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City Council Agenda Packet 12-07-1994 SpecialR(A3 AGENDA SPECIAL MEETING - MONTICELLO CITY COUNCIL Wednesday, December 7, 1894 - 7 p.m. Mayor. Brad Fyle Council Members: Shirley Anderson, Clint Herbst, Warren Smith, Dan Blonigen Call to order. Public hearing on 1995 proposed budget. Adjournment. Council Agenda - 12/7/94 Public Hearin—Adontion of 1995 mwoosed budget. (R.W.) A. REFERENCE AND BACKGROUND: Enclosed you will find the new 1995 budget worksheets that reflect some of the changes that occurred as a result of our discussion at the workshop session held September 6, 1994. In addition to the changes that were recommended at the workshop session, I've also received final valuations from the County Assessor that resulted in revisions to our original tax levy increase. The two funds that have revisions since the workshop are the general fund and the capital outlay fund. The general fund levy is proposed at an increase of an additional $6,666 as a result of an increase of $7,405 for the additional salary requirements for the Mayor and Council department and a reduction of $750 from the community education/summer recreation budget. This net increase of $6,666 in the general fund was accomplished by lowering the capital outlay fund by an equal amount. Although the community education/summer recreation budget will undoubtedly be discussed further before a final allocation has been made, I did lower the proposed amount by $750 to the same level we are currently budgeting in 1994. In regard to the capital outlay fund, the total tax levy requirements were not altered very much, but the capital outlay expenditures proposed for the Meadow Oak Park Improvement project was lowered from the original $89,000 to $46,000 per Council consensus. The $44,000 reduction in the park improvement budget still remains within the capital outlay fund but was simply added to the reserve for future wastewater treatment plant expansion project account, which increased from the original $161,163 to $205,153. One other change that has come up since the workshop relates to the City's tax capacity valuations for determining individual property tax amounts. Since the workshop, the county assessor has provided me with final valuation figures after deductions for tax increment financing districts, which lowered our tax capacity value slightly from $16,651,653 to $15,586,930. This slight reduction in our tax capacity value will result in our proposed 1995 tax levy increasing by 4.43% instead of 4% as the Council had originally anticipated. If the Council feels it is important to keep the increase at only 4%, we would have to reduce our tax levy at the final hearing by $11,780. If the Council eventually chooses to lower the levy to the 4% increase, it is then suggested the lost revenue by deducted from the reserve for future wastewater treatment plant expansion. Council Agenda - 12/7!94 After receiving any public comments regarding the proposed 1995 budget, the Council cannot yet adopt a final budget for next year but must wait until a separate meeting to do so. Assuming we do not have to continue the public hearing Wednesday night for more discussion purposes, the actual adoption of the 1995 budget and tax levy would occur at our regular meeting on December 12. B. ALTERNATIVE ACTIONS. After receiving public comments, public hearing should be closed and an announcement made that the Council will again consider the final budget and tax levy at its December 12 council meeting. WWrlCELto ( )Ili<<,,f the CtrN AdtnuIII III - 2 50 to„250 Eta Bn,adway Monticello, NIN 55362-9245 Phonc: (612) 295.2711 MEMO Win,: (612) 333-5739 TO: Mayor and Council Members FROM: Rick Wolfsteller, City Administrator DATE: December 5, 1994 RE: Revised 1995 Budget Information Upon reviewing the detailed budget worksheets in preparation for the public hearing Wednesday night, I realized an error had been made within the street and parks departments in that 1 had forgotten to include in the department's budget $24,055 for fringe benefit expenses. As a result, the general fund budget will technically have to increase by $12,835 within the street department and $11,220 in the parka department for a total increase of $24,055. As a result of the general bind expense increase, the only place to offset the expense by additional revenue would be to increase the tax levy in the general fund by the $24,055 and lower the capital improvement revolving fund by a like amount. By doing so, the total budgeted tax levy could remain the same at $2,852,985. The reduction of taxes within the capital improvement revolving fund should probably be deducted from the reserve fund for the future wastewater treatment plant expansion project, which had originally been budgeted at a total of $205,153 and would be reduced to a now total of $181,098. This is the most logical place to reduce appropriations. I have enclosed new worksheet summaries that have made the adjustments noted above. Rather than trying to figure out every budget item that may be affected by the changes I noted, you may just want to insert these new sheets in your previously -submitted agenda package. In addition, we can certainly discuss these additional changes at our budget meeting Wednesday night. In the meantime, if you have any questions, please feel free to give me a call. Preliminary levy as certified in September 1994 (Based on updated tax capacity values from County) TAE LEVY SUMMARY 1995 BUDGET ALL FUNDS • Actual levy collected from taxpayers --balance received from state in HACA aid payments ($309,109 is est. State Aid for 1995). •• Did not deduct HACA from library levy, but deducted library portion of HACA from general fund levy. r Ret Payable** Adjusted Levy Before 1995 Adjusted Levy HACA Adj. Levy After Fund Payable 1994 Payable 1995 Deducting HACA General $1,726,851 $1,884,015 $1,696,819 Library 29,510 30,735 30,735 Transportation 15,024 16,816 15,178 Shade Tree 18,004 25,960 23,425 OAA 26,401 29,450 26,575 HRA 15,255 17,850 16,119 Debt Service 600,863 706,400 637,345 Capital Imp. Revolving 220,619 450,848 406,769 TOTAL $2,652,527 $3,162,074 $2,852,965• Net Certified Levy Increase - $200,438 Payable 1989 Tax Capacity Rate 14.283 Payable 1990 Tax Capacity Rate 16.187 Payable 1991 Tax Capacity Rate 15.511 Payable 1992 Tax Capacity Rate 16.492 Payable 1993 Tax Capacity Rate 16.313 Est. Payable 1994 Tax Capacity Rate. 17.527 Est. Payable 1995 Tax Capacity Rate. 16.304 (4.43% increase) Tax Tax Capacity Value Capacity Rate Tax Levy '88/Payable 1989 $ 15,405,139 14.283 $2,198,008 189/Payable 1990 15,873,242 16.187 2,568,106 '90/Payable 1991 16,161,043 15.511 2,506,132 191/Payable 1992 15,513,574 16.492 2,558,554 192/Payable 1993 15,490,500 16.308 2,526,216 '93/Payable 1994 15,154,786 17.527 2,652,527 '94/Payable 1995 15,586,930 18.304 2,852,965 • Actual levy collected from taxpayers --balance received from state in HACA aid payments ($309,109 is est. State Aid for 1995). •• Did not deduct HACA from library levy, but deducted library portion of HACA from general fund levy. r Revised 10/6/94 - Based on a 4% levy increase with updated tax capacity values from County. Fund General Library Transportation Shade Tree OAA HRA Debt Service Capital Imp. Revolving TOTAL ALTERNATIVE it TAR LEVY SUMMARY 1995 BUDGET ALL FUNDS Net Certified Levy Increase - $188,658 Payable 1989 Tax Capacity Rate . . . . 