HomeMy WebLinkAbout10-26-2010 Council Work Session Packet ✓��C.c.�e�
Council Work Session
Tuesday, October 26, 2010, 6:30 p.m.
Orono City Council Chambers
AGENDA
1. 2011 Budget Discussion—Jessica Loftus/Ron Olson(60 minutes)
2. Closed Session—2011 Union Negotiations—Jessica Loflus/Ron Olson (15 minutes)
3. Comments Regarding Information Updates—Lin Vee (5 minutes)
4. Other Issues of Current Interest
Previous Work Session Topics
October 12, 2010—Cancelled
September 28,2010
o City Logo Update
o Surface Water Management Plan(SWMP)
o Conservation Easements for City Property
o Comments Regarding Information Updates
o Other Issues of Current Interest
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MEMORANDUM
To: Mayor and Council
From: Ron Olson, Finance Director
Subject: Enterprise Fund Budgets
Date: October 22,2010
Water Fund•
As illustrated by the attached chart for the Water Fund, the fund is operating at a loss. Non-
Operating revenues (Tower Leases, Special Assessments, Interest), generally offset the operating
loss and result in a positive income statement. In most years,the operating loss is less than the
amount of depreciation for the year. In the past, the City has not been attempting to completely
fund the depreciation. During this year's audit presentation, our auditors commented on the fact
that the fund is operating at a loss.
The expenditure budget presented with this memo proposes a increase of 2.26% over the 2009
budget. The significant increases are in chemicals and the administrative charge. We have
limited ability to control chemical costs. The Administrative Fee (which is revenue to the
General Fund) is being increased to be in line with what we charge the other utility funds. The
Maintenance and Repairs line item is budgeted higher than 2010's actual. This is to fund the
final year of the project to replace manual read meters with radio read meters. When completed
this will save the time required to read meters and should result in increased revenue because old
water meters will under register usage.
The revenue budget as presented is based on a 5.5%rate increase. This is the amount identified
in the recently completed rate study as being necessary for the long term funding of the utility.
The budget also assumes an increase in water usage to normal levels. In 2010 operating
revenues decreased as the result of a decrease in water usage. Variations in water usage from
year to year are not unusual.
In addition to the operating expenditures, capital expenditures in the amount of$430,000 are
being planned for 2011. These include $30,000 in pump maintenance and $400,000 for the
rehabilitation of an Ion Exchanger. The 2011 capital expenditures will be paid for using funds
available from the Water Fund. A list of upcoming capital needs is included with this memo. It
is likely that bonding will be required in the future.
Staff would like the Council's input into the rate increase and capital purchases for 2011.
Enterprise Fund Budgets
October 22, 2010
Page 2
Sewer Fund:
Like the Water Fund, the Sewer Fund has been operating at a loss, but non-operating revenues
have offset the operating loss. In 2010 it is estimated that the fund will show a small operating
profit. This is the result of lower than budget wages and a significant decrease in maintenance
during the year.
The 2011 expenditure budget is increasing by $49,300 (4.32%). The increase is primarily due to
an increase in waste water charges from the Metropolitan Council Environmental Services
(MCES) in the amount of$53,400 (12%). Many cities around Lake Minnetonka are
experiencing increases from the MCES. This is an indication that we still have a significant
amount of I&I in the system.
The revenue budget is set to increase by 4% for 2011; this is in line with the rate study. Because
most of our sewer accounts are billed a flat rate, sewer revenues are not impacted by changes in
usage.
Capital expenditures in the amount of$370,000 are being planned. They include upgrading two
lift stations ($65,000), adding a generator ($35,000), and a rehab project in South Orono
($270,000). These expenditures will be paid for by funds currently in the Sewer Fund.
Staff would like the Council's input into the rate increase and capital purchases for 2011.
Storm Water:
A line item Storm Water budget has not been prepared. Significant expenditures in this are all
capital projects. A copy of the SWPPP projects is attached to this memo. They total over
$2,000,000 between now and 2020. The current fund balance is approximately $400,000 with
annual revenues of$125,000. In order to pay for the scheduled projects without bonding, the
rate study calls for annual rate increases of 10%.
Staff would like the Council's input into the rate increase and capital purchases for 2011.
Golf:
The Golf Course has been operating at a loss for the last 10 years. The revenue increases in 2009
have not carried over into 2010. As a result the course is projected to lose $65,000 in 2010.
The 2011 expenditure budget will decrease by 10.33%. This is being accomplished by reducing
insurance charges to the fund, and by decreasing the administrative fee. Even with the decreases,
the course is budgeted to lose $22,115 in 2011. Because the funds cash balance has been used up
during the last decade, this loss will need to be covered by a transfer from the General Fund.
Enterprise Fund Budgets
October 22, 2010
Page 3
Wages and benefits account for 56% of the golf course budget. Further cuts to the non-wage
budget items will not be realistic. In addition, no equipment has been purchased in recent years.
Eventually we will need to replace equipment at the golf course.
It is likely that funding transfers from the General Fund will continue into the foreseeable future.
One alternative would be to move the golf course into the General Fund. This would allow the
course to be operated as if it were a park. It would no longer be subject to an administrative
charge, insurance costs would be paid out of Central Services, and there would be no transfer
required to cover losses. This idea has been discussed previously, but the change would increase
General Fund expenditures by over 3%. The current General Fund budget is being reduced by
an amount greater than the Golf Course budget. If the change is made in 2011, it can be done
without an overall increase to the General Fund budget.
