HomeMy WebLinkAbout1993-07-19_BUDGET MEETINGA�
City of Edina
Department of Administration
M6morandum
July 19, 1993
To: Mayor Richards and Members of the City Council
From: Hen Rosland, City Manager
Subj: Presenting 1994 Proposed Budget Assumptions and Adjustments
This memorandum and its attachments outline 1994 proposed budget assumptions
and adjustments to be discussed at the 5:00 P.M., July 19, budget meeting. As in the
past, we will use our computer model to view the effects of varying assumptions, and,
as always, you are encouraged to explore how these, and other assumptions you may
wish to propose, affect spending and taxes. How different spending decisions
influence estimated residential, commercial and industrial taxes will be frequently
displayed and monitored.
For 1994, staff proposes 22 budget adjustments which are briefly described on the
next few pages.
Assumption scenarios 1, 2 and 3 follow the adjustments.
July 19, 1993 1 of 6
f
To: Mayon Richards and Members of the City Council
From: Hen Rolland, City Manager
Subj: Presenting 1994 Proposed Budget Assumptions and Adjustiments
Proposed 1994 Budget Adjustments
Revenue Decreases
1. INCOME ON INVEST We expect to receive $5,000 less interest on invest -
ments due to lower interest rates.
2. COURT FINES In 1994, the city expects to receive about $5,000 less
in court fines. These fines are unpredictable reve-
nue sources which have varied widely in some years
and are currently in a slight downward trend.
I� 4
ABATHMNT We estimate that $100,000 may be added to the
current $225,000 in taxes levied (and budgeted) for
1994 that will not actually be collected due to
property appraisal abatements and consequences of
the recession.
Expenditure Adjustments
1. ELECTIONS Local and federal elections in 1994 are expected to
cost about $45,000.
2. INSURANCE The City's liability and worker's compensation
insurance includes the $35,000 increase approved by
the council in early July.
3. COMP WORTH
INCREASE Employees who have not reached their maximum
salary levels as determined by the city's Comparable
Worth Plan will receive step increases.
July 19, 1993 2 of 6
To: Mayan Richards and Members of the City Council
loam: Hen Rosland, City Manager
aft Presenting 1994 Proposed Budget Assumptions and Adjustments
Police Department
4. REAU M OFFICER In 1992, the council approved temporary staff
reductions including one police officer position.
These reductions were made to balance the 1992
budget with an eye toward restoring the positions
when resources permitted. $40,000 would restore
this position.
5. ADM1N ASST. $10,000 would bring to full-time a part-time admin-
istrative position needed to assume clerical tasks
currently performed by officers and detectives.
6. CRUAR PREV SPEC. $10,000, expected to be reimbursed by the Edina
Crime Prevention Fund, would bring to full-time a
$/4 -time crime prevention specialist. Scenarios 2 and
3 assume the Crime Prevention Fund fully reim-
burses the General Fund for this upgrade.
7. Increases in time spent by officers in court and
maintenance of minimum enforcement staffing levels
will likely consume about $6,000 in additional
overtime in 1994.
8. SEVERANCE $32,160 will fund unused vacation and severance
packages for two 1994 retirements.
9. NEW EQUEACR 'r $22,700 would provide the following:
• OPI`ICOM emitters: permit squads to control
stop lights reducing collision risk
• investigative equipment: video equipment to
document interviews
• uninterruptille power source: will protect data
processing equipment and data
• trsnscn`bers: needed when statements are tak-
en simultaneously from many people, which is
becoming more common
July 190 1993 3 of 6
To: Mayor Richards and Members of the City Council
From: Hen Rosland, City Manager
Subj: Presenting 1994 Proposed Budget Assumptiome and Adjustments
Fire Department
10. OVERTIME Overtime costs consistently exceed expectations due
to an annual increase in medical runs by 5 -7%.
$15,000 would reduce the difference between actual
and anticipated costs.
11. FOCUS GROUP PRrOJ. Focus group interviews with fire department person-
nel identified fitness and health, stress manage-
ment, recall/callback procedures, fire suppression
pre- planning and safety committee activities as
areas to pursue in 1994. $22,000 would fully fund
specific action in all identified areas. $15,000 would
address those listed as most critical.
12. MEDIC STAFFING $12,000 would set up a system to reallocate existing
personnel and equipment to reduce response times
to the city's southeast quadrant, reduce the need to
call in off -duty personnel, and increase availability
of firefighting and paramedic services to this quad-
rant while maintaining service levels elsewhere.
13. INSPECT BUREAU To increase the department's commitment to fire
prevention through inspections and education, the
following is proposed:
• eliminate two firefighter positions
• create two inspector positions
• upgrade one inspector position to Lieutenant
Estimated cost is $8,000.
