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Home My WebLink About2015 Adopted BudgetCITY OF GEM T,AKF: 2015 BUDGET Adopted By City Council 11118/2014 Table of Contents How to Read the Budget ........................................... I BudgetMessage ...................................................... 2 Fund Structure and Basis of Budgeting ......................... 3 Budget Summary ......... ..... .. ............................. 5 General Fund . ..... . . .. .. . ............................... 7 Special Revenue Funds ............................................. 29 Debt Service Funds .................................................. 37 Capital Improvement Funds ....................................... 47 Enterprise Funds . ... .... . .. . . ......... ..................... 59 Appendix................................ ................................. 63 Glossary of Terms ... .... ............................... ........... 70 HOW TO READ THE BUDGET The budget document serves two distinct purposes. One purpose is to present the City Council Members, residents and other interested readers, concise and readable information about City of Gem Lake. The other purpose is to provide management of the City with a financial and operating plan that conforms to the City's accounting system. The Budget Message provides an overview of the key policy issues and programs in the budget, and presents major areas of emphasis. The Schedules and Summaries provide the heart of the document as an operating and financial plan. The General Fund and Special Revenue Funds section contains revenue and expenditure summaries. It also provides detail revenue and expenditure information, department descriptions, staffing levels, service level objectives and prior year accomplishments for all departments. The Debt Service Funds section contains information about the resources accumulated for the payment of general long-term debt principal and interest. The Capital Improvement Funds section contains revenue and expenditure information about the various construction projects within the Township. The Enterprise Funds section contains revenue and expenditure summaries for all Enterprise Funds. 11 also provides detail revenue and expenditure information, department descriptions, staffing levels, service level objections and prior year accomplishments for all departments within each Enterprise Fund. The Appendix section includes other important financial and City information, such as, City statistics, description of the property tax system, and a glossary of terms. CITY OF GEM LAKE, MN 4200 Otter Lake Road Gem Lake, Minnesota 55110 City Council Members, Citizens and Others: It is my privilege to present the 2015 budget for the City of Gem Lake. This budget, as adopted by the City Council identifies how the City resources will be spent in 2015. This budget is the City's financial management plan and has been designed to be responsive to public service demands and for carrying out services over the coming year. The 2015 budget is the result of sound financial management, and affords some protection for the future operation of the City. It is the City's intent to submit and manage the budget in the most open and straightforward manner possible, which will allow consistent and careful management of all resources. The City continually faces many challenges which draw upon the resources and value judgments of all of us. The City budget focus has been to maintain services provided and existing infrastructure. Public safety remains a priority for the City and this budget includes expenditures for increased patrols and law enforcement. Also for 2015 the City has included in the budget $13,000 for updating and filing the City's MS4 Report (storm water management plan) to the State. The Ice and Snow Removal budget was decreased to reflect past expenditure levels. Also included in the 2015 budget are funds for the City to hire an Administrative Secretary position to staff the City offices and provide administrative assistance to the City Council. This task was previously provide through an agreement with the Ramsey County Sheriffs Department which ended in 2014. On the revenue side the largest revenue source is property taxes which make up almost 81 % of total revenues for the City. The City remains committed to maintaining the property tax levy possible. To that end the City will use reserves of $80,000 to fund General Fund operations in 2015. The 2015 property tax levy is increased 10.40% and the City's tax capacity also increase 3.76%, which results in a tax rate increase of 6.40% to 28.249%. Based on this most residents would see an increase in their City property tax bills from 2014 to 2015. As 2015 unfolds, the City is well positioned to meet current and future challenges through sound fiscal management. It is our hope this budget will meet the expectations and need of Gem Lake residents. My sincere thanks are extended to the City Council for their time and effort in the preparation of this document. Respectfully, Tom Kelly City Treasurer Look for us on the World Wide Web at gemlakemn.org FUND STRUCTURE AND BUDGET BASIS The financial structure of City of Gem Lake is similar to other governments with the use of funds. Funds are the control structures that ensure that public moneys are spent only for those purposes authorized and within amounts authorized. Funds are established to account for different types of activities and legal restrictions that are associated with a particular government function. The Governmental Accounting Standards Board (GASB) defines a fund as: A fiscal and accounting entity with a self -balancing set of accounts recording cash and other financial resources, together with all related liabilities and residual equities or balances, and changes therein, which are segregated for the purpose of carrying on specific activities or attaining certain objectives in accordance with special regulations, restrictions, or limitations. All of the funds used by the City must be classified into one of seven "fund types." Four of these fund types are used to account for the City's "governmental -type" activities and are known as "governmental funds." Two of these fund types are used to account for a government's "business -type" activities and are known as "proprietary funds." Finally, the seventh fund type is reserved for a government's "fiduciary activities." The City currently does not operate any fiduciary activities. Governmental Fund types are used to account for governmental -type activities. These are the General Fund, Special Revenue Funds, Debt Service Funds, and Capital Projects Funds. The General Fund is used to account for most of the day-to-day operations of the City, which are financed from property taxes and other general revenues. Activities financed by the General Fund are those not accounted for in other funds. There can only be one General Fund. Special Revenue Funds are used to account for revenues derived from specific taxes or other earmarked revenue sources which, by law, are designated to finance particular functions or activities of the City and which therefore cannot be diverted to other uses. The Special Revenue Funds the City operates are the Park and Playground Fund, which was established to purchase and develop parks and trails in the City through the collection of park dedication fees on new developments or building permits and new for 2015 is a fund to account for possible grants the City may apply for to help redevelop its commercial district. Debt Service Funds are used to account for the payment of interest and principal on general and special obligation debts other than debt issued for and serviced by a governmental enterprise. The Capital Projects Funds account for all resources used for the acquisition and/or construction of capital equipment and facilities except those financed by Enterprise and Internal Service Funds. Two Proprietary Fund Types are used to account for the City's business -type activities. These are the Enterprise Funds and the Internal Service Funds. The City's only Enterprise Fund is the Sewer Operating Fund. This fund is used to account for the acquisition, operation and maintenance of these facilities and services, which are entirely or predominantly self -supported, by user charges. The operations of the Sewer Operating Fund are accounted for in such a manner as to show a profit or loss similar to private enterprises. 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 of Gem Lake does not have any Internal Service Funds. 3 Fiduciary Funds are used when a government holds or manages financial resources in an agent or fiduciary capacity. The City of Gem Lake does not operate any of these funds at the current time. The Budget Basis used by the City of Gem Lake is the modified accrual basis of accounting for governmental fund types (for example, the General Fund, Special Revenue Funds, Debt Service and Capital Project Funds). Under this accounting method, revenues are recognized in the accounting period in which they become available and measurable. Available means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. Expenditures are recognized in the period in which the fund liability is incurred, except for unmatured interest on general long-term debt, which is recognized when due. Enterprise Funds use the accrual basis of accounting. Under the accrual basis revenues are recognized when they are measurable and earned. Expenses are recognized in the period incurred, if measurable. The budget basis for Enterprise and Internal Service Funds is also the accrual basis with the exceptions noted below. The City's Comprehensive Annual Financial Report (CAFR) shows the status of the City's finances on the basis of "generally accepted accounting principles" (GAAP). This conforms to the way the City prepares its budget. The CAFR shows fund expenditures on both a GAAP basis and budget basis for comparison purposes BUDGETPROCESS The budget process begins in August with the City Treasurer developing a draft budget. The Mayor and Treasurer then meet in late August or early September to refine the draft budget. It is this budget that is presented to the full City Council in a workshop session in early September. It is from this workshop that a preliminary tax levy is presented and adopted no later than September 15t' of each year. Once adopted the preliminary levy is certified to Ramsey County. Over the next few months the Mayor and Treasurer will develop a final draft budget and tax levy, which again is presented to the full City Council for review in November. From the meeting a final budget and tax levy is developed and presented at a public hearing in November or December. After the public hearing the City Council votes to approve the budget and adopt the final property tax levy. In late December the December the final levy is certified to the County Auditor. During the fiscal year line items may be overspent as long as the total activity budget is not overspent. The Mayor can recommend changes for activities' budget to the City Council. The Council can than approve or disapprove the change, in the form of a budget amendment. Only with the City Council approval can an activity be overspent and only if funding is available. However, the property tax levy cannot be amended. 2015 BUDGET SUMMARY REVENUE BUDGET 1111912013 11118/2014 2011 2012 2013 2014 11/24/14 2015 % ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE GENERAL FUND $313,339 $285,934 $321,008 $232,016 $175,101 $251,932 8.58% SPECIAL REVENUE FUNDS 473 644 91 515 455 65,265 12572.82% DEBT SERVICE FUNDS 120,163 133,405 106,290 110,227 44,818 100,184 -9.11% CAPITAL NHROVENElT FUNDS 66,990 67,446 24,592 18,832 8,974 2,205 -88.29% ENTERPRISE FUNDS 53,438 62,616 53,777 48,555 44,271 49,943 2.86% TOTAL REVENUES $554,403 $550,045 $505,758 $410,145 $273,619 $469,529 14.487 EXPENDITURE &DGET GENERAL FUND $328,021 $306,122 $310.208 $316,133 $286,126 $331.932 5.00% SPECIAL REVENUE FINDS 0 0 0 0 0 64,650 0.00% DEBT SERVICE FINDS 153,365 151,690 428,910 48,505 48,505 70,171 44.67% CAPITAL IolPROVEA31IT FUNDS 0 1,375 10,637 0 66,221 70,500 0.00% ENTERPRISE FUNDS 35,719 37,463 44,471 54.738 27,252 59,481 8.66% TOTAL EXPENDOURES $517,105 $496,650 $794,226 $419,376 $428,104 $596,734 42.297 FUND BALANCE -JANUARY1 $1,060,992 $1,110,747 $1,176,599 $900,588• $900,588 $746,103 EXCESS REVENUE OVER EXPENDITURES $37,298 $53,395 ($288,468) ($9,231) ($154,485) ($127,205) IFRASTRl1CR1RECFANGES $12,457 $12.457 $12,457 $12.500 $0 $12,500 FUNDSALANCE-DECEIMER31 $1,110,747 $1,176,599 $900,588 $903,857 $746,103 931,398-30.147 2015 BUDGETED EXPENDITURES General ii11111111�1111111�1�111111�1;;11�11111111;11111�111 � ��l�11�11�111111111111111 Enterprise ecial Revenue ,: Capital Improvement lL l Debt Semce THIS PAGE INTENTIONALLY LEFT BLANK A GENERAL FUND GENERAL FUND SUMMARY FUND DESCRIPTION: The General Fund is used to account for the ordinary operations of the City, which are financed from taxes and other general revenues, which are not accounted for in another fund. The modified accrual basis of accounting is used in the General Fund. That is, expenditures are recorded at the time liabilities are incurred and revenues are recorded when received. BUDGET SUMMARY: Property taxes are the largest revenue source, with the general government department as the largest expenditure area planned for 2015. The 2015 General Fund budget of $331,932 is a 5.00% increase over the City's 2014 budget and anticipates using $80,000 of Fund Balance to balance the budget and keep property taxes as low as possible. The graph below and on the next page demonstrate the percentage breakdown of budgeted revenues by classification and expenditure by department. Page 10 also shows this information numerically. 