2016 Budget – Special Revenue and Enterprise FundsCITY OF HOPKINS
MEMORANDUM
Date: October 11, 2016
To: Mayor & City Council
From: Christine Harkess, Finance Director
Subject: 2016 Budget – Special Revenue and Enterprise Funds
Continuing with the 2017 Budget process we will look at the Special Revenue and Enterprise
Funds. At the October 11th work session we will go through each special revenue fund, some
with more detail than others and discuss the status of those funds. We will also review each of
the Enterprise funds and review the impact of the proposed rate increases.
Attached:
1. Power point on Special Revenue & Enterprise Funds
FINANCE DEPARTMENT
10/7/2016
1
2017 Special Revenue &
Enterprise Fund Budgets
Expenditures are covered by grant revenues
Additional grants have been received in past years but are not
guaranteed.
Chemical Assessment
2016 2017 %age
Budget Budget Incr (Decr)
Revenues $60,000 $60,000 0.00%
Expenditures $60,000 $60,000 0.00%
Revenues over (under)
Expenditures $0 $0 -
10/7/2016
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Tax levy is set at $310,200 which is the maximum allowed
Includes funding for 25% of the FT communications position
This fund is used for developer assistance
Economic Development
2016 2017 %age
Budget Budget Incr (Decr)
Revenues $356,113 $396,200 11.26%
Expenditures $176,600 $210,449 19.17%
Revenues over (under)
Expenditures $179,513 $185,751 -3.47%
Rate increase for 2017 on monthly, quarterly and yearly permits
No capital expenditures for 2017
One FT enforcement officer at 29 hours a week
Court fines ‐ $22,000
Parking Permits ‐ $120,000, a budget increase of $5,000.
Parking
2016 2017 %age
Budget Budget Incr (Decr)
Revenues $138,000 $144,500 4.71%
Expenditures $359,600 $110,928 -69.15%
Revenues over (under)
Expenditures ($221,600) $33,572 115.15%
10/7/2016
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Franchise Fees ‐ $230,000
PEG Access Fees ‐ $33,000
FT Communications positon funded at 75%
Annual Transfer to Arts Center ‐ $86,920
Capital Expenditures ‐ $26,500 – technology upgrades
Communications 2016 2017 %age
Budget Budget Incr (Decr)
Revenues $257,000 $269,200 4.75%
Expenditures $223,773 $289,747 29.48%
Revenues over (under)
Expenditures $33,227 ($20,547) -161.84%
Youth Project receives support from the General Fund, Minnetonka
and Three Rivers Park District ‐ $45,000 total
Coffee Operations support the Youth Project
Depot Coffee House
2016 2017 %age
Budget Budget Incr (Decr)
Revenues $349,100 $348,000 -0.32%
Expenditures $338,142 $343,036 1.45%
Revenues over (under)
Expenditures $10,958 $4,964 -54.70%
10/7/2016
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Youth Project
Levy for Lease ‐ $50,000
$15,000 City participation; $15,000 Joint Rec participation, $15,000 Three
Rivers Park District participation
Coffee Operations
Budget to make a profit to support youth programming
One FT staff, many PT
Goal is to make enough money to support the Youth Project and fill the gap left
by grant funds that are more difficult to obtain
Depot Coffee House –c o n t .
Tax levy ‐ $250,000
Capital for 2017 totals $398,200
On track with Financial Management Plan
Arts Center 2016 2017 %age
Budget Budget Incr (Decr)
Revenues $787,108 $935,734 18.88%
Expenditures $946,714 $1,234,505 30.40%
Revenues over (under)
Expenditures ($159,606) ($298,771) 87.19%
10/7/2016
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Funds will be administered pursuant to the TIF Management Plan
developed by Ehlers and staff.
