CC_Minutes_2008_0811 - Laserfiche WebLink

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In 2008, the City has experienced significant increases in energy and fuel-related costs. In addition, capital replacements and other service inputs increased at or above projected inflation levels. The 2009 recommended budget reflects an additional increase in energy and fuel costs. For employees, the City must continue to offer not only cost-of-living wage adjustments, but also merit-pay increases for those employees that have demonstrated increased skill, expertise, and the ability to create value for Roseville citizens. We must also continue to provide comprehensive healthcare coverage in a manner that shares benefits and costs between the City and the employee. To adequately preserve current programs and services levels, the City must accommodate the following additional budget impacts: Item Amount * Cost of living wage adjustments (3.5%) $ 155,000 * Employee wage step increases 97,000 * Employee healthcare increases (10%) 230,000 * State PERA mandated increases 65,000 Park System Master Plan 100,000 Motor fuel /energy costs 90,000 Legal, Elections, Dispatch, etc. 67,000 Information systems replacement 40,000 Total $ 844,000 '~ Net Increase. Some monies from 2008 Budget have be reprogrammed In addition, in an effort to preserve existing programs and services, the recommended budget relies on the Public Safety exception to the 3.9% levy limit (which funds increases to the Public Safety wage and benefits) and freezes virtually all other expenditures to the 2008 level, bringing the total new spending obligations to $844,000. Concurrent with the recommendation of the 2009 budget to preserve existing services and service levels, it is recommended that the City immediately embark on the preparation of a biennial outcome based budget for FY 2010 & 2011 that will examine all services provided and prioritize those services. To the extent funding is not available, the City would reduce or eliminate services or service levels rather than diminish core services through limited operational and/or capital appropriations. With this approach, the City will position itself to: fund it's core services long term; to better cope with the future constraints of the three year legislated levy limits; and to fund long term capital needs. Imagine Roseville 2025 Vision In 2008, the Council prioritized which goals and strategies to pursue for 2008 and beyond, and we set aside funds for this purpose. Given the limited available funding in 2009, it is recommended that a minimal amount of $16,000 be allocated for this project. The remaining unfunded priority, the Parks Master Plan, is appropriated $100,000 for completion in 2009.