Public Works Department
14. RHAU TIL POS
(1 OF 2) In 1992, the council approved temporary staff
reductions including one street maintenance posi-
tion, one engineering position, and a number of part-
July 19, 1993 4 of 6
To: Mayor, Richards and Members of the City Council
Froma: Kea Rowland, City Manager
Subj: Presenting 1994 Proposed Budget Assumptions and Adjustments
time street department positions. These reductions
were made to balance the 1992 budget with an eye
toward restoring the positions when resources
permitted. Street maintenance is done by a team of
Street Department and Park & Recreation Depart-
ment employees and the effects of combined staff
reductions are beginning to be seen. Because the
system is aging, more and more maintenance will be
required in a time when the department is unable to
accomplish normal maintenance. Increasing num-
bers of potholes are evidence of these difficulties.
$40,000 would restore one of the full-time positions.
Park & Recreation Department
15. REAUTH. POS
(1 OF 2) In 1992, the council approved temporary staff
reductions includingtwoparkmaintenance positions
and a number of part -time park department posi-
tions. These reductions were made to balance the
1992 budget with an eye toward restoring the
positions when resources permitted. $40,000 would
restore one of the full-time positions.
Nil•
16. ADA UPGRADES To accomplish Phase 1 of the requirements of the
Americans with Disabilities Act, the city will pay
approximately $25,000 in 1994.
17. HUMAN RELATIONS The commission has requested $2,600 to fund social
services received from community agencies. The
council will meet with the commission later this
summer to review specific agency performance and
spending in this category.
July 19, 1993 5 of 6
To: Mayor Richards and Members of the City Council
From: San Rosland, City Manager
Subj: Presenting 1994 Proposed Budget Assumptions and Adjustments.
18. SHeRPA The Human Relations Commission and the South
Hennepin Regional Planning Agency recommend an
increase of $2,100 to cover operations costs.
19. COAGUSSION
DINNER $1,000 will fund the previously unfunded council
dinner to recognize appointed board and commission
members.
20. FLE% PLAN INC. -$40 To reduce disparities with programs offered by other
Twin Cities metro cities, a $40 per month per
employee increase in the city's contribution is
proposed. Total cost would be $93,120
21. CONTINGENCIES Currently 0.4% of the general fund budget is re-
served for contingencies. $25,000 would provide a
more prudent 0.6%.
22. I-494 JPO The joint powers agreement among Edina, Richfield,
Eden Prairie, Minnetonka and Bloomington govern-
ing the study of options to improve I-494 requires
the city to pay $4,600 (a rate of 10it per resident) in
1994.
July 19, 1993
6of6
r
1 9 9 4
SCENARIO USED
TOTAL REVENUES
TOTAL EXPENDITURES
TAX DOLLARS
HACA DOLLARS
HACA ADJUSTED LEVY
TAX DOLLAR INCRSE
INCREASE TAX $
EXPENDITURE INCREASE
B U D G E T
A S S U M P T
I O N S
- S U M
M A R Y-
ACTUAL
—BUDGET
BUDGET
1992
1993
1994
1
13,430,056
14,696,815
15,734,409
14,348,109
14,471,815
15,509,409
10,186,860
11,325,115
12,262,327
274,437
900,000
980,000
9,825,625
10,065,115
10,922,327
484,967
1,138,255
937,212
2.38%
8.52%
4.52 °s
6.41%
* - ASSUMES LOSS DUE TO ABATEMENTS OF $225,000
I
f
i
1 9 9 4
B U D G E T
A S S U M P T
I O N S
- P R
O P O S E D
E X P E N D I
T U R E S-
ACTUAL
BUDGETED
ASSUMP %
PROPOSED
1992
1993
INCRSE
1994
SALARIES
7,589,463
7,765,250
2.00%
7,920,555
CONTRACTUAL SVCS.
1,796,526
1,801,720
3.50%
1,864,780
COMMODITIES
581,180
732,255
3.50 %;
757,884
CENTRAL SERVICES
2,974,346
3,094,432
2.00°s
3,156,321
EQUIPMENT
623,503
1,078,158 *
3.75%
1,118,589
BUDGET ADJUSTMENTS
691.280
13,565,018
14,471,815
6.4101;
15,509,409
* - Includes Reserve
Rebuild
t INCREASE BUDGET 93
6.4116
Y
1 9 9 4
B U D G E T
A S S U M P T
I O N S
- P R
O P O S E D
R E V E N U E
S -
ACTUAL
BUDGETED
ASSUMP %
PROPOSED
1992
1993
INCRSE
1994
TAXES
10,293,161
11,350,115 *
12,287,327
FEES,LIC,PERMITS,ETC.
1,531,705
1,606,100
6.25%
1,706,481
ENTERPRISE /COURT
1,298,162
1,237,500
.00%
1,237,500.
INTERGOVERNMENTAL AID
522.483
503.100
.00°s
503.100
TOTAL REVENUES 13,645,511
14,696,815
7.06%
15,734,409
* Includes loss due to abatements of $225,000
1 9 9 4 B
U D G E T
A S S U M P T
I O N S
- RE V , E.
