HomeMy WebLinkAbout09-11-2000 Council Work Session^—rr
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CITY OF ORONO
NOTICE OF PUBLIC MEETING
NOTICE is hereby given that the Orono City Council will meet in a work session at 4:00
p.m. on Monday, August 28, 2000 in the Orono City Council Chambers, 2780 Kelley Parkway,
Orono, Minnesota. The purpose of the work session is to review the proposed year 2001 budget, and
to discuss other issues of current interest.
Isl Linda S. Vee
City Clerk
Posted at:
City Hall
Navarre Post Office
Long Lake Post Office
Crystal Bay Post Office
AUGUST 28 BUDGET WORK SESSION PACK
TABLE OF CONTENTS
Page
Updated 2001 Budget and Tax Levy Information
Capital Expenditures-2001 and Beyond
1989 Water and Sewer Bonds-Connection Charges
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3
7
Attachments
Tax Levies
Tax Capacity, Local Levy, and Tax Capacity Rates
Effect of 2001 Tax Levy and Budget on Homes
Effect of 2001 Tax Levy and Budget on Commercial/Industrial Property
General Fund Revenues
AH Funds-Changes in Fund Balance/Retained Earnings
Operating Funds-Cash Flow
A-1
A-2
A-3
A-4
A-5
A-6 to A-22
A-23 to A-25
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TO:Mayor and City Council
FROM:Ron Moorse, City Administrator
DATE:August 22, 2000
SUBJECT: Updated 2001 Budget and Tax Levy Information
GENERAL FUND BUDGET
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In response to Council ’s direction at the initial budget work session, staffhas reviewed revenues and
expenditures in the General Fund in an effort to reduce the tax levy. Although staff was able to
increase revenues by $ 10,000, this was offset by an increase in expenditures of $ 10,000 for the City ’s
share of the costs of additional water patrol staffing on Lake Minnetonka. The proposed 2001
budget has minimized expenditures as much as possible. The only way to significantly reduce
expenditures is to reduce staff and reduce services. Staff is not recommending this option.
Cost Reduction Efforts
Staff continually makes efforts to find the most cost effective and efficient ways of providing city
services. Several examples will illustrate these efforts.
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Comprehensive Plan Update
The entire Comprehensive Plan update process was accomplished by in-house staff, particularly
Mike Gaffix)n, including creating the entire new Comprehensive Plan document, with the exception
of updated maps. Tliis update process would have cost $75,000 - $100,000 if done by a planning
consultant, and would still have involved considerable work by City staff; including familiarizing
the consultant with the City ’s unique philosophy and ensuring that philosophy permeated every
element of the Comprehensive Plan.
Personnel Policy Update
Rather than hiring a consultant to update the City ’s personnel policies at a cost of $ 1 0,000 - $20,000,
staff coordinated with several lake area cities, and requested three of the top municipal human
resources directors in the metro area (from Plymoutli, Hopkins and Shoreview) to lead us through
a review of personnel policies and the key issues related to the update of these policies; including
obtaining a model set of personnel policies. All this was accomplished at no cost.
Page 1
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Updated 2001 Budf'et and Tax Levy Information
August 22, 2000
Page 2________________________________
Building StafF Capacity for Technology
Through hiring and training, the capacity to use technology to improve services and increase
efficiency has been substantially strengthened. The use of e-mail and the Internet has already
substantially increased the efficiency of communication. We are now in the process of implementing
an automated database for ail property and land use-related information that will make it much easier
to store and retrieve this information. We are continually finding or creating more effective and
efficient ways to access and share information, which is a key element of everything we do.
Levy for Future Capital Needs
At the initial budget work session, the Council directed that the $90,000 of tax levy that is no longer
needed for the debt service on the 1989 water revenue bonds and the 1985 sewer bonds be continued
and designated toward future capital needs, such as the Long Lake fire station. I'he proposed 2001
budget now includes a $90,000 tax levy in the Improvement and Equipment Outlay Fund designated
to a separate account for future capital needs.
Tax Levy, Tax Capacity Rate, and Impact of Tax Levy on Property Owners
The total tax levy required to fund the proposed 2001 budget is $2,443,350. This is an increase of
$79,790 or 3.38% from the 2000 levy. The breakout of the use of tax levy revenues by fund is
shovm in Attachment A-1.
The estimated net tax capacity for taxes payable in the year 2001 is $ 17.451,598. This is an increase
of $1,778,743 or 11.35% over the 2000 tax capacity. Based on the City’s tax capacity and the
proposed tax lev>\ the tax capacity rate would be 13.761%. This is a 7.06% reduction from the 2000
tax capacity rate.
Impact of Buduct and Tax Lew on Property Owners
For a home valued at $200,000. assuming no increase in property values, the City’s share of the
property tax bill would decrease by $29.35 or 7.1%. For a home valued at $500,000, the City’s share
of the property tax bill would decrease by $81.13 or 7.1%.
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TO: Mayor and City Council
FROM: Ron Moorse, City Administrator
DATE: August 22,2000
SUBJECT: Capital Expenditures-2001 and Beyond
The City budgets capital expenditures in eight funds. They are as follows:
• Improvement and Equipment Outlay Fund
• Building Outlay Fund/Community Investment Fund
• Permanent Improvement Revolving Fund
• Park Fund
• Municipal State Aid Fund
• Sewer Fund
• Water Fund
• Golf Fund
The following is an outline of the planned capital expenditures in each fund for 2001 and beyond.
Improvement and Equipment Outlay Fund
All capital expenditures related to the General Fund departments, with the exception of the Police
Department, are funded and accounted for in the Improvement and Equipment Outlay Fund. These
expenditures are funded through an annual transfer of $105,000 from the General Fund tax levy.