2015 Expenditures By Department Operating Transfers $0 Public $41 Public Saft $128,78. General Government $161,799 GENERAL FUND BUDGET SUMMARY BY ACTIVITY REVENUES BY CLASSIFICATION 2011 ACTUAL 2012 ACTUAL 2013 ACTUAL 1111912013 2014 ADOPTED 11124/14 ACTUAL 11/16/2014 2015 ADOPTED % CHANGE PROPERTY TAXES $244,765 $214,796 $213,806 $180,119 $97,166 $204,655 13.62% LICENSES & FERMTS 21,572 26,795 56,338 20,150 37,365 24,650 22.33% INTERGOVERNMENTAL REVENUES 9,449 9,881 8,887 7,842 9,029 10,809 37.83% CHARGES FORSERVICES 7,121 5,191 15,069 1,840 11,095 2,548 38.48% PINES & FORFEITS 2,903 3,878 4,902 2,000 2,795 3,500 75.00% MISCELLANEOUS 27,529 25,393 22,006 20,065 17,651 5,770 -71.24% TOTAL REVENUES $313,339 $285,934 $321,008 $232,016 $175,101 $251,932 8.58% EXPENDITURES BY DEPARTMENT GENERAL GOVERNMENT 41100 CITY COUNCIL $5,994 $5,766 $9,150 $28,766 $4,586 $8,075 -71.93% 41900 GEPFRALGOVEFNMENT 38,260 42,512 35,390 33,145 35,756 57,394 73.16% 41600 LEGAL SERVICES 8,181 9,990 15,710 17,000 17,564 17,000 0.00% 41410 B-ECTIONS 426 5,079 3,441 4,550 2,844 4,150 -8.79% 41500 FINANCIAL ADMINISTRATION 36,579 31,467 29,589 37,900 30,474 38,200 0.79% 41910 PLANNING & ZONING 3,715 3,903 7,350 23,130 26,041 20,130 -12.97% 41940 HERITAGENALL 30,266 12,906 17,087 18,000 14,773 16,850 -6.399/6 TOTAL GENERAL GOVERNMENT $123,421 $111,623 $117,717 $162,491 $132,038 $161,799 -0.43% PUBLIC SAFETY 42100 POLICE 83,660 85,367 97,526 88,595 86,898 101,102 14.12% 42200 FIRE PROTECTION 16,863 17,552 17,303 14,797 13,564 14,981 1.24% 42300 ANIMAL CONTROL 153 57 205 400 162 400 0.00% 42401 BUILDING INSPECTIONS %639 8,282 16,125 7,300 16,390 12,300 68.49% TOTAL PUBLIC SAFETY $110,315 $111,258 $131,159 $111,092 $117,014 $128,783 15.92% PUBLIC WORKS 43122 ROADMAINIFNANCE 11,674 5,797 24,952 16,050 16,347 17,350 8.10% 43125 ICE &SNOW REMOVAL 12,611 17,444 36,380 26,500 20,727 24,000 -9.43% 44100 PARKMAINTFNANCE 0 0 0 0 0 0 0.00% TOTAL PUBLIC WORKS $24,285 $23,241 $61,332 $42,650 $37,074 $41,350 -2.82% OPERATM TRANSFERS 4900 OPERATING TRANSFERS 70,000 60,000 0 0 0 0 0.00% TOTAL OPERATING TRANSFERS $70,000 $60,000 $0 $0 $0 $0 0,00% TOTAL IXPETDTTURES $328,021 $306,122 $310,208 $316,133 $286,126 $331.932 5.00% FUND BALANCE- JANUARY 1 $412,080 $397,398 EXCESS REVENUE OVER EXPENDITURES ($14,682) ($20,188, FUND BALANCE -DECE ER31 $377,210 $388,010 ' $388,010 $276,985 $10,800 ($84,117) ($111,025) ($80,000 -35,18% 10 REVENUES GENERAL FUND ACTIVITY DESCRIPTION: To record and maintain all general operating revenues. These revenues will be used to finance the general operating expenditures of the City. GOALS: 1. Maintain stable, constant revenue sources. 2. Maintain a low tax rate, by reviewing the costs of services provided and charge appropriately for them. BUDGET SUMMARY: The property tax system is described in more detail beginning on page 58. The City's net taxable tax capacity has increased to $878,661 for taxes payable in 2015. This is an increase of 3.76%. The City's property tax levy for 2015 will be $204,655. As a result of these two factors and the $49,500 debt levy, the 2015 tax rate for the City will be 28.249% compared with 26.550% in 2014. All other City revenue sources were adjusted slightly or remained at the 2014 budget amounts for 2015. REVENUE LEVELS: 2012 2013 2014 2015 ACTUAL ACTUAL ACTUAL ESTIMATED Tax Rate 26.214% 27.430% 26.550% 28.249% Net Taxable Tax Capacity 1,022,048 912,518 846,800 878,661 11 BUDGET: 11119/2013 11118/2014 ACCT. 2011 2012 2013 2014 11/2412014 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE PROPERTY TAXES 31001 CURRENT TAXES $242,263 $195,107 $197,647 $174.925 $93,393 $199,211 13.88% 31002 DELINQUENT TAXES (1,344) 13,815 11,867 0 2,096 0 0.00% 31003 FISCAL DISPARITIES 2,680 4.671 3,575 5,194 1,567 5,444 4.81% 31004 PENALTIES &INTEREST 1.166 1,203 817 0 110 0 0.00% TOTAL PROPERTY TAXES $244,765 $214,796 $213,806 $180.119 $97.166 $204,655 13.62 % LICENSES & PERMITS 32100 GENERAL BUSINESS LICENSES 1.800 2,000 1,000 1,700 500 1,700 0.00% 32101 ON -SALE LIQUOR LICENSES 4ADD 4,400 2,658 4,400 6,600 4,400 0.00% 32102 OFF SALE LIQUOR LICENSE 0 0 0 0 0 0 0.00%' 32103 NON-NTOXDATNG LIQUOR LICENSES 0 0 0 0 1,000 0 0.00% 32104 OTHER PERMITS 1,475 1,145 3.830 800 1,000 1.000 25,00% 32106 TOBACCO LICENSE 500 500 500 500 200 500 0.00% 32107 CHARITABLEGAMBLNG LICENSE 500 500 500 500 500 500 0.00% 32201 CONTRACTOR LICENSE 1,200 2,910 2,205 800 900 1,000 25.00% 32210 BUILDING PERMITS 4,330 7,108 29.684 5,000 17,457 8,000 60-00% 32211 PLUMBING PERMITS 466 220 2,257 350 3,130 500 42,86% 32212 GAS/HEA TNG PERMITS 392 1,115 1,860 300 2.510 500 66.67% 32213 ELECTRICAL PERMITS 787 275 1,124 250 1,782 400 60.00% 32215 NPDES PERMIT 0 200 800 100 400 200 100.00% 32218 FIRE MARSHALL INSPECTION FEE 2.411 2.912 3.860 2,250 483 2,400 6.67% 32219 SEPTIC INSPECTION FEE 3,101 3,060 4.050 3,000 143 3,000 0.00% 32235 SEWER CONTRACTOR LICENSE 0 200 1,800 200 600 400 100.00% 32240 ANIMAL CONTROL LICENSE 210 250 210 0 160 150 0.00% TOTAL LICENSES & PERMITS $21,572 $26,795 $56,338 $20.150 $37,365 $24,650 22.33% INTERGOVERNMENTAL REVENUES 33401 LGA 0 0 0 0 0 0 0.00% 33402 HACA 0 0 0 0 0 0 0.00% 33430 COUNTY GRANTS & AIDS 25 0 35 0 0 0 0,00 % 33601 SCOREGRANT 796 835 0 0 0 0 0.00% 33603 POLICESTATEAID 3,650 3,642 3,216 3.642 3,393 5,809 59.50% 33602 CABLE TV FRANCHISE FEES 4.978 5.404 5,636 4,200 5,636 5,000 19.05% 33604 OTFERGOVERNIVI TADS AND GRANTS 0 0 0 0 0 0 0,00% TOTAL INTERGOV. REVENUES $9,449 $9,881 $8.887 $7,842 $9,029 $10,809 37,83% CHARGES FOR SFRV ICES 32220 SURCHARGE/SAC RETAINAGE 139 63 (31) 75 97 50 -33,33% 32230 ADMNISTRATNECHARGFS 723 501 1,190 360 755 400 14.29% 34105 PLANNING CHARGES 5.300 0 100 100 900 100 0.00% 34110 PLAN CHECK FEES 494 4,197 14,098 800 8,973 1,500 87.50% 34120 SALEOFSUPPLIES 0 0 0 0 0 0 0.00% 34121 SPECIAL ASSESSMENT SEARCHES 0 0 0 0 0 0 0.00% 34122 ENGINEERING CHARGES 0 0 0 0 0 0 0.00% 34126 CHARGES FOR LEGAL FEES 0 0 0 0 0 0 0.00% 34132 INVESTMENT ADMNISTRATNE CHARGE 465 430 512 515 370 498 .3.30% 34135 CONTRACTUAL SERVICES 0 0 (800) 0 0 0 0.00% TOTAL CHARGES FOR SERVICES $7,121 $5,191 $15.069 $1,840 $11,095 $2,548 38.48% FINES & FORFEITS 35100 TRA FFIC & OTHER FINES 2,903 3,878 4,902 2,000 2.795 3,500 75.00% TOTAL FINES & FORFEITS $2.903 $3.878 $4.902 $2,000 $2,795 $3,500 75.00% MISCELLANEOUS REVENUES 36210 INTEREST EARNINGS 5.808 5.167 998 4,365 3,794 5,070 16.15% 36231 CHARITABLE GAMBLING CONTRIBUTDN$ 3,853 2.634 2.061 1.000 0 0 -100.00% $6241 INSURANCEPOLICY DIVIDENDS 546 745 478 300 6 300 0.00% 36200 MISCELLANEOUS 514 1,993 1,547 400 3,986 400 0.00% 36400 FACILITY RBNTAL 16.808 14,854 16.922 14,000 9,865 0 -100.00% 39100 BOND PROCESS 0 0 0 0 0 0 0.00% 39200 TRANSFERS IN 0 0 0 0 0 0 0.00% TOTAL MISCELLANEOUS $27,529 $25,393 $22,006 $20,065 $17,651 $5.770 -71.249/6 TOTAL GENERAL FUND REV ENUES $313,339 $286.934 $321.008 $232,016 $175,101 $251.932 &58% 12 CITY COUNCIL GENERALFUND ACTIVITY DESCRIPTION: The City Council provides elected representation to the community with control over matters of policy, budget, administration, and operations of the City. GOALS: 1. Respond to citizen concerns, suggestions, questions, and complaints in a timely manner. 2. Keep current on legislative issues and incorporate those that directly affect the City and its residents. 3. Provide strategic direction to the City. 4. Provide policy direction and organization governance through budget, ordinances and other policy decisions. BUDGET COMMENTARY: The 2015 budget contains salary increases for the mayor and each council member to $2,400 per year for the mayor and $1,200 per year for council members. In the past the City had a budget for contingencies, which historically went unspent. Thus for 2015 the City will use reserves to fund unplanned expenditures and not budget a contingency. BUDGET: DEPARTMENT 41100 1111912013 11/1812014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % 9 AOCOUNTDESCRIPnON ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE PERSONNEL SERV ICES 100 WAGES&SALARIES $5,356 $5,356 $5,356 $5,356 $4,017 $7,500 40.03% 130 FICA CONTRIBUTIONS 410 410 303 410 414 575 40.24% TOTAL PERSONNEL SERVICES $5,766 $5,766 $5,659 $5,766 $4,431 $8,075 40,05% OTHERSERVICES & CHARGES 300 PROFESSIONAL SERVICES 0 0 0 0 0 0 0.00% 308 ADMINISTRATION 0 0 2,529 3.000 155 0 -100.00% 310 CONFERENCE REGISTRATION FEES 0 0 0 0 0 0 0.00% 333 MEETING EXPENSES 0 0 0 0 0 0 0.00% 364 OTHER INSURANCE 0 0 0 0 0 0 0,00% 449 COUNCIL CONTINGENCY 228 0 962 20,000 0 0 -100.00% TOTAL OTHER SERVICES & CHARGES $228 $0 $3,491 $23,000 $155 $0 -100.00% TOTAL CTTY COUNCIL $5.994 $5,766 $9,150 $28,766 $4,586 $8.075-71.93% 13 Clerk/General Government General Fund ACTIVITY DESCRIPTION: The Clerk/General Government Budget provides for funds and support for all of the City programs and departments of overall nature to City operations, not specifically mentioned in this written budget report. These programs include; Administration, Recording Secretary, Newsletters, Insurance and Memberships. The General Government Budget also provides contributions to various community oriented organizations. GOALS: Prompt publication of meeting minutes, ordinances, and legal notices. Provide support for agencies which provide service needs within the City. BUDGET COMMENTARY: Most line items adjusted based on current and past expenditure levels. Personnel services reflect the new position of administrative secretary to staff the City offices and provide council support. This is a thirty hour a week position. This position was previously provided and paid by the Ramsey County Sheriffs Department through an agreement with the City in trade for office space for the Sherriffs Department. iEl BUDGET DEPARTMENT 41900 11/19/2013 1111812014 AOCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE PERSONNEL SERVICES 100 WAGES & SALARIES 11,360 12,230 13,643 12,500 7,365 31,200 149.60% TEMPORARY EMPLOYEES 0 2,010 0 0 0 0 0.00% 130 FICA CONTRIBUTIONS 0 0 0 0 0 2,387 0.00% 131 PERA CONTRIBUTIONS 0 0 0 0 0 2,340 0.00% 135 HEALTH MURANCE 0 154 0 0 0 0 0.00% 150 WORKERS COAPBNSATION 0 64 190 100 328 1,000 900.00% TOTAL PERSONNEL SERVICES $11,360 $14,458 $13,833 $12,600 $7,693 $36,927 193.07°% SUPPLIES 200 OFFICESl1PPLES $739 $1,457 $808 $1,000 $692 $1,000 0.00% 212 POSTAGE 1,124 925 929 1,000 957 1,000 0.00% 250 SALESTAX 0 0 0 0 0 0 0.00% TOTAL SUPPLIES $1,863 $2,382 $1,737 $2,000 $1,649 $2,000 0.00% OTHER SERVCES & CHARGES 300 PROFESSIONAL SERVICES $0 $0 $0 $0 $8,873 $0 0.00% 305 ADMINISTRATION 1,752 3,367 1,180 1,000 913 1,000 0.00% 308 PROFESSIONAL SERVICES 0 0 0 0 0 0 0.00% 309 MISCELLANEOUS 0 0 0 200 0 0 -100.00% 310 CONFERENCE REGISTRATION FEES 0 0 0 0 0 0 0.00% 320 INTEtNET CONNECTION 0 0 0 0 0 0 0.00% 322 WEB SITE 670 600 622 600 1,287 700 16.67% 331 MILEAGE 189 243 284 300 182 350 16.67% 332 RECORDINGSECRE7ARY 1,800 2,100 2,200 3,000 0 0 -100.00% 334 COMPUTER SERVICES 1,360 1,170 1,170 1,900 2,529 2,462 29.58% 346 MARKETING&ADVERTISING 0 0 0 0 0 0 0.00% 350 PRINTING -OTHER 0 0 0 0 0 0 0.00% 351 LEGAL NOTICES 880 369 441 500 646 500 0.00% 352 NEWSLEITELPUBLIC RELATIONS 1,901 2,311 2,033 1,500 1,694 1,600 0.00% 361 GENERAL LWBILRY INSURANCE 1,333 1.613 1,414 1,600 1,898 2,000 25.00% 362 PROPERTY INSURANCE 0 551 0 0 0 0 0.00% 363 VEHICLEINSURANCE 46 62 72 75 75 75 0.00% 365 PUBLIC OFFICIALS LWBILTY INSURANCE 193 138 108 175 107 150 -14.29% 384 RECYCLING OOLLECTTON 10,056 10,265 8,644 7,000 7,541 9,000 28.57% 434 VLAWMO 0 0 0 0 0 0 0.00% 435 LMC 462 478 497 525 514 550 4.76% 436 RCLLG 125 125 125 150 125 150 0.00% 440 DUES & SUBSCRIPTIONS 20 30 30 20 30 30 50.00% 450 CHARTABLE GAMBLING DISTRIBUTIONS 4,250 2,250 1,000 0 0 0 0.00% TOTAL OTHER SERV ICES & CHARGES $25,037 $25.672 $19,820 $18,545 $26,414 $18,467 -0.42% CAPITAL OUTLAY 570 FUR4TU2E& OFFICE EOUPMMBNT $0 $0 $0 $0 $0 $0 0.00% 580 OTHEREQUHMBNT/MMPROVIEM13M 0 0 0 0 0 0 0,00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL CLEKVGENERAL GOVERAME NT $38,260 $42,512 $35,390 $33,145 $35,756 $57,394 73.16% 15 Legal Services General Fund ACTIVITY DESCRIPTION: All legal services are currently contracted with a private legal firm. Activities included are the issuance of legal opinions, preparation of ordinances, resolutions, contracts, and agreements, and the conduct of civil litigation. GOALS: 1. Continue contracting for legal counsel. BUDGET COMMENTARY: The 2015 budget is based on contract cost of current legal counsel and anticipated use or need of legal counsel for 2015. BUDGET: DEPARTMENT 41600 11/19/2013 11/18/2014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE OTHER SERVICES & CHARGES 300 PROFESSIONAL SERVICES 0 0 303 PROSECUTION 710 1,535 304 LEGAL SERVICES 7,471 8,455 305 LEGAL SERVICES - LAND ISSUES 0 0 309 MISCELLANEOUS 0 0 317 LEGAL -ANNEXATION 0 0 TOTAL OTHER SERVICES & CHARGES $8,181 $9,990 TOTAL LEGAL SERVICES $8.181 $9,990 0 0 0 0 0.00% 995 2,000 1,308 2,000 0.00% 10,737 10,000 16.256 15,000 50.00% 0 0 0 0 0.00% 0 0 0 0 0.00% 3,978 5,000 0 0 -100.00% $15,710 $17,000 $17,564 $17,000 0.00% $15,710 $17,000 $17,564 $17,000 0.00% 16 Elections General Fund ACTIVITY DESCRIPTION: The Elections budget funds election activities of the City, which include; maintenance of voting and ballot counting equipment and payment of the election service contract with Ramsey County. GOALS: 1. Conduct fair and open elections. BUDGET COMMENTARY: Beginning in 2013 the City began contracting with Ramsey County for election administrative services. The cost to administer the elections will be spread over a two year period, which results in the City having election costs even though there is not a general election in the fall of 2015. BUDGET: DEPARTMENT 41410 11/1912013 11118/2014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE PERSONNEL SERVICES 100 WAGES & SALARIES $0 $0 $0 $0 $0 $0 0.00% 105 Tev1PORARY EIVPLOYEES 0 740 0 0 0 0 0.00% 130 FICA CONTRIBUTIONS 0 0 0 0 0 0 0,00 % 160 WORKERS COMP. 0 0 0 0 0 0 0.00% TOTAL PERSONNEL SERVICES $0 $740 $0 $0 $0 $0 0.00% SUPPLIES 210 OPERATING SUPPLIES - OTHER 0 32 0 0 0 0 0.00% 212 POSTAGE 0 0 0 0 0 0 0.00% 250 SALES TAX 0 0 0 0 0 0 0.00% TOTAL SUPPLIES $0 $32 $0 $0 $0 $0 0.00% OTHER SERVICES & CHARGES 308 ADMINISTRATION 0 4,111 0 0 27 0 0.00% 308 PROFESSIONAL SERVICES 0 0 3.000 4,000 2,250 3.500 -12.50% 309 MISCELLANEOUS 0 12 15 0 0 0 0.00% 331 MILEAGE 0 0 0 0 0 0 0.00% 350 OTHER PRIMING 0 0 0 0 0 0 0.00% 351 LEGAL NOTICES 0 184 0 0 141 100 0.00% Ballot Machine 0 0 0 0 0 0 0.00% 400 REPAIR/MAINTERANCE EQUIPMENT 426 0 426 550 426 550 0.00% TOTAL OTHER SERVICES & CHARGES $426 $4,307 $3,441 $4,550 $2,844 $4,150 -8.79% TOTAL ELECTIONS $426 $5.079 $3,441 $4,550 $2.844 $4,150 -8,79% 17 Financial Administration General Fund ACTIVITY DESCRIPTION: Financial administration is provided through a contract with White Bear Township. The contract includes accounting for every financial transaction of the City including accounts payable, accounts receivable, cash and debt management, and utility billing. In addition the City contracts with a public accounting firm for audit services each year. GOALS: 1. Provide meaningful and timely financial information and reports. 