-_. _..__._..._._
N:, U. E D I
.._. .. _...
S T R +'I, B U T :' I, .0: -N
_.�
ACTUAL
BUDGETED
PROPOSED
1992
1993
- 1994
TAXES
75.43%
_
77.23?s
78.09°%
FEES, LIC, PERMITS, ETC_.: ;;
11.22%
10.'93%
10.85%
:i; �T'.>�•i��.
.
-
_
F�Rt , ._
ENTERPRISE/ COURT
9.51k,
8 .42. %,
i, 7.86%
INTERGOVT AID
3.83?C
3.42°%
3.20%
}• a _
100.00%
1- 00.00 %.
100.00%
�^ ?�
- P R O P
O S E D A
D J U S T M E
N S-
NEW PROGRAMS -94
SCENARIO 1
SCENARIO 2
SCENARIO 3
REVENUE DECREASES:
0
6.
CRIME PREV SPEC.
1. INCOME ON INVEST
5,000
5,000
5,000
2. COURT FINES
5,000
5,000
5,000
3. 94 ADDTL ABATEMNT
100,0.00
- 100,000
1.0 -0,000
EXPENDITURE ADJUSTT4ENTS: -
1. ELECTIONS 45,000
2. INSURANCE 35,000
3. COMP WORTH INCREASE 90,000
POLICE DEPT:
45,000 45,000
35,000 35,000
90,000 90,000
4.
REAUTH. OFFICER
40,000
40,000
40,000
5.
ADMIN ASST
10,000
0
0
6.
CRIME PREV SPEC.
10,000
_
0
0
7.
OVERTIME
6,000
6,000
6,000
8.
SEVERANCE
32.160
0
0
PAGE 1 SUBTOTAL
378.160
326,000
326.000
-,P R 0.P
0 S E D A
D J U S T M E N T
S-
PAGE - 2 -
'SCENARIO' -I:-
- 'SCENARIO._ 2 - -,___ -- .SCENARIO 3
POLICE CONT' D
9. NEW EQUIPMENT
22,700
20,000,..- ' .
20,000
-
. FIRE DEPT.
10. OVERTIME
15,000
15, 000 -,
15j000
+ ,. ra. -
11. FOCUS GROUP PROD.,
22,000
15,000 -
15,000
Z,r_
12. MEDIC STAFFING
12,000
12,000
12,000
13. INSPECT- BUREAU -
- 8, -000.
8,000
8,000
PUBLIC WORKS:
14. REAUTH.POS(1 OF 2)
401.000
40,000
40,000
PARKS
15 . REAUTH. POS (1 OF 2)
40. 000 -
- - - . 0
0
PAGE 2 SUBTOTAL
159.700
110,000
110.000
- P R O P
O S E D A
D J U S T M E
N T S-
PAGE
- 3
SCENARIO 1
SCENARIO 2
SCENARIO 3
OTHER:
.-
16.
ADA UPGRADES
25,000
25,000
25,000
17.
HUMAN RELATIONS
2,600
2,600
2,600
18.
SHERPA
2,100
- 2,100:'
2,100
19.
COMMISSION DINNER
1,000
1,000
1,000
20.
FLEX PLAN INC -$40
93,120
93,120
93,120
21.
CONTINGENCIES
25,000
- 25,000
25,000
22.
I -494 JPO
4,600:
4,600-
- 4,-600=-
TOT
BUDG ADJUSTMENTS
- 589,420 °
- 691,280-
- -589,420-
EFFECTS ON RESIDENTIAL HOMES
APPROXIMATE_ 1993 CITY
TAXES
EST.
1992
1993
1993 EST.
1994
DIFFERENCE
EST.MKT.VALUE
TAXES'
MKT. VALUE
TAXES
94 -93
$158,252
$369
$163,000
$425
$56
$250,000
$646
$257,500
$741
$500,000
$1,401
$515,000
$1,602
$202
EFFECTS ON
COMMERCIAL PROPERTY
-
EST.
1992
1993
1993 EST.
1994
DIFFERENCE
EST.MKT.VALUE
TAXES
MKT. VALUE
TAXES
94 -93
$500,000
$3,547
$450,000
$3,462
($84)
SCENARIO -USED
1
1 9 9 4 B U D G E T A S S U M P T I O N S
S U M M A R Y-
ACTUAL_ BUDGET BUDGET
1992 1993 .1994
SCENARIO USED 2
TOTAL REVENUES
13,430,056
14,696,815
TOTAL EXPENDITURES
14,348,109
14,471,815
TAX DOLLARS
10,186,860
11,325,115
HACA DOLLARS
274,437
900,000
:=CA ADJUSTED LEVY
9,825,625 .-
10,065,115
�X DOLLAR INCRSE
484,967
1,138,255
INCREASE TAX $ 2.38%
EXPENDITURE INCREASE 4.52%
* - ASSUMES LOSS DUE TO ABATEMENTS OF $225,000
15,632,549
15,407,549
12,160,467
980,000
10,820,467
835,352
7.50%
5.7Vk
%, - 1 9 9 4 B U D G E T A S S U M P T I O N S
P R O P O S E D E X P E N D I T U R E S
ACTUAL
BUDGETED
ASSUMP %
PROPOSED
1992
1993
INCRSE
1994
SALARIES
7,589,463
7,765,250
2.00%
7,920,555
CONTRACTUAL SVCS.