$30,000 of this amount is designated for Long Lake fire equipment replacement. The three major
areas of expenditures in the fund are:
1. Public Works vehicle and equipment replacement.
2. Long Lake fire equipment replacement.
3. Computer equipment replacement.
Four-Year Public Works Vehicle/Equipment Replacement Schedule
The plan for Public Works vehicle/equipment replacement over the next four years is as follows:
2001 .... Replace dump truck and plow ........................$ 93,000
2002 ___Replace two pick-up trucks.............................$ 50,000
2003 .... Replace utility service truck...........................$ 40,000
2004 .... Replace dump truck and plow .........................$100,000
The Public Works equipment replacement schedule requires an average annual funding level of
approximately $70,000.
Page 3
Capital Expenditures-2001 and Beyond
August 22. 2000
Page 4
Long Lake Fire Equipment Replacement
The Long Lake fire equipment replacement schedule requires approximately $500,000 of funding
from Orono over the next six years. In addition, the City will participate in funding for a new fire
station to be built prior to 2003. A funding option for the Long Lake fire equipment replacement is
to include the vehicles in a bond issue along with the fire station funding. If we assume the City’s
share of the fire station cost to be $1.5 million, the additional $500,000 for equipment replacement
would bring the City’s cost to $2 million. If this is funded through a bond issue over 15 years at 6%
interest, the average annual debt serviee payment would be $206,500.
Computer Replacement
The City now has 30 personal computers (20 in the Administrative Offices and 10 in the Police
Department). The majority of these should be replaced every three years to keep up with technology,
and to keep the hardware compatible with new software. The replacement of eight PCs per year at
a cost of $1,700 each would require funding of $13,600 per year.
Total Long-Term Annual Funding Needed
The three main areas of expenditure in the Improvement and Equipment Outlay Fund taken together
will require total funding of $290,000 per year. This requires increasing the current funding by
$152,000. The $90,000 of additional tax levy for capital needs that was authorized at the initial
budget work session, in addition to reasonable annual increases in the amount transferred to the
Improvement and Equipment Outlay Fund, will enable these needs to be met.
Building Outlay Fund/Community Investment Fund
The Building Outlay Fund was created as a source of funding for the new City facilities. Because
the City issued bonds for the construction of the facilities, the Building Outlay Fund was not used
to fund the facilities, with the exception that the interest earned in the fund was used to pay a portion
of the debt service on the facilities ’ bonds. The Building Outlay Fund had a balance of $2,376,000
as of December 31,1999. $130,000 of the interest earnings is earmarked for annual debt service on
the City facilities ’ bonds through 2007.
In past years, capital expenditures related to the City Hall building; i.e. building repairs, office
modules, and landscaping, have been funded through the Building Outlay Fund. Earlier this year,
the Council converted the Building Outlay Fund to the Community Investment Fund. The
Community Investment Fund is to work as an endowment fund to provide a long-term source of
funding to assist projects of benefit to the community but that do not have sufilcient other sources
of funding. The exception to this, as stated above, is that the interest earned on the fund through
2007 will be used to pay the annual debt service on the City facilities' bonds.
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Capital Expenclitures-2001 and Beyond
August 22, 2000
Page 5
Permanent Improvement Revolving Fund
This fund is used to provide interim financing for projects that have other long-term financing
sources. The fund also includes an amount of $325,000 for emergency situations, such as a natural
disaster. In recent years, the City has begun to levy $45,000 per year for storm sewer improvements,
and $35,450 per year for street overlays.
Park Fund
The Park Fund is used to account for park dedication fees, and to account for capital expenditures
related to parks. The most significant potential capital expenditure in the Park Fund is the purchase
of the property at 3770 Shoreline Drive, which is adjacent to the property recently purchased by the
City as parkland at 3790 Shoreline Drive adjacent to the Hennepin County Public Works facility.
The City paid $160,000 for the property at 3790 Shoreline Drive.
MSA Fund
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The balance in the MSA Fund as of 12/31/99 was $150,900. The City receives approximately
$255,000 per year of MSA funding for capital projects. The City received three years of advance
MSA funding to enable the City to pay its share of the Femdale Road project. Due to the cul-de-
sacing of Stubbs Bay Road at Highway 12 and the planned replacement of the bridge over the
Burlington Northern Railroad on Willow Drive as part of the Highway 12 upgrade project, the
highest priority MSA projects have been addressed.
Sewer Fund
For a number of years, the Sewer Fund budget has included approximately $90,000 per year for lift
station upgrades. This has been sufficient to upgrade one of the City ’s large lift stations each year.
By the end of2001, all of the large lift stations will have been upgraded. For 2001 and beyond, the
$90,000 of funding will enable a minimum of three lift stations to be upgraded. In addition to the
lift station rehabilitation, the Sewer Fund budget includes $40,000 per year to be used to reduce
infiltration and inflow of surface water into the sewer system. This work has two benefits: first, it
substantially extends the life of the sewer lines; secondly, by reducing I & I, it reduces the City ’s
costs for sewer treatment.
Water Fund
The 2001 Water Fund budget includes only minor capital expenditures. However, within the next
five years, the Navarre water tower will need to be repainted. Depending on the condition of the
tower, and the need for removal and disposal of lead paint, the cost for this project will be in the
range of $150,000 - $250,000.
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Capital Expenditures-2001 and Beyond
August 22, 2000
Page 6
Golf Fund
The Golf Fund capital expenditures are focused on equipment replacement. Each year the Golf Fund
capital budget includes approximately $20,000 for equipment replacement. The 2001 budget
includes $23,000 for the replacement of a fairway mower. Also being considered is the addition of
a deck to the clubhouse at a cost of approximately $15,000.
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TO;
FROM:
DATE:
Mayor and City Council
Ron Moorse, City Administrator
August 23,2000
SUBJECT: 1989 Water and Sewer Bonds - Connection Charges
From 1994 to 2000, the City levied an average of $89,000 peryearto supplement special assessment
revenues to pay the debt service on the 1989 water and sewer bonds. T^is was necessary because
expected development along Highway 12, which was to pay connection charges as a significant
source of revenue for f .e debt service, did not occur.
With the construction of the Middle School and the 25-unit Willow View subdivision, the City
received the first substantial connection charges related to the 1989 water and sewer project. This
enabled the tax levy for debt service on the water and sewer bonds to be eliminated in 2001.