2. Complete the financial audit in a timely fashion. 3. Coordinate the City's annual budget process. BUDGET COMMENTARY: The City's audit contract includes a 3.37% increase for the 2014 audit. The amount budgeted for accounting services from White Bear Township is based on time billed for providing the service over the past several years. BUDGET: DEPARTMENT 41500 11 /19/2013 11/18/2014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPT® ACTUAL ADOPTED CHANGE PERSONNEL SERVICES SUPPLIES 200 OFFICESUPPLIES 0 0 0 0 0 0 0.00% 250 SALES TAX 0 0 0 0 0 0 0.00% TOTAL SUPPLIES $0 $0 $0 $0 $0 $0 0.00% OTHER SERVICES & CHARGES 308 ADMINISTRATION 0 0 0 0 0 0 0,00% 301 AUDLING SERVICES 8,135 8,320 8,480 8,900 10,150 9,200 3,37% 329 FINANCIAL SERVICES 28,444 22,904 20,313 28,000 20,206 28,000 0.00% 334 CGIvPITERSERVICES 0 243 796 1,000 118 1,000 0,00% 309 PASCELLANEOUS EXPENSE 0 0 0 0 0 0 0.00% TOTAL OTHER SERVICES &CHARGES $36,579 $31,467 $29,589 $37,900 $30,474 $38,200 0.79% TOTAL FINANCIAL ADMNISTRATION $36,579 $31.467 $29,589 $37,900 $30,474 $38,200 0.79% ir Planning & Zoning General Fund ACTIVITY DESCRIPTION: This department provides long range planning, day to day coordination, and design and management of programs and plans affecting residential, commercial and industrial development. The activities include, but are not limited to, comprehensive planning, zoning administration, design of trails and bikeways, promotion. GOALS: 1. Implementation of comprehensive plan objectives. BUDGET COMMENTARY: In 2015 the City will be updating and filing with the State its storm water management plan (MS4) which will require the use of outside consultant, so the City is budgeting $13,000 for this project. BUDGET: DEPARTMEW 41910 1111912013 11 / 18/2014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE OTHER SERVICES & CHARGES 300 PROFESSIONAL SBWM 255 0 0 20,000 18,500 0 -100.00% 308 ADMINISTRATION 1,482 1,521 979 1,0D0 1,033 1,600 50.00% 302 ENGR�EffiMG SERVICES 628 927 6,171 1,D00 4,258 5.000 400.00% 309 MSCELLANEOUS 0 30 0 30 0 30 0.00% 315 ZONING ADLMTRATION 0 75 0 1D0 0 100 0.00% 325 WDES TRANING 0 0 0 0 0 0 0.00% 326 NPDES EDUCATION 0 0 0 0 0 0 0.00% 327 M64 REPORTING 0 0 0 0 2,250 13,000 0.00% 332 RECORD04GSECRETARY 1,350 1,350 200 1,000 0 500 -50.00% 348 COW.. PLAN UPDATE 0 0 0 0 0 0 0.00% 433 DUES & SUBSCRPTIONS 0 0 0 0 0 0 0.00 TOTAL OTHER SERVICES &CHARGES $3,715 $3,903 $7,350 $23,130 $26,041 $20,130 -12.97% CAPITAL OUTLAY 570 FURNITURE & OFFICE EQUIPMENT 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL PLAWIG &ZONING $3,715 $3,903 $7,350 $23,130 $26,041 $20,130-12.97% 19 Heritage Hall General Fund ACTIVITY DESCRIPTION: The activity for this department is to provide for the operation and maintenance of the City offices/meeting facility GOALS: 1. Maintain a reputable facility to house meetings, mayor's office and a sub -station for the Ramsey County Sheriff Department. BUDGET COMMENTARY: Line items adjusted to reflect past expenditure activity. BUDGET: DEPARTMENT 41940 IM1912013 1111812014 AOCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE SUPPLIES 205 CLEANNGSLIPPLE3 0 0 0 0 0 0 0.00% 210 OPERATING SUPPLIES - OTHER 921 1,228 885 1,500 385 1,300 -13.33% 211 .CHEMICALS 0 0 0 0 0 0 0.00% 230 BUILDING MATERIALS 0 0 0 0 0 0 0.00% 250 SALES TAX 0 0 0 0 0 0 0.00% TOTAL SUPPLIES $921 $1,228 $885 $1,500 $385 $1.300 -13.33% OTHER SERVICES 8 CHARGES 300 PROFESSIONALSERVICES 1,733 1,567 1,597 1,500 1,571 1,700 13.33% 309 CONTRACTSERVICES 1,292 225 347 1,000 0 500 -50.00% 321 TELEPHONE 1.254 1,273 1,301 1,000 1,532 1,400 40.00% 362 PROPERTY INSURANCE 701 175 705 750 706 750 0.00% 381 ELECPRO Y 3,378 4,246 4,675 5,000 3.768 4,000 -20.00% 383 GAS 1,434 1,418 1,744 1,500 1,316 1,600 6.67% 384 RLBBLSWRECYCLNG 0 0 0 0 0 0 0.00% 385 WATER/SEWER UTILITIES 383 442 384 750 194 600 -20.00% 400 REPAwMANTBJANCE-OTHER 1,439 1,874 1,541 2,000 1,731 2,000 0.00% 401 REPAWMANTENANCE-BUILDINGS 15,968 458 3,908 3.000 3,570 3,000 0.00% TOTAL OTHERSERVIC68 CHARGES $27,582 $11,678 $16,202 $16,600 $14.388 $15.550 -5.76% CAPITAL OUTLAY 520 BULONG IMPROVBARITS 1,763 0 0 0 0 0 0.00% 570 FURNITURE & OFFICE EOUIPANT 0 0 0 0 0 0 0.00% 580 OTHER BDUPIAR fT/IMPROVBA34TS 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $1,763 $0 $0 $0 $0 $0 0.00% TOTAL HERITAGE HALL $30,266 $12,906 $17,087 $18,000 $14,773 $16,850 -6.39% Police General Fund ACTIVITY DESCRIPTION: The City of Gem Lake contracts with the Ramsey County Sheriffs Department to provide law enforcement services for the City. As part of the contract, they will serve and protect the City as well as provide public education programs and services to the residents. GOALS: 1. Provide effective law enforcement service to the City. BUDGET COMMENTARY: The 2015 budget is based on the contracted budget amount provided by the Ramsey County Sheriffs Department. BUDGET: DEPARTMENT 42100 1111912013 1111812014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPT® CHANGE OTHER SERVICES & CHARGES 305 REGULAR LAW ENFORCEMENT 80,828 82,361 90,423 79,550 79,658 91,892 15.51% 306 SPECIAL LAW ENFORCR04T 0 0 4,431 6,295 4,721 6,295 0.00% 307 DISPATCH COSTS 2,832 2,852 2,672 2,750 2,211 2,915 6.00% 308 ADMNISTRAT10N 0 0 0 0 255 0 0.00% 309 MISCELLANEOUS 0 154 0 0 53 0 0.00% TOTAL OTHER SERJ ICES &CHARGES $83,660 $85,367 $97,526 $88,595 $86,898 $101,102 14.12% TOTAL POLICE $83,660 $85,367 $97.526 $88,595 $86,898 $101,102 14.12% 21 Fire Protection General Fund ACTIVITY DESCRIPTION: The objective of the Fire Protection Department is to provide fire protection and prevention services. The City of Gem Lake entered an agreement with the City of White Bear Lake for such services. The contract also provides for site inspections and enforcement of fire codes through their Fire Marshal. Paramedic and ambulance service is provided by the contract, but the cost of the service is not included in the contract since it is billed as a fee -for -service to the individuals using the service. GOALS: Promote public education and information about fire prevention and safety. 2. Reduce property damage and loss due to fire. 3. Provide emergency medical assistance to all residents. BUDGET COMMENTARY: The City's contract amount is based on the White Bear Lake Fire Department 2015 budget less an adjustment for 2013 actual expenditures compared to budget and multiplied by the City's percentage of average population and average market valuation of the area served by the White Bear Lake Fire Department. BUDGET: DEPARTMENT 42200 11119/2013 11/18/2014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % 4 ACCOUNTDESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE 308 ADMINISTRATION $0 $0 $0 $0 $0 $0 0,00% 309 MISCELLANEOUS 0 0 0 0 0 0 0,00% 311 RRE SERVICE 13.427 13,790 13,461 10,761 10,201 10,956 1.81% 312 FIRE MARSHALL SERVICES 3,436 3,762 3,842 4.036 3,363 4,025 -0.27% TOTAL OTHERSERJICES B CHARGES $16,863 $17,552 $17,303 $14.797 $13,564 $14,981 1.24% TOTAL FIRE $16,863 $17,552 $17,303 $14,797 $13,564 $14,981 1.24% 22 Animal Control General Fund ACTIVITY DESCRIPTION: The City of Gem Lake entered an agreement with a private company for their animal control services. The contract is for service as needed. GOALS: Address animal issues within the City in a timely manner. BUDGET COMMENTARY: The 2015 budget was based on past expenditures. BUDGET: DEPARTMENT 42300 11119/2013 11118/2014 AOCT. 2011 2012 2013 2014 11/24/14 2015 # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE OTHER SERVICES & CHARGES 300 PROFESSIONAL SERVICES 0 0 0 0 0 0 0.00% 309 MISCELLANEOUS 0 0 0 0 0 0 0.00% 323 ANIMAL REMOVAL 0 0 147 100 98 150 50.00% 324 ANIMAL ENFORCEMENT 153 57 58 300 64 250 -16.67% TOTAL OTHER SERVICES B CHARGES $153 $57 $205 $400 $162 $400 0.00% TOTAL ANIMAL CONTROL $153 $57 $205 $400 $162 $400 0.00% P491 Building Inspections General Fund ACTIVITY DESCRIPTION: The Code Enforcement Department issues all building permits for the City. This department provides for the health, safety and welfare of the City residents by providing inspection services to ensure that all residential, commercial, and industrial buildings are in compliance with the Uniform Building Code and City Ordinances. GOALS: 1. Continue to provide timely and thorough inspections. 2. Provide inspections of the City to apprehend illegal construction activities, which are not allowed or for which no permits have been issued. BUDGET COMMENTARY: Budget based on 2014 activity and projected 2015 activity. BUDGET: DEPARTMENT 42401 11119/2013 11118/2014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE OTHER SERVICES & CHARGES 313 BUILDING INSPEC➢ONS 8,565 7,218 13,955 5,500 13,894 10,000 81.82% 309 A9SCALANEOUS 32 0 26 0 0 0 0.00% 316 BUILDING SECRETARY SERVICES 538 317 1,251 1,000 1.748 1,500 50,00% 334 COAPUTERSERVICES 504 747 893 800 748 800 0.00% 328 CODE ENFORCEMENT 0 0 0 0 0 0 0.00% TOTAL OTHER SERVICES &CHARGES $9,639 $8,282 $16,125 $7,300 $16,390 $12,300 68.49% CAPITAL OUTLAY 570 FURNBURE & EQUIPMENT 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL BUILDING INSPECTIONS $9,639 $8,282 $16,125 $7,300 $16,390 $12,300 68,49% 24 Road Maintenance General Fund ACTIVITY DESCRIPTION: The Road and Bridge Department provide residents with safe and accessible transportation routes. This department provides for all maintenance and repair of the City's roads. Routine road maintenance is performed by White Bear Township public works staff by contract. GOALS: 1. Routine maintenance to assure long life of each street. BUDGET COMMENTARY: Most line items adjusted based on past expenditures however engineering fees was increased to reflect more time spent on work related to new construction. Road maintenance/repair budget reflect past expenditures and the City will be completing a seal coat project (funded by the Capital Project Funds) which should reduce the need for repairs on those roadways. BUDGET: DEPARTMENT 43122 11/19/2013 11/18/2014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE SUPPLIES 211 CHEMICALS 0 0 0 0 0 0 0.00% 210 OPERATING SUPPLIES - OTHER 0 0 0 0 0 0 0.00% 224 GRAVELSTREET MATERIAL 0 0 0 0 0 0 0,00% 225 SALT/SAND 0 0 0 0 0 0 0.00% 226 SIGNS, SIGN REPAIR MATERIALS 0 0 123 500 44 500 0.00% 250 SALES TAX 0 0 0 0 0 0 0.00% TOTAL SUPPLIES $0 $0 $123 $500 $44 $500 0.00% OTHER SERVICES & CHARGES 300 PROFESSIONAL SERVICES 0 0 210 0 0 0 0.00% 302 ENGINEERING FEES 859 3,437 8,280 5,000 12,595 12,000 140.00% 308 ADMINISTRATION 0 0 1,125 0 0 0 0.00% 309 MSCE LANEOUS 0 0 0 0 0 0 0.00% 327 NPDES- STORMWATER 6,972 (100) 0 5,000 0 0 -100.00% 351 LEGAL NOTICES 0 0 0 0 0 0 0,00% 382 ELECTRICITY - STREETLIGHTS 1,042 985 1,141 1,500 836 1,300 -13.33% 385 ROW MAINTENANCE 0 1,435 633 1,500 662 1.000 -33.33% 405 ROAD MAINTENANCEREPAIR 2,759 0 13,400 2,500 2,170 2,500 0.00% 433 DUES AND SUBSCRIPTIONS 42 40 40 50 40 50 0.00% TOTAL OTHER SERVICES & CHARGES $11,674 $5,797 $24,829 $15,550 $16,303 $16.850 8.36% CAPITAL OUTLAY 540 HEAVY MACHINERY/EQUIPMENT 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0,00% TOTAL ROAD MAINTENANCE $11,674 $5,797 $24,952 $16,050 $16,347 $17.350 8.10% 25 Ice & Snow Removal General Fund ACTIVITY DESCRIPTION: The City's Ice and Snow activity is responsible for the control of ice and snow on City streets. The activity provides control in a safe and cost effective manner, keeping in mind safety, budget, and environmental concerns. The City contracts for this activity. GOALS: 1. Remove snow as quickly as possible to provide all residents with safe access. BUDGET COMMENTARY: The budget for ice and snow control was induced based on 2014 expenditure amounts. BUDGET: DEPARTMENT 43125 11119/2013 11118/2014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE SUPPLIES 225 SALTSAND 3,378 4,788 9,720 8,000 5,130 8,000 0.00% 210 OPERATING SUPPLIES - OTHER 0 0 0 0 0 0 0.00% 250 SALES TAX 255 329 646 0 0 0 0.00% TOTAL SUPPLIES $3,633 $5,117 $10.366 $8.000 $5.130 $8,000 0.00% OTHER SERVICES & CHARGES 309 MSCELLANIEOUS 0 0 0 0 0 0 0,00% 400 REDAIR/M4INTEN4NCE-OTHER 0 1,170 0 0 1,180 1,000 0,00% 404 REPAIR/MAINTENANCE-CONTRACTUAL 8,978 11,157 26,014 18,500 14,417 15,000 -18.92% TOTAL OTHER SERd ICES &CHARGES $8,978 $12,327 $26,014 $18,500 $15,597 $16,000 -13.51% CAPITAL OUTLAY 540 HEAVY MACHINERY/EQUIPMENT 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL ICE & SNOW REMOVAL $12,611 $17,444 $36,380 $26,500 $20,727 $24,000 -9.43% 26 Parks Maintenance General Fund ACTIVITY DESCRIPTION: This department provides for all maintenance and upkeep of the City's parks system. Township personnel, through a contract, perform all labor and provide the equipment for maintenance. GOALS: 1. Routine maintenance of parks. BUDGET COMMENTARY: Currently the City does not perform routine maintenance of parks and therefore there is no expenditures budgeted for this activity. BUDGET: DEPARTMENT 4410 11/1912013 11/1812014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE SUPPLIES 211 CHEMICALS 0 0 0 0 0 0 0.00% 210 OPERATING SUPPLIES - OTHER 0 0 0 0 0 0 0.00% LANDSCAPM MATERIALS 0 0 0 0 0 0 0.00% 226 SIGNS, SIGN REPAIR MATERIALS 0 0 0 0 0 0 0.00% 250 SALES TAX 0 0 0 0 0 0 0.00% TOTAL SUPPLIES $0 $0 $0 $0 $0 $0 0,00% OTHER SERVICES & CHARGES 300 PROFESSIONAL SERVICES 0 0 0 0 0 0 0.00% 404 PAW MAINTENANCE - CONTRACTUAL 0 0 0 0 0 0 0.00% 400 REPAIR/MAINTENANCE - OTHER 0 0 0 0 0 0 0.00% 309 MISCELLANEOUS 0 0 0 0 0 0 0.00% TOTAL OTHER SERVICES & CHARGES $0 $0 $0 $0 $0 $0 0.00% CAPITAL OUTLAY 540 HEAVY MACHINERY/EQUIPMENT 0 0 0 0 0 0 0.00% 580 OTHER EQUIPM3,F17/IMPROVE ENTS 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL PARK MAINTENANCE $0 $0 $0 $0 $0 27 Operating Transfers General Fund ACTIVITY DESCRIPTION: This department provides funds that will be moved to other City funds to finance other City projects or activities. GOALS: Finance other future City projects with as little tax impact as possible on City property taxes. BUDGET COMMENTARY: In the past, the City transferred funds to finance future road improvements and the possible treatment and prevention of the Emerald Ash Bore (EAB) and other unidentified projects. No transfers are planned for 2015. BUDGET: ACCT. # DEPARTMENT 4900 ACCOUNT DESCRIPTION 2011 ACTUAL 2012 ACTUAL 2013 ACTUAL 1111912013 2014 ADOPTED 11/24/14 ACTUAL 1111812014 2015 ADOPTED % CHANGE 720 TRANSFERS OUT 2007 Capital trprovement Bonds 0 0 0 0 0 0 0.00% krprovement Fund -401 Road Inprovements 40,000 40.000 0 0 0 0 0.00% EA B Treatment/Prevention 10,000 10,000 0 0 0 0 0.00% Building Improvements/Replacenent 20,000 10,000 0 0 0 0 0.00% Future mprovenents 0 0 0 0 0 0 0.00% Annexation Reserve Account 0 0 0 0 0 0 0.00% City Hall Construction Fund - 402 0 0 0 0 0 0 0.00% Sewer Fund -601 0 0 0 0 0 0 0.00% TOTAL OPERATING TRANSFERS 70,000 60,000 0 0 0 0 0.00% IW SPECIAL REVENUE FUNDS SPECIAL REVENUE FUNDS DESCRIPTION: Special Revenue Funds account for revenue derived from specific revenue sources that are legally restricted for a specific purpose. The City has two special revenue funds, the Park and Playground Fund and a Grant Fund. Special Revenue Funds use the modified accrual basis of accounting, that is revenues are recognized when received and expenditure at the time the liability is incurred. OBJECTIVES: See individual funds for the objectives. MEASURABLE WORKLOAD DATA: 2012 2013 2014 2015 ACTUAL ACTUAL ACTUAL ESTIMATED No measurable workload data has been established for this fund. BUDGET COMMENTARY: Improvement Grant Fund is new in 2015 to account for possible grants to help redevelop the City's commercial district. 30 BUDGET: SPECIAL REV ENLE: FUND SUINMARY REV ENUE BUDGET ACCT. # ACCOUNT DESCRIPTION 2011 ACTUAL 2012 ACTUAL 2013 ACTUAL 11/1912013 2014 ADOPTED 11Y24/14 ACTUAL 11 /18/2014 2015 ADOPTED % CHANGE MSCELLANEOUS 33604 GRANTS $0 $0 $0 $0 $0 $48,487 0.00% 34785 PARK DEDICATION FEES $0 $0 $0 $0 $0 $0 0.00% W210 INTEREST INCONE $473 $644 $91 $515 $455 $615 19.42% W200 MSCELLANEOUS $0 $0 $0 $0 $0 $0 0.00% 39200 TRANSFETRS IN $0 $0 $0 $0 $0 $16.163 0.00% TOTAL MSCELLANEOUS $473 $644 $91 $515 $455 $65,265 12572.82% TOTAL REVENUES $473 $644 $91 $515 $455 $65,265 12572.82% SUPPLIES 210 OPERATING SUPPLIES - OTHER SO $0 $0 $0 $0 $0 0,00% 235 LANDSCAPING MATERIALS $0 SO $0 $0 $0 $0 0.00% 226 SIGNS 8 SIGN MATERIALS 30 $0 $0 $0 $0 $0 0.00% 250 SALES TAX SO $0 SO $0 $0 $0 0.00% TOTAL SUPPLIES SO $0 $0 $0 $0 $0 0.00% OTHER SERVICES 8 CHARGES 302 ENGINEERING FEES $0 $0 $0 $0 $0 $64.650 0.00% 304 LEGAL FEES $0 $0 $0 $o $0 $0 0.00% 300 PROFESSIONAL SERVICES $O $0 $0 SO $0 $0 0.00% 400 REPAIRMIAINTENANCE-OTHER $O $0 $0 $O $0 $0 0.00% 540 EOUIPMENT $0 $0 $0 $0 $0 $0 0.00%. TOTAL OTHER SERVICES & CHARGES $O $0 $0 $0 $0 $64,650 0.00% CAPTAL OUTLAY 510 LAND $0 $0 $0 $0 $0 $0 0.00% 580 OTHER MIRROVEWNTS $0 $0 $0 $0 $0 $0 0.00% 720 TRANSFBRS OUT $0 $0 $0 $0 $0 $0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL EXPENDITURES $0 $0 $0 $0 $0 $64,650 0.00% FUND BALANCE- JANUARY 1 $37.5/O 538,043 $38687 $38,778 $38,778 $39.233 EXCESS REVENUEOVER EXPENDITURES $473 $644 $91 $515 $455 $615 FUND BALANCE -DEDEVBER 31 $38,043 $38,687 $38,778 $39.293 $39,233 $39,848 1.41% 31 PARK & PLAYGROUND FUND SPECIAL REVENUE FUND ACTIVITY SCOPE: The purpose of the Park & Playground Fund is to assist the City in meeting park acquisition and development needs. Revenues are collected from developers or property owners that develop their properties. Fees are based on assessed land value or number of lots available. Special Revenue Funds, including the Park & Playground Fund use the modified accrual basis of accounting, that is revenues are recognized when received and expenditure at the time the liability is incurred OBJECTIVES: Acquire and develop current and future parkland property. Provide recreational facilities to all residents, including trails and walkways. MEASURABLE WORKLOAD DATA: 2012 2013 2014 2015 ACTUAL ACTUAL ACTUAL ESTIMATED No measurable workload data has been established for this fund. BUDGET COMMENTARY: Revenue source is park dedication fees paid on new construction and/or developments, interest earnings and any operating transfers. At this time there are no park improvements or equipment purchase to be funded from the Park Acquisition Fund in 2015. 32 BUDGET: REVENUE BUDGET AOCT. # ACCOUNT DESCRIPTION 2011 ACTUAL 2012 ACTUAL 2013 ACTUAL 11/1912013 2014 ADOPTED 11/24/14 ACTUAL 11118/2014 2015 ADOPTED % CHANGE MISCELLANEOUS 33604 GRANTS $0 $0 $0 $0 $0 $0 0.00% 34785 PARK DEDICATION FEES 0 0 0 0 0 0 0.00% 36210 INTEREST INCOME 473 644 91 515 455 615 19,42% 36200 MISCELLANEOUS 0 0 0 0 0 0 0,00% 39200 TRANSFERS IN 0 0 0 0 0 0 0.00% TOTAL MISCELLANEOUS $473 $644 $91 $515 $455 $615 19.42% TOTAL REVENUES $473 $644 $91 $515 $455 $615 19.42% SUPPLIES 210 OPERATING SUPPLIES- OTHER $0 $0 $0 $0 $0 $0 0.00% 235 LANDSCAPING MATERIALS 0 0 0 0 0 0 0.00% 226 SIGNS & SIGN MATERIALS 0 0 0 0 0 0 0.00% 250 SALESTAX 0 0 0 0 0 0 0.00% TOTAL SUPPLIES $0 $0 $0 $0 $0 $0 0.00% OTHER SERVICES & CHARGES 302 ENGINEERING FEES 0 0 0 0 0 0 0.00% 304 LEGAL FEES 0 0 0 0 0 0 0.00% 300 PROFESSIONAL SERVICES 0 0 0 0 0 0 0.00% 400 REPAIR/MAKrENANCE-OTHER 0 0 0 0 0 0 0.00% 540 EQUIPMENT 0 0 0 0 0 0 0.00% TOTAL OTHFRSERVICES&CHARGES $0 $0 SO $0 $0 $0 0.00% CAPITAL OUTLAY 510 LAND 0 0 0 0 0 0 0.00% 580 OTHER IMPROVEMENTS 0 0 0 0 0 0 0.00% 720 TRANSFERS OUT 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL EXPENDITURES $0 $0 $0 $0 $0 $0 0.00% FUND BALANCE- JANUARY 1 $37,570 $38,043 $38,687 $38,778' $38,778 $39.233 EXCESS REVENUE OVER EXPENDITURES $473 $644 $91 $515 $455 $615 FUNDBALANCE-DECEMBER31 $38,043 $38,687 $38,778 $39.293 $39.233 $39.848 1.41% FUTUREIMPACTS: The future budget impacts will depend on the type and scope of park and playground improvements. 33 IMPROVEMENT GRANT FUND SPECIAL REVENUE FUND ACTIVITY SCOPE: The purpose of the Improvement Grant Fund is to assist the City in possible redevelopment needs of its commercial district. Revenues are possible grants from either the State of Minnesota or Ramsey County for activities related to redevelopment activities of the Cities commercial area. OBJECTIVES: Redevelop the commercial district of the City. 2. Make needed improvements to the commercial district. MEASURABLE WORKLOAD DATA: 2012 2013 2014 2015 ACTUAL ACTUAL ACTUAL ESTIMATED No measurable workload data has been established for this fund. BUDGET COMMENTARY: Revenue source is grants from the State of Minnesota and/or Ramsey County, interest earnings and operating transfers for any City matching share of grants received. At this time expenditures are for engineering costs for completing grant applications and/or feasibility studies for improvements. 34 BUDGET: REVENUE BUDGET 11119/2013 11/18/2014 ACCT. 2011 2012 2013 2014 11124/2014 2015 0,00% k ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED 0.00% MISCELLANEOUS 33604 GRANTS $0 $0 $0 $0 $0 $48,487 0.00% 34785 PARK DEDICATION FEES 0 0 0 0 0 0 0.00% 36210 INTEREST INCOME 0 0 0 0 0 0 0.00% 36200 MISCELLANEOUS 0 0 0 0 0 0 0.00% 39200 TRANSFERS IN 0 0 0 0 0 16,163 0.00% TOTAL MISCELLANEOUS $0 $0 $0 $0 $0 $64,650 0.00% TOTAL REVENUES $0 $0 $0 $0 $0 $64,650 0.00% D(PENDrrUREBUDGEr SUPPLIES 210 OPERATING SUPPLIES - OTHER $0 $0 $0 $0 $0 $0 0.00% 235 LANDSCAPING MATERIALS 0 0 0 0 0 0 0.00% 226 SIGNS & SIGN MATERIALS 0 0 0 0 0 0 0.00% 250 SALESTAX 0 0 0 0 0 0 0.00% TOTAL SUPPLIES $0 $0 $0 $0 $0 $0 0.00% OTHER SERVICES & CHARGES 302 ENGINEERING FEES 0 0 0 0 0 64,650 0.00% 304 LEGAL FEES 0 0 0 0 0 0 0.00% 300 PROFESSIONAL SERVICES 0 0 0 0 0 0 0.00% 400 REPAIR/MAINTENANCE-OTHER 0 0 0 0 0 0 0.00% 540 EQUIPMB1rr 0 0 0 0 0 0 0.00% TOTAL OTHER SERVICES & CHARGES $0 $0 $0 $0 $0 $64,650 0.00% CAPITAL OUTLAY 510 LAND 0 0 0 0 0 0 0.00% 580 OTHER IMPROVEMENTS 0 0 0 0 0 0 0.00% 720 TRANSFERS OUT 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL IXPEJDrrURES $0 $0 $0 $0 $0 $64,650 0,00% FUND BALANCE- JANUARY 1 $0 $0 $0 $0� $0 $0 EXCESS REVENUEOVER EXPENDITURES $0 $0 $0 $0 $0 $0 FUND BALANCE-DECEABER 31 $0 $0 $0 $0 $0 $0 0.00% FUTUREIMPACTS: The future budget impacts will depend on the type and scope of park and playground improvements. 35 s THIS PAGE INTENTIONALLY LEFT BLANK DEBT SERVICE FUNDS 37 DEBT SERVICE FUNDS DESCRIPTION: The Debt Service Funds repay the outstanding debt obligations of the City of Gem Lake. Debt service funds use the modified accrual basis of accounting; however, the cash basis of accounting will be used for budgetary purposes only. The cash basis is used for budgeting to ensure that sufficient cash will be available to make required payments on the City's bonded indebtedness. OBJECTIVES: Retire all debt in a timely basis as scheduled. MEASURABLE WORKLOAD DATA 2012 2013 2014 2015 ACTUAL ACTUAL ACTUAL ESTIMATED Bond Rating Non -Rated Non -Rated Non -Rated Non -Rated Dec. 31 Debt Outstanding (In thousands) $1,155 $775 $760 $745 Net Debt Per Capita $2,939 $1,952 $1,914 $1,877 DEBT LIMITATIONS: All Minnesota municipalities (counties, cities, towns and school districts) are subject to statutory "net debt" limitations under the provisions of Minnesota Statutes, Section 475.53. Under this provision, the legal debt limit is 3.0% of the assessor's market value of the municipalities' tax base. Bond issues covered by this limit are those that are financed by property taxes unless at least 20% of the annual debt service costs are financed by special assessments or tax increments. At present the City has one bond issue that is subject to the debt limit: the 2007 Capital Improvement Plan Bonds. The City's current legal debt limit and debt margin is as follows: Legal Debt Limit (3% of Estimated Market Value) $2,682,207 Less: Outstanding Debt Subject to Limit (760,000) Legal Debt Margin as of January 1, 2013 $1,922,207 BUDGET COMMENTARY: The City's debt consists of a capital improvement plan bond for the construction of Heritage Hall which is repaid from a property tax levy. In 2013 the City paid off the outstanding principal balance of its two improvement bonds, which are included in this document as special assessments are still being collected. 38 BUDGET: REVENUE BUDGET 11119/2013 11/1812014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE PROPERTY TAXES 31001 CURRENTTAXES $46,965 $44,786 $49,389 $50,100 $23,152 $49,500 -1.20% 31002 DELINQUENTTAXES ($359) $3,197 $2,377 $0 $510 $0 0.00% 31003 FISCAL DISPARITY TAX $519 $3.779 $531 $200 $436 $500 150.00% 31004 PENALTIES & INTEREST ($47) ($2,774) ($20) $0 $0 $0 0.00% TOTAL PROPERTY TAXES $47,078 $48,988 $52,277 $50,300 $24,098 $50,000 -0.60% SPBCIAL ASSESSMENTS 36101 SPECIALASSESSM3NTS 53,696 67,183 57,587 56,655 20,708 43,120 -23.89% 36102 DELINQUENT SPECIAL ASSESSMENTS 570 11,189 0 0 0 0 0.00% 36103 PENALTIES & INTEREST 15,575 1,977 233 0 19 0 0.00% 36104 SPECIAL ASSESSMENTS - PREPAIDISNR 3,534 15,020 32,864 0 13,374 0 0.00% TOTAL FINES & FORFETS $69,841 $80,349 $57,820 $56,655 $20,727 $43,120 -23.89% MISCELLANEOUS 36210 INTEREST EARNINGS 3,244 4,068 (3,807) 3,272 (7) 961 -70.63% 39000 MISCELLANEOUS 0 0 0 0 0 0 0.00% 39200 BOND PROCEEDS 0 0 0 0 0 0 0.00% 39300 TRANSFERS IN 0 0 0 0 0 6,103 0.00% TOTAL MISCELLANEOUS $3.244 $4.068 ($3,807) $3,272 ($7) $7,064 115.89% TOTAL REVENUES $120,163 $133,405 $106,290 $110,227 $44,818 $100,184 -9.11% EXPENDITURE BUDGET CAPITAL OUTLAY 601 BOND PRINCIPAL 98,276 100,452 379,922 15,000 15,000 15,000 0.00%. 602 BOND INTEREST 54,539 50,688 46,755 32,955 32,955 32,355 -1.82% 603 FISCAL AGENT FEES 550 550 2,233 550 550 550 0.00% 701 MISCELLANEOUS 0 0 0 0 0 0 0.00% 720 TRANSFERS OUT 0 0 0 0 0 22,266 0.00% TOTAL CAPITAL OUTLAY $153,365 $151,690 $428,910 $48,505 $48,505 $70,171 44.67% TOTAL EXPENDITURES $153,365 $151,690 $428,910 $48,505 $48,505 $70,171 44,67% FUND BALANCE - JANUARY 1 $354,849 $321,647 $303,362 ($19,258)' ($19,258) ($22,945) EXCESS REVENUE OVER EXPE14WURES ($33,202) ($18,285) ($322,620) $61,722 ($3,687) $30,013 FUND BALANCE-DECEMBER 31 $321,647 $303,362 ($19,258) $42,464 ($22,945) $7,068-83.36% 2004 IMPROVEMENT BOND FUND DEPARTMENT: 2004 Improvement Bond SUPERVISOR: Finance Officer FUND #: 302 ACTIVITY #: 4700 ACTIVITY SCOPE: The 2004 Improvement Bond was issued to pay for the construction costs of the Scheuneman Road sanitary sewer and roadway reconstruction project. OBJECTIVES: None as this debt was retired in 2013. MEASURABLE WORKLOAD DATA 2012 ACTUAL Bond Principal Retired $60,452 Bond Interest Paid $10,190 Special Assessments Collected $77,360 DEBT PAYMENT SCHEDULE: JAN.1 DEBT YEAR DUE OUTSTANDING Debt was retired in 2013 BUDGET COMMENTARY: 2013 2014 2015 ACTUAL ACTUAL ESTIMATE $229,922 $0 $0 $7,932 $0 $0 $70,628 $38,929 $38,609 PRINCIPAL DUE INTEREST DUE This fund will receive its revenue from special assessments collected from benefited properties and an operating transfer to remove the negative fund balance. 