bargaining units Labor Management Council (TCALMC) and is in the process of scheduling exploratory meetings for employees. f) Purchase and implement police to citizen internet -based Police: This project is on hold due to Richfield dispatch transition and I.T. application workload. � fl�Q '• ��F.f"n�.-� � - ' - • _ (�J °�i�- ° : - , - • R .. F� '�' 4G�"- r • � - [nom- �C�C�= JC�CG�i f • ' o - i : ° :. • p 2013 Targets: 2013 Targets: a) Identify and define key expectations of individual staff Administration: The internal project team conducted an employee members survey, held a half day retreat for selected staff and conducted an organization culture assessment of leadership. Based on that information, three key values have been identified for Edina staff, known as the Edina IQS (Integrity, Quality and Service). The newly identified values have been shared with leadership and will be shared with all staff by the end of October. Several additional initiatives are underway to support the new values, including quarterly skill development workshops for leaders. b) Integrate key expectations into hiring process Human Resources: HR will begin work after expectations are defined. MOM 2013 Targets: 2013 Targets: a) Revise and implement computer use policy Communications & Technology Services: Computer Use Policy has been rewritten as a "Technology Use Policy" and is currently under review by I.T. Division staff. The proposed policy includes mobile devices. The proposed policy could be introduced to staff at any time, though it has been suggested that it be rolled out with the rest of the employee handbook later this year. b) Develop city staff handbook Human Resources: In process. c) Complete board and commission procedure manual Administration: Reappointment and recruitment process documentation has begun and will be completed by October 15 "'. Staff will begin working on the manual when the rewrite of the budget document is completed later this fall. d) Develop and implement plans to comply with the Patient Human Resources: HR is working with Finance and the City's health Protection and Affordable Care Act. insurance broker to determine required changes and budget accordingly. HR has met all required deadlines to date. To: MAYOR AND CITY COUNCIL From: Eric Roggeman, Assistant Finance Director Date: October 9, 2013 Subject: Utility Rate Study Action Requested: Review and discuss a draft Utility Rate Study for 2014 rates. yq�NA, o � eHtl Agenda Item #: Worksession Action ❑ Discussion Information ❑ Information / Background: The City hired Ehlers to complete the last Utility Rate Study in late 2011 for 2012 rates. This year the City has again hired Ehlers to update the rate study for 2014 rates. Representatives from Ehlers and City staff will be at the rate study to discuss the preliminary results. Attachments: Powerpoint presentations slides Water, sewer, and storm utility financial schedules and projections. City of Edina • 4801 W. 50th St. • Edina, MN 55424 Key Findings Utility funds are in good financial health Contribute to AAA bond rating Minor adjustments recommended in utility rates Discussion of development related connection fees EHLERS Sanitary Sewer MCES disposal charge is biggest expense in sewer Expected to increase 5% annually () EHLERS 10/9/2013 1 Sanitary Sewer Rates • Recommended rate increase is 3.25% per year Souwr fi �nr1 finnnci�lly ef�hlo 9 w q -s Consistent Sewer Rates 2014 rate increase 3.25% (vs. 4% in 2011 study) Smaller increase possible due to lower ]VICES costs Nor,- e,F,.�, .K,_•.•,.,,•v EHLERS I Storm Water Capital needs increasing for road reconstruction and water quality projects Mmelr —i ®I� I EL 91t lr 7... EHLERS 10/9/2013 2 Storm Water Rates Recommended rate increase is 6% per year (vs. 5% in 2011 study) • Maintains adequate cash reserves in liff of eoo. i EHLERS Water Capital costs increasing due to - road reconstruction - $7 million water treatment Dian! in 2017 ,zomoa .. EHLERS Water Rates No changes needed to rate structure Recommend 5.25% annual increase 2014 -2019 4 75% annual increase in 2020 and beyond Rate increases apply to - Fixed charge - All tiers - Mor in9side rates Less than 2011's recommended 6% rate increases - Strong 2012 revenues helped cash balance - New meters accurately measure consumption EHLERS 10/9/2013 3 Consistent Rates Gty of Ed— Water Rate R— m— d.tmns i nezt rate stutl+ � „ FREERS Water Fund Stable r of ui K; 0 EHLERS Sample Utility Bills Most bills will increase lessthan ` 5 %. Sewer is biggest n� component of most winter bills. Z42 ;L2 e5x +a:w 1S 5' Z155t ]5R, .7 ,6 f i �Slt t EHLERS 10/9/2013 11 Rate are Competitive „ EHLERS Connection Fees Edina currently charges - $400 sewer availability charge (SAC) - $800 water availability charge (WAC) Lowest among neighbors who charge SAC and WAC Bloomington. Hopkins Richfield. and St Lows Park do not have comparable fee in 2013 EHLERS Growth Rate study assumes 1,200 new multi - family units over next 5 years Growth precipitates need for capital projects - $1 1 million sewer protect in 2013 to fix "bottleneck' - $7 