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2008 Budget2008 Annual Budget City of Chanhassen, MN Adopted December 10, 2007 Thomas A. Furlong, Mayor Council Members Bryan Litsey Bethany Tjornhom Craig Peterson Vicki Ernst Todd Gerhardt, City Manager Greg Sticha, Finance Director CITY OF CHANHASSEN 2008 BUDGET Table of Contents Authorizing Resolution..................................................................................... 1 Tax Levy Chart................................................................................................ 2 General Fund Expenditures.................................. .................................... .......3 General Fund Revenues............................. .............................................. .......4 General Government Legislative............................................................................................. 6 Administration....................................................................................... 8 Finance............................................................................................... 1 0 Legal................................................................................................... 12 Property Assessment............................ .............................................. 14 Management Information Services (MIS) ............................................16 City Hall............................................................................................... 18 Elections............................................................................................ .20 Library ........ ........ ......... ................... ............. ............ ......................... ...22 Public Safety Police Administration.............................................. ........................... ..24 Fire Prevention and Administration............ .................................... ..... 26 Code Enforcement.................................... ............... ....................... ....28 Community Service............................................................................ .30 Public Works Engineering ................................................................... ................... ...32 Street Maintenance.......................................................................... ...34 Street Lighting.................................................................................... .36 City Garage......................................... ............................................... . 38 Community Development Planning Commission........................................................................ .40 Planning Administration....................... ...............................................42 Senior Facility Commission...................... ...........................................44 Parks & Recreation Parks & Recreation Commission......... ................................................ 46 Parks & Recreation Administration..... ............................................... .. 48 Recreation Center..... ......................................................................... .50 Lake Ann Park Operations.................................................................. 52 Park Maintenance..................................... ............. ............................ .54 Senior Citizens Center... ............................ .................. .......................56 Recreation Programs.................................................................. ....... .58 Self-Supporting Programs.................................................................. .60 CITY OF CHANHASSEN 2008 BUDGET Table of Contents (Continued) Special Revenue Funds.. ........................ ........ ...............................................63 100/0 Fund.......................................................................................... ..64 Cable TV Fund............ .................... .............. ......................................66 Enterprise Funds................................ .......................................................... . 69 Water Utility Fund........ ......... .......... ............... ....................... ...............70 Sewer Utility Fund.......... ........................ .......... ...................................74 Surface Water Management Fund............................... ................. ...... 78 Appendix Public Expenditure Policy.............................................................................. 87 Purchasing Policy......................... .......... ........................................ ...............91 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, MINNESOTA DATE:December 10,2007 RESOLUTION NO:2007-77 MOTION BY:Peterson SECONDED BY:Litsev A RESOLUTION ADOPTING THE 2008 BUDGET AND ESTABLISHING TAX LEVIES FOR 2007, COLLECTIBLE IN 2008 WHEREAS, the City Council has examined the budgetary and tax levy needs for Chanhassen for the calendar year 2008 through detailed public budget meetings; and WHEREAS, the Truth in Taxation meeting was held to receive public input into the budget and tax levy for 2008; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chanhassen that the 2008 Budget for the City of Chanhassen is adopted with revenue and expenditure amounts for the General Fund of $9,318,300, Special Revenue Funds of $19,500, and 154,500 respectively which are detailed in the 2008 Budget which is made part of this motion by reference; and BE IT FURTHER RESOLVED that the City Council of the City of Chanhassen adopts a tax levy of $824,000 for the purpose of equipment upgrades and purchases for 2008; and BE IT FURTHER RESOLVED that the City Council of the City of Chanhassen determines that certain bonded indebtedness levies are hereby adopted to meet statutory requirements and bond covenants and that the County Auditor is hereby authorized to spread the adopted bonded debt levies as shown on the attached Tax Levy Certification document; and BE IT FURTHER RESOLVED that the City of Chanhassen authorizes the County Auditor to levy the amounts shown on the attached Tax Levy Certification document upon taxable property in the City of Chanhassen in 2007 for collection in 2008, as set forth in the attached Tax Levy Certification document. Passed and adopted by the Chanhassen City Council this 10th day of December, 2007. LA?' T Thomas A. Furlong, Mayor YES Furlong Litsey Peterson Tjornhom NO Ernst None CITY OF CHANHASSEN (DECEMBER) TAX LEVY 2008 Budget TAX CAPACITY BASED TAX LEVY 2007 2008 Percent Levy Levy Increase 6,558,100 $6,833,900 4.21% 824,000 824,000 0.00% 250,750 267,875 6.83% 129,500 -100.00% 488,280 484,873 -0.70% 80,000 285,000 256.25% 100,000 100.00% 122,548 122,703 0.13% 8,453,178 8,918,351 5.50% General Fund Capital Replacement Fund (for equipment) Pavement Mgmt Fund (Sealcoating) Special Assessment Debt General Obligation Debt General Obligation Debt (212 Bonds) Local Street Improvements Debt of Other Agencies (EDA) TOTAL TAX CAPACITY BASED TAX LEVIES MARKET VALUE TAX LEVY Park Referendum Library Referendum TOTAL MARKET VALUE TAX LEVY TOTAL TAX LEVY 696,500 695,900 489,100 490,700 1,185,600 $1,186,600 63,000) ($269,986) 9,575,778 $9,834,965 259,187 0.09% 0.33% 0.08% Use of cash reserves 2.71% Dollar Increase GENERAL GOVERNMENT 1110 Legislative 1120 Administration 1130 Finance 1140 Legal 1150 Assessing 1160 MIS 1170 City Hall 1180 Elections 1190 Library Building TOTAL LAW ENFORCEMENT 1210 Law Enforcement 1220 Fire 1250 Building Inspection 1260 CSO TOTAL PUBLIC WORKS 1310 Engineering 1320 Street Maintenance 1350 Street Lighting 1370 Vehicle Maintenance TOTAL COMMUNITY DEVELOPMENT 1410 Planning Commission 1420 Planning Administration 1430 Senior Commission TOTAL PARKS & RECREATION 1510 Park & Rec. Commission 1520 Park Administration 1530 Recreation Center 1540 Lake Ann 1550 Park Maintenance 1560 Senior Center 1600 Recreation Programs 1700 Self-Supporting Programs TOTAL Total Operational Expenditures Transfer for Roads TOTAL GENERAL FUND CITY OF CHANHASSEN 2008 BUDGET Expenditures Personal Materials & Contractual Capital 2007 % Services Supplies Services Outlay Total Total Change 34,200 200 100,500 - 134,900 123,400 9.32% 374,500 500 59,900 - 434,900 438,000 -0.71% 210,600 300 91,500 200 302,600 318,000 -4.84% 168,000 - 168,000 168,000 0.00% 101,600 - 101,600 100,100 1.50% 163,600 2,400 119,300 - 285,300 281,200 1.46% 68,400 42,300 282,100 - 392,800 428,600 -8.35% 21,500 - 6,400 - 27,900 19,700 41.62% 3,000 107,200 - 110,200 102,200 7.83% 872,800 48,700 1,036,500 200 1,958,200 1,979,200 -1.06% 75,100 - 1,427,000 - 1,502,100 1,333,700 12.63% 510,600 47,000 116,000 - 673,600 678,600 -0.74% 658,800 8,700 23,400 - 690,900 756,100 -8.62% 55,300 4,000 13,700 - 73,000 69,200 5.49% 1,299,800 59,700 1,580,100 - 2,939,600 2,837,600 3.59% 506,500 900 29,900 300 537,600 528,400 1.74% 599,700 