2018 City of Hopkins, MN BudgetCity of Hopkins, Minnesota
Annual Budget
January 1 - December 31, 2018
Inspire ● Educate ● Involve ● Communicate
City of Hopkins
1010 First St S
Hopkins, MN 55343
952-935-8474
www.hopkinsmn.com
CITY OF HOPKINS BUDGET
FISCAL YEAR BEGINNING JANUARY 1, 2018
City Council
Term Expires
Mayor Molly Cummings ................................................................................ December 31, 2019
Councilmember Katy Campbell .................................................................... December 31, 2021
Councilmember Jason Gadd .......................................................................... December 31, 2019
Councilmember Kristi Halverson ................................................................. December 31, 2021
Councilmember Aaron Kuznia ...................................................................... December 31, 2019
Management Team
Mike Mornson ......................................................................................................... City Manager
Kersten Elverum ............................................................... Director of Planning & Development
Ari Lenz .................................................................................... Director of Community Services
Nick Bishop ..................................................................................................... Director of Finance
Kelly O’Dea ................................................................................................... Recreation Director
Brent Johnson.............................................................................................................. Police Chief
Dale Specken................................................................................................................... Fire Chief
Steve Stadler ......................................................................................... Director of Public Works
This document was developed and compiled by the Finance Department, City of Hopkins
CITY OF HOPKINS
TABLE OF CONTENTS
Introduction/Background
City Manager’s Budget Message ................................................................................ 4
Distinguished Budget Presentation Award .................................................................. 8
Organization Chart...................................................................................................... 9
Community Profile .................................................................................................... 10
Organization Structure .............................................................................................. 13
Organization Mission Statement, Vision & Goals ...................................................... 14
Financial Management and Policies ......................................................................... 16
Budget Calendar ....................................................................................................... 19
Budget Planning Process ......................................................................................... 21
Fund Structure .......................................................................................................... 22
Budget Overview
Authorized and Approved Staffing Levels ................................................................. 26
2018 Summary Budget Information by Major and Non-Major Funds ......................... 28
2018 Budget Summary – All Funds .......................................................................... 29
2018 Revenue Summary – All Funds ....................................................................... 31
2018 Appropriation Summary – All Funds ................................................................. 35
Property Tax Information .......................................................................................... 38
Fund Balance ........................................................................................................... 42
Debt Overview .......................................................................................................... 46
Capital Improvements Overview ............................................................................... 50
General Fund Budget Projection ............................................................................... 55
Other Major Funds Budget Projections ..................................................................... 59
General Fund ............................................................................................................... 63
Special Revenue Funds .............................................................................................. 110
Internal Service Fund .................................................................................................. 135
Enterprise Funds ......................................................................................................... 137
General Debt Service Funds ....................................................................................... 149
Glossary...................................................................................................................... 150
City of Hopkins
1010 First Street South • Hopkins, MN 55343-7573 • Phone: 952-935-8574 • Fax: 952-935-1834
Web address: www.hopkinsmn.com
City of Hopkins Mission Statement
• Inspire • Educate • Involve • Communicate •
January 2018
Citizens, Honorable Mayor, City Council
City of Hopkins
Hopkins, Minnesota 55343
Dear Citizens, Mayor and Council Members:
It is my pleasure to present to you the City of Hopkins 2018 Budget. Hopkins’ strong financial position and
proactive fiscal management practices allowed options for the City Council to maintain a service delivery at
current levels while minimizing the impact on the 2018 tax levy. The final result is an adopted 2018 budget
totaling $29,347,598 of which $13,435,355 is the General Fund. This budget lives within the City’s financial
resources, meets basic service needs, provides for the maintenance and replacement of the City’s
infrastructure, and plans for the future, keeping Hopkins’ good financial condition intact.
The Municipal Budget is intended to reflect the goals, objectives, and priorities established by the City
Council with input from the residents and taxpayers of Hopkins, and fairly represent the revenues and
expenditures necessary to provide the services and programs desired by the community.
The city governing body involves its’ citizens and constituents through its mission and vision statement
“Inspire • Educate • Involve • Communicate” by: conducting Hopkins Citizen’s Academy, providing a state of
the city address, publishing a city annual report, and communicating with the community as often as
possible regarding many city initiatives and proposed polices. The budget adoption is a significant way in
which the City Council expresses their leadership. The City Council establishes budget goals, which are
accurately reflected in this budget.
2018 BUDGET DEVELOPMENT
The City has developed a number of elements that have been brought together to provide the best
information for the Council to make their budget decisions. These elements include the following:
• Strategic Planning Process – The Council has a mission and vision statement, which helps
determine the priorities of the community and direct the council in providing services for its
constituency. As part of the process annual goals and objectives are set.
• Program Budgeting – This provides more information in regards to what programs departments
provide and what is the individual cost of those programs. This accomplishes the objective of
reviewing revenues and expenditures based on program activity.
• Four Year Budget Modeling – Encourages future planning for the General Fund budget and
allows us a preview at projected property tax levy needs over the next four years.
• Cash Flow Models – Cash flow projections are created for all funds to provide us with a view of
future sources and uses within the various funds and for the City as a whole. This assists in long
range planning and goal setting.
• Net Property Tax Cost for Median Value Home – A Financial Management Plan model is being
used that can provide council with long range estimates of the tax changes on a median value
home. The model incorporates many variable that can affect tax rates, including projected
operating costs, future debt service, capital costs, and changes to the tax base.
• Net Tax Cost by Program – This provides both a dollar and percentage of property tax support for
each of the City’s general fund programs.
4
CITY OF HOPKINS
HOPKINS IN 2017
In the year 2017, the nation’s economy continued to stabilize. The governmental environment and positive
impacts allowed small grown for the City of Hopkins. The city continued to provide all core services through
2017 and was able to add three full-time positions, two police officers and one public works employee.
Program budgeting has helped in our analysis of city services, while we look at ways to continue to as
efficient as possible. The Council and city staff also continues to investigate additional revenue sources.
In 2017, the City’s tax base continued to grow due to several new apartment development projects and a
general increase in residential home value. The City's total tax capacity values increased 5.7% due mainly
to these factors. In 2017 the overall taxable market value increased by 6.33% due to same factors. The
city’s levy has increased an average of 6.81% per year over the last five years. The City’s general fund
expenditures have increased an average of 4.39% a year over the last five years. This increase is directly
related to salary and benefit increases for employees, insurance costs and oil based products. Diligent
planning and management has helped in keeping operating expenditures down.
The employee compensation has remained competitive in the market for both those with and those without
labor contracts. This was affirmed by a Classification and Compensation Study conducted during 2017.
The number of employees has remained stable at 105-112.
ECONOMIC OUTLOOK
Hopkins is a diverse community made up of a healthy mix of residential, commercial and industrial
properties. Super Valu is the largest food wholesaler in the nation. They are a Fortune 500 company that
continues to have a strong presence in Hopkins. Excelsior Crossings is a large corporate campus with
three buildings totaling over 900,000 square feet and room for approximately 4,000 employees. A long-time
tenant, Cargill, began the process of relocating to a new facility outside of Hopkins during 2017. A division
of another fortune 500 company, US Bank, has already signed a lease for one of the three buildings. The
two remaining buildings are Class A office complexes in an attractive area and are projected to be occupied
in the future.
Hopkins economic outlook has remained relatively stable. The City has expanded its commercial tax base
through redevelopment. Hopkins is an inner-ring suburb of Minneapolis with a good mix of 3% residential,
42% commercial and industrial and 22% apartment properties. Hopkins participates fully in the Minneapolis
and Hennepin County economies. Hopkins has preserved its central downtown area where development
continues because of its highly desirable location. Hopkins wealth levels are above average when
compared nationwide.
REDEVELOPMENT
Significant redevelopment has occurred within the City of Hopkins over the past five years. This
redevelopment has contributed substantially towards the increase in property values and by making
Hopkins a more desirable place to live and work. Some of the more recent projects are:
• Redevelopment of a small parcel in the downtown district into seven luxury townhomes.
• Redevelopment of a vacant office and clinic site into 163 luxury apartments with retail space
• Redevelopment of a vacant downtown building into a craft brewery and tap room.
• Redevelopment of a former office building into 241 high end luxury apartments and retail space.
• Redevelopment of ten duplexes into 51 affordable apartments adjacent to public transit and parks.
In addition to projects other development continues in Hopkins. This includes new commercial structures
on Mainstreet, renovation of older industrial buildings, new residential projects, and more mixed-use
projects that incorporate residential and commercial development. Overall, these redevelopment efforts
continue to ensure that Hopkins remains a desirable community in which to live and work.
5
CITY OF HOPKINS
LONG TERM OBJECTIVES
The City Council and staff have established long term objectives for the community and the working
environment
• Increase ratio of residential properties.
• Maintain the high quality of our livable community.
• Increase tax base to spread share of tax burden.
BUDGET OBJECTIVES FOR 2018
• Maintain core City services at a reasonable price for residents and commercial/industrial users.
• Use program budgeting as a tool for analysis of all programs and services to:
♦ look for ways to reduce dependency on the property tax,
♦ find greater efficiencies in the provision of current services and programs,
♦ compare staffing levels to workloads to assure proper allocation of resources,
♦ create greater linkages between revenues and expenses, to allow for more entrepreneurial
approaches to non-essential services.
• Forecast funding needs and tax implications to assure strong long-term financial stability.
• Continue policy of avoiding the use of fund balances for operating expenses.
• Recognize and award employees that assist the City in saving money.
• Evaluate and investigate other sources of revenue.
BUDGET CONSIDERATIONS
These are areas to consider that may affect the budget during the next few years.
State Tax Reform:
Property Classification Changes – In the past there has been a tendency to shift some of the
tax burden back to residential taxpayers from commercial/industrial taxpayers.
Tax Increment Finance – Any changes in property classifications impact property taxes
generated by TIF districts. Currently the tax generated in the various districts is projected to be
sufficient to cover any debt or liabilities created in the districts.
Property Tax Freeze and/or Levy Limits – Levy limits have been on and off again since 2008.
This uncertainly poses budget challenges as cities are uncertain if they will again be re-
instated. For the 2018 budget year there were no levy limits which give cities more budget
flexibility in meeting the needs of their citizens while maintaining essential city services.
State Aids – The City of Hopkins no longer relies on significant state aids as a revenue source
however the legislature has incrementally increased the Local Government Aid (LGA) allocated
to cities since 2015. The City received approximately $390,000 of LGA in 2015, $415,000 in
2016, $425,000 in 2017 and will receive $550,000 in 2018.
Real Estate Values – Overall real estate values in this community increased by approximately 6.33% in
2017. Despite the market value stability this resulted in an increase in the City’s tax capacity of 5.7 % due
to apartment property which has a lower tax capacity than commercial or industrial properties.
Overall, general fund budgeted expenditures will increase by 4.67% in 2018 due in large part to salaries
and benefits which included the addition a full time fire marshal. We projected a 4.25% change for 2019-
2022. Future programs and services provided by the City of Hopkins may change in relation to available
revenue sources. The City Council and staff along with their financial advisor will be updating the City’s
long-range financial management plan that assists in current and future budgeting. The plan was adopted
in 2014 and was implemented for the 2015 budget and is used for budget planning each year. This
planning assists in minimizing the impacts of potential tax freezes, additional state aid losses and sets forth
a plan to stabilize all funds. The plan will be updated annually and used in future annual budget
preparation.
6
CITY OF HOPKINS
Fund Balances for governmental fund types will continue to be strong for the next 3 to 4 years, absent any
significant changes in the policy of avoiding the use of fund balance reserves for current expenditures.
GAUGING THE CITY
The City uses the following performance measures:
• Tax levy history in relation to the consumer price index.
• Tax Impact on Median Value Home
• Comparisons of comparable communities
• Goal achievement
2018 BUDGET ADOPTION
Overall the budget objective is to provide quality services at a reasonable cost, while keeping tax rates fairly
constant In the past this has been accomplished through increased net tax capacity levels and keeping the
tax levy at a reasonable amount while at the same time allowing the City enough funds to continue with the
level and quality of service it currently has. This has been particularly challenging the last few years as the
City continues to make infrastructure improvements.
The city’s tax capacity rate has held fairly steady over the past five years ranging from 62.61% to 66.34%.
The proposed 2018 city tax rate of 66.34% is a 5.33% increase from 2017.
The adopted General Fund budget has a 4.67% expenditure increase for a total General Fund Budget of
$13,435,355. The total tax levy increase for 2018 is 9.86%. The levy includes funds designated for general
fund operations, capital improvements, the Art Center and debt service payments. The monthly city tax cost
for a median valued home of $234,000 is about $120.49 or approximately $1,446 for the year not including
credits for state programs.
The city’s goals and objectives were once again reviewed and updated by city staff, commissions, citizens
and the City Council. They are integral part in meeting the needs of the citizens. The 2018 goals and
strategic plan are included in the budget document on pages 14-15.
Sincerely,
CITY OF HOPKINS
Michael J. Mornson
City Manager
7
CITY OF HOPKINS
The Government Finance Officers Association of the United States and Canada (GFOA)
presented a Distinguished Budget Presentation Award to City of Hopkins, Minnesota for its
annual budget for the fiscal year beginning January 1, 2017. In order to receive this award, a
government unit must publish a budget document that meets program criteria as a policy
document, as an operations guide, as a financial plan, and as a communications device.
This award is valid for a period of one year only. We believe our current budget continues to
conform to program requirements, and we are submitting it to GFOA to determine its
eligibility for another award.
8
CITY OF HOPKINS CITY FACILITIESCity Hall1010 First St S, Hopkins, MN 55343952-935-8474Depot Coffee House 9451 Excelsior Blvd, Hopkins, MN 55343952-938-2204Fire Department101 17th Ave S, Hopkins, MN 55343952-938-8885Hopkins Activity Center 33 14th Ave N, Hopkins, MN 55343952-939-1333Hopkins Center for the Arts 1111 Mainstreet, Hopkins, MN 55343952-979-1100Pavilion Ice Arena11000 Excelsior Blvd, Hopkins, MN 55343952-939-1410Police Department1010 First St S, Hopkins, MN 55343952-548-6440Public Works11100 Excelsior Blvd, Hopkins, MN 55343952-939-13829
CITY OF HOPKINS
COMMUNITY PROFILE
The first settlers of Hopkins arrived in 1852; however, the roots of the town begin in 1887 with the building
of the Minneapolis Threshing Machine Company, later called Minneapolis Moline. Minneapolis Moline once
employed most of the Hopkins residents. The West Minneapolis Land Company was also founded in 1887
and was formed to build housing for the Minneapolis Moline factory workers. In 1893, the Hennepin County
Board of Commissioners received a petition signed by 41 residents, asking that the village be formed.
Following an election, the community was then incorporated as the village of West Minneapolis.
The original village was comprised of three square miles, and it has been enlarged by annexation to its
present size of about four square miles. The population at the time of its incorporation was 1,105; today,
there are approximately 19,000 people living in Hopkins. In 1928, the name of the village was changed to
Hopkins - for Harley H. Hopkins who was among its first homesteaders and was the community's first
postmaster. The first mayor was Harley Hopkins' son, Chester L. Hopkins.
On January 1, 1948, the village became a city upon adoption of a City Charter with a Council/Manager form
of government. The City Council consists of four council members and the mayor. Council members serve
four-year terms and are elected at large. The mayor is elected at large for a two-year term. The governing
council is responsible, among other things, for passing ordinances, adopting the budget, appointing
committees and hiring the City’s manager and attorney
Hopkins has always had a core business district, and in the center of that early business district was
Hopkins City Hall at 8th Ave N and Mainstreet. Completed in 1912, it housed the city's police and jail in the
rear portions, and city offices, library and meeting room upstairs. The fire station was on the main level, and
the firefighters used horse drawn rigs. The building was remodeled in 1940 to accommodate more fire
trucks.
That fire station was torn down in 1965 after a new City Hall, Police Station and Fire Station were built at
1010 1st St S. In 2004, a new Fire Station was built on 17th Ave. The Police Department was expanded
and remodeled in 2005. In the summer of 1982, the city and its Public Works Department accomplished
the challenge of building a city garage on a small area, using as many of the existing structures as possible,
doing it within a $475,000 budget, and doing it without disrupting city services. The Public Works facility
was expanded and remodeled in 2004.
Adjacent to the Public Works facilities is the Hopkins Pavilion, which was built with money from a 1989 park
bond referendum. The facility opened in December 1991. It is now one of the premier facilities of its kind in
the Twin Cities area, and is used for soccer, lacrosse, in-line roller hockey, skating and ice hockey. The
Hopkins Activity Center, a multipurpose community facility, opened in January 1981 at the site of the former
South Junior High School. A variety of programs for people of all ages are offered at the Activity Center. It
was renovated in 1990, and the facility includes a gymnasium, meeting rooms and kitchen. The Hopkins
Historical Society, which was started more than 30 years ago, also is located in the Activity Center.
The Hopkins Center for the Arts, 1111 Mainstreet, opened in November 1997. The Arts Center stands as
a focal point for arts, culture and entertainment in the Hopkins community, the Twin Cities metro area and
the region. It is a community-gathering place where young and old can enjoy high quality, multi-disciplinary
cultural arts programs and community activities. The Arts Center includes a theater, a visual arts gallery,
multipurpose spaces for rehearsals, community activities and small performances, a visual arts classroom,
a dance studio, and kitchen facilities for serving catered food.
It addition to its facilities, the City of Hopkins is home to the annual Raspberry Festival, now in its 84th year.
The first festival was organized in 1934 by a group of community business people who were concerned that
the Hopkins economy and community needed a boost.
10
CITY OF HOPKINS
Minnesota
Hopkins is a suburban city in Hennepin County, Minnesota located just 13 minutes west of the Twin Cities
of Minneapolis and St. Paul. The City is four square miles in size surrounded by larger suburban
communities. Hopkins is about 98% developed with little remaining vacant land. U.S. Route 169 and
Minnesota Highway 7 are two of the main arterial routes in the City. Hopkins is a dynamic community of
over 19,000 residents. Founded rich in tradition and growth, Hopkins offers the advantages and
conveniences of a large City but yet the security of a small town. The residents and the business community
have an enormous sense of pride and support for their City. Travel any street and you will see and feel the
reflections of pride and vitality. Hopkins has enriched its spirit of community by remaining a place where
people are treated with respect; where the community participates in building culture, character and
common bonds; where business growth is supported while a vibrant City Center is maintained; where
people feel safe, support outstanding schools and celebrate cultural heritages; and where people enjoy
quality parks, housing and public services.
Through education, inspiration, involvement and communication, the City Council, City Staff, members of
the Boards and Commissions, the business district and the neighborhood associations are committed to
enhancing the quality of life in Hopkins.
Summertime in Hopkins
at the Clock Tower Plaza
Population:
1920 3,055
1930 3,834
1940 4,100
1950 7,595
1960 11,380
1970 (census) 13,395
1980 (census) 15,336
1990 (census) 16,534
2000 (census) 17,145
2016 (estimate) 19,000
11
CITY OF HOPKINS
CITY STATISTICS:
Founded 1852 School Enrollment 8,182
Dated of Incorporation November 27, 1893 Education
Date of Adoption of City Charter December 20, 1947 Elementary Schools 6
Form of Government Council - Manager Middle Schools 2
Fiscal Year Begins January 1 High School 1
Area of City 4.1 Square Miles Private Schools 8
2,616 acres Charter Schools 2
Housing
Single Family 2,759 Elections:
Multiple Family 5,044 Registered Voters - last general election 10,366
Duplexes 512 Number of votes cast last general election 2,164
Townhouses 869 Percentage of registered voters voting 21%
Population by Age City Bond Rating
0 to 19 4,487 Stand & Poor's AA+
20 to 64 11,378
Over 65 2,212
Miles of Streets and Alleys:
Income by Household Trunk Highways 3.57
Less than $25,000 1796 County 5.32
$25,000 - $50,000 2151 City Streets 47.5
$50,000 - $75,000 1787 Alleys 9.52
$75,000 - $100,000 882
$100,000 - $150,000 898 Miles of Sewers:
$150,000 or more 574 Storm Sewers 21.4
Sanitary Sewers 45.46
Median Household Income $51,500 Miles of Watermains 52.6
Per Capita Personal Income $31,800
Civil Defense Warning Sirens 3
Unemployment Rate 3.6%
Fire Protection:
Population Composition Number of Stations 1
White 56.78% Number of FT Employees 4
African American 20.05% Volunteer Firefighters 33
Asian 8.55%
Hispanic or Latino 10.57%Police Protection:
Two or More Races 2.11% Number of Stations 1
Native American 0.75% Number of Employees 47
Other Races 1.20%
Parks
City Parks 16
Playgrounds 11
Total Property Values $1.886 billion Skating Rinks 7
12
CITY OF HOPKINS
ORGANIZATION STRUCTURE
The home rule charter of the City was adopted on December 2, 1947 and serves as the basis for the
government operations of the City. The City utilizes the council-manager form of municipal government.
The City Council is comprised of the mayor and four council members. The mayor and the council members
are elected at large. The council members serve a four-year term and the mayor serves a two-year term.
The city manager of the City is the chief administrative officer of the City. The city manager and the city
attorney are selected by the City Council and serve an indefinite term. The city manager controls and
directs the administration of the City’s affairs and therefore, supervises all departments and divisions of the
City. The city attorney provides legal and prosecution services for the City. City boards and commissions
serve in an advisory capacity to the City Council.
The City is managed through seven departments, each with a department head who reports to the city
manager. A description of each of the departments is included in this document. Within each department
are several programs. A description of each program, its objectives and budgets are presented in this
document.
The City utilizes several commissions to advise, prioritize or implement various city issues or projects
throughout the year. These commissions are comprised of volunteer citizens and an appointed staff
member as a liaison. The Charter commission reviews the city charter for appropriateness and also
recommends changes to the charter. They meet annually or more often as needed. The Zoning and
Planning commission meets monthly and reviews and recommends zoning applications, changes to zoning
ordinances and recommends possible future economic development for the City. The Park board meets
monthly to review park and recreation programs use and recommends future programs and development
for parks.
There are also several internal committees comprised of department heads and employees to assist in the
management of City operations. These include the Labor Management committee, Employee Management
committee, Insurance committee, Safety committee, Wellness Committee and Police Review committee.
MISSION, VISION AND GOALS
Long-range goals for the City are:
o Continually enhance partnerships with citizens.
o Inspire citizen leadership.
o Educate and involve residents.
o Communicate openly and effectively.
o Be responsive.
o Be fiscally responsible.
o Provide quality customer service that is:
Responsive to the needs of the community.
Innovative.
Accessible.
Short-term goals are reviewed annually by City Council and staff. The discussion begins with the global
environment and ends with prioritizing goals for the near future. Below are the mission, vision and short-
term goals for the City along with the strategies and action steps needed to implement them. The budget is
developed using the three main goals along with the strategies as guidance. Departments then use the
action steps in setting individual departmental goals and budgets so that resources are available to achieve
the action steps identified.
13
Inspire. Educate. Involve. Communicate.
All people feel safe and
respected, and diversity
is celebrated.
Business growth is
supported and a
vibrant downtown is
maintained.
People enjoy exceptional
government services,
neighborhoods and
outstanding schools.
Support a vibrant business
community
Promote and enhance city
events
Provide accessible, friendly
and efficient city services
Embrace and strengthen
partnerships
Improve walking and biking
infrastructure in the city
Practice environmental
responsibility
Support a range of housing
options
Support transit-oriented
development
Involve diverse
populations
Engage the rental
community of
Hopkins
Inspire community
and citizen
engagement
Take It
To Them
Urban Design:
Do It Right
Preserve the Home
Town Feel of Hopkins
Creating a spirit of community where...
MISSION
City of
STRATEGIES2018
VISION
GOALS
GOAL SETTING 201814
»Implement the sidewalk and
trail master plan and partner
with other agencies to improve
and update paths, trails and
crossings in the community,
supporting “Complete Streets”
initiatives
»Explore local transportation
opportunities
»Develop a schedule for rezoning
properties to the mixed-use
zoning classification and begin
implementation
»Partner with Hennepin County
and SWLRT cities to maximize
benefit and minimize disruption
during construction
»Work with Minnetonka and
Hennepin County to implement
the vision for the Shady Oak
LRT Station
»Work with all stakeholders
to implement and build on
recommendations of the Blake
Road Corridor plans
»Continue to explore and
promote sustainability initiatives
in our community
»Refine Mainstreet design and
façade improvement program,
and secure ongoing funding
»Explore ways to strengthen the
edges of downtown
»Ensure the Comprehensive Plan
reflects action steps
»Explore ways to enhance the
Mainstreet experience
»Strengthen image of arts
community
»Promote shopping local
»Promote business assistance
programs
»Develop wayfinding plan for
community
»Work with “Think Hopkins”
on business recruitment
efforts
»Promote city events large
and small (Raspberry
Festival, Mainstreet Days,
Old Fashioned Holiday,
Summerfest, etc.) and have
a city booth at events when
possible
»Improve service delivery
through e-commerce
»Promote interactive park,
trails, and facilities directory
on website
»Support History Center
transition to Mainstreet
»Grow partnerships with:
»Joint Recreation with
Minnetonka
»Hennepin County
»Hopkins School District
»Watershed Districts
»Met Council
»Three Rivers Park District
»Surrounding cities
»Faith and community-based
organizations
»Business community
»Promote cultural
celebrations
»Explore methods to
involve Multicultural
Advisory Committee in
community building
»Continue to seek out
diversity on boards and
commissions
»Intentionally engage rental
communities
»Encourage volunteerism
and expand volunteer
opportunities
»Conduct community
meetings at alternative
locations
»Educate the community
in the area of emergency
preparedness
»Identify opportunities
to partner with youth,
schools, businesses and
faith-based organizations
»Promote opportunities
to raise awareness and
understanding of race,
equity and diversity
»Creatively engage and
market the community
using technology and
unique platforms
GOAL SETTING 2018
GOALS: ACTION STEPS
Preserve the Home
Town Feel of Hopkins
Urban Design:
Do It Right
Take It
To Them
15
CITY OF HOPKINS
FINANCIAL MANAGEMENT AND POLICIES
The City of Hopkins Finance Department is responsible for maintaining the accounting system and
monitoring compliance with the budgetary controls and financial policies established by the City Manager
and City Council. Following is an overview of relevant financial management practices, policies and year-
end reporting.
BASIS OF ACCOUNTING
The accounting system provides for a complete, self-balancing account group for each fund of the City.
Accounting records are maintained on the modified accrual basis for City funds. The exception is the
proprietary funds, which are on full accrual. The modified accrual basis of accounting recognizes revenues
to the degree that they are available to finance expenditures of the fiscal period. Similarly, debt service
payments and a number of specific accrued liabilities are only recognized as expenditures when payment
is due because it is only at that time that they normally are liquidated with expendable available financial
resources. The budgetary basis of accounting is the same basis of accounting used to prepare the City’s
financial statements as included in the City’s Comprehensive Annual Financial Report at the fund statement
level.
COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR)
The City implemented Governmental Accounting Standards Board (GASB) Statement No. 34 for the year
ending December 31, 2003. The statement also requires the City to utilize the economic resources
measurement focus as well as the accrual basis of accounting.
The City operates on a calendar fiscal year and reports its year-end financial position in a Comprehensive
Annual Financial Report (CAFR), prepared by the City’s Finance staff. Copies of the 2017 CAFR will be
available to the public upon completion in May 2018 and a summary of the results will be published in the
official newspaper.
The 2017 CAFR will be audited by the independent auditing firm of CliftonLarsonAllen, LLP to insure
accuracy and compliance with federal and state laws and regulations. State law provides that the City may
arrange for an examination of its books, records, accounts and affairs, or any part thereof, by the State
Auditor or by Certified Public Accountants. It has been a long-standing policy of the City to provide for a
complete annual audit of the City records by independent Certified Public Accountants.
The Government Finance Officers Association of the United States and Canada (GFOA) awarded a
Certificate of Achievement of Excellence in Financial Reporting to the City of Hopkins for its CAFR for the
fiscal year ended December 31, 2016. The Certificate of Achievement is a prestigious national award
recognizing conformance with the highest standards for preparation of state and local government financial
reports.
CAPITAL IMPROVEMENT PROGRAM (CIP) POLICY
The City annually develops a 5-year plan for capital improvements and updates it annually. The five-year
budget capital improvement will be approved and incorporated into the operating budgets. The following
year’s budget will be adopted with the year after that on a cycle consistent with the operating budgets. The
complete CIP document can be downloaded from the city’s website at www.hopkinsmn.com and is a
companion document to the Annual Budget.
The City will identify the estimated cost and potential funding sources for each capital project proposal
before it is submitted to the Council for approval and that process will determine the most cost effective
financing method for the proposed project. The City will make all capital improvements in accordance with
the adopted capital improvement program or as amended by the City Council. Capital purchases not
otherwise funded through an approved budget shall require City Council approval. The City will maintain
all its assets at a level adequate to protect the City’s and its citizen’s capital investment and to minimize
future maintenance and replacement costs.
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CITY OF HOPKINS
EQUIPMENT REPLACEMENT PLAN (ERP) POLICY
The City annually develops a 5-year plan for equipment replacement and updates it annually. The five-
year budget equipment replacement plan will be approved and incorporated into the operating budgets.
The following year’s budget will be adopted with the year after that on a cycle consistent with the operating
budgets. The complete ERP document can be downloaded from the city’s website at www.hopkinsmn.com
and is a companion document to the Annual Budget.
The City will identify the estimated cost and potential funding sources for each equipment proposal before
it is submitted to the Council for approval and that process will determine the most cost effective financing
method for the proposed equipment purchase. New pieces of equipment not previously in the equipment
replacement plan must first be financed through the departmental budget and will be placed in the
equipment replacement plan the year following the purchase. The City will make all equipment purchases
in accordance with the adopted equipment replacement plan or as amended by the City Council.
Equipment purchases not otherwise funded through an approved budget shall require City Council
approval.
The City will maintain all its equipment assets at a level adequate to protect the City’s and its citizen’s
capital investment and to minimize future maintenance and replacement costs.
BUDGETARY AND FINANCIAL CONTROL POLICIES
• The council shall have full authority over the financial affairs of the City.
• City manager shall control and direct the administration of the City's affairs.
• The manager shall prepare the budget annually and submit it to the council and be responsible for
its administration after adoption.
• The manager will prepare and submit to the council at the end of the fiscal year a complete report
on the finances and administrative activities of the City for the preceding year; and keep the council
advised of the financial condition and future needs of the City.
• The annual budget shall provide a complete financial plan for the budget year by fund.
• The council shall levy the taxes necessary to meet the requirements of the budget for the ensuing
fiscal year.
• The city clerk shall be the chief purchasing agent of the City.
• The City will maintain an investment policy that invests available funds to the maximum extent
possible, at the highest rates obtainable at the time of investment, in conformance with the legal
and administrative guidelines. Any money in any fund belonging to the City, or any branch thereof,
may be invested by the city manager according to policies adopted by the City Council.
• The finance director shall be the chief accounting officer of the City and shall submit to the council
a statement each month containing information relative to the finances of the City as the council
may require. Each year the finance director shall submit a report to the council, no later than June
30, covering the entire financial operations of the City for the past year. This report shall follow the
style and form, as far as practicable, prescribed for annual City financial reports and copies will be
made available to interested parties.
BUDGET CONTROLS
Budgets are complete financial plans for the future by fund, showing all proposed expenditures and
estimates of all anticipated revenues. The council may include or exclude at its discretion any fund, except
the general fund. The budget shall be submitted to the council at a regular council meeting, in a manner
prescribed by state statute, not less than 30 days prior to final approval. The budget is a public record open
to public inspection. The council shall hold a public hearing on the budget and it shall make such changes
therein as it deems necessary and adopt the budget by resolution.
BALANCED BUDGET – It has been City policy to annually approve a balanced General Fund budget. A
balanced budget is a budget in which expenditures are equal to income. Other City funds may or may not
have a balanced budget depending on when funding is received for specific expenditure needs. For
example a grant may be budgeted for expenditures that may overlap years. Thus all revenues would be in
one year and the expenditures would be in multiple years.
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CITY OF HOPKINS
BUDGET BASIS – Governmental budgets are prepared on the modified accrual basis and enterprise
budgeted on an accrual basis. Budgets are estimates and may be amended under the following guidelines.
PREPARATION OF THE ANNUAL BUDGET – The annual budget shall provide a complete financial plan
for the budget year by fund, showing all proposed expenditures and estimates of all anticipated revenues
applicable to proposed expenditures and any other information the council may require or the city manager
might deem desirable. In parallel columns shall be shown the amounts, if any, granted and expended under
similar heads for the past two complete fiscal years and, as current as possible, for the immediate past
fiscal year. The council may include or exclude at its discretion any fund, except the general fund. The
budget shall be submitted to the council at a regular council meeting, in a manner prescribed by state
statute, not less than 30 days prior to final approval. It shall be a public record open to public inspection by
anyone and the city manager shall cause sufficient copies thereof to be prepared for distribution to the
mayor, members of the council and interested persons.
ADOPTION OF THE BUDGET – The council shall hold a public hearing on the budget and it shall make
such changes therein as it deems necessary and adopt the budget by Resolution.
ENFORCEMENT OF THE BUDGET – Except as set forth in Section 7.16, the city manager or the City
Council shall not approve any expenditure uncovered by the budget. The City Council may approve
expenditures uncovered by the budget if there is sufficient unexpended balance left after deducting the total
past expenditures and the sum of all outstanding bills, orders and encumbrances. No employee of the City
shall place any orders or make any purchases except for the purpose and to the amounts authorized in the
budget. Except as in this Charter otherwise provided, any obligations incurred by any person in the employ
of the City for any purpose not authorized in the budget or for any amount in excess of the amount therein
authorized shall be a personal obligation upon the person incurring the expenditure.
ALTERATIONS IN THE BUDGET – Except as set forth in Section 7.16, after the budget shall have been
duly adopted, the council shall not have power to increase the amounts therein fixed, whether by the
insertion of new items or otherwise, beyond the estimated revenues, unless the actual receipts shall exceed
such estimates, and in that event not beyond such actual receipts. The sums fixed in the budget are
appropriated at the beginning of the fiscal year for the several purposes named therein. The council may
reduce salaries or the sums appropriated for any other purpose, or authorize the transfer of sums from
unexpended balances to other purposes.
Budgets are adopted by fund and are appropriated for several purposes. The council may reduce
appropriations within any fund and re-appropriate those funds within the same fund for other purposes.
The council may also increase appropriations if actual receipts exceed budgeted revenues. The increase
in appropriations cannot exceed the excess in budgeted revenues. The budget, as presented in this
document, is developed for each program within a department. For example, the Finance department is
made up of several programs including Benefit Administration, Payroll, Utility Billing, etc.… For
management purposes, the sum of the program expenditures may not exceed the total budget for the
specific department. For legal purposes, the general fund total expenditures cannot exceed the total
general fund appropriation. The council must budget for the general fund but budgets for all other funds
are at their discretion.