Staff estimates that as the commercial area along the north side of Highway 12 and the medium-
density residential area to the north of the commercial area both develop, the City will receive an
additional $741,000 in connection charges.
At the August 7 budget work session. Council Member Kelley suggested that rather than being
placed into the Sewer and Water Funds, these additional connection charges be placed into a levy-
supported fund so that at least indirectly the taxpayers who subsidized the 1989 water and sewer
project will be repaid.
Staff’s first priority regarding the use of these connection charges is that they be used for capital
expenditures versus operating expenditures. Because these are one-time revenues, they should be
matched with one-time expenditures. Staffs priorities for specific uses are as follows:
A. Capital Expenditures in the Water Fund. Although water rates have been increasing,
and will continue to increase, the debt service on the Navarre water plant
rehabilitation project and the upcoming need to repaint the Navarre water tower will
not allow the Water Fund to move to a stronger financial position. It would be
beneficial to keep a portion of the future connection charges in the Water Fund.
However, this would not be a benefit to those taxpayers who are not City water
customers.
B. It is certain that the City will have substantial expenditures regarding the Long Lake
fire equipment replacement and the Long Lake fire station replacement. This would
be an excellent use of the future connection charge revenue.
Page 7
1989 Water and Sewer Bonds - Connection Charges
August 23, 2000
Page 8
C.
D.
The City will be making efforts to acquire the property at 3770 Shoreline Drive to
complete its acquisition of a five-acre park area to serve the Navarre residents. A
portion of the connection charge revenue could be designated to the Park Fund for
this purpose.
When the City eliminated the Building Outlay Fund in favor of creating the
Community Investment Fund, it eliminated the Building Outlay Fund as a source of
future funding for repairs and rehabilitation of the City facilities' buildings. A
portion of the future connection charges could be placed into a fund designated for
future repair and rehabilitation of the City facilities.
Taxes Levied for the 1989 Water and Sewer Revenue Bonds
Levy
Year
Collection
Year
Total
Levy
1993
1994
1995
1996
1997
1998
1999
2000
1994
1995
1996
1997
1998
1999
2000
2001
$68,458
80,000
90.000
105,650
105,650
100,000
75.000
0
Tota!b $624,758
TOM\OiBTSElW\89d*btl«vy.123
Water
Fund
Sewer
Fund
$34,742
38,752
90.000
105,650
105,650
100,000
75.000
$549,794
$33,716
41,248
0
0
0
0
0
0
$74,964
ft
1989 Water & Sewer Project
Expenses;
Principal and Interest Payments
1989 Revenue Bond
1995 Refunding Bond
Total Principal and Interest Payments
Fiscal Agent/City Service Charges
$1,618,031
1,783,729
$3,401,760
27,740
Total Debt Service & Related Costs $3,429,500
2000 Interim Sewer Capacity Lift Station Project
TOTAL EXPENSES
200,000
$3,629,500
Revennes:
Developer Deposits
Developer Assessments
Phase I • Principal and Interest
Phase II - Principal and Interest
Total Developers' Revenue
$176,570
261,239
419,535
$857,344
Sewer Fees (from non-Hwy 12 Lift Station Project)
Sewer Op Constr acct (unused bonds from 89 project)
1980 Debt Fund - closed to water portion 1994/1995
Two acre residential development (25 units @ $9,695)
Orono Ice Arena (4.5 acres @ $13,000)
Orono Schools (30 acres @ $13,000)
398,424
877,265
97,809
242,375
58,500
390,000
Total Confirmed Funding $2,921,717
Estimated Additional Funding
Medium density residential development (40acres @ $13,000)
Commercial development (17 acres @ $13,000)
520,000
221,000
Total Estimated Additional Funding 741,(
Total Revenues (Confirmed and Estimated Additional)$3,662,717
Exc^S of Revenues Over Expenses $33,217
r jyxiated 08/23/00
TOM\DF.B1^KKVV»-DrBT.I23
City of Orono
Tax Levies
Actual 2000 vs Proposed 2001
Tax Levy Collectible
Tax Levies 2000 2001
mm
m yihiUmm
For all Purposes Except Debt Service
General
PIR Infhistructuie-Storm Sewer
PIR Infrastructure-Rouds
Parks - Land Acquisition end Development
Improve & Equip Outlay - Capital Equipment
For Debt Service
1995 (1989) Water Refunding Bonds
1992 G.O. Bonds
1995 (1985) Reftmding Bonds
1997 G.O. Bonds
1991 Public Facilities Bonds
1999 Improvement Bonds
Total
$1,858,410
45.000
35,450
5,000
0
75,U00
45.000
15.000
15,000
250,000
19,700
_$2,363,560
$1,943,900
45.000
35,450
5,000
90.000
0
45.000
0
15.000
250,000
14.000
$2.443,350
The tax levies have not been reduced by Fiscal Disparities Credit
niDGETUaOlXTAXLEVY.m
A-1
Increase
(Decrease)
$85,490
0
0
0
90,000
(75.000)
0
(15.000)
0
0
(5,700)
$79^790
Percent
Chanee
4.60%
0.00%
0.00%
0.00%
100.00%
0.00%
100.00%
0.00%
0.00%
-28.93%
3.38%
Tax Levy Net of HACA $2,363,560 $2,443,350 $79,790 3.38%
State Paid HACA
ts Total Tax Levy Including HACA
309,55_1_
$2,673jllL
309,630
$2,752,980
79
__ $79,869
0.03%
2.99%
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City of Orono
Tax Capacity, Local Levy, & Tax Capacity Rates
2001 Over (Under) 2000
Actual Estimated
TAX CAPACITY 2000 2001 Amount Percent
Real Estate $15,777,690 $17,595,396 $1,817,706 11.52%
Personal Property 172,164 175,235 3,071 1.78%
Deduct Tax Increments 0 0 0 0.00%
Deduct Contrib Fiscal Disp (276,999)(319,033)(42,034)15.17%
Net Tax Capacity (To calculate rate)_____$i5,672,855_ „$17,451,598 $1,778,743 11.35%
LOCAL LEVY
Gross Levy $2,673,111 $2,752,980 $79,869 2.99%
Deduct HACA (309,551)(309,630)(79) 0.03%
TOTAL LEV\' NET OF HACA $2,363,560 $2,443,350 $79,790 3.38%
Deduct Fiscal Disparities (41,858)(41,760)98 -0.23%
Net Local Levy $2,321,702 ____$2,401,590 $79,888 3.44%
TAX CAPACITY RATES
General Revenue 11.643%10.948%-0:695%-5.97%
PIR Infrastucture-Svorm Sewer 0.282%0.253%-0!028%-10.10%
PIR Infrasiructure-Roads 0.222% 0.200%
-0.022% -10.06%
Parks - Land Acquisition & Development 0.031%0.028%-0.003%-9.16%
Improve & Equip - Capital Equipment 0.000%0.507%0.507%—
Debt Service 1.063%0.417%-0.646%-60.79%
HRA Building Bonds 1.566%1.408%-0.158%___-10.09®^
Total Local Tax Capacity Rate 14.807%13.761%-1.045%-7.06%
TAX CAPACITY - The real estate and personal property tax capacity amounts arc reduced by any tax increments and the contribution amount
to the Hscal disparities to arrive at the total value of tax capacity used for calculating 'he tax capacity rate.
