Memo Equipment Replacement PlanDATE: October 1996
TO: Honorable Mayor and City Council
FROM: Steven C. Mielke, City Manager
SUBJECT: 1997 - 2001 Equipment Replacement Plan
D
With this letter, I respectfully submit the 1997 - 2001 Equipment Replacement Plan. This
five year planning document represents the combined efforts of City staff and the City
Council.
The Equipment Replacement Plan is a twenty year forecast of equipment needs in the
City of Hopkins. It is intended to alert the Council and citizens to the major equipment
needs on the horizon. The first year of the plan becomes an adopted equipment budget
and relates almost completely to the operating budget which is approved on a yearly
basis. The remaining nineteen years represent an estimate of equipment needs and
funding capabilities of the City. Funding requirements vary drastically from year to year.
In order to maintain a more even levy year by year, the twenty year schedule is projected
with a 3% inflation factor and a yearly average dollar need is calculated (presently
$518,100).
The cash needs will experience a somewhat drastic roller coaster effect over the next 20
years given the present equipment needs and 3% inflation rate. Cash will increase
through the year 2001 and then the next five years will deplete the cash balance. The last
eight years of the schedule will smooth and will drop drastically the Last two years so that
by the end of 2016 cash will be reduced to $599,000. In order to accomplish this pattern,
it will be necessary to increase the 1996 levy by $35,000 to the $485,000 level - the
second levy increase in as many years since inception of the Equipment Replacement
Plan.
The Equipment Replacement Plan's basic premise is scheduled replacement of present
equipment. A new item, must in the year proposed, be presented in the annual operating
budget with a stipulation that replacement will be necessary in the future. Flexibility of
the Equipment Replacement Plan is established through annual review and revision, if
necessary. The annual review assures that the plan is a continuing part of the budgetary
process and that it will be consistent with changing demands as well as changing patterns
in cost and financial resources.
p
Highlights of changes from last year: �
Police: ,..,Squ�.ds (7) extended life from 2 to 3 years as 3 year warranty options are
� 5 }�, 'now`purchased.
� �„ , : , �
� New 800 MHZ radio system appears for the first time on the 5 year
summary sheets.
Public Works: Single axle dump scheduleafor replacement in 1998 was deleted because
the truck that is used with the chipper can handle needed capacity for this
size vehicle.
Litter Hog - seldom used will be sold and not replaced.
Park Superintendent's 3/4 ton truck extended from 8 to 10 years and will
be replaced with a 1/2 ton truck.
The replacement life on two park tractors was extended from 15 to 20
, years.
Current turf vac will not be replaced - deleted from schedule: Simple
construction for which major parts will not wear out. �
The current Engineering van was acquired from the Fire Dept. in 1995.
This 1987 Ford van is in excellent condition and the scheduled
replacement has been extended from 1999 to 2004.
Building and Equipment Services will drop one 1/2 ton pickup from
schedule: Shop will utilize surplus vehicle from other sources.
Sewer/Water will drop one 1/2 ton pickup. Meter reading truck will be
replaced with a different vehicle.
The water meter computer has been dropped from the schedule. Future
acquisition, if necessary, would be requested under the new equipment
procedure with it first being requested in the annual budget.
Finance: Experience of the 1995/1996 installation of the Finance computer system
indicates tlie replacement projection can be extended from 6 years to 7
years. The replacement of the Novell network may be of even a greater
frequency and the initial set up need not be repeated. The costs for both
systems have been reduced by $34,000 for the 2003 scheduled
replacement. •
IV. 1997 Estimate - Expenses
V. 1997 Estimate - Revenues
VI. Tax Levy Estimate
DISCUSSION OUTLINE
1997 Budget and Tax Levy
August 13, 1996
Introduction /Purpose of Discussion
o Review budget information on City programs and services
o Discuss budget and tax levy information options for 1997
II. Review of Department Program Budget Analysis -1996
III. General Fund - Balance and Reserves
- Fund Balance, Year End
- Use of Fund Balances (Reserves)
TOTAL
City Council 78,700
Health and Welfare 42,200
* Social Service Agencies 40,200
* Chemical Health Commission 1,000
* Human Rights Commission 1,000
Legal 114,000 100,000
Insurance 28,200
Unallocated 200,000
Special Projects 70,000
* Shady Oak Beach 50,000
* Other 20,000
City Manager
* Administration
• Legislative relations
* City Council agendas
* Labor negotiations
* Personnel
* Microcomputer support
* Capital Improvement Plan
Cable Television
Clerk
* Reception
* Council Meeting Minutes
* Updating/revising City Code
* Licensing
* Purchasing
* Records Management
* Administration
Elections
Finance
* City budget and financial report
* Investments
* Accounts payable and receivable
* Utility billing
* Payroll
Equipment Replacement Fund
Department Program Budget Analysis -1996
City Manager & Finance
Page 1
F.T.E.