Staff would like the Council's input into moving changing the accounting for the golf course
from an enterprise fund to a department within the General Fund.
.
City of Orono Budget Worksheet- Level 2 Page: 1 :
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
Water Operating Fund
Enterprise
Water
601-49400-101 Full-Time Employees Regular 80,391.34 97,120.00 50,852.94 85,950.00 85,950.00 11,170.00- -11.50%
601-49400-102 Full-Time Employees Overtime 14,130.95 10,000.00 7,380.81 10,000.00 10,000.00 .00 .00
601-49400-103 Part-Time Employees 5,180.57 .00 7,129.91 12,240.00 12,240.00 12,240.00 .00
601-49400-121 PERA 5,491.31 7,230.00 4,654.04 7,840.00 7,840.00 610.00 8.44°/a
601-49400-122 FICA 7,122.10 8,200.00 5,302.18 8,280.00 8,280.00 80.00 .98%
601-49400-135 City Benefit Contribution 3,108.68 10,080.00 11,271.85 10,890.00 10,890.00 810.00 8.04%
601-49400-143 OPEB Expense .00 .00 .00 1,000.00 1,000.00 1,000.00 .00
601-49400-151 Worker's Comp Insurance Pre 4,650.00 6,740.00 .00 6,810.00 6,810.00 70.00 1.04%
601-49400-201 Office supplies 389.34 500.00 .00 500.00 500.00 .00 .00
601-49400-208 Books& Periodicals .00 .00 .00 .00 .00 .00 .00
601-49400-212 Motor Fuels& Lubricants .00 1,000.00 .00 1,000.00 1,000.00 .00 .00
601-49400-216 Chemicals and Chem Products 32,371.24 30,000.00 20,786.38 40,000.00 40,000.00 10,000.00 33.33%
601-49400-221 Equipment Parts&Accessories 357.91 500.00 120.00 500.00 500.00 .00 .00
601-49400-222 Vehicle Equipment& Parts 16.01 250.00 169.98 250.00 250.00 .00 .00
601-49400-223 Bldg/Grounds Maint. Supplies 4.57 200.00 .00 200.00 200.00 .00 .00
601-49400-226 Clothing & personal equipment 48.02 800.00 3.73 800.00 800.00 .00 .00
601-49400-227 Utility System Maint. Supplies 38,225.06 100,000.00 16,775.34 100,000.00 100,000.00 .00 .00
City of Orono Budget Worksheet- Level 2 Page: 2
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
601-49400-240 Small Tools and Minor Equip 661.68 3,000.00 3,729.05 3,600.00 3,600.00 600.00 20.00%
601-49400-301 Auditing and Acct'g Services 3,500.00 3,500.00 .00 3,750.00 3,750.00 250.00 7.14%
601-49400-304 Engineering-Consulting 4,802.75 8,000.00 10,535.25 8,000.00 8,000.00 .00 .00
601-49400-307 Legal-Consulting 478.50 450.00 .00 450.00 450.00 .00 .00
601-49400-312 Bank Fees .00 .00 289.57 .00 .00 .00 .00
601-49400-319 Other Professional Services 6,619.70 500.00 .00 500.00 500.00 .00 .00
601-49400-321 Telephone 1,692.79 1,800.00 808.07 1,800.00 1,800.00 .00 .00
601-49400-322 Postage 283.50 350.00 354.47 350.00 350.00 .00 .00
601-49400-331 TravelExpenses .00 .00 .00 .00 .00 .00 .00
601-49400-340 General Advertising 364.65 500.00 .00 500.00 500.00 .00 .00
601-49400-352 Printing & Publishing .00 .00 .00 .00 .00 .00 .00
601-49400-361 General Liability Ins 10,670.83 9,850.00 .00 9,850.00 9,850.00 .00 .00
601-49400-362 Umbrella Liability Ins 1,202.50 1,110.00 .00 1,110.00 1,110.00 .00 .00
601-49400-366 Property Insurance 1,874.17 1,730.00 .00 1,730.00 1,730.00 .00 .00
601-49400-367 Equipment Floaters Ins 119.17 110.00 .00 110.00 110.00 .00 .00
601-49400-368 Automotive Insurance 379.17 350.00 .00 350.00 350.00 .00 .00
601-49400-370 Insurance Agent of Record 500.00 500.00 .00 .00 .00 500.00- -100.00%
601-49400-381 Gas& Electric 78,190.73 75,000.00 42,199.94 75,000.00 75,000.00 .00 .00
601-49400-382 Water Utilities .00 800.00 220.32 800.00 800.00 .00 .00
City of Orono Budget Worksheet- Level 2 Page: 3 .