million water treatment plant in 2017 Higher SAC and WAC fees proposed to help offset cost of growth - Proposed SAC fees generate $765.000 over 5 years - Proposed WAC fees generate $1 5 million over 5 years EHLERS 10/9/2013 5 Proposed SAC and WAC Fees 25% increase in 2014 and 2015 5% annual increase thereafter Fees remain competitive -®®®M SAC 5400 $500 $625 $656 WAC 58DO SI,D00 51,250 51.313 Total $1,200 $1,500 $1,275 $,1,969 © EHLERS Summary of Recommendations Sewer rate increase 3.25% Storm water rate increase 6% Water rate increase 5.25% Adopt rates for three to five years at a time Increase SAC and WAC fees to defray cost of growth EHLERS Mark Ruff Senior Financial Advisor /Principal 65'-6b % -650` mnlfl�et,blsmc Com EHLERS 10/9/2013 u City of Edina Utility Funds - 55a ter, Fund Water Fund Uaaga/Bxed rate increase Other revenue o-ease Expenditure increase Investment Earnings Revenues Charges for services Quarterly Meter Service Charges 1 Charges for Water Usage Sale of Water Meters Slate Health Fee Other Total operating revenues if, II Expenses Adno. I Buildings Water Dislnbunon Tanks, Towers, and Reservoirs i Source of Supply �. Water Treatment Meter Reading Meter Repair I Equip Operation Training Depreciation •i Total operating expense Operating income (loss) Non operating rev (exp) an WAC Revenue t I Investment income Gain (loss) on disposal of asset i i Interest Expense. 20030 Bonds 1 Interest Expense. 2007E Bonds +` Interest Expense. 2008A Bonds Interest Expense: 2011 A Bonds Interest Expense: 2012A Bonds ;s Miscellaneous Intergovemmental ul Total non-operating Revenue ll I Net income (loss) 1? 44 Operating transfer in 4t Operaling transfer out 4i• Net diange to retained earnings 5.25% 5 21% 5 25%. 5.25 °'. 5 25..'. 3 001.. 3 tlMv 100". 3 001-. 3 00% 3.007. 3.00% 3.00% 3.007• 3.00% 1.007. 1.00' /. I.00X 1.00% 1007. 5 2s% 4.75% 4 75% 4 75% 4 75% 3 OW. 3 On "b 1001. 1 00% 3 00 ". 3.0011. 3.00% 3.00% 3.007. 3.001". 1.007. 1.00% 100% 100% 1.0076 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 5,501,119 6,557,701 6,048,725 7,055 694 7,426,118 7,815 989 8,226,328 9.659,211 9,112,767 9. 45,623 9,999,040 10,473,995 10.971,509 17,139 23,796 31,000 31,000 31,000 31.000 31,000 31,000 31,000 31,000 31,000 31,000 31,000 88,026 88,043 109.273 112.551 115,928 119,406 122,999 126,677 130,478 134,392 139,424 142,576 146,854 132,417 362,594 258,000 172.356 177,527 182,852 198.338 193.988 199,808 205.802 211.976 219,335 224,885 5,738,701 7,032,134 6,446,998 7,371,601 7,750,572 8,149,247 8,568,654 9,009,876 9,474052 9,916,817 10,380,440 10,865907 11,374,249 583.500 570,903 613,499 631.904 650,861 670,387 690,499 711,213 732,550 754,526 777,162 900,477 924,491 0 0 0 0 0 0 0 0 0 0 0 0 0 1,379,750 1,378,176 1,480,983 1,525,412 1,571,175 1,618,310 1,666,959 1,716,865 1,768,371 1,821,422 1,876,065 1 932,347 1,990,)17 0 0 0 0 0 0 0 0 0 0 0 0 0 531,645 505,834 766,246 789,233 812,910 837,298 862.417 888,289 914,938 942,386 970,658 99.777 1029,771 480,072 552,092 609.880 628,176 647.022 666,432 686,425 707,018 728,229 750,075 772.578 793,755 919,618 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1,312,139 1.461,418 1,500,000 1,545,000 1.591,350 1,639,091 1,688,263 1,738 911 1,791,078 1,844,811 1,900,155 1 957,160 2.015,875 4.287.106 4,468,413 4,970,608 5, 119 ,726 5,273,318 5,431,518 5,594,463 5.762,297 5,935,166 6,113.221 6,296,619 6,495,516 6,680,082 1,451,595 2,563,711 1,476,390 2,251,875 2,477,254 2,717,729 2,974,191 3,247,579 3,538,886 3,803,596 4,093,823 4,380,390 4,694,167 240,000 300,000 315,000 330,750 347,288 0 0 0 0 0 9,099 10,188 0 9,196 35,639 37,835 37,812 40,343 41,767 42,280 48,398 50,938 53,329 30,589 675 (18,470) (12,778) (6,568) (83,800) (72,300) (60,300) (47,800) (34,800) (21,300) (7,200) (262,712) (240,431) (216,462) (190,624) (161,787) (129,700) (95,200) (59,200) (20,400) (158,730) (200,950) (184,750) (167,800) (150,550) (132,950) (115,000) (96,700) (73,275) (44,550) (15,000) (87,040) (117,100) (105,700) (93,300) (80,500) (67,200) (53,300) (40,650) (29,400) (17,850) (6,000) (325,294) (473,376) (571,220) (291,078) (134,448) (42,015) 52,712 146,231 (128,633) (71,645) (25,552) 18,088 47,329 1,126,301 2,090,335 905,171 1,960,797 2,342,806 2,675.714 3,026,903 3,393,810 3,410,253 3,731,952 4,058,271 4,398,478 4,741,496 (100.000) (100,000) (103,000) (1116,090) (109,273) (112,548) (115927) (119,408) (1 22.992) (126,680) (130,480) (134.394) (138,422) 1 026,301 1,990,335 802,171 1,854,707 2,233,534 2,563,166 2,910,977 3,274,402 3,287,261 3,605,272 1,927,790 4,264,084 4,603,075 I i'7 5st ct au ..1 a(, n7 ax 613 70 71 72 1t 7a 7s 76 77 7a 7,1 8(1 81 82 s; S:I HC $(, 88 89 v0 rt f City of Edina Utility Funds - Water Fund Water Fund Usagc/Oxed rate increase Other revera a increase Expenditure increase Investment Earnings Cash now Operating income (loss) Depreciation Bond payments 2003C Prin Bond payments 2007B Prin Bond payments 2008A Prin Bond payments 2011 A Prin Bond payments 2012A Prin Non operating Miscellanous- payment of IFL Investment income Transfers Reconcile operating to cash Capital 2011 proceeds spent 2012 proceeds spent Bond Proceeds Bonds: Debt (M) - 2012 Bonds -3 %, 10 y Debt (P &I) - 2013 Bonds Debt (P &1) - 2014 Bonds Debt (P &I) - 2015 Bonds Debt (P &q - 2016 Bonds Debt (P &I) - 2017 Bonds 4 %, 10 y Debt (P &I) - 2018 Bonds Debt (P &1) - 2019 Bonds -4.5 %, 10 Debt (P &I) - 2020 Bonds Debt (P &1) - 2021 Bonds Debt (P &1) - 2022 Bonds Debt (P &1) - 2023 Bonds Net CashOow Beginning cash Ending cash Target cash balance (50% of operating revenues) Actual cash over (under) target 5.25% 515% 5.25% 5.25% "; '. 