GENERAL OTHER
FUND REVENUE FUNDS REVENUE
111.91 6,592,000 1,472,700 10,532,600
2.70 205,800 19,000
1.05 107,400 78,400
2.10 93,000 61,400
0.30 33,600
4.00 222,500 483,400
D GUM
381,000 480,000
Investigations
Crime Prevention
Department Program Budget Analysis- -1996
Police
Administration 3.00 261,400 33,000
Patrol 17.50 1,180,600 195,600
* Criminal investigation
* Traffic enforcement
* Medical response
* Fire response
* Relief dispatching
* Police Reserves
* Foot patrol
* Building checks
* Liquor checks
* Animal complaints
* K - 9
* Drug education
* Public presentations
* Misc. public assistance
* Civic events
* Junk car & rubbish complaints
* Accident investigations
* Operation ID
* Neighborhood watch
* McGruff safe house
* School Safety Patrol
* Officer Friendly
* Crime prevention booth
* Chemical Health Commission
* Bicycle safety program
* Senior citizens drivers ed
* National Night Out
* Golden Gloves program
GENERAL OTHER
F.T.E. FUND REVENUE FUNDS REVENUE
Page 2
3.50 261,100 94,200
1.00 62,100 9,400
0
Department Program Budget Analysis -1996
Police
Communications Center 4.70 215,500 5,800
* 911 dispatching
* Activity reports
" Alarm permits
* Animal control
* Assist crime prevention
* Assist Patrol Division
* Firearms Permits
* Maintain Supplies
* Property/Evidence
* Transport Material /Vehicles
* D44Write Reports
Public Service 1.80 63,000 4,000
Records Rece•fion 4.50 201,800 18,000
* Transcribe Reports
* Pawn Shop Database
* Records Management
Page 3
Ha ITV
Fire
* Fire Suppression
* Fire Prevention
* Emergency Medical Service
* Hazardous Materials Response
Emergency Preparedness
Department Program Budget Analysis -1996
Fire Dept
Page 4
1.00 398,600 67,900
0.30 6,700 4,500
GENERAL OTHER
F.T.E. FUND REVENUE FUNDS REVENUE
I1
Department Program Budget Analysis- -1996
Community Development
Page 5
L3
F.T.E.
GENERAL
FUND
REVENUE
OTHER
FUNDS
REVENUE
"' e" Zs'kAa
Administration
1.55
95,600
* Liaison to various organizations
* Special projects
Assessing
3.00
169,800
300
* Administration
* Special assessment searches
* Special assessment administration
* Homestead administration
* Assessment information
* Property assessment
Inspections
4.70
281,500
210,100
Inspections
4.70
266,700
190,800
* Administration
* General nuisance complaints
* Housing code administration
* Swimming pool inspections
* Section 8 inspections
* Building code enforcement
* Heating /ventilation code enforcement
* Plumbing code enforcement
* Sanitation inspections
-
14,800
19,300
Planning and Economic Development
5.23
119,200
2,800
6,673,500
1,848,700
Planning
1.40
96,600
2,800
* Planning administration
* Sign permits
* Fence permits
* Zoning administration
Economic Development
241,600
103,000
Administration
79,100
Rental property management
29,000
Sign rehab
4,000
Commercial rehab loans
104,500
Facade grants
25,000
Hop - A-Ride
0.15
22,600
78,300
55,700
Housing
1.35
249,200
181,000
Rehab Administration
42,600
Housing loans
7,500
Housing rehab grants
7,500
Section 8
29,100
Housing acquisition program
75,000
Meadow Creek improvements
45,000
Dow Towers
42,500
Department Program Budget Analysis- -1996
Community Development
Page 5
L3
Parking
Leased parking
Ramp parking
Department Program Budget Analysis -1996
Community Development
Tax Increment District 1.1 0.85
Tax Increment District 1.2 0.00
Tax Increment Districts 1.2 -2.6 0.20
Page 6
1.28
116,800 66,000
48,400
68,400
1,954,100 1,200,000
3,672,000
361,500 243,000