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
601-49400-387 Intergovernmental Services 2,984.25 15,000.00 4,630.69 12,000.00 12,000.00 3,000.00- -20.00%
601-49400-401 Repairs/Maint-Office Equip 331.45 500.00 2,350.00 .00 .00 500.00- -100.00%
601-49400-402 Repairs/Maint-Auto Equip .00 500.00 463.09 500.00 500.00 .00 .00
601-49400-403 Repairs/Maint-Misc. Equip 13,018.20 10,000.00 540.83 10,000.00 10,000.00 .00 .00
601-49400-404 Repairs/Maint-Bldgs/Grounds 1,715.23 20,000.00 26.60 20,000.00 20,000.00 .00 .00
601-49400-405 Repairs/Maint-Watermains/plan 33,536.51 45,000.00 11,947.06 45,000.00 45,000.00 .00 .00
601-49400-409 Depreciation &Amortization 78,128.00 80,000.00 .00 80,000.00 80,000.00 .00 .00
601-49400-415 Other Equipment Rentals 217.00 200.00 413.00 200.00 200.00 .00 .00
601-49400-433 Memberships&Subscriptions 1,333.00 400.00 373.00 400.00 400.00 .00 .00
601-49400-437 Training & Development 1,804.85 2,500.00 2,192.34 2,500.00 2,500.00 .00 .00
601-49400-438 Administrative Charge 11,400.00 11,740.00 11,740.00 12,000.00 16,000.00 4,260.00 36.29%
601-49400-440 Special Equipment Replaceme 570.00 .00 .00 .00 .00 .00 .00
601-49400-441 Licenses&Taxes 5,663.10 1,000.00 686.50 1,000.00 1,000.00 .00 .00
601-49400-489 Other Miscellaneous Charges 3,464.94 4,000.00 1,664.29 4,000.00 4,000.00 .00 .00
601-49400-612 Other Long-Term Oblig Interest 9,504.00 7,670.00 .00 6,000.00 6,000.00 1,670.00- -21.77%
601-49400-720 Operating Transfers .00 .00 .00 .00 .00 .00 .00
Total Water. 466,497.77 578,680.00 219,611.23 587,760.00 591,760.00 13,080.00 2.26%
Net Total Water Operating Fund: .00 .00 .00 .00 .00 13,080.00 2.26%
City of Orono Budget Worksheet- Level 2 Page: 4
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
City of Orono Budget Worksheet- Levei 2 Page: 5 .
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
Sewer Operating Fund
Enterprise
Sewer
602-49450-101 Full-Time Employees Regular 143,742.30 145,000.00 84,785.46 146,200.00 146,200.00 1,200.00 .83%
602-49450-102 Full-Time Employees Overtime 21,011.97 12,000.00 12,199.74 12,000.00 12,000.00 .00 .00
602-49450-103 Part-Time Employees 5,180.57 12,120.00 7,129.91 12,240.00 12,240.00 120.00 .99%
602-49450-121 PERA 10,23321 11,420.00 7,300.24 12,360.00 12,360.00 940.00 8.23%
602-49450-122 FICA 11,854.77 12,940.00 8,259.48 13,040.00 13,040.00 100.00 .77%
602-49450-135 City Benefit Contribution 3,440.85 20,160.00 16,790.10 21,960.00 21,960.00 1,800.00 8.93%
602-49450-143 OPEB Expense 3,122.40 .00 .00 500.00 500.00 500.00 .00
602-49450-151 Worker's Comp Insurance Pre 9,640.00 11,190.00 .00 11,290.00 11,290.00 100.00 .89%
602-49450-201 Office supplies 313.63 500.00 100.00 500.00 500.00 .00 .00
602-49450-212 Motor Fuels& Lubricants 16.75 3,500.00 .00 3,500.00 3,500.00 .00 .00
602-49450-221 Equipment Parts&Accessories 999.78 1,500.00 408.84 1,500.00 1,500.00 .00 .00
602-49450-222 Vehicle Equipment& Parts 1,618.40 1,500.00 838.57 3,000.00 3,000.00 1,500.00 100.00%
602-49450-223 Bldg/Grounds Maint. Supplies 19.43 1,000.00 49.99 1,000.00 1,000.00 .00 .00
602-49450-226 Clothing & personal equipment 168.25 3,300.00 .00 3,300.00 3,300.00 .00 .00
602-49450-227 Utility System Maint. Supplies 4,823.99 3,000.00 5,559.06 3,000.00 3,000.00 .00 .00
602-49450-240 Small Tools and Minor Equip 742.41 2,500.00 3,973.34 3,100.00 3,100.00 600.00 24.00%
602-49450-301 Auditing and AccYg Services 4,150.00 4,700.00 .00 5,000.00 5,000.00 300.00 6.38%
City of Orono Budget Worksheet-�evel 2 Page: 6
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
602-49450-304 Engineering-Consulting 18,682.75 20,000.00 32,56227 25,000.00 25,000.00 5,000.00 25.00%
602-49450-307 Legal-Consulting 1,174.50 1,000.00 485.19 1,000.00 1,000.00 .00 .00
602-49450-312 Bank Fees .00 .00 289.55 .00 .00 .00 .00
602-49450-319 Other Professional Services 5,016.00 .00 .00 .00 .00 .00 .00
602-49450-321 Telephone 5,658.74 4,000.00 4,265.37 4,000.00 4,000.00 .00 .00
602-49450-322 Postage 1,614.96 1,200.00 422.82 1,200.00 1,200.00 .00 .00
602-49450-331 Travel Expenses .00 50.00 75.50 50.00 50.00 .00 .00