Budgets are adopted on a basis consistent with generally accepted accounting principles and are defined
on the same basis of accounting described below. Annually appropriated budgets are legally adopted for
the general fund. Budgeted amounts are reported as originally adopted, or as amended by the City Council.
Budgeted expenditure appropriations lapse at year-end. Unexpended or supplementary appropriations can
be carried forward if approved by the City Council. Encumbrances represent purchase commitments.
Encumbrances outstanding at year-end are reported as reservations of fund balances and the budgets
associated with them are carried forward to the next year.
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CITY OF HOPKINS
The City follows the procedures below in establishing the budget.
1. The city manager and finance director submits to the City Council a proposed operating budget for
the fiscal year commencing the following January 1.
a. The operating budget includes proposed expenditures and the estimated revenues for the general
fund, specified special revenue funds requested by City Council, enterprise funds, internal service
funds and debt service funds.
b. Capital project funds for the City are not budgeted annually but are included in the Capital
Improvement Plan approved by the City Council. Capital projects are approved by the City
Council on a per project basis.
2. Public hearings are conducted to obtain taxpayer comments.
3. The general fund budget is enacted through passage of a resolution.
BUDGET CALENDAR
INTERNAL CONTROLS
In developing and altering the City’s accounting system, consideration is given to the adequacy of internal
accounting controls. These controls are designed to provide reasonable, but not absolute, assurance
regarding the safeguarding of assets against loss from unauthorized use of disposition and the reliability of
financial records for preparing financial statements and maintaining accountability for assets. the concept
of reasonable assurance recognizes the cost of a control should not exceed the benefits likely to be derived,
and the evaluation of costs and the benefits requires estimates and judgments by management. All internal
control evaluations occur within the above framework. We believe the City’s internal accounting controls
adequately safeguard assets and provide reasonable assurance of proper recording of financial
transactions.
CASH MANAGEMENT
The investment portfolio of the City is designed to attain an average rate of return regularly exceeding the
average return on three month US Treasury Bills, while seeking to augment returns above this threshold
consistent with budgetary cycles, economic conditions, risk limitations, and prudent investment principles.
Portfolio diversification is considered so that investments are not concentrated in one institution, in one type
of investment, or purchased from one dealer. Pursuant to this policy, cash temporarily idle during the year
was invested in those investments authorized by law
RISK MANAGEMENT
The City has an informal risk management policy, the purpose of which is to maintain the integrity and
financial stability of the City, protect its employees from injury, and reduce overall costs of operations. The
City has insurance coverage through the League of Minnesota Cities Insurance Trust (LMCIT) to ensure
City property, contractors and miscellaneous equipment, crime, employee performance bonds, autos and
general liability. General liability coverage amounts to $1,000,000 per occurrence (and aggregate), with a
$20,000 per occurrence, $40,000 aggregate deductible.
April-May Meet with Council to set parameters and goals for 2018 budget process
June (1st week) Distribute budget worksheets to departments
June (3rd week) Departmental budgets to be completed and returned to finance
June (4th week) Finance reviews and compiles budget summary
July (1st week) City Manager & Finance to meet with departments to review budgets
July - August Council work sessions to review budgets
September 19 City Council adopts preliminary levy and budget
September 20 Proposed 2018 budget and levy certified to Hennepin County
September/October Special Revenue & Enterprise budgets presented to Council for review and approval
December 5 Budget public hearing and final budget approval and tax levy certification
December 6 Final 2018 levy certification to Hennepin County
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CITY OF HOPKINS
DEBT
• The City will confine long-term borrowing to capital improvements, equipment or projects that have
a life of more than 5 years and cannot be financed from current revenues.
• The City may issue debt for its Permanent Revolving fund, which pays for any improvement in
which part of the cost of the improvement is to be assessed against the benefiting properties.
• The City may also issue revenue bonds that are paid back directly from revenue sources other than
debt levies.
• The City may submit to voters the proposition of issuing debt for any public purpose not prohibited
by law, and issue the debt upon a favorable majority vote.
• Whenever possible, the City will use revenue (including G.O. backed revenue) or other self-
supporting type bonds instead of general obligation bonds.
• The City will maintain frequent and regular communication with bond rating agencies about its
financial condition and will follow a policy of full disclosure in every financial report and bond
prospectus. The City will comply with Securities Exchange Commission (SEC) reporting.
• The City will keep the total maturity length of general obligation bonds below 25 years. In all cases
the maturity shall be shorter than the life of the related assets.
• Net general obligation debt (as defined above) will not exceed 3% of the estimated full market value
of taxable property in the City as required by Minnesota Statutes Section 475.53.
• The City may issue emergency bonds to pay for extraordinary expenditures or to cover a shortfall
in revenues for budgeted expenditures. Emergency bonds must mature within ten years of
issuance. One tenth of the amount is to be levied the first year following issuance and one tenth
every year thereafter for ten years.
FUND BALANCE
• The City believes that sound financial management principles require that sufficient funds be
retained by the City to provide a stable financial base at all times. To retain this stable financial
base, the City needs to maintain a General Fund Balance sufficient to fund all cash flows of the
City, to provide financial reserves for unanticipated expenditures and/or revenue shortfalls of an
emergency nature, and to provide funds for all existing encumbrances.
• The following individual items shall constitute the City General Fund Balance:
o Restricted Fund Balance – The restricted fund balance category includes the portion of the
spendable fund balance that reflects constraints on spending because of legal restrictions
stipulated by outside parties (e.g., encumbrances for goods or services with outside
parties-creditors, grantors outstanding at the end of the year), Also, any legal restrictions
based on state statutes or grant requirements placed on the use for specific purposes
o Committed Fund Balance – The committed fund balance classification includes the portion
of the spendable fund balance that reflects constraints that the city has imposed upon itself
by a formal action of the city council (for example, an ordinance or resolution passed by a
city council). This constraint must be imposed prior to yearend but the amount can be
determined at a later date.
o Assigned Fund Balance – The assigned fund balance is the portion of the spendable fund
balance that reflects funds intended to be used by the government for specific purposes
assigned by more informal operational plans. In governmental funds other than the general
fund (special revenue funds, capital project funds, debt service funds and permanent
funds); assigned fund balance represents the amount that is not restricted or limited. The
authority to “assign” fund balance is delegated to the City Finance Director
o Unassigned – This is the residual classification for the government’s General Fund and
includes all spendable amounts not contained in the other classifications and, therefore,
not subject to any constraints. Unassigned amounts are available for any purpose. These
are the current resources available for which there are no government self-imposed
limitations or set spending plan. Although there is generally no set spending plan for the
unassigned portion, there is a need to maintain a certain funding level. Unassigned fund
balance is commonly used for emergency expenditures not previously considered. In
addition, the resources classified as unassigned can be used to cover expenditures for
revenues not yet received.
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CITY OF HOPKINS
• The Council recognizes that any such funds should be appropriated for non-recurring expenditures as they represent prior year surpluses that may or may not materialize in subsequent fiscal years
• POLICY - At the end of each fiscal year, the City will strive to maintain Spendable – Unassigned
portions of the fund balance for Cash Flow equivalent to a minimum of five (5) months or 42% of
the prior fiscal year General Fund operating expenditures. In addition to cash flow needs this
accommodates emergency contingency concerns.
• MONITORING AND REPORTING - The City Manager and Finance Director shall annually prepare
the status of fund balances in relation to this policy and present to the City Council in conjunction
with the development of the annual budget.
• When both restricted and unrestricted resources are available for use, it is the City’s policy to first
use restricted resources, and then use unrestricted resources as they are needed.
• When committed, assigned or unassigned resources are available for use, it is the City’s policy to
use resources in the following order; 1.) committed 2.) assigned and 3.) unassigned.
• A negative residual amount may not be reported for restricted, committed, or assigned fund
balances in the General fund.
BUDGET PLANNING PROCESS
The City has developed a number of elements that when been brought together help to provide the best
information for the Council to make their budget decisions. These elements include the following:
• Strategic Planning Process – The Council has a mission and vision statement, which helps determine
the priorities of the community and direct the council in providing services for its constituency. As part
of the process annual goals and objectives are set. Department Directors then use these goals in
developing departmental goals and setting departmental budgets.
• Program Budgeting – This provides more information in regards to what programs departments provide
and what is the individual cost of those programs. This accomplishes the objective of reviewing revenues
and expenditures based on program activity. For programs whose goal is to be supported totally by
revenues it allows departmental managers to review the fee structure on an annual basis to ensure that
goal is met. It also allows the public to determine what portion of a specific department is supported by
taxes.
• Four Year Budget Modeling – Encourages future planning for the General Fund budget and allows us
a preview at projected property tax levy needs over the next four years. Monitoring tax capacity along
with budget needs provides advance notice to management when taxes may rise faster than advisable
and allows staff to take appropriate action in revising budget goals and projections.
• Cash Flow Models – Cash flow projections are created for all funds to provide us with a view of future
sources and uses within the various funds and for the City as a whole. This assists in long range planning
and goal setting in keeping all funds in a positive cash position.
• Financial Management Plan – In 2014 the City adopted a long-range Financial Management Plan for
the years 2015-2024 that addresses financing challenges for several funds, sets forth financing for all
items identified in the Capital Improvement Plan (CIP) and Equipment Replacement Plan (ERP)
(described below), and provides for adequate funding for operational needs in the general, special
revenue funds and enterprise funds. Tax base growth is built into the plan so the taxes are indexed
each year based on that growth. This plan when followed should make the annual budget much easier
to develop.
The Financial Management Plan will be updated each year prior to the budget process and used as a
guide in preparing the annual budget. This document is key in managing increases in the General Fund,
restoring the Art Center Fund to sound financial footing and providing adequate resources for the
Pavilion Ice Arena that will need significant capital improvements in 2018. The Financial Management
Plan was developed by staff with assistance from the City’s Financial Advisor who will assist staff in
annual updates to the plan to ensure the goals of the City continue to be met.
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CITY OF HOPKINS
• Net Property Tax Cost Median Value Home – This provides information to the council incorporating
expected increases in valuation and projecting actual costs on the Median Value Home. The council
when setting the tax levy is sensitive to its impact on property owners and this benchmark provides
information on how the recommended levy will impact city taxpayers. If the council feels the proposed
levy will negatively impact property owners options for reducing the levy are explored. These may
include revenues alternatives or expenditure decreases or a combination of both.
• Net Tax Cost by Program – This provides both a dollar and percentage of property tax support for each
of the City’s general fund programs and demonstrates which city programs are most dependent on
taxes. It also provides information to the public on what benefits they receive for their tax dollars.
• Capital Improvement Plan – The Capital Improvement Plan (CIP) is a five-year schedule or plan
for capital improvement expenditures in excess of $10,000 and having a useful life of five or more
years. The Capital Improvement Plan process begins with departments editing and updating
existing plans from previous years and adding or deleting projects. Once this is completed, finance
does an analysis of funding requirements and any related prioritization is done by the city manager.
The analysis includes a review of projected working capital amounts available for the projects, any
operating cost adjustments as a result of the improvement and the impact of future funding needs
is determined. The mayor and council then use the compiled information in the CIP along with the
results of public discussion, to determine which projects are to proceed and exactly how they will
be funded. Once the CIP is approved the projects for the following year are placed in the
appropriate budget.
• Equipment Replacement Plan –The Equipment Replacement Plan (ERP) is a twenty-year
forecast and a five-year plan of equipment needs within the City. In is intended to inform the Council
and citizens of the major equipment needs on the horizon. The first year of the plan becomes an
adopted equipment budget and relates to the operating budget of the equipment replacement fund,
which is approved on an annual basis. The remaining nineteen years represent an estimate of
equipment needs and funding capabilities of the City. Funding requirements vary from year to year.
In order to maintain a fairly consistent levy each year, the twenty-year schedule is projected with a
3% inflation factor for operating expenses and a yearly average dollar capital expenditure of
$992,400. Revenues for the ERP are derived from charges to the departments that use the
equipment and are based on the equipment needs of the various departments over the twenty-year
period.
FUND STRUCTURE
The accounting system maintains a standard fund structure for a typical Minnesota city government.
Following is a description of the funds included that are subject to appropriation, for which financial plans
and budget appropriations are prepared annually. These funds are the General, Special Revenue, Debt
Service, Capital Projects and Enterprise.
General Fund
The General Fund accounts for all financial transactions not properly accounted for in any other fund,
including most of the basic governmental services. The expenditures from the General Fund account for
the majority of primary services provided by the City in the areas of public safety, parks and public works,
recreation, planning, engineering and general government.
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CITY OF HOPKINS
Special Revenue Funds
This type of fund accounts for services and expenditures where revenue is restricted for a designated
purpose. The City maintains fifteen Special Revenue Funds. There are thirteen budgeted Special Revenue
Funds.
• Chemical Assessment Team Fund – grant funds received from the state restricted for the
operation of the Chemical Assessment Team.
• Economic Development Fund – revenue sources include interest on loans, taxes, development
fees that are used for expenditures relating to housing and redevelopment projects throughout
the city.
• Tax Increment Funds (6) – tax increment revenues for housing and economic redevelopment
projects throughout the city.
• Parking Fund – parking permits and parking violation fees help support the maintenance of the
city’s current parking lots and ramps.
• Communication Fund – franchise fee for cable TV supports cable and communications efforts
of the city.
• Depot Coffee House Fund – grants, leases and concession revenues support a local chemical
free teen center and coffee house.
• Art Center Fund – leases, state aids, contributions and program sales support the Hopkins
Center for the Arts, which is a community-based center with theater and art at its base.
Some of the Special Revenue Funds do not require an annual financial plan because of the nature of the
type of revenue and expenditure. Expenditures are authorized on an individual basis.
• Hennepin County CDBG Fund – block grant funds used for housing and infrastructure
improvements
Debt Service Funds
Debt service funds account for the accumulation of resources for the payment of general long-term debt
principal, interest, and related costs. The City maintains 20 individual debt service funds for the various
bond issues. The City has established annual financial plans for all 20 general obligation bond funds, which
are shown in total as the GO Debt Service Funds.
Capital Project Funds
Capital project funds account for the acquisition and construction of major capital facilities and equipment
(except those financed by proprietary funds). This includes expenditures relating to capital projects and
large capital outlay purchases. The City has five budgeted funds in this category:
• Park Improvement Fund – development and improvement of City parks. Revenue is primarily
from park development fees paid by developers.
• State Aid Construction Fund – revenue from state aid to assist with maintenance and
construction of state aid streets throughout the city.
• Capital Improvement Fund – transfers from other funds to cover future improvements or
maintenance of city facilities and infrastructure.
• Permanent Improvement Revolving Fund – bonds issued to fund reconstruction and
maintenance of residential streets throughout the city.
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CITY OF HOPKINS
Enterprise Funds
Enterprise funds account for our business-type activities. These activities provide services where most of
the costs are recovered through user fees and charges. The City has five Enterprise funds.
• Water Utility Fund – water utility fees based on water usage, which covers the expense of
distributing water and maintaining the water system infrastructure.
• Sewer Utility Fund – sewer utility fees based on water usage, which covers the expense of
disposing of sewer products and maintaining the sewer system infrastructure.
• Refuse Utility Fund – refuse fee based on size of refuse container, which covers the expense
of disposing of refuse products.
• Storm Sewer Utility Fund – storm sewer utility fee based on non-permeable surface of property
for commercial or a fixed rate for residential properties, which covers the expense of
maintaining the storm sewer infrastructure throughout the city.
• Pavilion/Ice Arena Fund – rental fees for ice or space, which covers the operating costs of
running the facility.
Internal Service Funds
Internal Service Funds are used to account for the financing of goods and services provided by one
department to other departments of the City on a cost reimbursement basis. The City has three Internal
Service Funds and no budgets are prepared for these funds.
• Equipment Replacement – revenues derived from leases of large equipment to all
departments. Revenues are used to cover the cost of replacing equipment in the future. Lease
payments are budgeted in the individual funds and transferred to the Equipment Replacement
Fund monthly.
• Employee Benefits – to account for compensated absences of non-enterprise employees
• Insurance Risk – accounts for the dividends received from the insurance company for low
insurance claims and costs, which is used to cover the deductible for any losses.
Major Funds
For 2018 the City identifies the following funds as major funds which are described above. All major funds
are budgeted.
• General Fund
• Economic Development Special Revenue Fund
• Arts Center Special Revenue Fund
• Permanent Improvement Capital Projects Fund
• G.O. Housing Improvement Refunding Bonds of 2009B Debt Service Fund
• Water Utility Enterprise Fund
• Sewer Utility Enterprise Fund
• Storm Sewer Utility Enterprise Fund
Public art in the downtown area
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CITY OF HOPKINS
City Personnel by Function
Employees volunteering at the annual
Thanksgiving luncheon for seniors at the
City’s Activity Center.
Mayor Molly Cummings being sworn in as
the new mayor for 2016-2018.
General Public Community Community
Operating Fund Government Finance Police Fire Works Development Services Recreation
General Fund
Administration X X X
Finance X
Community Services X
Building Maintenance X X X X
Inspections X
Police X
Fire X
Public Works X
Recreation X
Activity Center X
Planning & Zoning X
Community Development X
Special Revenue Funds
Economic Development X
Parking X X
Communication X
Depot Coffee House X
Art Center X
Enterprise Funds
Water X
Sewer X
Refuse X
Storm Sewer X
Pavilion X
Housing & Redevelopment X
Administration of Fund
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CITY OF HOPKINS
Authorized and Actual Staffing Levels
Full-Time and Regular Part-Time Positions
1 FTE = an employee who works 40 hours a week
In 2017 the 1.45 position difference between authorized and actual staffing is due to staff vacancies. Due
to a significant number of retirements the City has taken the opportunity to review staffing and make
operational changes before moving forward with any new hires.
The increase in authorized staffing from 2017 to 2018 of 0.75 is due to adding a full-time fire marshal in
place of a part-time fire marshal. Other minor changes included shifting responsibilities of various personnel
between departments which resulted in staffing count changes in those departments.
2015 2016 2017 2017 2018
Authorized Actual Authorized
Administrative Services 5.00 5.05 5.50 5.05 5.50
Finance 4.60 4.00 5.00 5.00 5.00
Municipal Building 1.45 1.45 1.45 1.45 1.45
Community Services 9.68 8.65 7.20 7.20 7.20
Police 35.50 36.78 38.45 36.45 38.45
Fire 1.25 3.25 3.25 3.25 4.00
Public Works 17.09 17.58 18.09 19.09 18.09
Skate Park 0.05 0.05 0.05 0.05 0.05
Activity Center 3.20 3.25 3.20 3.20 3.20
Zoning & Planning 1.35 1.35 1.35 1.35 1.35
Community Development 0.85 1.50 0.85 0.85 0.85
General Fund Total 80.02 82.91 84.39 82.94 85.14
Economic Development 1.60 1.25 1.60 1.60 1.60
Parking 0.72 0.72 0.72 0.72 0.72
Communications 0.25 0.75 1.25 1.25 1.25
Depot Coffee House 5.25 5.25 5.25 5.25 5.25
Art Center 4.30 4.30 4.30 4.30 4.30
Special Revenue Fund Total 12.12 12.27 13.12 13.12 13.12
Water 3.43 2.60 3.43 3.43 3.43
Sanitary Sewer 3.76 3.40 3.76 3.76 3.76
Refuse 3.89 4.09 4.09 4.09 4.09
Storm Sewer 0.63 0.43 0.63 0.63 0.63
Pavilion/Ice Arena 2.90 2.90 2.90 2.90 2.90
Housing & Redevelopment 2.20 2.40 2.40 2.40 2.40
Total Proprietary Funds 16.81 15.82 17.21 17.21 17.21
Total All Funds 108.95 111.00 114.72 113.27 115.47
Authorized
& Actual
Authorized
& Actual
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CITY OF HOPKINS
Operating Fund Crosswalk
This matrix shows the relationship between functional units and funds.
Function
General Government X X X X X X X X
Public Safety X
Health and Welfare X
Highways and Streets X
Urban Redevelopment and
Housing X X
Culture and Recreation X X
Capital Outlay X X X X X
Debt Service X X X X
Water X
Sewer X
Storm Sewer X
Storm
Sewer
Utility
General
Fund
Water
Utility
Sewer
Utility
Tax Increment
District -
Entertainment
District
Taxable
Houing
Bonds of
2009B
Capital
Project
Permanent
Improvement
Revolving
Economic
Dev
Arts
Center
Major Funds
Debt
Service EnterpriseSpecial Revenue
Special Capital Debt
Function Revenue Projects Service Enterprise
General Government X X X X
Public Safety X
Health and Welfare X
Highways and Streets X
Urban Redevelopment and Housing X
Culture and Recreation X
Capital Outlay X X
Debt Service X
Refuse X
Non-Major Funds
Hopkins Citizen’s Academy participants engage in Police, Planning and Economic Development, and fire exercises. The Citizens Academy, a
five week program held annually in March allows citizens to get a better understanding of how their City government works. The Academy covers
the topics of, Our Government, Police, Fire, Public Works and Planning & Economic Development. The program has been well received by the
community with over 25 participants each year.
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CITY OF HOPKINS
Summary Budget Information – Major Funds and Non-Major Funds by Fund Type
2016 2017 2017 2018 Budget
Actual Actual Budget Budget Difference %age
REVENUES
General Fund 12,295,267$ 13,000,907$ 12,835,312$ 13,435,355$ 600,043$ 4.67%
Special Revenue Funds
Economic Development Fund 673,454$ 665,539$ 381,200$ 402,037$ 20,837$ 5.47%
Arts Center 1,128,656$ 908,733$ 935,734$ 975,626$ 39,892$ 4.26%
Non-major Special Revenue Funds 4,329,829$ 3,111,316$ 3,425,849$ 3,415,700$ (10,149)$ -0.30%
Capital Project Funds
Permanent Improvement Fund 5,701,023$ 1,641,537$ 3,603,842$ 9,957,475$ 6,353,633$ 176.30%
Non-major Capital Project Funds 2,522,008$ 1,997,696$ 2,971,893$ 896,120$ (2,075,773)$ -69.85%
Debt Funds
G.O. TI Bonds of 2015D 7,306,087$ 496,000$ 496,000$ 504,000$ 8,000$ 1.61%
G.O. TI Bonds of 2016D 3,741,660$ 3,608,403$ 3,608,403$ 290,000$ (3,318,403)$ -91.96%
Non-major Debt Service Funds 12,941,363$ 17,262,779$ 1,508,309$ 5,666,147$ 4,157,838$ 275.66%
Enterprise Funds
Water Utility Enterprise Fund 1,526,440$ 1,832,277$ 2,209,405$ 2,147,086$ (62,319)$ -2.82%
Sewer Utility Enterprise Fund 2,159,368$ 2,688,450$ 2,932,504$ 3,088,299$ 155,795$ 5.31%
Storm Sewer Enterprise Fund 885,483$ 844,839$ 810,200$ 810,200$ -$ 0.00%
Non-major Enterprise Funds 1,430,853$ 1,484,318$ 1,411,500$ 1,455,500$ 44,000$ 3.12%
EXPENDITURES
General Fund 12,193,140$ 12,995,235$ 12,835,312$ 13,435,355$ 600,043$ 4.67%
Special Revenue Funds
Economic Development Fund 704,721$ 560,103$ 210,447$ 245,700$ 35,253$ 16.75%
Arts Center 923,926$ 1,088,897$ 1,234,505$ 992,908$ (241,597)$ -19.57%
Non-major Special Revenue Funds 2,645,819$ 1,399,200$ 2,737,544$ 2,610,256$ (127,288)$ -4.65%
Capital Project Funds
Permanent Improvement Fund 7,921,516$ 2,630,973$ 3,898,728$ 9,479,100$ 5,580,372$ 143.13%
Non-major Capital Project Funds 1,446,959$ 2,992,500$ 1,653,847$ 1,635,500$ (18,347)$ -1.11%
Debt Funds
G.O. TI Bonds of 2015D 742,570$ 497,097$ 497,097$ 504,113$ 7,016$ 1.41%
G.O. TI Bonds of 2016D 63,129$ 3,751,610$ 3,751,610$ 289,150$ (3,462,460)$ -92.29%
Non-major Debt Service Funds 20,331,042$ 20,412,762$ 4,079,577$ 5,056,348$ 976,771$ 23.94%
Enterprise Funds
Water Utility Enterprise Fund 2,003,003$ 1,789,503$ 1,890,915$ 1,980,810$ 89,895$ 4.75%
Sewer Utility Enterprise Fund 2,432,556$ 2,281,378$ 2,670,897$ 2,746,202$ 75,305$ 2.82%
Storm Sewer Enterprise Fund 608,470$ 446,735$ 497,049$ 526,942$ 29,893$ 6.01%
Non-major Enterprise Funds 1,389,452$ 1,367,431$ 1,409,693$ 1,463,927$ 54,234$ 3.85%
Major Funds are in bold type
28
CITY OF HOPKINS
Summary of Budgeted Funds
2016 2017 2017 2018 Budget
Actual Actual Budget Budget Difference % age
REVENUES
Property Taxes 9,544,396$ 10,083,560$ 10,366,866$ 10,832,657$ 465,791$ 4.49%
Intergovernmental 1,061,205 1,078,945 1,028,426 1,173,933 145,507 14.15%
Licenses, Permits & Fines 900,057 1,007,348 700,825 785,465 84,640 12.08%
Charges for Services 406,998 323,654 215,650 222,850 7,200 3.34%
Miscellaneous 76,276 197,671 233,545 130,450 (103,095) -44.14%
Franchise Fees 306,335 309,729 290,000 290,000 -
12,295,267$ 13,000,907$ 12,835,312$ 13,435,355$ 600,043$ 4.67%
APPROPRIATIONS
Council 90,417$ 87,385$ 82,898$ 103,559$ 20,661$ 24.92%
Administrative Services 560,494 661,048 629,648 682,183 52,535 8.34%
Finance 324,222 373,600 282,658 284,178 1,520 0.54%
Legal 196,904 247,785 150,000 150,000 -
Municipal Building 367,667 393,089 346,732 383,229 36,497 10.53%
Community Services 1,131,565 1,061,787 1,146,560 1,107,918 (38,642) -3.37%
Police 4,739,512 5,218,315 5,095,102 5,103,226 8,124 0.16%
Fire 1,174,801 1,055,895 1,176,532 1,239,858 63,326 5.38%
Public Works 2,635,037 2,941,661 2,800,935 2,912,055 111,120 3.97%
Recreation 569,136 656,129 667,778 682,307 14,529 2.18%
Planning 161,331 201,578 246,877 196,774 (50,103) -20.29%
Community Development 90,541 95,856 124,820 126,868 2,048 1.64%
Unallocated 151,513 1,107 84,772 463,200 378,428 446.41%
12,193,140$ 12,995,235$ 12,835,312$ 13,435,355$ 600,043$ 4.67%
2016 2017 2017 2018 Budget
Actual Actual Budget Budget Difference % age
REVENUES
Chemical Asses. Team 90,780$ 71,563$ 60,000$ 60,000$ -$
Economic Development 673,454 665,539 381,200 402,037 20,837 5.47%
Parking 575,755 200,591 144,500 150,500 6,000 4.15%
Communication 290,725 289,058 269,200 269,200 -
Depot Coffee House 375,196 336,468 348,000 352,000 4,000 1.15%
Art Center 1,128,656 908,733 935,734 975,626 39,892 4.26%
Tax Incr Financing (7 funds)2,997,373 2,191,089 2,604,149 2,584,000 (20,149) -0.77%
6,131,939$ 4,663,041$ 4,742,783$ 4,793,363$ 50,580$ 1.07%
APPROPRIATIONS
Chemical Assess. Team 97,088$ 94,353$ 60,000$ 60,000$ -$
Economic Development 704,721 560,103 210,447 245,700 35,253 16.75%
Parking 532,242 150,212 110,928 113,529 2,601 2.34%
Communication 2,923,456 253,451 289,747 285,566 (4,181) -1.44%
Depot Coffee House 368,723 359,878 343,036 367,753 24,717 7.21%
Art Center 923,926 1,088,897 1,234,505 992,908 (241,597) -19.57%
Tax Incr Financing (7 funds)835,953 541,306 1,933,833 1,783,408 (150,425) -7.78%
6,386,109$ 3,048,200$ 4,182,496$ 3,848,864$ (333,632)$ -7.98%
SPECIAL REVENUE FUNDS
GENERAL FUND
29
CITY OF HOPKINS
2016 2017 2017 2018 Budget
Actual Actual Budget Budget Difference % age
REVENUES
Water 1,526,440$ 1,832,277$ 2,209,405$ 2,147,086$ (62,319)$ -2.82%
Sanitary Sewer 2,159,368 2,688,450 2,932,504 3,088,299 155,795 5.31%
Refuse 1,013,134 1,013,994 1,007,400 1,010,500 3,100 0.31%
Storm Sewer 885,483 844,839 810,200 810,200 -
Pavilion/Ice Arena 417,719 470,324 404,100 445,000 40,900 10.12%
6,002,144$ 6,849,884$ 7,363,609$ 7,501,085$ 137,476$ 1.87%
APPROPRIATIONS
Water 2,003,003$ 1,789,503$ 1,890,915$ 1,980,810$ 89,895$ 4.75%
Sanitary Sewer 2,432,556 2,281,378 2,670,897 2,746,202 75,305 2.82%
Refuse 949,173 844,737 948,876 987,379 38,503 4.06%
Storm Sewer 608,470 446,735 497,049 526,942 29,893 6.01%
Pavilion/Ice Arena 440,279 522,694 460,817 476,548 15,731 3.41%
6,433,481$ 5,885,047$ 6,468,554$ 6,717,881$ 249,327$ 3.85%
2016 2017 2017 2018 Budget
Actual Actual Budget Budget Difference % age
REVENUES
Property Taxes 1,876,459$ 2,042,687$ 2,581,352$ 3,149,223$ 567,871$ 22.00%
Special Fees 829,065 897,122 973,952 911,090 (62,862) -6.45%
Miscellaneous 475,534 27,969 16,160 16,101 (59) -0.37%
Proceeds from Bond Sale 12,310,000 16,425,158 - - -
Operating Transfer In 1,191,965 1,478,246 1,545,248 1,879,733 334,485 21.65%
16,683,023$ 20,871,182$ 5,116,712$ 5,956,147$ 839,435$ 16.41%
APPROPRIATIONS
Bond Principal 3,075,000$ 3,080,000$ 3,080,000$ 3,720,000$ 640,000$ 20.78%
Bond Interest 814,199 1,035,605 1,048,639 1,601,498 552,859 52.72%
Miscellaneous other charges 425,095 433,500 24,000 24,000 -
Deposit to Escrow Agent 7,305,660 3,678,549 3,678,548 - (3,678,548) -100.00%
Transfer out 8,765,862 15,936,720 - - - #DIV/0!
20,385,816$ 24,164,374$ 7,831,187$ 5,345,498$ (2,485,689)$ -31.74%
Total Revenues 41,112,373 45,385,014 30,058,416 31,685,950 1,627,534 5.41%
Total Appropriations 45,398,546 46,092,856 31,317,549 29,347,598 (1,969,951) -6.29%
Use of Equity or
Fund Balance (4,286,173) (707,842) (1,259,133) 2,338,352 3,597,485 -285.71%
DEBT SERVICE FUNDS (all funds)
PROPRIETARY FUNDS
30
CITY OF HOPKINS
APPROVED BUDGET SUMMARY – ALL FUNDS
REVENUE SUMMARY
The total budget represents planned or anticipated revenues for all funds, excluding unbudgeted special
revenue funds and capital project funds. The amount of the annual total anticipated revenues fluctuates
up or down from year to year, depending on special projects and grants which may occur during the plan
budget period. The budget provides guidelines to staff for City operations.
Property Taxes: One purpose of the budget is to
communicate the financial plans for the City and its
allocation of resources. The budgeted revenues for
all funds total $29,704,297. The largest source of
revenue by category is property taxes of $17,132,611
comprising 57.68% of total revenues. Property taxes
are levied to support the general fund activities, help
pay debt and provide tax increment redevelopment
funding sources. Successful tax increment projects
have helped create a larger tax base for the City.
Currently the City is collecting tax increment
revenues from several districts to pay off
redevelopment notes, redevelopment bonds and
help in future redevelopment costs of properties
within certain districts. Levy limits have been on
again and off again since 2004 and remain off for 2018. Levy limits while providing assurances to taxpayers
do give the City the additional challenges in meeting citizen’s requests for sustained services or in some
instances increased services. In 2018 budgeted taxes increased in total by 9.86% primarily as a result of
new G.O. debt. The General Fund had a 4.53% increase in the levy due to increases in expenditures that
were not offset by other revenue sources.
Intergovernmental Revenues: Total $1,380,933
or 4.65% of the City’s revenues. The City currently
receives highway funding, police and fire aid,
chemical assessment grants, PERA aid, fire
grants, Community Development Block Grant
funds and other miscellaneous state grants.
Estimates for intergovernmental revenues are
based on known revenue sources and projections
are based on information from the various state
and county agencies from which the revenues are
received. The city has reduced its reliance on
revenues from state and federal governments due
to decreased availability and reduced funding in
the various state programs. Over the past several
years the city has been successful in getting
grants for specific projects. Those projects are not budgeted due to the uncertainty in the success of our
application for those funds. In 2018 we are scheduled to receive $549,019 in Local Government Aid, a
$125,125 increase from 2017 that will go to the General Fund and is utilized to reduce the general fund tax
levy.
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CITY OF HOPKINS
Utility Fees: For water, sewer, refuse and storm sewer
account for $6,843,384 of the City’s revenue or
23.04%. The will increase rates over the next 4 years
based on a rate study conducted in 2016. The
increased rates will provide adequate cash flow for
operating and capital cost. The water and sewer rates
were both increased by approximately 40% in 2017, the
first year using the rate study. 2018 will see more
modest increases of 6.7% and 5.3% for water and
sewer, respectively. The rate study will be continually
evaluated and rates adjusted as needed. The Storm
Sewer and Refuse funds remain healthy and will not
have rate increases in 2018.
Charges for Services: Other than utilities are
$2,010,654 or 6.77% of the City’s revenues. The City
charges for plan reviews, special police or fire
services, parking permits for city parking facilities,
facility rental, concessions and ice time. A large
portion of the charges for services include plan review
fees from building permits which are on the rise again
with new development. The variance in revenues
between years is due to development projects and the
related plan review fees. Finance relies on plan
review fee projections prepared by the City’s Building
Official and input from departmental managers on the
level of activity expected in their departments when setting the budget for this revenue category. While
there are several other development projects on the horizon the City budgets conservatively on plan review
fee income due to the uncertainty of the development market which can change depending on developers
funding for their proposed projects.
Special Assessments: and Special Assessment Fees for
housing projects are $911,900 or 3.07% of City revenues.