14.283 Payable 1990 Tax Capacity Rate . . . . 16.187 Payable 1991 Tax Capacity Rate . . . . 15.511 Payable 1992 Tax Capacity Rate . . . . 16.492 Payable 1993 Tax Capacity Rate . . . . 16.313 Est. Payable 1994 Tax Capacity Rate. 17.527 Est. Payable 1995 Tax Capacity Rate. 18.228 (4.01 increase) Tax Tax Capacity Value Capacity Rate Tax Levy '88/Payable 1989 S 15,405,139 Net Payable** Adjusted Levy Before 1995 Adjusted Levy HACA Adj. Levy After Payable 1994 Payable 1995 Deductinq HACA $1,726,851 $1,884,015 $1,696,139 29,510 30,735 30,735 15,024 16,816 15,178 18,004 25,960 23,425 26,401 29,450 26,544 15,255 17,850 16,088 600,863 706,400 637,098 220,619 439,068 395.978 $2,652,527 $3,150,294 =2,841,185• Net Certified Levy Increase - $188,658 Payable 1989 Tax Capacity Rate . . . . 14.283 Payable 1990 Tax Capacity Rate . . . . 16.187 Payable 1991 Tax Capacity Rate . . . . 15.511 Payable 1992 Tax Capacity Rate . . . . 16.492 Payable 1993 Tax Capacity Rate . . . . 16.313 Est. Payable 1994 Tax Capacity Rate. 17.527 Est. Payable 1995 Tax Capacity Rate. 18.228 (4.01 increase) Tax Tax Capacity Value Capacity Rate Tax Levy '88/Payable 1989 S 15,405,139 14.283 $2,198,008 '89/Payable 1990 15,873,242 16.187 2,568,106 190/Payable 1991 16,161,043 15.511 2,506,132 191/Payable 1992 15,513,574 16.492 2,558,554 192/Payable 1993 15,490,500 16.308 2,526,216 193/Payable 1994 15,154,786 17.527 2,652,527 194/Payable 1995 15,586,930 18.228 2,841,165 • Actual levy collected from taxpayers --balance received from state in HACA aid payments ($309,109 is act. State Aid for 1995). •• Did not deduct HACA from library levy, but deducted library portion of HACA from general fund lovy. NOTE: To keep 1995 levy increase to 4%, the preliminary levy adopted in September would need to be reduced by $11,780. 1995 BUDGET SUMMARY (Based on 4.438 increase) • includes $367,750 Depreciation --contributed assets •• includes $165,930 Depreciation --contributed assets NOTE If overall levy is reduced to 4% increase, capital improvement revenue and expenditures would be reduced by $11,780 each to a new total of $517,523. f 1994 1995 FUND REVENUE EXPENDITURES REVENUE EXPENDITURES General $2,402,985 $2,402,985 $2,456,785 $2,456,785 Library 31,335 31,335 31,865 31,865 Transportation 70,647 70,547 67,479 67,229 Shade Tree 26,160 26,160 32,960 32,960 UDAG 10,645 85,000 11,695 -0- OAA 29,800 29,800 29,800 29,800 HRA 352,210 272,035 414,700 321,771 EDA 218,710 2,110 118,770 201,440 SCERG 8,345 -0- 63,100 33,300 CMIF -0- -0- 13,320 13,320 Debt Service 1,261,020 1,423,350 1,266,115 1,419,712 Liquor 1,487,125 1,479,495 1,540,900 1,483,625 Water 174,280 332,905•• 182,350 411,000•• Sewer 464,785 812,985• 505,900 862,575• Capital Imp. 278,190 282,195 505,248 504,246 Water Access 15,550 28,000 24,400 -0- Sewer Access 14,675 35,000 33,550 -0- TOTAL $6,844,162 $7,311,402 $7,298,937 $7,870,630 • includes $367,750 Depreciation --contributed assets •• includes $165,930 Depreciation --contributed assets NOTE If overall levy is reduced to 4% increase, capital improvement revenue and expenditures would be reduced by $11,780 each to a new total of $517,523. f GENERAL FUND SUKKARY 1995 BUDGET REVENUE 1994 1995 Taxes Current Ad Valorem $1,934,765 $1,884,015 Penalty/Interest 1,000 1,000 Tax Increments --Kmart 103,000 99,600 $2,038,765 $1,984,615 Licenses and Permits - Business Liquor 17,000 $ 20,950 Beer 1,550 1,445 Set Ups 300 325 $ 18,850 $ 22,720 Licenses and Permits - Non -Business Building Permits 44,500 $ 80,000 Variances/Conditional Uses 1,500 1,800 Dog Licenses 150 150 Others 2.200 3,600 $ 48,350 $ 85,550 Inter -Governmental Fire Department Aid 30,875 $ 31,125 Police Department Aid 19,500 20,000 State Highway Aid -0- 40,000 $ 50,375 $ 91,125 Charqes for Services General Government 1,000 $ 1,150 Public Safety (Township Contract) 59,770 60,020 Streets - C.S.A.H. Mtnc. 3,650 5,050 Deputy Registrar 88,000 93,750 Other 100 3,200 Subdivision Fees 500 9,000 Special Processing Fee (Garbage) 51000 8,500 Recycling Incentive 6,000 7,500 Inspection Fees 2,500 3,000 Garbage Cart Rental 3,200 3,700 $ 169,720 $ 194,870 Fines Animal Impoundment 20,000 20,000 $ 20,000 $ 20,000 Miscellaneous Revenue Interest on Investments $ 37,425 $ 50,555 Sale of Property 300 350 Contributions/Donations/ Park Dedications/Refunds 2,500 2,500 Other $ 41,911 $ 52:11, 5 05 Refunds and Reimbursements IDC Reimbursement 15, S 000 2,000 i 15.1000 2,1000 TOTAL GENERAL FUND REVENUE $2,402,985 $2,456,785 v w GENERAL FUND SUMMARY 1995 BUDGET Proposed 1994 1995 Mayor and Council $ 18,400 3 29,750 Administration 231,970 232,120 Finance 92,900 97,960 Insurance 580250 66,825 Audit 12,500 13,500 Legal 23,275 23,775 Planning 8 Zoning 53,010 81,290 Inspections --Bldg. Official 44,655 96,550 Assessing 13,880 12,525 Deputy Registrar 70,470 85,685 City Hall 48,385 50,260 Computer 23,325 29,840 Elections 13.595 -0- TOTAL GENERAL GOVERNMENT $ 704,615 $ 820,080 Law Enforcement $ 279,875 $ 293,635 Fire 123,395 132,400 Civil Defense 7,930 9,405 Animal Control 38.225 38,075 TOTAL PUBLIC SAFETY $ 449,425 $ 473,515 Inspection $ 35,500 39,800 Admin. b Engineering 82,490 102,795 Streets 6i Alleys 297,920 243,685 Snow & Ice 28,885 17,735 Street Lighting & Parking Lots 54,950 64,490 Shop & Garage 42,900 35,500 Refuse Collection 304,050 269,070 TOTAL PUBLIC WORKS $ 846,695 $ 773,075 Senior Citizens Center $ 36,500 36,500 YMCA/Community Ed. 25,000 25,000 Information Center/Museum 2,095 1,795 TOTAL HEALTH & WELFARE $ 63,595 $ 63,295 Parks & Rec./Cemetery f 186.650 i 181.275 TOTAL PARRS 6 RECREATION i 186,650 $ 181,275 Community Development i 146,505 6 135.045 TOTAL COMMUNITY DEVELOPMENT $ 146,505 $ 135,045 Nlsc.