602-49450-340 General Advertising 497.22 300.00 162.67 300.00 300.00 .00 .00
602-49450-352 Printing & Publishing .00 100.00 .00 100.00 100.00 .00 .00
602-49450-361 General Liability Ins 4,495.83 4,150.00 .00 4,150.00 4,150.00 .00 .00
602-49450-362 Umbrella Liability Ins 2,080.00 1,920.00 .00 1,920.00 1,920.00 .00 .00
602-49450-366 Property Insurance 1,614.17 1,490.00 .00 1,490.00 1,490.00 .00 .00
602-49450-367 Equipment Floaters Ins 357.50 330.00 .00 330.00 330.00 .00 .00
602-49450-368 Automotive Insurance 1,040.00 960.00 .00 960.00 960.00 .00 .00
602-49450-370 Insurance Agent of Record 1,000.00 1,000.00 .00 .00 .00 1,000.00- -100.00%
602-49450-379 Insurance Deductibles .00 .00 .00 .00 .00 .00 .00
602-49450-381 Gas& Electric 43,898.43 30,000.00 25,007.55 40,000.00 40,000.00 10,000.00 33.33%
602-49450-382 Water Utilities .00 .00 .00 .00 .00 .00 .00
602-49450-383 MWCC-Current Charges 341,960.84 341,360.00 284,466.80 384,000.00 394,720.00 53,360.00 15.63%
City of Orono Budget Worksheet- Level 2 Page: 7 ,
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
602-49450-387 Intergovernmental Senrices 6,871.03 30,000.00 9,386.91 30,000.00 30,000.00 .00 .00
602-49450-401 Repairs/Maint-Office Equip 331.58 500.00 2,250.00 .00 .00 500.00- -100.00%
602-49450-402 Repairs/Maint-Auto Equip 4,643.35 1,500.00 1,807.40 1,500.00 1,500.00 .00 .00
602-49450-403 Repairs/Maint-Misc. Equip 6,405.07 5,000.00 1,575.27 5,000.00 5,000.00 .00 .00
602-49450-404 Repairs/Maint-Bldgs/Grounds .00 1,000.00 .00 1,000.00 1,000.00 .00 .00
602-49450-406 Repairs/Maint-Swr lines/lifts 91,530.82 65,000.00 44,439.14 65,000.00 65,000.00 .00 .00
602-49450-409 Depreciation &Amortization 235,194.00 240,000.00 .00 250,000.00 250,000.00 10,000.00 4.17%
602-49450-415 Other Equipment Rentals 2,638.90 3,000.00 1,288.00 3,000.00 3,000.00 .00 .00
602-49450-433 Memberships&Subscriptions 1,400.00 1,000.00 .00 1,000.00 1,000.00 .00 .00
602-49450-437 Training & Development 1,258.34 3,000.00 2,794.34 3,000.00 3,000.00 .00 .00
602-49450-438 Administrative Charge 30,800.00 31,720.00 31,720.00 32,000.00 32,000.00 280.00 .88%
602-49450-439 Meeting Expenses .00 .00 .00 .00 .00 .00 .00
602-49450-440 Special Equipment Replaceme 950.00 1,000.00 .00 1,000.00 1,000.00 .00 .00
602-49450-441 Licenses&Taxes 861.98 500.00 104.00 500.00 500.00 .00 .00
602-49450-443 Repairs/Maint-I&I Reduction 48,929.55 90,000.00 3,82324 55,000.00 55,000.00 35,000.00- -38.89°/a
602-49450-489 Other Miscellaneous Charges 2,973.41 3,500.00 1,609.76 3,500.00 3,500.00 .00 .00
602-49450-720 Operating Transfers 11,300.00 11,300.00 .00 11,300.00 11,300.00 .00 .00
Total Sewer: 1,096,257.68 1,142,210.00 595,930.51 1,180,790.00 1,191,510.00 49,300.00 4.32%
City of Orono Budget Worksheet-Level 2 Page: 8
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
Net Total Sewer Operating Fund: .00 .00 .00 .00 .00 49,300.00 4.32%
City of Orono Budget Worksheet- Level 2 Page: 9 ,
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
Golf Course
Enterprise
Golf Course
613-49830-101 Full-Time Employees Regular 61,920.15 60,610.00 44,984.54 61,220.00 61,220.00 610.00 1.01%
613-49830-103 Part-Time Employees 23,164.64 30,000.00 23,690.71 25,000.00 25,000.00 5,000.00- -16.67%
613-49830-104 Temporary Employees Regular 37.68 .00 .00 .00 .00 .00 .00
613-49830-121 PERA 3,479.94 4,090.00 3,584.29 4,440.00 4,440.00 350.00 8.56%
613-49830-122 FICA 5,132.94 5,070.00 4,235.15 5,120.00 5,120.00 50.00 .99%
613-49830-135 City Benefit Contribution 9,480.00 10,080.00 7,783.60 10,980.00 10,980.00 900.00 8.93%
613-49830-142 Unemployment Benefit Payme .00 .00 39.76 .00 .00 .00 .00
613-49830-143 OPEB Expense .00 .00 .00 .00 .00 .00 .00
613-49830-151 Worker's Comp Insurance Pre 1,270.00 1,350.00 .00 1,360.00 1,360.00 10.00 .74%
613-49830-201 Office supplies 483.97 500.00 33.22 500.00 500.00 .00 .00
613-49830-212 Motor Fuels& Lubricants 3,020.30 2,500.00 1,639.72 3,000.00 3,000.00 500.00 20.00%
613-49830-221 Equipment Parts 8�Accessories 1,376.85 1,300.00 1,207.01 1,300.00 1,300.00 .00 .00