40 BUDGET: REVENUE BUDGET 11/19/2013 11/18/2014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE SPECIAL ASSESSMENTS 36101 SPECIAL ASSESSMENTS -CURRENT $32,642 $48,750 $40,345 $38,609 $14,154 $27,830 -27.92% 36102 SPECIAL ASSESSMENTS - DELINQUENT 89 11,651 0 0 0 0 0.00% 36103 PENALTIES & INTEREST 8,261 1,939 190 0 19 0 0.00% 36104 SPECIAL ASSESSMENTS - PREPAID/SNR 3,534 15,020 30,093 0 10,602 0 0.00% TOTAL FINES & FORFETS $44,526 $77,360 $70,628 $38,609 $24,775 $27,830 -27.92% MISCELLANEOUS 36210 INTEREST EARNINGS 1,131 1,236 (2,229) 1,062 (661) 11 -98.96% 39100 BOND PROCEEDS 0 0 0 0 0 0 0.00% 39200 TRANSFERS IN 0 0 0 0 0 6,103 0.00% TOTAL MISCELLANEOUS $1,131 $1.236 ($2,229) $1,062 ($661) $6,114 475.71% TOTAL REVENUES $45,657 $78,596 $63,399 $39,671 $24,114 $33,944-14.44% CAPITAL OUTLAY 600 BONDPRINCIPAL $58,276 $60,452 $229,922 $0 $0 $0 0.00% 610 BOND INTEREST 12,366 10,190 7,932 0 0 0 0.00% 620 FISCAL AGENT FEES 0 0 788 0 0 0 0.00% 720 TRANSFERS OUT 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $70,642 $70,642 $238,642 $0 $0 $0 0.00% TOTAL EXPENDITURES $70,642 $70,642 $238,642 $0 $0 $0 0.00% FUND BALANCE- JANUARY 1 $131,866 $106,881 $114,835 ($55,408)1 ($55,408) ($31,294) EXCESS REVENUE OVER EXPENDRlXRES ($24,985) $7,954 ($170,243) $39,671 $24,114 $33,944 FUND BALANCE -DECEMBER 31 $106,881 $114,835 ($55,408) ($15,737) ($31,294) $2,650-116.84% 41 2007 CAPITAL IMPROVEMENT PLAN BOND FUND DEPARTMENT: 2007 Capital Improvement Plan Bond SUPERVISOR: Finance Officer FUND #: 304 ACTIVITY #: 4700 ACTIVITY SCOPE: The 2007 Capital Improvement Plan Bonds were issued to finance the construction of Heritage Hall. OBJECTIVES: Pay debt payments on a timely basis as scheduled. MEASURABLE WORKLOAD DATA: 2012 2013 2014 2015 ACTUAL ACTUAL ACTUAL ESTIMATE Bond Principal Retired $15,000 $15,000 $15,000 $15,000 Bond Interest Paid $34,155 $33,555 $32,955 $32,355 Property Tax Levy Collected $48,988 $52,277 $47,250 $50,000 DEBT PAYMENT SCHEDULE: JAN. 1 DEBT YEAR DUE OUTSTANDING PRINCIPAL DUE INTEREST DUE 2015 $760,000.00 $15,000.00 $32,355.00 2016 $745,000.00 $15,000.00 $31,755.00 2017 $730,000.00 $50,000.00 $30,430.00 2018 $680,000.00 $50,000.00 $28,380.00 2019 $630,000.00 $55,000.00 $26,213.75 2020 $575,000.00 $55,000.00 $23,931.25 2021 $520,000.00 $55,000.00 $21,621.25 2022 $465,000.00 $60.000.00 $19,177.50 2023 $405,000.00 $60,000.00 $16,597.50 2024 $345,000.00 $65,000.00 $13,878.75 2025 $280,000.00 $65,000.00 $11,035.00 2026 $215,000.00 $70,000.00 $8,065.00 2027 $145,000.00 $70,000.00 $4,950.00 2028 $75,000.00 $75,000.00 $1,687.50 42 BUDGET COMMENTARY: This fund will receive its revenue from a property tax levy. Annual debt service payments are the only expenditures budgeted in this fund. BUDGET: REVENUE BUDGET 11/1912013 11/18/2014 AOCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE PROPERTY TAXES 31001 CURRENTTAXES $46,965 $44,786 $49,389 $50,100 $23,152 $49,500 -1.20% 31002 DELINQUENT TAXES (359) 3,197 2,377 0 510 0 0,00% 31003 FISCAL DISPARITIES TAXES 519 3.779 531 200 436 500 150.00% 31004 PENALTIES & INTEREST (47) (2,774) (20) 0 0 0 0.00% TOTAL FINES & FORFEITS $47.078 $48,988 $52,277 $50,300 $24,098 $50,000 -0.60% MSCELLANEOUS 362101NIFRESTEARNINGS 696 935 53 755 621 891 18.01% 39100 BOND PROCEEDS 0 0 0 0 0 0 0.00% 39200 TRANSFERS IN 0 0 0 0 0 0 0,000/0 TOTAL MSCELLANEOUS $696 $935 $53 $755 $621 $891 18.01% TOTAL REVENUES $47,774 $49,923 $52,330 $51,055 $24,719 $50,891 -0.32% CAPITAL OUTLAY 600 BOND PRINCIPAL $15,000 $15,000 $15,000 $15,000 $15,000 $15,000 0.00% 610 BOND INTEREST 34,755 34,155 33,555 32,955 32,955 32,355 -1.82% 620 FISCAL AGENT FEES 550 550 550 550 550 550 0,00% 720 TRANSFERS OUT 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUT -AY $50,305 $49,705 $49,105 $48,505 $48,505 $47,905 -1.24% TOTAL EXPENDITURES $50,305 $49,705 $49,105 $48,505 $48,505 $47.905 -1.24% FUND BALANCE -JANUARY1 $83,511 $80,980 $81,198 $84,423' $84,423 $60,637 EXCESS REVENUE OVER EXPENDITURES ($2,531) $218 $3,225 $2,550 ($23,786) $2,986 FUNDBALANCE-DE-CE.ABER31 $80,980 $81,198 $84,423 $86,973 $60,637 $63,623-26,85% 43 2006 IMPROVEMENT BOND FUND DEPARTMENT: 2006 Improvement Bond SUPERVISOR: Finance Officer FUND #: 303 ACTIVITY #: 4700 ACTIVITY SCOPE: The 2006 Improvement Bonds were issued to finance road improvements on Big Fox Road, Little Fox Lane, Haven Lane, and Tessier Road. OBJECTIVES: None as this bond was retired in 2013. MEASURABLE WORKLOAD DATA 2012 ACTUAL Bond Principal Retired $25,000 Bond Interest Paid $6,343 Special Assessments Collected $18,009 DEBT PAYMENT SCHEDULE: JAN. 1 DEBT YEAR DUE OUTSTANDING Debt was retired in 2013 BUDGET COMMENTARY: 2013 ACTUAL $135,000 $5,268 $20,056 2014 2015 ACTUAL ESTIMATE $0 $0 $0 $0 $15,880 PRINCIPAL DUE $15,290 INTEREST DUE This fund will receive its revenue from special assessments levied against benefiting properties. The only expenditures are for a possible transfer to other bond funds to remove negative fund balances and to fund the City's share of possible matching grant funds. 44 BUDGET: REVENUE BUDGET 1111912013 1111812014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACOOUNTDESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE 36101 SPECIAL ASSESSMENTS - CURRENT $21,054 $18,433 $17,242 $18,046 $6,554 $15.290 -15.27% 36102 SPECIAL ASSESSMENTS - DELINQUENT 481 (462) 0 0 0 0 0.00% 36103 PENALTIES& INTEREST 7,314 38 43 0 0 0 0.00% 36104 SPECIAL ASSESSMENTS - PREPAID/SNR 0 0 2,771 0 2,772 0 0.00% TOTAL FINES 8 FORFEITS $28,849 $18,009 $20,056 $18,046 $9,326 $15,290 -15.27% MISCELLANEOUS 36210 INTEREST EARNINGS 1,417 1,897 (1,631) 1,455 33 59 -95.95% 39100 BOND PROCEEDS 0 0 0 0 0 0 0.00% 39200 TRANSFERS IN 0 0 0 0 0 0 0.00% TOTAL MISCELLANEOUS $1,417 $1,897 ($1,631) $1,455 $33 $59 -95.95% TOTAL REVENUES $30,266 $19,906 $18,425 $19,501 $9,359 $15,349-21.29% EXPENDITURE BUDGET CAPITAL OUTLAY 600 BOPDPRINGPAL $25,000 $25,000 $135,000 $0 $0 $0 0.00% 610 BOND INnREST 7,418 6,343 5,268 0 0 0 0.00% 620 FISCALAGENTFEES 0 0 895 0 0 0 0.00% 720 TRANSFERS OUT 0 0 0 0 0 22,266 000% TOTAL CAPITAL OUTLAY $32,418 $31,343 $141,163 $0 $0 $22,266 0.00% TOTAL EXPENDITURES FUND BALANCE- JANUARY 1 EXCESS REVENUEOVER EXPENDITURES 31 $32,418 $31,343 $141,163 $0 $0 $22,266 0.00% $139,472 $137,320 $125,883 $3,145 $3,145 $12,504 ($2,152) ($11,437) ($122,738) $19.501 $9.359 ($6.917 45 THIS PAGE INTENTIONALLY LEFT BLANK T CAPITAL IMPROVEMENT FUNDS 47 CAPITAL IMPROVEMENT FUNDS DESCRIPTION: The Capital Improvement Funds pay the construction costs of the City's infrastructure improvements. Capital improvement funds use the modified accrual basis of accounting; however, the cash basis of accounting will be used for budgetary purposes only. The cash basis is used for budgeting to ensure that sufficient cash will be available to make all required payments. OBJECTIVES: Construct and replace the City's infrastructure on a timely basis, as scheduled or as needed. MEASURABLE WORKLOAD DATA: See the individual funds for their service levels. BUDGET COMMENTARY: See the individual funds for budget explanations. 48 BUDGET: REVENUE BUDGET 11119/2013 11118/2014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE SPECIAL ASSESSMENTS 36101 SPECIAL ASSESSMENTS 13,529 15,335 16,760 17,282 7,445 0 -100.00% 36102 DELINQUENT SPECIA L ASSESSMENTS 2,167 0 6,004 0 0 0 0.00% 36103 PENALTIES B INTEREST 1,851 144 1,542 0 0 0 0.00% 36104 SPECIAL ASSESSMENTS - PREPAID/SNR 0 0 0 0 0 0 0.00% TOTAL SPECIAL ASSESSMENTS $17,547 $15,479 $23,306 $17,282 $7,445 $0 -100.00% MISCELLANBDUS 362101NTERESTFARNINGS ($557) $1,967 $1,286 $1,550 $1,529 $2,205 42.26% 36200 MISCELLANEOUS 0 r 0 1 0 1 0 r 0 i 0 0.00% 39100 BOND PROCEDS 0 0 0 0 0 0 0.00% 39200 TRANSFERS IN 50,000 50,000 0 0 0 0 0.00% TOTAL MSCELLANEOUS $49,443 $51,967 $1,286 $1.550 $1,529 $2.205 42.26% TOTAL REVENUES $66.990 $67,446 $24,592 $18,832 $8,974 $2,205-68.29% EXPENDITURE BUDGET OTHER SERVICES & CHARGES 302 E14GNEEJNG FEES 0 1,375 10.637 0 66,221 60,000 0.00% 304 LEGAL FEES 0 0 0 0 0 10,000 0.00% 335 ARCHITECT FEES 0 0 0 0 0 0 0.00% 308 OTHER PROFESSIONAL SERVICE 0 0 0 0 0 0 0.00% 309 MISCELLANEOUS 0 0 0 0 0 0 0.00% 310 CONFERENCE REGISRATIONS 0 0 0 0 0 0 0.00% 333 MEETING PREPARATION 0 0 0 0 0 0 0.00% 351 LEGAL NOTICE PUBICATIONS 0 0 0 0 0 500 0,00% 610 INTEREST 0 0 0 0 0 0 0.00% 620 FISCAL AGENT FEES 0 0 0 0 0 0 0.00% TOTAL OTHER SERVICES & CHARGES $0 $1,375 $10,637 $0 $66,221 $70,500 0.00% CAPITAL OUTLAY 531 OTHER IMPROVEMENTS 0 0 0 0 0 0 0.00% 520 BUILDING CONSTRUCTION 0 0 0 0 0 0 0.00% 720 OPERATING TRANSFERS 0 0 0 0 0 0 0,00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL EXPENDITURES $0 $1,375 $10,637 $0 $66,221 $70,500 0,00% FUND BALANCE- JANUARY 1 ($45,822) $21.168 $87,239 $101.194 $101,194 $43,947 EXCESS REVENUEOVER EXPENDITURES $66.990 $66,071 $13,955 $18.832 ($57,247) ($68,295) FUND BALANCE-DECEMBER 31 $21,168 $87.239 $101,194 $120,026 $43,947 ($24,348)-120.29% 49 IMPROVEMENTFUND DEPARTMENT: Improvement Construction SUPERVISOR: City Engineer FUND #: 401 ACTIVITY #: 4800 ACTIVITY SCOPE: The Improvement Fund was established for current and future improvement projects within the City. OBJECTIVES: None. MEASURABLE WORKLOAD DATA: 2012 2013 2014 2015 ACTUAL ACTUAL ACTUAL ESTIMATED Since this fund was closed out there is no measurable workload data. BUDGET COMMENTARY: The major revenue source in the past was transfers of excess funds from the General Fund to help finance future building improvements and to set funds aside for possible emerald ash bore tree replacement/treatments. Currently there are no improvement expenditures budgeted for 2015. 50 BUDGET: REVENUE BUDGET ACCT. # ACCOUNT DESCRIPTION 2011 ACTUAL 2012 ACTUAL 2013 ACTUAL 11/19/2013 2014 ADOPTED 11/24/14 ACTUAL 11/18/2014 2015 ADOPTED % CHANGE MISCELLANEOUS 36210 INTEREST EARNINGS $37 $2,624 $296 $1,760 $1,521 $2,059 16.99% 36200 MISCELLANEOUS 0 0 0 0 0 0 0.00% 39100 BOND PROCEEDS 0 0 0 0 0 0 0.00% 39200 TRANSFERS IN 0 Road Irprovernents 40,000 40,000 0 0 0 0 0.00% EAB TreatmnURevention 10,000 10,000 0 0 0 0 0.00% Building Inprovenents/Replacement 20,000 10,000 0 0 0 0 0.00% Future Improvements 0 0 0 0 0 0 0.00% TOTAL MISCELLANEOUS $70,037 $62,624 $296 $1,760 $1,521 $2,059 18.99% TOTAL REVENUES $70.037 $62,624 $296 $1,760 $1,521 $2,059 16.99% OTHER SERVICES & CHARGES 302 ENGINEERING FEES 0 1,375 1,902 0 0 0 O.DO% 304 LEGAL FEES 0 0 0 0 0 0 0.00% TOTAL OTHER SERVICES &CHARGES $0 $1,375 $1,902 $0 $0 $0 O.DO% CAPITAL OUTLAY 531 OTHER IMPROVEMENTS 0 0 0 0 0 0 0.00% WATER IMPROVEMENTS 0 0 0 8,900 0 0 -100.00% 720 OPERATING TRANSFERS 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $8.900 $0 $0 -10D.00% TOTAL EXPENDITURES $0 $1,375 $1,902 $8,900 $0 $0-100.00% FUND BALANCE- JANUARY 1 $0 $70,037 $131.286 $129,680' $129,680 $131,201 EXCESS REVENUE OVER EXPENDITURES $70.037 $61,249 ($1,606) ($7,140) $1.521 $2,059 FUND BALANCE-DECEMBER 31 $70.037 $131,286 $129,680 $122,540 $131,201 $133,260 8.75% 51 SCHEUNEMAN ROAD IMPROVEMENT FUND DEPARTMENT: Scheuneman Road Improvement SUPERVISOR: City Engineer FUND #: 403 ACTIVITY #: 4800 ACTIVITY SCOPE: The Scheuneman Road Improvement fund recorded bond proceeds and sewer improvement and road resurfacing costs on Scheuneman Road. OBJECTIVES: None. MEASURABLE WORKLOAD DATA: 2012 2013 2014 2015 ACTUAL ACTUAL ACTUAL ESTIMATED No service levels have been established for this fund. BUDGET COMMENTARY: Revenue sources include special assessments to benefitting properties. Expenditures were for infrastructure improvements which included the installation of sanitary sewer and resurfacing/reconstructing the road way. W-4 BUDGET: REVENUE BUDGET 1111912013 11/1812014 ACCT. 2013 2013 2013 2015 11/24/14 2015 % # ACCOUNT DESCRIPTION ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE SPECIAL ASSESSMENTS 36101 SPECIAL ASSESSMENTS - CURRENT 13,529 15,335 15,760 17,282 7,445 0 -100.00% 36102 SPECIAL ASSESSMENTS - DELINQUENT 2,167 0 6,004 0 0 0 0.00% 36103 PENIAL71ES&INTEREST 1,851 144 1,542 0 0 0 0.00% 36104 SPEDINLASSESSMENTS- PREPAID/SNR 0 0 0 0 0 0 0.00% TOTAL SPECIAL ASSESSMENTS $17,547 $15,479 $23,306 $17,282 $7,445 $0 -100.00% MISCELLANEOUS 36210 INTEREST EARNINGS ($907) ($1,089) $1,016 ($555) ($126) ($61) -89.01% 36200 MISCELLANEOUS 0 0 0 0 0 0 0.00% 39100 BOND PROCEEDS 0 0 0 0 0 0 0.00% 39200 TRANSFERS IN 0 0 0 0 0 0 0.00% TOTAL MISCELLANEOUS ($907) ($1,089) $1,016 ($555) ($126) ($61) -89,01% TOTAL REVENUES $16,640 $14,390 $24,322 $16,727 $7,319 ($61)-100.36% OTHER SERVICES & CHARGES 302 ENGINEERING FEES 0 0 0 0 0 0 0.00% 304 LEGAL FEES 0 0 0 0 0 0 0.00% TOTAL OTHER SERVICES & CHARGES $0 $0 $0 $0 $0 $0 0.00% CAPITAL OUTLAY 531 OTHER IMPROVEMENTS 0 0 0 0 0 0 0.00% 720 OPERATING TRANSFERS 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL D(PE4DITURES $0 $0 $0 $0 $0 $0 0.00% FUND BALANCE- JANUARY 1 ($71,025) ($54,385) ($39,995) ($15,673) ($15,673) ($8,354) EXCESS REVENUE OVER EXPENDITURES $16,640 $14,390 $24,322 $16,727 $7,319 ($61) FUND BALANCE-DECEdBER 31 ($54,385) ($39,995) ($15,673) $1.054 ($8,354) ($8,415)-898,39% FUTUREIMPACTS: This fund has a deficit balance that will be eliminated over time as special assessments are collected. 53 HOFFMAN ROAD IMPROVEMENT FUND DEPARTMENT: Hoffman Road Improvement SUPERVISOR: City Engineer FUND #: 404 ACTIVITY #: 4800 ACTIVITY SCOPE: The Hoffman Road Improvement Fund is used to provide the City's share of future road improvements/maintenance on Hoffman Road. OBJECTIVES: Improve and maintain Hoffman Road on timely basis. MEASURABLE WORKLOAD DATA: 2012 2013 2014 2015 ACTUAL ACTUAL ACTUAL ESTIMATED No service levels have been established for this fund. BUDGET COMMENTARY: Currently the only revenue source is interest earnings on the cash balance of this fund. No improvements or maintenance is planned for 2015, which results in no expenditures being budgeted. 