--Severence Benefits $ 5.500 f 10.500 TOTAL MISCELLANEOUS $ 5,500 $ 10,500 TOTAL GENERAL FUND EXPENDITURES $2,402,985 $2,456,705 SUMMARY DEBT SERVICE FUNDS 1995 BUDGET FORECAST REVENUE CURRENT AD VALOREM INTEREST SPECIAL ASNT--COUNTY TRANSFER IN --TAX INCREMENT 1994 1995 671,992 706,400 66,725 80,165 195,778 150,900 326,525 328,650 TOTAL REVENUE =1.261.020 !1.266.115 •ffiliffiffifff►ffflt•fffffiilfffli4fiiffiffffifffiiifffi••• EXPENDITURES PRINCIPAL INTEREST PAYING AGENT FEES INTEREST EXP. TOTAL EXPENDITURES 880,000 508,734 9,191 25,425 $1.423.350 925,000 456,851 8,661 29,200 11.419.712 FUND/ DEPARTMENT Admin.: Finance: Planning 6 Zoning: Data Processing: City Nall: Deputy Registrar: CAPITAL OUTLAY ITEMS 1995 BUDGET (Based on 4.438 levy increase) ITEM AMOUNT (1/2) Copier replacement $ 5,000 Small copier at counter 2,700 Typewriter 1,280 Computer file rack 150 $ 9,130 Check signer 6 stand $ 11800 Comprehensive plan review $ 15,000 Personal computer - PW secretary - City hall secretary Laser printer Uninterruptible power supply (2) Data racks Blg. inspection software Brick sealing 6 repair Interior wood sealant (50) Council Chamber chairs Reserve for future city expansion Office chair Microwave Refrigerator (used) Ticket # system Fire Department: Building refinishing -- siding Unallocated Balance of new fire truck ($70,000 allocated from prev. yrs.) Building Inspection: Literature rack for handouts Mobile radio Car phone $ 2,500 2,500 3,500 700 175 3,500 $ 12,875 $ 10,000 8,000 3,250 90,550 $111,800 $ 275 125 250 350 $ 1,000 FUNDING SOURCE General Fund General Fund General Fund General Fund General Fund General Fund General Fund General Fund General Fund General Fund General Fund General Fund General Fund General Fund General Fund Capital Outlay General Fund General Fund General Fund General Fund $ 7,000 General Fund 10,000 General Fund 80,000 Capital Outlay $ 97,000 $ 225 General Fund 575 General Fund 125 General Fund $ 925 G CAPITAL OUTLAY ITEMS 1995 BUDGET FUND/ DEPARTMENT ITEM AMOUNT FUNDING SOURCE Pub. Works Admin.: Document feeder --copier $ 1,220 General Fund Typewriter 1,280 General Fund Cabinets 800 General Fund $ 3,300 Streets: Small loader 6 trailer $ 21,500 General Fund Paint striper 4,000 General Fund Used pickup 6,000 General Fund Sealcoating 27,500 General Fund $ 61,000 Water Department: Senus Meter Master $ 61100 Water Fund Control panel wiring 3,550 Water Fund 125 RW generator 41,600 Water Fund $ 51,250 Sewer Collection: Gas detector $ 2,500 Sewer Fund Reserve for interceptor sewer ext.(3rd year) 60,000 Capital Outlay $ 62,500 WWTP: Tri- or quad- gas meter $ 3,000 Sewer Fund WWTP expansion $5-6 million Bonds Future City sharo of intrastructure imp. Klein/Emmerich Platt Sewer lateral $ 10,000 Capital Outlay Trunk water 33,800 or School Blvd ext. Bonds (117 to Fallon) 54,000 Fallon Ave. rebuilding 66,000 $163,800 WWTP: Reserve for future expansion $181,098 Storm Sewer: Meadow Oak pond outlet $375,000 Bonds Pub. Works Building: Phase II expansion $400,000 Liquor Fund Pub. Works Inspections: Scale $ 11500 General Fund 9 FUND/ DEPARTMENT Shop 6 Garage: Parke: Parks -- Meadow Oak Park Imp: Parke: CAPITAL OUTLAY ITEMS 1995 BUDGET ITEM Electric arc 6 air cutter (plasma cutter) Picnic tables 6 repairs Front -mounted diesel mower Trees (1/2) of fertilizer spreader AMOUNT FUNDING SOURCE S 2,500 General Fund $ 4,000 General Fund 15,000 General Fund 10,000 General Fund 1,500 General Fund S 30,500 (2) Irrigated ballfields $ 45,000• Capital Outlay (1) Irrigated soccer field Capital Outlay (1) Storage building Capital Outlay (2) Basketball courts Capital Outlay (1) Sand volleyball court Capital Outlay • Assumes improvements are phased over two years with this being (1/2) of costs. Balance of pathway project (ISTEA) = 45,000 Capital Outlay Tree Department: (1/2) of stump grinder $ 7,500 Tree Fund 1995 SUMMARY OF LEVY INCREASES/DECREASES PROPOSED BY FUNDS General fund levy is down $52,449. Some of the increases or decreases by department are as follows: 1. Council - Up $11,400 to allow for increase in Mayor/Council salary. 2. Assessing - Down $1,355 mainly due to no longer allocating portion of Building Inspector's salary to this department. 3. Planning & Zoning - Up $37,370 primarily to cover 75% of salary and benefits for new Development Services Technician (Wanda's position) and allowance of $15,000 for comprehensive plan review. 4. Denuty Ijesistrar - Up $15,215 mainly due to additional salary and benefits for part-time help and extra costs associated with being located in separate building. 5. Police Contract - Up $13,750 due to hourly rate increase from $30.50 to $32. 6. Fire Department - Up $9,000, includes $7,000 for refinishing/ maintenance of siding on building. 7. PW Administration - Up $18,305 mainly due to addition of parttime secretary position and related office equipment purchases. 8. Refuse - Down $34,980 because of lower tipping fees at compost facility. 9. Parks Department - Down $6,875 due to lower capital outlay purchases. 10. Btiildin Inmeption - Up $52,105 due to allocation of 25% of Development Services Technician position, salary/benefits and funding for additional Bill -time Building Inspector position, and related costa such as benefitelmileage. 11. Strget Dennrtment - Down $67,000 mainly because of reduction in capital outlay. '94 budget for Capital Outlay was: $116,000 '95 budget proposed for Capital Outlay: $ 61,000 In addition to the changes noted by various departments above, the 1995 general fund budget also has additional non -tax revenue funds of $40,000 for state LEVY.SUM: 12/5/94 Pago 1 I' highway aid and approximately $36,000 additional building permit revenue. With the proposed expenditures only increasing by $23,000, the additional revenue allows the actual tax levy for the general fund to be reduced by over $62,000. The second area of notable change from the 1994 budget is in our debt service funds where the levy proposed is up $32,000 to cover next year's debt payments. So that you can get an idea of our debt payments and tax levy requirements in future years, I have enclosed a summary of our outstanding debt and a schedule of future year tax levies we will be collecting. As you will note, most of the remaining funds have proposed tax levies very similar to the 1994 budget with the only exception being the "capital outlay" fund, which will vary depending on the amount of tax levy increase the Council is comfortable with. The following is a revised summary of the expenditures proposed in the capital outlay fund