LOCAL LEW’ > The amount of gross tax is reduced by the slate paid HACA (Homestead and Agricultural Credit Aid), and by the Fiscal Disparities
distributed through the county.
TAX CAPACITY RATE - The net local levy amount is divided by the tax capacity to arrive at a percentage or tax capacity rate.
■VDGETUOOUTAXCAri.l 23
A-2
City of Orono
Effect of 2001 Tax Levy & Budget on Homes
Market Vilm for 2000 Taxca
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$100,000 $200,000
2000 2001
0% incr
2001
5% incr
2000 2001
0% incr
1
^■afk Market Value
Tax Capacity (Net) •
Tax C{4Mcity Rate
»* I
Net Tax
$$ Increase (E>ecrease) from 2<
% Increase (Decrease) from 2C
$100,000 $100.000 $105.000
1,156 1,156 1,239 2,806 2,806
14.807% 13.761% 13.761%
$171.17 $159.08 $170.43
($12.09) ($0.74;
-7.1%-0.4%
$415.48 $386.13
($29.35)
-7.1%
* 2000 Tax Capacity (net) - 1% of first $76,000 market value, plus 1.65% of all value over $76,000
2001 Tax Capacity (net) = 1% of first $76,000 market value, plus 1.65% of all value over $76,000
A-3
$500,000
2001
5% incr
'-i:2000 2001
0% incr
2001
5% incr
$200,000 $200.000 $210,000 $500,000 $500.000 $525,000
2,971 7,756 7.756 8,169
14.807% 13.761% 13.761%14.807% 13.761% 13.761%
$408.84 $1,148.43 $1,067.30 $1,124.07
($6.65)® ($81.13) ($24.36)
-1-6% B -7.1% -2.1%
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City of Orono
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Effect of 2001 Tax Levy & Budget on Commercial Property
For Market Value of $500,000
V,
f •• - ■2000 2001
L'-V
0% Incr.
kv.-'
$$ Increase (Decrease) from 2000
% Increase (Decrease) from 2000
($162.13)
-7.1%
2000 Tax Capacity (net) = 2.40% of first $150,000 market value, plus 3.4% of all value over $150,000
2001 Tax C^Mchy (net) = 2.40% of first $ 1 50,000 market value, plus 3.4% of all value over $ 150,000
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2001
5% Incr.
Eitlnated Market Value $500,000 $500,000 $525,000
Tax Capacity (Net) •15,500 15,500 16,350
Tax Capacity Rate 14.807%13.761%13.761%
Net Tax $2,295.09 $2,132.96 $2,249.92
($45.16)
-2.0%
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City of Orono
2001 General Fund Revenues
"•still
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TAXES
Genenl Property Taxes
LICENSES ft PERMITS
INTERGOVERNMENTAL REVENUE
Federal Grant>Emergency Preparedness
Homestead ft Agricultural Credit Aid (HACA)
Local Government Aid (LGA), formerly LPA
Payroll Aid PERA
Stale Grants ft Aids • Other
Police Town Aid
Police Training Reimbursement
Federal COPS Grant
Municipal Stale Aid>Streets
County Grant-Recycling Program
Metropolitan Council Grant • Comprehensive Plan
TOTAL INTFJIGOVERNMENTAL REVENUES
CHARGES FOR SERVICES
Plan Check ft Site Exam Fees
Conditional Use-Variance ft Subdivision Fees
On-SHe Septic Program Fees
Contracted Police Services
Contracted Inspection Services
Contracted Animal Control
Contracted Public Works Services
Police Special Services
Adminittrative Charges to Other Funds
Recycling Program Fees
Other Charges
TOTAL CHARGES FOR SERVICES
FINES ft FORFE ITS
Court Fines
Animal Impound Fees
TOTAL FINES ft FORFEITS
MISCELLANEOUS
Interest Income
Operating Transfer In
Other
TOTAL MISCELLANEOUS INCOME
TOTAL GENERAL FUND REVENUES
Fund Balance Used
Total General Fuitd Revenues and Fund Balance Used
Dollar %
1999 2000 2001 Increase Increase
Actual Budset Budset fDecrease)(Decrease)
$1,788.]^SI .858.410 $1,943,900 $85,490 4.6%
324,610 264.000 305,000 41,000_____15 5%
4.530 4,000 4,000 0 0.0%
302.530 309.550 309,630 80 Oif/o
9,290 9,280 9,280 0 0.(f/o
7,220 7,220 7,220 0 0.0®/o
0 0 0 0 00%
98.400 90,000 110,000 20,000 22.2%
5,270 5 200 5,200 0 OXf/o
45.000 30.000 72,900 42.900 143.0%
89,000 89,000 96.000 7.000 7.9%
17,800 19,530 14.860 (4,670)-23.9^4
0 0 0 0 0.0%