54 BUDGET: REVENUE BUDGEr ACCT. # ACCOUNT DESCRIPTION 2013 ACTUAL 2013 ACTUAL 2013 ACTUAL 11/19/2013 2015 ADOPTED 11/24/14 ACTUAL 11/18/2014 2015 ADOPTED % CHANGE MISCELLANEOUS 36210 INTEREST EARNINGS $313 $432 ($26) $345 $134 $207 -40.00% 36200 MISCELLANEOUS 0 0 0 0 0 0 0.00% 39100 BOND PROCEEDS 0 0 0 0 0 0 0.00% 39200 TRANSFERS IN 0 0 0 0 0 0 0.00% TOTAL MISCELLANEOUS $313 $432 ($26) $345 $134 $207 -40.00% TOTAL REVENUES $313 $432 ($26) $345 $134 $207-40.00% EXPENDITURE BUDGET OTHER SERVICES & CHARGES 302 ENGINEERING FEES 0 0 8.735 0 66,221 0 0.00% 304 LEGAL FEES 0 0 0 0 0 0 0.00% 385 ROWMAINTETIANCE 0 0 0 0 0 0 0.00% TOTAL OTHER SERVICES & CHARGES $0 $0 $8,735 $0 $66,221 $0 0.00% CAPITAL OUTLAY 531 OTHER IMPROVEMENTS 0 0 0 0 0 0 0.00% 720 OPERATING TRANSFERS 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL EXPENDITURES $0 $0 $8,735 $0 $66,221 $0 0.00°A FUND BALANCE- JANUARY 1 $25,203 $25,516 $25,948 $17.187 ' $17,187 ($48,900) EXCESS REVENUE OVER EXPENDITURES $313 $432 ($8,761) $345 ($66,087) $207 FUND BALANCE -DECE BER 31 $25.516 $25,948 $17,187 $17,532 ($48,900) ($48.693)-377.74% FUTURE IMPACTS: Future impacts would be the cost of the improvements/maintenance on Hoffman Road. 55 2015 IMPROVEMENT FUND DEPARTMENT: 2016 Road Improvement SUPERVISOR: City Engineer FUND #: 405 ACTIVITY #: 4800 ACTIVITY SCOPE: The 2015 Improvement Fund is used to provide the cost of improvements in the City's commercial district. Most of the cost of any possible project will be in 2016 but engineering design, feasibility studies and other miscellaneous work will begin in 2015. OBJECTIVES: Improve and maintain Hoffman Road on timely basis. MEASURABLE WORKLOAD DATA: 2012 2013 2014 2015 ACTUAL ACTUAL ACTUAL ESTIMATED No service levels have been established for this fund. BUDGET COMMENTARY: Currently the only revenue source is interest earnings on the cash balance of this fund. Engineering and legal costs associated with improvements in and around the City's commercial district. 56 BUDGET: REVENUEBUDGEf AOCT. # ACCOUNT DESCRIPTION 2013 ACTUAL 2013 ACTUAL 2013 ACTUAL 11/19/2013 2015 ADOPTED 11/24/14 ACTUAL 11/18/2014 2015 ADOPTED % CHANGE MISCELLANEOUS 36210 INTEREST EARNINGS $0 $0 $0 $0 $0 $0 0.00% 36200. MISCELLANBDUS 0 0 0 0 0 0 0.00% 39100 BOND PROCEEDS 0 0 0 0 0 0 0.00% 39200 TRANSFERS IN 0 0 0 0 0 0 0.00% TOTAL MISCELLANEOUS $0 $0 $0 $0 $0 $0 0.00% TOTAL REVENUES $0 $0 $0 $0 $0 $0 0.00% OTHER SERVICES & CHARGES 302 ENGINEERING FEES 0 0 0 0 0 60,000 0.00% 304 LEGAL FEES 0 0 0 0 0 10,000 0.00% 308 ADMINISTRATION 0 0 0 0 0 0 0.00% 309 MISCELLANEDUS 0 0 0 0 0 0 0.00% 310 CONFERENCE REGGRATIONS 0 0 0 0 0 0 0.00% 333 MEETING PREPARATION 0 0 0 0 0 0 0,00% 335 ARCHITECT FEES 0 0 0 0 0 0 0.00% 351 LEGAL NOTICE PUBICATIONS 0 0 0 0 0 500 0.00% 610 INTEREST 0 0 0 0 0 0 0.00% 620 FISCALAGENTFEES 0 0 0 0 0 0 0.00% TOTAL OTHER SERVICES& CHARGES $0 $0 $0 $0 $0 $70,500 0.00% CAPITAL OUTLAY 531 OTHER IMPROVEMINTS 0 0 0 0 0 0 0.00% 720 OPERATING TRANSFERS 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL E(PENDITURES $0 $0 $0 $0 $0 $70,500 0.00% FUND BALANCE-JANUARY 1 $0 $0 $0 $0 $0 $0 EXCESS REVENUEOVER EXPENDRURES $0 $0 $0 $0 $0 ($70,500) FUND BALANCE-DECEdBER 31 $0 $0 $0 $0 $0 ($70,500) 0.00% 57 THIS PAGE INTENTIONALLY LEFT BLANK ENTERPRISE FUNDS 59 SEWER OPERATING FUND ENTERPRISE FUNDS ACTIVITY SCOPE: The Sewer Operating Fund is the only Enterprise Fund the City has. It is responsible for the maintenance of all lift stations and sanitary sewer lines in the City. The Sewer Operating Fund is self-sustaining from revenues derived from utility charges. OBJECTIVES: 1. Keep all lift stations and sewer lines functioning safely and efficiently. MEASURABLE WORKLOAD DATA: 2012 2013 2014 2015 ACTUAL ACTUAL ACTUAL ESTIMATED Gals of Sewage Treated (Millions) 7.00 9.10 10.15 10.25 Miles of Sewer Lines Service Connections BUDGET COMMENTARY: The main revenue source is sewer revenues, which are based on the number of sewer connections, past sewer usage and sewer rate. Sewer charges are estimated to generate revenues of $42,000 and no rate increase was used to estimate 2015 revenues. Interest income is another revenue source and is based on estimated interest earning. On the expense side, supplies budgets for 2015 were left at 2014 expense levels based on past costs. The largest expense within Other Services and Charges are the M.C.E.S. Charges for sewer treatment. These charges are based on actual sewer flows and sewer treatment costs charged by the M.C.E.S. The City's flows have increased over the past year and the cost of treating waste water has also increased. For 2015 the M.C.E.S. Charges have increased 8.56% to $21,156. The City also annually budgets to flush (clean) sewer lines to prevent sewer backups. For 2015 $8,000 is budgeted to flush sewer lines. M BUDGET: REVENUE BUDGET 11/1912013 11/18/2014 ACCT. 2011 2012 2013 2014 11/24/14 2015 % # ACCOUNT DESCRIF00N ACTUAL ACTUAL ACTUAL ADOPTED ACTUAL ADOPTED CHANGE CHARGES FOR SERVCIES 34410 LOCAL SAC CHARGES $0 $7,070 $6,052 $0 $4,000 $0 0.00% 34500 SEWER REVENUES - RESIDENTIAL 9,632 11,481 11.144 10,000 9.675 11,000 10,00% 34600 SEWER REVENUES - COMMERCIAL 34,400 34,400 31,232 32,000 23,937 31,000 -3.13% 34640 CERTIFIED SEWER REVENUES 3,397 0 1,006 0 0 0 0.00% 34650 PENALTIES & INTEREST 2,351 4,187 2.852 2,000 2.236 2,000 0.00% TOTAL CHARGES FOR SERVICES 49,780 57,138 52,286 44,000 39,848 44.000 0.00% SPECIAL ASSESSMENTS 36101 SPECIAL ASSESSMENTS 0 0 0 0 0 0 0.00% 36102 DELINQUENT SPECIAL ASSESSMENTS 0 0 0 0 0 0 0.00% 36103 PENALTIES & INTEREST 0 0 0 0 0 0 0.00% TOTAL SPECIAL ASSESSMENTS $0 $0 $0 $0 $0 $0 0,00% MSCELANEOUS 36200 MISCELANEOUS 0 0 0 0 0 0 0.00% 36210 INTEREST INCOME 3,658 5,478 1,491 4,555 4,423 5,943 30.47% 39200 OPERATING TRANSFERS 0 0 0 0 0 0 0.00% TOTAL MISCELLANEOUS $3.650 $5,478 $1,491 $4.555 $4,423 $5.943 30.47% TOTAL REVENUES $53.438 $62,616 $53,777 $48.555 $44,271 $49,943 ' 2.86% SUPPLIES 201 OFFICE SUPPLIES 253 359 49 500 419 500 0.00% 210 OPERATING SUPPLIES 0 0 0 0 0 0 0.00% 212 POSTAGE 0 167 159 200 131 200 0.00% 250 SALES TAX 0 0 0 0 0 0 0,00% TOTAL SUPPLIES $253 $526 $208 $700 $550 $700 0.00% OTHER SERVICES & CHARGES 301 AUDITING& ACCOUNTING SERVICES 2,000 2,080 2,341 2,450 2,450 2,525 3,06% 302 ENGINEERING FEES 0 1.478 6,020 2.500 0 5,000 100.00% 318 MC.ES. CHARGES 16,773 13.234 16,090 19,488 21,948 21,156 8.56% 319 LOCATES 407 635 591 600 481 600 0.00% 329 FINANCIAL SERVICE 3,291 1.431 4,692 4,000 1,430 4,500 12.50% 334 COMPUTER SERVICES 538 554 572 500 363 500 0.00% 400 REPAIR/ MAINTENANCE 0 45 1,500 4,000 30 4.000 0.00% 420 DEPRECIATION 12.457 12.457 12,457 12,500 0 12,500 0.00% 433 DUES & SUBSCRIPTIONS 0 0 0 0 0 0 0.00% 460 SEWER INSPECTIONS 0 0 0 0 0 0 0.00% 461 SEWER FLUSHING 0 5,023 0 8,000 0 8,000 0,00% TOTAL OTHER SERVICES & CHARGES $35,466 $36,937 $44.263 $54.038 $26,702 $58,701 8,78% CAPITAL OUTLAY 540 HEAVY MACHINERY/EQUIPMENT 0 0 0 0 0 0 0,00% 530 OTHER EQUIPMENT & IMPROVEMENTS 0 0 0 0 0 0 0.00% 720 OPERATING TRANSFERS 0 0 0 0 0 0 0.00% TOTAL CAPITAL OUTLAY $0 $0 $0 $0 $0 $0 0.00% TOTAL EXPENDITURE BUDGET $35.719 $37,463 $44,471 $54,738 $27,252 $59.481' 8.66% FUND BALANCE- JANUARY 1 $302.315 $332.491 $370.101 $391,864 ' $391,864 $408,883 EXCESS REVENUE OVER EXPENDITURES $17,719 $25,153 $9.306 ($6,183) $17,019 ($9,538) DEDUCT INFRASTRUCTION ADDTIONS $0 $0 $0 $0 $0 $0 ADD BACK DEPRECIATION $12,457 $12,457 $12.457 $12,500 $0 $12,500 FUND BALANCE - DECEMBER 31 $332.491 $370.101 $391,864 $398,181 $408,883 $411.845 3.43% 61 THIS PAGE INTENTIONALLY LEFT BLANK WA APPENDIX 63 SUMMARY OF TAX LEVIES, PAYMENT PROVISIONS, AND MINNESOTA REAL PROPERTY VALUATION The following is a summary of certain statutory provisions effective beginning 2011 relative to tax levy procedures, tax payment and credit procedures, and the mechanics of real property valuation. The summary does not purport to be inclusive of all such provisions or of the specific provisions discussed, and is qualified by reference to the complete text of applicable statutes, rules and regulations of the State of Minnesota. Property Valuations (Chapter 273, Minnesota Statutes) Assessor's Estimated Market Value Each parcel of real property subject to taxation must, by statute, be appraised at least once every five years as of January 2 of the year of appraisal. With certain exceptions, all property is valued at its market value, which is the value the assessor determines to be the price the property to be fairly worth, and which is referred to as the "Estimated Market Value." Taxable Market Value The Taxable Market Value is the value that property taxes are based on, after all reductions, limitations, exemptions and deferrals. It is also the value used to calculate a municipality's legal debt limit. Indicated Market Value The Indicated Market Value is determined by dividing the Taxable Market Value of a given year by the same year's sales ratio determined by the State Department of Revenue. The Indicated Market Value serves to eliminate disparities between individual assessors and equalize property values statewide. Net Tax Caoaci The Net Tax Capacity is the value upon which net taxes are levied, extended and collected. The Net Tax Capacity is computed by applying the class rate percentages specific to each type of property classification against the Taxable Market Value. Class rate percentages vary depending on the type of property as shown on the 101 page of the Appendix. The formulas and class rates for converting Taxable Market Value to Net Tax Capacity represent a basic element of the State's property tax relief system and are subject to annual revisions by the State Legislature. Property taxes are determined by multiplying the Net Tax Capacity by the tax capacity rate, plus multiplying the referendum market value by the market value rate. Property Tax Payments and Delinquencies (Chapters 275, 276, 277, 279-282 and 549, Minnesota Statutes) Ad valorem property taxes levied by local governments in Minnesota are extended and collected by the various counties within the State. Each taxing jurisdiction is required to certify the annual tax levy to the county auditor within five (5) working days after December 20 of the year proceeding the collection year. A listing of property taxes due is prepared by the county auditor and turned over to the county treasurer on or before the first business day in March. The county treasurer is responsible for collecting all property taxes within the county. Real estate 64 and personal property tax statements are mailed out by March 31. One-half (1/2) of the taxes on real property is due on or before May 15. The remainder is due on or before October 15. Real property taxes not paid by their due date are assessed a penalty which, depending on the type of property, increases from 2% to 4% on the day after the due date. In the case of the first installment of real property taxes due May 15, the penalty increases to 4% or 8% on June 1. Thereafter, an additional 1 % penalty shall accrue each month through October 1 of the collection year for unpaid real property taxes. In the case of the second installment of real property taxes due October 15, the penalty increases to 6% or 8% on November 1 and increases again to 8% or 12% on December 1. Personal property taxes remaining unpaid on May 16 are deemed to be delinquent and a penalty of 8% attaches to the unpaid tax. However, personal property owned by a tax-exempt entity, but which is treated as taxable by virtue of a lease agreement, is subject to the same delinquent property tax penalties as real property. On the first business day of January of the year following collection all delinquencies are subject to an additional 2% penalty, and those delinquencies outstanding as of February 15 are filed for a tax lien judgment with the district court. By March 20 the county auditor files a publication of legal action and a mailing notice of action to delinquent parties. Those property interests not responding to this notice have judgment entered for the amount of the delinquency and associated penalties. The amount of the judgment is subject to a variable interest determined annually by the Department of Revenue, and equal to the adjusted prime rate charged by banks, but in no event is the rate less than 10% or more than 14%. Property owners subject to a tax lien judgment generally have five years (5) in the case of all property located outside of cities or in the case of residential homestead, agricultural homestead and seasonal residential recreational property located within cities or three (3) years with respect to other types of property to redeem the property. After expiration of the redemption period, unredeemed properties are declared tax forfeit with title held in trust by the State of Minnesota for the respective taxing districts. The county auditor, or equivalent thereof, then sells those properties not claimed for a public purpose at auction. The net proceeds of the sale are first dedicated to the satisfaction of outstanding special assessments on the parcel, with any remaining balance in most cases being divided on the following basis: county - 40%; Township or city - 20%; and school district - 40%. Property Tax Credits (Chapter 273, Minnesota Statutes) In addition to adjusting the taxable value for various property types, primary elements of Minnesota's property tax relief system are: property tax levy reduction aids; the renter's credit, which relates property taxes to income and provides relief on a sliding income scale; and targeted tax relief, which is aimed primarily at easing the effect of significant tax increases. The circuit breaker credit and targeted credits are reimbursed to the taxpayer upon application by the taxpayer. Property tax levy reduction aid includes educational aids, local governmental aid, equalization aid, county program aid and disparity reduction aid. Debt Limitations All Minnesota municipalities (county, cities, townships and school districts) are subject to statutory "net debt" limitations under the provisions of Minnesota Statutes, Section 475.53. Net debt is defined as the amount remaining after deducting from gross debt the amount of current revenues which are applicable within the current fiscal year to the payment of any debt and the aggregation of the principal of the following: Obligations issued for improvements which are payable wholly or partially from the proceeds of special assessments levied upon benefited property. 65 2. Warrants or orders having no definite or fixed maturity. 3. Obligations payable wholly from the income from revenue producing conveniences. 4. Obligations issued to create or maintain a permanent improvement revolving fund. 5. Obligations issued for the acquisition and betterment of public waterworks systems and public lighting, heating or power systems, and any combination thereof, or for any other public convenience from which revenue is or may be derived. 