613-49830-223 Bldg/Grounds Maint. Supplies 1,717.52 3,000.00 2,062.82 2,500.00 2,500.00 500.00- -16.67%
613-49830-226 Clothing &personal equipment 99.95 500.00 .00 125.00 125.00 375.00- -75.00%
613-49830-240 Small Tools and Minor Equip 11.14 300.00 79.06 200.00 200.00 100.00- -33.33%
613-49830-301 Auditing and Acct'g Services 3,200.00 3,200.00 .00 3,000.00 3,000.00 200.00- -6.25%
613-49830-304 Engineering-Consulting .00 .00 .00 .00 .00 .00 .00
City of Orono Budget Worksheet-Level 2 Page: 10
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
613-49830-307 Legal-Consulting .00 .00 .00 .00 .00 .00 .00
613-49830-319 Other Professional Services .00 .00 113.92 .00 .00 .00 .00
613-49830-321 Telephone 1,553.45 2,500.00 1,492.07 1,600.00 1,600.00 900.00- -36.00%
613-49830-322 Postage .00 50.00 .00 50.00 50.00 .00 .00
613-49830-331 Travel Expenses .00 .00 31.50 .00 .00 .00 .00
613-49830-340 General Advertising 2,492.87 4,000.00 3,308.44 2,500.00 2,500.00 1,500.00- -37.50%
613-49830-343 Other Advertising .00 .00 .00 .00 .00 .00 .00
613-49830-352 Printing & Publishing 6.84 500.00 .00 100.00 100.00 400.00- -80.00%
613-49830-361 General Liability Ins 13,487.50 12,450.00 .00 10,000.00 10,000.00 2,450.00- -19.68%
613-49830-362 Umbrella Liability Ins 3,791.67 3,500.00 .00 3,000.00 3,000.00 500.00- -14.29%
613-49830-365 Boiler&Machinery Ins 379.17 350.00 .00 300.00 300.00 50.00- -14.29%
613-49830-366 Property Insurance 2,502.50 2,310.00 .00 2,310.00 2,310.00 .00 .00
613-49830-367 Equipment Floaters Ins 314.17 290.00 .00 290.00 290.00 .00 .00
613-49830-368 Automotive Insurance 400.83 370.00 .00 370.00 370.00 .00 .00
613-49830-369 Dram Shop Insurance 2,246.33 1,600.00 563.00 560.00 560.00 1,040.00- -65.00%
613-49830-370 Insurance Agent of Record 400.00 400.00 .00 .00 .00 400.00- -100.00%
613-49830-379 Insurance Deductibles .00 .00 .00 .00 .00 .00 .00
613-49830-381 Gas& Electric 8,013.08 7,500.00 4,958.24 8,000.00 8,000.00 500.00 6.67%
613-49830-401 Repairs/Maint-Office Equip 89.45 100.00 624.00 100.00 100.00 .00 .00
City of Orono Budget Worksheet- Level 2 Page: 11 .
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
613-49830-402 Repairs/Maint-Auto Equip .00 500.00 .00 100.00 100.00 400.00- -80.00%
613-49830-403 Repairs/Maint-Misc. Equip 2,923.30 2,500.00 3,016.19 3,000.00 3,000.00 500.00 20.00%
613-49830-404 Repairs/Maint-Bldgs/Grounds 4,620.89 5,000.00 3,495.38 5,000.00 5,000.00 .00 .00
613-49830-409 Depreciation &Amortization 16,016.00 16,220.00 .00 16,000.00 16,000.00 220.00- -1.36%
613-49830-415 Other Equipment Rentals 7,783.74 9,000.00 5,916.85 7,500.00 7,500.00 1,500.00- -16.67%
613-49830-433 Memberships&Subscriptions 575.00 600.00 580.00 600.00 600.00 .00 .00
613-49830-437 Training & Development 275.00 400.00 385.00 400.00 400.00 .00 .00
613-49830-438 Administrative Charge 21,380.00 20,000.00 20,000.00 10,000.00 10,000.00 10,000.00- -50.00%
613-49830�40 Special Equipment Replaceme 560.00 580.00 .00 580.00 580.00 .00 .00
613-49830-441 Licenses&Taxes 459.50 500.00 221.50 500.00 500.00 .00 .00
613-49830-489 Other Miscellaneous Charges .00 400.00 .00 400.00 400.00 .00 .00
Total Golf Course: 204,666.37 214,120.00 134,045.97 192,005.00 192,005.00 22,115.00- -10.33%
City of Orono Budget Worksheet- Level 2 Page: 12
Periods: 01/10-09/10 Oct 22, 2010 01:06PM
2009 2010 2010 2011 2011 2011 Percent
Account Number Account Title Actual Budget Current year Dept. Request Manager Rec Increase/ Change
Actual Decrease
Golf Course-Purchases
613-49900-090 PURCHASES FOR RESALE .00 .00 .00 .00 .00 .00 .00
613-49900-091 Beer For Resale 1,451.10 .00 1,294.06 .00 .00 .00 .00
613-49900-092 Soft Drinks For Resale 2,968.03 .00 2,339.04 .00 .00 .00 .00
613-49900-093 Concessions For Resale-Txbl 1,900.03 .00 1,465.24 .00 .00 .00 .00
613-49900-094 Concessions For Resale-NonT 18.90- .00 .00 .00 .00 .00 .00
613-49900-095 Pro Shop Items For Resale 3,172.69 .00 3,060.30 .00 .00 .00 .00
613-49900-099 Other For Resale .00 .00 .00 .00 .00 .00 .00
Total Golf Course- Purchases: 9,472.95 .00 8,158.64 .00 .00 .00 .00
Net Totai Golf Course: .00 .00 .00 .00 .00 22,115.00- -10.33%
�
!
