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Transfer to Cable Fund <br />% of <br />Effect on Levy % Chg Cost Categories Balanced Levy <br />50,000 0.83% 50,000 5.20% <br />Step Increases <br />54,161 <br />3% COLA Adjustments <br />45,448 <br />99,609 <br />10.4% <br />Public Works Staffing Phase 2 - 1 Lead (Jan 2026 Start) <br />3,322 <br />3,322 <br />0.3% <br />Rec on the Go <br />8,100 <br />8,100 <br />0.8% <br />Health Insurance/Work Comp Benefits/MN Paid Leave <br />42,836 <br />42,836 <br />4.5% <br />Personnel Costs <br />153,867 <br />2.55% <br />153,867 <br />15.99% <br />Increase in RamCo Sheriff <br />233,475 <br />Increase in UFD <br />159,231 <br />Increase in Ramco Dispatch <br />12,780 <br />405,486 <br />42.1% <br />RamCo Facility Maintenance Facility- Rent <br />5,847 <br />5,847 <br />0.6% <br />Permit Software Conversion <br />60,000 <br />60,000 <br />6.2% <br />Park Maintenance (Trail culvert bridge replacement, Diseased tree removal, PWMP projects) <br />47,420 <br />47,420 <br />4.9% <br />Springbrook Metro-INET Server Migration <br />10,000 <br />10,000 <br />1.0% <br />Street Maintenance Program <br />(30,500) <br />(30,500) <br />-3.2% <br />PY Underfunded Levy Costs <br />122,009 <br />122,009 <br />12.7% <br />Net changes in other GF Budget Areas <br />21,259 <br />21,259 <br />2.2% <br />Total General Fund Costs <br />845,388 <br />14.02% <br />845,388 <br />87.84% <br />FIR Fund <br />- <br />- <br />0.0% <br />EDA Fund <br />50,000 <br />50,000 <br />5.2% <br />Equipment/Bldg Replacement <br />- <br />- <br />0.0% <br />Public Safety <br />52,000 <br />52,000 <br />5.4% <br />Total CIP Fund Costs <br />102,000 <br />1.69% <br />102,000 <br />10.60% <br />Total General & CIP Fund Costs <br />947,388 <br />15.72% <br />947,388 <br />98.44% <br />Underfunded Levy Costs 01 <br />PIR Fund - Incremental 180,000 3.0% 180,000 18.7% <br />Transferfrom Public Safety Capital Fund (Franchise Fees) to General Fund (165,000) -2.7% (165,000) -17.1% <br />Total Balanced Levy Costs 962,388 15.97% ' 100.00% <br />Wales and Benefits <br />The 2026 proposed budget assumes the following for non -union and union employees: <br />Non -Union Employees <br />• A wage adjustment of 3.0% <br />• A 13.9% increase for health and a 0.0% increase for dental <br />• A 0.0% increase for life insurance premiums <br />Union Employees <br />• A wage adjustment of 3.0% <br />• A 7.0% increase for health (which includes dental), with the City's contribution remaining at <br />87.0% <br />• A 0.0% increase for life insurance premiums <br />Overall, the City cost for insurance is increasing by $56,345, with $42,836 being allocated to the <br />General Fund. The number of FTE's included in the budget remains unchanged from 2025. <br />Total personnel costs increased by $221,976 from 2025 to 2026 with $153,867 being allocated to the <br />General Fund. The breakdown of this increase is as follows: <br />Page 2 of 7 <br />