Administration
Building maintenance
Municipal Building
Activity Center
Public Works
Equipment Services
* Vehicle maintenance
* Equipment maintenance
Engineering
* Drafting
* Surveying
* Project design
* Traffic studies
* Sidewalk inspections
Tree Maintenance and Forestry
* Tree trimming
* Tree planting
* Removal of dead or diseased trees
Ice Arena/Pavilion
* Administration
* Ice rental
* Soccer league /rental
* Dry floor
* Non- Operating (depreciation)
Department Program Budget Analysis -1996
Public Works
Page 7
3.80
GENERAL
1.20 122,600 133,400
3.55 350,400
2.05 231,000
1.00 66,500
0.50 52,900
2.65 35,400
1.90 132,600 8,400
Parks 13.15 558,400
Parks Maintenance 6.95 433,800 1,400
* Seeding, fertilizing, and mowing grass
* Maintenance of athletic fields
* Playground maintenance
* Maintenance of Shady Oak Beach
* Trail maintenance
* Park improvements
* Ice rink maintenance
* Issue weed notices
2.40 124,600
naifl
OTHER
F.T.E. FUND REVENUE FUNDS REVENUE
11
210,800 219,000
210,800 219,900
91,100
74,100
28,400
13,000
4,200
Streets 9.35 761,000 17,600
Street and Alley Maintenance
* Street patching
* Curb repair
* Assistance for civic events
Street Cleaning
Street Lighting
Sidewalk Repair
Traffic Signs & Signals
Seal Coating
Snow and Ice Removal
Street sanding
Sewer Utility 3.50
Administration
Lift Stations
* Inspect and repair sewer lift stations
Collection /Disposal
* Inspect and clean sanitary sewers
* Respond to emergencies involving sewer lines
Non - Operating (depreciation)
Refuse Utility
Administration /Disposal
Bulk Collection
Recycling
Non- Operating (depreciation)
Yard Waste Pick Up and Disposal
Brush Collection and Disposal
Department Program Budget Analysis- -1996
Public Works
Page 8
2.50 257,200 17,600
0.65 39,100
0.60 108,700
0.35 43,600
1.20 128,200
1.90 110,600
2.15 73,600
Water utility 4.20
Administration
Pumps & Wells
* Provide water supply for 16,000 people
* Monitor and repair wells
* Test water supply every month
* Repair and upgrade treatment plants, water towers, and wells
Distribution
* Flush and check hydrants
* Read water meters
* Repair or replace water meters
* Repair water line breaks
Non - Operating (depreciation)
Storm Sewer Utility
Administration
Maintenance
* Inspection and repair of storm sewer lines and catch basins
* Inspection & maintenance of creeks & ditches
Concrete Alleys
Non - Operating
MI in'
737,100 797,000
285,400
177,800
105,900
168,000
1,427,800 1.,568,000
291,400
80,900
960,700
94,800
404,000 517,000
53,600
98,900
27,000
224,500
591,000 626,000
344,800
32,400
103,100
40,800
37,900
32,000
Activity Center
Senior Activities
* Health screenings
* Nutrition program
* Recreation and social programs
* Teen program
Joint Recreation Program 2.00 130,300
(Joint Program With Minnetonka -1/3 net cost)
* Adaptive recreation
* Adult basketball
* Adult broomball
* Adult football
* Adult soccer
* Adult volleyball
* Cross country ski lessons
* Daily programs
* Day camp
* Downhill skiing
* Exercise
* Golf
* Ice rinks/warming houses
* Intro to ball skills
* Libbs Lake Beach
* Nature Camp
* Open gym supervision
* Park guests services attendants
* Playgrounds
* Second grade basketball
* Senior citizen activities
* Shady Oak beach
* Skating lessons
* Swimming
* Tennis
* Youth baseball
* Youth basketball
* Youth soccer
* Youth volleyball
Department Program Budget Analysis -1996
Recreation Dept
Page 9
GENERAL
F.T.E. FUND REVENUE FUNDS REVENUE
2.73 112,000 2,500
OTHER