5.25% 5.25% 4.75% 4.75% 4.75% 4,75% 3.00 % 3.00% 3.00% 3.00% 3.00% 3 00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3,00% 300% 3.00;6 3.00% 3.00% 3.00% 1.001/. 1.00% 1.00% 1.00% 1,00% 100% 1.00% 1.00% L00% 1.00% Per Financial Statements Budget Proposed Projected 2011 2012 2013 2014 2015 2016 2017 2018 2019 1020 2021 2022 2023 1,451,595 2,563,711 1,476,390 2,251.875 2,477,254 2,717,729 2,974,191 3.247,579 3,538,886 3,803,596 4.083,823 4,380,390 4,694,167 1,312,139 1,461,418 1,500,000 1,545,000 1,591,350 1,639,091 1,688,263 1,738,911 1,791,078 1,844,811 1,900,155 1,957,160 2,015,875 (172,500) (180,000) (185,000) (280,000) (295,000) (305,000) (320,000) (330,000) (345,000) (360,000) (700,000) (725,000) (750,000) (780,000) (810,000) (845,000) (880,000) (920,000) (960,000) (770,000) (840,000) (855,000) (870,000) (890,000) (905,000) (925,000) (945,000) (970,000) (1,000.000) (265,000) (305,000) (315,000) (325,000) (340,000) (355,000) (370,000) (380,000) (390,000) (400,000) (334,393) (483,564) (571,220) (540,274) (470,087) (394,850) (315,850) (241,400) (170,400) (135,000) (751,547) 0 0 0 0 0 0 0 0 0 0 0 9,099 10,188 0 9,196 35,639 37,835 37,812 40,343 41,767 42,280 48,398 50,938 53,329 (100,000) (100,000) (103,000) (106,090) (109,273) (112,548) (115,927) (119,408) (122,992) (126,680) - (130,480) (134,394) (138,422) (107,950) 12,295 (8,902,480) (8,749,138) 14,189,000) (2,610,400) (2,601,248) (3,164,242) (10,528,727) (2,494,138) (3,226,563) (2,697,660) (2,805,567) (2,917,789) (3,014,501) 9,188,960 3,822,174 4,300,000 2,100,000 2,400,000 10,000,000 2,400,000 3,000,000 2,000,000 1,700,000 1,700,000 rs 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 (504,091) (504,091) (504,091) (504,091) (504,091) (504,091) (504,091) (504,091) (504,091) (246,184) (246,184) (246,184) (246,184) (246,184) (246,184) (246,184) (246,184) (281,353) (281,353) (281,353) (281,353) (281,353) (281,353) (281,353) "s (1,232,909) (1,232,909) (1,232,909) (1,232,909) (1,232,909) (1,232,909) (295,898) (295,898) (295,898) (295,898) (295,898) yrs (379,136) (379,136) (379,136) (379,136) (252,758) (252,758) (252,758) (214,844) (214,844) (214,844) 1,260,059 (3,413,788) (3,896,830) 2,644,307 219,544 (2,261) 253,134 142,349 51,340 611,775 253,998 239,130 (431,570) 6,970,170 8,230,228 4,816,441 919,611 3,563,918 3,783,462 3,781,201 4034,336 4,176,685 4,228,025 4,839,799 5,093,798 5,332,928 8,230,228 4,816,441 919,611 3,563,918 3,783,462 3,781,201 4,034,336 4,176,685 4,228,025 4,839,799 5,093,798 5,332,928 4,901,358 2,869,351 3,516,067 3,223,499 3,685,801 3,875,286 4,074,623 4,284,327 4,504,938 4,737,026 4,958,409 5,190,220 5,432,953 5,687,124 5,360,878 1,300,374 2,303,888) (121.882) 91,824) (293,422) 249,992) 328,2531 509,002) 118,609 (96,422 ) (100,025) 785,766) 12,000,000 10,000,000 8,000,000 • 111 111 I 4,000,000 2,000,000 Water Fund Operating Expenses and Capital Costs vs. Operating Revenue 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 o Debt and Capital Costs LOperating Revenue � Operating Expenses Prepared be Ehlers 10/8/2013 19 EHLERS . 111 111 5,000,000 4,000,000 O M M 2,000,000 1,000,000 C; Water Water Fund 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Page 1 City of Edina Sample Projected Residential Utility Bills Sample Family Quarterly Bill 2013 2014 2015 2016 2017 Winter months - 30 units water and sewer Sewer 96.00 99.12 102.34 105.67 109.10 Water 55.27 58.17 61.23 64.44 67.82 Storm Water 21.59 22.89 24.26 25.71 27.26 Total $ 172.86 $ 180.18 $ 187.83 $ 195.82 $ 204.18 Combined Fee Increase $ 7.32 $ 7.65 $ 8.00 $ 8.36 Percent Increase 4.23% 4.25% 4.26% 4.27% Summer months - 50 units water and 30 units sewer Sewer 96.00 99.12 102.34 105.67 109.10 Water 87.92 92.54 97.39 102.51 107.89 Storm Water 21.59 22.89 24.26 25.71 27.26 Total $ 205.51 $ 214.54 $ 223.99 $ 233.89 $ 244.25 Combined Fee Increase $ 9.03 $ 9.45 $ 9.89 $ 10.36 Percent Increase 4.39% 4.41% 4.42% 4.43% Sample Summer Quarter) Bill - F 2013 2014 2015 2016 2016 100 units water and 30 units sewer Sewer 96.00 99.12 102.34 105.67 109.10 Water 209.57 220.57 232.15 244.34 257.17 Storm Water 21.59 22.89 24.26 25.71 27.26 Total $ 327.16 $ 342.58 $ 358.75 $ 375.72 $ 393.53 Combined Fee Increase $ 15.42 $ 16.17 $ 16.97 $ 17.80 Percent Increase 4.71% 4.72% 4.73% 4.74% Sample Bill for Low Utility User 2013 2014 2015 2016 2016 12 units water and sewer Sewer (minimum quarterly rate) 51.20 52.86 54.58 56.36 58 19 Water 31.69 33.35 35.10 36.95 38.89 Storm Water 21.59 22.89 24.26 25.71 27.26 Total $ 104.48 $ 109.10 $ 113.95 $ 119.02 $ 124.33 Combined Fee Increase $ 4.62 $ 4.84 $ 5.07 $ 5.31 Percent Increase 4.42% 4.44% 4.45% 4.47% Prepared by Ehlers 10/8/2013 Edina 2013 Update City of Edina Utility Funds - Sanitary Sewer Fund Sanitary Sewer Charges Increase Investment Rate Other revenue increase MCES Disposal Cost Increase Expenditure increase I Revenues 3 Sewer Charges 4 Other 6 Total operating revenues 8 Expenses 9 10 Disposal Charges II Admin. 