1,796,526
1,801,720
3.50%
1,864,780
COMMODITIES
581,180
732,255
3.50%
757,884
CENTRAL SERVICES
2,974,346
3,094,432
2.00°%
3,156,321
EQUIPMENT
623,503
1,078,158 *
3.75%
1,118,589
BUDGET ADJUSTMENTS
589.420
13,565,018
14,471,815
5.71%
15,407,549
* - Includes Reserve
Rebuild
% INCREASE
BUDGET 93
5.71%
C:
i/
1 9 9 4
B U D G E T
A S S U M P T
I O N S
- P R
O P.0 S E D
R E V E N U E
S -
ACTUAL
BUDGETED
ASSUMP %
PROPOSED
1992
1993
INCRSE
. 1994
TAXES
10,293,161
11,350,115 *
12,185,467
FEES,LIC,PERMITS,ETC.
1,531,705
1,606,100
6.25%
1,706,481,
ENTERPRISE /COURT
1,298,162
1,237,500
.00%
1,237,500
INTERGOVERNMENTAL AID
522.483
503.100
.00%
503.100
TOTAL REVENUES 13,645,511.
14,696,815
6.37%
15,632,549
t Includes loss due to abatements of $225,000
f
,IJ
1 9 9 4 B U D G E T A S S U M P T I O N S
E X P E N D I T U R E D I S T R I B U T I 0 N-
ACTUAL BUDGETED PROPOSED
1992 .,1993 1994
SALARIES 55.95% 53.66% 51.41%
CONTRACTUAL SVCS. 13.24% 12.45% 12.10%
`COMMODITIES 4.2816 5.0616 4.92%
CENTRAL SERVICES 21.93°% 21.38% 20.49%
EQUIPMENT 4.60% 7.45°% 7.2616
BUDGET ADJUSTMENTS 3.83%
100.00% 100.00% 100.00%
1 9:. 9 4
B' U jD G .E- -'T-
A; S; S U 'W.P :T- ,I .O
,N S'
- R E V
Ell'. N U, 'E D I.
S T R I B U - T 1
.N -
ACTUAL `'
BUDGETED 'PROPOSED
'
1992`
1993 T
1994
.i_
TAXES' _.
- 75,.43 % -
.77
- . 77. 95$
FEES, LIC, PERMITS, ETC.
11.22%
ENTERPRISE /COURT'
9.51 °s
8.42% a
7 92°s
RC .r 0,v�
- INTERGOVT AID- _�
- T3.,..8.3g.:
_3 42% -
- r- - 3 -22°s -
- —
100.00
'- Ui te100.00% e,., ....
i
T- P R O P O: S E D A.- D J U S :.T M- E7-N.:=-T. S
NEW
PROGRAMS -94 SCENARIO 1
SCENARIO 2
SCENARIO 3
REVENUE
DECREASES:
1.
INCOME ON INVEST
._. 5, 0 0 0
- 5,000
5,000
2.
COURT FINES
5,000
5,000
5,000
3.
94 ADDTL ABATEMNT`y
_- 100;000
`100;000
- -' 100,000
EXPENDITURE ADJUS 1NTS:
1.
ELECTIONS
45,000`
45,000
45,000
2.
INSURANCE -
35,000
35,000
35,000 -.
3.
COMP WORTH INCREASE
90,000
90,000
90,000
POLICE DEPT:
4.
REAUTH. OFFICER
40,000%
40,000.-
40;000
5.
ADMIN ASST
10,000
0
0
6.
CRIME PREV SPEC.
10,000
0
0
7.
OVERTIME
6,000
6,000
6,000
8.
SEVERANCE
32,160
0
0
PAGE 1 SUBTOTAL
378,160
326,000
326,000
P R O P O S E D A D J U S T M E N T S-
PAGE - 2 -- SCENARIO 1 SCENARIO 2 SCENARIO 3
POLICE CONT'D
9. NEW EQUIPMENT
22,700
20,000
20,000
FIRE DEPT.
10. OVERTIME
15,000
15,000
15,000 :
11. FOCUS GROUP PROD.
22,000
15,000
15,000
12. MEDIC STAFFING
12,000
12,000
12,000
13. INSPECT BUREAU
8,000
8,000
8,000,
PUBLIC WORKS:
.