under the preliminary levy increase of 4.43% and the alternate levy increase of 4%. Preliminary Lew as Adoated: Balance of fire truck purchase (estimated City share at $160,000 with previous year allocations of $70,000) $80,000 Park improvements (Meadgvy Oak): (phased over 2 years) a. 2 irrigated ballfields $63,000 b. irrigated soccer field 16,000 C. storage building 9,000 d. 2 basketball courts 10,000 e. 1 sand volleyball court 2.000 $89,000 Proposed allotment for 1996 (1/2) $46,000 Balance of ISTEA trail system project (City share) $46,000 Reserve for interceptor sewer Ord year) $60,000 Reserve for future WWTP expansion (2nd year) $144,000 Reserve for future city hall expansion $90,660 Additional reserve for future WWTP expansion &37,Q$ TOTAL PRELIMINARY CAPITAL OUTLAY BUDGET CERTIFIED $601,648 LEVY.SUM: 12/6/94 Page 2 Alternative Lew Al (446 total levv inemase2: Same items as previously listed $501,648 LESS: Reduction of additional reserve funds for WWTP expansion ($11,780) REVISED CAPITAL OUTLAY BUDGET TO KEEP OVERALL BUDGET AT A 4% INCREASE $489,868 The expenditures proposed under the two alternatives above were done to match capital outlay fund revenue for each alternative to possible expenditures the Council may want to consider, depending on how much of a tax levy increase you are willing to consider. Under each of the tax levy proposals, the primary adjustment was always made to the capital outlay revolving fund using most of the tax levy increases to be set aside for future projects we know will be coming down the road. While the capital outlay fund has built up substantial reserves during the past years, the Council is reminded that most of these funds have already been earmarked for various future improvements such as: New dog pound $ 76,000 Portion of new fire truck purchase $ 70,000 Future interceptor sewer extension $160,000 ISTEA trail project $ 96,000 The Council should take under consideration in deliberating a potential tax levy amount what the future needs of the city will be to keep up with the growing demand and our eventual replacement of infrastructure throughout the community. As the city continues to grow, the City will be faced with being involved with various improvements such as the recently -discussed Meadow Oak storm sewer project, future water and sewer line extensions to new developments, and the eventual replacement of some of our streets and infrastructure. As an example, the main street project, in 1977 saw curb and gutter, along with bituminous paving, being installed in the core city, which will soon be 20 years old. Normally, the expected life can be anywhere from 20.30 years, and eventually we will be facing major replacements of streets. I'm sure the question at that time will be whether the City will be participating in the cost of the replacement, or will we attempt to assess 100% to the property owners. While it may be unrealistic to expect to save sufficient funds to cover all the City share of these various improvement projects, the Council is reminded that every year we get closer to the possibility that the power plant may no longer be part of our tax base. That's not to say that the City should get too carried away in over -taxing today for future projects, but it may be prudent to systematically continue a process of levying certain dollars for reserve funds to cover some of these eventual projects we know well be facing. For example, it may be easier to simply set aside $76,000 to $100,000 per year for the eventual city hall expansion that will be needed so that the funds aro available in 3.6 years rather than requiring a referendum bond issue. The same could be true for many projects, but it does come down to a philosophical question as to whether we want to take the LEVY.SUM: 1215M Page 3 approach that we will increase fazes when projects are needed by issuing bonds, or whether it would be better to have increases in taxes but at smaller steps by saving annually additional funds. Other items the Council may want to discuss that do not necessarily affect our tax levy for next year include: 1. Phase II of the public works building expansion - $400,000. The current liquor budget again earmarks $100,000 as a transfer to the EDA for the revolving loan program. Even with the potential transfer, the liquor fund is estimated to have a surplus of approximately $427,000 at the end of 1994, which would primarily cover the phase II expansion. 2. Meadow Oak pond outlet project - $350,000. (Not covered in 1995 budget and also assumed that this project would be financed by bond sale.) 3. Future WWTP expansion in 3-5 yrs - estimated cost $5 to $8 million. Also assumed that most of this cost would have to be covered by a bond sale even if we start setting aside some money annually through t additional tax levy. 4. Possible acquisition of agricultural land for sludge disposal - $200,000 to $300,000. 5. Future city share of infrastructure improvements for ldein/Emmerich plat - $160,000 to $250,000. LEVY.SUM: 1215/94 Page 4 Of Based on 4.43% Levy Increase SUMMARY OF PROJECTED REVENUES, EXPENDITURES. AND FUND BALANCES (CASH S INVESTMENTS) RE VSUM95. WK 1: 10/1984 PROJECTED 1995 1995 PROJECTED BALANCE PROJECTED PROJECTED BALANCE EIM REvENLIF 12/31/95 General $1,613,500 $2,433,480 $2,433,480 $1,613,500 Library $4.400 $31,865 $31,865 $4,400 Tree $117.250 $32.960 $32,960 $117,250 OAA $6,345 $29,800 $29300 56.345 Water $108,700 $182,350 $245,070 $45,980 Water Access $146,500 $24,400 $0 $170,900 Sewer $61,000 $5051100 $494.825 $72.075 Sewer Access 524,800 $33,550 90 558,350 Transportation $7,400 $87,479 $67,229 $7,650 Liquor $427,350 $1,540,800 $1,883.625 $84,625 Capital Outlay Revolving $379.000 4528,553 $528553 $379.000 HRA $410,400 $414,700 9321,771 $503,329 LiDAG $36,000 $11,695 $0 $47,695 EDA $87,100 $118,770 5201,440 $4,430 SCERG $33,300 $63,100 $33,300 $63,100 CMIF LIM &114 am 51332D sm SUBTOTALS $3,463,545 $6,025,417 $6,309,833 53,179,129 Debt Service General Obligation Bonds $527,519 $577,504 $588280 9518,743 Special Assessment Bonds $1,864,853 $357,871 $513,970 $1,708,654 Tax Increment Bonds 5350,158 MOM 9318.482 13111 "A SUBTOTALS $2,742,330 $1288.115 $1,418.712 $2,588,733 TOTALS 56205,875 $7291,532 $7,729545 $5,767,862 RE VSUM95. WK 1: 10/1984 CITY OF MONTICELLO COMBINED STATEMENT OF INDEBTEDNESS (PROJECTED)12-31-9S Oenmal ODll ation Tax 12 346 OW 5855,088 $1.690.04➢ 1180.000 $135.678 $185.000 1121.616 11.4854➢➢ 9350.158 Increment Gorda $21,725,00D $14,375,004 $7,350,0011 $880,000 $508,734 $926,000 $456,851 $6,425,OOD $2,742,330 1NnfnT• nww94 Auth. and Outatendtnp Banded I detnedness Ismod Ralired I=M cerxual obopum Bwxb $3,900,OOD $1,840,000 $1,860,1100 Sped81 Aetresamant Bonds $16,448,000 $11,748,000 $3,700,000 Game] ObIIpBUon Tax $32,000 $32,000 $0 Increment wig Inlerasl Debt Oenmal ODll ation Tax 12 346 OW 5855,088 $1.690.04➢ 1180.000 $135.678 $185.000 1121.616 11.4854➢➢ 9350.158 Increment Gorda $21,725,00D $14,375,004 $7,350,0011 $880,000 $508,734 $926,000 $456,851 $6,425,OOD $2,742,330 1NnfnT• nww94 Prajocled - Furuls On Nand For Pdndpal Interest Pdncow Inlerasl Debt Paid In Paid in Due In Due In Outslardinp FeWemom im 189! 