12 Collection Systems 13 Depreciation t4 15 Total operating expense 16 17 Operating income (loss) 18 P) Non operating rev (exp) 2.0 Investment income ' I City SAC Revenue Gain (loss) on disposal of asset 23 Interest Expense: 1999A Bonds '.J Interest Expense 20030 Bonds Interest Expense: 20078 Bonds 2!1 Interest Expense: 2008A Bonds 27 Interest Expense: 2011A Bonds 2R Interest Expense. 2012A Bonds Miscellaneous +0 Intergovernmental �I ;? Total non operating ? -1 Net income (loss) 35 56 Operating transfers in ;7 Operating transfers out Is Net change to retained earnings 3.25% 3.25% 3.25% 3.25% 3.25% 3.25% 125% 3.25% 3.25% 3.25% 1.001/6 1.00% 1.00% 1.00% 1.00% 1.001/6 1.00% 1.00% 1.00% 1.001/6 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 3.00% 5.00% 5.00% 5.00% 5.00% 5110% 5.00% 5.00% 5.00% 5.001/6 5.00% 3.00% 300% 3.001/6 3.00% 3.00% 300% 3.00% 3.00% 3.00% 3.00% Per Fin inl (rare- -k R„dorr Pro errl 10,444,102 Prniected 4,244,096 4,456,000 4,386,273 4,605,587 4,835,866 5,077,659 5,331,542 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 7,191,039 7,490,136 7,490,136 7,733,565 7,984,906 8,244,416 8,512,359 8,789,011 9,074,654 9,369,580 9,674,091 9,988,499 10,313,126 80,862 97,459 97,459 100,383 103,394 106,496 109,691 112,982 116,371 119,862 123,458 127,162 130,977 7,271,901 7,587,595 7,587,595 7,833,948 8,088,301 8,350,912 8,622,050 8,901,993 9,191,025 9,489,442 9,797,550 10,115,661 10,444,102 4,383,691 4,244,096 4,456,000 4,386,273 4,605,587 4,835,866 5,077,659 5,331,542 5,598,119 5,878,025 6,171,927 6,480,523 6,804,549 583,500 570,903 613,499 631,904 650,861 588,030 631,904 650,861 670,387 605,671 650,861 670,387 690,499 263,972 376,432 542,249 558,516 575,272 592,530 610,306 628,615 647,474 666,898 686,905 707,512 728,737 426,895 497,225 450,000 463,500 477,405 491,727 506,479 521,673 537,324 553,443 570,047 587,148 604,762 5,658,058 5,688,656 6,061,748 6,040,193 6,309,125 6,508,153 6,826,348 7,132,692 7,453,303 7,704,037 8,079,739 8,445,570 8,828,547 1,613,843 1,898,939 1,525,847 1,793,755 1,779,176 1,842,758 1,795,702 1,769,301 1,737,721 1,785,405 1,717,811 1,670,092 1,615,555 20,679 23,154 0 36,259 36,390 36,416 41,345 43,615 42,945 41,334 43,371 44,184 43,835 0 120,000 150,000 157,500 165,375 173,644 0 0 0 0 0 (18,470) (12,778) (6,568) (42,500) (36,600) (30,500) (24,200) (17,600) (10,700) (3,600) (101,412) (92,812) (83,550) (73,588) (62,431) (50,026) (36,726) (22,826) (7,863) (12,482) (15,800) (14,550) (13,250) (11,900) (10,500) (9,100) (7,650) (5,775) (3,525) (1,200) (25,529) (34,300) (30,900) (27,300) (23,600) (19,700) (15,600) (11,850) (8,550) (5,175) (1,725) (141.704) (131,518) (161,947) 9,621 62,209 93,990 132,294 165,633 11 ,832 23,709 31,296 37,809 42,110 1,472,140 1,767,421 1,363,900 1,803,376 1,841,384 1 936,749 1,927,996 1,934,934 1,749,554 1,809,114 1,749,106 1,707,900 1,657,665 1,472,140 1,767,421 1,363,900 1,803,376 1,841,384 1,936749 1,927,996 1,934,934 1,749,554 1,809,114 1,749;106 1,707,900 1,657,665 City of Edina Utility Funds - Sanitary Sewer Fund Sanitary Sewer Charges Increase Investment Rate (Aber revenue increase MCES Disposal Cost Increase Expenditure increase u) 3.25% I I Cash Bow 3.25% t' Operating income (loss) 3.25% I ; Depreciation 3.25% -t- Bond payments. 1999A P &1 325% Bond payments- 20030 Prin 1.001/6 n" Bond Payments 20078 Pnn 1.00% �r Bond Payments. 2008A Prin I00° /. I Bond Payments: 2011 A Prin 1.00% Bond Payments 2012A Prin 1.00% Net other 3.00°/. "I hrveslment income 3.00% •, filet Council 1 &I Surcharge 3 00 % - htel Council I &1 Surcharge Rebate (5016 '• Capital 3 001/. 2008 proceeds spent 5.00% •�' Bond proceeds 5.00 % Bonds 5.00° /. !• n Debt (P &I) - 2012 Bonds (3% for • 1 Debt (P &I) - 2013 Bonds (3% for '. •� Debt (M) -2014 Bonds (3% for ,•�• Debt (M) - 2015 Bonds (3% for o -' Debt (M) - 2016 Bonds (3% for ,s Debt (P &p - 2017 Bonds (4% for . Debt (M) - 2018 Bonds (4% for ;0 Debt (M) - 2019 Bonds (4.5% fo 71 Debt (M) - 2020 Bonds (4.5% fo Cash flow (155,000) Bee,inninR each (170,000) > Ending cast. (180,000) 1, Target Cash Balance (50% of S I operating revenues) .. Actual cash over (under) target 3.25/. 3.25% 3.25/. 3.25% 3.25`/. 3.25% 3.25% 3.25% 3.25% 325% 1.00% 1.001/6 1.00• /. 1.00% 1.00% I00° /. 100% 1.00% 1.00% 1.00% 3.001/. 3.00°/. 3.00% 3.00% 300% 3 00 % 3.001/. 3.00% 3 001/. 3.00°/. 5.00% 5.001/. 5.00 % 5.00% 5.00° /. 5.00% 5.00% 5.00% 5.00% 5.00 3 001/. 3.00°/. 3.00°/. 3 00'/. 300°/. 3 001 /. 3 001/. 3 00% 3 001/. 