14. REAUTH.POS(1 OF 2)
40,000
40,000
40,000
PARKS:
- -
15. REAUTH.POS(1 OF 2)
40,000
0
0
PAGE 2 SUBTOTAL
159,700
110.000
110,000
P R 0.POSED
A
D J U S.T M E N-T
S-
PAGE - 3
SCENARIO 1
SCENARIO 2 SCENARIO 3
OTHER:
16. ADA UPGRADES
25,000
25,000
25,000
17. HUMAN RELATIONS
2,600
2,600
2,600
18. SHERPA
2,100
2,100
2,100
19. COMMISSION DINNER
1,000
1,000,
1,000
20. FLEX PLAN INC -$40
93,120
93,120
93,120
21. CONTINGENCIES
25,000
25,000
25,000
22. I -494 JPO
4,600.
4,600
4,600 -
TOT BUDG ADJUSTMENTS-
691,280 -"
- C89,420
589,420
-71i4 /f3
EFFECTS ON RESIDENTIAL HOMES
APPROXIMATE 1993 CITY
TAXES
EST.
1992
1993
1993 EST.
1994
EST.MKT.VALUE
TAXES
MKT. VALUE
TAXES
$158,252
$369
$163,000
$418
$250,000
$646
$257,500
$728
$500,000
$1,401
$515,000
$1,575
EFFECTS ON
COMMERCIAL PROPERTY
EST.
1992
1993
1993 EST.
1994
EST.MKT.VALUE
TAXES
MKT. VALUE
TAXES
$500,000
$3,547
$500,000
$3,782
$500,000
$3,547
$475,000
$3,298
$500,000
$3,547
$450,000
$2,790
SCENARIO USED
DIFFERENCE
94 -93
$49
$83
$175
DIFFERENCE
94 -93
$235
($249)
($756)
2
I
DIFFERENCE
94 -93
$52
$88
$187
DIFFERENCE
94 -93
($117)
2
e e- f�
-7 ��3 �Ee-''
EFFECTS ON
RESIDENTIAL HOMES
APPROXIMATE 1993 CITY
TAXES
EST.
1992
1993
1993 EST.
1994
EST.MKT.VALUE
TAXES
MKT. VALUE
TAXES
$158,252
$369
$163,000—
$421
$250,000
$646
$257,500
$734
$500,000
$1,401
$515,000
$1•,587
EFFECTS ON
COMMERCIAL PROPERTY
EST.
1992
1993
1993 EST.
1994
EST.MKT.VALUE
TAXES
MKT. VALUE
TAXES
$500,000
$3,547
$450,000,
$3,430
SCENARIO USED
I
DIFFERENCE
94 -93
$52
$88
$187
DIFFERENCE
94 -93
($117)
2
e e- f�
-7 ��3 �Ee-''
1 9 9 4
B U D G E T
A S S U M P T
I O N S
- S U M M
A R Y-
ACTUAL
BUDGET
BUDGET
1992
1993
1994
SCENARIO USED
3
TOTAL REVENUES
13,430,056
14,696,815
15,523,952
TOTAL EXPENDITURES
14,348,109
14,471,815
15,298,952
TAX DOLLARS
10,186,860
11,325,115
12,051,871
HACA DOLLARS
274,437
900,000
980,000
HACA ADJUSTED LEVY
9,825,625 •
10,065,115
10,711,871
TAX DOLLAR INCRSE
484,967
1,138,255
726,756
INCREASE TAX $
2.38%
6.43%
EXPENDITURE INCREASE
4.52%
4.9606
* - ASSUMES LOSS DUE TO ABATEMENTS OF $225,000
1 9 9 4 B
U D G E T
A S S U M P T
I O N S
- P R O
P O S E D
E X P E N D I
T U R E S-
ACTUAL
BUDGETED
ASSUMP 6
PROPOSED
1992
.1993
INCRSE
1994
SALARIES
7,589,463
7,765,250
1.006
7,842,903
CONTRACTUAL SVCS.
1,796,526
1,801,720
3.506
1,864,780
COMMODITIES
581,180
732,255
3.506
757,884
CENTRAL SERVICES
2,974,346
3,094,432
1.006
3,125,376
EQUIPMENT
623,503
1,078,158 *
3.756
1,118,589
BUDGET ADJUSTMENTS
13,565,018
* - Includes Reserve Rebuild
14,471,815 4.966
6 INCREASE BUDGET 93
589,420
15,298,952
4.966
6
1 9 9 4
B U D G E T
A S S U M P T
I O N S
- P R
O P O S E D
R E V E N U E
S -
ACTUAL
BUDGETED
ASSUMP %
PROPOSED
1992
1993
INCRSE
1994
TAXES
10,293,161
11,350,115 *
12,076,871
FEES,LIC,PERMITS,ETC.