579,040 56X780 629.090 65,310 ____!1.6%
135,080 105,000 120.000 15,000 14.3%
46,990 35.000 40,000 5,000 14.3%
54.070 55,500 55,500 0 0.0%
661,320 686.000 708,000 22.000 3.2%
37,360 20,000 30,000 10,000 50.0%
29,120 29.500 31,000 1,500 5.1%
11,530 10,000 10,000 0 0.0%
49,850 30,000 40,000 10,000 33.3%
50,000 54.190 57,520 3,330 6.1%
66,050 68.200 66,000 (2,200)•3.2%
29,300 15,000 22,430 7,430 49.5%
m”70,670 1,108.390 1,180,450 72,060 ______ . 6J%
127.310 80,000 100,000 20,000 25.0%
1,390 4,000 2,000 (2.000)•50.0%
128,700 _84,000 102.000 18,000 _21.4%^
68.990 100,000 100,000 0 0.0*/b
0 0 0 0 0.0%
66,440 29.900 30,000 100
i1o135,430 129,900 130,000 100 Olj^
K126.610 S4,008,480 S4.290.440 S281.960 7.03*4
0 45,000 0
4.126.610 _____4,653,480 __4,290,440 V
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A%'mm
Actual
Budget
Actual Revenues Over (Under)
Budgeted Revenues
Expenditures
Actual
Budget
Actual Expenditures Over (Under)
B*.«dgeted Expenditures
Transfers In (Out)
Equipment Outlay Fund
PIR Fund - Storm Water Plan/Projects
Excess (Deficiency) of Revenue
Over Expenditures
Fund Balance - Beginning of Year
Fund Balance - End of Year
Fund Balance Components
Reserved for Vested Vacation
and Severence Benefits
Designated for HACA Reduction
Designated for Contract Revenue Reduction
Designated for Working Capital
Designated for Land Acquisition
Undesignated
Total Fund Balance
1.V ‘
City of Orono
General Fund
Changes in Fund Balance
Actual
1999
A-6
Estimated
2000
Estimated
2001
$4,126,607 $4,008,480 $4,290,440
3,958,080 4,008,480 4,290,440
$168,527 $0 $0
$3,811,078 $3,948,480 $4,185,440
3,857,260 3,948,480 _ _ _ _
($46,182)$0 $0
($95,000)($105,000)($105,000)
m
$220,529 ($45,000)%q_
1,956,297 2,176,826 2,131,826
$2,176^6 $2J31,826 $2,131,826
170,953 176,100 181,400
250,000 250,000 250,000
100,000 100,000 100,000
1,000,000 1,000,000 1,000,000
0 0 0
655,873 605,726 600,426
$2,176^826 $2,131,826 _$2,131,826_
Actual
Budget
Actual Revenues Over (Under)
Budgeted Revenues
Expenditures
Actual
Budget
Actual Expenditures Over (Under)
Budgeted Expenditures
Transfers In (Out)
Excess (Deficiency) of Revenue
Over Expenditures
Fund Balance - Beginning of Year
Fund Balance - End of Year
Fund Balance Components
Designated for Land Acquisition
and Park Development
Total Fund Balance
City of Orono
Park Fund
Changes in Fund Balance
A-7
Actual Estimated Estimated
1999 2000 2001
$175,455 $95,400 (a)$61,000
61,450 61,450 61,000
$114,005 _ _$33,950 $0
$273,415 $63,000 $177,000
312,300 63,000 177,000
($38,885)$0 $0
$0 $0 $0
0 0 0
($97,960)$32,400 ($116,000)
196,762 98,802 131,202
$98,802 $131,202 $15,202
98,802 131,202 15,202
$98,802 $131,202 $15,202
(a) adjusted
City of Orono
Improvement & Equipment Outlay Fund
Changes in Fund Balance
■V.
Revenues
i. ■
i-'
W'
IT
Designated for Replacement of
Long Lake Fire Vehicle
Total Fund Balance
an
■imm
Actual
1999
85,771
$253,553
A-8
Estimated
2000
•04,750
1188,403
Estimated
2001
Actual $28,612 $32,900 $125,010
Budget 32,900 32,900 _____J 25,010
Actual Revenues Over (Under)
Budgeted Revenues ($4,288)$0 $0
ExDenditures
Actual $290,184 $103,050 $123,000
Budget 305,923 103,050 ____ 123,000
Actual Expenditures Over (Under)
Budgeted Expenditures ($15,739)$0 $0
Transfers In (Out)
From General Fund - Non Police $95,000 $105,000 $105,000
Excess (Deficiency) of Revenue
Over Expenditures ($166,572)$34,850 $107,010
Fund Balance - Beginning of Year 4^,125 253,553 288,403
Fund Balance - End of Year $253,553 __$288,403 $395,413
Fund Balance Comoonents
Designated for Replacement of Non-
Police and Operating Fund Equipment 167,782 183,653 321,658
73,755
1395,413
iiS
w^:- •"’.ij»'5
;i-‘
c (a) Building Capital Outlay Fund Discontinued in 2000.
New fund created by ordinance, Community Investment Fund.