6. Certain debt service loans and capital loans made to school districts. 7. Certain obligations to repay loans. 8. Obligations specifically excluded under the provision of law authorizing their issuance. 9. Certain obligations to pay pension fund liabilities. 10. Debt service funds for the payment of principal and interest on obligations other than those described above. Levies for General Obligation Debt (Sections 475.61 and 475.74, Minnesota Statutes) Any municipality which issues general obligation debt must, at the time of issuance, certify levies to the county auditor of the county(ies) within which the municipality is situated. Such levies shall be in an amount that if collected in full will, together with estimates of other revenues pledged for payment of the obligations, produce at least five percent in excess of the amount needed to pay principal and interest when due. Notwithstanding any other limitations upon the ability of a taxing unit to levy taxes, its ability to levy taxes for a deficiency in prior levies for payment of general obligation indebtedness is without limitation as to rate or amount. Metropolitan Revenue Distribution (Chapter473F, Minnesota Statutes) "Fiscal Disparities Law" The Charles R. Weaver Metropolitan Revenue Distribution Act, more commonly know as "Fiscal Disparities" was first implemented for taxes payable in 1975. Forty percent of the increase in commercial -industrial (including public utility and railroad) net tax capacity valuation since 1971 in each assessment district in the Minneapolis/St. Paul seven -county metropolitan area (Anoka, Carver, Dakota, excluding the City of Northfield, Hennepin, Ramsey, Scott, excluding the City of New Prague, and Washington Counties) is contributed to an area -wide tax base. A distribution index, based on the factors of population and real property market value per capita, is employed in determining what proportion of the net tax capacity value in the area -wide tax base shall be distributed back to each assessment district. M STATUTORY FORMULAE CONVERSION OF ESTIMATED MARKET VALUE (EMV) TO NET TAX CAPACITY FOR MAJOR PROPERTY CLASSIFICATIONS General 2001 Net Tax Capacity Classification Est. Mkt. Value % of EMV RESIDENTIAL Homestead First $76,000 1.00% Over $76,000 1.65% Non -Homestead First $76,000 1.20% Over $76,000 1.65% AGRICULTURAL LAND: Homestead First $115,000 0.35% $115,0004600,000 0.80% Over $600,000 1.20% Non -Homestead 100% of EMV 1.00% COMMERCIAL / INDUSTRIAL First $150,000 2.40% Over $150,000 3.40% 2002-2014 Net Tax Capacity Est. Mkt. Value % of EMV First $500,000 1.00% Over $500,000 1.25% First $500,000 1.00% Over $500,000 1.25% First $600,000 0.55% Over $600,000 1.00% 100% of EMV 1.00% First $150,000 1,50% Over $150,000 2,00% CITY PROPERTY TAXES (no change in ESTIMATED market value) $2.000 $1.942 $1,800 $1,600 $1.507 1,543 57,569 1. 1,47 S1, $1,400 ,.279 55i 234 S, 14?71 1.180 + '+ $1200 S1,172 + $1,000 $973 995 9025491+1 4 ♦� $837 ♦♦ 0 ♦♦ $800 711 $645 $665 ♦ + • 617 5625 * + + e $800 5502 ++ + ; $400 307$346S335 5357 ♦s ♦♦ ♦ ♦� +♦ ♦ ♦♦ e +♦ ♦ + $200 ♦ ♦ ♦ ♦. $0 ♦ ♦♦ ♦ +i $150,0001$126,260 $250,000/$235,260 $350,000/$344,260 $450,000f$450,000 $550,0007$550,000 TAXABLE MARKET VALUE MACTUAL2010 DACTUAL2011 DACTUAL2012 PACTUAL2013 DACTUAL2014 •PROPOSED2015 67 CITY PROPERTY TAXES (6.6% Increase In ESTIMATED market value) $2,000 $1.842 $1 800 $1,543 $1,600 51.507 S1234 148551 $1.469 $1,400 1,28 $1172 12151160 $1.192 4. $tzao o, 04 4 $1,000 $945 $944 5902 $906 $ail f♦ $792 4 ♦.'? $800 755617 S645 S617 44 44 4 $600 $502 i4 538 io is ii f+ S405 4 i $400 ® 53075321$2835328 ♦+ ♦♦ ♦4 i ii O $140,712 $234.520 $328,328 $422.136 $515,944 TAXABLE MARKET VALUE oACTUAL 2010 oACTUAL 2011 oACTUAL 2012 oACTUAL 2013 mACTUAL 2014 aPROPOSED 2015 CITY OF GEM LAKE PROPERTY TAX CHANGES 11/18/2014 2012 2013 2014 2015 Final Levy Final Levy Final Levy Final Levy GENRALLEVY 222,172 204,242 180,119 204,655 DEBT LEVY: GENERAL DEBT LEVY 0 0 0 0 CAPITAL IMPROV. PLAN BONDS 51,300 50,700 50,100 49,500 2015 IMPROVEMENT BONDS 0 0 TOTAL DEBT LEVY 51,300 50,700 50,100 49,500 TOTAL PROPERTY TAX LEVY 273,472 254,942 230,219 254,155 LESS: FISCAL DISPARITIES 5,549 4,636 5,394 5,944 NET PROPERTY TAXES 267,923 250,306 224,825 248,211 %CHANGE -16.34% -31.30%' -10.18% 10.40% TAXCAPACITY 1,022,048 912,518 846,800 878,661 TAXRATE 26.214% 27.430% 26.550% 28.249% MEDIAN VALUE HOME 247,000 228,100 200,800 214,000 TAX CAPACITY 2,470 2,281 2,008 2,140 CITY TAXES $647.49 $625.68 $533.12 $604.52 68 CITY OF GEM LAKE, MN City Hall - 4200 Otter Lake Road Gem Lake, MN 55110 RESOLUTION NO.2014-23 18 NOVEMBER 2014 A RESOLUTION ADOPTING THE FINAL GENERAL FUND BUDGET AND FINAL AMOUNT TO BE RAISED BY PROPERTY TAXATION FOR THE YEAR 2015 WHEREAS, the City Treasurer has presented a TOTAL (Proposed) Budget of $596,734.00 which includes a General Tax Levy of $204,655.00 and a Debt Tax Levy of $49,500.00 for fiscal and calendar year 2015 based upon best estimates of costs for running the City of Gem Lake in 2015: and WHEREAS, the City Council did review, on November 18, 2014, the TOTAL Budget and Tax Levy for 2015 including all revisions thereto as of the date first written. NOW, THEREFORE BE IT RESOLVED, that the City Council of the City of Gem Lake does formally adopt the 2015 Final General Fund Budget of $331,932.00 and the Final Property Tax Levy of $254,155.00 which includes a General Tax Levy of $204,655.00 and a Debt Levy of $49,500.00 for 2015 as prepared by the City Treasurer and amended by the City Council; BE IT FURTHER RESOLVED that the City Clerk is charged with Certifying said Tax and Debt Levy to Ramsey County Property Taxation and other government bodies for whom this information is required. The foregoing Resolution was offered by Councilor Artig-Swomley and was supported by Councilor Lindner and was declared adopted based upon the following vote: NAME UZPEN BOSAK LINDNER I KUNY ARTIG- SWOMLEY vote I Y I Y Y I Y L Y Attest 1, WILLIAM F. SHORT, the duly qualified City Clerk for the City of Gem Lake, County of Ramsey, State of Minnesota, do hereby certify that the foregoing Resolution is a true and accurate representation of action taken my the City Council of the City of Gem Lake on the date first written. Look for us on the World Wide Web at gemlakenm.org m GLOSSARY OF TERMS ACCOUNT: A term used to identify an individual asset, liability, expenditure control, revenue control, or fund balance. ACCOUNTS PAYABLE: Amounts owed to others for goods or services received. ACCOUNTS RECEIVABLE: Amounts due from others for goods furnished or services rendered. ACCOUNTING SYSTEM: The total set of records and procedures which are used to record, classify and report information on financial status and operations of an entity. ACCRUAL BASIS OF ACCOUNTING: The method of accounting under which revenues are recorded when they are earned and expenditures are recorded when goods and services are received. ACTIVITY: A specific and distinguishable line of work performed by one or more organizational components of a governmental unit for the purpose of accomplishing a function for which the governmental unit is responsible. For example "Code Enforcement is an activity performed in the discharge of the "Public Safety" function. ADOPTION: The formal action taken by the Town Board to authorize or approve the budget. AD VALOREM: In proportion to value. A basis for levying taxes upon property. AGENCY FUND: A fund consisting of resources received and held by the governmental unit as an agent for others or other funds of the governmental unit. APPROPRIATION: An authorization granted by a legislative body to make expenditures and to incur obligations for specific purposes. An appropriation is limited in amount to the time it may be expended. ASSESSED VALUATION: Value placed upon real estate or other property as a basis for levying taxes. ASSESSMENTS: Charges made to parties for actual services or benefits received. ASSETS: Property owned by a governmental unit, which has a monetary value. AUDIT: The examination of documents, records, reports, systems of internal control, accounting and financial procedures, and other evidence for one or more of the following purposes: (a) To ascertain whether the statements prepared from the accounts present fairly the financial position and the results of financial operations of the constituent funds and balanced account groups of the governmental unit in accordance with generally accepted accounting principals applicable to governmental units and on a basis consistent with that of the preceding year. (b) To determine the propriety, legality and mathematical accuracy of a governmental unit's financial transactions. (c) To ascertain whether all financial transactions have been properly recorded. (d) To ascertain the stewardship of public officials who handle and are responsible for the financial resources of a governmental unit. 70 BALANCED BUDGET: A budget in which estimated revenues, including operating transfers from other funds equals estimated expenditures, including operating transfers to other funds. A balanced budget would have no effect on fund balance/fund equity. The Township's policies require the General Fund budget to be balanced. BOND: A written promise, generally under seal, to pay a specified sum of money, called the face value or principal amount, at a fixed time in the future, called the date of maturity, and carrying interest at a fixed rate, usually payable periodically. BONDED INDEBTEDNESS: Outstanding debt by issues of bonds, which are repaid by ad valorem or other revenue. BUDGET: A plan of financial operation embodying an estimate of proposed expenditures for a given period and the proposed means of financing them. BUDGET DOCUMENT: The official written statement prepared by the ClerklTreasurer and Finance Officer of the Township which presents the proposed budget to the Town Board. BUDGET BODY MESSAGE: A general discussion of the proposed budget presented in writing as a part of the budget document. The budget message explains principal budget issues against the background of financial experience in recent years and presents recommendations made by the Clerk/Treasurer. BUDGET CALENDAR: The schedule of key dates, which a government follows in the preparation and adoption of the budget. BUDGETARY CONTROL: The control or management of a governmental unit or enterprise in accordance with an approved budget for the purpose of keeping expenditures within the limitation of available appropriations and available revenues. CAPITAL ASSETS: Assets with a value of $1,000 or more and a useful life of 3 years or longer. CAPITAL EXPENDITURE: Assets with an initial, individual cost of more than $1,000 and an estimated useful life in excess of three years. CAPITAL IMPROVEMENT BUDGET: A plan of proposed capital expenditures and a means of financing them. The capital budget is enacted as part of the complete annual budget. CAPITAL PROGRAM: A plan for capital expenditures to be incurred each year over a fixed period of years to meet capital needs arising from the long-term work program or otherwise. It sets forth each project or other contemplated expenditure in which the government is to have a part and specifies the full resources estimated to be available to finance the projected expenditures. CAPITAL PROJECTS FUNDS: To account for financial resources to be used for the acquisition or construction of major capital facilities. CASH BASIS: The method of accounting under which revenues are recorded when received in cash and expenditures are recorded when paid. CERTIFIED LEVY: Total tax levy of a jurisdiction, which is certified to the County Auditor. CHARGES FOR SERVICES: Charges for current services rendered. 71 CHART OF ACCOUNTS: The classification system used by a government entity to organize the accounting for various funds. CONSUMER PRICE INDEX (CPI): A statistical description of price levels provided by the U.S. Department of Labor. The index is used as a measure of the increase in the cost of living (i.e., economic inflation). CONTINGENCY: Budget for expenditures which cannot be placed in departmental budgets, primarily due to uncertainty about the level or timing of expenditures when the budget is adopted. The contingency also serves as a hedge against shortfalls in revenues or unexpected expenditures. CURRENT: A term which, applied to budgeting and accounting, designates the operations of the present fiscal period as opposed to past or future periods. DEBT: An obligation resulting from the borrowing of money or from the purchase of goods and services. DEBT LIMIT: The maximum amount of gross or net debt, which is legally permitted. DEBT MARGIN: The amount of available debt, which may be issued by a governmental unit before reaching its debt limit. DEBT SERVICE FUNDS: To account for the accumulation of resources for payment of general long-term debt. DEPARTMENT: Basic organizational unit of government, responsible for carrying out related functions. DEPRECIATION: Expiration in the service life of capital assets attributable to wear and tear, deterioration, action of the physical elements, inadequacy or obsolescence. DISTINGUISHED BUDGET PRESENTATION AWARDS PROGRAM: A voluntary awards program administered by the Government Finance Officers Association to encourage governments to prepare effective budget documents. EFFECTIVE BUYING INCOME (EBI): A statistical measure of buying power of an area or group of individuals. ENTERPRISE FUNDS: To account for operations that are financed and operated in a manner similar to a private business enterprises, where the intent of the governing body is that the cost of providing services are to be recovered primarily on a user -charge basis to the general public. 