TIF 2‐9 will be decertified in 2016
Tax Increment Funds
Revenues
over (under)
Revenues Expenditures Expenditures
TIF 1-2 Entertainment $31,000 $3,242 $27,758
TIF 2-6 Handicapped Hsg $40,149 $6,976 $33,173
TIF 2-9 Oaks of Mainstreet $0 $0 $0
TIF 2-11 Super Valu $2,408,000 $1,790,665 $617,335
5th Avenue Flats $0 $2,000 ($2,000)
TIF 1-4 Marketplace & Main $125,000 $120,950 $4,050
Tiered rate structure to be implemented Jan 1
Three bond issues outstanding
Repairs & Main – pulling well 4 and 5 ($200,000)
Water Fund
2016 2017 %age
Budget Budget Incr (Decr)
Revenues $1,553,500 $2,209,405 42.22%
Expenditures $1,693,261 $1,885,916 11.38%
Revenues over (under)
Expenditures ($139,761) $323,489 331.46%
10/7/2016
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Street Improvements ‐ $1,700,000
Residential Street Improvements‐ $1,500,000
8th Avenue Artery project ‐ $200,000
Equipment/projects ‐ $220,000
¾ Ton Utility Truck ‐ $30,000
SCADA upgrade ‐ $90,000
Water treatment plant ‐ $100,000
Water Projects
Rate study completed and to be implemented by Jan 1.
Met Council fees increased 3% – 56% of total expenses
Three bond issues outstanding
Sanitary Sewer Fund
2016 2017 %age
Budget Budget Incr (Decr)
Revenues $2,277,200 $2,932,504 28.78%
Expenditures $2,607,944 $2,670,896 2.41%
Revenues over (under)
Expenditures ($330,744) $261,608 179.10%
10/7/2016
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Projects‐ $1,300,000
Residential Street Improvements – $500,000
8th Avenue Artery project ‐ $100,000
Reconstruct Lift Station #7 ‐ $700,000
Equipment ‐ $541,000
Jet Vactor ‐ $425,000
Generator ‐ $36,000
SCADA upgrade ‐ $80,000
Sanitary Sewer Projects
No rate increase scheduled
Three bond issues outstanding
Storm Sewer Fund
2016 2017 %age
Budget Budget Incr (Decr)
Revenues $804,000 $818,400 1.79%
Expenditures $504,496 $497,049 -1.48%
Revenues over (under)
Expenditures $299,504 $321,351 7.29%
10/7/2016
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Capital Improvements ‐ $1,116,000
Storm Drainage Maintenance – Alley Repairs –
$111,000
Residential street improvements ‐ $600,000
8th Avenue Artery – $305,000
Westbrooke Way/Smetana Road drainage
improvements ‐ $100,000
Storm Sewer Projects
Recycling Fee $5.00 per month
Disposal Rates (per month)
30 ‐ $17.85 60 ‐ $21.85 90 ‐ $25.30
Refuse Fund
2016 2017 %age
Budget Budget Incr (Decr)
Revenues $981,167 $1,007,400 2.67%
Expenditures $940,973 $948,876 0.84%
Revenues over (under)
Expenditures $40,194 $58,524 45.60%
10/7/2016
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Programs under Refuse
Bulk Collection
Yard Waste/Leaf Collection
Recycling
Brush Service
Disposal
Capital – None
Refuse Fund –c o n t .
Staffing – 2 FT, 1 PT and seasonal PT staff
Increase hours of PT from 20 hrs to 30 hrs a week plus benefits
One bond issue outstanding for Ice Resurfacer
Pavilion Fund
2016 2017 %age
Budget Budget Incr (Decr)
Revenues $449,600 $469,100 4.34%
Expenditures $454,477 $460,817 1.40%
Revenues over (under)
Expenditures ($4,877) $8,283 269.84%
10/7/2016
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Programs of the Pavilion
Ice Rental – rental of ice time
Soccer – turf rent and leagues
Dry Floor – rentals
Mezzanine – rentals and leases
Capital
None for 2017
Pavilion Fund –c o n t .