'\ ’ • 'i '■^ V:-..■<-'**■ ^ V A-9
City of Orono
Building Capital Outlay Fund (a)
Changes in Fund Balance
(a)(a)
Actual Estimated Estimated
1999 2000 2001
Revenues
Actual $89,327 $136,000 $135,000
Budget 136,000 136,000 135,000
Actual Revenues Over (Under)
Budgeted Revenues ($46,673)$0 $0
Exoenditures
Actual $0 $0 $0
Budget 20,000 0 0
Actual Expenditures Over (Under)
Budgeted Expenditures ($20,000)$0 $0
Transfers In (Out)
To 1991 Bond Debt Service ($130,000)($130,000)($130,000)
Excess (Deficiency) of Revenue
Over Expenditures ($40,673)$6,000 $5,000
Fund Balance - Beginning of Year
Fund Balance - End of Year
2,417,099 2,376,426 2,382,426
$2,376,426 $2,382,426 $2,387,426
Fund Balance Comoonents
Designated for capital costs of projects of
general benefit to the City.2,376,426 2,382,426 2,387,426
Total Fund Balance $2,376,426 __ $2,382,426 __$2,387^426
City of Orono
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Drug and Felony Forfeiture Fund
Changes in Fund Balance
A-10
Actual
1999
Estimated
2000
Estimated
2001
Revenues
Actual
Budget
Actual Revenues Over (Under)
Budgeted Revenues
$12,951
12,960
$0
0
$0
0
($9)$^$0
Exoenditures
Actual
Budget
$4,455
4,460
$0
0
$0
0
Actual Expenditures Over (Under)
Budgeted Expenditures ($5)_______$0 $0
Transfers In (Out)
---
Excess (Deficiency) of Revenue
Over Expenditures $8,496 $0 $0
Fund Balance - Beginning of Year 13,611 ____22.107 22,107
Fund Balance - End of Year $22,107 $22,107 $22,107
Fund Balance Components
Designated for Crime Prevention
Total Fund Balance
22,107 _____22,107 22,107
_____$22,10^$22,107 $22,107
i
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1982 G.O. Bonds
Revenues
Actual
Budget
Actual Revenues Over (Under)
Budgeted Revenues
Expenditures
Actual
Budget
Actual Expenditures Over (Under)
Budgeted Expenditures
Transfers In (Out)
Close Fund to other City fund
Excess (Deficiency) of Revenue
Over Expenditures
Fund Balance - Beginning of Year
Fund Balance - End of Year
Fund Balance Components
Designated for Debt Service
Total Fund Balance
wmm
City of Orono
Debt Service Funds
Changes in Fund Balance
Actual
1999
$53,161
200
$52,961
$15,968
15,960
$8
$37,193
59,414
596,607
96,607
$96,607
A-II
Estimated
2000
$0
0
$0
$0
0
$0
($96,607)
($96,607)
96,607
$0
0
$0
Estimated
2001
$0
0
$0
$0
0
$0
$0
$0
0
$0
0
$0
^ Mil rtU^m^w iririir^
• .i.
Ci{;
• ■'•'*■ .••■••■■ J‘- . /•.
1991 G.O. Bonds
Revenues
Actual
Budget
Actual Revenues Over (Under)
Budgeted Revenues
Expenditures
Actual
Budget
Actual Expenditures Over (Under)
Budgeted Expenditures
Transfers In (Out)
Transfer In
Excess (Deficiency) of Revenue
Over Expenditures
Fund Balance - Beginning of Year
Fund Balance - End of Year
Fund Balance Components
Designated for Debt Service
Total Fund Balance
City of Orono
Debt Service Funds
Changes in Fund Balance
Actual
1999
A-12
Estimated
2000
Estimated
2001
$261,137 $275,000 $275,000
275,000 275,000 275,000
($13,863)$0 $0
$407,154 $409,190 $409,760
407,220 409,190 _ _ _^9,760
($66)$0 $0
$130,000 $130,000 $130,000
($16,017)_ _($4,190)($4,760)
588,913 572,896 568,706
$572,896.$568,706 $563,946
572,896 568,706 563,946
$572,896 $568,706^_ _$563,946
a-
1992 G.O. Bonds
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V
A .
F-'
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Revenues
Actual
Budget
Actual Revenues Over (Under)
Budgeted Revenues
Expenditures
Actual
Budget
Actual Expenditures Over (Under)
Budgeted Expenditures
Transfers In (Out)
Stubbs Bay Construction Fund Equity
Excess (Deficiency) of Revenue
Over Expenditures
Fund Balance - Beginning of Year
Fund Balance - End of Year
Fund Balance Components
Designated for Debt Service
Total Fund Balance
City of Orono
Debt Service Funds
Changes in Fund Balance
A-13
Actual Estimated Estimated
1999 2000 2001
$154,471 $142,230 $133,600
153,400 J42,230_J33,600
$1,071 $0 $0
$192,860 $197,520 $196,030
__ ! 92,930 197,520 196,030
($70)$0 $0
$0 $0
%
$0
($38,389)($55,290)($62,430)
807,191 76M02 713,512
$768,802 $713,512 $651,082
768,802 713^512 651,082
$768,802 _ $713,512 $651,082_
IP"
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City of Orono
Debt Service Funds
Changes in Fund Balance
A-14
I995n985>G.O. Bonds Actual Estimated Estimated
1999 2000 2001
Revenues
Actual $45,711 $27,070 $550
Budget 44,450 27,070 550
Actual Revenues Over (Under)
Budgeted Revenues $1,261 $0 $0
ExDenditures
Actual $83,624 $80,355 $76,450
Budget 83,860 80,355 76,450
Actual Expenditures Over (Under)
Budgeted Expenditures ($236)$0 $0
Transfers In (Out)
•$0 $0 $0
-0 0 0
Excess (Deficiency) of Revenue
Over Expenditures __ ($53,285)($75,900)
Fund Balance - Beginning of Year 180,266 142,353 89,068
Fund Balance - End of Year $142,353,$89,068 $13,168
Fund Balance Comoonents
Designated for Debt Service 142,353 89,068 13,168
Total Fund Balance $142,353 $89,068 $13,168