3 00% 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 1,613,843 1,898,939 1,525,847 1,793,755 1,779,176 1,842,758 1,795,702 1,769,301 1,737,721 1,785,405 1.717,811 1,670,092 1,615,555 426,895 497,225 450,000 463,500 477,405 491,727 506,479 521,673 537,324 553,443 570,047 587,148 604,762 (172,500) (180,000) (185,000) (145,000) (150,000) (155,000) (160,000) (170,000) (175,000) (180,000) (270,000) (280,000) (290,000) (300,000) (315,000) (325,000) (340,000) (355,000) (370,000) (60,000) (65,000) (65,000) (70,000) (70,000) (70,000) (75,000) (75,000) (75,000) (801000) (80,000) (90,000) (90,000) (95,000) (100,000) (105,000) (110,000) (110,000) (115,000) (115,000) (162,382) (154,672) (161,947) (146,638) (124,181) (99,926) (74,426) (51,626) (31,113) (17,625) (12,075) (6,375) (1.725) 20,679 23,154 0 36,259 36,390 36,416 41,345 43,615 42,945 41,334 43,371 44,184 43,835 (725,000) (2,320,000) (2,339,000) (1,528,800) (1,526,138) (1,118,115) (1,357,036) (1,824,979) (1,897,979) (1,973,898) (2,052,854) (2,134,968) (2,220,366) 729,395 1,126,033 0 years) 0 years) n 0 0 0 0 0 0 0 0 0 0 years) 0 0 0 0 0 0 0 0 0 0 years) 0 0 0 0 0 0 0 0 0 years) 0 0 0 0 0 0 0 0 years) 0 0 0 0 0 0 0 years) 0 0 0 0 0 10 years) 0 0 0 0 10 years) 0 0 0 0 0 1,315,930 4611,679 (1,21 5, 100) 13.076 2,652 492,361 227,064 (67,016) (161,101) 203.660 91.299 (34.919) (72,939) 3,064,377 4,380,306 4,840,985 1..12t. 835 1648 91,1 3,641,612 4,134,473 4,361,537 4,294,521 4,133,420 4,337,080 4,418,379 4,383,459 4,380,306 4,840,985 3,625,895 3,638, %1 3,641,612 4,134,473 4,361,537 4,294,521 4,133,420 4,337,090 4,418,379 4,383,459 4,310,520 3,635,951 3,793,799 3,793,798 3916974.095 4,044,150 4,175,456 4,311,025 4,450,996 4,595,512 4,744,721 4,898,775 5,057,831 5,222,051 744,356 1 047 188 167,913 278,013) 402,538 40,983 50,512 156,475) 462,093) (407,642) (480,396) 674,371 911,531 r Sewer Fund Operating Costs 9,000,000 8,000,000 7,000,000 6,000,000 5,000,000 - Collection Systems ■ Administration 4,000,000 - ■ MCES Charges 3,000,000 - 2,000,000 - 1,000,000 - 0 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 6,000,000 5,000,000 4,000,000 a� 3,000,000 Ln X Q 2,000,000 1,000,000 0 Sewer Fund Cash Balances 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 I 2022 2023 ■Target Cash Balance eCash Balance Cily or Edina O(ilih Farads - Storm Seem Fund Si.— Server Resenue Increase Other m,enue mcorme Inreslment Rale E,peraliturc n—case 60116 6.1807. 6.(109. 60(114 6.0014 600. 6,00 %. 6.(AM/. 6(104 6.00% 3.00% 3.(11/. 3006 3.(80/. 300X 30wl. .IBM /. 3011"/. 3mr/. 3001x. 1.. LAW/. I.OM /. 1,00% I'lw/. I.00X 100% I.(BM /. 100% 100". 3009. 3.009. 3.009. 3.00. 300. 30111/. 100 ^, 3.009. 300 ^. 1()0 ^, Budget 2013 Per Financial Snt —ems Pro sled 2015 2011 2012 Rcsenucs 2018 2020 Charges for sen ices 2431,574 2,540,359 Other 9.483 9.922 Tolal operating m%cnues 2.441,057 2.549,290 Eapcn cs J 619,759 4,049,945 Adnu , 169,3119 195.073 OperaOng F.$)lcnses 221,632 230,551 i bcprccm— 510,193 709,568 Tolal operating c.,pcnsc 971.834 1.125.192 Operaling inrnnlr (loss) 1,464.223 1,424.03A ('ash no. 3.036,233 3.218407 Opeml..g income 0 nss1 1,469,223 1424,OR9 - Dcpredebm+ 590,993 709.561 Other .hang., 190,625 196,344 Inlcrgnrcmmcnlal 0 214.550 Inlcresl mcomc 11.510 1296t Transfers 0 230,551 Oispos Iof aesels 0 231,929 Brand proceeds 1.608391 1.834,14( Dcbl pn,S —nla 111.19 brands P &I 292,055 300,917 ,. Debi pnroems. 2007 bonds P &I (433.900) (435.20( Dcht pa ems. 2009A bonds P &1 (267.713) (266,531 Debt pio—t, 2011A bonds P &1 1,301,457 (27,52: Debt pacments 2012A bonds P &I 1,601114 1.721.591 . i Debt (P &I)- 2013 Bonds 1,260.911 1,371 759 Debt (P &) -2014 Bonds (3 %fm 10rears) 1691,320 Dcbl (P& 1) - 2015 Bonds (39. for 101xars) 2.027,071 t 1 Debt (P &I) - 2016 Bonds poor 10 rears) 1,393,42A bele(P &11 -2017 Bon& (4%fw 10rearo1 1 553,794 - Debt(P &1) -201A 15onds (4%(m l0 ,cars) 1,918,469 • Deh1(P &) -2019 Bonds (4.5% for 10 years) 2,156,146 IMH (P &) - 2020 Bonds (4 5. for 10 ,carol 1.441,256 Dchl IP &) -2021 Bonds (4. S. for In s cars) 1629,122 Debi (P &I) - 2012 (fonds (4.5. for In Scan) 1,923,608 Capnnl (1.595000) (3,0260( 1 Cash new 1,373,9614 231,501 v Beginning cash 1 419.833 2.792.115 ! Ending ush 2,792.A17 3,024,32! Quarterly Charge for Single Fmnik Hume 19.59 20.51 60116 6.1807. 6.(109. 60(114 6.0014 600. 6,00 %. 6.(AM/. 6(104 6.00% 3.00% 3.(11/. 3006 3.(80/. 300X 30wl. .IBM /. 3011"/. 3mr/. 3001x. 1.. LAW/. I.OM /. 1,00% I'lw/. I.00X 100% I.(BM /. 100% 100". 3009. 3.009. 3.009. 3.00. 300. 30111/. 100 ^, 3.009. 300 ^. 1()0 ^, Budget 2013 Pro red 2014 Pro sled 2015 , 2016 2017 2018 2018 2020 2021 2022 2023 2,540.358 2.692.779 2,334,346 3,025,607 3,207,143 3,399.372 3,603,546 J 619,759 4,049,945 4,291,681 4,549,394 8,922 9.457 10,025 10,626 11.264 11.940 12.656 13,415 14.220 15.074 15,97A 2.549,210 2.702137 2.964.371 3.036,233 3.218407 3.411,512 3.616,202 3,833.175 4.063.165 4306955 4,565172 185,073 190,625 196,344 202.234 209.301 214.550 220,917 227,616 234.445 241.471 243.723 230,551 237,461 244,392 231,929 259,497 267,272 275,290 283,549 292,055 300,917 309,341 750,228 132,AR1 931,424 1,028.276 1,122.296 1,209498 1,301,457 1,391,402 1,500,571 1,601114 1.721.591 1.165.952 1,260.911 1,371 759 1.482439 1,590.035 1691,320 1.797.734 1 909,567 2.027,071 2.1 su v", + 1AU. 155 1,393,42A 1,441,256 1,492,012 1 553,794 1.62A.322 1,720,192 1,918,469 1,923,60 2,036,094 2,156,146 2,289,219 1,393.428 1.441,256 1,492,012 1,553,794 1629,122 1,720,192 1,818,469 1,923,608 2,036094 2.156446 2,215,211 750,229 932,098 931.424 1 021.276 1.122.2% 1.2(19,498 1,301.457 1,398402 1.500,571 1.603.214 1,721,591 0 0 0 0 0 0 0 0 0 0 0 0 22.176 24,491 19.145 17,295 17,354 19.611 19,817 21.713 19,630 20,092 0 0 0 (1 0 0 0 D 0 0 0 0 n 0 0 0 n 0 0 n 0 0 2.