1,531,705
1,606,100
6.250-6
1,706,481
ENTERPRISE /COURT
1,298,162
1,237,500
.00%
1,237,500
INTERGOVERNMENTAL AID
522,483
503,100
.00%
503,100
TOTAL REVENUES
13,645,511
14,696,815
5.63%
15,523,952
* Includes loss due to abatements of $225,000
1 9 9 4 B U D G E T A S S U M P T I O N S
E X P E N D I T U R E D I S T R I B U T I O N-
SALARIES
CONTRACTUAL SVCS.
COMMODITIES
CENTRAL SERVICES
EQUIPMENT
BUDGET ADJUSTMENTS
ACTUAL
BUDGETED
PROPOSED
1992
1993
1994
55.95!%
53.66%
51.26%
13.240
12.4506
12.1901
4.2806
5.0606
4.956
21.936
21.3806
20.43%
4.60%
7.45%
7.3106
3.850
100.000
100.00°%
100.00%
y
0
1 9 9 4 B U D G E T A S S U M P T I O N S
R E V E N U E D I S T R I B U T I 0 N-
ACTUAL BUDGETED PROPOSED
1992 1993 1994
TAXES 75.43% 77.23% 77.80%
FEES,LIC,PERMITS,ETC. 11.22% 10.93 °s 10.9906
ENTERPRISE /COURT 9.51% 8.420 7.9706
INTERGOVT AID 3.83 %. 3.42% 3.240
100.00% 100.00% 100.00%
P R O P O S E D A D J U S T M E N T S
NEW PROGRAMS -94 SCENARIO 1 SCENARIO 2 SCENARIO 3
REVENUE DECREASES:
1. INCOME ON INVEST 5,000 5,000 5,000
2. COURT FINES 5,000 .5,000 5,000
3. 94 ADDTL ABATEMNT 100,000 100,000 100,000
EXPENDITURE ADJUSTMENTS:
1. ELECTIONS 45,000 45,000 45,000
2. INSURANCE 35,000 35,000 35,000
3. COMP WORTH INCREASE 90,000 90,000 90,000
POLICE DEPT:
4. REAUTH. OFFICER 40,000 40,000 40,000
5. ADMIN ASST 10,000 _ 0 0
6. CRIME PREV SPEC. 10,000 0 0
7. OVERTIME 6,000 6,000 6,000
8. SEVERANCE 32,160 0 0
PAGE 1 SUBTOTAL 378,160 326,000 326,000
S-W
S ° p
ID
i
J
0
P R O P O S E D A D J U S T M E N T S -
PAGE - 2 SCENARIO 1 SCENARIO 2 SCENARIO 3
POLICE CONT'D
9. NEW EQUIPMENT
22,700
20,000FK
20,000
FIRE DEPT.
10. OVERTIME
15;000
15,000 PK
15,000
11. FOCUS GROUP PROJ .
22,000
15 , 0 0 0 7,' 10 FK'
15,000
12. MEDIC STAFFING
12,000
12,000---
12,000
13. INSPECT BUREAU
8,000
8,000---
8,000
PUBLIC WORKS:
14. REAUTH.POS(1 OF 2)
40,000
40,000
40,000
PARKS:
15. REAUTH.POS(1 OF 2)
40,000
0
0
PAGE 2 SUBTOTAL
159,700
110,000
110,000
3
- P R O P
O S E D A
D-J U S T M E N
T S -
PAGE - 3
SCENARIO 1
SCENARIO 2
SCENARIO 3
OTHER:
16. ADA UPGRADES
25,000
25,000 '��'
25,000
17. HUMAN RELATIONS
2,600
2,600
2,600
18. SHERPA
2,100
2,100
2,100
19.'COMMISSION DINNER
1,000
1,000
1,000
20. FLEX PLAN INC -$40
93,120
93,120
93,120
21. CONTINGENCIES
25,000
25,000 FR'
25,000
22. I -494 JPO
4,600
4,600
4,600
TOT BUDG ADJUSTMENTS
691,280 589,420 589,420
------ - - - - -- ------- - - - - -- ------- - - - - --
------------ ------- - - - - -- ------- - - - - --
i
EFFECTS ON RESIDENTIAL HOMES
APPROXIMATE 1993 CITY
TAXES
EST.
1992
1993
1993 EST.
1994
DIFFERENCE
EST.MKT.VALUE
TAXES
MKT. VALUE
TAXES
94 -93'
$158,252
$369
$163,000
$417
$48
$250,000
$646
$257,500
$727
$81
$500,000
$1,401
$515,000
$1,571
$171
EFFECTS ON
COMMERCIAL PROPERTY
EST.