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City of Orono
Debt Service Funds
Changes in Fund Balance
A-I5
1997 G.O. Bonds Actual Estimated Estimated
1999 2000 2001
Revenues
Actual $210,204 $177,930 $169,600
Budget 184,390 177,930 169,600
Actual Revenues Over (Under)
Budgeted Revenues $25,814 $0 $0
Expenditures
Actual $171,265 $167,410 $168,530
Budget 171,510 167,410 168,530
Actual Expenditures Over (Under)
Budgeted Expenditures ($245)$0 $0
Transfers In (Out)
.$0 $0 $0
-0 0 0
Excess (Deficiency) of Revenue
Over Expenditures $38,939 $10,520 $1,070
Fund Balance - Beginning of Year 423,253 462,19^472,7|2
Fund Balance - End of Year $462,192 $472,712 $473,782
Fund Balance Comoonents
Designated for Debt Service 462,192 472,71^473,782
Total Fund Balance $462,192 $472,7 12_$473_,7^_
' ■■ivu-^SikS
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City of Orono
Debt Service Funds
Changes in Fund Balance
A-16
1998 HRA Refunding Bonds Actual
1999
Estimated
2000
Estimated
2001
Revenues
Actual
Budget
$103,154
134,520
$104,145
104,145
$104,145
104,145
Actual Revenues Over (Under)
Budgeted Revenues ($31,366)$P-$0
Exoenditures
Actual
Budget
$136,021
134,520
$104,145
104,145
$104,145
104,145
Actual Expenditures Over (Under)
Budgeted Expenditures
Transfers In (Out)
$1,501 $0 __ $0
$0 $0 $0
Excess (Deficiency) of Revenue
Over Expenditures _M2,867)$0 $0
Fund Balance - Beginning of Year 2,414,527 __2,381,660 2,381,660
Fund Balance - End of Year $2,381,660 $2,381,660 $2,381,660
Fund Balance Comoonents
Designated for Debt Service 2,381,660 2,381,660 2,381,660
I Total Fund Balance $2,381,660 $2,381,660 $2,381,660
♦
1999 G.O. Bonds
Revenues
Actual
Budget
Actual Revenues Over (Under)
Budgeted Revenues
Expenditures
Actual
Budget
Actual Expenditures Over (Under)
Budgeted Expenditures
Transfers In (Out)
Excess (Deficiency) of Revenue
Over Expenditures
Fund Balance - Beginning of Year
Fund Balance - End of Year
Fund Balance Components
Designated for Debt Service
Total Fund Balance
City of Orono
Debt Service Funds
Changes in Fund Balance
Actual
1999
$143,383
0
$143,383
$520
0
$520
A-I7
Estimated
2000
$118,950
118,950
$0
$64,450
64,450
$0
Estimated
2001
$123,080
123,080
$0
$118,500
118,500
$0
$0 $0
-$0 0
$142,863 $54,500 $4^580
0 142,863 197,363
$142,863 $197,363_$201,943
142,863 197,363 201,943
$142,863 $197,363.$201,943
Actual
Budget
Actual Revenues Over (Under)
Budgeted Revenues
Expenditures
Actual
Budget
Actual Expenditures Over (Under)
Budgeted Expenditures
Transfers In (Out)
r-’mm
' ■ ,-l W.* >
Excess (Deficiency) of Revenue
Over Expenditures
I ‘
Fund Balance - Beginning of Year
Fund Balance - End of Year
Fund Balance Components
Designated for MSA Suwt Construction
Total Fund Balance
. ■ > J
m
mmm
City of Orono
MSA Fund
Changes in Fund Balance
m
A-18
Actual Estimated Estimated
1999 2000 2001
$659,802 $203,520 $11,590
_ _ _600,000 203,520 11,590
$59,802 $0 $0
$560,743 $200,000 $0
600,000 200,000 0
($39,257)$0 $0
$0 $0 $0
0 0 0
$99,059 _ _$3,520 $11,590
51,876 150,935 154,455
$150,935 .$!H455 $166,045
150,935 154,455 166,045
$150,935 $154,455 $16^045
* -A
mm
City of Orono
Permanent Improvement Revolving Fund (PIR)
Changes in Fund Balance
•• The einetgeDcy contingency account is considered fully funded at $325,000.
The City established the road/bridge account in 1987 with resolution #2210. The funds came from interest earned on MSA construction monies
which were not then needed for MSA projects. Expenditures from the account arc restricted to road and bridge projects, as approved by Council.
The City established the emergency contingency account with resolution #941. and amended with resolution #2669 in 1989. The account is restricted for use
use in a catastrophic situation or for temporary funding in the form of short-tenn loans to other accounts or funds.
A-19
Actual Estimated Estimated
Revenues 1999 2000 2001
Actual $140,815 $119,380 $123,980
Budget 116,750 119,380 _____123,980
Actual Revenues Over (Under)
Budgeted Revenues 24,065 0 0
Exnenditures
Actual $75,530 $70,450 $70,450
Budget 70,450 70,450 70,450
Actual Expenditures Over (Under)
Budgeted Expenditures
Transfers In (Out)
5,080 0 0
General Fund - Storm Wtr Plan/Projeets 0 0 0
Stubbs Bay Construction Fund 0 0 0
Excess (deficiency) of revenue
over expenditures $65,285 $48,930 $53,530
Fund Balance Beginning of Year 694,030 759,315 808,245
Fund Balance End of Year $759,315 $808,245 $861,775
Fund Balance Components
Designated for:
Infrastructure (road^ridge) projects $134,045 139,045 144,045
Infrastructure (storm drainage) projects 108,685 113,685 118,685
Storm water management plan 0 0 0
Emergency contingencies 325,000 **325,000 **325,000
Undesignated 191,585 230,515 274,045
Total Fund Balance $759,315 $808,245 $861,775
5-fcSS^
,ij> ^ -'#'3 City of Orono
Water Operating Fund
Changes in Retained Earnings
Operating Revenues
Actual
Budge!