Special Assessments are levied for street, sidewalk, alley,
water, sewer or storm sewer improvements that benefit
private property. Special Assessment fees are assessed
every year to the specific housing properties that benefited
from the development projects. These projects allowed the
City to improve the value of the housing stock in several
townhome and condominium developments. Special
assessment revenues fluctuate with the number and
amount of assessable projects and have remained
relatively stable the last few years. Special assessment
revenue projections are based on the special assessment
rolls and scheduled payments due in the budget year. Special assessments revenue will increase for 2018
due to a larger street project completed in 2017 with first assessment due in 2018.
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CITY OF HOPKINS
Permits, Licenses and Fines: are $801,065
or 2.70% of revenues. Permit revenues are
dependent on the economy and on future
development of the City. In 2017 due to
several large commercial redevelopment
projects the City had a very strong years in
building permit income. While there are other
projects in the works the City chooses not to
rely on that income until it becomes reality,
therefore building permit income continues to
be budgeted conservatively based on an
average of the past 10 years. The permit fee
revenue projection was prepared by the City’s
Building Official based on knowledge of
pending and anticipated projects. License
revenue is based on the types of businesses
licensed by the city and past year’s collections. Those revenues remain stable. The City also budgets
conservatively for fine revenue as that revenue stream is unpredictable. Fine revenue is only received once
the fines are collected by the State of MN which then remits Hopkins’ portion to them. Parking permits and
ticket revenues remain stable.
Franchise Fees: In addition to the franchise fee
collected on cable television, a franchise fee on electric
and gas utilities was implemented in 2004 to help offset
the loss of state aids. It impacts residential properties
by $2.20 per month on both the electric and gas utility
bills. The rate progresses higher for multiple dwellings
and commercial properties. Total franchise fees
collected in 2018 will be about $553,000 or 1.86% of
City revenues. While franchise fees on electric and gas
remain stable there is federal legislation that may limit
the future of cable TV franchise revenues and therefore
a more conservative approach was taken to that portion
of the franchise fee budget. The City received cable
franchise fees for public, education and government
(PEG) programming in 2017. W hile we anticipate
receiving PEG fees in 2018 we do not know the exact amount so have set the budget conservatively. PEG
fees received are restricted in use to provide public access to city council and other public meetings. The
city is currently using the funds to provide live streaming of city council and other public meetings and to
archive the meetings for future public web streaming access on the city’s website.
Total 2017 Actual Revenues: Increased from 2016 as a
result of increased tax revenues and miscellaneous
revenues from implementing the 5-year utility rate plan.
The 2018 budget was prepared with increased tax and
utility revenues as described in previous revenue sections.
The City workforce has remained stable with many long-
term employees. Like other cities we continue to do more
with less and work to maximize the budget dollars we do
have to work with. Staff has been very conscientious in
the management of departmental budgets which has
allowed us to maintain staffing while providing the same
level if not better services to the public.
33
CITY OF HOPKINS
Major Revenue Trends: The chart to
the right is showing the trends of three of
our major revenue sources. Taxes
include both property taxes and tax
increments. Taxes continue to increase
as other sources of revenue decrease
and new tax increment projects come on
the tax rolls. Intergovernmental
revenues have remained steady over the
last several years; we have continued to
be successful in receiving federal COPS
grant, a fire prevention and safety grant
along with Local Government Aid.
Intergovernmental revenues are less
reliable so the city has been decreasing
its dependence on that source of income.
Tax revenues have risen to fill that gap; however we continue to seek other revenue sources to meet our
budget needs which include grants. Utility charges have increased as a result of the implementation of the
5-year utility rate study to help the city meet the needs of the aging infrastructure.
Shown below is a chart showing the relationship between all revenue sources.
34
CITY OF HOPKINS
APPROPRIATION SUMMARY
Appropriations for all funds total $29,347,598. This is less than anticipated revenues for 2018 and results
in an increase of fund balance of $2,338,352 overall. The special revenue funds will add $560,287 where
certain funds such as the parking fund and arts center fund are working to rebuild fund balance and tax
increment revenues exceed current needs and $895,055 is from enterprise funds as we work to rebuild
fund equity and bring the water and sewer fund to a more stable financial position. Debt service funds will
see a decrease of $2,714,475 primarily due to the scheduled bond call.
The largest source of appropriations by category is employee salaries and benefits at $12,196,489.
Employee salary and benefits make up 41.56% of the City’s annual appropriation and represent a 3.62%
increase from 2017 budget. At the time of budget adoption the City was completing a classification and
compensation study on all employees. All union contracts expired on 12/31/17 and new contracts were not
in place at the time of budget adoption. The 2018 budget includes estimates for new wage rates for all
employees and will be adjusted based on the final results of the study and employment contracts.
Materials, supplies and services make up 28.10% of appropriations at $8,246,049. This amount represents
a 2.45% increase from 2017 budget. The increase is mainly due to the effect of inflation.
Capital outlay and improvements can fluctuate substantially every year. In 2018, the appropriated amount
is $218,300 or 0.74% of total appropriations. Anticipated capital costs are remodeling and furnishings at
City Hall; equipment washer and dryers for the Fire Department and; technology upgrades City Wide. Staff
was instructed to keep capital items at a minimum as funding restrictions continue to present challenges in
budgeting. In addition the City allocates equipment replacement costs to its general and special revenue
funds to ensure that resources are available for replacement of equipment when scheduled or necessary.
The charges for equipment replacement are recorded in the materials supplies and services categories as
they do not directly relate to specific capital outlay expenditures but rather the cost of using city assets.
Debt service appropriations in 2018 decreased 31.74% because of a large refunding issuance paid off in
2017. Actual budgeted principal and interest appropriations increased by $1,205,893 or $28.89%, due to
large bond issuances from 2016 becoming due.
The six largest programs of the City in 2018 account for 92% of the appropriations budget and are as
follows:
Debt Service 5.3 million
Public Safety 6.4 million
Utilities (water, sewer, storm sewer, refuse) 6.2 million
General Government 3.5 million
Public Works 3.0 million
Recreation 2.5 million
35
CITY OF HOPKINS
36
CITY OF HOPKINS
REVENUES - ALL FUNDS
COMPARATIVE ANALYSIS BY SOURCE
ADOPTED
2015 2016 2017 2018
SOURCE ACTUAL ACTUAL ACTUAL BUDGET
Current Revenues
PROPERTY TAX $11,167,907 $11,609,767 $12,819,047 $14,564,111
TAX INCREMENT 2,920,681 2,957,307 2,146,982 2,568,500
SPECIAL ASSESSMENTS 828,529 829,065 897,122 911,090
LICENSE, PERMITS & FINES 722,558 728,667 1,028,503 801,065
INTERGOVERNMENTAL REVENUE 1,432,343 1,384,403 1,323,036 1,380,933
CHARGES FOR CURRENT SERVICES 1,530,160 1,552,181 1,692,897 1,583,956
INTEREST ON INVESTMENTS 197,346 162,465 159,241 71,560
UTILITY SERVICE CHARGES 5,254,110 5,079,822 6,120,600 6,843,384
FRANCHISE FEES 566,756 573,495 584,214 553,000
OTHER REVENUES 764,431 1,233,860 608,048 426,698
TOTAL CURRENT REVENUES $25,384,821 $26,111,032 $27,379,690 $29,704,297
Other Financing Sources 18,735,000 12,310,000 16,425,158 -
TOTAL REVENUES $44,119,821 $38,421,032 $43,804,848 $29,704,297
Add: Inter-Fund Transfers 875,038 2,691,341 1,580,166 1,981,653
TOTAL REVENUES $44,994,859 $41,112,373 $45,385,014 $31,685,950
EXPENDITURES/EXPENSES - ALL FUNDS
COMPARATIVE ANALYSIS BY OBJECT
ADOPTED
2015 2016 2017 2018
OBJECTIVE ACTUAL ACTUAL ACTUAL BUDGET
Current Expenditures/Expenses
SALARIES AND EMPLOYEE BENEFITS $11,115,039 $11,373,161 $12,199,849 $12,301,377
MATERIALS, SUPPLIES AND SERVICES 6,892,930 8,248,402 8,129,360 8,351,624
CAPITAL OUTLAY 120,254 596,793 410,315 244,800
DEPRECIATION 779,685 775,000 892,027 775,000
DEBT REPAYMENT 13,851,161 11,773,916 8,378,307 5,937,267
TOTAL $32,759,069 $32,767,272 $30,009,858 $27,610,068
Other Financing Uses 7,646,627 10,527,986 16,082,996 1,737,530
TOTAL EXPENDITURES $40,405,696 $43,295,258 $46,092,854 $29,347,598
37
CITY OF HOPKINS
PROPERTY TAXES
Tax Capacity & Market Values
The growth in tax capacity from 2008 thru 2010
reflects overall increased market value of property
in Hopkins from redevelopment. During the years
2011-2013 the housing market saw significant
declines across the country and Hopkins was no
exception. To the right depicts tax capacity value
over the last ten years. Since 2014, Hopkins
continued to have growth due to commercial
development that was already in place when the
market turned and a recovering housing market. A
luxury apartment complex was under construction
on the 2017 assessment date and completed
during 2017, it will add approximately $63 million in
value in 2018. Hopkins residential housing values
have been increasing over the last several years as
the housing market has rebounded resulting in
quick sales for sellers who are getting competitive prices for their homes.
One goal of the city council is to preserve the current housing stock and promote housing growth. As
mentioned above housing values have increased this past year which has added to the tax capacity. One
factor impacting the tax capacity is the Market Value Homestead Credit which removes a portion of
homeowner’s values from the tax rolls. This credit is reduced as the value of a home increases until it is
phased out entirely at about a home value of $414,000. Other property classes primarily commercial have
increased slightly which has mitigated the overall decrease in market values.
38
CITY OF HOPKINS
Changes in property taxes
The chart at the left shows the percentage of
homeowners that saw changes in property taxes paid to
the City. About 7.80% saw decreases in their property
taxes, however, a much greater percentage 92.2% had
between .1% - to over 20% increases in values, this is
due to the increasing market value of homes and an
increase in the City’s tax levy.
The City’s levy is allocated against the tax base along
with the levies for the school district, county and
miscellaneous government entities. An average home
in Hopkins in 2017 is valued at $243,000. Total taxes
of $3,380 on an average home in Hopkins helps pay
for all levels of governmental services.
The chart to the right shows the components of City of
Hopkins taxes by taxing district.
City Property Tax Levy
Shown to the left is the annual cost of CITY
taxes on a home valued at $225,000 both on a
constant basis and with the change in value
over the years. The increase in 2011 is
primarily due to the change in the fiscal
disparities program as Hopkins became a net
contributor following several years as a net
recipient. The fiscal disparities program
shares commercial growth across the
Minneapolis/St. Paul metropolitan area with
cities having little or no growth getting more
from the pool than cities that have had
commercial growth. Due to Hopkins’ $40
million commercial development project and
being one of the few cities with any significant
commercial activity we became a net
contributor to the program. This shifted a portion of our tax base into the pool resulting in higher taxes for
Hopkins residents. Taxes for 2013 and 2014 had small increases and 2015 saw the implementation of the
Financial Management Plan (FMP) which provided new debt levies for the Pavilion and Art Center as we
work to get these funds into a more stable financial position. The 2018 FMP provides for additional debt
levies to fund much needed infrastructure projects within the City.
39
CITY OF HOPKINS
This residential property owner in Hopkins will experience a $150 increase in City property taxes in 2018.
The total City taxes on a median valued home would be $1,446 in 2018 as compared to $1,296 in 2017.
Shown below is a summary of annual costs an average homeowner would expect to pay living in Hopkins.
Water and sewer rates were increased for 2018 as based on the City’s Utility Rate Plan and continued
capital costs. 2018 will be the second year the City used a tiered rate structure. Refuse rates are analyzed
each year and if necessary are only increased every couple of years. There was no increase in refuse or
recycling rates for 2018. The storm sewer rate is not expected to increase in the near future. Hopkins
utility rates continue to rank in the middle tier of the Minneapolis/St. Paul metropolitan area despite the rate
increases.
City Levy – By Purpose
In 2018 the City continued its property tax levy for the purpose of funding the debt for the construction of
Burnes Park, 8th Avenue Artery and portions of Blake Road. In 2017 levy limits were once again eliminated
and remain off for 2018.
City tax capacity rates of 65.950% result in payments of $1,446 annually or approximately $121 per month
for the average homeowner. Net property tax costs by program, was developed by crediting related
revenues against appropriate programs expenditures.
2018 2017
General Fund $10,747,657 $10,281,666 4.53% increase
Debt $3,149,223 $2,103,366 49.72% increase
Arts Center $250,000 $250,000 0.00% increase
Capital $75,000 $310,000 -75.81% increase
Total Levy $14,221,880 $12,945,032 9.86% increase
Council $9.86
Administrative Services $64.98
F inance $25.65
Legal $2.38
Unallocated $44.12
Municipal Building $36.50
Community Services $51.25
Police $436.87
Fire $106.44
Public Works $257.89
Recreation $24.99
Activity Center $32.23
Planning and Community Development $21.92
Capital $7.14
Arts Center $23.81
Debt $299.95
Annual Cost for City Services $1,446.00
2018 Annual Property Tax Cost (average home)Annual Service Cost
City of Hopkins Average Annual Service Costs
on an Average Home.
2018 2017
City Property Taxes $1,446.00 $1,296.00
Water - Consumption
7,500 gallons a month
$2.60/$3.00/$3.45 Tiered Rates $299.71
$2.44/$2.81/$3.23 Tiered Rates $280.92
Sewer - Consumption
7,500 gallons a month
$6.12/ 1,000 gallons $550.80
$5.81/ 1,000 gallons $522.90
Refuse Collection $262.20 $262.20
Storm Sewer $60.00 $60.00
Franchise Fees $52.80 $52.80
Total $2,671.51 $2,474.82
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CITY OF HOPKINS
Net annual property tax costs for program budgets
The City’s overall net levy increase is 9.86%. The general fund levy increased in 2018 by 4.53% or
$465,991. The debt levy was increased due to a Burnes Park, 8th Avenue Artery and portions of Blake
Road. The debt levy increase was 49.72% or $1,047,857. The capital levy was decreased to $75,000
because of fewer anticipated projects in 2018. The Arts Center levy remained at $250,000. The Arts Center
Levy was implemented to provide operational funds for this facility as it looks to improve its sustainability.
The total levy increase for 2017 is $1,276,848. The increased taxes caused the tax rate to increase by
3.42% from 63.078% to 66.342%
Recreation
$59.53
Streets & Park Maintenance
$268.28 Debt
$299.95
Council & Administration
$107.02
Building Maintenance
$37.97
Arts Center
$24.77
Planning & Zoning
$22.80
Assessing, Inspections &
City Clerk
$60.46
Fire Protection
$110.73
Police Protection
$454.49
Fire Chief Dale Specken and Mayor
Molly Cummings receive a Fire
Prevention Safety Grant in recognition
of the City’s commitment to protecting
our community.
41
CITY OF HOPKINS
Shown to the left are the main
taxpayers in the City of
Hopkins and their percentage
of total tax capacity. The
largest taxpayer comprises
7.21% of total tax capacity and
the next largest taxpayer
comprises 4.31%. The city
has a diverse and stable tax
base, which provides the city
with assurance that tax
revenues will remain stable
against the loss of a significant
taxpayer.
Major employers in Hopkins include Cargill an international producer and marketer of food, agricultural,
financial and industrial products, followed by ISD 270 Hopkins and Super Valu, a grocery distribution
warehouse facility. While these three organizations employ almost 38% of the workforce in Hopkins the
City has a diverse group of employers who have had a long-term presence in the City.
Changes in Fund Balance
Major Funds
Fund balance is defined as the difference between a fund’s assets and liabilities. Adequate fund balance is
necessary to have funds for emergency or unexpected events, to enhance the City’s financial position and
bond ratings, to provide cash for operations prior to receipt of tax revenues and to maximize investment
earnings.
Working capital balance, defined as current assets less current liabilities is carefully monitored to ensure
enough financial flexibility to meet both short and long-term goals for each fund.
PRINCIPAL EMPLOYERS
Percentage
of Total
Taxpayer Type of Business Employees Employment
Colfin Midwest NNN INV LLC Food, agricultural, financial and industri 4,000 26.274 %
ISD 270 Hopkins School 1,041 4.644 %
SuperValu Grocery distributor 707 6.838 %
Thermotech Plastic mold manufacturer 400 2.627 %
US Post Office Post Office 314 2.063 %
Oak Ridge Country Club County/Golf Club 185 1.215 %
Augustana Chapel View Care Center Health Care Services 185 1.215 %
US Bank Financial Institution 185 1.215 %
City of Hopkins Municipal Government 144 0.946 %
Walser Chrysler Dodge Jeep Ram Automotive Dealership 100 0.657 %
Taxpayer Type of Business Tax Capacity
Percentage of
Total Tax
Capacity
Colfin Midwest NNN Inv LLC Real Estate 1,754,120 7.21%
Super Valu Grocery Warehouses 1,047,910 4.31%
Hines Globel Reit 9320 Excel Management Services 891,430 3.66%
Ramsgate Apartments LLC Apartments 292,813 1.20%
Southwest Real Estate, Inc.Apartments 264,848 1.09%
The Luther Co Ltd Ptnrshp Car Dealership 256,120 1.05%
Duke Realty Corporation Office/Warehouses 243,990 1.00%
Greenfield Apartments Apartments 227,700 0.94%
Westside Property Owner, LLC Apartments 227,250 0.93%
City Center Ventures, LLC Real Estate 226,580 0.93%
City's Total Tax Capacity 24,337,428
PRINCIPAL TAXPAYERS
42
CITY OF HOPKINS
The general fund added approximately $5,000 to its fund balance in 2017. This was accomplished by all
departments managing their budgets conservatively, reducing or eliminating expenses when appropriate
and eliminating non-essential capital items. In addition, the recovering economy brought in inspection
permit fees and charges that far exceeded the budget and added to the fund balance. The 2018 budget
was adopted with 3% wage increase and an additional contingency line item for employee contracts that
are not currently settled. The general fund is on target with its fund balance goal of 42% of prior year’s
expenditures and is at 44% of expenditures. This has been accomplished by the reductions identified
above and all department managers being particularly conscious of their budgets. Staff continues to work
to address how to manage the financial position so that we maintain our fund balance goal. This may
involve new or revised revenue options, expenditure adjustments or a combination of all these options.
The Economic Development Fund’s 2017 tax revenue collections were over budget as excess tax
increment revenues were received. These are revenues over and above what is required in the tax
increment plans and therefore are reported in the Economic Development fund to be used for future
development. The Economic Development fund provides the funding to assist in development efforts in
Hopkins. It has a strong fund balance with available resources to assist potential development efforts. The
main source of income is a development tax levy which has increased each year. There is a significant
fund balance in this fund that is available for economic development but the long term goal is to ensure that
revenues are adequate for planned expenditures. The 2018 budget will add about $156,000 to fund
balance as a continued effort to provide funding for future development incentives.
Estimated
YE 2017
Fund
Balance/% Change $ Change Reason for
Working Ending in Fund in Fund Greater than
Fund Name Capital*Revenues Expenditures Balance Balance Balance 10% Variance
Major Funds
General Fund $5,871,566 $13,435,355 $13,435,355 $5,871,566 0.00% $0
Economic
Development
Special Revenue
Fund
4,761,596 402,037 245,700 4,917,933 3.28% 156,337 Planned increase from
tax revenues and excess
TIF will be used for future
development.
Art Center (1,177,204) 975,626 992,908 (1,194,486) -1.47% (17,282)
Permanent
Improvement
Revolving Fund
287,536 9,957,475 9,479,100 765,911 166.37% 478,375 Street reconstruction
projects for 2018 are
scheduled. Bonds will be
sold to finance this
project.
G.O. Tax
Increment Bonds of
2015D
147,656 504,000 504,113 147,543 -0.08% (113)
G.O. Tax
Increment Bonds of
2016D
(1,367) 290,000 289,150 (517) -62.18% 850
Water Enterprise
Fund *
(867,508) 2,147,086 1,885,810 (606,232) -30.12% 261,276
Sewer Enterprise
Fund *
333,274 2,932,926 2,641,863 624,337 87.33% 291,063
Storm Sewer
Enterprise Fund *
982,947 811,829 414,942 1,379,834 40.38% 396,887 Bonds will be sold in
2018 for the planned
infastructure projects.
Water and Sewer rates
were increased in 2018 to
continue to improve
financial stability of funds
and pay for capital costs.
43
CITY OF HOPKINS
The Art Center has yet to meet its fund balance goals due to the amount of debt as a result of building the
facility in the mid-1990’s. The Art Center has long-term lease arrangements with a theater company, the
school district and an arts group that fund operations. It also receives supporting transfers from the
Communication fund. In 2016 staffing was restructured to minimize expenses and is continually evaluated
to ensure budget goals are met while meeting the needs of the users. The Arts Center has been evaluating
past programming and is looking at trying new performance and artist options that will appeal to a wide
audience, including an outdoor concert series in 2018. The Art Center funding issues were addressed in
the Financial Management Plan that was adopted for 2014 and calls for an annual levy starting in 2015 to
eliminate the negative fund balance. It is anticipated that the negative fund balance will be eliminated in
2024.
The Permanent Improvement Revolving Fund will increase its fund balance in 2018. Bonds will be issued
for the reconstruction of Blake Road, a two year project, and a portion of the proceeds will not be spent until
2019.
The GO Tax Increment Bonds of 2015D and 2016D continue to be able to fund debt service requirements.
The Water Enterprise Fund’s working capital continues to increase because of a 6.7% increase
consumption and flat rates. A water rate study was first implemented in 2016 to address the growing capital
and replacement costs in the fund. The fund will continue to see incremental increases to rates each year.
The Sewer Enterprise Fund’s working capital is expected to grow in 2017 as a result of an incremental rate
increase. A sewer rate study was first implemented in 2016 to address the growing capital and replacement
costs in the fund, however fees paid to the Metropolitan Council represent over half of the costs in the sewer
budget. Sewer charges paid to the Metropolitan Council saw less than a 1% increase in 2018
The Storm Sewer Enterprise Fund’s working capital will increase in 2018 as scheduled projects are less
than in past years. The Storm Sewer Fund is adequately funded for projected operations and infrastructure
improvements and no rate increased are planned for the near future.
Downtown Hopkins at night
44
CITY OF HOPKINS
Non-Major Funds
The Chemical Assessment fund is part of the State Chemical Assessment Team program where seven
teams are placed around the state to respond to hazardous waste calls. Hopkins has one of the teams that
is supported by the Fire Department and fully funded by the state. The expenditures are reimbursed in full
by the state, however some costs remain unreimbursed. In 2017 a portion of those unreimbursed costs
were absorbed by the General Fund Fire Department budget
The Parking fund, fund balance will increase in 2017 as the parking permit fees were increased to ensure
revenues were adequate for the operation of the parking ramp and the various city lots. The city will need
to increase parking fees by approximately 5% each year to provide adequate funds to maintain the parking
lots and cover operations.
The Communication fund continues to support the advertising and promotion of the Art Center by
transferring $86,920 annually to the Arts Center. The council and staff continue to work at relieving the Art
Center promotional activity expense burden from the communication fund. Currently this fund exceeds its
fund balance goals.
Estimated
YE 2017
Fund
Balance/% Change $ Change Reason for
Working Ending in Fund in Fund Greater than
Fund Name Capital*Revenues Expenditures Balance Balance Balance 10% Variance
Chemical
Assessment
0 60,000 60,000 0 0.00%0
Parking 200,240 150,500 113,529 237,211 18.46% 36,971 Increased rental revenue
for permited parking
s paces will provided
needed funding for
operations and future
improvements.
Communications 527,400 269,200 285,566 511,034 -3.10% (16,366)
Depot Coffee
House
(31,706) 352,000 367,753 (47,459) 49.68% (15,753)Coffee shop operations
were evaluated and
c hanges made so that
this fund can build fund
equity for future projects.
Tax Increment
Funds
(aggregate)
1,591,018 2,584,000 1,783,408 2,391,610 50.32% 800,592 Funds collected are
replenishing negative fund
balance as the districts
tax collections increase
Debt Service
Funds (aggregate)
1,685,617 5,956,147 5,345,498 2,296,266 36.23% 610,649 Planned use of fund
balance to reduce tax
l evy
Enterprise
Refuse *956,100 1,007,400 948,876 1,014,624 6.12% 58,524
Pavilion *(70,325) 440,897 496,548 (125,976) -79.13% (55,651)Bonds will be sold to
cover capital
ex penditures for this
facility.
Non-Major Funds
Special Revenue Funds
45
CITY OF HOPKINS
The Depot Coffee House is a chemical free environment for area teens that provides specific programming
of interest to them. The Depot Coffee House Youth Project is being supported by the General Fund with a
$15,000 transfer as well as the Hopkins-Minnetonka Joint Recreation program ($15,000), Three Rivers
Park District ($15,000) and Hopkins School District ($50,000). The coffee shop portion of the Youth Center
has historically been a successful venture of the Depot and able to provide funding for the youth project.
The coffee shop was unable to be profitable in 2017 due nearby construction projects. The operating
results are expected to rebound in 2018. In conjunction with the coffee business we offer rental of the
facility when not used by the youth and we anticipate increased revenues from that source that will
supplement the budget. With the changes made we expect that the coffee shop will continue to provide
support for the youth programming and provide adequate funds for cash flow.
Tax Increment fund balance may be used to retire tax increment debt early. Currently most tax increment
funds meet their combined fund balance goals.
Debt Service fund balance may be used to retire general obligation debt. All debt service funds meet their
debt service needs.
The Refuse Enterprise Fund has several programs that are subsidized by the refuse rates. The City has
explored charging separate fees for these services but has met with resistance from the public. Staff
continues to explore options for having these programs generate at least some revenue. Refuse rates were
not increased for 2018. Working capital continues to be adequate for this operation.
The Pavilion Ice Arena will show a net loss in 2017 due to needed building projects; staff continues to
actively market the facility to various groups to increase off season rental income and eliminate the negative
cash position. These efforts are paying off as rental bookings are again up for 2018 and the facility was
able rent out a portion of the building to the Hopkins School District during underutilized times. The Pavilion
has an outdated refrigeration system that will be replaced in 2018 along with other upgrades. The Hopkins
School District and Hopkins Youth Hockey Association have both partnered with the City and each
contributed $1,000,000. The City will contribute the remaining costs of $3,700,000 for the project, $600,000
in cash from the Park Improvement fund and $3,100,000 in bonding. The City will levy to pay bond costs
beginning in 2019.
Debt Overview
The City of Hopkins has been conservative in its debt issuance practices and holds Standard and Poor’s’
AA+ debt ratings. In January 2014 the city was very pleased to receive a bond rating upgrade by Standard
and Poor’s from AA to AA+. This rating was upheld for each of the two bonds issued in 2017. Standard
and Poor’s stated that this is based on the city’s maintenance of very strong reserves and “good” Financial
Management Assessment. The City’s total outstanding debt on December 31, 2017, was $64,365,000.
After reducing the outstanding debt by the amount supported by utilities and special fee the per capita debt
at December 31, 2017 is $1,976.
The total debt principal and interest due in 2017 is $6,040,992,609, of which $3,149,223 is raised through
direct tax levy. The remaining principal and interest is paid with refunding bonds, direct fees, utility fees,
tax increments, and special assessments. As depicted in the graph on the following page debt service
requirements continue to decline steadily throughout the remaining terms of the bonds. The requirements
drop to $3,044,890 in 2030 and to $193,040 in 2034 before the final issue matures in 2036. The ability to
retire 76% of the City’s debt in the next ten years is a major strength. The City is planning on issuing GO
Improvement Bonds for the 2018 street improvements, Tax Abatement Bonds for Pavilion Ice Arena
Upgrades and Equipment Certificates. The actual amount to be bonded is estimated at $9,800,000 and
will include as revenue sources a tax levy, utility revenues, and special assessments. Budget impact of the
new debt has been factored into the utility funds budgets and the tax levy portion has been factored into
the long-range Financial Management Plan. Part of the Financial Management Plan is to minimize tax
increases to the taxpayers. Debt that is needed for future projects is part of that plan.
46
CITY OF HOPKINS
The graph below illustrates the retirement of debt (principal and interest) in years 2018 through 2036.
OUTSTANDING DEBT AND PURPOSE
2017A GO Improvement Bonds Street Improvements $11,795,000.00
2017B GO Tax Abatement Bonds Parks and Water & Sewer Improvements $ 3,170,000.00
2016A GO Improvement Bonds Street Improvements $ 4,335,000.00
2016B GO Tax Abatement Parks and Municipal Parking Ramp $ 1,630,000.00
2016C GO Bonds Equipment Certificates & Water Revenue Bonds $ 2,805,000.00
2016D GO Tax Increment Revenue Refunding Bonds Refunding of 2009 HRA Tax Increment Revenue
Bonds $ 3,540,000.00
2015A GO Street Reconstruction Bonds Street Improvements $ 3,865,000.00
2015B GO Tax Abatement Cottageville Park and Parking Lot Improvements $ 2,825,000.00
2015C GO Tax Increment Revenue Refunding Bonds Refunding of 2008 HRA Tax Increment Revenue
Bonds $ 3,945,000.00
2015D GO Tax Increment Revenue Refunding Bonds Refunding of 2007 HRA Tax Increment Revenue
Bonds $ 6,750,000.00
2014A GO Improvement Bonds Street Improvements $ 1,675,000.00
2014B GO Refunding Bonds Refund the 2007A and 2007B Bonds $ 4,595,000.00
2013A GO Improvement Bonds Street Improvements $ 3,005,000.00
2012A GO Capital Improvement Plan Bonds Police Station Expansion and Remodeling $ 1,080,000.00
2012B GO Bonds Street Improvements and Equipment Purchases $ 3,915,000.00
2010A GO Improvement Bonds Street Improvements $ 1,720,000.00
2010B GO Refunding Bonds County Road 3 Improvements Phase II (2002B),
Street Improvements (2002A), Sewer (2003A) $ 1,470,000.00
2009A GO Revenue Bonds Water & Sewer Improvements and Refunding of
2000 Water and 1999C Storm Sewer Bonds $ 1,085,000.00
2009B GO Taxable Housing Improvement Refunding Refunding 1999A & 1999B Housing Improvement
Bonds $ 1,160,000.00
Total Outstanding Debt December 31, 2017 64,365,000$
Minnesota State law
limits the amount of G.O.
debt for any municipality
to 3% of market value,
estimated to be
$1,828,358,805 in 2017.
This limitation provides
reasonable assurance of
the municipality’s ability
to pay. The legal debt
limit for Hopkins is
$54,850,764; projected
debt subject to the legal
limit for Hopkins is
$41,820,000 or 76% of
total debt limit allowed.
47
CITY OF HOPKINS
SCHEDULE OF DEBT SERVICE REQUIREMENTS – ALL FUNDS
Principal Interest Principal Interest Principal Interest Principal Interest
2018 4,340,000 1,700,992 940,000 356,978 620,000 171,428 395,000 99,494
2019 5,050,000 1,561,958 1,015,000 335,053 635,000 158,646 405,000 89,563
2020 5,185,000 1,432,021 1,060,000 311,318 645,000 145,188 410,000 78,951
2021 5,345,000 1,295,291 1,115,000 286,105 660,000 130,460 425,000 67,561
2022 5,150,000 1,160,292 1,165,000 259,378 645,000 114,840 425,000 55,781
2023 5,225,000 1,027,879 1,230,000 229,933 665,000 98,965 430,000 43,729
2024 4,115,000 904,531 1,090,000 201,013 680,000 82,485 345,000 32,696
2025 4,400,000 788,837 1,295,000 171,644 700,000 65,360 355,000 22,696
2026 4,390,000 670,452 1,350,000 139,844 720,000 47,505 205,000 15,546
2027 4,100,000 556,307 1,410,000 107,450 520,000 32,284 225,000 11,106
2028 4,225,000 441,474 1,470,000 72,744 535,000 19,506 225,000 6,045
2029 4,020,000 323,631 1,540,000 35,031 290,000 8,766 135,000 1,688
2030 2,825,000 219,890 555,000 7,631 150,000 2,344 - -
2031 2,185,000 143,833 - - - - - -
2032 1,850,000 86,313 - - - - - -
2033 1,410,000 38,750 - - - - - -
2034 180,000 14,720 - - - - - -
2035 180,000 8,960 - - - - - -
2036 190,000 3,040
64,365,000$ 12,379,170$ 15,235,000$ 2,514,119$ 7,465,000$ 1,077,776$ 3,980,000$ 524,856$
Revenue BondsTotalSpecial Assmnt BondsTax Increment Bonds
Certificate from our last bond rating
upgrade in 2014 which was to AA+.
Principal Interest Principal Interest
2018 270,000 46,728 2,115,000 1,026,365
2019 285,000 34,720 2,710,000 943,976
2020 295,000 21,665 2,775,000 874,900
2021 310,000 7,440 2,835,000 803,725
2022 - - 2,915,000 730,294
2023 - - 2,900,000 655,253
2024 - - 2,000,000 588,338
2025 - - 2,050,000 529,138
2026 - - 2,115,000 467,558
2027 - - 1,945,000 405,466
2028 - - 1,995,000 343,179
2029 - - 2,055,000 278,146
2030 - - 2,120,000 209,915
2031 - - 2,185,000 143,833
2032 - - 1,850,000 86,313
2033 - - 1,410,000 38,750
2034 - - 180,000 14,720
2035 - - 180,000 8,960
2036 - - 190,000 3,040
1,160,000$ 110,553$ 36,525,000$ 8,151,866$
G.O BondsHousing Fee Bonds
48
CITY OF HOPKINS
The following is a schedule of the City’s debt by major and non-major funds. Enterprise Fund debt consists
of water, sewer, storm sewer debt and Pavilion. Debt Service Fund debt includes, tax increment debt,
special assessment debt, and capital projects debt. Water, sewer, storm sewer enterprise fund debt are
major funds, the Pavilion is a non-major fund.
