Loading...
CR2013-124 (2014 Budget Meeting and 2014 Tax Levy and General and Specail Revenue Fund Budgets)December 3, 2013 Council Report 2013-124 City of Hopkins 2014 BUDGET MEETING AND 2014 TAX LEVY AND GENERAL AND SPECIAL REVENUE FUND BUDGETS Proposed Action Following the 2014 budget hearing and there being no further changes to the 2014 budget, staff recommends adoption of the following motion: Move to Adopt Resolution 2013-076 approving_ the 2014 tax levy and adopting the 2014 General and Special Revenue Fund budgets. Adoption of this motion will result in staff forwarding the appropriate documentation to Hennepin County for inclusion on property taxes for 2014 and will approve the 2014 General and Special Revenue Fund budgets. Overview The City Council and staff have held a number of meetings and work sessions during 2013 to prepare for the 2014 general fund budget and 2014 tax levy. This evening we are taking input from the public on the 2014 budget. During 2013 the council adopted the Capital Improvement Plan and the Equipment Replacement Plan, which along with a series of program and budget discussions were instrumental in the development of the 2014 budgets. The budget in its current form recommends spending in the general fund at $10,946,129 and a total tax levy of $10,416,235. The levy includes provisions for general fund operations and debt obligations. In addition, a HRA levy of $273,980 was a separate action item by the HRA Board. Staff is recommending that the council adopt the resolution approving the tax levy for 2014 and setting the 2014 general and special revenue fund budgets. Primary Issues to Consider The state mandates certification of the 2014 levy to the County Auditor no later than December 28, 2013. Supporting Information • Resolution 2013-076 • 2014 General Fund and Special Revenue Fund Budgets • Power point presentation slides Christine M Harkess, CPA, CGFM Finance Director Financial Impact: $ 10,946,129 GF Budgeted: Y/N Y Source: Taxes & other revenues Related Documents (CIP, ERP, etc): 2014 Budget Notes: CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA RESOLUTION 2013-076 RESOLUTION APPROVING 2014 TAX LEVY AND ADOPTING THE 2014 GENERAL AND SPECIAL REVEUNE FUND BUDGETS BE IT RESOLVED BY THE COUNCIL OF THE CITY OF HOPKINS, MINNESOTA, that the following sums of money be levied for the current year collectible in 2014 upon the taxable property in the City of Hopkins, for the following purposes. General Le General Fund $8,994,774 Special Levies TIF 2.6 Handicapped Housing Dev Debt Levies 11,664 2007A GO Capital Improvement Bonds 766,110 2007B GO Improvement Bonds 188,093 2010A GO Improvement Bonds 79,175 2012A GO Capital Improvement Bonds 220,000 2012B GO Bonds 55,090 2012B Equipment Certificates 97,965 2013A GO Improvement Bonds 15.028 Subtotal Special Levies 1,421,461 Total Levy HRA/EDA Levy Housing & Redevelopment Authority Levy 273,980 This levy is made based on current law and the 2014 General Fund Budget of $10,946,129. BE IT FURTHER RESOLVED, that the following amounts are budgeted for the Special Revenue Funds: State Chemical Assessment $ 45,000 TIF 2.6 Handicapped Housing Dev $ 11,664 Economic Development $ 280,488 TIF 2.9 Pines $ 120,127 Real Estate Purchase & Sales $ - TIF 