Actual Revenues Over (Under)
Budgeted Revenues
Operating Expenditures
Actual
Budget
Actual Expenditures Over (Under)
Budgeted Expenditures
Non-Operating Revenues (Expenditures)
Net
Excess (Deficiency) of Revenue
Over Expenditures
Credit for Deprec. on Contributed Equity
Credit for Loss on Disposal of Contrib Assets
Retained Earnings - Beginning of Year
Retained Earnings - End of Year
‘V
Cash Balance
, '■Jfsvv::
A-20
Actual Estimated Estimated
1999 2000 2001
$238,762 $268,460 $272,400
250,435 268,460 272,400
($11,673)$0 $0
$304,513 $303,050 $301,260
277,910 303,050 301,260
$26,603 $0 $0
$378,666 $129,700 $69,620
$312,915 $95,110 $40,760
19,090 19,090 19,090
24,976 --
1,026,274 1,383,255 1,497,455
$1,383,255 _ _$1,4?7,455 $1,557_,305
359,484 473,700 533,550
mlE^t>4^'Ji
City of Orono
Sewer Operating Fund
Changes in Retained Earnings
fc%. \
IT) X
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A-21
Actual Estimated Estimated
1999 2000 2001
Ooeratine Revenues
Actual $712,556 $721,000 $737,500
Budget 689,150 721,000 737,500
Actual Revenues Over (Under)
Budgeted Revenues $23,406 $0 SO
Ooeratine Exoenditures
Actual $703,451 $717,650 $755,310
Budget 683,190 717,650 755,310
Actual Expenditures Over (Under)
Budgeted Expenditures $20,261 $0 50
Non-Ooeratine Revenues (Expenditures)
Net $251,644 ($107,210)$73,450
Excess (Deficiency) of Revenue
Over Expenditures $260,749 ($103,860)$55,640
Credit for Deprec. on ConUibuted Equity 100,842 100,843 100,850
Retained Earnings - Beginning of Year 2,273,696 2,635,287 2,632,270
Retained Earnings - End of Year $2,635,287 $2,632,270 $2,788,760
Cash Balance 1,571.665 1,568,620 1,725,110
i ^
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City of Orono
Golf Operating Fund
Changes in Retained Earnings
lf£m
4r
. '.-.5' >'
isf
^ .
■■ ■■•
A-22
Ooeratine Revenues
Actual
1999
Estimated
2000
Estimated
2001
Actual $205,071 $196,910 $206,750
Budget
Actual Revenues Over (Under)
19M80 196,910 206,750
Budgeted Revenues $13,891 $0 $0
Ooeratine Expenditures
Actual $176,699 $185,020 $199,950
Budget
Actual Expenditures Over (Under)
167,780 185,020 199,950
Budgeted Expenditures ____$8,919 $0 $0
Non-Ooeratine Revenues (Expenditures)
Net
Excess (Deficiency) of Revenue
$3,203 ($29,400)($20,675)
Over Expenditures $31,575 ($17,510)____($11,875)
Credit for Deprec. on Contributed Equity 653 650 650
Retained Earnings - Beginning of Year 455,505 487,733 470,873
Retained Earnings - End of Year _ $487,733 $470,873 $457,M8
Cash Balance 265,924 249.000 235,800
Cash Flows Ftom Operating Activity:
Operating Revenue
Operating Expenses, including Depreciation
Operating Income (Loss)
Adjustments to reconcile operating income (loss)
to net rash from operating activity -
Depreciation
Net Catli From Operating Activity
Cash Flows From Capital.
Financine & InvestingActivity:
wm
Interest Received on Investments
Property Taxes for Revenue Bonds
Special Assessments for Revenue Bonds
Special Assessments for Water Plant Rehab
Antenna Leases Revenue
Connection Fees
Principal Paid on Revenue Bonds
Interest & Other Charges on Revenue Bonds
Principal & Interest on Interfund Loan
Capital Outlay
Net Cash From Cap, Fin & Invest Acsv»iiy
Net Increase (Decrease) in Cash From Opei ating,
Capital, Financing & Investing Activity
Cash January I
Cadi, December 31
City of Orono
Water Operating Fund
Cash Flow Budget
1999 Actual 2000 Budget
A-23
2001 Budget
238,762 268,460 272,400
304,513 265,760 269,200
(65,751)2,700 3,200
_ _ _ _43,149 68,720 56,050
(22,602)71,420 59,250
14,480 35,000 34,500
102,842 75,000 0
41,398 38,940 36,490
83,822 54,330 47,540
56,800 68,750 72,190
6,933 18,020 15,000
(129,005) (136,590)(134,065)
(19,694)(15,860)(8,645)
(56,390)(52,210)(53,870)
(582,522)(7,000)_ 0
(481,336)78,380 9,140
(503,938)149,800 68,390
863,422 359,484 509,284
359,484 509,284 577,674
% Increase
1.4%
1.3%
payment #3 in 2001
water plant rehab proj
i.
-------- L,t •'» S ■vr ' - >City of Orono
Sewer Operating Fund
Cash Flow Budget
1999 Actual 2000 Budcet
Operating Activity
Operating Revenue
Operating Expenses, including Depreciation
f:
Operating Income (Loss)
Adjustments to reconcile operating income (loss)
to net cash from operating activity •
Depreciation
Net Cash From Operating Activity
Cash Flows From Capital,
Financing & Investing Activity:
mm
Grants & Aids from Other Governments
Interest Received on Investments
Special Assessments for Revenue Bonds
Interest Received on Certified Accounts
Metro Council Environmental Scrv - CVC
Connection Fees
Metro Council Environmental Serv - Def Gain
Principal Paid on Revenue Bonds
Interest A Other Charges on Revenue Bonds
Capital Outlay
Net Cash From Cap« Fin A Invest Activity
Net laercase (Decrease) in Cash From Operating,
Capitol, Financing & Investing Activity
Cash January I
Cash, December 31
A-24
2001 Budget
712,556 721,000 737,500
703,451 730,410 755,310
9,105 (9,410)(17,810)
136,673 132,400 157,380
145,778 122,990 139,570
33,728 81,790 86,700
17,957 16,900 15,830
5,381 5,000 5,000
21,996 22,000 17,400
16,606 9,540 9,540
(9.530) (9,530) (9,530)
(125,995) (133,410)
(130,930)
(21,295)(15,490)(9,520)
(203,445)(95,000)(96,800)
(264,597) (118,200)(112,310)
(118,819)4,790 27,260
1,690,484 1,571,665 1,576,455
1,571,665 1,576.455 1,603,715
2.8% rate increase
% Increase
2.3%
3.4%