SCHEDULE OF DEBT SERVICE REQUIREMENTS – MAJOR AND NON-MAJOR FUNDS
Principal Interest Principal Interest Principal Interest Principal Interest Principal Interest Principal Interest
2018 4,340,000 1,700,992 155,000 65,980 105,000 38,347 115,000 22,985 20,000 1,800 395,000 99,494
2019 5,050,000 1,561,958 209,319 79,860 123,451 39,840 122,230 22,313 20,000 1,400 405,000 89,563
2020 5,185,000 1,432,021 213,199 74,624 124,412 35,877 127,389 18,500 20,000 1,000 410,000 78,951
2021 5,345,000 1,295,291 227,079 67,996 130,373 31,601 127,549 15,414 20,000 600 425,000 67,561
2022 5,150,000 1,160,292 227,079 60,963 130,373 27,186 127,549 12,282 20,000 200 425,000 55,781
2023 5,225,000 1,027,879 240,959 53,830 141,333 22,621 132,708 8,928 - - 430,000 43,729
2024 4,115,000 904,531 244,839 46,391 142,294 17,868 47,867 6,687 - - 345,000 32,696
2025 4,400,000 788,837 249,839 38,698 147,294 21,976 47,867 (3,328) - - 355,000 22,696
2026 4,390,000 670,452 188,719 32,254 63,255 9,684 48,026 4,658 - - 205,000 15,546
2027 4,100,000 556,307 197,598 26,881 69,216 7,973 58,186 3,503 - - 225,000 11,106
2028 4,225,000 441,474 197,598 21,084 69,216 6,070 58,186 2,141 - - 225,000 6,045
2029 4,020,000 323,631 146,478 15,750 60,177 4,199 33,345 989 - - 135,000 1,688
2030 2,825,000 219,890 85,358 11,679 21,137 2,892 3,504 479 - - - -
2031 2,185,000 143,833 89,238 8,264 22,098 2,046 3,664 339 - - - -
2032 1,850,000 86,313 93,118 5,587 23,059 1,384 3,823 229 - - - -
2033 1,410,000 38,750 93,118 2,794 23,059 692 3,823 115 - - - -
2034 180,000 14,720 - - - - - - - - - -
2035 180,000 8,960 - - - - - - - - - -
2036 190,000 3,040 - - - - - - - - - -
64,365,000$ 12,379,170$ 2,858,538$ 612,635$ 1,395,746$ 270,254$ 1,060,716$ 116,235$ 100,000$ 5,000$ 3,980,000$ 524,856$
Water Fund Bonds Storm Sewer BondsSewer Fund Bonds Nonmajor Enterprise
Major Enterprise Fund Bonds
Total - All Funds Total Enterprise Funds
Principal Interest Principal Interest Principal Interest Principal Interest
2018 350,000 154,112 200,000 89,150 3,595,000 1,447,386 3,945,000 1,601,498
2019 370,000 146,912 235,000 82,625 4,275,000 1,325,483 4,645,000 1,472,395
2020 390,000 139,312 250,000 75,350 4,385,000 1,213,758 4,775,000 1,353,070
2021 415,000 131,262 260,000 67,700 4,505,000 1,096,468 4,920,000 1,227,730
2022 430,000 122,812 275,000 59,675 4,295,000 981,699 4,725,000 1,104,511
2023 455,000 112,825 290,000 51,200 4,340,000 871,325 4,795,000 984,150
2024 475,000 102,388 305,000 42,275 3,295,000 769,447 3,770,000 871,835
2025 655,000 90,269 320,000 32,900 3,390,000 675,872 4,045,000 766,141
2026 685,000 74,339 330,000 24,800 3,500,000 580,567 4,185,000 654,906
2027 715,000 56,839 345,000 18,050 3,160,000 488,362 3,875,000 545,201
2028 750,000 38,525 355,000 11,050 3,250,000 396,904 4,000,000 435,429
2029 780,000 18,425 375,000 3,750 3,105,000 303,518 3,885,000 321,943
2030 280,000 3,850 - - 2,545,000 216,040 2,825,000 219,890
2031 - - - - 2,185,000 143,833 2,185,000 143,833
2032 - - - - 1,850,000 86,313 1,850,000 86,313
2033 - - - - 1,410,000 38,750 1,410,000 38,750
2034 - - - - 180,000 14,720 180,000 14,720
2035 - - - - 180,000 8,960 180,000 8,960
2036 - - - - 190,000 3,040 190,000 3,040
6,750,000$ 1,191,870$ 3,540,000$ 558,525$ 53,635,000$ 10,662,444$ 60,385,000$ 11,854,314$
Non-Major Funds - Aggregate
Total Debt Service FundGO TI Rev. Bonds of 2015D
Major Debt Service Funds
Debt Service Fund BondsGO TI Rev. Bonds of 2016D
49
CITY OF HOPKINS
Through the visioning process the City has discovered that there are many community needs that the City
of Hopkins must meet. The future debt capacity will allow the City to issue debt to provide for our
community’s needs and desires while keeping property taxes reasonable.
CAPITAL EXPENDITURES
Capital Improvement Plan
The Capital Improvement Plan (CIP) is a five-year schedule or plan for capital improvement expenditures
in excess of $10,000 and having a useful life of five or more years. The Capital Improvement Plan process
begins with departments editing and updating existing plans from previous years and adding or deleting
projects. Once this is completed, finance does an analysis of funding requirements and any related
prioritization is done by the city manager. The analysis includes a review of projected working capital
amounts available for the projects, any operating cost adjustments as a result of the improvement and the
impact of future funding needs is determined. The mayor and council then use the compiled information in
the CIP along with the results of public discussion, to determine which projects are to proceed and exactly
how they will be funded. Once the CIP is approved the projects for the following year are placed in the
appropriate budget. The complete CIP is posted on the city’s website and includes details of each project,
the funding sources and a city map showing the street projects for the next five years color coded by project
year.
Principal and interest payments for the City are projected to stay fairly level over the next
several years before dropping in 2024 and again in 2031.
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CITY OF HOPKINS
2018 Capital Improvement Projects
Building Improvements
The Hopkins Center for the Arts built in 1997 has been upgrading and enhancing the facility that is
approaching 20 years old. 2017 saw a multitude of enhancement projects totaling over $300,000. The
facility has one project planned for 2018, to replace the lobby carpet. The 2018 project will continue to
enhance the facility and be a noticeable improvement for all patrons at the facility.
The Activity Center, a facility for senior programming will replace several sections of aging roofs that were
last replaced between 1989 and 1992. There are plans to upgrade several older windows to become more
energy efficient.
The Council Chambers continues with its technology improvements in 2018 a new sound system will be
installed. There are no operational savings to this project; however the current system is dated and have
no volume control.
The Pavilion Ice Arena built in 1990 is scheduled to replace the R22 direct ice refrigeration system because
of regulations requiring ozone-friendly refrigerant. In 2017 the City worked with two outside groups to
coordinate funding for additional features, including remodeled and enlarged locker room space; outdoor
rink ice resurfacer garage; shower rooms; expanded lobby; and restroom and lobby floor improvement.
The project will also replace a warming house used for outdoor hockey in the winter months. The total
project will cost $5,700,000. The city will fund $3,700,000 of the project, with $600,000 coming from the
Park Improvement Fund (for the warming house) and bonds for the remaining $3,100,000 to be paid by tax
levy. The Hopkins Youth Hockey Association and Hopkins School District will each contribute $1,000,000
for the project.
The Police Station and Fire Hall will have kitchen improvements and a new apparatus floor finish,
respectively.
Parks – Several parks will see needed improvements in 2018. Park Valley Park will get new play
equipment. Burnes Park and Oakes Park will both get resurfaced tennis courts. Elmo Park will get new
play equipment for 2 – 5 year olds. Central Park will see a new amenity in Hopkins, Pickle Ball Courts.
Shady Oak Beach, a facility shared with the City of Minnetonka will get preventative interior and exterior
building maintenance, interior and exterior lighting upgrades and irrigation improvements. The City of
Hopkin’s share of project cost is 33%.
Pedestrian and Bike Trail Improvements – The City recently adopted a plan to increase pedestrian and
bicycle access and safety. As part of that plan a number of bike lanes will be painted along with constructing
trails and sidewalks. There are no operational or budgetary savings from this project but is done as the
City’s commitment to healthy living for Hopkins area residents.
Street & Pavement Management – A funding and implementation plan for repair and maintenance of
Hopkins roadways exists. Needs are identified and funded through State Aids, special assessments,
utilities, tax increments and annual levies. This program identifies the most opportune time to repair streets.
In 2018 the City anticipates spending approximately $11,894,900 on street improvements that also include
water, sewer and storm sewer infrastructure improvements. The largest projects are the 2018 street
reconstruction project at $3.6 million, and Blake Road corridor improvements at $7.9 million. Also scheduled
are street sign replacements of aged regulatory and warning signs. A proactive pavement management
and infrastructure improvement program aids in keeping public works maintenance costs to a reasonable
level and as a result of the city’s program, maintenance costs have remained relatively stable over the last
five years. Planned street reconstruction costs will annually save the city an estimated $25,000 in
sealcoating and crack seal expenses.
Utilities – Included in the CIP for 2018 is annual storm drainage maintenance in the form of concrete alley
repairs, along with upgrade of water, sewer and storm sewer lines done in conjunction with residential street
improvements. Operational impacts are reduced maintenance costs within the utility funds estimated at
$5,000-10,000 annually.
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CITY OF HOPKINS
CAPITAL IMPROVEMENT PROJECTS FOR 2018
The projects described above and on the previous page are planned for 2018. The complete Capital
Improvement Plan (CIP) is five years. Both of the CIP and Equipment Replacement Plan (ERP) described
on the following page assist the City with budgeting.
Project Title Investment Project Description
Activity Center $105,000 Replace Gymnasium Roof
Activity Center $80,000 Replace Raspberry Room Roof
Activity Center $80,000 Replace Lower Roof
Activity Center $75,000 W indow Upgrade
Arts Center $52,000 Replace Lobby Carpet
Technology Improvement $15,000 Council Chambers and Studio
Fire Department $28,500 Replace Carpet and Apparatus Floor Finish
Pavilion Ice Arena $35,000 Restroom/Lobby Floor Improvement
Pavilion Ice Arena $65,000 Overhead Door Replacement
Pavilion Ice Arena $75,000 S kate Tile Replacement
Pavilion Ice Arena $4,400,000 Regrigeration Equipment & Arena Floor Replacement
Pavilion Ice Arena $25,000 E ntry and Lobby Door Replacement
Pavilion Ice Arena $28,000 P aint Exterior Building
Pavilion Ice Arena $48,000 P aint Ceiling and Bar Joist
Police Department $15,000 K itchen Improvements
Parks - Park Valley $100,000 P lay Equipment
Parks - Burnes Park $20,000 Resurface Tennis Courts
Parks - Oakes Park $20,000 Resurface Tennis Courts
Parks - Pavilion Addition/Warming
House
$600,000 Add Warming House to current Pavilion Arena
Parks - Elmo Park $75,000 P lay Equipment
Parks - Central Park $300,000 P ickleball Courts
Parks - Shady Oak Beach $75,000 Monument Sign
Residential Street Improvements $3,600,000 2018 Residential Street Improvement Project
Pedestrian & Bike Improvements $25,000 P ainting Bike Lanes, Constructing Trails and Sidewalks
Blake Road Corridor Improvements $7,949,900 Reconstruct Blake Road from Excelsior Boulevard to
Highway 7 (two year project)
Street Overlay Improvements $300,000 Various streets as identified in the street management
plan
Street Sign Management $20,000 Replace Aged Regulatory and Warning Signs
Transporttion $620,000 E nhancements to 3 Light Rail Transit Stations
Sewer $21,000 A lley Repairs
Storm Drainage $50,000 S ewer Lining
TOTAL $18,902,400
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CITY OF HOPKINS
Equipment Replacement Plan
2018 Equipment Replacement
In addition to the CIP, the City also completes an Equipment Replacement Plan (ERP). The ERP is a
twenty-year forecast and a five-year plan of equipment needs within the City. In is intended to inform the
Council and citizens of the major equipment needs on the horizon. The first year of the plan becomes an
adopted equipment budget and relates to the operating budget of the equipment replacement fund, which
is approved on an annual basis. The remaining nineteen years represent an estimate of equipment needs
and funding capabilities of the City. Funding requirements vary from year to year. In order to maintain a
fairly consistent levy each year, the twenty-year schedule is projected with a 3% inflation factor for operating
expenses and a yearly average dollar capital expenditure of $1.03 million. Revenues for the ERP are
derived from charges to the departments that use the equipment and are based on the equipment needs
of the various departments over the twenty-year period.
The following items are in the 2017 ERP and have been approved for purchase in 2017.
Project Title Investment Project Description
Arts Center $47,000 Surveillance System
Technology Upgrades $22,000 City Hall Network Server
Technology Upgrades $30,000 Staff Computers
Technology Upgrades $17,000 Core Network Switch
Technology Upgrades $6,000 Wi-Fi and Cellular Upgrades
Technology Upgrades $22,000 Police Department Network Server
Fire - Aerial Truck $54,217 Lease Payment on Aerial Truck Finance in 2008
Police Patrol Vehicles $147,000 Marked Patrol Vehicles used by Police Officers
Police Sergeant Vehicle $49,000 Marked Patrol Vehicle used by Sergeants
Police 4x4 Utility Vehicle $55,000 Marked Patrol Vehicle used by Parking Enforcement
Tactical Vests & Helmets $55,000 Replace 12 Tactical Vests and Helmets used by SWAT Team
Taser Replacement $35,000 Replacement of Tasers on a 5 year cycle
Technology Upgrades $115,000 Police Department Video Data Server
Public Works Building &
Equipment Services
$36,000 4x4 3/4 Ton Truck
Public Works Building &
Equipment Services
$25,000 Forklift
Public Works Parks/Forestry $63,300 Toolcat
Public Works Streets $54,600 4x2 1 Ton Dump Truck
Public Works Streets $235,000 Tandem Dump Truck
Refuse $95,000 Swap Loader
TOTAL $1,163,117
53
CITY OF HOPKINS
2018 Other Budgeted Capital Expenditures
Along with the Capital Improvement and Equipment Replacement Plans the city has the following capital
items budgeted in the operating budgets of the General Fund. The first year an item is requested it must
be funded within the department making the request. Once the item has been funded it will be placed in
the ERP for future replacement. All construction related capital items are always placed in the CIP
regardless of the funding source. Items with a value of $5,000 or greater are defined as capital
expenditures within the General Fund. Items with a value of $5,000 or more will be placed in the ERP for
future replacement once funded by the department making the request. The exception is capital items in
the Chemical Assessment Team Special Revenue Fund, which is fully funded by State of Minnesota
HazMat grant dollars.
The following capital items have been budgeted in the General and Special Revenue Funds for 2018.
Total budgeted capital items from all funding sources totals $20,094,317 for 2017.
PROJECT TITLE
General Fund
City Hall $10,000
City Hall $8,000
Fire Department $10,800
TOTAL $28,800
Replace Lunchroom Seats and Furniture
Reconfigure Community Development and Inspections
Departments
Equipment Washer and Dryer
Items in the City’s Equipment Replacement Plan include a jet
vactor used by the sewer department and a telesquirt fire truck.
54
CITY OF HOPKINS
GENERAL FUND BUDGET PROJECTIONS
General Fund
Property tax revenue is the amount needed to fill the gap between budgeted revenues and appropriations.
The average increase in levy for the general fund for years 2018 through 2022 is projected to be 4.39%,
which the City Council feels is acceptable given the current economic situation. This projection reflects an
appropriation increase of 4.53%% for 2018 and an average increase for years 2018-2022 of 3.92%%. The
actual amount for any particular year may be reduced through appropriation cuts or new revenue sources.
The city’s reliance on support from the state has significantly decreased over the years as the state faced
its budget challenges and reduced local support. At one time taxes were less than 70% of total revenues.
They now comprise 82%. The city no uses a conservative estimate for state support while budgeting.
Tax base growth is used as a guide in keeping the property tax increase to a reasonable level. Due to
recent economic development Hopkins saw taxable market value increase by 6.33% in the current tax year.
The city continues to work with developers on several redevelopment projects that will contribute to the
increase in the tax base despite what current market trends indicate. Therefore Hopkins tax base will most
likely see an overall increase in the next few years.
Franchise fees – The City implemented an electric and gas utility franchise fee in 2004 to help offset the
amount of tax levy needed to fund general operations. The franchise fee has an optional sunset clause
after two years but has been renewed for two additional years in 2007, 2009, 2011 and for five years in
2013. The franchise fee is set to expire December 31, 2018 and staff most likely will recommend its renewal
as this source of income has become an important component of the budget. While the franchise fee is
reviewed annually the City Council along with staff continues to analyze its usefulness.
Approved
2017 2018 2019 2020 2021 2022
Projected Budget Budget Budget Budget Budget
Current Revenues
Property Tax 10,083,560$ 10,832,657$ 11,568,090$ 12,101,381$ 12,378,236$ 12,951,081$
Intergovernmental Revenues 1,078,945 1,173,933 1,152,759 1,137,471 1,143,845 1,150,284
License, Permits and Fines 1,007,348 785,465 793,118 801,048 809,060 817,149
Charges for Current Services 323,654 222,850 225,079 227,329 229,603 231,899
Other Revenue 197,671 130,450 131,605 132,771 133,948 135,138
Franchise Fee 309,729 290,000 290,000 290,000 290,000 290,000
Total Revenues 13,000,907 13,435,355 14,160,651 14,690,000 14,984,692 15,575,551
Current Expenses
Salaries and Employee Benefi 9,711,631 9,765,510 10,401,214 10,818,381 11,088,840 11,421,506
Materials, Supplies and Servic 3,238,270 3,588,045 3,739,436 3,851,619 3,875,852 4,134,045
Capital outlay 30,334 66,800 - - - -
Transfer Out 15,000 15,000 20,000 20,000 20,000 20,000
Total Expenditures 12,995,235 13,435,355 14,160,651 14,690,000 14,984,692 15,575,551
Change in Fund Balance 5,672 - - - - -
Fund Balance 5,643,075$ 5,643,075$ 5,643,075$ 5,643,075$ 5,643,075$ 5,643,075$
Projected
55
CITY OF HOPKINS
Intergovernmental revenue received by the City include police and fire aid, which is used to offset pension
costs of the police and fire departments and municipal state aid for streets. The City of Hopkins receives
less than 9% of its budget from state grants and programs. The revenue we do receive is derived from
fees on services to the public – police & fire aid is from fees on insurance policies purchased by individuals
and companies, municipal state aid is derived from gas tax. Both these sources remain stable. The State
of Minnesota also provides Hopkins with about $500,000 in Local Government Aid. This funding source
previously received up until 2003 before it was eliminated was reinstated at a much lower level in 2014 and
continues into 2018.
Licenses, permits and fines include building permits are dependent on new construction and remodeling
projects. Based on projected new construction projects, historical information and economic conditions
revenues are expected to increase significantly for 2018 from the 2017 budget with revenues continuing to
show small increases in the following years as. Fine revenue continues to be stable with slight increases
due to implementation of license violation and administrative citations. The additional revenues received
in 2017 were from commercial re-development projects and apartments. Unless a developer’s commercial
project has funding it is the City’s practice to not budget for those amounts.
Various programs throughout the City generate charges for services and a significant portion of this line
item is plan review, housing inspection fees and vacant property registrations. Charges are usually
increased by an inflationary rate but due to projected development and the resulting plan review fees we
expect to see a slight increase for the 2018 budget. Future projections are to forecast an increase of 1%
annually.
The general fund, which accounts for one third of the City's operating expenses, has a revenue budget of
$13,435,355 and an appropriation budget of the same. The increase in appropriations over 2017 is
$600,043 or 4.67%. The budget was prepared with the intention of meeting the budget goals, while assuring
efficiency and effectiveness in all positions.
For 2018, the budget was prepared with 1.0 new FTE staffing; 1 full-time fire marshal; a 3% wage increase
for all employee groups, a contingency budget for unsettled employee contracts, , and small inflationary
increases in street maintenance expenses for road repairs and other general departmental expenses. The
enhanced medical response program implemented in 2007 will continue into 2018 as the program has
allowed for greater efficiencies in the police department and increased service to the public. Other budget
considerations for 2017 are the cost of employee health insurance and normal inflationary increases. The
council attempts to balance maintaining the current level of services while meeting the increasing needs of
the public.
An emphasis remained on holding the line on the cost of current government services, while recognizing
the increased cost of providing those services. Departments were requested to provide financial
information by programs within a department and the council spent considerable time reviewing that
information before adopting the budget.
The council and staff implemented a long-rage financial management plan for 2014 that provides funding
for future needs. The plan includes staffing, operational and capital needs and sets forth funding
mechanism to meet those expenditures. This plan played a key role in developing the 2018 budget for all
city funds. Staff also continues to explore ways to contain costs and develop new revenue sources so that
we can maintain the quality of life Hopkins residents have come to expect.
56
CITY OF HOPKINS
The chart above shows 2017 actual expenditures along with the 2018 approved budget
and projected budgets from 2019 through 2022.
The general fund tax levy rises in proportion to general fund expenditures. Currently
Hopkins relies on its property taxes as its major source of revenue. In fact property
taxes account for 82% of General Fund revenues.
57
CITY OF HOPKINS
General Fund Appropriation Budget Comparisons – By Department
2018 Mayor & Council
Katy Campbell, Jason Gadd, Mayor Molly Cummings, Kristi Halverson, Aaron Kuznia
Budget
2016 2017 2017 2018
Actual Actual Budget Budget Change
Council $ 90,417 $ 87,385 $ 82,898 $ 103,559 $ 20,661 24.92%
Administrative Services 560,494 661,048 629,648 682,183 52,535 8.34%
Finance 324,222 373,600 282,658 284,178 1,520 0.54%
Legal 196,904 247,785 150,000 150,000 - 0.00%
Municipal Building 367,667 393,089 346,732 383,229 36,497 10.53%
Community Services 1,131,565 1,061,787 1,146,560 1,107,918 (38,642) -3.37%
Police 4,739,512 5,218,315 5,095,102 5,103,226 8,124 0.16%
Fire 1,174,801 1,055,895 1,176,532 1,239,858 63,326 5.38%
Public Works 2,635,037 2,941,661 2,800,935 2,912,055 111,120 3.97%
Recreation 569,136 656,129 667,778 682,307 14,529 2.18%
Planning & Economic Dev. 161,331 201,578 246,877 196,774 (50,103) -20.29%
Community Development 90,541 95,856 124,820 126,868 2,048 1.64%
Unallocated 151,513 1,107 84,772 463,200 378,428 446.41%
TOTAL $12,193,140 $12,995,235 $12,835,312 $13,435,355 $ 600,043 4.47%
$ Amount
Change
58
CITY OF HOPKINS
Budget Projections – Other Major Funds
The City also prepares budget projections for its budgeted major funds which include the following:
Special Revenue Funds – Economic Development, Arts Center
Enterprise Funds – Water, Sewer, Storm Sewer
The main source of revenue for the Economic Development Fund is a special development tax levy based
on a percentage of the market value. As the market value fluctuates so does the amount of the levy. Funds
are used for development efforts by the City and to provide assistance to developers. Intergovernmental
revenues in the form of grants from the County or Metropolitan Council are applied for when there are
specific needs by a developer for site remediation in order to make a project viable. In the past the City
has been successful at obtaining these grants on behalf of developers which has assisted in a number of
recent projects which in turn adds to the tax base.
Economic Development Fund
Approved
2017 2018 2019 2020 2021 2022
Actual Budget Budget Budget Budget Budget
Current Revenues
Property Tax 449,135$ 332,031$ 338,672$ 345,445$ 352,354$ 359,401$
Intergovernmental Revenues 35,276 - - - - -
Other Revenue 181,128 70,000 15,500 15,500 15,500 15,500
Total Revenues 665,539 402,031 354,172 360,945 367,854 374,901
Current Expenses
Salaries and Employee Benefits 230,844 175,635 182,660 189,967 195,666 201,536
Materials, Supplies and Services 329,259 70,065 70,766 71,473 72,188 72,910
Total Expenditures 560,103 245,700 253,426 261,440 267,854 274,446
Change in Fund Balance 105,436 156,331 100,746 99,505 100,000 100,455
Fund Balance 4,761,596$ 4,917,927$ 5,018,673$ 5,118,177$ 5,218,178$ 5,318,633$
Projected
The Gallery Flats apartments are
a recent development project that
brought 163 luxury apartments to
the housing market in 2014 and
has added significant value to the
tax base. Behind the Gallery Flats
is The Moline, a 263 luxury
apartment complex currently
under construction and expected
to add $63 million to the tax base.
59
CITY OF HOPKINS
The Hopkins Center for the Arts “Arts Center” was built in 1997 with funds from the City, the State of
Minnesota as well as contributions from corporations, foundations, local civic organizations, businesses
and individuals. The Arts Center is owned by the City of Hopkins and has a major tenant in Stages Theater
Company (children’s theater) and Hopkins School District 270. While ticket sales and lease rent provide
a significant income stream it has not always been sufficient to meet expenditures and as a result the fund
has a large deficit. Over the last five years various changes in operations has resulted in some success at
reducing the deficit, however it has not been sufficient to totally eliminate the negative position. As part of
the City’s long-range financial management plan staff and council emphasized that the negative position
must be eliminated. While not ruling out donations and naming rights to the theater, with the state of the
economy we need to address the deficit now. As a result the City implemented a tax levy for 2015 that will
eliminate the negative fund balance in 2024. In addition, Arts Center staff has been reorganized and
additional efforts have been made to rent and lease the various available spaces to the extent possible.
Arts staff has also been successful at obtaining grants for programming from the MN Arts Boards which
help underwrite the cost of hiring performance artists. Expenditures are expected to increase 3% a year to
keep up with inflation. In addition to operational expenditures the Arts Center due to its age has several
capital needs over the next couple
of years that add to its budget
challenges. The Arts Center has a
partner in their fund raising efforts
through the Friends of the Hopkins
Center for the Arts, a 501(c)3
nonprofit that raises funds to
support arts programming at the
Center, coordinates volunteer
efforts and fosters public awareness
of the Center.
Arts Center Approved
2017 2018 2019 2020 2021 2022
Actual Budget Budget Budget Budget Budget
Current Revenues
Property Tax 243,665$ 250,000$ 257,500$ 400,000$ 700,000$ 700,000$
Intergovernmental Revenues 32,502 41,000 41,820 42,656 43,509 44,379
Charges for Current Services 501,250 547,906 567,899 582,260 596,997 612,123
Other Revenue 44,395 49,800 43,800 43,800 43,800 43,800
Transfers In 86,920 86,920 86,920 86,920 86,920 86,920
Total Revenues 908,732 975,626 997,939 1,155,636 1,471,226 1,487,222
Current Expenses
Salaries and Employee Benefits 415,740 458,339 496,773 515,402 534,729 554,782
Materials, Supplies and Services 342,599 403,069 418,184 433,866 450,136 467,016
Capital Outlay 330,557 131,500 100,000 103,000 106,090 109,273
Total Expenditures 1,088,896 992,908 1,014,957 1,052,268 1,090,955 1,131,071
Change in Fund Balance (180,164) (17,282) (17,018) 103,368 380,271 356,151
Fund Balance (1,177,204)$ (1,194,486)$ (1,211,504)$ (1,108,135)$ (727,865)$ (371,713)$
Projected
60
CITY OF HOPKINS
The water fund has several maintenance projects planned in 2018 that will draw on reserves. Water
utility rates were increased by approximately 6.7% in 2018 to continue to cover capital and replacement
costs. Maintenance costs are projected to increase about 2% over the next 4 years. Budgeted transfers
are for the water funds share of the public works facility debt as the water department headquarters are
located in that facility.
Sewer treatment costs to the Metropolitan Council, a regional sewer treatment system are 55% of the
expenditures of the sewer fund. The Met Council charges municipalities a percentage of their annual
budget based on individual cities water flow. This charge can fluctuate based on water used in Hopkins
versus the entire region although our percentage has stayed constant the last few years. The variable
factor is the Met Council budget. Sanitary sewer charges to customers were increased in 2018 to continue
to pay for capital and replacement costs. In 2018 scheduled maintenance includes sewer lining for
approximately $50,000. Budgeted transfers are for the sewer funds share of the public works facility debt
as the sewer department headquarters are located in that facility.
Water Fund Approved
2017 2018 2019 2020 2021 2022
Actual Budget Budget Budget Budget Budget
Current Revenues
Utility Charges 1,683,816$ 1,985,085$ 2,108,324$ 2,251,690$ 2,404,805$ 2,568,332$
Other Revenue 148,461 162,000 176,460 179,989 183,589 187,261
Total Revenues 1,832,277 2,147,085 2,284,784 2,431,679 2,588,394 2,755,593
Current Expenses
Salaries and Employee Benefits 510,512 367,035 381,716 396,985 408,895 421,161
Materials, Supplies and Services 890,583 1,132,753 1,163,633 1,194,725 1,230,566 1,267,484
Depreciation 303,421 250,000 325,000 325,000 325,000 325,000
Debt Service Payments 60,867 43,547 38,073 35,010 30,710 26,160
Transfer Out 24,120 187,475 191,325 190,125 188,925 192,675
Total Expenditures 1,789,503 1,980,810 2,099,747 2,141,845 2,184,096 2,232,480
Net Income 42,774 166,275 185,037 289,834 404,298 523,113
Projected
Sewer Fund Approved
2017 2018 2019 2020 2021 2022
Actual Budget Budget Budget Budget Budget
Current Revenues
Utility Charges 2,669,872$ 3,088,299$ 3,242,714$ 3,404,850$ 3,575,092$ 3,753,847$
Other Revenue 18,578 - 1,200 1,200 1,200 1,200
Total Revenues 2,688,450 3,088,299 3,243,914 3,406,050 3,576,292 3,755,047
Current Expenses
Salaries and Employee Benefits 252,584 396,385 412,240 428,730 441,592 454,840
Materials, Supplies and Services 1,770,346 2,033,830 2,124,929 2,184,554 2,250,091 2,317,593
Depreciation 202,237 170,000 215,000 215,000 215,000 215,000
Debt Service Payments 35,975 33,056 29,493 26,068 22,368 18,568
Transfer Out 20,236 112,931 186,150 186,150 186,150 186,150
Total Expenditures 2,281,378 2,746,202 2,967,812 3,040,502 3,115,201 3,192,151
Net Income 407,072 342,097 276,102 365,548 461,091 562,896
Projected
61
CITY OF HOPKINS
The storm sewer fund has not had to raise rates since 2009 due to its strong financial position and there
are currently no plans to raise them in the near future. Expenditures continue to be stable with no significant
maintenance projects planned for 2018. Budgeted transfers are for the storm sewer funds share of the
public works facility debt as the storm sewer department headquarters are located in that facility.
Storm Sewer Fund Approved
2017 2018 2019 2020 2021 2022
Actual Budget Budget Budget Budget Budget
Current Revenues
Utility Charges 803,709$ 802,000$ 802,000$ 802,000$ 802,000$ 802,000$
Other Revenue 41,130 8,200 1,200 1,200 1,200 1,200
Total Revenues 844,839 810,200 803,200 803,200 803,200 803,200
Current Expenses
Salaries and Employee Benefits 61,831 68,097 70,821 73,654 75,863 78,139
Materials, Supplies and Services 114,298 79,000 103,700 106,103 109,286 112,565
Depreciation 246,120 227,000 250,000 250,000 250,000 250,000
Debt Service Payments 24,486 22,341 120,000 120,000 125,000 125,000
Transfer Out - 130,504 134,850 134,850 134,850 134,850
Total Expenditures 446,735 526,942 679,371 684,607 694,999 700,554
Net Income 398,104 283,258 123,829 118,593 108,201 102,646
Projected
62
CITY OF HOPKINS
GENERAL FUND BUDGET
Revenues and Expenditures
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Property Taxes $9,113,565 $9,544,396 $10,083,561 $10,366,866 $10,832,857 4.50%
Intergovernmental 1,043,085 1,061,205 1,078,944 1,028,426 1,173,933 14.15%
Licenses, Permits and Fines 706,791 900,057 1,022,348 700,825 779,065 11.16%
Interest Earnings 47,932 36,547 22,319 20,000 15,000 -25.00%
Charges for Services 285,911 406,998 323,655 215,650 229,050 6.21%
Franchise Fees 300,390 306,335 309,729 290,000 290,000
Miscellaneous 36,448 39,729 160,351 213,545 115,450 -45.94%
Total Revenues 11,534,122 12,295,267 13,000,907 12,835,312 13,435,355 4.67%
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 6,403,425 6,744,621 7,228,596 7,058,003 7,113,623 0.79%
Fringe Benefits 2,384,226 2,428,413 2,483,037 2,680,102 2,651,883 -1.05%
Materials, Supplies and Services
Professional & Technical Services 1,024,164 1,163,326 1,519,340 1,133,185 1,412,715 24.67%
Utilities and Maintenance 712,335 828,854 974,619 853,510 1,017,087 19.17%
Operations 443,911 484,999 585,169 641,726 1,038,133 61.77%
City Support Services 148,886 134,056 73,554 203,655 112,000 -45.01%
Supplies and Materials 720,984 785,273 554,711 743,300 499,160 -32.85%
Capital Outlay
Buildings & Improvements - - - -
Vehicles - - - -
Office Furniture and Equipment - - 10,256 10,400 20,500
Equipment 5,622 - 23,945 21,300 36,300 70.42%
Equipment Allocation 342,998 404,816 441,193 441,193 485,013 9.93%
Total Expenditures 12,186,551 12,974,358 13,894,420 13,786,374 14,386,414 4.35%
Transfer Out 10,000 140,000 15,000 15,000 15,000
Reimbursed Expenditures (968,029) (921,218) (914,185) (966,062) (966,059) 0.00%
Net Total Expenditures 11,228,522 12,193,140 12,995,235 12,835,312 13,435,355 4.67%
Excess (deficiency) of Rev. over Exp.305,600 102,127 5,672 - -
Ending Fund Balance 5,694,464 5,796,591 5,802,263 5,898,718 5,802,263
63
CITY OF HOPKINS
UNALLOCATED
Revenues and Expenditures
Projected
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Property Taxes $9,113,014 $9,544,095 $10,082,136 $10,366,666 $10,832,657 4.50%
Intergovernmental Revenue 409,112 434,473 444,405 444,426 569,533 28.15%
Interest earnings 47,931 31,992 28,282 20,000 15,000 -25.00%
Franchise Fees 300,390 306,355 309,729 290,000 290,000
Miscellaneous 5,839 508 21,700 250 250
Total Revenues 9,876,286 10,317,423 10,886,252 11,121,342 11,707,440 5.27%
Expenditures
Materials, Supplies and Services
Operations 11,685 11,513 (13,894) 69,772 448,200 542.38%
Operating Transfers
Transfer from other funds - - - - -
Transfer to other funds 10,000 140,000 15,000 15,000 15,000
Total Expenditures 21,685 151,513 1,106 84,772 463,200 446.41%
Indirectly Funded Amount 9,854,601 10,165,910 10,885,146 11,036,570 11,244,240 1.88%
64
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Unallocated
PROGRAM SUMMARY
The purpose of the unallocated program of the General Fund is to provide budget for unforeseen or unusual
expenditures that may occur in a given year. The revenues recorded here are revenues that are not directly
associated with another program within the city.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Monitor tax collections
2. Evaluate franchise fee structure
3. Maximize investment earnings
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Property Taxes $ 10,082,136 $ 10,366,666 $ 10,832,657 4.50%
Intergovernmental 444,404 444,426 569,533 28.15%
Interest Earnings 28,282 20,000 15,000 -25.00%
Franchise Fee 309,729 290,000 290,000 0.00%
Miscellaneous 21,700 250 250 0.00%
Total Revenues 10,886,251 11,121,342 11,707,440 5.27%
EXPENDITURES:
Other Services & Charges (13,894) 69,772 448,200 542.38%
Operating Transfer 15,000 15,000 15,000 --
Total Expenditures 1,106 84,772 463,200 446.41%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 10,885,146 $ 11,036,570 $ 11,244,240 1.88%
65
CITY OF HOPKINS
CITY COUNCIL BUDGET
Revenues and Expenditures
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 25,507 36,004 34,913 32,000 38,860 21.44%
Fringe Benefits 2,346 2,723 2,748 2,448 5,499 124.63%
Materials, Supplies and Services
Professional & Technical Services 110 -5 150 650 333.33%
Operations 46,133 43,792 45,228 42,500 45,000 5.88%
Supplies and Materials 8,171 7,898 4,489 5,800 13,550 133.62%
Total Expenditures 82,266 90,417 87,383 82,898 103,559 24.92%
Indirectly Funded Amount 82,266 90,417 87,383 82,898 103,559 24.92%
The City Council Department accounts for the expenses of the
mayor and council.