1992
1993
1993 EST.
1994
DIFFERENCE
EST.MKT.VALUE
TAXES
MKT. VALUE
TAXES
94 -93
$500,000
$3,547
$450,000
$3,396
($151)
SCENARIO USED
3
COMPARISON OF CITY
EMPLOYER CONTRIBUTIONS
FOR BENEFITS
MONTHLY
EMPLOYER
MONTHLY
CITY
CONTRIBUTION
CITY
EMPLOYER
CONTRIBUTION
:RANGE
R14NGE
1. Hopkins
$290.00 - $528.80
_23. Fridley
$295.00
2. S. St. Paul
$290.20- $503.25
24. Woodbury
$294.63
3. Plymouth
$346.20 - $494.00
25. Stillwater
$293.54
4. Champlin
$406.49- $423.50
26. West St. Paul
$290.00
5. Bloomington
$396.01 - $412.77
27. Roseville
$290.00
6. N. St. Paul
$245.00 - $362.66
28. Cottage Grove
$280.00
7. Prior Lake
$361.49
29. White Bear Lk.
$275.00
8. Maplewood
$338.30- $357.27
30. Eden Prairie
$272.80
9. Minnetonka
$277.00 - $338.00
31. Andover
$271.70
10. Richfield
$309 -55- $333.68
32. Chaska
$270.00
11. St. Louis Park
$310.85- $330.00
33. Ramsey
$265.00
12. Robbinsdale
$260.00- $320.00
34. Brooklyn Park
$265.00
13. Lakeville
$312.77 - $317.71
35. Shoreview
$265.00
14. Eagan
$305.32- $314.52
36. Crystal
$261.60
15. Golden Valley
$286.00 - $314.00
37. Maple Grove
$260.00
16. Inver Grove Hts.
$310.00
38. Columbia Hts.
$260.00
17. Brooklyn Center
$301.70
39. Anoka
$260.00
18. Savage
$275.00- $300.65 X140
Edma =.
$250 00 $260,'x0
19. Apple Valley
$300.00
41. Burnsville
$255.00
20. Moundsview
$300.00
42. Blaine
$250.00
21. New Brighton
$300.00
43. Oakdale
$250.00
22. New Hope
$300.00
44. Coon Rapids
$230.00
y
ANALYSIS OF HEALTH CARE COSTS
Summary over seven years:
• Salary has increased 3.1% per year
• Premium hasincreased 49.7%
• Cost to City has increased 40.0%
• Cost to employee increased 64.10%
*1987 to 1993 10.73 of premium shifted from City to
employees - 1987 City paid 70.03% of premium, 1993 City
paid 59.3% of premium
* 1987 average employee earned $23,168.00 gross wages
and paid average annual premium of $744.00 or 3.6%
of annual gross.
* 1993 average employee earned $30,326.89
and paid average annual premium of $2062.60 or
6.8% of annual average gross.
J
% OF CHANGE
HEALTH
1987
1988
1989
1990
1991
1992
1993
+OR( -) OVER 5
YRS PROVIDER
%
of Prem.
%
of Prem.
%
of Prem.
%
of Prem.
%
of Prem.
%
of Prem.
%
of Prem.
PREMIUM
46.2%
PHP
232.02
235.65
279.42
312.82
353.32
412.82
430.92
CITY
40.4%
CITY PAID
150.00
64.6%
160.00
67.9%
170.00
60.8%
180.00
57.5%
210.00
59.4%
240.00* *58.1%
250.00
58.0%
EMPLOYEE
54.7%
EMPLOYEE PAID
82.02
35.4%
75.69
32.1%
109.42
39.2%
132.82
42.5%
143.32
40.5%
172.82
41.9%
180.92
42.0%
PREMIUM
52.6%
MEDCENTERS
207.10
247.62
304.65
339.52
370.52
402.67
437.25
CITY
40.0%
CITY PAID
150.00
72.4%
160.00
64.6%
170.00
55.8%
180.00
53.0%
210.00
56.7%
240.00
59.6%
250.00
57.2%
EMPLOYEE
69.5%
EMPLOYEE PAID
57.10
27.6%
87.62
35.4%
134.65
44.2%
159.52
47.0%
160.52
43.3%
162.67
40.4%
187.25
42.8%
PREMIUM
50.4%
GROUP HEALTH
197.10
218.72
268.12
304.03
334.78
370.08
397.48
CITY
40.0%
CITY PAID
150.0
76.1%
160.00
73.2%
170.00
63.4%
180.00
59.2%
210.00
62.7%
240.00
64.9%
250.00
62.9%
EMPLOYEE
68.1%
EMPLOYEE PAID
47.10
23.9%
58.72
26.8%
98.12
36.6%
124.03
40.8%
124.78
37.3%
130.08
35.1%
147.48
37.1%
Summary over seven years:
• Salary has increased 3.1% per year
• Premium hasincreased 49.7%
• Cost to City has increased 40.0%
• Cost to employee increased 64.10%
*1987 to 1993 10.73 of premium shifted from City to
employees - 1987 City paid 70.03% of premium, 1993 City
paid 59.3% of premium
* 1987 average employee earned $23,168.00 gross wages
and paid average annual premium of $744.00 or 3.6%
of annual gross.
* 1993 average employee earned $30,326.89
and paid average annual premium of $2062.60 or
6.8% of annual average gross.
J
rp
CITY OF EAGAN - 681 -4600 - Virginia - If an employee has been there
more than 5 years, 1/2 of their sick leave is cashed out - no cap.