2.11 Super Valu $ 1,363,138 TIF 1.2 Entertainment District $ 3,000 TIF 1.3 - 5th Avenue Flats $ 2,000 Parking Enforcement $ 96,119 TIF 1.4 - Marketplace & Main $ 40,000 Communication (Cable TV) $ 208,954 Art Center $ 744,428 Depot Coffee House $ 354,456 BE IT FURTHER RESOLVED, that the City Clerk is hereby ordered and directed to transmit a certified copy of this resolution to the County Auditor of Hennepin County, Minnesota. Adopted by the City Council of the City of Hopkins on this this 3`d day of December, 2013. Eugene Maxwell, Mayor ATTEST: Kristine A. Luedke, City Clerk CITY OF HOPKINS PROPOSED GENERAL FUND REVENUE BUDGET 2013 2014 % Department Budget Budget Incr/(Decr) Property Taxes 8,952,774 8,952,774 0.00% Intergovernmental Revenue 135,000 168,000 24.44% PERA Aid 20,510 20,510 0.00% Local Government Aid 0 289,900 0.00% Police - Federal Grant 82,000 82,000 0.00% Police - State Aid 177,000 177,000 0.00% Police - POST Reimbursement 9,000 9,000 0.00% Police - Misc Grants 10,000 15,000 50.00% Fire - State Aid 70,000 90,000 28.57% PW - State Aid 130,000 130,000 0.00% Total Intergovernmental Revenue 498,510 813,410 63.17% Licenses, Permits & Fees Court Fines 135,000 168,000 24.44% Building Permit & Inspection Fees 269,180 272,480 1.23% Administrative Citations 8,000 8,000 0.00% Business Licenses 5,000 5,000 0.00% Liquor , Animal Licenses & Penalties 97,000 97,000 0.00% Fire Licenses & Permits 3,500 3,500 0.00% PW - Licenses & Permits 9,415 9,415 0.00% P&Z - License & Permits 1,000 1,000 0.00% Total Licenses, Permits & Fines 528,095 564,395 6.87% Charges for Service Finance Department 5,750 10,150 76.52% Municipal Building 0 0 0.00% Assessing 1,500 2,000 33.33% City Clerk 5,000 0 -100.00% Inspections 71,850 73,850 2.78% Police 42,000 48,000 14.29% Fire 3,000 3,000 0.00% Public Works 2,750 2,750 0.00% Activity Center 49,500 59,500 20.20% Planning & Zoning 1,500 2,000 33.33% Total Charges for Service 182,850 201,250 10.06% Miscellaneous Revenue Franchise Fees 290,000 290,000 0.00% Miscellaneous 0 100 Finance Department 4,800 4,800 0.00% Police 1,500 1,500 0.00% Public Works 4,400 4,600 4.55% Acitivty Center 13,500 10,000 -25.93% Community Development 88,900 88,300 -0.67% Total Miscellaneous Revenue 403,100 399,300 -0.94% Interest Earnings 15,000 15,000 0.00% Total Revenues $10,580,329 $10,946,129 3.46% CITY OF HOPKINS PROPOSED GENERAL FUND EXPENDITURE BUDGET 2013 2014 Budget % Department Budget Budget Incr/(Decr) City Council 68,967 69,872 1.31% Administrative Services Administration 179,060 196,685 9.84% Personnel 46,768 40,599 -13.19% Wellness 2,000 2,000 0.00% Information Services 254,988 261,305 2.48% Total Administrative Services 482,816 500,589 3.68% Finance Debt Management 0 0 0.00% General Accounting 163,587 185,203 13.21% Payroll 45,609 48,516 6.37% TIF Administration 0 0 0.00% Utility Billing 5,000 9,400 88.00% Total Finance 214,196 243,119 13.50% Legal 142,000 143,000 0.70% Municipal Building 313,998 317,414 1.09% Rece tionist 47,048 1 45,933 -2.37% lAssessing 177,187 1 183,607 3.62% City Clerk City Clerk 51,782 54,462 5.18% Elections 45,582 60,808 33.40% Total City Clerk 97.3641 115,270 1 18.39% Inspections Building Code Inspections 261,854 267,051 1.98% Fire Inspections 35,155 36,675 4.32% Heating & Plumbing Inspections 88,952 91,054 2.36% Housing Inspections 157,595 165,788 5.20% Misc. Community Inspections 78,908 81,265 2.99% Vacant Property Management 4,666 4,719 1.14% Total Inspections 627,130 646,552 3.10% Police Police Administration 527,437 516,611 -2.05% Patrol 2,627,237 2,780,576 5.84% Heat Team 73,611 69,715 -5.29% Reserves 15,162 15,586 2.80% Investigations 615,083 550,389 -10.52% Metro Drug Task Force 114,468 122,629 7.13% Pawn Shop 3,335 3,530 5.85% Outreach 107,332 107,394 0.06% Reception -Records 244,501 267,563 9.43% 2013 2014 Budget % Department Budget Budget Incr/(Decr) Systems Management 65,855 49,501 -24.83% Total Police 4,394,021 4,483,494 2.04% Fire Fire 912,343 953,037 4.46% Emergency Preparedness 3,965 3,128 -21.11% Total Fire 916,308 956,165 4.35% Public Works 129,683 132,191 1.93% PW Building 34,988 33,631 -3.88% Equipment Services 85,096 98,887 16.21% Administration 38,345 41,280 7.65% Engineering 132,003 140,861 6.71% Street & Alleys 878,399 912,716 3.91% Snow & Ice Removal 182,623 205,553 12.56% Parks 680,774 698,934 2.67% Forestry 233,774 252,282 7.92% Total Public Works 2,266,002 2,384,144 5.21% Recreation Playground 21,417 21,992 2.68% Ice Rink 13,113 15,295 16.64% Park Service 12,454 36,975 196.89% Joint Recreation 155,000 158,900 2.52% Skate Park 7,165 7,394 3.20% Total Recreation 209,149 240,556 15.02% Activity Center Act Ctr - Community Use 276,859 289,497 4.56% Act Ctr - Maintenance 58,475 56,276 -3.76% Total Activity Center 335,334 345,773 3.11% Planning & Zoning 129,683 132,191 1.93% Community Development 88,926 88,250 -0.76% Tuition Reimbursement 10,200 15,200 49.02% Contingency 50,000 1 25,000 -50.00% Total Expenditures 10,570,329 1 10,936,129 3.46% Other Financing Uses Transfers to other funds 10,000 10,000 0.00% Total Other Financing Uses 10,000 1 10,000 0.00% Grand Total Expenditures $ 10,580,329 $ 10,946,129 3.46% Total Revenues $ 10,580,329 $ 10,946,129 Revenues Over (Under) Expenditures $ - $ CITY OF HOPKINS SPECIAL REVENUE FUNDS 2014 EXPENDITURES Fund No. Fund 2013 BUDGET 2014 BUDGET Incr/(Decr) 203 State Chemical Assessment 45,000 45,000 0.00% 204 Economic Development 286,814 280,488 -2.21% 205 Real Estate Purchase & Sales - - 0.00% 211 TIF 1.2 Entertainment District 3,000 3,000 0.00% 214 Parking 89,094 96,119 7.88% 217 Communications (Cable TV) 218,264 208,954 -4.27% 219 Depot Coffee House 327,300 354,456 8.30% 226 TIF 2.6 Handicapped Housing Dev 1,950 11,664 498.15% 229 TIF 2.9 Pines 121,471 120,127 -1.11% 231 TIF 2.11 Super Valu 1,204,768 1,363,138 13.15% 232 5th Avenue Flats 2,500 2,000 -20.00% 233 TIF 1.4 - Marketplace II 5,250 40,000 661.90% 250 Art Center 765,418 744,428 -2.74% Public Meeting for the 2014 Levy & Budget December 3, 2013 • To discuss the City's budget • To discuss how the city budget impacts the city portion of your taxes • The focus of the hearing is on the budget and levy, not property valuations • Property valuation discussions are held in the spring • Preliminary Levy was set in September • Proposed tax notices mailed • Public meeting for final proposed levy and general fund budget • Final adoption of budget and levy • December 3rd council meeting providing there are no changes to the proposed budget. 