66
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Council Administration
PROGRAM SUMMARY
The Council Administration program of the Council Department establishes city policies, goals and objectives. It
approves the budget and monitors the activities of the City Manager and City Attorney. The council also appoints
members to boards and commissions. The City Council holds regular meetings and work sessions, receives input
from staff, citizens and other interested parties. The Council controls policy through changes in the City Code and
Legislative Policies. They control spending through their review and approval of the City budget and various
contracts.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
Work across all city departments and the community to implement the current Goals and Strategic Plan: (1)
Preserve the Home Town Feel of Hopkins, (2) Urban Design: Do It Right, and (3) Take it to Them (citizen
engagement)
1. Promote city marketing efforts through the “Think Hopkins” campaign
2. Conduct 2018 Citizen’s Academy and Alumni event
3. Publish 2017/18 City Annual Report
4. Conduct 2017 State of the City event
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services 37,662$ 34,448$ 44,359$ 28.77%
Other Services & Charges 49,723 48,450 59,200 22.19%
87,385$ 82,898$ 103,559$
NET TAX AND GENERAL
REVENUE SUPPORTED 87,385$ 82,898$ 103,559$ 24.92%
PERSONNEL:
Number of FTE positions Mayor and 4 Council
67
CITY OF HOPKINS
ADMINISTRATIVE SERVICES BUDGET
Revenues and Expenditures
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2017 Change
Expenditures
Salaries, Wages and Benefits
Salaries and Wages $429,997 $445,790 $449,106 $401,961 $438,046 8.98%
Fringe Benefits 144,464 132,770 135,361 165,000 129,138 -21.73%
Materials, Supplies and Services
Professional & Technical Services 15,865 18,454 59,803 70,800 34,300 -51.55%
Utilities and Maintenance 16,438 16,466 14,644 14,790 15,272 3.26%
Operations 14,301 44,197 91,805 72,671 114,539 57.61%
City Support Services 1,805 2,229 2,356 2,356 2,559 8.62%
Supplies and Materials 4,979 4,588 11,972 6,070 10,135 66.97%
Total Expenditures 627,849 664,494 765,047 733,648 743,989 1.41%
Reimbursed Expenditures (104,000) (104,000) (104,000) (104,000) (104,000)
Net Total Expenditures 523,849 560,494 661,047 629,648 639,989 1.64%
Indirectly Funded Amount 523,849 560,494 661,047 629,648 639,989 1.64%
The Administrative Services Department is made up of four programs. They are
Administration, Personnel, Wellness and Information Technology Services
68
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Administrative Services – Administration
PROGRAM SUMMARY
The Administration program of the Administrative Services Department provides leadership and support to all city
programs and operations. Administration controls and directs the City’s affairs. It responds to citizen concerns and
participates in affiliated organizations.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Encourage innovative, creative thinking and inform the City Council and community of new programs and
activities.
2. Develop leadership team to ensure the city’s long term viability through an engaged and empowered workforce.
3. Continue to operate and enhance the employee engagement & wellness program.
4. Increase ways for community engagement.
5. Prepare a legislative agenda, monitor legislative issues, and lobby on issues affecting the City
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services $224,137 $ 232,725 $232,884 0.07%
Other Services & Charges 31,786 32,469 35,791 10.23%
Reimbursed Expenditures (66,000) (66,000) (66,000)0.00%
$189,923 $ 199,194 $202,675
NET TAX AND GENERAL
REVENUE SUPPORTED $189,923 $ 199,194 $202,675 1.75%
PERSONNEL:
Number of FTE positions 2.05 2.05 2.05
PROGRAM: Administrative Services – Personnel
PROGRAM SUMMARY
Personnel provides human resource support for departments and employees. This includes coordination of staff
recruitment, coordination of employee benefit programs and conducting employee relations’ activities for all City
employees. Another aspect of this program is ensuring compliance with state, federal and local laws regarding
employment.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Complete classification and compensation study.
2. Successfully engage new employees.
3. Assist the City Manager with staff development opportunities.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services $ 43,141 $ 56,956 $ 56,967 0.02%
Other Services & Charges 52,786 55,420 20,439 -63.12%
Reimbursed Expenditures (16,000) (16,000) (16,000)0.00%
$ 79,927 $ 96,376 $ 61,406
NET TAX AND GENERAL
REVENUE SUPPORTED $ 79,927 $ 96,376 $ 61,406 -36.28%
PERSONNEL:
Number of FTE positions 0.4 0.4 0.4
69
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Administrative Services – Wellness
PROGRAM SUMMARY
The Wellness program of the Administrative Services Department provides support and activities to encourage
overall general good health of city employees.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
Goal 2, Strategy 3 – Healthy City Initiatives:
1. Continue to provide healthy guidance to employees.
2. Provide at least one low cost wellness event six times a year.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Other Services & Charges 1,417 2,500 2,550 2.00%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 1,417 $ 2,500 $ 2,550 2.00%
PERSONNEL:
Number of FTE positions 0 0 0
PROGRAM: Administrative Services - Information Services
PROGRAM SUMMARY
The Information Services program of the Administrative Services Department provides all network hardware and
software support for the City. It also provides individual city employees with hardware and software support. The
internal web site is designed and maintained through this program.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Implement Web Based E-mail
2. Implement new backup servers.
3. Improve event log storage and correlation.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services $317,128 $ 277,280 $277,334 0.02%
Other Services & Charges 94,653 76,310 118,025 54.67%
Reimbursed Expenditures (22,000) (22,000) (22,000)0.00%
$389,781 $ 331,590 $373,359
NET TAX AND GENERAL
REVENUE SUPPORTED $389,781 $ 331,590 $373,359 12.60%
PERSONNEL:
Number of FTE positions 2.55 3.0 3.0
70
CITY OF HOPKINS
FINANCE BUDGET
Revenues and Expenditures
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Miscellaneous $17,643 $19,906 $20,515 $14,850 $14,850
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 287,326 279,040 385,615 294,992 294,992
Fringe Benefits 97,694 98,382 61,710 98,742 98,840 0.10%
Materials, Supplies and Services
Professional & Technical Services 149,156 122,916 115,234 55,035 50,885 -7.54%
Utilities and Maintenance 24,239 2,954 238 23,300 23,300
Operations 12,527 10,111 15,551 13,730 19,155 39.51%
City Support Services 356 394 394 394 406 3.05%
Supplies and Materials 20,550 6,201 6,000 6,200 6,200
Capital Outlay
Equipment Allocation 950 1,218 1,327 1,327 1,459 9.95%
Total Expenditures 592,798 521,216 586,069 493,720 495,237 0.31%
Reimbursed Expenditures (232,808) (196,994) (212,470) (211,062) (211,059) 0.00%
Net Total Expenditures 359,990 324,222 373,599 282,658 284,178 0.54%
Indirectly Funded Amount 342,347 304,316 353,084 267,808 269,328 0.57%
The Finance department consists of six programs. They are budgeting,
Debt Management, General Accounting, Payroll, Tax Increment Financing Reporting,
and Utility Billing.
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CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Finance – Debt
PROGRAM SUMMARY
The Debt program of the Finance Department issues, records and maintains debt for the City of Hopkins and the
Hopkins Housing and Redevelopment Authority. Debt is issued in accordance with state statute and city charter.
Debt is maintained at a manageable level for the city.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Maintain the current bond rating of AA+ through conservative financial management and accurate reporting of
financial and economic conditions of the city.
2. Project future debt needs and ability.
3. Prepare documents and work with financial advisors for 2018 bond issue.
4. Analyze possibilities of debt refunding(s).
5. Prepare annual debt reporting for county as required by state statutes
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services $ 19,573 $ 13,810 $ 13,813 0.02%
Other Services & Charges 1,532 1,682 1,685 0.18%
Reimbursed Expenditures (15,430) (15,118) (15,118)0.00%
$ 5,675 $ 374 $ 380
NET TAX AND GENERAL
REVENUE SUPPORTED $ 5,675 $ 374 $ 380 --
PERSONNEL:
Number of FTE positions 0.1 0.1 0.1
In January 2014 the City was
upgraded to a AA+ credit rating
by Standard & Poor’s. A
certificate recognizing this
achievement was presented to the
City by the City’s financial
advisors. The AA+ rating was
reaffirmed for each of the bond
issues sold in 2017.
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Miscellaneous $ 10,321 $ 5,850 $ 5,850 0.00%
EXPENDITURES:
Personnel Services $221,618 $ 191,851 $191,914 0.03%
Other Services & Charges 67,299 60,355 61,704 2.24%
Reimbursed Expenditures (64,000) (64,000) (64,000)0.00%
$224,917 $ 188,206 $189,618 0.75%
NET TAX AND GENERAL
REVENUE SUPPORTED $214,596 $ 182,356 $183,768 0.77%
PERSONNEL:
Number of FTE positions 2.0 2.0 1.75
FUND 101 – GENERAL FUND
PROGRAM: Finance – Accounting
PROGRAM SUMMARY
The Accounting program of the Finance Department provides financial management for the City and the Housing
and Redevelopment Authority. It provides support services to other departments in the City through initiating fiscal
plans, implementation and control of those plans, accounting and analysis of transactions. Accounting manages the
city’s day-to-day accounting transactions, including accounts receivable, accounts payable, cash receipts and
general accounting. The program prepares monthly and quarterly financial statements and compiles the year-end
comprehensive financial report.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Submit CAFR for the GFOA award
program.
2. Provide accurate and timely month-end and
quarterly financial reports.
3. Update the Financial Management Plan
4. Prepare 20-year Capital Improvement Plan.
5. Prepare 20-year Equipment Replacement
Plan
6. Update CAFR on city website.
PROGRAM: Finance – Payroll
PROGRAM SUMMARY
The Payroll program of the Finance Department completes the biweekly payroll, maintains all payroll records and
completes the payroll quarterly reports. It also provides support services to employees regarding payroll issues.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Assist employees with payroll and benefit issues/questions.
2. Provide accurate and timely payroll and reports.
3. Work with insurance company to manage insurance programs.
4. Prepare benefit open enrollment information and assist employees with questions regarding their benefit
options.
5. Provide employee benefit orientations for new hires
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services $107,772 $ 96,403 $ 96,712 0.32%
Other Services & Charges 986 6,406 6,135 -4.23%
Reimbursed Expenditures (20,000) (20,000) (20,000)0.00%
$ 88,758 $ 82,809 $ 82,847
NET TAX AND GENERAL
REVENUE SUPPORTED $ 88,758 $ 82,809 $ 82,847 0.05%
PERSONNEL:
Number of FTE positions 0.75 0.75 1.0
73
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services $ 19,895 $ 13,810 $ 13,813 0.02%
Other Services & Charges 19,208 3,507 3,510 0.09%
Reimbursed Expenditures (18,040) (16,943) (16,940)-0.02%
$ 21,063 $ 374 $ 383
NET TAX AND GENERAL
REVENUE SUPPORTED $ 21,063 $ 374 $ 383 --
PERSONNEL:
Number of FTE positions 0.1 0.1 0.1
FUND 101 – GENERAL FUND
PROGRAM: Finance – TIF Administration
PROGRAM SUMMARY
The Tax Increment Financing
Administration program of the
Finance Department records and
reports tax increment program
activities. It is charged with the
responsibility of ensuring compliance
with state statutes and guidelines.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Continue analysis of Tax
Increment Financing funds.
2. Assist with implementation of
new TIF districts.
3. Prepare annual Office of the
State Auditor reports.
PROGRAM: Finance – Utility Billing
PROGRAM SUMMARY
The Utility Billing program of the Finance Department prepares and issues monthly utility bills for collection of utility
service fees from its customers. Utility records are maintained and updated within this program.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Assist customers with utility billing issues and questions – change of service, change of ownership, etc.
2. Promote automatic payment options to increase usage of automatic payment.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Charges for service $ 10,195 $ 9,000 $ 9,000 0.00%
EXPENDITURES:
Personnel Services $ 78,467 $ 77,860 $ 77,880 0.03%
Other Services & Charges 49,718 28,036 28,071 0.12%
Reimbursed Expenditures (95,000) (95,001) (95,001)0.00%
$ 33,185 $ 10,895 $ 10,950 0.50%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 22,990 $ 1,895 $ 1,950 --
PERSONNEL:
Number of FTE positions 1.65 1.65 1.65
74
CITY OF HOPKINS
LEGAL BUDGET
Revenues and Expenditures
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Court Fines $ 144,676 $ 135,202 $ 103,347 $ 125,000 $ 125,000
Expenditures
Materials, Supplies and Services
Professional & Technical Services 156,835 196,904 247,785 150,000 150,000
Total Expenditures 156,835 196,904 247,785 150,000 150,000
Indirectly Funded Amount 12,159 61,702 144,438 25,000 25,000
The Legal Department is made up of two programs. They are Legal
Counsel and Prosecution.
75
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Legal
PROGRAM SUMMARY
The Legal department represents the City in court, at City Council meetings and direct contact with staff and the
general public. The firm of Kennedy & Graven is retained on a fee per hour basis. They respond to legal summons
and/or initiate action on behalf of the City. Written and oral inquiries are made by staff, council, citizens and other
interested parties. The city engages other law firms when necessary.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Prosecute the rights of the City.
2. Prosecute violators of the law.
3. Obtain quality legal representation for the City
4. Assist City staff with development projects
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Court Fines $ 103,347 $125,000 $ 125,000 0.00%
EXPENDITURES:
Other Services & Charges $ 247,785 $150,000 $ 150,000 0.00%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 144,438 $ 25,000 $ 25,000 0.00%
PERSONNEL:
The City contracts with a legal firm to represent the City.
76
CITY OF HOPKINS
MUNICIPAL BUILDINGS
Revenues and Expenditures
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2017 Change
Revenues
Miscellaneous $ -$ -$36,606 $ -$ -
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 96,996 101,449 106,257 104,655 118,725 13.44%
Fringe Benefits 43,272 44,834 46,587 54,217 47,187 -12.97%
Materials, Supplies and Services
Professional & Technical Services 40,865 36,395 92,277 42,000 44,650 6.31%
Utilities and Maintenance 120,293 179,656 149,466 139,350 146,750 5.31%
Operations 2,685 1,477 4,830 2,300 7,270 216.09%
City Support Services 14,174 17,877 14,478 18,770 15,247 -18.77%
Supplies and Materials 14,400 17,979 11,193 17,440 17,400 -0.23%
Capital Outlay
Office Furniture and Equipment - - - -18,000 100.00%
Total Expenditures 332,685 399,667 425,088 378,732 415,229 9.64%
Reimbursed Expenditures (32,000) (32,000) (32,000) (32,000) (32,000)
Net Total Expenditures 300,685 367,667 393,088 346,732 383,229 10.53%
Indirectly Funded Amount 300,685 367,667 356,482 346,732 383,229 10.53%
The Municipal Building Department consists of building maintenace.
77
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Municipal Building – Maintenance
PROGRAM SUMMARY
The Building Maintenance Department of Public Works is responsible for the maintenance and repair of all City
Buildings. The Municipal Budget covers City Hall and the Police Department. In house maintenance personnel and
contractual custodial services maintain these buildings and equipment.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continuation of Green Initiatives within City Hall.
2. Explore Renovation Project.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Miscellaneous $ 36,605 $ - $ - 0.00%
EXPENDITURES:
Personnel Services $ 152,844 $158,872 $ 165,912 4.43%
Other Services & Charges 272,245 223,310 249,318 11.65%
Reimbursed Expenditures (32,000) (32,000) (32,000)0.00%
$ 393,089 $350,182 $ 383,230 9.44%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 356,484 $350,182 $ 383,230 9.44%
PERSONNEL:
Number of FTE positions 1.45 1.45 1.45
City Hall at 11th Ave and 1st St
78
CITY OF HOPKINS
COMMUNITY SERVICES SUMMARY BUDGET
Revenues and Expenditures
Projected
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2017 Change
Revenues
Licenses $14,941 $15,305 $17,810 $13,000 $13,800 6.15%
Permits 481,338 559,807 692,790 379,510 456,950 20.41%
Current Services 31,801 290,333 161,610 106,050 99,050 -6.60%
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 632,989 717,434 652,158 656,725 656,725
Fringe Benefits 202,191 209,193 198,940 210,125 210,344 0.10%
Materials, Supplies and Services
Professional & Technical Services 172,119 177,421 134,325 185,745 215,830 16.20%
Utilities and Maintenance 8,348 8,048 12,550 14,560 16,725 14.87%
Operations 23,226 22,358 68,830 81,595 46,585 -42.91%
City Support Services 36,110 40,864 39,719 42,194 43,284 2.58%
Supplies and Materials 7,871 12,942 11,575 11,925 16,755 40.50%
Capital Outlay
Equipment Allocation 3,529 4,305 4,691 4,691 4,862 3.65%
Total Expenditures 1,086,383 1,192,565 1,122,788 1,207,560 1,211,110 0.29%
Reimbursed Expenditures (61,000) (61,000) (61,000) (61,000) (61,000)
Net Total Expenditures 1,025,383 1,131,565 1,061,788 1,146,560 1,150,110 0.31%
Indirectly Funded Amount 497,303 266,120 189,578 648,000 580,310 -10.45%
The Community Service department is made up of four main programs. They are
Reception, Assessing, Inspections, and City Clerk.
79
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services 40,751$ 41,957$ 41,971$ 0.03%
Other Services & Charges 600 1,087 222 -79.58%
$ 41,351 $ 43,044 $ 42,193
NET TAX AND GENERAL
REVENUE SUPPORTED $ 41,351 $ 43,044 $ 42,193 -1.98%
PERSONNEL:
Number of FTE positions 1.45 1 1
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Charges for service $ 1,400 $ 3,000 $ 3,000 0.00%
EXPENDITURES:
Personnel Services $ 91,687 $ 99,093 $ 101,432 2.36%
Other Services & Charges 73,927 145,229 123,794 -14.76%
Reimbursed Expenditures (24,000) (24,000) (2,400)-90.00%
$ 141,614 $220,322 $ 222,826 1.14%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 140,214 $217,322 $ 219,826 1.15%
PERSONNEL:
Number of FTE positions 1.05 1.05 1.05
FUND 101 – GENERAL FUND
PROGRAM: Community Services – Receptionist
PROGRAM SUMMARY
The Receptionist program of the
Community Services Department
answers calls at main switchboard and
route calls to various departments.
Directs walk-in customers to the
appropriate department. Sales of dog
licenses and parking permits occur in
this program. Receipts are accepted
for payment of building permits and
utility bills. The program also provides
clerical and secretarial services to
other departments.
OBJECTIVES TO BE ACCOMPLISHED IN 2018:
Goal 1, Strategy 3- Provide Accessible and Friendly City Services:
1. Continue to provide excellent customer service
PROGRAM: Community Services – Assessing
PROGRAM SUMMARY
The Assessing Department assists property owners with Homestead classification and works with Hennepin County
on property valuations. The department also prepares special assessment rolls and responds to property owner
concerns and questions.
OBJECTIVES TO BE ACCOMPLISHED IN 2018:
Goal 1, Strategy 3- Provide Accessible and Friendly City Services:
1. Prepare special assessment rolls for certification on taxes.
2. Assist property owners with property related issues.
3. Maintain the Property and Contact Information in the Springbrook Financial Software.
The Special Assessment Clerk is
available to assist with property tax
and assessing related questions.
80
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Licenses $ 7,225 $ 7,050 $ 7,050 0.00%
EXPENDITURES:
Personnel Services $ 79,590 $ 70,080 $ 70,096 0.02%
Other Services & Charges 58,183 77,040 36,472 -52.66%
Reimbursed Expenditures (37,000) (37,000) (37,000)0.00%
$ 100,773 $110,120 $ 69,568 -36.83%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 93,548 $103,070 $ 62,518 -39.34%
PERSONNEL:
Number of FTE positions 0.75 0.75 0.75
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Charges for service $ 4,230 $ 20,000 $ - ---
EXPENDITURES:
Personnel Services $ 46,160 $ 41,351 $ 42,501 2.78%
Other Services & Charges 10,667 16,443 41,399 151.77%
$ 56,827 $ 57,794 $ 83,900 45.17%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 52,597 $ 37,794 $ 83,900 121.99%
PERSONNEL:
Number of FTE positions 0.35 0.35 0.35
FUND 101 – GENERAL FUND
PROGRAM: Community Services – City Clerk
PROGRAM SUMMARY
The City updates the City Code as new ordinances are passed, takes minutes at the City Council meetings and
transcribes them using a computer. Business licenses applications are reviewed prior to issuance. The City Clerk
is also the purchasing officer of the city.
MAJOR OBJECTIVES TO BE ACCOMPLISHED
IN 2018:
Goal 2, Strategy 2 – Go Green
1. Purchase “green” or recycled products when
available if the pricing is competitive and
product meets quality standards.
2. Ensure that the City Document Archives
section of the City’s website contains the most
up to date information in all areas listed.
3. Review and update where needed applications
and forms that are available on the Web site.
PROGRAM: Community Services – Elections
PROGRAM SUMMARY
The Elections program of the Community Services Department provides supervision of elections, registers voters,
and certifies election results. All state and federal legislation is reviewed, judges are trained, and equipment and
polling places are prepared. After elections ballots are counted and the results certified to the County and State of
Minnesota. Throughout the year citizens are registered to vote.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Recruit and train additional Election Judges for the 2018 Local Election. Offer some part-time positions as
requested by several current Election Judges who may be unable to complete a 15 or 16 hour day.
2. W ork with Hennepin County City to review voting equipment and the possible replacement.
3. Work to better organize information and supplies for Election Judges use on Election Day.
81
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Permits $ 8,394 $ 6,000 $ 8,000 33.33%
--
EXPENDITURES:
Personnel Services $ 45,053 $ 41,601 $ 41,646 0.11%
Other Services & Charges 419 424 474 11.79%
$ 45,472 $ 42,025 $ 42,120 0.23%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 37,078 $ 36,025 $ 34,120 -5.29%
PERSONNEL:
Number of FTE positions 0.35 0.35 1.0
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
License, Permits, Charges $ 474,963 $239,460 $ 288,400 20.44%
EXPENDITURES:
Personnel Services $ 213,390 $208,891 $ 208,936 0.02%
Other Services & Charges 117,122 81,381 92,811 14.05%
$ 330,512 $290,272 $ 301,747 3.95%
NET TAX AND GENERAL
REVENUE SUPPORTED $(144,451) $ 50,812 $ 13,347 -73.73%
PERSONNEL:
Number of FTE positions 2.05 2.05 2.05
FUND 101 – GENERAL FUND
PROGRAM: Community Services – Building Code Inspection
PROGRAM SUMMARY
The Building Code Inspection program of the Community Services Department inspects all new or remodeled
buildings to insure they meet the minimum requirements of the state building code. The process begins with easily
accessible customer service at the inspections counter and continues with plan review; permit issuance, inspection
of construction phases and an issuance of a certificate of occupancy.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
Goal 1, Strategy 3- Provide Accessible and
Friendly City Services:
1. Work on closing out aging permits from
the past years.
2. Start Saving all permits to Laserfiche
3. Look at Updating Permit Fees
4. Design New Commercial Tenant Finish
Handout
5. Implement Permit Works Software
6. Train staff on Permit Works Software
PROGRAM: Community Services – Fire Code Inspection
PROGRAM SUMMARY
The Fire Code Inspection program of the Community Services Department inspects existing buildings from time to
time to insure they are maintained safe in accordance with the minimum safety standards provided in the state fire
code. A percentage of commercial and large multiple residential buildings are inspected yearly for fire code
violations to insure these structures are maintained safe for their occupants. The focus is on more hazardous
occupancies.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Continue the fire prevention
inspection program.
2. Implement new fire code software.
3. Hire full-time fire marshal
82
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Permits $ 166,775 $ 68,000 $ 81,500 19.85%
EXPENDITURES:
Personnel Services $ 85,295 $ 95,158 $ 95,178 0.02%
Other Services & Charges 2,857 4,394 6,063 37.98%
$ 88,152 $ 99,552 $ 101,241 1.70%
NET TAX AND GENERAL
REVENUE SUPPORTED $ (78,623) $ 31,552 $ 19,741 -37.43%
PERSONNEL:
Number of FTE positions 1.0 1.0 1.0
FUND 101 – GENERAL FUND
PROGRAM: Community Services – Heating and Plumbing Code Inspection
PROGRAM SUMMARY
The Heating and Plumbing Code
Inspection program of the Community
Services Department inspects new
and remodeled buildings for heating
and plumbing compliance. The
process begins with easily accessible
customer service at the inspections
counter and continues with plan
review; permit issuance, inspection of
construction phases. Become familiar
with new gas, mechanical and energy
code.
MAJO R OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. PermitWorks Training
2. Close Out Aging Permits
3. Look at Updating Permit Fees
PROGRAM: Community Services – Housing Inspection
PROGRAM SUMMARY
The Housing Inspection program of the Community Services Department inspects all existing buildings from time to
time to insure they are maintained safe in accordance with city housing code. Rental properties are inspected every
five years to identify hazards to the occupants and to insure buildings are well maintained and to improve on the
city’s housing stock. Homes being sold in the community must be evaluated. A listing of certified evaluators for the
Truth in Housing program are maintained. Home sales are monitored to insure compliance.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
Goal 1, Strategy 3- Provide Accessible and Friendly City Services:
1. Update Truth In Housing guidelines.
2. Retain all new rental inspection results on Laserfiche
3. Update Rental Licensing and Inspection Fees
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
License, permits, charges $ 195,209 $136,700 $ 163,500 19.60%
EXPENDITURES:
Personnel Services $ 165,535 $177,602 $ 177,636 0.02%
Other Services & Charges 7,537 8,194 12,416 51.53%
$ 173,072 $185,796 $ 190,052 2.29%
NET TAX AND GENERAL
REVENUE SUPPORTED $ (22,137) $ 49,096 $ 26,552 -45.92%
PERSONNEL:
Number of FTE positions 1.82 1.82 1.82
83
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Citations, charges for service $ 13,975 $ 8,350 $ 8,350 0.00%
EXPENDITURES:
Personnel Services $ 81,563 $ 85,413 $ 85,431 0.02%
Other Services & Charges 377 3,833 6,105 59.27%
$ 81,940 $ 89,246 $ 91,536 2.57%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 67,965 $ 80,896 $ 83,186 2.83%
PERSONNEL:
Number of FTE positions 0.86 0.86 0.86
FUND 101 – GENERAL FUND
PROGRAM: Community Services – Miscellaneous Community Inspection
PROGRAM SUMMARY
The Miscellaneous Community Inspection program of the Community Services Department responds to general
nuisance complaints from Hopkins citizens. Track responses to citizens and results of the complaint.
MAJOR OBJECTIVES TO BE ACCOMPLISHED
IN 2018:
Goal 1, Strategy 3- Provide Accessible and
Friendly City Services:
1. Continue neighborhood sweeps and respond
to citizen complaints in a prompt and
courteous manner.
2. Send out newsletter in spring regarding
sweeps potential violations.
3. Convert Incode software. Learn PermitWorks
software.
PROGRAM: Community Services – Vacant Property Management
PROGRAM SUMMARY
The Vacant Property Management program of the Community Services Department
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue to educate mortgage banks, property managers, realtors and vacant property owners on why we
want them to register their property.
2. Send out enforcement letters and billings in a timely manner
3. PermitWorks Conversion
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Property Registrations $ 8,500 $ 10,000 $ 10,000 0.00%
EXPENDITURES:
Personnel Services $ 2,072 $ 2,242 $ 2,242 0.00%
Other Services & Charges 1 2,685 2,685 0.00%
$ 2,073 $ 4,927 $ 4,927 0.00%
NET TAX AND GENERAL
REVENUE SUPPORTED $ (6,427) $ (5,073) $ (5,073)--
PERSONNEL:
Number of FTE positions 0.02 0.02 0.02
84
CITY OF HOPKINS
POLICE BUDGET
Revenues and Expenditures
Projected
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Intergovernmental $366,289 $349,975 $404,752 $314,000 $334,400 6.50%
Licenses 77,945 86,999 86,334 95,600 95,600
Court Fines/Forfeitures 49,098 65,806 89,605 51,000 51,000
Penalties 490 47 852 500 500
Current Service 22,787 15,705 49,349 33,000 33,000
Miscellaneous 4,284 21,527 657 2,000 2,000
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 2,830,874 2,943,222 3,276,571 3,173,378 3,174,717 0.04%
Fringe Benefits 1,102,104 1,141,770 1,230,472 1,223,772 1,187,856 -2.93%
Materials, Supplies and Services
Professional & Technical Services 108,698 89,823 133,992 102,290 164,150 60.48%
Utilities and Maintenance 103,378 101,133 145,186 122,370 144,445 18.04%
Operations 76,505 117,498 146,352 154,207 156,858 1.72%
City Support Services 122,015 146,416 158,030 158,030 172,619 9.23%
Supplies and Materials 171,814 199,650 111,949 161,055 87,580 -45.62%
Capital Outlay
Equipment - -15,765 -15,000
Total Expenditures 4,515,389 4,739,512 5,218,317 5,095,102 5,103,225 0.16%
Indirectly Funded Amount 3,994,497 4,199,453 4,586,768 4,599,002 4,586,725 -0.27%
85
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Police – Administration
PROGRAM SUMMARY
To be recognized as a progressive law enforcement agency, striving to enhance the quality of life for all citizens. We
seek to collaborate with all stakeholders to continually improve our community. Hopkins Police Department will
recruit, hire, and retain the most qualified personnel to fulfill this vision.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. To provide effective, efficient, and professional police services to the community.
2. Continue to produce the highest ethical standards and transparent police department.
3. Create trust and partnerships with our multi-cultural community.
4. Promote a proactive, problem-solving culture that focuses on crime prevention.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Miscellaneous $ - $ - $ - 0.00%
EXPENDITURES:
Personnel Services 489,406$ 334,303$ 334,591$ 0.09%
Other Services & Charges 157,514$ 160,514$ 179,581$ 11.88%
$ 646,920 $ 494,817 $ 514,172
NET TAX AND GENERAL
REVENUE SUPPORTED $ 646,920 $ 494,817 $ 514,172 3.91%
PERSONNEL:
Number of FTE positions 2.15 2.15 2.15
86
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Licenses $ 4,059 $ 10,000 $ 10,000 0.00%
Intergovernmental Revenue 402,035 314,000 334,400 6.50%
Fines & Forfeits 78,175 51,500 51,500 0.00%
Charges for Service 39,942 15,000 15,000 0.00%
Misecllaneous 209 1,500 1,500 0.00%
$ 524,420 $ 392,000 $ 412,400 5.20%
EXPENDITURES:
Personnel Services $3,223,655 $3,098,085 $3,062,491 -1.15%
Other Services & Charges 347,754 298,476 317,100 6.24%
Capital Expenditures 9,362 - - #DIV/0!
$3,580,771 $3,396,561 $3,379,591 -0.50%
NET TAX AND GENERAL
REVENUE SUPPORTED $3,056,351 $3,004,561 $2,967,191 -1.24%
PERSONNEL:
Number of FTE positions 23.6 23.6 23.6
FUND 101 – GENERAL FUND
PROGRAM: Police – Patrol
PROGRAM SUMMARY
To provide public safety by reducing
crime, enhancing the quality of life for
all citizens, while working
collaboratively with all stakeholders in
the community.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Provide the highest level of
professional customer service to
the public with each and every
contact.
2. Create trust and partnerships with
our multi-cultural community.
3. Provide proactive criminal
enforcement through intelligence-
lead policing efforts.
4. Committed to identifying and
solving problems through building
positive community partnerships
PROGRAM: Police – SWAT Team
PROGRAM SUMMARY
The Special Weapons and Tactics team (SWAT) of the Hopkins Police Department will provide tactical and rescue
operations in high-risk situations, and will receive the highest level of training possible.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Committed to the highest level of training standards and performance standards.
2. Build upon strong working relationships with other consortium SWAT members and partners.
3. Continue to be a leader in the consortium of SWAT teams.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Miscellaneous $ - $ - $ - 0.00%
EXPENDITURES:
Personnel Services 64,599$ 59,309$ 59,354$ 0.08%
Other Services & Charges 21,537$ 21,963$ 22,577$ 2.80%
$ 86,136 $ 81,272 $ 81,931
NET TAX AND GENERAL
REVENUE SUPPORTED $ 86,136 $ 81,272 $ 81,931 0.81%
PERSONNEL:
Number of FTE positions 0.45 0.45 0.45
87
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services 13,399$ 12,747$ 12,819$ 0.56%
Other Services & Charges 1,921$ 8,041$ 8,078$ 0.46%
$ 15,320 $ 20,788 $ 20,897
NET TAX AND GENERAL
REVENUE SUPPORTED $ 15,320 $ 20,788 $ 20,897 0.52%
PERSONNEL:
Number of FTE positions 0.05 0.05 0.05
FUND 101 – GENERAL FUND
PROGRAM: Police – Reserves
PROGRAM SUMMARY
The Hopkins Police Reserve Unit provides civilian volunteers with exceptional training to assist the police
department with civic events, community-building and outreach efforts.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Continue to recruit individuals with diverse
backgrounds.
2. Continue to supplement uniformed patrol
with calls for service and problem-solving
efforts.
3. Utilize Reserves in outreach and in police
and community relations.
4. Utilize Reserve personnel whenever
feasible to alleviate uniformed patrol calls
for service.
PROGRAM: Police – Investigations
PROGRAM SUMMARY
The Investigations Division of the Police Department conducts thorough criminal investigations on all criminal
activity that has occurred in Hopkins, while working with other police agencies to identify suspects and work
collaboratively to prevent future crime.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue professional development by training officers in the Investigations Division of the Hopkins Police
Department.
2. Continue to problem solve and reduce crime through crime analysis and intelligence-lead policing.
3. Work in partnership with other law enforcement agencies to identify crime trends and patterns on a local and
regional level.