(81,0(81 2,1881,0(1 2.200.000 2.200.000 1.618),(811 1.5011.0011 1,5181.000 1.200.000 1,50O,(X)O 1.500.000 (43 1(00) (431,300) (431.(8) (430,100) (433.500) (2(A,956) (267.862) (269,831) (270,962) (271,362) (271,362) (270,631) (169,850) (177,050) (174,150) (176,200) (179,150) (175,050) (176,900) (177,825) (177,9O (177,625) (41,5(A) (190.950) (195.550) (194,650) (193,550) (197.150) (195.450) (194425) (194.100) (193.625) (197925) 0 0 0 0 0 0 0 0 0 0 (234,461) (234461) (234461) (234,461) (234461) (234,461) (234,461) (234,461) (274,461) (234,461) (234,461) (2344651) (234461) (234,461) (234.461) (234,461) (234,461) (157.907) (257.907) (257.907) (237.907) (257.907) (257.907) (257.907) (271.240) (271,240) (271,240) (271.240) (271,240) (271,240) (197,266) (197,266) (197,266) (197,266) (197,266) (199.568) (199.002) (199.002) (199,002) (189,561) (119,561) (119,569) (151,655) (151,655) (129,5611 (2.033000) (3.707.680) (3677.440) (3.445458) (3.151,618) (1,676636) (2.783 702) (2695.050) (3.010,852) (3.131.2R6) (3,256.537) (806,714) 231,479 (534,556) (185,077) 5,904 2211,776 17,549 199,623 (208,278) 46,195 147,311 3024.325 2.217.611 2.449,029 1 914.S33 1.729.456 1,735.36() 1.9(A.136 1.931.695 2.171,309 1 963.030 2019125 2,217,611 2,449,019 1,914 SJ3 1,729,436 1,735,760 1,964,136 1.931,685 2,171309 1,963.030 2.019,225 2.1W.36 21.59 22.89 2416 25.71 27.26 28.89 30.63 32.46 34.41 36.48 39.66 3,500,000 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 Storm Water Cash Balances QP" ®Target Cash Balance ❑Ending cash EXHIBIT Al City of Edina Utility Funds Water Fund Capital Improvements IV Exhibit 2013 2014 2015 2016 2017 2018 2019 I 2020 2021 2022 2023 1 2 10 11 u 1] 14 15 to 17 1. 19 1A 21 22 23 2s 21 25 27 20 29 30 ]1 ]x 33 ]9 31 Main Rehabilitation/Replacement/Extensions: PROD. # 2,050,000 $ 2,050,000 ]7 39 Inflated Costs 4.00% $ 4,189,000 $ 2.610,400 $ 2,601,248 $ 3,164,242 - $ 10,528,727 $ 2,494,138 $ 3,226,563 $ 2,697,660 S 2,805,567 $ 2,917,789 $ 3,034,501 11 0 1 2 3 4 5 6 7 8 9 10 Water main improvements ENG -13 -002 $ 1,375,000 $ 1,200,000 $ 2,000,000 $ 2,000,000 $ 1,800,000 $ 2,000,000 $ 2,000,000 $ 2,000,000 $ 2,000,0001 $ 2,000,000 $ 2,000,000 Momin side neighborhood water main relini ENG -13-014 $ 200,000 $ 100,000 Well Rehabilitation /Re lacemenVConstructlon: Piping wells #15 and #9 to treatment plant 6 ENG -13 -005 $ 1,100,000 Piping wells #5 and #18 TO WiP 95 UT -08 -008 $ 100,000 Well #5 W 69th St) UT -08 -009 $ 120,000 Well #2 rehab project UT -09 -010 $ 120,000 Well #9 rehab UT -10 -008 $ 200,000 Well #11 rehab UT -10 -009 $ 120,000 Well #10 rehab UT -11 -006 $ 120,000 ' Well #8 UT -12 -006 $ 35,000 Tower repainting $ 500,000 Control System, Equipment Re lacements /U rades: Utilities equipment re lacement . PW -13 -005 $ 64,000 $ 40,000 $ 25,000 $ 103,000 $ 40,000 $ 50,000 $ '50,000 $ 50,000 $. 50,000 $ 50,000 $ 50,000 Water meter replacement project UT -10 -0O6 $ 2,100,000 SCADA radios stem upgrade UT -12 -007 $ 20,000 Asset mane ement update UT -12 -008 $ 25,000 $ 10,000 $ 20,000 $ 20,000 Water Treatment Plant Rehab: Well 03 rehab PW -13 -006 $ 120,000 Well #17 rehab PW -13 -007 $ 120,000 Well 016 rehab PW -13 -008 $ 120,000 Water treatment plan #5 UT -07 -002 $ 150,000 - $ 7,000,000 Miscellaneous Pro ects: Reconstruct Valley View Rd ENG -13 -009 $ 40,000 Reconstruct Tracy Ave ENG -13 -010 $ 220,000 Concrete rehab - Parklawn Ave PW -00 -074 $ 10,000 Reconstruct W 54th St Wooddale to Francis PW -01 -012 $ 40,000 Reconstruct W 58th St Wooddale to Francis PW -04 -001 $ 40,000 Future estimated -based on average 3, TOTAL $ 4,189,000 $ 2,510,000 $ 2,405,000 $ 2,813,000 $ 9.000,000 $ 2,050,000 $ 2,550,000 $ 2,050,000 8 2.050,000 $ 2,050,000 $ 2,050,000 ]7 39 Inflated Costs 4.00% $ 4,189,000 $ 2.610,400 $ 2,601,248 $ 3,164,242 - $ 10,528,727 $ 2,494,138 $ 3,226,563 $ 2,697,660 S 2,805,567 $ 2,917,789 $ 3,034,501 ]9 .0 0 1 2 3 4 5 6 7 8 9 10 Prepared by Elders and Associates. Inc. 10/82013 Edina 2013 Update 3 4 F 10 11 12 u 14 19 to 12 10 19 2D 21 22 23 24 26 26 22 ze TOTAL $. 2,339,000 $ 1,470,000 $ 1,411,000 $ 994,000 $ 1,160,000 $ 1,500,000 $ 1,500,000 $ 1,500,000 $ 1,500,000 $ 1,500.000 $ 1,500,000 29 " lD Inflated Costs 4.00% $ 2,339,000 $ 1,528,800 $ 1,526,138 $ 1,118,115 $ 1,357,036 $ 1,824,979 $ 1.897,979 $ 1,973,898 $ 2,052,854 $ 2,134,968 $ 2,220,366 31 0 1 2 3 4 5 6 7 8 9 10 iz n k - fOT- AL( urreollarsli„ , =r.