1895 1895 12131 12G IN $Wb,000 $127,662 $265,000 $114.597 $1,676,000 $527,518 $415,000 $245,483 $445,000 52211,738 $3,255,100 $1,864,653 $0 $0 $o $0 $0 $0 Oenmal ODll ation Tax 12 346 OW 5855,088 $1.690.04➢ 1180.000 $135.678 $185.000 1121.616 11.4854➢➢ 9350.158 Increment Gorda $21,725,00D $14,375,004 $7,350,0011 $880,000 $508,734 $926,000 $456,851 $6,425,OOD $2,742,330 1NnfnT• nww94 Pi CITY OF YONIIOE1 I TAX LEVIES TO RETIRE BONDED INDEBTEDNESS Dec1m01171. IM BONDOEST.WIUCN M 3 awl 0« aw" stye.. ow" o.+a omq aaw+m a.." Ow m aer Ona... ow" ap..a a.....1 o ry..m am" o..m a110� a.oam Owa ollvr.. 011awm aNOYm 6— boA....+ W1 slow W" ......,...-...Mt1WY L.P� a*.mo A--" rra rpa..rs 1 101..311. 6..5a.. 9ome0r. 6.e6.1. s.u16.1.. 888.8 aoms. a. sw . Dmawm ft nSww. aRAND Iw. fdmn 6maa 1177, B.rda1MM 9.401 IM11 IM.. I.MIa 11116 IMDs Mr. MIA IMA IMA IOWA folks 1087 1911 {11,116 {,11,52:1 t121,OS1 1110,216 {121,688 jM,O& 120,]62 $1,976 11.021 $172,987 6670,619 1111 1986 {15161 8=100 1121,072 :118,656 $128,671 $21,851 160,000 $29,010 12.971 $10.272 $110,570 {700,100 1886 1998 SUM $37,001 :121,962 $126.544 $25,626 MOM 921.115 $3.807 111.117 1111.880 $129.8/2 {851.167 1986 1917 {868D $36,111 $124,672 8128.715 IM40D MOBS 927,180 $11,615 $151,155 6576,061 1897 1186 98,656 939.166 9121.052:128,717 QB,/11 987,183 92ZIBI 112.111 9158,611 $361,082 1116 1911 $30,027 6126,200 $128,266 $21.615 {81,007 {26,128 8.576 8131.712 8566.970 1191 2000 $31.661 8125.310 1130.697 $79.516 SM031 $6,110 :130,118 867/,983 2000 9D o1 691 937.D.= 112 6129,661 $0.606 18.595 $137.076 PW:053 2001 2007 1120,712 68.902 $127.190 1M7.104 2002 2003 1120,501 $127.880 $257.702 2D03 2DD1 $0 sow 2003 60 2906 200: 6D so TOTAL ■UM &am= 11 MM A== 612up1a ill l . 8196880 $1860.31 SUM lam ..A pia Mama $6251086 BONDOEST.WIUCN M 3 1995 (Based on levy Increase of 4.3%) The effect of budget increases or decreases on the proposed: Effect on General fund +53,800 -30,032 Library fund +530 +1,225 Transportation -3,068 +154 Tree +6.800 +5,421 OAA 0 + 174 HRA +49,736 +864 Debt service -3.638 +38,482 Capital outlay fund +222,053 +186,150 EDA fund +199,330 0 UDAG +850 0 Liquor +4,130 0 Water fund +78.095 0 Sewer fund +49,590 0 Water access fund -28,000 0 Sewer access fund -35,000 0 SCERG +33.300 0 CMIF +13,320 0 TOTALS—ALL FUNDS +641,828 +200,438 t Comparison of 1994 & Proposed 1995 Total Tax Rate I For th CRY of OlorWoono so 61.5 160.6 60 Fc 1995 40 30.6 32.0 1994 18.3 17.5 20 a 2.6 2.7 0 CouMy Gly School O"M Total 1995 Tex Rate: 113 Total 1994 Tau Rate: 112.8 Preliminary levy as certified in September 1994 (Based on updated tax capacity values from County) TAX LEVY SUMMARY 1995 BUDGET ALL FUNDS Fund General Library Transportation Shade Tree OAA HRA Debt Service Capital Imp. Revolving TOTAL Net Certified Levy Increase - $200,438 Payable 1989 Tax Net Payable** Adjusted Levy Before 1995 Adjusted Levy HACA Adj. Levy After Payable 1994 Payable 1995 Deductinq RACA $1,726,851 $1,859,960 $1,675,144 29,510 30,735 30,735 15,024 16,816 15,178 18,004 25,960 23,425 26,401 29,450 26,575 15,255 17,850 16,088 600,863 706,400 637,345 220,619 474,903 428,475 $2,652,527 $3,162,074 $2,852,965* Net Certified Levy Increase - $200,438 Payable 1989 Tax Capacity Rate 14.283 Payable 1990 Tax Capacity Rate 16.187 Payable 1991 Tax Capacity Rate 15.511 Payable 1992 Tax Capacity Rate 16.492 Payable 1993 Tax Capacity Rate 16.313 Est. Payable 1994 Tax Capacity Rate. 17.527 Est. Payable 1995 Tax Capacity Rate. 18.304 (4.43% increase) Tax Capacity Value '88/Payable 1989 $ 15,405,139 '89/Payable 1990 15,873,242 '90/Payable 1991 16,161,043 '91/Payable 1992 15,513,574 192/Payable 1993 15,490,500 '93/Payable 1994 15,154,786 '94/Payable 1995 15,586,930 Tax Capacity Rate Tax Levy 14.283 $2,198,008 16.187 2,568,106 15.511 2,506,132 16.492 2,558,554 15.308 2,526,216 17.527 2,652,527 18.304 2,852,965 • Actual levy collected from taxpayers --balance received from state in HACA aid payments ($309,109 is est. State Aid for 1995). •• Did not deduct HACA from library levy, but deducted library portion of HACA from general fund levy. �s s Revised 10/6/94 - Based on a 41 levy increase with updated tax capacity values from County ALTERNATIVE it TAX LEVY SUMMARY 1995 BUDGET ALL FUNDS Tax Capacity Value 188/Payable 1989 $ 15,405,139 '89/Payable 1990 15,873,242 190/Payable Net Payable** 16,161,043 191/Payable Adjusted Levy Before 1995 Adjusted 1993 15,490,500 Levy HACA Adj. Levy After Fund 1995 Payable 1994 Payable 1995 Deductinq HACA General $1,726,851 $1,859,960 $1,674,402 Library 29,510 30,735 30,735 Transportation 15,024 16,816 15,054 Shade Tree 18,004 25,960 23,271 OAA 26,401 29,450 26,390 HRA 15,255 17,850 15,995 Debt Service 600,863 706,400 637,098 Capital Imp. Revolving 220,619 463,123 417,684 TOTAL $2,652,527 $3,150,294 $2,841,185• Net Certified Levy Increase - $188,658 Payable 1989 Tax Capacity Rate . . . . 14.283 Payable 1990 Tax Capacity Rate . . . . 16.187 Payable 1991 Tax Capacity Rate . . . . 15.511 Payable 1992 Tax Capacity Rate . . . . 16.492 Payable 1993 Tax Capacity Rate . . 16.313 Est. Payable 1994 Tax Capacity Rate. 17.527 Est. Payable 1995 Tax Capacity Rate. 18.228 (4.08 increase) Tax Capacity Value 188/Payable 1989 $ 15,405,139 '89/Payable 1990 15,873,242 190/Payable 1991 16,161,043 191/Payable 1992 14,513,574 192/Payable 1993 15,490,500 '93/Payable 1994 15,154,786 194/Payable 1995 15,586,930 Tax Capacity Rate Tax Levy 14.283 $2,198,008 16.187 2,568,106 15.511 2,506,132 16.492 2,558,554 16.308 2,526,216 17.527 2,652,527 18.228 2,841,165 • Actual levy collected from taxpayers --balance received from state in HACA aid payments ($309,109 is eat. State Aid for 1995). •• Did not deduct HACA from library levy, but deducted library portion of HACA from general fund levy. NOTE: To keep 1995 levy increase to 41, the preliminary levy adopted in September would need to be reduced by $11,780. 