4. Continue to work in partnership with all divisions within the Police Department.
5. Continue to work in partnership with the County Attorney’s Office to successfully prosecute individuals involved
in criminal behavior.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Licenses $ 73,075 $ 75,600 $ 75,600 0.00%
EXPENDITURES:
Personnel Services $ 257,945 $ 386,036 $ 386,486 0.12%
Other Services & Charges 72,850 110,948 108,143 -2.53%
$ 330,795 $ 496,984 $ 494,629 -0.47%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 257,720 $ 421,384 $ 419,029 -0.56%
PERSONNEL:
Number of FTE positions 3.9 3.9 3.9
88
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Police – Southwest Hennepin Drug Task Force
PROGRAM SUMMARY
The Southwest Hennepin Drug Task Force is a multi-jurisdictional unit that conducts investigations of illegal drug
activity by developing suspect information from citizens, utilizing confidential informants, search warrants,
surveillance, and other covert activities.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2017:
1. Continue to work jointly with the Criminal Investigations Unit to identify suspects engaged in criminal activity.
2. Work with all divisions of the Police Department and communicate current crime trends and/or possible
suspects residing in the City.
3. Continue to work nuisance property and crime free multi-housing issues with the Police Services Liaison to
remove problem tenants from units who continue to use illegal drugs.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Forfeitures $ 15,000 $ - $ - #DIV/0!
EXPENDITURES:
Personnel Services $ 92,500 $ 126,585 $ 126,684 0.08%
Other Services & Charges 11,306 11,561 17,072 47.67%
$ 103,806 $ 138,146 $ 143,756 4.06%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 88,806 $ 138,146 $ 143,756 4.06%
PERSONNEL:
Number of FTE positions 1 1 1
89
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Licenses $ 4,200 $ 5,000 $ 5,000 0.00%
Intergovernmental Revenue - - -
Miscellaneous 447 - -
Donations - 500 500 0.00%
$ 4,647 $ 5,500 $ 5,500 0.00%
EXPENDITURES:
Personnel Services $ 87,769 $ 101,484 $ 101,498 0.01%
Other Services & Charges 20,411 14,819 14,882 0.43%
$ 108,180 $ 116,303 $ 116,380 0.07%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 103,533 $ 110,803 $ 110,880 0.07%
PERSONNEL:
Number of FTE positions 0.85 0.85 0.85
FUND 101 – GENERAL FUND
PROGRAM: Police – Crime Prevention Specialist
PROGRAM SUMMARY
The Police Services Liaison is responsible for presenting and coordinating outreach and crime prevention programs
including Neighborhood Watch, National Night Out, Crime-free Multi-housing and numerous other outreach
initiatives. In addition, the Police Services Liaison administers the alarm program, nuisance property program,
review and revisions of various ordinances and grant research, application and administration and is the staff liaison
to SCIP, One Voice, HBCA, Rental Community Engagement Program and other committees.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Increase participation in Crime Free Multi-Housing program & Neighborhood Watch.
2. Partner with businesses and neighborhoods to reduce crime.
3. Coordinate information sharing with Police/city staff regarding nuisance properties and other quality of life
issues.
4. Coordinate efforts with Joint Community Police Partnership (JCPP) Community Liaison.
National Night Out
New American Academy Cops ‘n Kids Fishing
90
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Licenses $ 5,000 $ 5,000 $ 5,000 0.00%
Charges for Service 9,408 18,000 18,000 0.00%
$ 14,408 $ 23,000 $ 23,000 0.00%
EXPENDITURES:
Personnel Services 277,772$ 278,601$ 278,651$ 0.02%
Other Services & Charges 3,722 7,539 7,719 2.39%
$ 281,494 $ 286,140 $ 286,370
NET TAX AND GENERAL
REVENUE SUPPORTED $ 267,086 $ 263,140 $ 263,370 0.09%
PERSONNEL:
Number of FTE positions 3.45 3.45 3.45
FUND 101 – GENERAL FUND
PROGRAM: Police – Support Services
PROGRAM SUMMARY
This division of the Police Department provides the public, police personnel and other law enforcement agencies
with police data requested by mail, telephone and in person. Support Services personnel strives for excellence in
quality and accuracy of all police data while managing our Records Management System (RMS), entering,
modifying, and quality checking all police records. This division generates state and federal mandated reports,
transcribes and processes reports and correspondence and maintains records in accordance with state and local
guidelines.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Continue to refine processes for
better efficiency of records maintenance.
2. Train on new RMS reporting software
to develop reports to provide more data to
the public.
3. Continue to provide weekly crime
statistics and learning additional crime
analysis software and mapping tools.
4. Maintain efficiency with report flow to
respective agencies.
PROGRAM: Police – Systems Management
PROGRAM SUMMARY
The Systems Management program of the Police Department is under the supervision of the city’s IT department
who oversees the maintenance of all police computer system networks, and state communications interfaces.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue to provide exceptional services to all stakeholders.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Other Services & Charges 64,896$ 64,091$ 65,500$ 2.20%
NET TAX AND GENERAL
REVENUE SUPPORTED 64,896$ 64,091$ 65,500$ 2.20%
PERSONNEL:
Number of FTE positions 0 0 0
91
CITY OF HOPKINS
FIRE BUDGET
Revenues and Expenditures
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2018 2018 Change
Revenues
Licenses & Permits $2,410 $265 $180 $3,500 $3,500
State Aid 102,657 105,999 113,360 100,000 100,000
Federal Grant - - - - -
County Grant - - - - -
Administrative Citations 900 300 1,800 300 300
Current Service 11,934 7,222 13,030 3,000 15,000 400.00%
Donations -2,240 - - -
Miscellaneous -3,100 200 3,500 3,500
117,901 119,126 128,570 110,300 122,300 10.88%
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 362,214 452,565 450,686 450,686 492,280 9.23%
Fringe Benefits 200,521 259,721 242,984 242,984 244,951 0.81%
Materials, Supplies and Services
Professional & Technical Services 34,546 59,733 28,700 71,647 25,700 -64.13%
Utilities and Maintenance 72,349 74,287 106,900 55,500 118,300 113.15%
Operations 121,517 56,488 79,506 63,800 81,452 27.67%
City Support Services 142,717 161,944 172,426 175,535 189,120 7.74%
Supplies and Materials 104,428 110,064 84,530 105,580 77,255 -26.83%
Capital Outlay
Equipment - -10,800 10,800 10,800
Total Expenditures 1,038,292 1,174,801 1,176,532 1,176,532 1,239,858 5.38%
Indirectly Funded Amount 920,391 1,055,675 1,047,962 1,066,232 1,117,558 4.81%
The Fire Department is made up of two programs. They are Fire Prevention/Suppression
and Emergency Preparedness.
92
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Fire – Fire Department
PROGRAM SUMMARY
The Fire Department includes Emergency Medical Services (EMS), Fire Prevention/Suppression programs. The
EMS program supports the Police Department in managing responses to medical emergencies. The Fire
Department responds to all life threatening situations and when there are no police officers available to respond.
Fire suppression is the response to all fires, hazardous materials, special hazards and special rescue incidents in
the city and fire prevention is the enforcement of the fire code, and the review and inspection of new construction. It
also provides for public education and files reports with the State Fire Marshall on department activity, property loss
or death due to fire emergencies.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Develop Long Term Strategic and Marketing plan for the department.
2. Recruitment and Retention of members.
3. Review and Receive of Emergency Operations plan.
4. Develop and Implement a Mental Health and PTSD program for Fire Department Staff.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Licenses & Fines $ 1,980 $ 3,800 $ 3,800 0.00%
Intergovernmental Revenue 113,360 100,000 100,000 0.00%
Charges for Service 13,030 3,000 18,500 516.67%
Donations 200 3,500 - 0.00%
$ 128,570 $ 110,300 $ 122,300 10.88%
EXPENDITURES:
Personnel Services $ 577,310 $ 693,670 $ 737,231 6.28%
Other Services & Charges 478,585 472,062 491,827 4.19%
Capital Outlay - 10,800 10,800 0.00%
$1,055,895 $1,176,532 $1,239,858 5.38%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 927,325 $1,066,232 $1,117,558 4.81%
PERSONNEL:
Number of FTE positions 1.25 3.25 3.25
Volunteer Firefighters 35 33 31
93
CITY OF HOPKINS
PUBLIC WORKS BUDGET
Revenues and Expenditures
Projected
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Licenses and Permits $23,660 $23,965 $12,602 $27,115 $27,115
Intergovernmental 165,027 170,757 84,927 170,000 170,000
Charges for Services 7,643 7,749 11,952 2,750 2,750
Other Miscellaneous 5,609 4,931 8,060 4,600 4,600
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 1,252,718 1,269,248 1,426,454 1,428,831 1,427,178 -0.12%
Fringe Benefits 472,094 465,599 535,923 566,142 568,057 0.34%
Materials, Supplies and Services
Professional & Technical Services 300,162 397,563 444,947 344,700 475,300 37.89%
Utilities and Maintenance 331,630 407,051 504,153 415,090 505,695 21.83%
Operations 2,940 38,697 92,771 12,730 71,155 458.96%
City Support Services 159,648 179,170 140,513 188,814 153,144 -18.89%
Supplies and Materials 346,091 384,933 277,092 372,128 239,025 -35.77%
Capital Outlay
Equipment 5,622 - 4,521 10,500 10,500
Total Expenditures 2,870,905 3,142,261 3,426,374 3,338,935 3,450,054 3.33%
Reimbursed Expenditures (538,000) (507,224) (484,715) (538,000) (538,000)
Net Total Expenditures 2,332,905 2,635,037 2,941,659 2,800,935 2,912,054 3.97%
Indirectly Funded Amount 2,130,966 2,427,635 2,824,118 2,596,470 2,707,589 4.28%
The Public Works Department is made up of eight programs. They are Buildings,
Equipment Services, Administration, Engineering, Streets, Snow Removal, Parks
and Tree Service.
94
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services $ 39,351 $ 39,649 $ 39,894 0.62%
Other Services & Charges 159,702 84,460 94,550 11.95%
Reimbursed Expenditures (70,000) (70,000) (70,000)0.00%
$129,053 $ 54,109 $ 64,444
NET TAX AND GENERAL
REVENUE SUPPORTED $129,053 $ 54,109 $ 64,444 19.10%
PERSONNEL:
Number of FTE positions 0.4 0.4 0.4
FUND 101 – GENERAL FUND
PROGRAM: Public Works – Buildings
PROGRAM SUMMARY
The Building Maintenance Department of Public
Works is responsible for the maintenance and
repair of all City Buildings. The public works
buildings budget covers the entire public works
complex. The buildings and equipment are
maintained by in house maintenance personnel
and the custodial duties by a contract cleaner.
MAJOR OBJECTIVES TO BE ACCOMPLISHED
IN 2018:
1. Maintain PW building to assure a safe and
comfortable environment for all City
employees at the lowest cost to the taxpayer.
PROGRAM: Public Works – Equipment Services
PROGRAM SUMMARY
The Equipment Services program of the Public Works Department provides maintenance and repair of all City
vehicles and equipment. Equipment Services is responsible for writing specifications and the purchasing of City
Vehicles. It also is in charge of the disposal of surplus vehicles and equipment. It is the goal of Equipment Services
to provide a quality and cost effective service to all cities departments for all their equipment needs.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue aggressive maintenance and repair of all city equipment.
2. Purchase 4x4 ¾ ton truck, forklift, 4x2 1 ton dump truck, tandem dump truck and swap loader as provided in the
City’s Equipment Replacement Plan.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Charges for service $ 98 $ 150 $ 150 0.00%
EXPENDITURES:
Personnel Services $243,233 $ 227,443 $ 227,673 0.10%
Other Services & Charges 63,631 30,705 35,150 14.48%
Reimbursed Expenditures (89,715) (143,000) (143,000)0.00%
Capital Expenditures 4,520 10,500 10,500 0.00%
$221,669 $ 125,648 $ 130,323 3.72%
NET TAX AND GENERAL
REVENUE SUPPORTED $221,571 $ 125,498 $ 130,173 3.73%
PERSONNEL:
Number of FTE positions 2.35 2.35 2.35
95
CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services $189,327 $ 193,311 $ 190,845 -1.28%
Other Services & Charges 23,273 16,854 19,416 15.20%
Reimbursed Expenditures (148,000) (148,000) (148,000)0.00%
$ 64,600 $ 62,165 $ 62,261
NET TAX AND GENERAL
REVENUE SUPPORTED $ 64,600 $ 62,165 $ 62,261 0.15%
PERSONNEL:
Number of FTE positions 1.35 1.35 1.35
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Licenses $ 10,261 $ 25,700 $ 25,700 0.00%
Charges for Service 200 100 100 0.00%
$ 10,461 $ 25,800 $ 25,800 0.00%
EXPENDITURES:
Personnel Services $194,779 $ 177,282 $ 177,314 0.02%
Other Services & Charges $104,523 $ 35,996 $ 48,010
Reimbursed Expenditures (65,000) (65,000) (65,000)0.00%
$234,302 $ 148,278 $ 160,324 8.12%
NET TAX AND GENERAL
REVENUE SUPPORTED $223,841 $ 122,478 $ 134,524 9.84%
PERSONNEL:
Number of FTE positions 1.6 1.6 1.6
FUND 101 – GENERAL FUND
PROGRAM: Public Works – Administration
PROGRAM SUMMARY
The Administration program of the Public Works Department provides administrative direction, control and support
by the Public Works Director, reception and clerical for the following Public Works Department divisions:
Engineering Services; Building Services; Equipment Services; Parks/Forestry & Streets/Traffic; Water and Sewer
Utilities and Solid Waste Management.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Southwest Transitway (LRT)
planning: protect city interests during
construction
2. Continue to analyze and respond to
opportunities to save energy and be
more environmentally conscious
while improving service quality and
efficiency.
3. Complete aggressive 2018 program
of street, utility, and park system
improvements.
PROGRAM: Public Works – Engineering
PROGRAM SUMMARY
The Engineering Division of the Public Works Department provides engineering services for the City. The
Engineering Division provides drafting, surveying, layout, design and other engineering services for the City, as well
as maintenance and updating of base maps, as-builts, and other miscellaneous map updating projects. This
division also acts as the primary liaison to consultants involved with construction projects.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Continue to develop and verify
utility base maps in the GIS
system.
2. Complete development of an
ADA Transition Plan.
3. Begin Blake Road construction in
cooperation with various
stakeholders and adjacent
projects.
4. Oversee implementation of the
City’s Capital Improvement Plan.
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Licenses $ 2,341 $ 1,415 $ 1,415 0.00%
Intergovernmental Revenue 84,927 170,000 170,000 0.00%
Charges for Service 5,277 1,000 1,000 0.00%
$ 92,545 $ 172,415 $ 172,415 0.00%
EXPENDITURES:
Personnel Services $539,209 $ 558,667 $ 559,152 0.09%
Other Services & Charges $544,258 $ 668,180 $ 671,345 0.47%
Reimbursed Expenditures (112,000) (112,000) (112,000)0.00%
$971,467 $1,114,847 $1,118,497 0.33%
NET TAX AND GENERAL
REVENUE SUPPORTED $878,922 $ 942,432 $ 946,082 0.39%
PERSONNEL:
Number of FTE positions 4.06 4.06 4.06
FUND 101 – GENERAL FUND
PROGRAM: Public Works – Streets and Alleys
PROGRAM SUMMARY
The Streets Division of the Public Works Department provides maintenance of 55 miles of streets, 30 miles of alleys
and 10 parking lots (including parking ramp) within the City for convenient day-to-day use. Also provides street
lighting, traffic signs and signals, sidewalk repair, and special event support. Maintenance includes activities such
as sweeping, patching, seal coating and curb repair. Major maintenance is scheduled on a 6 year, maintenance
district rotation basis. Routine mill/patching/paving is accomplished throughout the City during the summer season.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Street maintenance utilizing pavement management support information that includes prep seal coat areas and
contractual crack sealing.
2. Spring sweeping as weather permits, Mainstreet sweeping every three weeks, residential sweeping (spring,
summer and once in the fall).
3. Continued maintenance of storm water drainage systems.
4. Inspect and repair all defective sidewalks in district
5. Preventative patching, repairs to bituminous roadways.
6. Maintain sign and signal change outs, inventory signs, upgrade traffic controls and signals as required.
7. Mainstreet maintenance including flags, refuse, decorations and banners, and streetlight painting.
8. Provide traffic control and logistical services for special events such as Raspberry Festival, Mainstreet Days,
National Night Out, etc., to support the City goal of promoting and enhancing city events.
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Charges for service $ 100 $ - $ - #DIV/0!
EXPENDITURES:
Personnel Services $ 81,087 $ 142,747 $ 142,444 -0.21%
Other Services & Charges 64,047 81,359 78,883 -3.04%
Capital Outlay - - - 0.00%
$145,134 $ 224,106 $ 221,327 -1.24%
NET TAX AND GENERAL
REVENUE SUPPORTED $145,034 $ 224,106 $ 221,327 -1.24%
PERSONNEL:
Number of FTE positions 1.18 1.18 1.18
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Charges for service $ 7,113 $ 1,500 $ 1,500 0.00%
Miscellaneous 6,419 4,600 4,600 0.00%
$ 13,532 $ 6,100 $ 6,100 0.00%
EXPENDITURES:
Personnel Services $543,553 $ 494,668 $ 494,057 -0.12%
Other Services & Charges 383,446 289,669 361,458 24.78%
Capital Outlay - - - 0.00%
$926,999 $ 784,337 $ 855,515 9.07%
NET TAX AND GENERAL
REVENUE SUPPORTED $913,467 $ 778,237 $ 849,415 9.15%
PERSONNEL:
Number of FTE positions 5.24 5.24 5.24
FUND 101 – GENERAL FUND
PROGRAM: Public Works – Snow & Ice Removal
PROGRAM SUMMARY
The Snow & Ice Removal program of the Public Works Department provides snow and ice control services of 55
miles of streets, 33 miles of alleys and 9 parking lots (including parking ramp) and economic development
properties within the city for convenient day-to-day use, and to provide safe travel and parking conditions.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Complete plowing/ice treatment
operations of all city streets, alleys,
parking lots and parking ramp within 10
hours.
2. Complete snow removal operations in
downtown areas/ramp/parking lots in
efficient manner to meet parking/traffic
flow demands.
3. Increase snow/ice maintenance activities
on residential streets.
4. Utilize snow emergency policy to
maximize safety and snow removal
efforts, while minimizing resident
conflicts.
PROGRAM: Public Works – Park Maintenance & Improvements
PROGRAM SUMMARY
The Parks division of the Public Works Department provides for the maintenance of developed parks and grounds
adjacent to public buildings and right-of-ways, including: seeding, fertilizing and mowing of grass, tree & plantings
maintenance, maintenance of all athletic fields and general playgrounds and maintenance of Shady Oak Beach.
Maintenance of Co. Rd 3 median flowers and irrigation is provided. Maintenance of picnic facilities and trails, trash
and rubbish removal from parks is also included. Open skating and hockey areas are included. Open skating and
hockey areas are provided from December through February for outdoor recreational purposes.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Continue grounds maintenance of all
parks including Shady Oak Beach,
plus City Hall, 4 well houses, Public
Works garage and all other City
owned right-of-way.
2. Provide open skating and hockey at
the following parks: Valley, Harley
Hopkins, Oakes, Central, Interlachen,
open skating only at Hilltop and
Burnes.
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Charges for service $ 805 $ - $ - 0.00%
EXPENDITURES:
Personnel Services 131,838$ 163,706$ 163,857$ 0.09%
Other Services & Charges 116,596$ 123,736$ 135,507$ 9.51%
$248,434 $ 287,442 $ 299,364
NET TAX AND GENERAL
REVENUE SUPPORTED $247,629 $ 287,442 $ 299,364 4.15%
PERSONNEL:
Number of FTE positions 1.91 1.91 1.91
FUND 101 – GENERAL FUND
PROGRAM: Public Works – Forestry
PROGRAM SUMMARY
The Forestry Division of the Public Works Department provides for the maintenance of all trees. Through the
utilization of arboricultural practices, all trees on public property will be maintained in an acceptable condition or
removed as necessary to allow for a healthy environment for the urban forest along with providing safe passage for
pedestrian and vehicular traffic. Through utilization of tree inspectors residents will be consulted on tree related
problems and advised to the solutions. Reforestation of the urban forest is also an activity of this division.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Trim 12% of trees on city boulevards.
2. Remove all diseased, dead, dying trees on public property.
3. Thin the public tree ash population by removing poorly sited, declining and poorly formed trees.
4. Manage an effective data base record keeping system that tracks forestry activities to better manage and
maintain public trees.
5. Provide for prompt customer service on requests for trimming and tree consultation
99
CITY OF HOPKINS
RECREATION BUDGET
Revenues and Expenditures
Projected
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 271,400 51,091 57,159 79,191 79,191
Fringe Benefits 7,140 4,683 5,320 7,808 7,849 0.53%
Materials, Supplies and Services
Operations 164,309 176,921 157,025 172,605 172,000 -0.35%
Supplies and Materials 650 -2,132 250 3,364 1245.60%
Total Expenditures 443,499 232,695 221,636 259,854 262,404 0.98%
Indirectly Funded Amount 443,499 232,695 221,636 259,854 262,404 0.98%
The Recreation Department is made up of five main porgrams. They are Playground,
Ice Rink, Park Services, Joint Recreation and Skate Park.
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services 31,259$ 22,755$ 22,762$ 0.03%
NET TAX AND GENERAL
REVENUE SUPPORTED 31,259$ 22,755$ 22,762$ 0.03%
PERSONNEL:
Number of Part-time positions 22 22 22
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services 10,091$ 31,618$ 31,636$ 0.06%
NET TAX AND GENERAL
REVENUE SUPPORTED 10,091$ 31,618$ 31,636$ 0.06%
PERSONNEL:
Number of Part-time positions 30 30 30
FUND 101 – GENERAL FUND
PROGRAM: Recreation – Playgrounds
PROGRAM SUMMARY
The popular summer playground program is provided to children at 11 locations throughout the cities of Hopkins
and Minnetonka. Activities include outdoor games, arts and crafts, a tiny tots program, and a summer adventure
club. The summer concludes with a carnival attended by children from all the playground sites.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. To develop, promote and provide quality recreational opportunities in anticipation of and in response to the
needs and interests of the Hopkins-Minnetonka community.
2. To develop staff related goals designed to build self-esteem in children participating in the program
3. Add an additional program site at Valley Park to meet the needs of the neighborhood.
PROGRAM: Recreation – Ice Rink Program
PROGRAM SUMMARY
Supervised outdoor ice rinks are provided at 13 locations throughout the cities of Hopkins and Minnetonka. Each
site is staffed with rink attendants from mid-December thru mid-February dependant on weather conditions. Ice
rinks are available for general skating, hockey and broomball. Approximately 30 staff are hired and trained to
supervise the outdoor ice rink program.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. To provide quality customer service and facilities to ice rink users.
2. To ensure that all locations are adequately staffed for each scheduled day of operation
3. To hire and train a staff that is dedicated to providing quality customer service
4. To provide additional opportunities for skating by extending rink hours at all sites.
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services 15,676$ 27,162$ 27,173$ 0.04%
NET TAX AND GENERAL
REVENUE SUPPORTED 15,676$ 27,162$ 27,173$ 0.04%
PERSONNEL:
Number of Part-time positions 8 8 8
FUND 101 – GENERAL FUND
PROGRAM: Recreation – Park Service
PROGRAM SUMMARY
The Recreation Department hires and trains attendants to supervise park services at Burnes, Oakes and Valley
Parks. Attendants manage picnic reservations, maintain restroom facilities, provide recreational equipment and
keep overall site clean for park users.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. To provide quality customer service and facilities to park users.
2. To ensure that facilities are open and prepared for each scheduled permitted use
PROGRAM: Recreation – Joint Recreation
PROGRAM SUMMARY
Programs for all ages are provided through the Joint Recreation division. Youth classes are offered in over 15
areas of interest including tennis, golf, swimming, ball skills, and arts & crafts. Youth sports leagues are offered in
basketball and soccer. Adult classes are offered in several areas of interest, and team sports are offered in soccer,
softball, basketball, volleyball, hockey, broomball and football. In addition, the joint recreation division oversees the
operation of Shady Oak Beach, attended by over 30,000 people each summer.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Transition to internal scheduling and staffing of inclusion services for participants with special needs.
2. Continue to develop partnerships in order to expand youth programming opportunities.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Other Services & Charges 157,025$ 169,500$ 172,000$ 1.47%
NET TAX AND GENERAL
REVENUE SUPPORTED 157,025$ 169,500$ 172,000$ 1.47%
PERSONNEL:
Number of Part-time positions 90 90 90
102
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Recreation – Overpass Skate Park
PROGRAM SUMMARY
The Overpass program provides skate boarders, bikers, and inline skate athletes, 10 years of age or older, with a
safe, fun, and challenging place to gather and practice their sport. The Overpass creates a healthy recreational
opportunity primarily for youth, and young adults. The Overpass is a seasonal operation, and one of only a few tier II
aggressive skate parks in the state of Minnesota. This unique park attracts a regional population in addition to
serving the residents of Hopkins.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. To operate the park under a contractual operating agreement with 3rd Lair Skate Parks.
2. To operate the park with favorable fees for resident and community partners.
3. To increase the number of Hopkins resident users and partner community (Minnetonka and St. Louis Park)
resident users.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services 5,453$ 5,464$ 5,469$ 0.09%
Other Services & Charges 2,132$ 3,355$ 3,364$ 0.27%
$ 7,585 $ 8,819 $ 8,833
NET TAX AND GENERAL
REVENUE SUPPORTED $ 7,585 $ 8,819 $ 8,833 0.16%
PERSONNEL:
Number of FTE positions 0.05 0.05 0.05
103
CITY OF HOPKINS
ACTIVITY CENTER BUDGET
Revenues and Expenditures
Projected
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Charges for Services $104,678 $66,341 $85,043 $67,000 $71,500 6.72%
Contributions 14,417 16,162 20,454 9,500 10,000 5.26%
Total Revenues 119,095 82,503 105,497 76,500 81,500 6.54%
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 190,807 188,327 213,893 196,329 196,849 0.26%
Fringe Benefits 68,037 70,519 79,158 74,502 74,567 0.09%
Materials, Supplies and Services
Professional & Technical Services 58,016 29,376 44,740 36,900 41,700 13.01%
Utilities and Maintenance 23,238 30,909 37,908 39,000 45,100 15.64%
Operations 10,755 11,748 12,411 13,490 18,239 35.20%
City Support Services 10,165 13,567 12,406 13,797 12,941 -6.20%
Supplies and Materials 17,768 20,208 20,061 23,510 28,010 19.14%
Capital Outlay
Buildings & Structures - - - - -
Office Furniture and Equipment - -10,255 10,400 2,500 -75.96%
Other Equipment - -3,659 - -
Total Expenditures 378,786 364,654 434,491 407,928 419,906 2.94%
Indirectly Funded Amount 259,691 282,151 328,994 331,428 338,406 2.11%
The Activity Center Department is made up of two programs. They are
Community Use and Maintenance.
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Rent $ 24,477 $ 26,000 $ 26,000 0.00%
Charges for Service 60,566 30,000 35,000 16.67%
Miscellaneous 20,453 20,500 20,500 0.00%
$105,496 $ 76,500 $ 81,500 6.54%
EXPENDITURES:
Personnel Services $273,377 $251,058 $251,623 0.23%
Other Services & Charges 79,468 84,439 92,238 9.24%
Capital Expenditures 13,915
$366,760 $335,497 $343,861 2.49%
NET TAX AND GENERAL
REVENUE SUPPORTED $261,264 $258,997 $262,361 1.30%
PERSONNEL:
Number of FTE positions 3.0 3.0 3.0
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services 19,674$ 19,773$ 19,793$ 0.10%
Other Services & Charges 48,058 52,657 56,249 6.82%
$ 67,732 $ 72,430 $ 76,042
NET TAX AND GENERAL
REVENUE SUPPORTED $ 67,732 $ 72,430 $ 76,042 4.99%
PERSONNEL:
Number of FTE positions 0.2 0.2 0.2
FUND 101 – GENERAL FUND
PROGRAM: Activity Center – Programming
PROGRAM SUMMARY
The Activity Center Community Use program provides a facility for residents to use for active or passive activities.
Staff coordinates all users of the Activity Center. The Hopkins Activity Center also implements and coordinates the
Senior Adult Program, which is geared towards the over 50 Hopkins population.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN
2018:
1. Facility enhancements: Roofs
2. Update our registration system so that all
registration and payments can be made online
3. Market the Hopkins Activity Center to the over
50 Hopkins population, especially through
electronic media.
4. Work with the Hopkins festivals and special
events committees to promote events for the
over 50 population.
PROGRAM: Activity Center – Maintenance
PROGRAM SUMMARY
The Building Maintenance Department of Public Works is responsible for the maintenance and repair of all City
Buildings. The Activity Center maintenance budget covers the Hopkins Activity Center. In house maintenance
personnel and part time cleaning personnel maintain this building.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Roof Replacement
105
CITY OF HOPKINS
PLANNING BUDGET
Revenues and Expenditures
Projected
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Permits and Licenses $ 1,280 $ 1,160 $ 1,060 $ 1,000 $ 1,000
Charges for Services 6,350 2,465 2,300 2,500 2,500
Miscellaneous - -95,460 94,695 --100.00%
Total Revenues 7,630 3,625 98,820 98,195 3,500 -96.44%
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 103,418 142,150 113,425 108,835 108,835
Fringe Benefits 36,301 23,132 30,438 44,398 44,423 0.06%
Materials, Supplies and Services
Professional & Technical Services 578 5,523 65,183 99,695 35,000 -64.89%
Utilities and Maintenance 127 125 119 250 150 -40.00%
Operations 8,690 8,006 9,631 10,735 25,135 134.14%
City Support Services 3,600 968 964 964 1,031 6.95%
Supplies and Materials 1,576 1,425 1,816 2,000 2,200 10.00%
Total Expenditures 154,289 181,331 221,576 266,877 216,774 -18.77%
Reimbursed Expenditures (20,000) (20,000) (20,000) (20,000) (20,000)
Net Total Expenditures 134,289 161,331 201,576 246,877 196,774 -20.29%
Indirectly Funded Amount 126,659 157,706 102,756 148,682 193,274 29.99%
The Planning and Economic Development Department is made up of three programs. They are Zoning
Activities & Enforcement, Sign & Fence Permits and Miscellaneous Planning.
106
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Planning & Community Development – Zoning Activities, Planning & Enforcement
PROGRAM SUMMARY
The Zoning Activities & Enforcement Program of the Planning & Economic Development Department provides
administration and enforcement of locally approved Zoning Ordinance and Comprehensive Plan. Provides
administration and inspection of signs and fences and prepares various planning documents and reports necessary
to ensure orderly development/redevelopment of City.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue to examine if properties should be re-zoned to Mixed-Use
2. Research and develop a policy to ensure that new developments have a bike and pedestrian-friendly design
3. Process sign & fence permit requests in a timely and expedient manner
4. Provide staff assistance to Planning Commission
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Licenses & Permits $ 1,060 $ 1,000 $ 1,000 0.00%
Charges for Services $ 2,300 $ 2,500 $ 2,500 0.00%
Miscellaneous $ 95,460 $ 94,695 $ - -100.00%
$ 98,820 $ 98,195 $ 3,500 -96.44%
EXPENDITURES:
Personnel Services $143,864 $153,233 $153,258 0.02%
Other Services & Charges 77,714 113,644 63,516 -44.11%
Reimbursed Expenditures (20,000) (20,000) (20,000)0.00%
$201,578 $246,877 $196,774 -20.29%
NET TAX AND GENERAL
REVENUE SUPPORTED $102,758 $148,682 $193,274 29.99%
PERSONNEL:
Number of FTE positions 1.35 1.35 1.35
107
CITY OF HOPKINS
COMMUNITY DEVELOPMENT BUDGET
Revenues and Expenditures
Projected
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Miscellaneous $- $- $- $90,000 $90,000
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 63,403 64,890 69,385 87,225 87,225
Fringe Benefits 22,356 23,546 23,671 33,159 33,173 0.04%
Materials, Supplies and Services
Professional & Technical Services 1,786 1,336 980 750 2,550 240.00%
Operations 139 34 848 2,515 2,525 0.40%
City Support Services 1,417 305 321 321 345 7.48%
Supplies and Materials 1,285 430 652 850 1,050 23.53%
Total Expenditures 90,387 90,541 95,857 124,820 126,868 1.64%
Indirectly Funded Amount $90,387 $90,541 $95,857 $34,820 $36,868 5.88%
The Community Development budget accounts for expendiutres used to promote and enhance
the community of Hopkins.
108
CITY OF HOPKINS
FUND 101 – GENERAL FUND
PROGRAM: Community Development
PROGRAM SUMMARY
Promotion and development of housing programs and activities for City property owners and residents. Staff
support of housing programs such as 1st Time Home Buyer Mortgage Program, Image Awards, Housing
Improvement Areas and Livable Communities Program. Assist in implementation of the Engaging Raspberry
Renters project.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue promotion and support of various housing programs and initiatives. Investigate funding for SW LRT
station area (and other key parcels) redevelopment, including Hennepin County Transit Orientated
Development (TOD) program and Met Council Livable Communities Demonstration Account.
2. Continue to provide staff support to HAMA, SW LRT TIC, SCIP and other collaborative efforts.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Miscellaneous $ - $ 90,000 $ 90,000 0.00%
EXPENDITURES:
Personnel Services $ 93,056 $120,384 $120,398 0.01%
Other Services & Charges 2,800 4,436 6,470 45.85%
$ 95,856 $124,820 $126,868
NET TAX AND GENERAL
REVENUE SUPPORTED $ 95,856 $ 34,820 $ 36,868 5.88%
PERSONNEL:
Number of FTE positions 0.85 0.85 0.85
109
CITY OF HOPKINS
Special Revenue Fund 204 Projected
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Intergovernmental $ 72,090 $ 90,780 $ 94,110 $ 60,000 $ 60,000
Miscellaneous 4,901 - - - -
Refunds & Reimbursements 740 - - - -
Total Revenues 77,731 90,780 94,110 60,000 60,000
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 36,412 32,175 37,460 32,327 32,327
Materials, Supplies and Services
Professional & Technical Services 2,717 2,000 2,635 2,000 2,000
Utilities and Maintenance 4,098 6,163 371 5,141 5,141
Operations 15,278 28,996 24,020 5,520 5,520
Leases 8,726 8,678 4,552 6,560 6,560
City Support Services 3,340 2,718 1,968 2,112 2,112
Supplies and Materials 26,998 16,360 23,346 6,340 6,340
Capital Outlay
Computers - - - - -
Other Equipment - - - - -
Total Expenditures 97,569 97,088 94,352 60,000 60,000
Excess (deficiency) of revenue over
expenditures (19,838) (6,308) (242) - -
STATE CHEMICAL ASSESSMENT BUDGET
Revenues and Expenditures
The State Chemical Assessment is supported by state aid for the purpose of chemical assessment training and activity
for the State of Minnesota.