-: .,_ ,,. z s "r, �. S ,z� "-'->'3" 9000`^ t0 " , 47_ 0 � Ir�' 31i4 ,1�Or ,�''+- � ^99!1T�i' 1�180� O'f',i1�,�i000; r A, 0 0'v tia70T06d0' 00�,,,,,_' 1- 000-'•= � A13b7100, EXHIBIT B1 City of Edina Utility Funds Sanitary Sewer Fund Capital Improvements _ Exhibit - 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Main Rehabilitation /Re IacementfExtensions: ROJ. # Trunk sanitary sewer lining ro ect UT -08 -014 $ 540,000 $ 600,000 Sanitary sewer main improvements ENG -13-003 $ 1,451,000 $ 690,000 $ 931,000 $ 700,000 $ 1,100,000 $ 1,400,000 $ 1,400,000 $ 1,400,000 $ 1,400,000 $ 1,400,000 $ 1,400,000 Lift Station Rehabilitation/Replacement/Construction: Remove lift station #1 UT -03 -010 $ 150,000 W 69th St and York Ave watermain loop UT-10 -011 $ 150,000 - Control System, Equipment Re acements/U rades: SCADA Upgrades UT -12 -007 $ 20,000 Utilities equipment re lacement PW -13-005 33,0 $ 440,000 $ 104,000 $ 40,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 Sanitary Sewer Treatment Plant Rehab: Miscellaneous Projects: Reconstruct Valley View Rd ENG -13-009 $ 20,000 Reconstruct Tracy Ave ENG -13-010 $ 145,000 " Concrete rehab - Parklawn Ave PW -00 -074 $ 25,000 Reconstruct W 54th St Wooddale to Francis PW -01 -012 $ 20,000 Reconstruct W 581h St Wooddale to Francis PW -04-001 $ 20,000 Sewer'etter replacement UT -07 -008 Manhole repair project UT -10-010 Annual vehicle replacement UT -11 -005 Sewer camera and cable reel UT -11 -008 $ 20,000 30 Kw generator UT -12 -0OS Cit orks asset management update UT -12 -008 $ 25,000 $ 10,000 $ 20,000 $ 20,000 Future estimated -based on average Prepared by Ehlers and Associates, Inc. 10/82013 Edina 2013 Update EXHIBIT C1 City of Edina Utility Funds Storm Sewer Fund Capital Improvements Exhibit - 2013 2014 2015 2016 2017 2018 2018 2019 2020 2021 2022 2023 1 2 ] 6 r a 9 ,6 1 u t] 16 t6 1s 11 zo 21 22 TOTAL - $ 2,033,000 $ 2.892,000 $ 3.400.000 $ 3,063,000 $ 2,700,000 $ 2,200,000 $ 2,200,000 $ 2,200,000 $ 2,200,000 $ 2,200,000 $ 2,200,000 $ 2,200,000 n z+ Inflated Costs 4.00% $ 2,033,000 $ 3,007,680 $ 3,677,440 $ 3,445,458 $ 3,158,618 $ 2,676,636 $ 2,783,702 $ 2.895,050 $ 3,010,852 $ 3,131,286 $ 3,256,537 $ 3,386,799 ]s ]6 0 1 2 3 4 5 6 7 8 9 10 11 27 Storm sewer-pipe and grading improvements ENG -13 -004 $ 1,800,000 $ 2,200,000 $ 2,600,000 $ 2,600,000 $ 2,600,000 Reconstruct 2nd St South ENG -13 -008 $ 30,000 Reconstruct Valley View Rd ENG -13 -009 $ 20,000 Reconstruct Tracy Ave ENG -13 -010 $ 90,000 2013 -2014 Flood Protection and Water Improvements ENG -13 -011 $ 30,000 $ 35,000 $ 250,000 2014 -2015 Flood. Protection and Water Improvements ENG -13 -012 $ 50,000 $ 275,000 2015 -2016 Flood Protection and Water Improvements ENG -13 -013 $ 50,000 $ 275,000 Comprehensive Water Resource Mgmt Plan ENG -13-016 $ 45,000 - Storm water pollution prevention plan ENG -13 -017 $ 45,000 NMWD Pelilon Projects -Phase I ENG -13 -018 $ 180,000 $ 140,000 Concrete rehab:Parklawn Ave France to W 77 PW -00 -074 $ 15,000 Reconstruct W 54th St Wooddale to Francis PW -01 -012 $ 20,000 Reconstruct W 581h St Wooddale to Francis PW -04 -001 $ 20,000 Utilities equipment re lacement PW -13 -005 $ 63,000 $ 197,000 $ 63,000 Storm water lift station 03 rehab UT -11 -007 $ 200,000 Sewer camera and cable reel UT -11 -008 $ 20,000 SCADA radios stem upgrade UT -12 -007 $ 20,000 Asset management update UT -12 -008 $ 25,000 $ 10,000 $ 20,000 $ 20,000 Cooper Circle pond outlet UT -12 -009 $ 80,000 Future estimated -based on averse $ 2,200,000 $ 2,200,000 $ 2,200,000 1 $ 2,200,000- $ 2,200,000 $ 2,200,000 $ 2,200,000 22 TOTAL - $ 2,033,000 $ 2.892,000 $ 3.400.000 $ 3,063,000 $ 2,700,000 $ 2,200,000 $ 2,200,000 $ 2,200,000 $ 2,200,000 $ 2,200,000 $ 2,200,000 $ 2,200,000 n z+ Inflated Costs 4.00% $ 2,033,000 $ 3,007,680 $ 3,677,440 $ 3,445,458 $ 3,158,618 $ 2,676,636 $ 2,783,702 $ 2.895,050 $ 3,010,852 $ 3,131,286 $ 3,256,537 $ 3,386,799 ]s ]6 0 1 2 3 4 5 6 7 8 9 10 11 27 2s [TOTkia urrent',ye r,. OI Prepared by Elders and Associates, Inc. 10/8/2013 Edina 2013 Update To: Mayor and Council From: Eric Roggeman, Assistant Finance Director Date: October 10, 2013 Subject: Financial Review Action Requested: This item is for review only Agenda Item #:Worksession Action Discussion Information 0 Information / Background: The attached materials will be discussed at the worksession. We will also review Q3 enterprise financials at the worksession. Attachments: Quarterly Financial Update for September 2013. City of Edina • 4801 W. 50"' St • Edina, MN 55424 CITY OF EDINA, MINNESOTA Quarterly Financial Update " �� September 2013 General Fund - Revenues General Fund revenues total $17,771,254 through September 30, 2013. This amount represents 57% of total budgeted revenues for all of 2013, which is about the same as a year ago at the same time. License and permit revenue increased, $518,562 from last year due to increased permit activity. Through 9 months we have collected 99.8% of our annual licenses and permits budget. The City has experienced rapid growth in permit revenue since 2009 of 15 %, 13 %, and 16% in 2010,:,2011, and 2012, respectively. General Fund — Expenditures Total General Fund expenditures are 71.4% of budget so far this year, which is about the same as a year ago. With a large percentage of our General Fund budget tied to salaries and benefits, it is common for our expenditures to be very consistent throughout the year, meaning