Water Operating Fund
2008 2009 2010 2011
Actual Actual Estimate Budget
Operating Revenue
Sales and User Fees 391,334 420,963 375,000 420,000
Operating Expenses
Personnel Services 145,851 122,117 125,234 143,000
Professional5ervices 9,074 15,767 17,000 20,950
Operating and Maint Supplies 27,657 34,425 37,214 43,850
Utilities 80,826 79,884 75,000 77,950
Depreciation 78,618 78,128 80,000 80,000
Maintenance and Repairs 166,510 88,436 47,000 175,000
Admin Charges-General Fund 11,040 11,400 11,740 16,000
Insurance 13,650 14,745 13,650 13,650
Other Expenses 16,571 14,134 8,000 11,360
Total Operating Expenses 549,797 459,036 414,838 581,760
Operating Income (Loss) (158,463) (38,073) (39,838) (161,760)
Non-Operating Revenue (Expenses)
Water Tower Rental 73,048 109,080 97,400 99,000
Special Assessments - 223,549 - -
Investment Earnings 47,074 18,055 9,000 4,500
Interest Expense (11,403) (9,504) (7,670) (6,000)
Miscellaneous Revenue 5,628 3,898 7,000 5,000
Total Non-Operating Revenue 114,347 345,078 105,730 102,500
Change in Net Assets (44,116) 307,005 65,892 (59,260)
Enterprise Fund Budget Page 1
\
♦
Sewer Operating Fund
2008 2009 2010 2011
Actual Actual Estimate Budget
Operating Revenue •
Sales and User Fees 944,892 980,619 1,000,000 1,040,000
Operating Expenses
Personnel Services 211,751 209,485 186,741 229,590
Professional Senrices 17,701 29,521 40,000 31,000
Operating and Maint Supplies 4,759 2,133 8,056 12,800
Utilities 36,719 49,556 50,000 45,200
Depreciation 228,624 235,195 240,000 250,000
Maintenance and Repairs 168,793 163,614 80,000 136,600
Admin Charges-General Fund 29,880 30,800 31,720 32,000
Insurance 9,850 10,588 9,850 8,850
Other Expenses 330,713 354,067 351,258 431,750
Total Operating Expenses 1,038,790 1,084,959 997,625 1,177,790
Operating Income (Loss) (93,898) (104,340) 2,375 (137,790)
Non-Operating Revenue (Expenses)
Special Assessments 12,396 199,025 67,500 -
Investment Earnings 110,065 62,184 30,000 15,000
Miscellaneous Revenue 63,717 36,860 30,000 35,000
Total Non-Operating Revenue 186,178 298,069 127,500 50,000
Transfers Out (11,300) (11,300) (11,300) (11,300)
Change in Net Assets 80,980 193,729 129,875 (87,790)
Enterprise Funds Budget Page 2
♦
f
Golf Operating Fund
2008 2009 2010 2011
Actual Actual Estimate Budget
Operating Revenue
Sales and User Fees 145,266 166,084 145,000 160,000
Operating Expenses
Personnel Services 104,492 105,687 106,910 108,120
Professional Services 4,763 5,700 3,200 5,600
Operating and Maint Supplies 21,756 23,967 24,000 24,000
Utilities 10,419 9,566 9,500 9,600
Depreciation 16,218 16,016 16,220 16,000
Maintenance and Repairs 12,220 8,194 8,500 8,200
Admin Charges-General Fund 20,760 21,380 20,000 10,000
Insurance 21,233 23,523 20,333 16,830
Other Expenses 1,400 1,310 1,200 1,480
Total Operating Expenses 213,261 215,343 209,863 199,830
Operating Income (Loss) (67,995) (49,259) (64,863) (39,830)
Non-Operating Revenue (Expenses)
Investment Earnings 3,309 1,299 - -
Miscellaneous Revenue - 1,081 - -
Total Non-Operating Revenue 3,309 2,380 - -
Change in Net Assets (64,686) (46,879) (64,863) (39,830)
Change in Cash (48,468) (30,863) (48,643) (23,830)
Enterprise Fund Budget Page 3
�
City of Orono ,
Capital Projects
Water and Sewer Funds
Sanitary Sewer Sanitary Sewer Water Main Water Main Total
Pro'ect Cost Total Cost Pro'ect Cost Cost
L.S. U rades 10,000 N.Tower Ins . 3,000
L.S.Generator Inst. 50,000 Resin Invest. 20,000
S.Orono San.Rehab 270,000 Pum Maint. 30,000
Meter Re lace. 135,000
� 330,000 188,000
� L.S.U rades 10,000 lon Exch. Rehab. 400,000
L.S.Generator Inst. 50,000 Pum Maint. 30,000
S.Orono San.Rehab 270,000
330,000 430,000
L.S.U rades 10,000 Const Well 4 750,000
'L.S.Generator Inst. 50,000 •
5.Orono San.Rehab 270,000
330,000 750,000
L.S. U rades 10,000 N.Tower Re aint 500,000
LS.Generator Inst. 50,000
S.Orono San. Rehab 270,000 '
330,000 500,000 ,
�
L.S. U rades 10,000 S.Chem.Rm.U r. 200,000
L.S.Generator Inst. 50,000
u.Orono San.Rehab 270,000
330,000 200,000
L.S.U rades 10,000 S.Brine Tank Rehab 25,000
L.S.Generator Inst. 50,000
S.Orono San.Rehab 270,000
330,000 25,000
L.S.U rades 10,000 N.Pum Maint. 50,000
L.S.Generator Inst. 50,000 OCBR San. Re I. 250,000
S.Orono San.Rehab 270,000
OCBR San.Re lace. 250,000
580,000 300,000
32,560,000 52,393,000
:ry For 7 Year CIP 04 01 09.x1s
�
Table 9.2-Surface Water Management Program,SWPPP Implementation
ID Description Project Impetus ���� 2010 2011 2012 2013 2014 2015-2020
MS4-1 Annual NPDES Permit and NPDES MS4 SWPPP SWU $3,900 $3,900 $3,900 $3,900 $3,900 $19,500
SWPPP Updates MCM-1
"Lets keep it clean"
MS4_2 contributions, newsletter, NPDES MS4 SWPPP SWU $5,000 $5,000 $5,�0 $5,000 $5,000 $25,000
website,administrative, MCM-1
etc.