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: Where accounts are kept on the accrual or modified accrual basis of accounting, the cost of goods received or services rendered whether cash payment have been made or not. Where accounts are kept on a cash basis, expenditures are recognized only when the cash payments for the above purposes are made. FINES: Revenues from penalties imposed for violation of laws or regulations. 72 FISCAL DISPARITIES: A Minnesota law enacted in 1975 which provides for the pooling of 40 percent of all new commercial and industrial property valuation in the seven county metropolitan area and then redistributed to taxing jurisdictions according to specific criteria. FISCAL POLICY: A government's policies with respect to revenues, spending, and debt management as these relate to government services, programs and capital investment. Fiscal Policy provides an agreed -upon set of principles for the planning and programming of budgets and their funding. FISCAL YEAR: The budget and accounting year that begins on the first day of January and ends on the last day of December of each year. FIXED ASSETS: Assets of a long-term character which are intended to continue to be held or used, such as land, buildings, machinery, furniture, and other equipment. FULL TIME EQUIVALENT (FTE): The number of employee hours (2,080) needed to be equal to one full time employee. Several part time employees may be combined to make one full time equivalent. FUNCTION: A group of related activities aimed at accomplishing a major service or regulatory program for which the government unit is responsible. FUND: An independent fiscal and accounting entity with a self -balancing set of accounts recording cash and/or other resources together with all related liabilities, obligations, reserves, and equities which are segregated for the purpose of carrying on specific activities or attaining certain objectives. FUND BALANCE: The difference between fund's assets and fund liabilities (the equity) in governmental funds. FUND BALANCE — ASSIGNED: Segregation of a portion of fund balance to indicate the government's intent to use the resources for specific purposes where the specific purposes are identified by either the government's highest level of decision -making authority or a body or official that has been delegated the authority to do so by the governing body. FUND BALANCE — COMMITTED: Segregation of a portion of fund balance that represents resources whose use is subject to a legally binding constraint that is imposed by the government itself at its highest level of decision -making authority and that remains legally binding unless removed in the same manner. FUND BALANCE — NONSPENDABLE: Segregation of a portion of fund balance to indicate that the amount cannot be spent because the resources are not in spendable form, such as inventories or prepaid items. FUND BALANCE — RESTRICTED: Segregation of a portion of fund balance that represents resources whose use is subject to externally enforceable constraints. FUND BALANCE — UNASSIGNED: The difference between the total fund balance in a governmental fund and its nonspendable, restricted, committed, and assigned components. Only the general fund may report positive amounts of unassigned fund balance. GENERAL FUND: Accounts for the general operation of the Township and all financial resources except those to be accounted for in another fund. 73 GENERAL GOVERNMENT: Expenditures, which represents a set of accounts, to which are charged the expenditures for operating the Township. GENERAL OBLIGATION BONDS: When a government pledges its full faith and credit to the repayment of the bonds it issues, than those bonds are general obligation (GO) bonds. GOAL: A statement of broad direction, purpose or intent based on the need of a community. A goal is general and timeless; that is, it is not concerned with a specific achievement in a given period. GOVERNMENTAL ACCOUNTING: The composite of analyzing, recording, summarizing, reporting, and interpreting the financial transactions of governmental units and agencies. GOVERNMENTAL FUND TYPES: Funds used to account for the acquisition, use and balances of expendable financial resources and the related current liabilities - except those accounted for in proprietary funds and fiduciary funds. In essence, these funds are accounting segregation of financial resources. Under current GAAP, there are four governmental fund types: general, special revenue, debt service and capital projects. GRANT: A contribution of assets by one governmental unit or other organization to another. Grants are usually made for specified purposes. HOMESTEAD AND AGRICULTURAL CREDIT (HACA): A form of state paid property tax relief for farm property and owner occupied homes. IMPROVEMENT BONDS: Bonds payable from the proceeds of special assessments from properties benefiting from an improvement. IMPROVEMENTS: Buildings, other structures, and other attachments or annexations to land which are intended to remain so attached or annexed, such as sidewalks, trees, drains, and sewers. INFLOW/INFILTRATION (1/1): The term used to describe clean water entering into the sanitary sewer system. INTERFUND TRANSFERS: Amounts transferred from one fund to another. INFRASTRUCTURE: Assets which are immovable and of value only to the governmental unit (i.e. roads, gutters, sewer lines). INTERGOVERNMENTAL REVENUES: Revenues from other governments in the form of grants, entitlement, or shared revenues. INVESTMENTS: Securities held for the production of income in the form of interest. LEVY: (Verb) To impose taxes, special assessments, or service charges for the support of governmental activities. (Noun) The total amount of taxes special assessments, or service charges imposed by a governmental unit. LICENSES: Revenues received from the sale of business and non -business licenses. LIMITED MARKET VALUE: The amount the market value of a property can increase from one year to the next for calculating property taxes. The limited market value system was phased -out by the State of Minnesota. 74 LINE ITEM: A specific item or group of similar items defined by detail in a unique account in the financial records. LOCAL GOVERNMENT AID (LGA): Intergovernmental revenue from the state to municipalities to help fund general expenditures. LONG-TERM DEBT: Debt with a maturity of more than one year after the date of issuance. MAINTENANCE: The upkeep of physical properties in condition for use or occupancy MARKET VALUE EXCLUSION (MVE): A portion of a property's market value that is not included in the property tax calculation based on a formula set by the State of Minnesota. This exclusion reduces the taxable market value. MARKET VALUE HOMESTEAD CREDIT (MVHC): State paid property tax reduction on owner occupied homes based on the properties market value. MISCELLANEOUS: Revenues or expenditures not classified in any other revenue or expenditure category. MODIFIED ACCRUAL BASIS: The basis of accounting under which expenditures other than accrued interest on general long-term debt are recorded at the time liabilities are incurred and revenues are recorded when received in cash except for material and/or available revenues, which should be accrued to reflect properly the tax levied and revenue earned. NET POSITION —GENERAL GOVERNMENT: The difference between general government asset and liability accounts reported in the government -wide financial statements. OBJECT OF EXPENDITURE: Expenditure classifications based upon the types or categories of goods and services purchased. OBJECTIVE: Desired output oriented accomplishments, which can be measured and achieved within a given time frame. OPERATING BUDGET: A plan of financial operation embodying an estimate of proposed expenditures for the calendar year and the proposed means of financing them. OPERATING EXPENSE: The cost for personnel, material and equipment required for a department to function. OPERATING REVENUE: Funds that the government receives as income to pay for ongoing operations. Operating revenues are used to pay for day-to-day services. OPERATING TRANSFERS: Amounts transferred from one fund to another, shown as expenditure in the originating fund and revenue in the receiving fund. ORDINANCE: A formal legislative enactment by the Town Board. PAY-AS-YOU-GO BASIS: A term used to describe a financial policy by which capital outlays are financed from current revenues rather than through borrowing. 75 PERFORMANCE MEASURE: See Service Levels. PERSONAL SERVICES: Expenditures for salaries, wages, and fringe benefits of employees. PROGRAM: A group of related activities performed by one or more organizational units for the purpose of accomplishing a function for which the governmental unit is responsible. PROJECT: A plan of work, job assignment, or task. PROPRIETARY ACCOUNTS: Those accounts which show actual financial position and operation, such as actual assets, liabilities, reserves, fund balances, revenues, and expenditures, as distinguished from budgetary accounts. PUBLIC SAFETY: To account for expenditures related to the protection of persons and property. PUBLIC WORKS: To account for expenditures for the maintenance of Township property and infrastructure. PURPOSE: A broad statement of the goals, in terms of meeting public service needs, that a department is organized to meet. REFUNDING BONDS: Bonds issued to retire bonds already outstanding. REIMBURSEMENT: Cash or other assets received as a repayment of the cost of work or services performed or of other expenditures made for or on behalf of another governmental unit or department or for an individual, firm, or corporation. RESERVE: An account which records a portion of the fund balance which must be segregated for some future use and which is, therefore, not available for further appropriation or expenditure. RESOLUTION: A special or temporary order of a legislative body; an order of a legislative body requiring less legal formality than an ordinance or statute. RESOURCES: The actual assets of a governmental unit, such as cash, plus contingent assets such as estimated revenues applying to the current fiscal year not accrued or collected, and bonds authorized and not issued. REVENUE: The term designates an increase to a fund's assets which: 1) does not increase a liability; 2) does not represent a repayment of an expenditure already made; 3) does not represent a cancellation of certain liabilities; and 4) does not represent an increase in contributed capital. REVENUE BOND: A bond that is backed by a particular revenue source such as water user fees. SERVICE LEVELS: Data to determine how effective or efficient a program is in achieving its objective. SPECIAL ASSESSMENT: A compulsory levy made by a local government against certain properties to defray part or all of the cost of a specific improvement or service which is presumed to be of general benefit to the public and of special benefit to such properties. SPECIAL REVENUE FUND: To account for revenue derived from specific revenue sources that are legally restricted for specific purposes. 76 SY: Abbreviation for square yard, which is how sealcoating and street overlay projects are measured TAXABLE MARKET VALUE: That portion of a property's market value that is used to calculate property taxes. TAX CAPACITY: An amount determined by a percentage of a property's market value, which is than applied to the tax rates of taxing jurisdictions affecting the property to determine the amount of property taxes owed. The current tax rates and property classifications can be found on page 135. 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: Rate at which estimated market values are converted into the property tax base. The classification rates are assigned to properties depending on their type (residential, commercial, farm, etc.) and, in some cases there are two tiers of classification rates, with the rate increasing as the estimated market values increases. TAX INCREMENT FINANCING (TIF): 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 LEVY: The total amount to be raised by general property taxes for the purpose stated in the resolution certified to the county auditor. TAX RATE: The amount applied to tax capacity to determine the taxes generated by the property. TAXES: Compulsory charges levied by a governmental unit for the purpose of financing services performed for the common benefit. TRUST AND AGENCY FUNDS: Funds used to account for assets held by a government in a trust capacity or as an agent for individuals, private organizations, other governments and/or other funds. TRUST FUND: A fund consisting of resources received and held by the governmental unit as trustee, to be expended or invested in accordance with the conditions of the trust. UNBALANCED BUDGET: A budget which undesignated fund balance or reserves are used in order to balance estimated revenues to estimated expenditures or expenses. UNRESERVED FUND BALANCE: The portion of a fund's balance that is not restricted for a specific purpose and is available for general appropriation. USER FEES: The payment of a charge for direct receipt of a public service by the party benefiting from the service. WORKLOAD INDICATOR: A unit of work to be done. 77 ACRONYMS ACS Animal Control Services CAFR Comprehensive Annual Financial Report CD Certificate of Deposit CIP Capital Improvement Plan CID Commercial Paper CPI Consumer Price Index HACA Homestead and Agricultural Credit Aid EBI Effective Buying Income EDA Economic Development Authority EMV Estimated Market Value FHLB Federal Home Loan Bank FNMA Federal National Mortgage Association FTE Full Time Equivalent GAAP Generally Accepted Accounting Principals GASB Governmental Accounting Standards Board GFOA Government Finance Officer's Association GO General Obligation Ill Inflow/infiltration LGA Local Government Aid MCES Metropolitan Council Environmental Services MVE Market Value Exclusion MVHC Market Value Homestead Credit SAC Sewer Availability Charge SY Square Yard TIF Tax Increment Financing TVA Tennessee Valley Authority VLAWMO Vadnais Lake Area Water Management Organization WAC Water Availability Charge WBLCD White Bear Lake Conservation District 78