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CITY OF HOPKINS
FUND 203 – CHEMICAL ASSESSMENT TEAM FUND
PROGRAM: State Chemical Assessment Team
PROGRAM SUMMARY
The State Chemical Assessment Team program provides emergency response for assessment of chemical
hazards for the State of Minnesota and maintenance of state owned equipment for emergency response and
training of personnel. Responding as requested by the State Duty Officer to the counties of Hennepin, Scott,
Carver, McLeod and Renville. The State of Minnesota will reimburse the City for up to $60,000 per year for the
training of personnel, maintenance of equipment, and purchase of supplies and equipment.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. To continue to train to members on all aspects of chemical response.
2. To restructure and redefine chemical assessment team to meet the needs of the state, city and team members
needs.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Intergovernmental Revenue $ 94,110 $ 60,000 $ 60,000 0.00%
EXPENDITURES:
Personnel Services $ 37,460 $ 32,327 $ 32,327 0.00%
Other Services & Charges 56,893 27,673 27,673 0.00%
$ 94,353 $ 60,000 $ 60,000
NET TAX AND GENERAL
REVENUE SUPPORTED $ 243 $ - $ - --
PERSONNEL:
Number of FTE positions 0 0 0
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CITY OF HOPKINS
Special Revenue Fund 205
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Property Taxes $439,918 $481,725 $449,135 $310,900 $332,031 -26.07%
Intergovernmental 171,875 50,000 35,276 - -
Interest earnings 40,422 35,052 27,889 30,000 15,000 -46.22%
Miscellaneous 46,040 106,676 153,239 40,300 55,000
Total Revenues 698,255 673,454 665,539 381,200 402,031
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 147,151 149,030 176,620 125,677 130,704 4.00%
Fringe Benefits 45,825 40,926 54,224 43,199 44,931 4.01%
Materials, Supplies and Services
Professional & Technical Services 80,769 100,444 82,125 48,850 57,050 16.79%
Utilities and Maintenance 735 934 776 1,170 1,170
Operations 24,811 324,733 77,456 7,300 11,300 54.79%
City Support Services 22,819 24,037 5,947 22,351 6,096 -72.73%
Supplies and Materials 1,610 1,732 26,769 1,900 24,449 1186.79%
Grant Expenditures 138,629 102,886 176,185 - 10,000
Operating Transfer In (Out)- - - - -
462,349 744,721 600,102 250,447 285,700
Total Expenditures 462,349 744,721 600,102 250,447 285,700 14.08%
Reimbursed Expenditures (40,000) (40,000) (40,000) (40,000) (40,000)
Net Total Expenditures 422,349 704,721 560,102 210,447 245,700 16.75%
Excess (deficiency) of Revenues over
Expenditures 275,907 (31,267) 105,437 170,753 156,331 -8.45%
Revenues and Expenditures
ECONOMIC AND COMMUNITY DEVELOPMENT BUDGET
The Economic Development Fund was established to fund development and redeveloment opportunities. Sources are derived
from loans, grants and tax levy.
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Property Taxes $ 449,135 $ 310,200 $ 332,037 7.04%
Intergovernmental Revenue 35,276 25,000 25,000 0.00%
Interest 27,889 15,000 15,000 0.00%
Miscellaneous 153,239 15,700 15,000 -4.46%
$ 665,539 $ 365,900 $ 387,037 5.78%
EXPENDITURES:
Personnel Services $ 100,527 $ 69,123 $ 71,889 4.00%
Other Services & Charges 71,334 38,717 54,992 42.04%
Transfer Out - - - #DIV/0!
$ 171,861 $ 107,840 $ 126,881 17.66%
NET TAX AND GENERAL
REVENUE SUPPORTED $(493,678) $(258,060) $(260,156)0.81%
PERSONNEL:
Number of FTE positions 0.65 0.65 0.65
FUND 204 – ECONOMIC DEVELOPMENT FUND
PROGRAM: Project Development and Coordination
PROGRAM SUMMARY
Undertake development activities not
directly funded by specific project budgets.
Meet with developers, property owners
and business tenants to review possible
redevelopment/development activities.
Recruit desirable businesses to locate in
Hopkins. Explore developer incentives
aimed at promoting sustainability and
active living.
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Monitor income/expenditure of
Economic Development fund.
2. Prepare program budget.
3. Facilitate redevelopment projects as
directed by the City Council.
PROGRAM: Tax Increment Financing Program
PROGRAM SUMMARY
Undertake miscellaneous development activities funded through tax increment districts. Administer all districts.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Ensure districts are meeting legal and statutory requirements.
2. Continue to monitor all districts.
3. Coordinate development activities within districts.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Personnel Services $ 66,000 $ 49,717 $ 51,707 4.00%
Other Services & Charges 8,804 9,804 10,018 2.18%
Reimbursed Expenditures (40,000) (40,000) (40,000)0.00%
$ 34,804 $ 19,521 $ 21,725
NET TAX AND GENERAL
REVENUE SUPPORTED $ 34,804 $ 19,521 $ 21,725 11.29%
PERSONNEL:
Number of FTE positions 0.5 0.5 0.5
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CITY OF HOPKINS
FUND 204 – ECONOMIC DEVELOPMENT FUND
PROGRAM: Community Development Activity
PROGRAM SUMMARY
Promote the City of Hopkins by building on assets, including the small town feel, walkability and Hopkins as a
destination. Explore ways to enhance the sense of place through public art and directional signage.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Work towards the Council-approved goals and objectives.
2. Continue liaison role for City between both HBCA and Twin West Chamber.
3. Work with Marketing Task Force to implement year four of the Think Hopkins marketing plan.
4. Facilitate year five of Hopkins Artstreet.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Interest $ - $ - $ - #DIV/0!
Intergovernmental revenue $ - $ - $ - #DIV/0!
Miscellaneous - 300 - -100.00%
$ - $ 300 $ - -100.00%
EXPENDITURES:
Personnel Services $ 64,316 $ 50,036 $ 52,039 4.00%
Other Services & Charges 289,121 33,050 45,056 36.33%
$ 353,437 $ 83,086 $ 97,095 16.86%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 353,437 $ 82,786 $ 97,095 17.28%
PERSONNEL:
Number of FTE positions 0.25 0.45 0.45
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CITY OF HOPKINS
Special Revenue Fund 211
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Tax Increment $58,173 $58,172 $30,024 $30,000 $29,500 -1.67%
Interest 1,757 1,036 1,915 1,000 500 -50.00%
Transfers In - - -
Expenditures
Materials, Supplies and Services
Professional & Technical Services 596 1,462 1,436 1,500 3,000 100.00%
Operations 12,538 7,178 2,000 11,742 10,242 -12.77%
Total Expenditures 13,135 8,640 3,436 13,242 13,242
Transfers out for debt - - - - -
Total Expenditures 13,135 8,640 3,436 13,242 13,242
Excess (deficiency) of Revenues
over Expenditures 46,795 50,568 28,503 17,758 16,758 -5.63%
Revenues and Expenditures
TIF DISTRICT 1-2 BUDGET
The Tax Increment District 1-2 Fund is the redevelopment of former Suburban Chevrolet property. The tax
increment district is located in the Central Business District. The fund records the use of tax increment receipts.
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CITY OF HOPKINS
FUND 211 – TAX INCREMENT DISTRICT 2-1 FUND
PROGRAM: Redevelopment within Central Business District
PROGRAM SUMMARY
Redevelopment activity of property in the Central Business District (CBD), north and south of Mainstreet between
11th and 12th Avenues.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Assist in preparation of program budget and other required documentation.
2. Prepare required State Auditor Annual Reports.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Tax Increments $ 30,024 $ 30,000 $ 29,500 -1.67%
Interest 1,915 1,000 500 -50.00%
$ 31,939 $ 31,000 $ 30,000 -3.23%
EXPENDITURES:
Other Services & Charges $ 8,371 $ 13,242 $ 13,242 0.00%
NET TAX AND GENERAL
REVENUE SUPPORTED $ (23,568) $ (17,758) $ (16,758)-5.63%
PERSONNEL:
Number of FTE positions 0 0 0
116
CITY OF HOPKINS
Special Revenue Fund 215
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Court Fines $15,767 $21,876 $21,155 $22,000 $22,000
Leased Parking 119,577 109,754 177,382 120,000 126,000 5.00%
Interest Earned 2,476 1,125 2,054 2,500 2,500
Transfer In - 443,000 - - - Total Revenues 137,820 575,755 200,591 144,500 150,500 4.15%
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 40,557 39,947 54,035 44,039 45,801 4.00%
Fringe Benefits 7,039 17,404 21,904 18,880 19,637 4.01%
Materials, Supplies and Services
Professional & Technical Services 7,890 3,948 3,115 6,150 9,350 52.03%
Utilities and Maintenance 31,384 8,002 9,642 14,025 14,085 0.43%
Operations 325 925 7,433 750 7,936 958.13%
City Support Services 17,499 23,315 8,787 21,534 9,178 -57.38%
Supplies and Materials 645 298 6,337 5,550 7,543 35.91%
Capital Outlay
Other Improvements 95,875 438,404 38,956 - -
Total Expenditures 201,214 532,242 150,209 110,928 113,530 2.35%
Excess (deficiency) of Revenues
over Expenditures (63,394) 43,513 50,382 33,572 36,970 10.12%
Revenues and Expenditures
PARKING BUDGET
The Parking Fund records the receipt of parking permits and parking fines. The revenues are used to offset the
maintenance cost of the parking lots and parking ramp and to fund the parking enforcement officer.
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Fines & Forfeits $ 21,155 $ 22,000 $ 22,000 0.00%
EXPENDITURES:
Personnel Services $ 58,905 $ 59,361 $ 61,737 4.00%
Other Services & Charges 11,906 17,554 17,779 1.28%
$ 70,811 $ 76,915 $ 79,516
NET TAX AND GENERAL .
REVENUE SUPPORTED $ 49,656 $ 54,915 $ 57,516 4.74%
PERSONNEL:
Number of FTE positions 0.72 0.72 0.72
FUND 214 – PARKING FUND
PROGRAM: Parking Enforcement
PROGRAM SUMMARY
Manage and enforce parking rules and regulations. Ensure that parking is available for customers and parking rules
are followed.
MAJOR OBJECTIVES TO BE ACCOMPLISHED
IN 2018:
1. Monitor the effects of current parking
enforcement efforts and recommend
changes as needed.
2. Continue to accurately account for fine
revenues that result from parking
enforcement.
PROGRAM: Parking Operations
PROGRAM SUMMARY
Implement and manage parking recommendations by the City Council and the Parking Committee and follow-up on
any questions by the general public. Provide information to the Parking Committee and the City Council on items of
operation. Manage the parking as to provide the most convenient parking for customers.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Update parking brochure.
2. Promote marketing plan for permit parking and municipal ramp.
3. Review funding options for future maintenance of public lots.
4. Maintain and improve public parking lots as needed.
5. W ork with Public Works Department to complete analysis of public parking lots
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Leases $ 177,382 $ 120,000 $ 126,000 5.00%
Interest 2,054 1,000 2,500 150.00%
$ 179,436 $ 121,000 $ 128,500 6.20%
EXPENDITURES:
Personnel Services $ 17,034 $ 3,558 $ 3,701 4.02%
Other Services & Charges 1,282 1,712 1,719 0.41%
$ 18,316 $ 5,270 $ 5,420 2.85%
NET TAX AND GENERAL
REVENUE SUPPORTED $(161,120) $(115,730) $(123,080)6.35%
PERSONNEL:
Number of FTE positions 0.01 0.01 0.01
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CITY OF HOPKINS
FUND 214 – PARKING FUND
PROGRAM: Parking Ramp
PROGRAM SUMMARY
Proper handling of all matters related to the operation and administration of the leased parking system for the ramp.
Implement recommendations by the City Council and the Parking Committee and follow-up on any questions by the
general public. Provide information to the Parking Committee and the City Council on items of operation. Manage
the parking as to provide the most convenient parking for customers.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Review funding options for future maintenance of parking ramp.
2. Maintain and improve parking ramp as needed.
3. Complete Ramp signage replacement project
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
EXPENDITURES:
Other Services & Charges 22,129 28,743 28,595 -0.51%
Capital Expenditures 38,956 - - --
$ 61,085 $ 28,743 $ 28,595
NET TAX AND GENERAL
REVENUE SUPPORTED $ 61,085 $ 28,743 $ 28,595 -0.51%
PERSONNEL:
Number of FTE positions 0 0 0
119
CITY OF HOPKINS
Special Revenue Fund 218
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Franchise Fees $266,366 $273,105 $274,485 $263,000 $263,000
Charges for Services - 12,494 9,771 - -
Proceeds from Sale of Assets - - - -
Interest Earned 6,207 5,126 4,801 6,200 6,200 Total Revenue 272,573 290,725 289,057 269,200 269,200
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 59,003 62,580 66,056 73,000 75,920 4.00%
Fringe Benefits 13,112 12,455 21,509 27,854 28,986 4.07%
Materials, Supplies and Services
Professional & Technical Services 7,984 34,215 26,806 34,250 24,250 -29.20%
Utilities and Maintenance 21,658 27,151 990 1,650 1,650
Operations 19,728 26,870 25,324 24,800 24,800
City Support Services 10,987 12,476 4,295 14,123 15,890 12.51%
Supplies and Materials 313 1,455 11,082 650 650
Capital Outlay
Equipment 8,558 28,223 10,468 26,500 26,500
Transfer Out 86,920 86,920 86,920 86,920 86,920
Total Expenditures 228,264 292,346 253,450 289,747 285,566 -1.44%
Excess (deficiency) of Revenues
over Expenditures 44,309 (1,621) 35,607 (20,547) (16,366) -20.35%
Revenues and Expenditures
COMMUNICATIONS BUDGET
The Communication Fund (formerly known as the Cable fund) records the City's share of a five city joint venture
cable TV franchise administered under the Southwest Suburban Cable Commission.
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CITY OF HOPKINS
FUND 217 – COMMUNICATIONS FUND
PROGRAM: Communication
PROGRAM SUMMARY
Provide two-way communication between the City and its residents, employees and businesses; its civic, service,
and fraternal organizations; and other communities and government agencies. Written, verbal and visual
communication tools.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
Communications:
1. Promote City events, large and small.
2. Work on engaging and reaching all community members.
Newsletters:
3. City Goal 3: Take it to Them - Engage the Rental Community of Hopkins.
4. Increase newsletter distribution to rental properties.
Web and Messaging:
5. City Goal 1, Explore improved service delivery through e-commerce:
6. Increase interactivity on web site through one or more of the following:
• Update website to make more accessible for all.
• Ability to make payments via the web.
• Customer Response system.
• Ability to fill out forms on the website.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Charges for Services $ 9,771 $ - $ -
Franchise Fees 274,485 263,000 - -100.00%
Interest 4,801 6,200 - -100.00%
$ 289,057 $ 269,200 $ - -100.00%
EXPENDITURES:
Personnel Services $ 87,565 $ 100,854 $ - -100.00%
Other Services & Charges 68,498 75,473 - -100.00%
Capital Expenditures 10,468 26,500 - -100.00%
Transfer Out 86,920 86,920 - -100.00%
$ 253,451 $ 289,747 $ - -100.00%
NET TAX AND GENERAL
REVENUE SUPPORTED $ (35,606) $ 20,547 $ - -100.00%
PERSONNEL:
Number of FTE positions 0.25 0.25 1.25
121
CITY OF HOPKINS
Special Revenue Fund 220
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Intergovernmental $15,000 $15,000 $15,000 $15,000 $15,000
Leases and Rentals 74,654 75,576 68,886 68,000 58,000 -14.71%
Concessions & Merchandise Sales 260,413 250,278 244,869 232,500 246,500 6.02%
Donations & Contributions 702 3,553 1,130 2,500 1,500 -40.00%
Interest (14) 136 - -
Miscellaneous 15,302 15,653 16,501 15,000 16,000
Transfer In 10,000 15,000 15,000 15,000 15,000
Total Revenues 376,057 375,196 361,386 348,000 352,000 1.15%
Expenditures
Salaries, Wages and Benefits
Salaries and Wages 164,353 170,045 169,298 157,276 176,564 12.26%
Fringe Benefits 53,834 53,884 52,269 50,785 54,469 7.25%
Materials, Supplies and Services
Professional & Technical Services 10,730 10,759 17,414 9,300 14,450 55.38%
Utilities and Maintenance 13,568 15,823 14,778 10,800 9,600 -11.11%
Operations 7,747 14,877 12,959 15,950 14,345 -10.06%
City Support Services 5,320 5,289 775 4,125 775 -81.21%
Supplies and Materials 95,999 98,046 92,384 94,800 97,550 2.90%
Total Expenditures 351,552 368,723 359,877 343,036 367,753 7.21%
Excess (deficiency) of Revenues
over expenditures 24,505 6,473 1,509 4,964 (15,753) -417.34%
Revenues and Expenditures
DEPOT BUDGET
The Depot Coffee House Fund accounts for the operations of the Youth Center, a chemical free environment for area teens
to socialize and the operations of the Coffee House which provides a service to the Youth and those on the regional trail
system.
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Intergovernmental $ 65,605 $ 67,500 $ 66,500 -1.48%
Charges for Service 22,749 20,500 20,500 0.00%
Miscellaneous 15,000 15,000 15,000 0.00%
Tranfer In 15,000 15,000 15,000 0.00%
$118,354 $ 118,000 $ 117,000 -0.85%
EXPENDITURES:
Personnel Services $ 97,814 $ 88,878 $ 98,540 10.87%
Other Services & Charges 28,691 30,625 27,975 -8.65%
Capital Expenditures - - - 0.00%
$126,505 $ 119,503 $ 126,515 5.87%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 8,151 $ 1,503 $ 9,515 533.07%
PERSONNEL:
Number of FTE positions 1.5 1.0 1.0
FUND 219 – DEPOT FUND
PROGRAM: Depot Youth Project
PROGRAM SUMMARY:
Depot Mission
To provide a place of community and learning in which student involvement and
youth development are encouraged in a chemically-free environment
Depot Youth Project staffing and programs are funded primarily through admission fees, rentals, gifts and grants.
The Depot programs are intended to offer area youth creativity and leadership opportunities, strengthen youth
involvement in community activities, and nurture their growth and development as citizens through interaction with
peers, the public, and community partners. The Depot Board and The Partners Advisory Team, consisting of
students, community members, community business partners, City, Hopkins School District, Depot Youth
Foundation and Three Rivers Park District representatives, guide and support site and programming decisions.. The
facility/grounds serve as a Trailhead for Three Rivers Park District and the coffee house which operates 7 days a
week is an amenity enjoyed by local residents as well as trail riders/walkers.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Sustain welcoming and chemical
free venue for community youth
and other gatherings.
2. Continue staffing 2 – 3 night a
week year -round youth events
programming at the Depot.
3. Support additional youth-initiated
projects.
4. Provide learning lab for
Business/Marketing classes at
Hopkins High School.
5. Promote partnerships with the
Depot in the community, with
area students, and youth allies.
6. Create new youth learning
opportunities with Coffee
Operations staff.
7. Provide workplace training and
employment opportunities for
youth.
8. Continue capital upgrades with
furnishings
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CITY OF HOPKINS
FUND 219 – DEPOT FUND
PROGRAM: Depot Coffee Ops
PROGRAM SUMMARY: The coffee shop is a natural adjunct to the youth programming at the Depot and provides
actual sustenance for youth patrons and the wider community as well as employment and training opportunities for
youth.
.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue to provide organic fair-trade coffee drinks, locally sourced snacks and hand-crafted baked goods,
sandwiches, salads, and soups for youth and adult patrons.
2. Provide barista/customer service training and supervision for youth volunteers and employees.
3. Provide learning lab for Marketing/Business students at Hopkins High School.
4. Offer food choices as well as repair and small merchandise items for biking/trail patrons of the Depot.
5. Develop catering menu and business for youth to operate.
6. Develop food service partnership with Hopkins Activity Center.
7. Market the Depot space for rentals.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Charges for Service $217,589 $ 227,000 $ 235,000 3.52%
EXPENDITURES:
Personnel Services $123,753 $ 119,183 $ 132,493 11.17%
Other Services & Charges 109,620 104,350 108,745 4.21%
$233,373 $ 223,533 $ 241,238 7.92%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 15,784 $ (3,467) $ 6,238 -279.93%
PERSONNEL:
Number of FTE positions 1 1 1
124
CITY OF HOPKINS
Special Revenue Fund 228
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Tax Increment $12,587 $14,504 $15,382 $12,000 $14,000 16.67%
Interest 20 21 9 - -
Miscellaneous 7,024 4,520 7,024 7,000 -0.34%
Transfers In 21,870 24,108 21,125 -
Total Revenues 41,501 43,153 15,391 40,149 21,000 -47.69%
Expenditures
Materials, Supplies and Services
Professional & Technical Services 528 1,384 955 1,350 1,350
Operations 1,375 1,500 1,500 1,500 1,500
Interest Expense 6,910 5,518 - 4,126 4,126
Total Expenditures 8,813 8,402 2,455 6,976 6,976
Excess of Revenues over Expenditures 32,688 34,751 12,936 33,173 14,024 -57.72%
Revenues and Expenditures
TIF DISTRICT 2-6 BUDGET
The Tax Increment 2-6 Fund is the handicapped housing development. The funds records the use of tax increment
receipts.
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CITY OF HOPKINS
FUND 226 – TAX INCREMENT 2-6 FUND
PROGRAM: Sonoma Handicap Housing Project
PROGRAM SUMMARY
Coordinate redevelopment of northwest corner of 5th Avenue and Excelsior Boulevard.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Assist in preparation of program budget and other required documents.
2. Prepare required annual State Auditor report
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Tax Increments $ 15,382 $ 12,000 $ 14,000 16.67%
Miscellaneous $ - $ 7,024 $ 7,000
Interest 9 - - #DIV/0!
Tranfer In - 21,125 - -100.00%
$ 15,391 $ 40,149 $ 21,000 -47.69%
EXPENDITURES:
Other Services & Charges $ 2,455 $ 6,976 $ 6,975 -0.01%
NET TAX AND GENERAL
REVENUE SUPPORTED $ (12,936) $ (33,173) $ (14,025)-57.72%
PERSONNEL:
Number of FTE positions 0 0 0
126
CITY OF HOPKINS
Special Revenue Fund 231
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Tax Increment $2,597,340 $2,751,506 $1,921,687 $2,400,000 $2,400,000
Interest 42,139 26,981 42,129 8,000 8,000
Miscellaneous - - -
Total Revenues 2,639,479 2,778,487 1,963,816 2,408,000 2,408,000
Expenditures
Materials, Supplies and Services
Professional & Technical Services 17,557 15,396 21,683 12,800 13,000 1.56%
Operations 42,197 46,440 47,540 47,540 47,540
Debt Service 450,352 389,098 223,101 400,000 400,000
Capital Outlay
TIF projects - - -
Transfers out 188,000 818,108 1,330,125 1,179,700 -11.31%
Total Expenditures 698,107 1,269,042 292,324 1,790,465 1,640,240 -8.39%
Excess (deficiency) of Revenues
over Expenditures 1,941,372 1,509,445 1,671,492 617,535 767,760 24.33%
Revenues and Expenditures
TIF DISTRICT 2-11 BUDGET
The Tax Increment District 2-11 fund is the SuperValu and Super Value North Annex redevelopment. This fund records the use of
tax increments and bond proceeds.
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CITY OF HOPKINS
FUND 231 – TAX INCREMENT 2-11 FUND
PROGRAM: Redevelopment Area – North Annex Property
PROGRAM SUMMARY
Coordinate and review development and redevelopment activity.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Assist in preparation of program budget and other required documents.
2. Prepare required annual State Auditor report.
3. Distribute Pay As You Go (PAYG) financing to developer as scheduled.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Tax Increments $ 1,921,687 $ 2,400,000 $ 2,400,000 0.00%
Interest 42,129 8,000 - -100.00%
$ 1,963,816 $ 2,408,000 $ 2,400,000 -0.33%
EXPENDITURES:
Other Services & Charges $ 69,223 $ 60,040 $ 60,040 0.00%
Debt Service - PAYG TIF $ 223,101 $ 400,500 $ 400,500 0.00%
Transfer Out - 1,330,125 1,179,700 -11.31%
$ 292,324 $ 1,790,665 $ 1,640,240 -8.40%
NET TAX AND GENERAL
REVENUE SUPPORTED $(1,671,492) $ (617,335) $ (759,760)23.07%
PERSONNEL:
Number of FTE positions 0 0 0
Super Valu Development Excelsior Crossings Development
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CITY OF HOPKINS
Special Revenue Fund 232
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Tax Increments $- $- $- $- $-
Interest (2,444) - - - -
Development Fees - - - - -
Other Miscellaneous - - - - -
Transfer In - - - - -
Total Revenues (2,444) - - - -
Expenditures
Materials, Supplies and Services
Professional & Technical Services 1,833 2,000 2,000 2,000 2,000
Miscellaneous Other Charges - - - - -
Capital Outlay
TIF Projects - - - - -
Total Expenditures 1,833 2,000 2,000 2,000 2,000
Excess of Revenues
over Expenditures $(4,277) $(2,000) $(2,000) $(2,000) $(2,000)
Revenues and Expenditures
5TH AVENUE FLATS
5th Avenue Flats is a redevelopment of a block within the downtown district. The fund records the costs and
reimbursement of project expenses.
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CITY OF HOPKINS
FUND 232 – 5TH AVENUE FLATS
PROGRAM: Redevelopment Area –6th & Mainstreet
PROGRAM SUMMARY
Redevelopment of property between Fifth and Sixth Avenues, north of Mainstreet into an apartment development.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Work with developer on project implementation.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Tax Increments $ - $ - $ - 0.00%
Miscellaneous - - - 0.00%
$ - $ - $ - 0.00%
EXPENDITURES:
Other Services & Charges $ 2,000 $ 2,000 $ 2,000 0.00%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 2,000 $ 2,000 $ 2,000 0.00%
PERSONNEL:
Number of FTE positions 0 0 0
Proposed Fifth
Avenue Flats project
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CITY OF HOPKINS
Special Revenue Fund 234
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Tax Increments $119,176 $133,125 $179,889 $122,000 $125,000 2.46%
Interest 17 8 53 100 -100.00%
Transfers In - - -
Total Revenues 119,193 133,133 179,942 122,100 125,000 2.38%
Expenditures
Materials, Supplies and Services
Professional & Technical Services 8,055 4,820 1,306 5,950 3,000 -49.58%
Miscellaneous 11,023 - 3,000 - 3,000
PAYG Note 55,068 62,516 231,850 115,000 109,000
Total Expenditures 74,146 67,336 236,156 120,950 115,000 -4.92%
Excess of Revenues
over Expenditures $45,048 $65,797 $(56,214) $1,150 $10,000 769.57%
Revenues and Expenditures
TIF 1-4 MARKETPLACE II
The Tax Increment District 1-4 Fund is the redevelopment of several blocks of the downtown business district into a housing
and retail development. This fund records the tax increment revenues.
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CITY OF HOPKINS
FUND 233 – TAX INCREMENT 1-4 FUND
PROGRAM: Redevelopment Area –Marketplace & Main
PROGRAM SUMMARY
Redevelopment of property between 6th and 8th Avenues into mixed-use apartment, townhome & retail development.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Assist in preparation of program budget and other required documents.
2. Prepare required annual State Auditor report.
3. Work with developer on implementation of project.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Tax Increments $ 179,889 $ 125,000 $ 125,000 0.00%
Miscellaneous 53 - - #DIV/0!
$ 179,942 $ 125,000 $ 125,000 0.00%
EXPENDITURES:
Other Services & Charges $ 236,157 $ 120,950 $ 115,000 -4.92%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 56,215 $ (4,050) $ (10,000)146.91%
PERSONNEL:
Number of FTE positions 0 0 0
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CITY OF HOPKINS
Special Revenue Fund 251
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Current Services $83,587 $138,018 $243,665 $250,000 $250,000
Grants 73,353 35,210 32,502 35,597 41,000 15.18%
Current Services 358,491 372,249 501,250 382,817 547,906 43.12%
Other Revenues 175,043 496,258 44,395 180,400 49,800 -72.39%
Transfers In 86,920 86,920 86,920 86,920 86,920
Total Revenues 777,393 1,128,656 908,732 935,734 975,626 4.26%
Operating Expenses
Salaries, Wages and Benefits
Salaries and Wages 300,823 318,588 335,778 306,495 366,148 19.46%
Fringe Benefits 95,595 86,301 79,962 114,265 92,191 -19.32%
Materials, Supplies and Services
Professional & Technical Services 150,676 174,717 147,976 176,556 187,550 6.23%
Utilities and Maintenance 79,923 86,610 77,438 96,300 80,500 -16.41%
Operations 71,109 90,018 81,835 98,000 102,219 4.31%
City Support Services 16,175 10,518 5,400 10,889 5,500 -49.49%
Supplies and Materials 35,940 27,008 29,951 33,800 27,300 -19.23%
Capital Outlay
Improvements 10,169 130,166 330,557 398,200 131,500
Total Expenses 760,408 923,926 1,088,897 1,234,505 992,908 -19.57%
Excess (deficiency) of Revenues
over Expenditures 16,985 204,729 (180,165) (298,771) (17,282) -94.22%
ARTS CENTER
Revenues and Expenditures
The Arts Center accounts for the maintenance, operation, programming and promotion of the Hopkins Center for the Arts
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Taxes $ 243,665 $ 250,000 $ 250,000 0.00%
Intergovernmental 32,502 35,597 41,000 15.18%
Charges for Service 501,250 529,017 524,907 -0.78%
Miscellaneous 44,395 34,200 72,800 112.87%
Tranfer In 86,920 86,920 86,920 0.00%
$ 908,732 $ 935,734 $ 975,627 4.26%
EXPENDITURES:
Personnel Services $ 415,740 $ 420,760 $ 458,339 8.93%
Other Services & Charges 342,600 415,545 403,069 -3.00%
Capital Expenditures 330,557 398,200 131,500
$ 1,088,897 $ 1,234,505 $ 992,908 -19.57%
NET TAX AND GENERAL
REVENUE SUPPORTED $ 180,165 $ 298,771 $ 17,282 -94.22%
PERSONNEL:
Number of FTE positions 3.8 3.8 3.8
FUND 250 – ARTS CENTER FUND
PROGRAM: Facility Operations and Programming & Promotions
Building Community through the Arts by fostering creative expression and providing artistic and
educational opportunities for people of all ages.
PROGRAM SUMMARY
The Hopkins Center for the Arts is a premiere cultural and artistic destination drawing over 215,000 visitors
annually. Its amenities include a 715 seat theater, black-box theater, art gallery, dance studio, classroom,
meeting and multipurpose spaces. The Center provides artistic and educational opportunities for people of all
ages and abilities, including a concert series of local and national artists, exhibits that are free and open to the
public, and ArtStreet, the public art sculpture program. It is also home to tenant partners – Stages Theatre
Company and the Hopkins School District. Hopkins Center for the Arts earns revenue through tenant leases,
rentals, admission fees, gifts and grants.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue to build relationships in our community and collaborate with tenants, partners, businesses and
residents to meet City Strategic Plan goals and engage a broad segment of the community.
2. Operate within a balanced budget that maximizes revenues and controls expenses, with the goal of
financial sustainability.
3. Increase the fundraising capacity of the Arts Center to address operating and capital needs.
4. Build participation in Center arts activities, including concerts and exhibitions, and explore creative
opportunities beyond the walls of the Center.
5. Strengthen the identity and enhance the reputation of the Hopkins Center for the Arts.
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CITY OF HOPKINS
Internal Service Fund 603
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Current Services $345,477 $408,459 $445,220 $445,220 $489,742 10.00%
Intergovernmental Revenue 237,120 - - - -
Interest Earnings 6,023 5,426 3,000 5,300 3,000 -43.40%
Miscellaneous 27,535 121,543 30,000 30,000 30,000
Transfers In -1,896,571 - - -
Total Revenues 616,155 2,432,000 478,220 480,520 522,742 8.79%
Operating Expenses
Materials, Supplies and Services 17,008 19,551 20,000 45,290 126.45%
Professional & Technical Services 2,000 2,000 2,500 2,500 25,000 900.00%
Utilities and Maintenance 45,525 48,839 3,411 1,200 1,200
City Support Services 6,744 7,350 7,350 7,350 7,350
Total Operating Expenses 71,276 77,740 13,261 31,050 78,840 153.91%
Non-operating expenses 484,826 476,729 662,712 474,383 670,000 41.24%
Total Expenses 556,103 554,469 675,973 505,433 748,840 48.16%
Net Income (Loss)60,053 1,877,531 (197,753) (24,913) (226,098) 807.56%
Capital 1,134,325 746,316 1,653,540 1,859,200
Revenues and Expenses
EQUIPMENT REPLACEMENT BUDGET
The Equipment Replacement fund is an internal service fund. It accounts for the acquisition of machinery and equipment. User
charges are billed to the various departments.
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CITY OF HOPKINS
FUND 602 – EQUIPMENT REPLACEMENT FUND
PROGRAM: Equipment Replacement
PROGRAM SUMMARY
Coordinate and review twenty-year equipment replacement plan on an annual basis. The objective of this fund is to
stabilize the required funding on an annual basis while enabling the fund to purchase scheduled equipment
replacement without issuing bonds.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Update 5-year Equipment Replacement Plan.
2. Analyze future needs.
3. Review revenue structure to accommodate equipment needs as identified in the long-range 20-year plan.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
REVENUES:
Intergovernmental Revenue $0 $0 $0 0.00%
Charges for Service 445,220 445,220 489,742 10.00%
Interest 3,000 5,300 3,000 -43.40%
Miscellaneous 30,000 30,000 30,000 0.00%
Transfer In 0 0 0 0.00%
478,220 480,520 522,742 8.79%
EXPENDITURES:
Other Services & Charges 19,534 31,050 78,840 153.91%
Depreciation 656,892 470,000 470,000 0.00%
Debt Service 54,217 4,383 200,000 4463.08%
730,643 505,433 748,840 48.16%
NET SOURCE (USE)
OF EQUITY ($252,423) ($24,913) ($226,098)807.55%
Capital Purchases $1,653,540 $1,859,200 $990,650 -46.72%
PERSONNEL:
Number of FTE positions 0 0 0
136
CITY OF HOPKINS
Enterprise Fund 703
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Current Services $1,358,246 $1,265,795 $1,683,816 $2,047,405 $1,985,085 -3.04%
Intergovernmental Revenue - - -
Permits 2,467 2,142 - 2,000 2,000
Interest Earnings 2,631 2,459 652 - -
Miscellaneous 152,898 152,801 147,809 160,000 160,000
Total Revenues 1,516,242 1,423,197 1,832,277 2,209,405 2,147,085 -2.82%
Non-operating Revenues 496,275 930,348 930,348 - -
Total Revenues 2,012,517 2,353,545 2,762,625 2,209,405 2,147,085 -2.82%
Operating Expenses
Salaries, Wages and Benefits
Salaries and Wages 401,427 327,120 378,534 256,944 266,462 3.70%
Fringe Benefits 122,463 109,899 131,977 95,856 100,573 4.92%
Materials, Supplies and Services
Professional & Technical Services 125,414 183,912 144,088 131,900 138,600 5.08%
Utilities and Maintenance 379,449 554,391 397,574 659,800 611,400 -7.34%
Operations 13,227 23,253 28,834 22,050 36,769 66.75%
City Support Services 231,161 224,927 230,535 230,003 229,384 -0.27%
Supplies and Materials 108,851 89,015 89,733 107,400 102,600 -4.47%
Depreciation 241,636 250,000 303,241 250,000 307,547 23.02%
Total Operating Expenses 1,623,627 1,762,517 1,704,516 1,753,953 1,793,335 2.25%
Non-operating expenses 119,755 240,486 84,987 136,962 187,475 36.88%
Total Expenses 1,743,382 2,003,003 1,789,503 1,890,915 1,980,810 4.75%
Net Income (Loss)269,135 350,542 973,122 318,490 166,275 -47.79%
-
WATER BUDGET
Revenues and Expenses
The Water fund is a utility enterprise. The operations of water pumps, wells and distribution are recorded here.