Adopt a Park Program NPDES MS4 SWPPP SWU $500 $500 $500 $500 $500 $2,500
Administration MCM-2 and MCM-3
MS4-3 Updates to Storm Sewer MCM-3 SWU $1,000 $1,000 $1,000 $1,000 $1,000 $5,000
System Map
Inspections of iliicit NPDES MS4 SWPPP SWU/
MS4-4 discharges, ponds, storm MCM-3 and MCM-6 Other Funds �3,000 $3,000 $3,000 $3,000 $3,000 $15,000
sewer and culverts
� � �r� u�ci�a�n.c�i NPDES MS4 SWPPP SWU�
OM-1 Pond,Storm Sewer,and MCM-3 and MCM-6 Privatefy Funded $30,000 $30,000 $30,000
Culverts $40,000 $40,000 $200,000
OM-2 Street Sweeping MCWD Phosphorus SWU $1,000 $1,000 $1,000 $1,000 $1,000 $5,000
Reduction
OC-1 ISTS Program City Wide Phosphorus program Funds $5,000 $5,000 $5,000 $5,000 $5,000 $25,000
Reduction
Construction Site Erosion
Control Ordinance City Wide Sediment Developer
��2 Implementation and Load Reductions Funded $Z0,000 $20,000 $20,000 $20,000 $20,000 $100,000
u dates if necessa
�_3 Wetland Buffer Ordinance City Wide Phosphorus Developer �15,000 $15,000 $15,000 $15,000 $15,000 $75,000
Implementation Reduction Funded
Stormwater Management �
OC-4 Ordinance SWU - 4,000 - - - -
TOTAL Annual Cost $257,400 $331,400 $282,400 $232,400 $256,400 $865,000
CosCs in Z009 dollars
�
O
MEMORANDUM
TO: MAYOR AND COUNCIL MEMBERS
FROM: LIN VEE, CTTY CLERK
SUBJECT: COMMENTS REGARDING INFORMATION UPDATES
DATE: OCTOBER 22, 2010
Attached are the Information Update memos from September 24, October l, 8 and 15 for
reference if Council wishes to discuss any of these items.
�
MEMORANDUM
TO: MAYOR AND COUNCIL MEMBERS
FROM: ORONO MANAGEMENT TEAM
SUBJECT: INFORMATION UPDATE
DATE: SEPTEMBER 24, 2010
Information Update—9/24/10
• Reminder: The Orono City Council and Orono School District are scheduled to meet on Monday,
September 27,2010 at 5:00 pm in the Orono Council Chambers to discuss the proposed road
improvement project for Old Crystal Bay Road.
• The preliminary 2011 budget and tax levy information has been added to the website. A copy of the
nanative is attached. The website also contains additional charts that were included in the last
council packet. It is in the City Departments/Finance Department section. A press release is also
being sent out to the local papers. A copy is attached.
• Attached is an invitation to a meeting on Oct.21-22 of the Sustainable Water Resources Roundtable,
a national group of water experts who provide advice and information to a number of federal
agencies.The event at the Gray Freshwater Center is free and open to the public,but seating is
limited and registration is required.To register, click here.
• Additional attachments:
o Metro Cities News—September 24,2010
The City of Orono complies with the Minnesota Data Practices and Open Meeting Law. The recipients of this
electronic file are asked not to "Fonvard"or "Reply to All"concerning information contained in this email.
�
MEMORANDUM
TO: MAYOR AND COUNCIL MEMBERS
FROM: ORONO MANAGEMENT TEAM
SUBJECT: INFORMATION UPDATE
DATE: OCTOBER 1, 2010
• The Orono City Council and Orono School District are scheduled to meet on Monday, October 11
and Monday October 25 at 5:30 pm in the Orono Council Chambers to continue discussions of the
proposed road improvement project for Old Crystal Bay Road.
• The Environmental Committee of the Metropolitan Council took action on September 22nd to
authorize its Regional Administrator to negotiate and execute a Construction Cooperation Agreement
with the City of Orono for improvements to Orono Orchard Road. Tom and Jessica will be meeting
with Met Council staff to work out an agreement which spells out the cost sharing for reconstruction
of Orono Orchard Road.
• The City received the attached Foreclosure Notice for the Hill School property. Stephen Rosholt of
Faegre&Benson has confirmed that the Revenue Notes issued by the City for this project are payable
only from payments by Hill School and enforcement of the Mortgage. The City has no obligation to
make any payments for principal or interest. Also attached is a letter from Faegre&Benson with
their approving legal opinion(see numbered paragraph 2). The letter is followed by a copy of one of
the Notes. The absence of City liability is set forth in the paragraph beginning at the bottom of the
second page of the note.