that most years we use about 25% of our budget every quarter. A breakdown of expenditures by functional category follows. General government expenditures are.74% of budget so far this year, which is higher than 71 % through September 2012. The increase this year is partially due to retirements in 2013 that resulted in large severance expenses of over $240,000 total this year._ Although these expenses are higher than budgeted, the excess is paid for by assigned fund balance that we hold in the general fund for this purpose. Public safety expenditures are 72% of budget for 2013, which is right where we expect them to be and the same as the 2012 rate. Public works expenditures total 65% of budget for 2013, which is lower than the 2012 rates and below the expected expenditure rate. The low expenditure rate is partially due to the Street Maintenance Division in the Public Works Department getting a late start on street maintenance because of the late spring we had this year. There is still a chance 2013 work and spending for these projects will catch up if the fall weather continues to cooperate. Parks expenditures are 70% of budget in 2013, which is a little lower than the 2012 rate of 73 %. The parks department can have a spending pattern that is somewhat. season a 1, and it can vary from year to year and quarter to quarter. Nondepartmental and other expenditures decreased from the prior year due to timing differences in overall insurance payments. Finance distributes these insurance expenditures to other departments through our Central Services function at the end of the year as part of the annual audit process, so large variances during the year can be common. G:\P &L's\1nvestment Advisory Committee\2013 \Quarterly Update.docx CITY OF EDINA, MINNESOTA " R " Quarterly Financial Update " September 2013 General Fund Statement of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual For the nine months ended September 30, 2013 Other financing sources (uses): Transfers in (out) Liquor fund (5) 765,100 - (765,100) - Construction fund (6) - - - - Other - - - - - Parkland dedication - - 702,100 (702,100) Total other financing source 765,100 - (765,100) 702,100 (702,100) Net increase (decrease) in fund balance $ - $ (4,943,973) $ (4,943,973) $ (4,265,265) $ (678,708) 1 The City receives the first property tax payment from the County in June and the second payment in December. 2 The licenses and permits category includes building permits: 3 The intergo%emmental category includes grants from Federal, state and county sources. Generally, most of the grants the City receives are reimbursement grants, which means that if grant revenue increases, expenditures must also increase by an equal or greater amount. 4 Charges for services includes ambulance revenue. 5 The annual liquor fund transfer is always made in December. 6 The annual construction fund transfer is always made in December. G:\P &L's\lnvestment Advisory Committee\2013 \Quarterly Update.docx 2 2013 2012 Over/ Increase/ Budget Actual (Under) Actual (Decrease) Revenues: Taxes (1) $ 21,711,894 $ 10,787,547 $ (10,924,347) $ 10,790,363 $ (2,816) Franchise fees 730,000 389,032 (340,968) 381,826 7,206 Licenses and permits (2) 2,866,814 2,860,736 (6,078) 2,342,174 518,562 Intergovemmental (3). 760,000 409,335 (350,665) 421,815 (12,480) Charges for service (4) 3,277,248 2,164,891 (1,112,357) 2,151,567 13,324 Fines and forfeitures 1,034,000 677,876 (356,124) 666,035 11,841 Other revenues 655,000 481,837 (173,163) 442,837 39,000 Total revenues 31,034,956 17,771,254 (13,263,702) 17,196,617 574,637 Expenditures: General govemment 5,703,900 4,213,515 (1,490,385) 3,923,717 289,798 Public safety 15,361,169 11,078,157 (4,283,012) 10,769,044 309,113 Public works 6,753,475 4,384,225 (2,369,250) 4,394,352 (10,127) Parks 3,981,512 2,786,385 (1,195,127) 2,830,997 (44,612) Other - 252,945 252,945 245,872 7,073 Total expenditures 31,800,056 22,715,227 (9,084,829) 22,163,982 551,245 Revenues over (under) expenditures (765,100) (4,943,973) (4,178,873) (4,967,365) 23,392 Other financing sources (uses): Transfers in (out) Liquor fund (5) 765,100 - (765,100) - Construction fund (6) - - - - Other - - - - - Parkland dedication - - 702,100 (702,100) Total other financing source 765,100 - (765,100) 702,100 (702,100) Net increase (decrease) in fund balance $ - $ (4,943,973) $ (4,943,973) $ (4,265,265) $ (678,708) 1 The City receives the first property tax payment from the County in June and the second payment in December. 2 The licenses and permits category includes building permits: 3 The intergo%emmental category includes grants from Federal, state and county sources. Generally, most of the grants the City receives are reimbursement grants, which means that if grant revenue increases, expenditures must also increase by an equal or greater amount. 4 Charges for services includes ambulance revenue. 5 The annual liquor fund transfer is always made in December. 6 The annual construction fund transfer is always made in December. G:\P &L's\lnvestment Advisory Committee\2013 \Quarterly Update.docx 2