Also if an employee has been there more than 5 years and has a balance
of more than 160 hrs of sick leave, it can be used for wellness
activities such as smoking cessation classes, etc. also if those
criteria are met, it can be cashed in at 100% to pay for wellness
activities, cashed in at 50% to pay for health insurance, cashed in-at
50% to purchase deferred comp.
CITY OF ROSEVILLE - 490 -2200 - Laura - When an employee retires they
cash out 1/2 of their accumulated sick leave, maximum of 30 days.
CITY OF RICHFIELD - 861 -97.00 - Melani_e Alt - They have personal leave
instead of sick leave which can be used for sick and other than sick
activities. This personal leave can be cashed out upon leaving the-
City at 100% but 160 hrs max.
CITY OF BURNSVILLE - 895 -4400 - Sue - Once an employee reaches a max
of 480 hrs, 1/2 of the 8 hrs a month of sick leave earned is banked
for wellness time. Wellness is defined as city sponsored exercise,
health seminars, aerobic classes, etc.
CITY OF BLAINE - 784 - 6700 - Laurie - Sick leave -is cashed in upon
termination only. After 10 yrs, 40% and after 15 yrs 50 %. Cap on
sick lv accumulated is 960 hrs, after that it is lost.
CITY OF BROOKLYN PARK - 424 -8000 - Brenda - After 720 hrs are
accumulated, it automatically is split to 1/2 vacation and 1/2 sick
time if the employee chooses. If the employee leaves in good
standing, 1/2 can be cashed in as cash.
CITY OF COON RAPIDS - 755 -2880 - Germaine - When an employee leaves in
good standing and has been employed for more than 3 yrs, they get 1/3
of sick time as severance pay up to a cap of 960 hrs.
CITY OF PLYMOUTH - 550 -5000 - Bobby Lightner - New program as of
7 -3 -93 - the employee is now given a certain amount of annual leave.
This may be used for sick, vacation, dr appt, whatever they chose.
When they leave they can cash this out a 100% with a cap of 240 hrs.
Old employees can either chose -this new program or stay on the old
one, they were given a one time choice.
CITY OF BLOOMINGTON - 881 - 5811 - Karen - Employees have vacation time
and personal leave time. When they leave, they can cash in their
personal time at 100% with no cap.
CITY OF ST LOUIS PARK - 924 -2500 - Paula - When leaving after 10 yrs
you can get 1/3 of your sick leave cashed out with a cap of 320 hrs.
After 160 hrs have accrued, you can use your sick lv for wither
attending a fitness program or convert it into cash to pay for fitness
program., Spouse and children are also eligible.
CITY OF MINNETONKA - 939 -8200 - Betty - If an employee leaves after 10
yrs or more ONLY because of retirement, disability or the position is
eliminated, they get the greater of: 1) 4 wks pay and 1 additional wk
pay for each yr of service or, 2) 1/3 accumulated sick leave. It is
rare that the employee gets the sick leave.
CITY OF LAKEVILLE - 469 -4431 - Cindy - Upon leaving after 5 yrs you
get 35% of sick leave, 10 yrs 45%, 15 yrs 55% up to 960 hrs max. The
police union has the same benefits, but no cap.
CITY OF GOLDEN VALLEY - When you leave employment and have 5 yrs of
service, you can cash out 1/3 of sick leave to a max of 264 hrs cash.
CITY OF EDEN PRAIRIE - Part of the severance pkg is % of sick lv hrs
on the books depending on yrs of service - cap of 800 hrs: After 5
yrs, 22%; 6 yrs, 25%; 7 yrs, 28%; 8 yrs, 31%; 9 yrs, 34%; 10 yrs, 37%;
11 yrs, 40%; 12 yrs, 43%; 14 yrs, 49%; 15 + yrs, 52%.
CITY OF BROOKLYN CENTER - 569 -3300 - Pat - Upon leaving, after 5
consecutive years of employment an employee may receive 1/3 of their
sick leave, cap of 200 hrs - they would receive payment for 66 hrs.
CITY OF APPLE VALLEY - 431 -8800 - Lynn Boland - Upon leaving, after 10
years of employment, an employee can receive cash for 1/3 of sick
leave on the books, cap of 1440 hrs - they would recive payment for
480 hrs.
- 2 -
CITY AVERAGE SALARY
Burnsville
Minnetonka
Roseville
St. Louis Park
Golden Valley
Brooklyn Park
Bloomington
Brooklyn Center
Eden Prairie
Richfield
Edina
$40,742.00
38,720.00
38,508.00
37,978.00
37,646.00,
37,411.00
37,370.00
36,675.00
36,171.00
35,883.00
35,384.00
TOTAL PERCENT OF INCREASE
1989 - 1993
17.40%
16.50
24.27
18.50
17.50
18.00
16.88
16.90
17.50
17.50
17.00