• The new and improved website will be up and running next week! Some behind-the-scenes technical
changes that will take place on Monday to move from the old site to the new site, so there may be a
short period of time when the website will not be available. We're pleased with the new look, colors,
buttons,navigability and search capabilities. Check it out on Tuesday at www.ci.orono.mn.us!
• The Fall Newsletter will be in the mail on Monday and will include an announcement about the new
website, as well as articles about the budget and tax levy, elections, comprehensive plan,tobacco-free
parks,zebra mussels,recycling and organics, fall golf rates and a few other miscellaneous topics.
• On 9-23-2010 there was a sewer back up into two homes on Forest Lake Drive and the damage
caused was a result of a power failure. The League of Minnesota Cities was called and an adjuster
was sent out to access the damage.
• After conferring with Van Erickson,we have postponed the dedication of Lurton Park until next
spring when the parking area and sign installation have been completed. Van suggested they would
prefer to have dedication ceremonies(to include City officials, family, friends,etc.) once the park
improvements are completed rather than trying to push it yet this fall. He also suggested there is no
need to do a groundbreaking ceremony. Staff is moving ahead with getting the sign made and we
may still get the parking area graded before the ground freezes, depending on weather and Public
Works schedules. Van also indicated that they would like us to move forward with the controlled
burn/prairie restoration program as one of our initial long-term improvements. Staff will make some
contacts and follow up on this with options and costs. (MPG)
• Additional attachments:
o Metro Cities News—September 27,2010
o Metro Cities News—October 1,2010
The City of Orono complies with the Minnesota Data Practices and Open Meeting Law. The recipients of this
electronic file are asked not to "Forward"or "Reply to All"concerning information contained in this email.
�
MEMORANDUM
TO: MAYOR AND COUNCIL MEMBERS
FROM: ORONO MANAGEMENT TEAM
SUBJECT: INFORMATION UPDATE
DATE: OCTOBER 8, 2010
Information Update—10/08/10
• The Orono City Council and Orono School District are scheduled to meet on Monday,October 11
and Monday October 25 at 5:30 pm in the Orono Council Chambers to continue discussions of the
proposed road improvement project for Old Crystal Bay Road. The attached roundabout information
may be helpful to review prior to the meeting.
• The Planning Commission met again this week to discuss revision of the City's Hardcover
regulations. We brainstormed on lrnown concerns or issues with the existing code and discussed
solutions. We had a productive discussion. The group identified some areas but indicated that input
from the public would be a great way to begin the process. The suggestion was to create an email
address and link on the City's website. We would post a solicitation for input on the City's hardcover
regulations,philosophy,and goals. Our hope is that this would result in a comprehensive picture of
citizen and stakeholder views, concerns and direction. Staff plans to put this on the website
beginning next week.
• A joint PC and Council work session to discuss general hardcover goals and Council direction to the
PC on revising the regulations is tentatively planned for a date in December. (MC)
� After Hennepin County completed their overlay project on County Road 19,there was a drainage
problem at Togo Road and County Road 19. To solve the standing water problem, the County milled
and repaved the intersection. (DD)
• We hope you had an opportunity to check out the new website. The changeover went smoothly,with
only a minor programming update required at GovOffice so that Mac users could open linked
documents. We're looking forward to feedback about the new website from the Online Poll on the
home page.
The City of Orono complies with the Minnesota Data Practices and Open Meeting Law. The recipients of this
electronic fzle are asked not to "Forward"or "Reply to All"concerning information contained in this email.
�
.
MEMORANDUM
TO: MAYOR AND COUNCIL MEMBERS
FROM: ORONO MANAGEMENT TEAM
SUBJECT: INFORMATION UPDATE
DATE: OCTOBER 15, 2010
Information Update—10/15/10
• This week a link was added to the front page of the City's website with the hope of soliciting input
from residents and others on Orono's hardcover regulations. As of today we have received a few
emails. We are compiling this feedback as it will be a valuable tool for the Planning Commission and
Council as we move forward with the hardcover ordinance update. (MC)
• The Minnehaha Creek Watershed District approved the Orono Surface Water Management Plan at its
board meeting Thursday night,on the consent agenda. The next steps for finalizing the SWMP
include a public hearing at the Planning Commission this coming Monday,with final Council action
scheduled for the October 25 meeting. A Memorandum of Agreement between MCWD and Orono
regarding the SWMP will also be presented for Council action on the 25th. Soren is currently
reviewing that document drafted by the MCWD.The MCWD staff report on the SWMP is attached.
(MPG)
• The MCWD also approved our grant request for the shoreline restoration and sewer line protection
project where our sewer crosses under the cove along the Lupient property at the north end of Ivy
Place. The MCWD staff report on this project is attached. (MPG)
• We have now received written approvals from Met Council for the DeVries and Fullerton sewer
extensions that were held up for nearly two years pending resolution of the Comp Plan density
issues. The approvals note that these projects"are in accord with you comprehensive sewer plan
(CSP) and consistent with the Metropolitan Urban Service Area". We are following up with the
property owners to get these extensions accomplished. (MPG)
The City of Orono complies with the Minnesota Data Practices and Open Meeting Law. The recipients of this
electronic file are asked not to "Forward"or "Reply to All"concerning information contained in this email.