2013 2014 % General Fund Budget Budget Incr/(Decr) Property Taxes $ 8,952,774 $ 8,952,774 0.00% Intergovernmental Revenue 498,510 813,410 63.17% Licenses, Permits & Fees 528,095 564,395 6.87% Charges for Service 182,850 201,250 10.06% Miscellaneous Revenue 403,100 399,300 -0.94% Interest Earnings 15,000 15,000 0.00% Total Revenues $10,580,329 $10,946,129 3.46% Charges for Miscellaneous Service Revenue 7% 3% Licenses, mits &Fees 5% Intergovt'I A Revenue 7% Interest Earnings l% !rty Taxes 82% Hicipkims innesota 2013 2013 % General Fund Budget Budget lncr/(Decr) General Government $1,221,977 $1,273,994 4.26% Community Services 1,167,338 1,211,803 3.81% Public Safety 5,310,329 5,439,659 2.44% Public Works 2,266,002 2,384,144 5.21% Recreation 544,483 586,329 7.69% Other 70,200 50,200 -28.49% Total Expenditures $10,580,329 $10,946,129 3.46% 01 1 .ota a Other General Recreation 0% Government 5% 12% Community Services Public Works 11% 22% gA Public Safety 50% • Grants awarded • Wages & union contracts for 2014 • Personnel changes • Changes in operations • Sales tax exemption -.4m Year Budget Incr/Decr % Change 2012 $10, 556, 525 $157,198 2.49% 2013 $10, 580, 329 $ 23,804 0.23% 2014 $10,946,129 $365,800 3.46% • Change over 3 -year period = 3.69% • Average change over 3 -years = 2.06% 2014 Net Levy Purpose 2013 Proposed General Operations General Fund $8,834,274 $8,869,774 Capital Levy 125,000 125,000 PERA Levy 35,500 0 Subtotal 8,994,774 8,994,774 Special Levies: evy Debt Levies 1,623,427 1,727,081 Enterprise Transfers (145,000) (145,000) Fee Offset (64,370) 0 Franchise Offset (107,657) (160,620) Subtotal Special Levies 1,306,400 1,421,461 TOTAL LEVY $10,301,174 $10,416,235 Increase over prior year $50,183 $115,061 Percentage Incr (Decr) 0.49% 1.12 • Spreads commercial growth among all metro cities and benefits cities that are not experiencing commercial growth • Hopkins had been a net "gainer" - receiving more than we contributed • Hopkins is now a net "contributor" - we contribute more than we receive • Results in higher taxes for Hopkins taxpayers ffopmm Fiscal Disparities Net Contribution MOW 4 j 2096 2007 2009 201 2011 2012 7013 2011 ( (200.wo) �— f (400.0001 (6000001. (600.000) - -�—Gain/(loss) (1.000.000) TAX HISTORY nwHOMESTEAD RESIDENTIAL HOME VALUE OF $225,000 w� "�°° 1 ,�`"" . __--_-___-�_� ,~~ ,"° S50"` 2007 200" =� �� u"` "", 2013 201* Hopkims innesota homeowners .10.0% -14.9% honteownets 16,14% of Decrease Special Taxing Districts 9% School 19% co, 40°a County 32% J 2014 Proposed Taxes 3.6% Decr City Increase 2005 2013 Taxes over Annual Market Market Payable Previous % Value Value 2014 Year Change $150,000 $128,292 $801 -$30 -3.7% $225,000 $192,439 $1,201 -$45 -3.71),, $350,000 $299,349 $1,868 -$70 -3.7% $500,000 $427,641 $2,669 -$100 -3.7% Special Taxing Districts 9% School 19% co, 40°a County 32% • 24 -Hour Police and Fire Protection • Emergency medical treatment and management services • Well Maintained Streets,Trails, and Sidewalks • Elections • Boulevard Tree and Forestry Program • High Quality Recreation programs • Hopkins Activity Center and Hopkins Depot • Hopkins Center for the Arts • Community and Economic Development • Housing Services and Programs • Building Inspections, Licensing, and Code Enforcement • Beautiful Parks and Open Space