1995 BUDGET SUMMARY (Based on 4.438 increase) • includes $367,750 Depreciation --contributed assets •+ includes $165,930 Depreciation --contributed assets NOTE: It oveaall levy in reducted to 48 increase, capital improvement revenue and expenditures would be reduced by $11,780 each to a new total of $517,523. C 1994 1995 FUND REVENUE EXPENDITURES REVENUE EXPENDITURES General $2,402,985 $2,402,985 $2,432,730 $2,432,730 Library 31,335 31,335 31,865 31,865 Transportation 70,647 70,547 67,479 67,229 Shade Tree 26,160 26,160 32,960 32,960 UDAG 10,845 85,000 11,695 -0- OAA 29,800 29,800 29,800 29,800 HRA 352,210 272,035 414,700 321,771 EDA 218,710 2,110 118,770 201,440 SCERG 8,345 -0- 63,100 33,300 CMIF -0- -0- 13,320 13,320 Debt Service 1,261,020 1,423,350 1,266,115 1,419,712 Liquor 1,487,125 1,479,495 1,540,900 1,483,625 Water 174,280 332,905+• 182,350 411,000•+ Sewer 464,785 812,985• 505,900 862,575• Capital Imp. 278,190 282,195 529,303 528,303 Water Access 15,550 28,000 24,400 -0- Sewer Access 14,675 35,000 33.550 -0- TOTAL $6,844,162 $7,311,402 $7,298,937 $7,870,630 • includes $367,750 Depreciation --contributed assets •+ includes $165,930 Depreciation --contributed assets NOTE: It oveaall levy in reducted to 48 increase, capital improvement revenue and expenditures would be reduced by $11,780 each to a new total of $517,523. C GENERAL FUND SUMMARY 1995 BUDGET T�79`iii3 Taxes Current Ad Valorem Penalty/Interest Tax Increments --Kmart Licenses and Permits - Business Liquor Beer Set Ups Licenses and Permits - Non -Business Building Permits Variances/Conditional Uses Dog Licenses Others Inter -Governmental Fire Department Aid Police Department Aid State Highway Aid Chargee for Services General Government Public Safety (Township Contract) Streets - C.S.A.H. Ntnc. Deputy Registrar Other Subdivision Fees Special Processing Fee (Garbage) Recycling Incentive Inspection Fees Garbage Cart Rental Fines nal. Impoundment Miscellaneous Revenue Interest on Investments Sale of Property Contributions/Donations/ Park Dcdicationu/nofunds Other Refunds and Reimbursements IDC Reimbursement TOTAL GENERAL FUND REVENUE 1994 1995 $1,934,765 $1,859,960 1,000 1,000 103,000 99.600 $2,038,765 $1,960,560 17,000 $ 20,950 11550 1,445 300 325 $ 18,850 $ 22,720 44,500 $ 80,000 1,500 1,800 150 150 2,200 3,600 $ 48,350 $ 85,550 30,875 $ 31,125 19,500 20,000 -0- 40.000 $ 50,375 $ 91,125 1,000 $ 1,150 59,770 60,020 3,650 5,050 68,000 93,750 100 3,200 500 9,000 51000 81500 6,000 7,500 2,500 3,000 3.200 3,700 $ 169,720 $ 194,870 20,000 ! 20,000 $ 20,000 $ 20,1000 $ 37,425 $ 50,555 300 350 2,5U0 2,500 1,700 2,500 S 41,'125 $ 55,105 1 15,000 1 2,000 f 15.000 3 2.000 $2,402,985 $2,432,730 D A GENERAL FUND SUMMARY 1995 BUDGET ;ark . -:• 1 Proposed 1994 1995 Mayor and Council $ 18,400 i 29,750 Administration 231,970 232,120 Finance 92,900 97,960 Insurance 58,250 66,825 Audit 12,500 13,500 Legal 23,275 23,775 Planning & Zoning 53,010 81,290 Inspections --Bldg. Official 44,655 96,550 Assessing 13,880 12,525 Deputy Registrar 70,470 85,685 City Hall 48,385 50,260 Computer 23,325 29,840 Elections 13,595 -0- TOTAL GENERAL GOVERNMENT $ 704,615 $ 820,080 Law Enforcement i 279,875 $ 293,635 Fire 123,395 132,400 Civil Defense 7,930 9,405 Animal Control 38,225 38,075 TOTAL PUBLIC SAFETY $ 449,425 $ 473,515 Inspection $ 35,500 39,800 Admin. 6 Engineering 82,490 102,795 Streets b Alleys 297,920 230,850 Snow 6 Ice 28,865 17,735 Street Lighting S Parking Lots 54,950 64,490 Shop & Garage 42,900 35,500 Refuse Collection 304,050 269,070 TOTAL PUBLIC WORKS $ 846,695 $ 760,240 Senior Citizens Center $ 36,500 36,500 YMCA/Community Ed. 25,000 25,000 Information Center/Museum 2,095 1,795 TOTAL HEALTH 6 WELFARE 3 63,595 $ 63,295 Parks i Rec./Cometery 6 186.650 S 170,055 TOTAL PARKS b RECREATION $ 186,650 8 170,055 Community Development $ 146,505 $ 135,045 TOTAL COMMUNITY DEVELOPMENT $ 146,505 $ 135,045 Misc.--8everence Benefits 6 5.500 ! 10,500 TOTAL MISCELLANEOUS $ 5,500 • 10,500 TOTAL GENERAL FUND EXPENDITURES $2,402,985 $2,432,730 r L 1 SUMMARY DEBT SERVICE FUNDS 1995 BUDGET FORECAST CURRENT AD VALOREM INTEREST SPECIAL ASMT--COUNTY TRANSFER IN --TAB INCREMENT 1994 1995 671,992 706,400 66,725 80,165 195,778 150,900 326,525 328,650 TOTAL REVENUE $1.261,020 $1,266,115 •aaaaraa•aaasrraaaaarrra•rrarraasarraaraaarrrraarrarr•rrrra• PRINCIPAL 880,000 925,000 INTEREST 508,734 456,851 PAYING AGENT FEES 9,191 8,661 INTEREST EXP. 25,425 29,200 TOTAL EXPENDITURES CAPITAL OUTLAY ITEMS 1995 BUDGET (Based on 4.431 levy increase) FUND/ DEPARTMENT ITEM AMOUNT FUNDING SOURCE Admin.: (1/2) Copier replacement f 51000 General Fund Small copier at counter 2,700 General Fund Typewriter 1,280 General Fund Computer file rack 150 General Fund i 9,130 Finance: Check signer 6 stand $ 1,800 General Fund Planning 6 Zoning: Comprehensive plan review $ 15,000 General Fund Data Processing: Personal computer - PW secretary $ 21500 General Fund - City hall secretary 2,500 General Fund Laser printer 3,500 General Fund Uninterruptible power supply 700 General Fund (2) Data racks 175 General Fund Blg. inspection software 3,500 General Fund S 12,675 City Hall, Brick sealing 6 repair t 10,000 General Fund Interior wood sealant 8,000 General Fund (50) Council Chamber chairs 3,250 General Fund Reserve for future city expansion 90,550 Capital Outlay 3111,800 Deputy Registrar: Office chair $ 275 General Fund Microwave 125 General Fund Refrigerator (used) 250 General Fund Ticket i system 350 General Fund Ted Fire Department: Building refinishing -- aiding S 7,000 General Fund Unallocated 10,000 General Fund Balance of new fire truck (=70,000 allocated from prev. yrs.) 80000 Capital Outlay $ 97',000 Building Inspectiont Literature rack for handouts $ 225 General Fund Mobile radio 575 General Fund Car phone 12General Fund i V CAPITAL OUTLAY ITEMS 1994 BUDGET FUND/ DEPARTMENT ITEM AMOUNT FUNDING SOURCE Pub. Works Admin.: Document feeder --copier S 1,220 General Fund Typewriter 1,280 General Fund Cabinets 800 General Fund $ 3,300 Streets: Small loader 6 trailer $ 21,500 General Fund Paint striper 4,000 General Fund Used pickup 81000 General Fund Sealcoating 27,500 General Fund S 61,000 Water Department: Senus Meter Master $ 61100 Water Fund Control panel wiring 3,550 Water Fund 125 KW generator 41,600 Water Fund S 51,250 Sewer Collection: Gas detector $ 2,500 Sewer Fund Reserve for interceptor Sewer ext.