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CITY OF HOPKINS
FUND 703 – WATER FUND
PROGRAM: Pumps & Wells and Water Distribution
PROGRAM SUMMARY
The Pumps & Wells and Distribution program of the Water Utility Fund provides maintenance to the City’s water well
pumping system so that a continued supply of potable water is furnished to water customers at the most reasonable
cost. Water supply must be maintained at proper levels, as well as bacterial free. Metering devices are also
maintained.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Produce water supply sufficient to meet the needs of 19,000 people.
2. Flush and check all hydrants annually.
3. Check all wells each day.
4. Test samples each month to ensure safe water supply.
5. Install new valves & hydrants in new construction areas.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
OPERATING REVENUES:$1,683,816 $2,049,405 $1,987,086 -3.04%
OPERATING EXPENSES:
Personnel Services 510,512 352,800 367,035 4.03%
Other Services & Charges 890,593 1,151,153 1,132,753 -1.60%
Depreciation Expense 303,421 250,000 250,000 0.00%
Operating Income (Loss)1,704,526 1,753,953 1,749,788 -0.24%
NON-OPERATING REVENUES:148,461 160,000 160,000 0.00%
NON-OPERATING EXPENSES:(84,987) (136,962) (231,022) 68.68%
NET INCOME (LOSS)$42,764 $318,490 $166,276 47.79%
Capital Outlay/Construction $0 $1,922,000 $0 -100.00%
PERSONNEL:
Number of FTE positions 3.43 3.43 3.43
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CITY OF HOPKINS
Enterprise Fund 707
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Current Services $2,172,278 $2,045,107 $2,669,872 $2,932,504 $3,088,299 5.31%
Intergovernmental Revenue -92,190 - -#DIV/0!
Permits - - - -#DIV/0!
Interest Earnings 2,415 2,368 2,727 - - #DIV/0!
Miscellaneous Revenue 150 9,926 15,851 - - #DIV/0!
Total Revenues 2,174,842 2,149,592 2,688,450 2,932,504 3,088,299 5.31%
Non-operating revenue 297,004 9,776 - - -#DIV/0!
Total Revenues 2,471,846 2,159,368 2,688,450 2,932,504 3,088,299 5.31%
Operating Expenses
Salaries, Wages and Benefits
Salaries and Wages 212,389 159,371 184,074 270,732 293,561 8.43%
Fringe Benefits 74,183 63,249 68,509 97,985 102,824 4.94%
Materials, Supplies and Services
Professional & Technical Services 38,027 70,423 110,228 135,000 140,000 3.70%
Utilities and Maintenance 47,400 96,278 93,249 163,300 174,120 6.63%
Operations 1,327,190 1,456,613 1,372,063 1,502,523 1,507,524 0.33%
City Support Services 143,573 174,471 177,266 178,530 182,586 2.27%
Supplies and Materials 17,450 21,599 17,539 35,100 29,600 -15.67%
Depreciation 174,826 170,000 238,212 170,000 203,056 19.44%
Total Operating Expenses 2,035,037 2,212,004 2,261,140 2,553,170 2,633,271 3.14%
Non-operating expenses 96,460 109,557 220,552 117,727 112,931 -4.07%
Total Expenses 2,131,497 2,321,561 2,481,692 2,670,897 2,746,202 2.82%
Net Income (Loss)340,349 (162,194)206,758 261,607 342,097 30.77%
SANITARY SEWER BUDGET
Revenues and Expenses
The Sanitary Sewer fund is a utility enterprise. The operations of the Lift Stations and the Collection/Disposal process is
recorded here.
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CITY OF HOPKINS
FUND 707 – SEWER FUND
PROGRAM: Lift Stations, Collection & Disposal
PROGRAM SUMMARY
The Lift Stations program of the Sewer Utility Fund provides maintenance and repairs to the City’s sanitary sewer lift
station system. The system is comprised of 6 sanitary sewer lift stations that pump sewage to the Metro Sewer
System for disposal.
The Collection & Disposal program of the Sewer Utility Fund provides maintenance to the City’s sanitary sewer
system. The system is comprised of sewers, manholes, and lift stations so that sewage may be transported to the
Metro Sewer System for disposal.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Clean 33% of sanitary sewer lines in the City plus monthly checks of manholes in problem areas.
2. Check daily the operation of sanitary sewer lift stations and repair as needed.
3. Inform neighborhoods prior to scheduled sanitary sewer line maintenance.
4. Verify accuracy and implement new utility mapping system.
5. Inform neighborhoods prior to scheduled sanitary sewer line maintenance.
6. Repair or replace manhole cover & casting as needed.
7. Line & repair sewer mains as needed per T.V. reports, also repair of manhole structures.
8. Emergency generators maintenance program.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
OPERATING REVENUES:$2,669,872 $2,932,504 $3,088,299 5.31%
OPERATING EXPENSES:
Personnel Services 252,584 368,717 396,385 7.50%
Other Services & Charges 1,770,346 2,014,453 2,033,830 0.96%
Depreciation Expense 202,237 170,000 170,000 0.00%
Operating Income (Loss)2,225,167 2,553,170 2,600,215 1.84%
NON-OPERATING REVENUES:18,578 0 0 #DIV/0!
NON-OPERATING EXPENSES:(56,211) (117,727) (145,987) 24.00%
NET INCOME (LOSS)$407,072 $261,607 $342,097 30.77%
Capital Outlay/Construction $0 $1,831,000 $0 -100.00%
PERSONNEL:
Number of FTE positions 3.46 3.76 3.76
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CITY OF HOPKINS
Enterprise Fund 717
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Current Services $915,728 $ 955,636 $ 963,203 $ 964,900 $ 968,000 0.32%
County Grant 27,956 27,070 24,750 26,000 26,000
Interest Earnings 10,782 9,334 9,652 - -
Miscellaneous 12,219 21,094 16,389 16,500 16,500
Total Revenues 966,685 1,013,134 1,013,994 1,007,400 1,010,500 0.31%
Operating Expenses
Salaries, Wages and Benefits
Salaries and Wages 201,820 207,263 232,271 263,971 273,637 3.66%
Fringe Benefits 64,574 65,489 76,885 92,683 96,334 3.94%
Materials, Supplies and Services
Professional & Technical Services 120,768 158,252 124,228 137,700 164,100 19.17%
Utilities and Maintenance 25,296 13,167 202,691 41,700 215,730 417.34%
Operations 129,038 152,895 4,836 143,335 8,035 -94.39%
City Support Services 123,480 123,095 123,537 123,537 127,243 3.00%
Supplies and Materials 98,754 48,012 23,618 64,950 21,300 -67.21%
Depreciation 52,214 56,000 56,671 56,000 56,000
Total Operating Expenses 815,943 824,173 844,737 923,876 962,379 4.17%
Non-operating expenses 25,000 125,000 -25,000 25,000
Total Expenses 840,943 949,173 844,737 948,876 987,379 4.06%
Net Income (Loss)125,742 63,961 169,257 58,524 23,121 -60.49%
Revenues and Expenses
REFUSE BUDGET
The Refuse fund is a utility enterprise. The operations of bulk collections, yard waste, recycling, brush service and
refuse disposal are recorded here.
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
OPERATING REVENUES:$21,428 $14,900 $18,000 20.81%
OPERATING EXPENSES:
Personnel Services 21,923 16,713 17,190 2.85%
Other Services & Charges 30,525 23,930 25,577 6.88%
Operating Income (Loss)52,448 40,643 42,767 5.23%
NET INCOME (LOSS)($31,020) ($25,743) ($24,767)-3.79%
PERSONNEL:
Number of FTE positions 0.26 0.26 0.26
FUND 717 – REFUSE FUND
PROGRAM: Bulk Collection
PROGRAM SUMMARY
The Bulk Collection program of the Refuse
Utility Fund is a user fee based service that
provides bulk item pickup for larger items.
Pick ups are scheduled on a call-in basis and
take place Thursdays throughout the year. A
bulk item drop off event is provided twice per
year (spring & fall).
MAJOR OBJECTIVES TO BE
ACCOMPLISHED IN 2018:
1. Review and expand user fee based
system. (Council Approval Required)
2. Improve drop off procedures and increase
efficiency at our bi-annual drop offs.
PROGRAM: Yard Waste/Leaf Collection
PROGRAM SUMMARY
The Yard Waste/Leaf Collection program of the Refuse Utility Fund is a user fee based service that provides
bagged yard waste and leaf collection weekly, mid-April through November, for Hopkins residential refuse
customers. (Subject to change upon Council review.) A free drop-off site is also available to Hopkins residents
three times a week.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue to explore ways to improve our user fee based system.
(Council Approval Required)
2. Monitor usage of free residential drop off site.
3. Track impact of curbside fee increase and compostable bag requirement.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
OPERATING REVENUES:$6,081 $10,000 $10,000 0.00%
OPERATING EXPENSES:
Personnel Services 44,792 43,789 45,537 3.99%
Other Services & Charges 25,544 25,929 29,386 13.33%
Operating Income (Loss)70,336 69,718 74,923 7.47%
NET INCOME (LOSS)($64,255) ($59,718) ($64,923)8.72%
PERSONNEL:
Number of FTE positions 0.62 0.62 0.62
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
OPERATING REVENUES:$173,078 $197,900 $197,900 0.00%
OPERATING EXPENSES:
Personnel Services 40,788 35,027 36,428 4.00%
Other Services & Charges 139,537 160,548 164,342 2.36%
Operating Income (Loss)180,325 195,575 200,770 2.66%
NON-OPERATING REVENUES:0 1,600 1,600 0.00%
NET INCOME (LOSS)($7,247) $3,925 ($1,270)-132.36%
PERSONNEL:
Number of FTE positions 0.41 0.41 0.41
FUND 717 – REFUSE FUND
PROGRAM: Recycle
PROGRAM SUMMARY
The Recycle program of the Refuse Utility Fund provides bi-weekly single stream recycle collection for 2,990
residences in the City Service area. Collection is provided by a private licensed hauler who is contracted by the
City. Commercial and multi-family properties are required to contract independently for recycling services.
MAJOR OBJECTIVES TO BE ACCOMPLISHED
IN 2018:
1. Monitor the Single Stream Recycling
Program and work with residents to increase
the volume of waste recycled.
2. Verify compliance of commercial and multi-
family properties.
3. Continue to promote waste abatement
through public awareness campaigns and
educational presentations.
PROGRAM: Brush Service
PROGRAM SUMMARY
The Brush Service program of the Refuse Utility Fund is a user fee based service that provides for the collection of
curbside brush weekly on a call-in basis on Tuesdays throughout the year. Free yard waste/brush drop off is offered
three times per week from mid-May through November. (Subject to change upon Council review.)
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue to explore ways to improve our user fee based system. (Council Approval Required)
2. Monitor impact of curbside brush pick-up fee increase on program usage.
3. Continue free residential drop off system.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
OPERATING REVENUES:$0 $0 $0 0.00%
OPERATING EXPENSES:
Personnel Services 33,978 59,924 62,155 3.72%
Other Services & Charges 18,429 28,009 27,751 -0.92%
Operating Income (Loss)52,407 87,933 89,906 2.24%
NET INCOME (LOSS)($52,407) ($87,933) ($89,906)2.24%
PERSONNEL:
Number of FTE positions 0.655 0.655 0.655
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CITY OF HOPKINS
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
OPERATING REVENUES:$772,000 $783,000 $783,000 0.00%
OPERATING EXPENSES:
Personnel Services 167,674 201,201 208,661 3.71%
Other Services & Charges 264,875 272,806 289,352 6.07%
Depreciation Expense 56,671 56,000 56,000 0.00%
Operating Income (Loss)489,220 530,007 554,013 4.53%
NON-OPERATING REVENUES:11,000 0 0 #DIV/0!
NON-OPERATING EXPENSES:0 (25,000) (25,000) 0.00%
NET INCOME (LOSS)$293,780 $227,993 $203,987 -10.53%
Capital Outlay/Construction $0 $0 $0 0.00%
PERSONNEL:
Number of FTE positions 2.145 2.145 2.145
FUND 717 – REFUSE FUND
PROGRAM: Disposal
PROGRAM SUMMARY
The Disposal program of the Refuse Utility Fund provides automated refuse collection by City refuse trucks and
personnel. Residential Refuse is collected from roll out carts with a fully automated truck on one of four designated
route days.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue to improve refuse collection service to our residents.
2. Maintain excellent customer service through monitoring of operations and communicating with residents.
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STORM SEWER BUDGET
Revenues and Expenses
Enterprise Fund 740 Projected
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Current Services $805,542 $810,183 $834,262 $802,000 $802,000 -3.87%
Interest Earnings 8,385 8,459 10,577 8,200 8,200 -22.47%
Total Revenues 813,927 818,642 844,839 810,200 810,200 -4.10%
Non-operating revenues 605,843 66,841 - -
Total Revenues 1,419,770 885,483 844,839 810,200 810,200 -4.10%
Operating Expenses
Salaries, Wages and Benefits
Salaries and Wages 39,534 32,879 46,049 51,289 53,251 11.38%
Fringe Benefits 10,526 11,526 15,783 14,282 14,846 -9.51%
Materials, Supplies and Services
Professional & Technical Services 1,000 10,720 5,837 13,000 33,000 122.72%
Utilities and Maintenance 4,909 23,494 45,862 44,550 40,000 -2.86%
City Support Services 63,511 52,675 56,916 -4,000 -100.00%
Supplies and Materials 861 2,648 5,682 1,500 2,000 -73.60%
Depreciation 230,152 227,000 270,606 227,000 249,341 -16.11%
Total Operating Expenses 350,492 360,942 446,735 351,621 396,438 -21.29%
Non-operating expenses 69,634 247,523 145,428 130,504
Total Expenses 420,126 608,465 446,735 497,049 526,942 11.26%
Net Income 999,644 277,017 398,104 313,151 283,258 -21.34%
The Storm Sewer fund is a utility enterprise. The reconstruction of storm sewers and
ponding for drainage throughout the city is recorded here.
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FUND 740 – STORM SEWER FUND
PROGRAM: Sewer Maintenance
PROGRAM SUMMARY
The Sewer Maintenance program of the Storm Sewer Fund maintains all storm sewer lines and storm inlets to
assure adequate run-off. Creeks and ditches must be monitored to assure proper run-off and weed and pollution
control. This work is done with staff and equipment from the Water & Sewer and Street & Sanitation divisions.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Continue upgrades of storm water system including catch basin maintenance upgrades and open drainage
ditch maintenance.
2. Continue reviewing overall city storm water drainage system and meet all requirements of city’s National
Pollution Discharge Elimination System (NPDES), Phase II Storm Water Pollution Prevention Plan (SWPPP).
3. Continue grit chamber cleaning
4. Clean catch basins and inspect for repair.
FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
OPERATING REVENUES:$803,709 $802,000 $802,000 0.00%
OPERATING EXPENSES:
Personnel Services 61,831 65,571 68,097 3.85%
Other Services & Charges 114,297 59,050 79,000 33.78%
Depreciation Expense 246,119 227,000 227,000 0.00%
Operating Income (Loss)422,247 351,621 374,097 6.39%
NON-OPERATING REVENUES:41,130 8,200 8,200 0.00%
NON-OPERATING EXPENSES:(24,487) (145,428) (152,845) 5.10%
NET INCOME (LOSS)$398,105 $313,151 $283,258 -9.55%
Capital Outlay/Construction $0 $1,116,000 $0 -100.00%
PERSONNEL:
Number of FTE positions 0.63 0.63 0.63
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PAVILION
Revenues and Expenses
Enterprise Fund 747 Projected
Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Rental $323,156 $331,671 $455,501 $386,000 $438,000 13.47%
Interest Earnings - - 532 - -
Miscellaneous 24,642 22,133 14,291 18,100 7,000 -61.33%
Total Revenues 347,798 353,804 470,324 404,100 445,000 10.12%
Non-operating revenues 63,918 63,915 - -
Total Revenues 411,716 417,719 470,324 404,100 445,000 10.12%
Operating Expenses
Salaries, Wages and Benefits
Salaries and Wages 181,751 187,250 211,634 193,237 201,806 4.43%
Fringe Benefits 51,608 52,745 73,659 62,329 64,914 4.15%
Total Salaries and Wages 233,359 239,995 285,293 255,566 266,720 4.36%
Materials, Supplies and Services
Professional & Technical Services 6,388 4,735 4,130 3,500 4,500 28.57%
Utilities and Maintenance 90,167 83,046 115,655 92,000 97,750 6.25%
Operations 82,701 73,739 91,869 74,100 78,233 5.58%
City Support Services 15,166 16,075 12,063 16,076 12,420 -22.74%
Supplies and Materials 16,670 20,065 13,955 17,350 15,100 -12.97%
Total Materials Supplies & Service 211,093 197,660 237,672 203,026 208,003 2.45%
Total Operating Expenses 444,452 437,655 522,965 458,592 474,723 3.52%
Non-operating expenses 3,016 2,624 2,214 2,225 1,825 -17.98%
Total Expenses 447,468 440,279 525,179 460,817 476,548 3.41%
Net Income (Loss)(35,752) (22,560) (54,855) (56,717) (31,548) -44.38%
The Pavilion fund is an ice rink enterprise. The operations for the ice arena,
soccer league and dry floor are recorded here.
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FY 2017 FY 2018
FY 2017 Approved Approved Percent
Actual Budget Budget Change
OPERATING REVENUES:$470,324 $293,100 $296,000 0.99%
OPERATING EXPENSES:
Personnel Services 285,293 255,566 266,720 4.36%
Other Services & Charges 151,879 131,026 136,003 3.80%
Depreciation Expense 83,578 72,000 72,000 0.00%
Operating Income (Loss)520,750 458,592 474,723 3.52%
NON-OPERATING REVENUES:0 111,000 149,000 34.23%
NON-OPERATING EXPENSES:(2,214) (2,225) (1,825) -17.98%
NET INCOME (LOSS)($52,640) ($56,717) ($31,548)-44.38%
Capital Outlay/Construction $0 $0 $0 #DIV/0!
PERSONNEL:
Number of FTE positions 2.4 2.4 2.9
FUND 747 – PAVILION FUND
PROGRAM: Ice, Turf, Dry Floor, & Room Rental
PROGRAM SUMMARY
The rental programs of the Pavilion Fund manages and schedules public use groups and maintenance for the ice
arena/pavilion which will utilize the facility to its maximum potential and generate adequate revenue to offset the
cost of operations.
MAJOR OBJECTIVES TO BE ACCOMPLISHED IN 2018:
1. Create and market programs, events, and opportunities to increase the community’s recreational options.
2. Meet with local athletic associations to gather input and ideas on how we can better serve their needs.
3. Develop and utilize energy saving procedures and equipment. Evaluate environmental impact of current facility
supplies and replace with eco-friendly products where appropriate
4. Operate a budget to maximize revenues.
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Actual Actual Actual Budget Budget Percent
2015 2016 2017 2017 2018 Change
Revenues
Property Tax $1,530,837 $1,876,459 $2,042,687 $2,581,352 $3,149,223 22.00%
Special Assessments 828,529 829,065 897,122 973,952 911,090 -6.45%
Interest 28,298 22,564 27,969 16,160 16,101 -0.37%
Bond Premium 425,129 452,970 492,506 - -
Transfer In 756,248 1,191,965 1,478,246 1,545,248 1,879,733 21.65%
Bond Proceeds 18,735,000 12,310,000 15,932,652 -
Total Revenues 22,304,041 16,683,023 20,871,182 5,116,712 5,956,147 16.41%
Expenditures
Bond expenditures
Professional Fees 329,052 425,095 423,786 18,000 18,000
Principal 8,570,000 3,075,000 3,080,000 3,080,000 3,720,000 20.78%
Interest 617,988 814,199 1,035,605 1,048,639 1,601,498 52.72%
Fiscal charges 7,378 8,354 9,714 6,000 6,000
Bond Discount - - - -
Deposit to Escrow Account 3,937,887 7,305,660 3,678,549 3,678,548 -100.00%
Transfer Out 7,118,707 8,765,862 15,936,718 -
Total Expenditures 20,581,012 20,394,170 24,164,372 7,831,187 5,345,498 -31.74%
Sources (Uses) of Fund Balance 1,723,029 (3,711,147) (3,293,190) (2,714,475) 610,649 -17.57%
Revenues and Expenditures
DEBT SERVICE FUNDS
Debt Service funds finance and account for the payment of interest and principal on all general obligation debt other than debt
issued for an enterprise fund.
In January 2014 the City's credit
rating was upgraded to a AA+
following an interium rating
review. This rating has been
reaffirmed each year since.
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GLOSSARY OF TERMS
Accrual Basis – The basis of accounting under which revenues are recorded when earned and
expenditures are recorded as soon as they result in liabilities for benefits received, notwithstanding
that the receipt of cash or the payment of cash may take place, in whole or in part, in another
accounting period.
Adopted Budget – The financial plan of revenues and expenditures for a fiscal year as adopted by
the City Council.
Appropriation – A specific amount of money authorized by the City Council, generally during
adoption of the annual budget, used to make expenditures for specific purposes.
Ad Valorem Tax – Money collected from all the real property within the City based upon the value
of the property.
Annual Budget – The budget authorized by resolution of the City Council for the fiscal year.
Appropriation – Authorization by the City Council to incur obligations and spend City funds.
Appropriations are usually made for fixed amounts and are typically granted for one year.
Artstreet - Hopkins Artstreet is an ongoing program established in 2010 to showcase original art
works in an accessible setting. A collaboration among the City of Hopkins, the Hopkins Business &
Civic Association and the Friends of the Hopkins Center for the Arts, this project is part of a long-
term vision for incorporating public art into Hopkins and enriching the lives of its residents and
visitors. This project is made possible, in part, by funds provided by the Metropolitan Regional Arts
Council through an appropriation by the Minnesota Legislature.
Assets – Property owned by a government which as a monetary value.
Assessed Valuation – A value established by the City Property Appraiser for all real or personal
property for use as a basis for levying property taxes.
Balanced Budget – A budget in which expenditures are equal to income.
Bond – A written promise to pay a sum of money on a specific date at a specified interest rate as
detailed in a bond resolution.
Bond Proceeds – Funds received from the sale of any bond issue.
Budget – The financial plan for a specific period of time that identified proposed expenditures and
the sources of revenue to pay for them.
Budget Adjustment – A revision to the adopted budget occurring during the affected fiscal year as
approved by the City Council by an amendment or a transfer.
Budget Documents – The official written statement prepared by the Finance Director and
supporting staff, which presents the proposed budget to the legislative body.
Budget Calendar – The schedule of key dates involved in the process of adopting and executing
an adopted budget.
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Budget Message – The opening section of the budget which provides the City Council and the
public with a general summary of the most important aspects of the budget, changes from the
current and previous fiscal years, as well as the views and recommendations of the City Manager.
CDBG Community Development Block Grant – This fund receives and expends the City’s
allocation of the Federal Community Development Block Grant Program money.
Capital Asset – Assets of significant value and having a useful life of several years. Capital
assets are also called fixed assets.
Capital Improvement Program (CIP) – A five year schedule of capital improvement projects and
the means of financing them. This is a flexible budget document that is used as a planning tool for
needed improvements. Amounts approved in the CIP are considered guidelines and are not
officially adopted as budgeted amounts until they are incorporated in the operating budget of one
of the City’s funds.
Capital Outlay – Expenditures that result in the acquisition of fixed assets that have a value over
$1,000 and a useful life greater than one year.
Capital Project Funds – The funds that account for all resources unused for the acquisition or
construction of capital facilities, except those financed by Proprietary Funds.
Certified Levy – Total tax levy of a jurisdiction, which is certified to the County Auditor.
CERT – Community Emergency Response Team. The CERT Program consists of a group of
volunteers who have been trained to assist with basic disaster response such as fire safety, light
search and rescue, team organization and disaster medical operations.
Contingency – A budgetary reserve set aside for emergencies or unforeseen expenditures.
Contractual Services – The cost of items related to a contractual agreement. Examples would be
professional services such as legal, engineering, actuarial and consultants.
Court Fines and Forfeits – Fines imposed on individuals by the courts for various illegal acts
performed within the City.
Debt Service Funds – the funds that account for the payment of principal and interest on
outstanding debt for the City.
Deficit – The excess of expenditures over revenues.
Department – Basic organizational unit of City government, responsible for carrying out a specific
function.
Depreciation – Expenditures incurred when spreading the cost of an asset over its estimated
useful like rather than deducting the entire cost in the year the asset is purchased.
Enterprise Fund – The funds that account for the financing of self-supporting activities of
governmental units and render services to the general public based on user charges.
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Estimated Market Value – Represents the selling price of a property if it were on the market.
Estimated market value is converted to tax capacity before property taxes are levied.
Expenditure – Decreases in financial resources other than through interfund transfers.
Fiscal Disparities – The program created by the Metropolitan Fiscal Disparities Act which shares
growth in the commercial-industrial tax base in the seven county metropolitan area. Forty percent
of the value of new commercial-industrial development since 1971 is pooled and redistributed
among the 300 taxing districts to address uneven business development throughout the region.
Fiscal Year – For budgeting purposes the City’s fiscal year is the calendar year.
Fixed Asset – Purchases of a long-term nature, which are to be held and used. Examples would
be land, buildings, machinery, furniture and equipment.
FTE – Equivalent of one employee working fulltime, or 2.080 hours per year. A FTE can be filled
by any number of employees whose combined hours total 2,080 per year.
Fund – A separate accounting entity, with a set of self-balancing accounts for recording the
collection of revenues and the payment of expenditures to carry out a specific function.
Fund Balance – Fund Balance is the difference between assets and liabilities in governmental
funds (i.e. general fund, special revenue funds, capital project funds, debt service funds and
permanent funds).
Non-spendable Fund Balance – Describes the amount of a fund balance that cannot be
spent because it is either not in spendable form or there is a legal or contractual
requirement for the funds to remain intact.
Spendable Fund Balance – Describes the amount of fund balance that is available for
appropriation based on the constraints that control how specific amounts can be spent.
Typically, a significant portion of a government’s spendable resources can be spent only for
specified purposes. The following categories define the revenue source and the level of
force of the constraint on spending
Restricted Fund Balance – The restricted fund balance category includes the
portion of the spendable fund balance that reflects constraints on spending because
of legal restrictions stipulated by outside parties (e.g., encumbrances for goods or
services with outside parties-creditors, grantors outstanding at the end of the year),
Also, any legal restrictions based on state statutes or grant requirements placed on
the use for specific purposes
Committed Fund Balance – The committed fund balance classification includes
the portion of the spendable fund balance that reflects constraints that the city has
imposed upon itself by a formal action of the city council (for example, an ordinance
or resolution passed by a city council). This constraint must be imposed prior to
year end but the amount can be determined at a later date.
Assigned Fund Balance – The assigned fund balance is the portion of the
spendable fund balance that reflects funds intended to be used by the government
for specific purposes assigned by more informal operational plans. In governmental
funds other than the general fund (special revenue funds, capital project funds, debt
service funds and permanent funds); assigned fund balance represents the amount
that is not restricted or limited.
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Unassigned – This is the residual classification for the government’s General Fund
and includes all spendable amounts not contained in the other classifications and,
therefore, not subject to any constraints. Unassigned amounts are available for any
purpose.
GASB (Governmental Accounting Standards Board) – It is the highest source of accounting
and financial reporting guidance for state and local governments.
General Fund – The largest fund in the City, the General Fund accounts for most of the City’s
financial resources. General Fund revenues include: property taxes, licenses and permits, local
taxes, service charges and other types of revenues. This is the fund that accounts for the
revenues and expenditures necessary to deliver basic operating services: police, fire, finance,
parks, public works, etc.
General Obligation Bonds – When a government pledges its full faith and credit to the repayment
of the bonds it issues, then those bonds are general obligation (GO) bonds. Sometimes the term is
also used to refer to bonds with are to be repaid from taxes and other general revenues.
GFOA (Government Finance Officers Association) – the professional association of state and
local finance officers in the United States who are dedicated to the sound management of
government financial resources. The association sets program standards for the GFOA’s
Certificate of Achievement for Excellence in Financial Reporting and the Distinguished Budget
Award.
Governmental Funds – The General Fund, Special Revenue Funds, Debt Service Funds and
Capital Project Funds.
HBCA – Hopkins Business and Civic Association, ensures a strong economic development
climate, provides promotional activities, encourages community involvement and fosters a sense of
community among individuals, civic organizations and businesses
Hopkins in Motion – This annual event focuses on the walkability/ livability of Hopkins and
encourages participants to be active while having fun.
Indirectly Funded Amount – The portion of appropriates not funded by program revenues such
as fees and grants. This portion is funded from shared revenues such as property tax,
governmental revenues or a city-wide fee not directly attributed to any one program.
Interest Earnings – Interest received from the investment of cash in a fund.
Intergovernmental Revenues – Funds received from State or Federal governments in the form of
grants or shared revenues for various activities.
Internal Service Funds – The funds within the Proprietary Fund that account for the financing of
goods or services provided by one department or agency to other departments or agencies of a
government.
IT – Information Technology Department of the city. This department provides computer
technology support to all city departments.
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Levy – To impose taxes, special assessments or service charges.
Licenses – Revenues received by the issuance of various licenses that are granted to various
businesses in the City.
Local Government Aid (LGA) – Money given to the City from the State based on a formula that
was originally designed to provide tax relief and equalization among cities.
LMC – The League of Minnesota Cities is a membership organization dedicated to promoting
excellence in local government. The League serves its more than 800 member cities through
advocacy, education and training, policy development, risk management, and other services.
LRT – Light Rail Transit, a commuter train system in the Minneapolis/St. Paul metropolitan area.
Major Account Series – Three classifications of expenditures made by the City.
Salaries, Wages and Benefits – Costs relating to employees or temporary help, including
fringe benefits.
Materials, Supplies and Services – Costs relating to articles of non-durable nature, such
as office supplies; professional and technical services; utilities and maintenance;
operations and city support services.
Capital Outlay – Costs of durable goods such as furniture and equipment.
Reimbursed Expenditures – Offset against costs for services provided by one fund to
another fund.
Major Fund – Governmental fund or enterprise fund reported as a separate column in the basic
fund financial statements and subject to a separate opinion in the independent auditor’s report.
Market Value Homestead Credit (MVHC) – Started in 2002, this is the primary State program for
property tax relief. The State remits a portion of sales and income taxes to local government to
assist in keeping property taxes down.
MCES – Metropolitan Council Environmental Services provides the City with wastewater service.
Miscellaneous Revenue – Funds collected from various sources generally on a non-recurring
basis.
Modified Accrual Basis – Under the modified accrual basis of accounting, revenues are
recognized in the period in which they become available and measurable, and expenditures are
recognized at the time a liability is incurred pursuant to appropriation authority.
Net Assets – The equity associated with general government less liabilities.
Non-major Fund – A governmental fund or enterprise fund that is reported in total in the basic
fund financial statements.
Operating Expenditure – Expenditure classifications based upon the types of categories of goods
and services purchased. Typical objects include: personal services (salaries and wages);
contracted services (utilities, maintenance, contracts, travel); supplied and materials; and capital
outlay.
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Operating Budget – Financial plan for the fiscal year, which authorizes proposed personnel
complements, expenditures and the revenues to finance them.
Penalties – Charges to utility customers caused by late payment of their water, sewer, and refuse
bills.
Permits – Revenue derived from various permits as defined in the City Code, for the performance
of a specific action. For example, building a house.
Personal Services – The cost of salaries and wages paid to employees as well as the fringe
benefits associated with employment (i.e. Social Security, PERA, health insurance, life insurance,
etc.).
Program – Within each Department are several divisions or programs in the City, each charged
with carrying out a specific function.
Proposed Budget – Budget as submitted by the City Manager to the City Council.
Proprietary Funds – The funds that account for government operations financed and operated in
a manner similar to a private business.
Refuse Service – Revenue incurred from the sale of trash pick-up and disposal, leaf pick-up, yard
waste and recycling to residential customers of the City.
Retained Earnings – An equity account reflecting the accumulated earnings of the City’s
Proprietary (Enterprise) Funds.
Sewer Service – Revenue incurred from the sale of sanitary sewer service to customers of the
utility.
Special Assessment – Receipts from assessments placed on property within the City for public
improvements that have benefited that property.
Special Revenue Funds – A fund that accounts for revenues derived from specific taxes or other
earmarked revenue sources.
Storm Sewer Sales – Revenue derived from a storm sewer utility fee assessed property owners
based on the amount of impervious surface on their property. Revenues are used to maintain and
improve the City’s storm sewer system.
SWLRT – Southwest Light Rail Transit. A commuter train system in the Southwest area of the
Minneapolis/St. Paul metropolitan area.
Tax Capacity – County tax base for the purposes of levying property taxes. Properties are
assigned rates at which their values will be converted into the tax base, (see tax classification
rate).
Tax Capacity Rate – Tax rate applied to tax capacity to generate property tax revenue. The rate
is obtained by dividing the property tax levy by the available tax capacity.
Tax Classification Rate – Rates at which estimated market values are converted into the property
tax base. The classification rates are assigned to properties depending on their type.
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Tax Increment Financing – Financing tool originally intended to combat severe blight in areas
which would not be redeveloped “but for” the availability of government subsidies derived from
locally generated property tax revenues.
Tax Increments – The value of local taxes collected on a redeveloped or developed property,
above the base year taxes.
TIF – An abbreviation for Tax Increment Financing.
TOD – Transit Orientated Development. A term used to describe development surrounding Light
Rail Transit.
Transfers – Funds transferred between City funds.
Truth-in-Taxation – Procedures adopted by the 1998 Minnesota Legislature intended to improve
accountability in the adoption of the budget and property tax levy of local governments. These
procedures are revised annually.
Truth-in-Taxation Public Hearing – Statutory requirement for most local governments to hold
public hearings on their proposed budgets and property tax levies.
Water Sales – Revenue earned from the sale of water to customers of the utility.
Working Capital – Current assets minus current liabilities. This measure is used as a gauge in
determining appropriate fund balances.
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