(3rd year) 60,000 Capital Outlay S 62,500 WWTP: Tri- or quad- gas meter i 3,000 Sewer Fund WWTP expansion $5-8 million Bonds Future City share of infrastructure imp. Klein/Emmerich plat) Sewer lateral $ 10,000 Capital Outlay Trunk water 33,800 or School Blvd ext. Bonds (117 to Fallon) 54,000 Fallon Ave. rebuilding 66,000 $163,800 WWTP: Reserve for future oxpansion $205,153 Storm Sewer: Meadow Oak pond outlet $375,000 Ronde Pub. Works Building: Phase II expansion $400,000 Liquor Fund Pub. Works Inspections: Scale $ 1,500 General Fund R FUND/ ( DEPARTMENT Shop 6 Garage: Parks: Parks -- Meadow Oak Park Imp: Parke: CAPITAL OUTLAY ITEMS 1995 BUDGET ITEM Electric arc 6 air cutter (plasma cutter) Picnic tables 6 repairs Front -mounted diesel mower Trees (1/2) of fertilizer spreader AMOUNT FUNDING SOURCE 2,500 General Fund $ 4,000 General Fund 15,000 General Fund 10,000 General Fund 11500 General Fund i 30,500 (2) Irrigated ballfielde = 45,000• Capital Outlay (1) Irrigated soccer field Capital Outlay (1) Storage building Capital Outlay (2) Basketball courts Capital Outlay (1) Sand volleyball court Capital Outlay • Assumes improvements are phased over two years with this being (1/2) of costs. Balance of pathway project (ISTEA) = 45,000 Capital Outlay Tree Department: (1/2) of stump grinder i 7,500 Tree Fund S 1895 SUML46RY OF LEVY INCREASES/E PROPOSED BY FUNDS General fund levy is down $52,449. Some of the increases or decreases by department are as follows: 1. Council - Up $11,400 to allow for increase in Mayor/Council salary. 2. Assessing - Down $1,355 mainly due to no longer allocating portion of Building Inspector's salary to this department. 3. Planning & Zoning{ - Up $37,370 primarily to cover 75% of salary and benefits for new Development Services Technician (Wanda's position) and allowance of $15,000 for comprehensive plan review. 4. Denutv Registrar - Up $15,215 mainly due to additional salary and benefits for part-time help and extra costs associated with being located in separate building. 5. Police Contract - Up $13,750 due to hourly rate increase from $30.50 to $32. 6. Fire Denartment - Up $9,000, includes $7,000 for refinishingi maintenance of siding on building. 7. PW Administration - Up $18,305 mainly due to addition of part-time secretary position and related office equipment purchases. S. Refuse - Down $34,980 because of lower tipping fees at compost facility. 9. Parks Department - Down $18,095 due to lower capital outlay purchases. 10. Building Inspection - Up $52,105 due to allocation of 25% of Development Services Technician position, salary/benefits and funding for additional full-time Building Inspector position, and related costs such as benefits/mileage. 11. Street Department - Down $67,000 mainly because of reduction in capital outlay. 194 budget for Capital Outlay was: $116,000 '95 budget proposed for Capital Outlay: $ 61,000 In addition to the changes noted by various departments above, the 1995 general fund budget also has additional non -tax revenue funds of $40,000 for state LEVY.SUM: 10/18/94 Page 1 T highway aid and approximately $36,000 additional building permit revenue. With the proposed expenditures only increasing by $23,000, the additional revenue allows the actual tax levy for the general fund to be reduced by over $52,000. The second area of notable change from the 1994 budget is in our debt service funds where the levy proposed is up $32,000 to cover next year's debt payments. So that you can get an idea of our debt payments and tax levy requirements in future years, I have enclosed a summary of our outstanding debt and a schedule of future year tax levies we will be collecting. As you will note, most of the remaining funds have proposed tax levies very similar to the 1994 budget with the only exception being the "capital outlay" fund, which will vary depending on the amount of tax levy increase the Council is comfortable with. The following is a revised summary of the expenditures proposed in the capital outlay fund under the preliminary levy increase of 4.43% and the alternate levy increase of 4%. Preliminary Lew as Adopted: Balance of fire truck purchase (estimated City share at $160,000 with previous year allocations of $70,000) $80,000 Park imnrovements (Mepdow Oak).: (phased over 2 years) a. 2 irrigated ballfields $53,000 b. irrigated soccer field 16,000 C. storage building 9,000 d. 2 basketball courts 10,000 e. 1 sand volleyball court 2.000 $89,000 Proposed allotment for 1995 (1/2) $45,000 Balanco of ISTEA trail system project (City share) $45,000 Reserve for interceptor sewer (3rd year) $60,000 Reserve for future WWTP expansion (2nd year) $144,000 Reserve for future city hall expansion $90,650 Additional reserve for future WWTP expansion TOTAL PRELIMINARY CAPITAL OUTLAY BUDGET CERTIFIED $625,703 LEVY.SUM: 10/18/94 Page 2 T Alternative Levv #1 (4% total levy increase): Same items as previously listed $525,703 LESS: Reduction of additional reserve funds for WWTP expansion ($11,780) REVISED CAPITAL OUTLAY BUDGET TO KEEP OVERALL BUDGET AT A 4% INCREASE $513,923 The expenditures proposed under the two alternatives above were done to match capital outlay fund revenue for each alternative to possible expenditures the Council may want to consider, depending on how much of a tax levy increase you are willing to consider. Under each of the tax levy proposals, the primary adjustment was always made to the capital outlay revolving fund using most of the tax levy increases to be set aside for future projects we know will be coming down the road. While the capital outlay fund has built up substantial reserves during the past years, the Council is reminded that most of these funds have already been earmarked for various future improvements such as: New dog pound $ 75,000 Portion of new fire truck purchase $ 70,000 Future interceptor sewer extension $160,000 ISTEA trail project $ 95,000 The Council should take under consideration in deliberating a potential tax levy amount what the future needs of the city will be to keep up with the growing demand and our eventual replacement of infrastructure throughout the community. As the city continues to grow, the City will be faced with being involved with various improvements such as the recently -discussed Meadow Oak storm sewer project, future water and sewer line extensions to new developments, and the eventual replacement of some of our streets and infrastructure. As an example, the main street project in 1977 saw curb and gutter, along with bituminous paving, being installed in the core city, which will soon be 20 years old. Normally, the expected life can be anywhere from 20-30 years, and eventually we will be facing major replacements of streets. Pm sure the question at that time will be whether the City will be participating in the cost of the replacement, or will we attempt to assess 100% to the property owners. While it may be unrealistic to expect to save sufficient (ands to cover all the City share of these various improvement projects, the Council is reminded that every year we get closer to the possibility that the power plant may no longer be part of our tax base. That's not to say that the City should get too carried away in over -taxing today for future projects, but it may be prudent to systematically continue a process of levying certain dollars for reserve funds to cover some of these eventual projects we know well be facing. For example, it may be easier to simply set aside $75,000 to $100,000 per year for the eventual city hall expansion that will be needed so that the funds are available in 3.5 years rather than requiring a referendum bond issue. The same could be true for many projects, but it does come down to a philosophical question as to whether we want to take the LEVY.SUM: 10/18/94 Page 3 t approach that we will increase taxes when projects are needed by issuing bonds, or whether it would be better to have increases in taxes but at smaller steps by saving annually additional funds. Other items the Council may want to discuss that do not necessarily affect our tax levy for next year include: 1. Phase H of the public works building expansion - $400,000. The current liquor budget again earmarks $100,000 as a transfer to the EDA for the revolving loan program. Even with the potential transfer, the liquor fund is estimated to have a surplus of approximately $427,000 at the end of 1994, which would primarily cover the phase II expansion. 2. Meadow Oak pond outlet project - $350,000. (Not covered in 1995 budget and also assumed that this project would be financed by bond sale.) 3. Future WWTP expansion in 3-5 yrs - estimated cost $5 to $8 million. Alec assumed that most of this cost would have to be covered by a bond sale even if we start setting aside some money annually through additional tax levy. 4. Possible acquisition of agricultural land for sludge disposal - $200,000 to $300,000. 5. Future city share of in&aetructure improvements for IGein/Emmerich plat - $160,000 to $250,000. LEVH.SUM: 10/18194 Pago 4 5 l Based on 4.43% Levy Increase SUMMARY OF PROJECTED REVENUES, EXPENDITURES, AND FUND BALANCES (CASH h INVESTMENTS) REVSUM95.WK1: 10119194 K PROJECTED 1995 1995 PROJECTED FUND BALANCE 12131/94 PROJECTED REVENUE PROJECTED EXPFNnm]RFC BALANCE 12/31/95 General $1,613,500 $2,433,480 $2,433,480 $1,613.500 Library $4,400 $31,865 $31.865 $4.400 Tree $117250 532,960 $32.960 $117.250 OAA $6.345 $29.800 529.800 S6.345 Water $108,700 $182,350 $245,070 $0.5.980 Water Access $146500 $24,400 $0 $170,900 Sewer $61.000 $505,900 $494.625 $72.075 Sewer Access $24,800 $33.550 SO SW,350 Transportation $7,400 $67,479 $67,229 $7,650 Liquor 5427,350 $1.540,900 $1.883.625 $64.625 Capital Outlay Revolving $379.000 $528,553 $528553 $379.000 HRA $410,400 $414,700 5321,771 $503,329 UDAG 538,000 $11,695 SO $47,695 EDA $87,100 $118,770 $201,440 $4,430 SCERO 533,300 $63,100 $33,300 $63.100 WIF LIM 513 32D 113 32D LIM SUBTOTALS S3,463545 $6,025.417 $6,309,633 $3,179,129 Debt Senrlce General Obllgation Bonds $527519 $577,504 5686280 $518,743 SpecialAsaessmerq Bonds $1,864453 $357,971 $513.970 $1,708,654 Tax Increment Bonds 5 afi 1330.840 S3I9-462 S381 13A SUBTOTALS $2.742,330 51266,115 $1,419,712 $2568.733 TOTALS 56,205575 $7,291,532 S7,729,545 $5,767,862 REVSUM95.WK1: 10119194 K CITY OF MONTICE LLO COMBINED STATEMENT OF INDEBTEDNESS (PROJECTED)12-31-95 r— INDERT: 0929194 PAncw ALM. and Princom Outalaram ROOM IndeMadneg Issued Refired Imim General Obligation Bonds $3,900,000 $1.940.000 $1,960,000 Speelal Asseasmenf Bonds $16,446,000 $11,746,000 $3,700,000 General ObO0afim Tax $32,000 $32.000 t0 Increawl Neta Gama) Obepatlon Tax 22 345 -- 905M 61.690.000 Increment Bonds r— INDERT: 0929194 PAncw Interest Princom Paid In Pald In Due In im 189! 1895 6275,000 $127,682 $265,000 $415,000 $245,493 6445,000 $0 so $0 Projected Funds On Hand For Interest Debt Due in Outstand rg Retirement 1895 12131/95 1713]/9$ $114,697 $1,676,000 $527,619 $220,738 $3.255,000 $1.864.653 $0 Ito $0 1180.000 1135 SID 9195.000 1121618 11.495.000 6350.158 621,726,000 $14,376,000 $7,350,000 $980.1100 ON.734 $826.000 $458,851 $6,425,000 $2,742,330 CITY OF MONTICELLO TAX LEVIES TO RETIRE BONDED INDEBTEDNESS Owwabn:1, 1$$3 BONDDEBT YVn10817194 c D.r11 I O.n.r 0. D.rr Or O.I.1I O.wr O.I.r - Yi C /�Or.�B.1r C=;;= Ct ]C— MVr � CM0 O.V... Ctftr Obig— C yr d omo— bporlrl Onpnm YIVa.11r11 Br. .Iv— .— so— w— or— an— ,mpa.r. epow.el. wwwla —.m a— B.M I We B.r. Mfr. a" a.— Bom a.— Bala 5—Bina B.- Bae a.- I.—r 8m B.r B.e B.r. Qp o — c— Broad len paedlpM paod,B 1111M IwA IN79 1Q 111990 IMI. IM7. IWA I—A TM&q 1897 1981 f11,115 f34.727 $121.057 t118,x1e $129,609 $26,001 f2D,762 $1,015 f1,028 3172,087 1077,849 1981 1995 :17,908 $77, lD9 :121,672 s1a9,655 :125,571 $21,951 $3.000 $z5o10 s3871 f10,272 :118318 5708.100 1985 19% :8,505 $37,091 :121,992 $120.341 :27,628 $50,000 $21,117 $7.997 111,117 :114.660 $120.942 :051,187 1998 1897 $6,580 $35.111 $121,872 $126,117 $31.100 652,095 :27160 $11,845 $171,155 $578,081 1997 1998 16655 :78.955 $121,072 :126.717 $26,111 $87,197 $22.181 $12.1,1 :179,511 $561,092 1986 1989 SM= $126,2'00 :128,255 $21,6,7 :81,067 :26125 $1,510 st 71.102 [588,910 1989 2000 $31,851 $126310 $170,597 $79.715 $26A51 s8,140 $170.916 5571,987 20M 2001 $37,689 6129,2m $129,681 $4.608 :0.597 $172.078 {16.057 2001 2002 1126.713 $8.902 $127.190 :267,101 2002 2OD3 1129.781 $127,996 :257,782 2007 2001 so 2001 2OD5 so 2005 2000 so so TOTAL L% 11'11 $x88.09! 11 Q M1 i3> = %1 ]77 MO LUL= spa aeo &im(m U U Lzam I== 15 211DM BONDDEBT YVn10817194 c 1995 (Based on levy increase of 4.3%) The effect of budget increases or decreases on the proposed: Effect on General fund +29,745 -51,707 Library fund +530 +1,225 Transportation -3,068 +154 Tree +6,800 +5,421 OAA 0 +174 HRA +49,736 +833 Debt service -3.638 +36,482 Capital outlay fund +246,358 +207,8% EDA fund +199,330 0 UDAG +850 0 Liquor +4,130 0 Water fund +78,095 0 Sewer fund +49,590 0 Water access fund - 28,000 0 Sewer access fund -35,000 0 SCERG +33,300 0 CMIF +13,320 0 TOTALS—ALL FUNDS +642,078 +200,438 Comparison of 1994 & Proposed 1995 Total Tax Rate For the City of Monticello so 1 61.5 60.6 so O 1995 40 30.6 1 32.0 ---- -- 1994 18.3 17.5 20 2.8 2.7 0 - County ply School 0tw Total 1995 Tex Rate: 113 Total 1894 Tex Rate: 112.8 i