133,500 33,000 1,300 767,500 786,500 -2.42% 4,500 315,400 - 319,900 314,900 1.59% 241,700 150.400 46,500 6,000 444,600 459,600 -3.26% 1,347,900 289,300 424,800 7,600 2,069,600 2,089,400 -0.95% 200 4,000 - 4,200 4,200 0.00% 367,800 700 14,100 - 382,600 377,600 1.32% 20,100 - 15,200 - 35,300 30,100 17.28% 387,900 900 33,300 - 422,100 411,900 2.48% 200 2,000 - 2,200 2,200 0.00% 118,500 1,000 9,600 - 129,100 123,500 4.53% 212,700 11,500 77,000 - 301,200 269,100 11.93% 13,800 9,100 51,400 - 74,300 71,800 3.48% 661,300 81,300 88,200 4,000 834,800 819,600 1.85% 36,900 4,300 19,500 - 60,700 52,400 15.84% 165,800 17,1 00 93,500 - 276,400 274,200 0.80% 26,900 5,200 68,000 - 100,100 131,500 -23.88% 1,235,900 129,700 409,200 4,000 1,778,800 1,744,300 1.98% 5,144,300 528,300 3,483,900 11,800 9,168,300 9,062,400 1.17% 150,000 9,318,300 9,062,400 2.82% CITY OF CHANHASSEN 2008 BUDGET REVENUE 101 General Fund 2006 2007 2007 2008 Inc Over ACCOUNT DESCRIPTION ACTUAL BUDGET PROJECTED BUDGET PY Budget GENERAL PROPERTY TAX 3010 Current Property Tax 6,121,408 6,558,100 6,558,100 6,833,900 4.2% 3002 Allowance for Delinquent Taxes (320,000) (320,000) (320,000) 3011 Delinquent Property Tax 63,896 50,000 50,000 50,000 3041 Homestead & Ag Credit 3090 Other Property Taxes 8 3500 Local Government Aid TOTAL GENERAL PROPERTY TAX 6,185,312 6,288,100 6,288,100 6,563,900 4.4% LICENSES 3203 Dog Kennel 900 500 500 500 3205 Dog or Cat 5,257 4,500 4,500 5,000 3213 Solicitor 300 500 500 500 3223 3.2 Off and On Sale 2,225 3226 Liquor On and Off Sale 79,977 84,000 84,000 84,000 3227 Club and Sunday 1,600 3230 Rental Housing Licenses 5,950 15,000 15,000 15,000 3284 Rubbish 3,600 3,000 3,000 3,000 TOTAL LICENSES 99,809 107,500 107,500 108,000 0.5% PERMITS 3301 Building 700,450 825,000 725,000 725,000 3302 Plan Check 365,892 330,000 330,000 330,000 3305 Heating & AlC 119,392 120,000 120,000 120,000 3306 Plumbing 94,641 85,000 85,000 95,000 3307 Trenching 42,707 35,000 35,000 35,000 3308 Gun 700 1,000 1,000 1,000 3309 Sprinkler 11,448 14,000 14,000 14,000 3311 Sign 7,255 6,500 6,500 7,500 3320 Stable 220 300 300 300 3330 Elec Permit App Forms 104 3331 Firework's Application Fee 400 3390 Misc. Permits 2,945 1,000 1,000 2,000 TOTAL PERMITS 1,346,155 1,417,800 1,317,800 1,329,800 -5.7% FINES & PENALTIES 3401 Traffic & Ordinance Violation 152,365 130,000 140,000 150,000 3402 Vehicle Lockouts 2,450 2,500 2,500 2,500 3404 Dog/Cat Impound 6,583 4,000 4,000 5,000 3405 Other Fines and Penalties 1,548 TOTAL FINES & PENALTIES 162,946 136,500 146,500 157,500 15.4% INTERGOVERNMENTAL REVENUE 3509 Other Shared Taxes 175,685 165,000 165,000 175,000 3510 Grants-State 61,424 40,000 40,000 50,000 TOTAL INTERGOVERNMENTAL REV 237,109 205,000 205,000 225,000 9.8% CITY OF CHANHASSEN 2008 BUDGET REVENUE 101 General Fund 2006 2007 2007 2008 Inc Over ACCOUNT DESCRIPTION ACTUAL BUDGET PROJECTED BUDGET PY Budget CHARGES FOR CURRENT SERVICES 3601 Sale of Documents 979 4,000 1,000 1,000 3602 Use & Variance Permits 52,360 45,000 35,000 40,000 3603 Rezoning Fees 2,500 2,000 2,000 2,000 3604 Assessment Searches 720 500 500 500 3605 Plat Recording Fees 15,288 10,000 7,000 7,000 3607 Election Filing Fees 30 3613 Misc.-General Government 8,026 10,000 10,000 10,000 3614 Admin. Charge-2% Constr. 146,687 120,000 50,000 50,000 3615 Admin. Charge-5% Street Re-Constr. 32,000 3617 Engineering General 1,336 1,000 1,000 1,000 3619 Investment Management Fee 75,000 75,000 75,000 75,000 3629 Misc.-Public Safety 6,138 4,000 4,000 5,000 3630 Recreation Program Fees 24,813 30,000 30,000 38,100 3631 Recreation Center 121,671 135,000 125,000 114,000 3633 Park Equipment Rental 222 200 200 200 3634 Park Facility Usage Fee 9,747 12,000 12,000 12,000 3635 Watercraft Rental 4,466 4,000 4,000 4,000 3636 Self-Supporting Programs 172,924 160,000 175,000 180,000 3637 Senior Programs 27,078 30,000 30,000 30,000 3638 Food Concessions 11,971 12,000 12,000 12,000 3639 Misc.-Park & Rec. 765 800 800 800 3641 Youth Sport Donation 32 3649 Misc.-Public Works 14,400 5,000 5,000 5,000 3651 Merchandise Sales 1,886 1,500 3670 Internment Fee 250 TOTAL CURRENT SERVICES 699,290 660,500 579,500 621,100 -6.0% OTHER REVENUE 3801 Interest Earnings 133,405 70,000 110,000 125,000 3802 Equipment Rental & Sale 107,384 110,000 110,000 125,000 3803 Building Rental 1,613 3804 Land Sale 1,600 3807 Donations 26,122 20,000 20,000 20,000 3808 Ins. Recoveries & Reimburse 10,024 5,000 5,000 5,000 3816 SAC Retainer 70,169 5,000 155,000 5,000 3818 Sur-Tax Retainer 954 1,500 1,500 1,500 3820 Misc. Other Revenue 110 5,000 1,000 1,000 3829 Interest/Penalties-Other 500 500 500 3903 Refunds/Reim bursements 34,546 30,000 30,000 30,000 3910 Misc. Revenue 323 TOTAL OTHER REVENUE 386,249 247,000 433,000 313,000 26.7% TOTAL GENERAL FUND REVENUE 9,116,869 9,062,400 9,077,400 9,318,300 2.8% TOTAL GENERAL FUND EXPENDITURES 9,318,300 NET LEVY REMAINING (Use of Gen Fund Reserves) CITY OF CHANHA55EN 2008 BUDGET Commentary General Government - Legislative Mission and Current Services The City Council, comprised of the mayor and four at-large Council representatives, is the legislative body of city government. Chanhassen is a statutory Plan B city, which is a Council/Manager form of government. The Council is responsible for formulating City policy, enacting legislation, and oversight of City administration. The Council also has authority over the financial affairs of the City, including appropriating money through the annual adoption of the City budget and property tax levy. The City Council appoints members to various boards and commissions such as the Economic Development Authority, Planning Commission, Park and Recreation Commission, and other advisory groups. Budget Highlights The proposed 2008 budget reflects an increase of $11,500 (+9.3%). Increases are due to increased printing and postage fees associated with the Chanhassen Connection and Maple Leaf, which are each published four times per year. Also included are additional costs for travel and training for city council to attend conferences. Future Trends The Council continues to pursue excellence in building community and enhancing citizen participation through neighborhood meetings, public forums, and other methods. Outcomes The legislative budget is mainly comprised of four major expenses: Salaries, reimbursements, travel, and training for the City Council Printing and distribution of the Chanhassen Connection and the Maple Leaf Membership in the League of Minnesota Cities (LMNC), which provides research, advocacy, and access to the Workers Compensation Insurance Pool Publication of ordinances and agenda CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1110 Legislative 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/lDEC) 4020 Salaries & Wages-Temp 27,1 00 31,600 31,600 0.0% 4030 Contributions-Retirement 2,083 2,500 2,500 0.0% 4050 Workers Compensation 72 100 100 0.0% TOTAL PERSONAL SERVICES 29,256 34,200 34,200 0.0% 4210 Books & Periodicals 200 200 0.0% TOTAL MATERIALS & SUPPLIES 200 200 0.0% 4300 Fees, Services 7,381 13,000 8,000 (38.5%) 4330 Postage 5,831 6,000 6,500 8.3% 4340 Printing & Publishing 44,631 37,000 47,000 27.0% 4360 Subscriptions & Memberships 27,730 28,000 29,000 3.6% 4370 Travel & Training 6,545 3,000 8,000 166.7% 4375 Promotional Expense 999 2,000 2,000 0.0% TOTAL CONTRACTUAL SERVICES 93,118 89,000 100,500 12.9% TOTAL LEGISLATIVE 122,373 123,400 134,900 9.3% CITY OF CHANHASSEN 2008 BUDGET Commentary General Government - Administration Mission and Current Services The City Manager is the chief administrative officer of the City and directs the administration of City affairs. It is the City Manager's responsibility to enforce the city code and resolutions adopted by the City Council. The City Manager's office provides general administrative services for the City to ensure that Council policies and directives are fulfilled. Duties also include keeping the Council fully advised of the financial condition and the needs of the City, preparing and submitting the annual budget, and recommending measures to the Council deemed necessary and/or desirable for the welfare of the community and the efficient administration of the City's affairs. The City Manager's office also provides liaison between the Council, advisory boards and commissions, staff, other governmental entities, the media, and the public. The Administration Department oversees progress toward meeting City goals in the areas of responsive government, safe community, lifelong learning, housing, business, and community connections in collaboration with the school districts, chamber of commerce, and other community organizations. Budget Highlights The proposed 2008 budget reflects a decrease of $3,100 (2.9 %) from the 2007 budget. Salaries and wages decreased due to employee turnover. Future Trends Administration will continue to supervise the implementation of the City's strategic plan and monitor progress toward its goals. Outcomes The majority of expenses in the Administration Department are for personnel costs. The Administration budget includes the City Manager, Assistant City Manager, Office Manager and two (2) Receptionists. Staff specifically provides support for the City Council and City Manager by producing the Chanhassen Connection and the Maple Leaf, providing verbatim minutes and audio/video recordings of City Council and Planning Commission meetings, and City Council and Commission packets. Other significant expenses within Administration include postage and equipment rental. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1120 Administration 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INCUDECl 4010 Salaries & Wages-Reg 282,694 295,000 294,000 (0.3%) 4020 Salaries & Wages-Temp 6,000 6,000 0.0% 4030 Contributions-Retirement 35,453 41 ,1 00 37,800 (8.0%) 4040 Contributions-I nsurance 34,725 42,300 35,500 (16.1%) 4050 Workers Compensation 1,001 1,100 1,200 9.1% TOTAL PERSONAL SERVICES 353,872 385,500 374,500 (2.9%) 4120 Supplies-Equipment 901 200 200 0.0% 4130 Supplies-Program 100 100 0.0% 4210 Books & Periodicals 100 200 200 0.0% TOTAL MATERIALS & SUPPLIES 1,001 500 500 0.0% 4300 Fees, Services 770 2,000 2,000 0.0% 4310 Telephone 1,566 1,500 2,400 60.0% 4330 Postage 20,716 13,000 16,000 23.1% 4340 Printing & Publishing 4,169 1,500 1,500 0.0% 4360 Subscriptions & Memberships 3,987 2,500 4,000 60.0% 4370 Travel & Training 6,833 5,500 8,000 45.5% 4380 Mileage 7,239 7,200 7,200 0.0% 4410 Rental-Equipment 18,778 18,500 18,500 0.0% 4530 Repair & Maintenance-Equip 172 300 300 0.0% 4807 Property Tax Expense 2,916 0.0% 4933 Sales Tax 0.0% TOTAL CONTRACTUAL SERVICES 67,146 52,000 59,900 15.2% 4703 Office Equipment 0.0% TOTAL CAPITAL OUTLAY 0.0% TOTAL ADMINISTRATION 422,020 438,000 434,900 (0.7%) CITY OF CHANHASSEN 2008 BUDGET Commentary General Government - Finance Mission and Current Services The Finance Department is responsible for accounting, revenue collection, invoice payment, budget monitoring, payroll preparation, and utility billing. The department is comprised of the Finance Director, two full-time Accounting Clerks and another Accounting Clerk shared 25% with the Fire Department. Budget Highlights The 2008 budget reflects a decrease of $15,400 (4.8%) due to employee turnover within the department. Future Trends The Finance Department acquired new software in 2005. This process is requiring a significant amount of effort from the staff, but we anticipate better reporting and more accountability will be the result. Significant annual projects include the audit, Capital Improvements Program (CIP), and financial trend monitoring. Outcomes The major costs in the finance department, aside from personnel costs, are providing services to the City as follows: 1. Audit: The audit process is an extensive review of our financial records and internal controls in place to assure that all City assets are properly accounted for. The Finance Department spends between $75,000-$80,000 annually to perform the audit and other related accounting reviews. The City has received the award for financial reporting excellence from the Government Finance Officers Association (GFOA), since 1992. Less than 10% of all Minnesota municipalities receive this award. 2. Memberships: All employees of the Finance Department are members of the Minnesota GFOA. This membership allows for access to ideas and thoughts on finance-related topics from other member cities, allows for training provided by professionals in the government finance profession, and for networking opportunities with other members from across the state and country. The cost for the entire department to be members is about $400. During 2006 and 2007, the Finance Department implemented ACH (autopay) for utility customers. The goal of the department is to have 20% of all accounts use this service. The use of ACH for paying utility bills allows for the department to become more efficient in processing fewer bill payments. In addition, it is a service to residents that saves them time and cost in paying their utility bill. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1130 Finance 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 172,006 177,900 168,000 (5.6%) 4011 Overtime 541 200 200 0.0% 4030 Contri butions-Retirement 22,191 24,700 24,000 (2.8%) 4040 Contributions-I nsu rance 21,807 22,200 17,400 (21.6%) 4050 Workers Compensation 641 1,000 1,000 0.0% TOTAL PERSONAL SERVICES 217,186 226,000 210,600 (6.8%) 4120 Supplies-Equipment 50 200 200 0.0% 4210 Books & Periodicals 100 100 0.0% TOTAL MATERIALS & SUPPLIES 50 300 300 0.0% 4300 Fees, Services 52,373 42,000 55,000 31.0% 4301 Fees, Financial/Audit 20,362 38,000 25,000 (34.2% ) 4310 Telephone and Communications 283 300 300 0.0% 4330 Postage 200 200 0.0% 4340 Printing & Publishing 1,426 1,500 1,500 0.0% 4360 Subscriptions & Memberships 285 400 400 0.0% 4370 Travel & Training 4,202 9,000 9,000 0.0% 4530 Repair & Maintenance-Equip 100 100 0.0% TOTAL CONTRACTUAL SERVICES 78,931 91,500 91,500 0.0% 4703 Office Equipment 200 200 0.0% TOTAL CAPITAL OUTLAY 200 200 0.0% TOTAL FINANCE 296,167 318,000 302,600 (4.8%) CITY OF CHANHASSEN 2008 BUDGET Commentary General Government - Legal Mission and Current Services This fund pays for attorney services that advise the City on questions of law, reviews all ordinances, resolutions, contracts, and other legal documents of the City, and represents the City in court actions including the prosecution of cases in District Court. The City has contracted with Campbell Knutson Professional Association to handle civil and criminal matters, as well as the City's prosecution duties. The City also periodically uses separate law firms for various specialized legal matters (personnel/labor, bond counsel, EDA). The City uses consultative attorney services with general service costs paid on a fixed fee basis. Budget Highlights There was no increase in the legal services budget from 2007 to 2008. Future Trends The City will continue to use legal services to ensure that the City's interests are fairly represented in all matters. Outcomes The contract for legal services ensures that the City has representation in legal matters, access to legal advice, and the City Attorney attends all City Council meetings. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1140 Legal 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4302 Fees, Legal 158,768 168,000 168,000 0.0% TOTAL CONTRACTUAL SERVICES 158,768 168,000 168,000 0.0% TOTAL LEGAL 158,768 168,000 168,000 0.0% CITY OF CHANHASSEN 2008 BUDGET Commentary General Government - Property Assessment Mission and Current Services This fund pays for the valuation of residential, commercial and industrial real estate parcels and personal property by the Carver County Assessor's Office. The taxable value estimates are used by the City, School Districts, Carver County, and special taxing jurisdictions for the purpose of equitably distributing the property tax on all taxable properties. Budget Highlights The proposed 2008 budget shows an increase of $1 ,500 (1.5%) due to an increase in the number of parcels needing to be assessed. Future Trends The City plans to continue using the Carver County Assessor to assess the value of all parcels within the City of Chanhassen. The City has contracted with Carver County for service in 2008. In 2007, the City also commenced a three-year contract with Carver County to handle assessment appeals through the Open Book process. Outcomes Accurate and consistent property valuation is essential to a fair taxation system. The City has examined the cost of in-house property assessment and found contracting with the County to be more cost-effective. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1150 Property Assessment 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INCICDEC) 4300 Fees, Services 94,264 100,000 101,500 1.5% 4340 Printing & Publishing 100 100 0.0% TOTAL CONTRACTUAL SERVICES 94,264 100,100 101,600 1.5% TOTAL PROPERTY ASSESSMENT 94,264 100,100 101,600 1.5% CITY OF CHANHASSEN 2008 BUDGET Commentary General Government - Management Information Systems (MIS) Mission and Current Services The MIS Department provides and maintains computer, network, and telecommunication resources to all City users with a goal of assuring that staff has the appropriate technology to efficiently perform their job functions. The MIS staff also provides direct support of both desktop and server-hosted software applications and manages vendor support for all other City software. In addition, the department provides basic software training and manages external software training for all other City departments. Budget Highlights The 2008 MIS department budget reflects a 1.5% increase which is due primarily to increases in software maintenance fees. MIS staff will be concentrating on further deployments of Spring brook Software modules and rolling out Office 2007. Desktop computers, workstations, printers, and network equipment will be replaced as per the established schedule. Some equipment will be recycled for use in less demanding roles. Surplus equipment will continue to be sold via the city's online auction site. Future Trends The MIS Department will continue working towards the integration of the City's mapping and imaging applications with all other city applications. MIS will be participating in a Carver County GIS services project for new color orthographic imaging datasets. As part of the project, the city will be included in a county wide site license agreement for Pictometry, a three dimensional GIS application which can be deployed to all city users. The Pictometry application will be replacing the existing desktop mapping software. A dedicated GIS server will be setup in city hall which will be linked to a master GIS server at the County. MIS staff will be reconfiguring the majority of the city servers to use storage on a new Storage Area Network (SAN). This will alleviate problems faced by local storage shortages on current network servers. Staff will also be deploying virtual servers as a means to consolidate server hardware and separate software application servers. The current city wireless access for staff will be expanded into the Public Works and Recreation Center. Outcomes The major areas of expenditures within the MIS department budget, aside from personnel costs, are software support agreements for all City software applications and telephone systems. The major software agreements include all financial applications, permitting, document imaging, and various network support utilities. MIS staff will be replacing roughly one quarter of the City's desktop computers as part of an established equipment replacement program. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1160 M.I.S. 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/lDEC) 4010 Salaries & Wages-Reg 119,360 124,300 129,500 4.2% 4030 Contributions-Reti rement 15,959 17,300 18,300 5.8% 4040 Contributions-I nsu rance 16,250 17,900 15,300 (14.5%) 4050 Workers Compensation 427 500 500 0.0% TOTAL PERSONAL SERVICES 151,996 160,000 163,600 2.3% 4150 Maintenance Materials 743 1,300 1,300 0.0% 4210 Books & Periodicals 128 600 600 0.0% 4220 Software Licenses 8,908 0.0% 4260 Small Tools & Equipment 248 500 500 0.0% TOTAL MATERIALS & SUPPLIES 10,027 2,400 2,400 0.0% 4300 Fees, Services 57,370 78,100 86,100 10.2% 4310 Telephone 981 1 ,400 1 ,400 0.0% 4320 Utilities 11 ,160 12,600 12,600 0.0% 4350 Cleaning and Waste Removal 53 0.0% 4370 Travel & Training 23,351 21,700 14,200 (34.6%) 4530 Repair & Maintenance-Equip 3,820 5,000 5,000 0.0% 4933 Sales Tax 216 0.0% TOTAL CONTRACTUAL SERVICES 96,951 118,800 119,300 0.4% TOTAL M.I.S. 258,974 281,200 285,300 1.5% CITY OF CHANHA55EN 2008 BUDGET Commentary General Government - City Hall Mission and Current Services This fund exists to provide for improvements to City owned buildings and structures other than park and recreation facilities. Improvement projects are very diverse and range from replacement of elements that have reached the end of their service life expectancy, such as roofs and HVAC equipment, to improvements made to meet current building codes. Budget Highlights General Liability insurance costs decreased in this budget due to some costs being allocated to other funds. Future Trends Staff will continue to monitor City facilities and focus on preventative maintenance to avoid or delay large expenditures for major equipment and facility repairs. Outcomes The City Hall budget includes salary for one Building Maintenance staff person. This staff person is responsible for maintenance and repairs at all City owned buildings. In addition, the City Hall budget includes office supplies for all departments. The largest single item within the City Hall budget is General Liability Insurance ($150,500). This item includes property insurance, auto insurance, various risk coverages, and terrorism insurance. Another significant expense is the cost of utilities for City Hall and Old S1. Hubert's. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1170 City Hall 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 48,316 49,600 50,300 1.4% 4011 Overtime-Reg 3,780 2,000 3,500 75.0% 4030 Contri butions-Reti rement 7,005 6,900 7,100 2.9% 4040 Contributions-I nsu rance 6,206 6,600 5,900 (10.6%) 4050 Workers Compensation 1,536 1,500 1,600 6.7% TOTAL PERSONAL SERVICES 66,844 66,600 68,400 2.7% 4110 Supplies-Office 37,793 37,000 37,000 0.0% 4120 Supplies-Equipment 193 1,000 1,000 0.0% 4140 Supplies-Vehicles 329 1,000 1,000 0.0% 4150 Maintenance Materials 4,077 3,000 3,000 0.0% 4260 Small Tools & Equipment 68 500 300 (40.0%) TOTAL MATERIALS & SUPPLIES 42,460 42,500 42,300 (0.5%) 4300 Fees, Services 3,176 6,000 6,000 0.0% 4310 Telephone 14,189 16,000 16,000 0.0% 4320 Utilities 49,885 52,000 54,600 5.0% 4350 Cleaning & Waste Removal 34,108 33,000 35,000 6.1% 4440 License & Registration 15 100 100 0.0% 4483 Insurance-General Liability 133, 119 205,500 163,000 (20.7%) 4510 Repair & Maintenance-Building 5,609 5,000 5,000 0.0% 4520 Repair & Maintenance-Vehicles 99 400 400 0.0% 4530 Repair & Maintenance-Equip 2,441 1,500 2,000 33.3% 4933 Sales Tax 44 0.0% TOTAL CONTRACTUAL SERVICES 242,684 319,500 282,100 (11.7%) TOTAL CITY HALL 351,988 428,600 392,800 (8.4%) CITY OF CHANHASSEN 2008 BUDGET Commentary General Government - Elections Mission and Current Services The City Manager's office is responsible for the administration of the City's elections and official records. The office is responsible for voter registration, redistricting, and conducting local, state, and national elections. State and federal laws governing elections and data practices require many of the functions that are performed by the election staff. Our mission is to provide these mandated services efficiently and accurately and to act as an effective communications link between government and citizens by providing public access to government information, records, and processes. We feel that excellent customer service is key to satisfaction with government and can increase positive interaction with connections within our community. Budget Highlights Since 2005, the City's policy has been to budget one-half of each election cycle every year to avoid fluctuations from year to year. This budget is being increased by $8,200 (41.6%) due in part to increased costs for salaries and wages. The increase is also necessary due to under budgeting in previous years. Future Trends New voting equipment will be needed as programmed in the Capital Improvement Plan. Outcomes Funds programmed in 2008 will be used to assist with the 2008 election, which will include the Presidential race. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1180 Elections 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4020 Salaries & Wages-Temp 30,958 12,500 20,500 64.0% 4030 Contributions-Retirement 217 1,000 1,000 0.0% TOTAL PERSONAL SERVICES 31,175 13,500 21,500 59.3% 4110 Office Supplies 372 200 200 0.0% 4300 Fees, Services 2,674 3,000 3,000 0.0% 4340 Printing & Publishing 4,057 2,000 2,000 0.0% 4370 Travel & Training 2,577 1,000 1,200 20.0% TOTAL CONTRACTUAL SERVICES 9,679 6,200 6,400 3.2% TOTAL ELECTIONS 40,854 19,700 27,900 41.6% CITY OF CHANHASSEN 2008 BUDGET Commentary General Government - Library Building Mission and Current Services While the day-to-day staffing operations of the library are run and funded by Carver County, the City is responsible for the maintenance and upkeep of the building. This includes the cost of utilities, building and some equipment maintenance, cleaning, telephone service, and utilities. Budget Highlights An increase of $8,000 (7.8%) is proposed, largely attributable to increased utility costs. Future Trends Since this is a new building, repair and maintenance costs should remain low for the next few years. Outcomes In 2006, the Chanhassen Library became the only library in the Carver County system to be open on Sundays, and has enjoyed tremendous success in terms of visitors and circulation. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1190 Library Building 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4150 Maintenance Materials 3,545 2,000 3,000 50.0% 4260 Small Tools & Equipment 19 0.0% TOTAL MATERIALS & SUPPLIES 3,564 2,000 3,000 50.0% 4300 Fees, Services 559 1,000 1,000 0.0% 4310 Telephone 2,040 2,200 2,200 0.0% 4320 Utilities 67,872 63,000 67,000 6.3% 4350 Cleaning & Waste Removal 32,169 30,000 33,000 10.0% 4510 Repair & Maintenance-Building 5,942 2,000 2,000 0.0% 4530 Repair & Maintenance-Equip 1,772 2,000 2,000 0.0% TOTAL CONTRACTUAL SERVICES 110,354 100,200 107,200 7.0% TOTAL LIBRARY 113,918 102,200 110,200 7.8% CITY OF CHANHASSEN 2008 BUDGET Commentary Public Safety - Police Administration Mission and Current Services This department serves mainly as a fund to pay for the contract with the Carver County Sheriffs Department for law enforcement services. Also included is funding for the Carver County Sergeant permanently assigned to the City of Chanhassen, as well as a Crime Prevention Specialist who works with residents and the business community to prevent, prepare for, and recover from crimes. Budget Highlights The proposed 2008 budget reflects an increase of $168,400 (12.6%) due to increased staffing levels and inflationary increases for cars, fuel and benefits. Starting in July, a full-time Investigator and a full-time Patrol Officer will be added to the Chanhassen staff. The City also participates in the Southwest Metro Drug Task Force. Future Trends The City will continue to be dedicated to the safety of its residents and will work closely with the Carver County Sheriff's Department to maintain the high level of satisfaction with our law enforcement services. In 2007, the City and Sheriff's office devised a 3 year staffing plan for 2008-2011. Staff will continue to monitor needs and will also participate in discussions with the Carver County Sheriff's Department about future staffing levels. Outcomes On average, the City of Chanhassen receives 54 hours of deputy patrol per day. The City also receives investigative and other services from the County. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1210 Police Administration 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 55,983 58,800 60,200 2.4% 4030 Contributions-Reti rement 7,570 8,200 8,500 3.7% 4040 Contributions-I nsu rance 6,164 6,700 5,900 (11.9%) 4050 Workers Compensation 382 500 500 0.0% TOTAL PERSONAL SERVICES 70,099 74,200 75,100 1.2% 4130 Program Supplies 3,973 5,000 5,000 0.0% 4300 Fees, Services 1,236,172 1,250,000 1,417,500 13.4% 4375 Promotional Expense 613 4,500 4,500 0.0% TOTAL CONTRACTUAL SERVICES 1,240,758 1,259,500 1,427,000 13.3% TOTAL POLICE ADMINISTRATION 1,310,857 1,333,700 1,502,100 12.6% CITY OF CHANHASSEN 2008 BUDGET Commentary Public Safety - Fire Prevention and Administration Mission and Current Services This budget represents the combination of Fire Prevention and Fire Department Administration. Budget Highlights The total expenditures decreased by $5,000 due to the lowering of healthcare costs by switching providers and switching to a Healthcare Savings Account for all employees. Outcomes The department has implemented call dispatch prioritization that has substantially decreased the number of calls the department is responding to. This has saved the City anywhere from $20,000 30,000 on an annual basis. Future Trends The Fire Department may need to increase its authorized force above the 45 officers now available. This is to deal with anticipated retirements and the eventual addition of a third satellite fire station in the 2005 MUSA area. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1220 Fire Prevention Administration 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/lDEC} 4010 Salaries & Wages-Reg 128,215 133,500 132,000 (1. 1%) 4011 Overtime 218 1,000 1,000 0.0% 4020 Salaries & Wages-Temp 135,284 160,000 160,000 0.0% 4030 Contributions-Retirement 178,853 187,000 187,000 0.0% 4040 Contri butions-I nsurance 18,089 19,600 16,100 (17.9%) 4050 Workers Compensation 12,762 14,500 14,500 0.0% TOTAL PERSONAL SERVICES 473,421 515,600 510,600 (1.0%) 4120 Supplies-Equipment 9,862 11,000 11,000 0.0% 4130 Supplies-Program 5,808 5,000 5,000 0.0% 4140 Supplies-Vehicles 4,216 7,000 7,000 0.0% 4150 Maintenance Materials 484 1,000 1,000 0.0% 4170 Motor Fuels and Lubrication 292 0.0% 4210 Books & Periodicals 1,230 1,000 1,000 0.0% 4240 Uniforms & Clothing 12,940 13,500 13,500 0.0% 4260 Small Tools & Equipment 4,467 5,000 5,000 0.0% 4290 Misc. Materials & Supplies 3,820 3,500 3,500 0.0% TOTAL MATERIALS & SUPPLIES 43,118 47,000 47,000 0.0% 4300 Fees, Services 11,369 16,500 16,500 0.0% 4310 Telephone 9,087 6,000 6,000 0.0% 4320 Utilities 24,462 23,000 23,000 0.0% 4330 Postage 76 0.0% 4350 Cleaning & Waste Removal 5,339 7,000 7,000 0.0% 4360 Subscriptions & Memberships 1,533 3,000 3,000 0.0% 4370 Travel & Training 19,012 10,000 10,000 0.0% 4375 Promotional Expense 8,483 9,000 9,000 0.0% 4440 License & Registration 18 0.0% 4483 Insurance-General Liability 1 ,405 1,000 1,000 0.0% 4510 Repair & Maintenance-Building 4,567 7,000 7,000 0.0% 4520 Repair & Maintenance-Vehicles 4,165 7,000 7,000 0.0% 4530 Repair & Maintenance-Equip 11 ,150 5,000 5,000 0.0% 4531 Repair & Maintenance-Radios 6,966 9,000 9,000 0.0% 4901 Refu nds/Reim bu rsements 819 0.0% Contribution for Performance 12,500 12,500 100.0% 4933 Sales Tax 389 0.0% TOTAL CONTRACTUAL SERVICES 108,840 116,000 116,000 0.0% TOTAL FIRE PREVENTION ADMIN 625,379 678,600 673,600 (0.7%) CITY OF CHANHASSEN 2008 BUDGET Commentary Community Development - Code Enforcement Mission and Current Services To provide for the health, safety, and welfare of the City through the administration of building and fire codes. The employees are responsible for the plan review, permit issuance, and inspections of buildings, plumbing, and mechanical systems, fire sprinkler and alarm systems, and individual sewage treatment systems. Division staff is also responsible for inspections of existing buildings for fire code violations, administration of the rental licensing program, septic tank and RPZ maintenance programs, processing handgun and solicitors permits and providing assistance to the City's law enforcement staff. Budget Highlights This budget reflects a decrease of 8.6% due to the elimination of an inspector position within the department. Future Trends The high school as well as office industrial developments are some of the larger construction projects. It is anticipated therewill be 150 - 200 new residential permits as well as infill development. Outcomes The budget provides the wages and salary for the Building Official, 2 Building Inspectors, 2 Mechanical Inspectors, 2 support staff and an intern. The budget also provides for Continuing Education for the Inspectors' licensing. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1250 Code Enforcement 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 458,938 524,000 484,400 (7.6%) 4011 Overtime-Reg 4,106 2,000 4,000 100.0% 4020 Salaries & Wages-Temp 30,000 30,000 0.0% 4030 Contributions-Reti rement 60,022 72,900 72,900 0.0% 4040 Contributions-I nsu rance 69,566 91,700 64,100 (30.1%) 4050 Workers Compensation 2,843 3,400 3,400 0.0% TOTAL PERSONAL SERVICES 595,475 724,000 658,800 (9.0%) 4120 Supplies-Equipment 35 1,000 1,000 0.0% 4130 Supplies-Program 127 800 800 0.0% 4140 Supplies-Vehicles 1 ,487 1,500 1,500 0.0% 4210 Books & Periodicals 889 3,500 3,500 0.0% 4240 Uniforms & Clothing 891 1,500 1,500 0.0% 4260 Small Tools & Equipment 73 400 400 0.0% TOTAL MATERIALS & SUPPLIES 3,501 8,700 8,700 0.0% 4300 Fees, Services 83 1,000 1,000 0.0% 4310 Telephone 2,858 4,000 4,000 0.0% 4340 Printing & Publishing 1,017 2,000 2,000 0.0% 4360 Subscriptions & Memberships 520 1,000 1,000 0.0% 4370 Travel & Training 5,561 11,000 11,000 0.0% 4375 Promotional Expense 200 200 0.0% 4440 License & Registration 371 200 200 0.0% 4520 Repair & Maintenance-Vehicles 639 1,500 1,500 0.0% 4530 Repair & Maintenance-Equip 1 ,488 2,500 2,500 0.0% 4901 Refunds/Reim bu rsements 550 0.0% 4933 Sales Tax 7 0.0% TOTAL CONTRACTUAL SERVICES 13,093 23,400 23,400 0.0% TOTAL CODE ENFORCEMENT 612,069 756,100 690,900 (8.6%) CITY OF CHANHASSEN 2008 BUDGET Commentary Public Safety - Community Service Mission and Current Services This fund provides animal control and protection service for the City, as well as support to emergency responses and assists with code enforcement, deliveries, and general public safety support. Budget Highlights The proposed 2008 budget reflects an increase of $3,800 (5.5%). This increase reflects an increase in fees incurred for animal impound services. Two part-time Community Service Officers CSO's) will continue to be used for animal control and code enforcement duties. Future Trends The City will continue to use community service officers to assist with animal control issues, code enforcement, as well as assisting with emergency responses as needed. Outcomes The Community Service Officer program is used to supplement the services received from the Carver County's Sheriff's office. CSO's respond to a range of situations, including wild and domestic animals, vehicle lockouts, assist with traffic direction and medical calls, and code enforcement duties. In 2006, the CSO program created a website to reunite lost pets with their owners or find the pets new homes. The CSO's also participate in community programs and assist community organizations with education as called upon. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1260 Community Service 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4020 Salaries & Wages-Temp 37,013 47,000 47,000 0.0% 4021 Overtime-Temp 1,370 1,000 1,400 40.0% 4030 Contri butions-Retirement 5,312 4,900 5,500 12.2% 4040 Contributions-I nsu rance 568 600 600 0.0% 4050 Workers Compensation 794 700 800 14.3% TOTAL PERSONAL SERVICES 45,056 54,200 55,300 2.0% 4120 Supplies-Equipment 903 500 1,000 100.0% 4130 Supplies-Program 83 700 500 (28.6% ) 4140 Supplies-Vehicles 1,235 700 700 0.0% 4210 Books & Periodicals 200 200 0.0% 4240 Uniforms & Clothing 2,032 1,800 1,600 (11.1%) TOTAL MATERIALS & SUPPLIES 4,252 3,900 4,000 2.6% 4300 Fees, Services 14,271 7,000 9,600 37.1% 4310 Telephone 896 1,000 1,000 0.0% 4340 Printing & Publishing 316 500 500 0.0% 4360 Subscriptions & Memberships 105 300 300 0.0% 4370 Travel & Training 644 700 700 0.0% 4440 License & Registration 15 0,0% 4520 Repair & Maintenance-Vehicles 170 1,000 1,000 0.0% 4530 Repair & Maintenance-Equip 99 300 300 0.0% 4531 Repair & Maintenance-Radios 303 300 300 0.0% TOTAL CONTRACTUAL SERVICES 16,819 11,100 13,700 23.4% TOTAL COMMUNITY SERVICE 66,127 69,200 73,000 5.5% CITY OF CHANHASSEN 2008 BUDGET Commentary Public Works - Engineering Mission and Current Services The Engineering Department provides engineering services related to the following programs: Public Improvement Projects ( streets, wells, water treatment, sanitary sewer, storm sewer and water extension, etc.) Community Development o Plan review and construction monitoring for all developer-installed public improvements o Review building permits to ensure compliance with the City Council-approved grading plan and conditions of development approval o Attend Planning Commission Meetings o Review Vacation Requests Pavement Management o Administration of the Pavement Management System o Initiation and implementation of annual street improvement and sealcoat projects Other Miscellaneous Duties include: Coordination with County and State Agencies regarding transportation and storm water issues Issue permits for: o Street closures for block parties o Temporary lifting of No Parking Zone regulations o Daily watering of new sod or seed o Grading, ROW, Driveways, Private Utility Permit Review Repair drainage problems Respond to customer complaints, requests, and concerns relating to the City's streets, water, sanitary sewer, and drainage. Obtain traffic/speed count data and draft speed and traffic count studies Outcomes The major costs in the Engineering Department, aside from personnel, that provide services to the City are as follows: 1. Fees for Services - The amount budgeted for in 2008 is $ 18,000. This amount pays for the required annual bridge inspections and certification, annual street survey & data collection, annual membership for the Suburban Rate Authority and surveying work as needed. 2. Repair and Maintenance of Equipment - The amount budgeted for in 2008 is $3,000. This amount is used to pay for the Engineering copier's supplies and maintenance agreements. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1310 Engineering 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/CDEC) 4010 Salaries & Wages-Reg 342,989 383,900 395,800 3.1% 4011 Overtime-Reg 1,595 1,000 1,500 50.0% 4020 Salaries & Wages-Temp 10,980 10,000 12,000 20.0% 4021 Temp/Seasonal Overtime 8 0.0% 4030 Contributions-Retirement 46,412 53,400 56,900 6.6% 4040 Contributions-I nsurance 35,977 46,300 37,700 (18.6%) 4050 Workers Compensation 2,178 2,800 2,600 (7.1 %) 4060 Unemployment 11,845 0.0% TOTAL PERSONAL SERVICES 451,984 497,400 506,500 1.8% 4120 Supplies-Equipment 32 200 200 0.0% 4140 Supplies-Vehicles 264 300 300 0.0% 4210 Books & Periodicals 335 400 400 0.0% TOTAL MATERIALS & SUPPLIES 631 900 900 0.0% 4300 Fees, Services 58,815 18,000 18,000 0.0% 4303 Engineering Consulting 2,008 0.0% 4310 Telephone 1,845 2,000 2,000 0.0% 4330 Postage 400 400 0.0% 4340 Printing & Publishing 1,297 1,100 1,100 0.0% 4360 Subscriptions & Memberships 1 ,405 1,200 1,200 0.0% 4370 Travel & Training 1 ,485 3,000 3,000 0.0% 4380 Mileage 200 300 50.0% 4440 License & Registration 29 300 300 0.0% 4520 Repair & Maintenance-Vehicles 500 500 0.0% 4530 Repair & Maintenance-Equip 1,879 3,000 3,000 0.0% 4531 Repair & Maintenance-Radios 100 100 0.0% 4933 Sales Tax 22 0.0% TOTAL CONTRACTUAL SERVICES 68,784 29,800 29,900 0.3% 4705 Other Equipment 300 300 0.0% TOTAL CAPITAL OUTLAY 300 300 0.0% TOTAL ENGINEERING 521,399 528,400 537,600 1.7% CITY OF CHANHASSEN 2008 BUDGET Commentary Public Works - Street Maintenance Mission and Current Services This budget provides for the maintenance arm of the following programs: Pavement Management o Snow removal and ice control o Crack sealing o Pothole patching and small patch overlays o Tree trimming and mowing activities o Traffic sign installation and maintenance o Pavement marking Storm Water Management o Street sweeping o Storm sewer cleaning o Storm pond cleaning Street Sign, Street light and Signal maintenance In addition, this department responds to customer complaints and emergency situations related to streets, street lights, traffic signals, and ponds including cleanup following major storms and vehicle accidents. Outcomes The major costs in the Public Works department, aside from personnel, that provide services to the City are as follows: 1. Supplies and Equipment: The amount budgeted for in 2008 is $44,000. This budget amount is necessary for the operation of the Public Works department. The costs include heavy equipment parts (brakes, tires, batteries and other parts), chain saw parts, mower parts, paint, seeding material and many other supplies needed for day-to-day operations. 2. Supplies Vehicles: This budget amount is for regular maintenance of Public Works vehicles. 3. Maintenance Materials: The amount budgeted for in 2008 is $55,000 for sand and salt material used for snow and ice control. This budget amount will vary depending on the amount of snow and ice received over the winter months. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1320 Street Maintenance 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/CDECl 4010 Salaries & Wages-Reg 415,251 436,400 446,000 2.2% 4011 Overtime-Reg 5,104 10,000 5,500 (45.0%) 4020 Salaries & Wages-Temp 8,748 17,800 10,000 (43.8%) 4030 Contributions-Retirement 58,904 60,700 63,100 4.0% 4040 Contributions-I nsurance 59,172 72,900 55,000 (24.6%) 4050 Workers Compensation 18,960 17,500 20,100 14.9% TOTAL PERSONAL SERVICES 566,140 615,300 599,700 (2.5%) 4120 Supplies-Equipment 35,253 47,000 44,000 (6.4%) 4140 Supplies-Vehicles 24,623 28,000 28,000 0.0% 4150 Maintenance Materials 53,319 55,000 55,000 0.0% 4160 Chemicals 67 0.0% 4170 Motor Fuels & Lubricants 2,574 0.0% 4210 Books & Periodicals 100 100 0.0% 4240 Uniforms & Clothing 3,603 3,700 3,700 0.0% 4260 Small Tools & Equipment 392 2,700 2,700 0.0% TOTAL MATERIALS & SUPPLIES 119,830 136,500 133,500 (2.2%) 4300 Fees, Services 179 1,000 1,000 0.0% 4310 Telephone 3,292 3,500 3,500 0.0% 4340 Printing & Publishing 59 300 300 0.0% 4350 Cleaning & Waste Removal 19 300 300 0.0% 4360 Subscriptions & Memberships 1,118 100 100 0.0% 4370 Travel & Training 769 1,500 1,500 0.0% 4410 Rental-Equipment 1,500 1,500 0.0% 4440 License & Registration 571 600 600 0.0% 4510 Repair & Maintenance-Building 500 500 0.0% 4520 Repair & Maintenance-Vehicles 5,905 2,400 3,500 45.8% 4530 Repair & Maintenance-Equip 1,020 5,500 5,500 0.0% 4531 Repair & Maintenance-Radios 2,000 500 (75.0%) 4540 Repair & Maintenance-Streets 17,650 500 500 0.0% 4560 Repair & Maintenance-Signs 12,455 13,700 13,700 0.0% 4933 Sales Tax 1,493 0.0% TOTAL CONTRACTUAL SERVICES 44,530 33,400 33,000 (1.2%) 4703 Office Equipment 300 300 0.0% 4705 Other Equipment 700 1,000 1,000 0.0% TOTAL CAPITAL OUTLAY 700 1,300 1,300 0.0% TOTAL STREET MAINTENANCE 731,200 786,500 767,500 (2.4%) CITY OF CHANHASSEN 2008 BUDGET Commentary Public Works - Street Lighting & Signals Mission and Current Services This budget provides for the utility costs and repair and maintenance of street lighting and intersection signalization to provide safe mobility for the traveling public and pedestrians. Outcomes The major costs in the Street Lighting & Signals budget are as follows: 1. Utilities: The amount budgeted for in 2008 is $295,000. This budget amount is to pay for power to light the street lights and signals. 2. Repair and Maintenance: Lights & Signals - This budget amount is $17,000 which is to pay for bulbs and ballasts and also repair and maintenance of the signal systems. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1350 Street Lighting & Signals 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4120 Supplies-Equipment 4,445 4,500 4,500 0.0% TOTAL MATERIALS & SUPPLIES 4,445 4,500 4,500 0.0% 4300 Fees, Services 300 300 0.0% 4310 Telephone 499 600 600 0.0% 4320 Utilities 282,764 290,000 295,000 1.7% 4530 Repair & Maintenance-Equip 1,678 2,500 2,500 0.0% 4565 Repair & Maintenance-Lights&Signals 11 ,499 17,000 17,000 0.0% TOTAL CONTRACTUAL SERVICES 296,440 310,400 315,400 1.6% TOTAL STREET LIGHT & SIGNALS 300,885 314,900 319,900 1.6% CITY OF CHANHASSEN 2008 BUDGET Commentary Public Works - City Garage Mission and Current Services Maintain over $8 million worth of vehicles and equipment to an acceptable level. Keep the fleet operational with minimal down time and minimize major repairs. Outcomes The major costs in the City Garage, aside from personnel, that provide services to the City are as follows: 1. Motor Fuels & Lubricants: The amount budgeted for in 2008 is $140,000. The main expenditure is for diesel and unleaded fuels for the City's fleet which includes all departments. 2. Utilities: The amount budgeted for in 2008 is $23,000. This expenditure includes the utility costs (gas, electric) to heat and power the Public Works building. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1370 City Garage 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 202,322 187,400 177,700 (5.2%) 4011 Overtime-Reg 4,307 6,500 6,500 0.0% 4030 Contributions-Retirement 23,196 26,100 25,100 (3.8%) 4040 Contributions-I nsurance 28,738 32,000 26,600 (16.9%) 4050 Workers Compensation 5,584 6,000 5,800 (3.3%) TOTAL PERSONAL SERVICES 264,146 258,000 241,700 (6.3%) 4120 Supplies-Equipment 1,392 3,300 3,300 0.0% 4140 Supplies-Vehicles 371 500 500 0.0% 4150 Maintenance Materials 1,530 1,000 1,000 0.0% 4170 Motor Fuels & Lubricants 95,799 140,000 140,000 0.0% 4240 Uniforms & Clothing 1,586 1,200 1,200 0.0% 4260 Small Tools & Equipment 3,062 4,400 4,400 0.0% TOTAL MATERIALS & SUPPLIES 103,739 150,400 150,400 0.0% 4300 Fees, Services 1,425 1,300 1,300 0.0% 4310 Telephone 2,991 3,800 3,800 0.0% 4320 Utilities 19,200 23,000 23,000 0.0% 4340 Printing & Publishing 59 100 100 0.0% 4350 Cleaning & Waste Removal 9,186 6,100 7,400 21.3% 4360 Subscriptions & Memberships 200 200 0.0% 4370 Travel & Training 170 1,500 1,500 0.0% 4410 Rental-Equipment 349 500 500 0.0% 4440 License & Registration 65 500 500 0.0% 4510 Repair & Maintenance-Building 6,269 4,000 4,000 0.0% 4520 Repair & Maintenance-Vehicles 37 300 300 0.0% 4530 Repair & Maintenance-Equip 1,586 3,800 3,800 0.0% 4531 Repair & Maintenance-Radios 100 100 0.0% 4933 Sales Tax 32 0.0% TOTAL CONTRACTUAL SERVICES 41,368 45,200 46,500 2.9% 4703 Office Equipment 292 500 500 0.0% 4705 Other Equipment 4,773 5,500 5,500 0.0% TOTAL CAPITAL OUTLAY 5,065 6,000 6,000 0.0% TOTAL CITY GARAGE 414,318 459,600 444,600 (3.3%) CITY OF CHANHASSEN 2008 BUDGET Commentary Community Development - Planning Commission Mission and Current Services The Planning Commission prepares and maintains the Comprehensive Plan for the City and advises the City Council on matters regarding implementation of the plan. The Commission reviews rezoning requests, variances, conditional and special use permits, and other planning- related matters. The Commission is comprised of seven members appointed by the City Council for staggered three-year terms. Budget Highlights There are no changes in this budget from 2007 to 2008. Future Trends The primary review and public hearing of the comprehensive plan will be done by the Planning Commission. Outcomes The budget covers the expenses associated with the function of the Planning Commission: Expenses for publishing the agenda and public hearing notices The budget also includes travel and training including seminar and Planning Commission Journal subscriptions CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1410 Planning Commission 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4210 Books & Periodicals 200 200 0.0% TOTAL MATERIALS & SUPPLIES 200 200 0.0% 4340 Printing & Publishing 4,600 3,000 3,000 0.0% 4360 Subscriptions & Memberships 200 200 0.0% 4370 Travel & Training 601 800 800 0.0% TOTAL CONTRACTUAL SERVICES 5,201 4,000 4,000 0.0% TOTAL PLANNING COMMISSION 5,201 4,200 4,200 0.0% CITY OF CHANHASSEN 2008 BUDGET Commentary Community Development - Planning Administration Mission and Current Services The Planning Department identifies community needs and goals to guide modifications to the Comprehensive Plan. The department also reviews development plans for compliance with existing ordinances and state laws. Budget Highlights Total expenditures have increased by 1.3% due to increased salary and wages. Future Trends The planning staff will be managing the completion of the 2008 Comprehensive Plan. Outcomes The planning staff (2 Senior Planners, Planner I and Community Development Director) will be managing the completion of the 2008 Comprehensive Plan The planning staff provides staff support to the Planning Commission Update the City Code to meet the goals and policies of the 2030 Comprehensive Plan Review land use plan for consistency with City plans and land use regulations Administer the Zoning Ordinance Maintain City Demographics Code Enforcement CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1420 Planning Administration 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 271,977 283,200 289,700 2.3% 4030 Contributions-Reti rement 35,822 39,400 41,000 4.1% 4040 Contributions-I nsurance 38,246 39,200 35,900 (8.4%) 4050 Workers Compensation 965 1,000 1,200 20.0% TOTAL PERSONAL SERVICES 347,011 362,800 367,800 1.4% 4120 Supplies-Equipment 77 300 300 0.0% 4130 Supplies-Program 7 100 100 0.0% 4140 Supplies-Vehicles 81 100 100 0.0% 4210 Books & Periodicals 200 200 0.0% TOTAL MATERIALS & SUPPLIES 165 700 700 0.0% 4300 Fees, Services 45 5,000 5,000 0.0% 4310 Telephone 77 200 200 0.0% 4340 Printing & Publishing 200 200 0.0% 4360 Subscriptions & Memberships 1,150 1,500 1,500 0.0% 4370 Travel & Training 2,885 7,000 6,400 (8.6%) 4440 License & Registration 15 600 0.0% 4520 Repair & Maintenance-Vehicles 200 200 0.0% TOTAL CONTRACTUAL SERVICES 4,172 14,100 14,100 0.0% TOTAL PLANNING ADMINISTRATION 351,347 377,600 382,600 1.3% CITY OF CHANHA55EN 2008 BUDGET Commentary Community Development - Senior Commission Mission and Current Services This budget provides oversight for the congregate dining program and advises the City Council with regard to the program needs for community senior citizens. Budget Highlights The total budget reflects maintenance of existing services, but shows an increase of 17.3% due to the staffing of the congregate dining services. Future Trends Continue to educate the senior population on available senior services and identify changing senior needs. Outcomes This budget funds the salary of the Congregate Dinning Coordinator including Meals-on- Wheels This budget also funds a portion of the Senior Planner that is the staff to the Senior Commission CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1430 Senior Commission 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 15,290 15,900 16,200 1.9% 4030 Contributions-Retirement 2,049 2,200 2,300 4.5% 4040 Contributions-I nsurance 1,572 1,700 1,500 (11.8%) 4050 Workers Compensation 54 100 100 0.0% TOTAL PERSONAL SERVICES 18,965 19,900 20,100 1.0% 4300 Fees, Services 8,416 9,500 14,500 52.6% 4370 Travel & Training 18 200 200 0.0% 4375 Promotional Expense 32 500 500 0.0% TOTAL CONTRACTUAL SERVICES 8,466 10,200 15,200 49.0% TOTAL SENIOR COMMISSION 27,431 30,100 35,300 17.3% CITY OF CHANHASSEN 2008 BUDGET Commentary Parks and Recreation - Park and Recreation Commission Mission and Current Services The Park and Recreation Commission provides recommendations and advice to the City Council regarding parks, recreation and leisure services. The Commission is comprised of seven members appointed by the City Council for staggered three-year terms. Budget Highlights Printing and Publishing: Publication of Commission agendas Subscriptions and Memberships: Membership in the Minnesota Recreation and Park Association and the National Park and Recreation Association Travel and Training: Workshops, special training, and conferences Future Trends The Commission will focus future efforts on an update of the comprehensive plan, operations at the recreation center and the amendment or addition of local partnerships as a means of advancing recreation programs. Outcomes The Commission considers matters pertaining to parks and public recreation programs as referred to the Commission by the Council, or as the members of the Commission themselves deem proper. Preparation of a comprehensive plan for the future development of the City park and recreation system, to be submitted to the City Council for implementation, and to maintain said plan, and recommend amendments of the plan to the City Council, as may become necessary or desirable. To act in an advisory capacity to the Council in all matters relating to park and recreation in the City. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1510 Park & Ree Commission 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4130 Supplies-Program 100 100 0.0% 4210 Books & Periodicals 100 100 0.0% TOTAL MATERIALS & SUPPLIES 200 200 0.0% 4340 Printing & Publishing 1,138 900 900 0.0% 4360 Subscriptions & Memberships 700 700 0.0% 4370 Travel & Training 380 400 400 0.0% TOTAL CONTRACTUAL SERVICES 1,517 2,000 2,000 0.0% TOTAL PARK & REC COMMISSION 1,517 2,200 2,200 0.0% CITY OF CHANHASSEN 2008 BUDGET Commentary Parks and Recreation - Parks and Recreation Administration Mission and Current Services The Parks and Recreation Administration budget exists to plan, develop, and administer leisure- time activities in the community. This function physically plans and develops parks, open space, trails and indoor recreation facilities. Staff also coordinates programs with the school districts, Chanhassen Athletic Association, and other organizations. Budget Highlights Salaries and Wages: Park and Recreation Director Fees for Service: Consulting services for park and trail map Printing and Publishing: Printing of bi-annual park and trail map Subscriptions and Memberships: Professional memberships in state and national professional associations Travel and Training: Attendance at continuing education workshops and conferences Future Trends Parks, trails, park programs and open space are being increasingly recognized for performing three important functions: meeting physical and psychological needs, enhancing and protecting the resource base and property values, and providing a positive impact on economic development. Outcomes The park and recreation administrator works to ensure that local recreational facilities and open space areas reasonably meet the outdoor recreation needs of the community's residents and preserve and protect environmentally-sensitive areas and varied topography. This goal shall be accomplished by: Providing park and open space facilities that emphasize accessibility and use by Chanhassen residents. Coordinating the expenditure of local funds for recreational open space in concert with the provision and development of other municipal services. Updating the recreation section of the comprehensive plan every five years. Conducting an annual assessment of capital improvement program needs. Providing open space areas which assist in the conservation and protection of ecologically sensitive areas. Developing a park and open space plan which is consistent with and complements the overall land use plan for Chanhassen. Encouraging citizen participation in planning for and development of park and open space facilities. Developing a comprehensive interconnected trail/sidewalk system throughout the community. Facilitating cooperative efforts between local school systems and the City in acquisition, development and usage of recreational lands and facilities. Seeking assistance from community groups in the planning for and development of park and open space facilities. CITY OF CHANHA55EN 2008 BUDGET 101 General Fund 1520 Park & Rec Administration 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 86,525 89,200 95,200 6.7% 4030 Contributions-Retirement 11 ,229 12,400 13,400 8.1% 4040 Contributions-I nsurance 10,143 11,400 9,500 (16.7%) 4050 Workers Compensation 307 400 400 0.0% TOTAL PERSONAL SERVICES 108,205 113,400 118,500 4.5% 4120 Supplies-Equipment 106 500 500 0.0% 4130 Supplies-Program 200 200 0.0% 4210 Books & Periodicals 100 100 0.0% 4240 Uniforms & Clothing 200 200 0.0% TOTAL MATERIALS & SUPPLIES 106 1,000 1,000 0.0% 4300 Fees, Services 1,100 1,100 0.0% 4310 Telephone 587 900 900 0.0% 4330 Postage 1,307 400 400 0.0% 4340 Printing & Publishing 14,166 1,500 1,500 0.0% 4360 Subscriptions & Memberships 1,962 1,200 1,600 33.3% 4370 Travel & Training 1,802 3,800 3,800 0.0% 4380 Mileage 27 200 300 50.0% 4807 Property Tax Expense 12 0.0% TOTAL CONTRACTUAL SERVICES 19,863 9,100 9,600 5.5% TOTAL PARK & REC ADMINISTRATION 128,174 123,500 129,100 4.5% CITY OF CHANHASSEN 2008 BUDGET Commentary Parks and Recreation - Recreation Center Mission And Current Services: This budget provides year-round indoor and outdoor recreational programs at the Chanhassen Recreation Center. This facility is shared with Independent School District 112 and Bluff Creek Elementary School. Budget Highlights: The 2008 expense budget for the Recreation Center remains relatively flat as staff continues to work on restructuring program offerings. Salary and wages: Recreation Center Manager, Facility Supervisors, Dance Coordinator and instructors, and aerobic instructors (21 staff people total) Telephone and Communications: Telephone and fax services Utilities: Heating, air conditioning, and electrical service Repair and Maintenance-Building: Repair and maintenance of windows, doors, walls etc. Promotional Expense: Prepare and distribute promotional materials highlighting new business initiatives and establishing a stronger identity for the Recreation Center within the community. Future Trends As the health and fitness environment continues to evolve in the community, operations at the Recreation Center will be modified, new business initiatives will be implemented, and a stronger identity for the Recreation Center will be developed. Outcomes The Chanhassen Recreation Center provides an inviting atmosphere for people of all ages at an affordable price. The Recreation Center is a focal point for many of the City's recreation activities and community events. The center features a wood floor gymnasium, fitness room, aerobics/dance studio, reception area and five meeting rooms. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1530 Recreation Center 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 41,200 43,300 43,700 0.9% 4020 Salaries & Wages-Temp 123,342 132,000 132,000 0.0% 4030 Contributions-Retirement 21,617 28,000 28,000 0.0% 4040 Contributions-I nsurance 6,063 6,600 5,800 (12.1%) 4050 Workers Compensation 3,049 4,200 3,200 (23.8%) 4060 Unemployment 82 0.0% TOTAL PERSONAL SERVICES 195,354 214,100 212,700 (0.7%) 4120 Supplies-Equipment 672 8,000 8,000 0.0% 4130 Supplies-Program 12,334 3,000 3,000 0.0% 4150 Maintenance Materials 500 500 0.0% TOTAL MATERIALS & SUPPLIES 13,006 11,500 11,500 0.0% 4300 Fees, Services 284 500 29,700 5840.0% 4310 Telephone 3,137 1,500 2,500 66.7% 4320 Utilities 36,382 36,500 37,500 2.7% 4340 Printing and Publishing 524 0.0% 4360 Subscriptions & Memberships 253 300 300 0.0% 4370 Travel & Training 164 400 400 0.0% 4375 Promotional Expense 1,598 300 1,600 433.3% 4510 Repair & Maintenance-Building 2,904 2,500 3,000 20.0% 4530 Repair & Maintenance-Equip 439 1,000 1,000 0.0% 4590 Misc. Contractual Services 2,622 500 1,000 100.0% TOTAL CONTRACTUAL SERVICES 48,307 43,500 77,000 77.0% TOTAL RECREATION CENTER 256,666 269,100 301,200 11.9% CITY OF CHANHASSEN 2008 BUDGET Commentary Parks and Recreation - lake Ann Park Operations Mission and Current Services This department provides for the operations at Lake Ann Park. Revenues, which offset some of the expenses, include facility rental, watercraft and equipment rental, and concession fees. Budget Highlights The total budget reflects maintenance of existing services. Future Trends As Chanhassen continues to develop our park system, Lake Ann's presence will be more important. Enhancing and maintaining our existing facilities at Lake Ann will provide our residents with a "go to" place to fill their recreational needs. Outcomes Administration staff works daily with park maintenance staff to maintain a high level of service at our most popular community park. Provide leadership in coordinating all components of the Lake Ann Concession/Watercraft rental operation. Continue to work with Minnetonka Community Education and Services in building upon a longstanding relationship while providing a safe environment with lifeguards at Lake Ann beach. Coordinate all facility rentals/reservations in order for our customers to have a quality experience. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1540 Lake Ann Park Operations 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4020 Salaries & Wages-Temp 9,130 12,800 12,200 (4.7%) 4021 Overtime-Temp 60 500 500 0.0% 4030 Contributions-Retirement 703 800 800 0.0% 4050 Workers Compensation 215 300 300 0.0% TOTAL PERSONAL SERVICES 10,108 14,400 13,800 (4.2%) 4120 Supplies-Equipment 3,349 3,800 (100.0%) 4130 Supplies-Program 10,654 9,100 8,600 (5.5%) 4240 Uniforms & Clothing 500 500 500 0.0% TOTAL MATERIALS & SUPPLIES 14,503 13,400 9,100 (32.1 %) 4300 Fees, Services 26,759 31,800 31,800 0.0% 4310 Telephone 3,069 3,600 3,600 0.0% 4320 Utilities 9, 171 8,300 15,000 80.7% 4340 Printing & PUblishing 133 300 1,000 233.3% TOTAL CONTRACTUAL SERVICES 39,132 44,000 51,400 16.8% TOTAL LAKE ANN PARK OPERATIONS 63,743 71,800 74,300 3.5% CITY OF CHANHASSEN 2008 BUDGET Commentary Parks and Recreation - Park Maintenance Mission and Current Services This department maintains the City's park sites, play equipment, athletic facilities, and trails. This department is also responsible for the maintenance of the downtown business district including lighting, mowing, banners and other items. Budget Highlights Minor increases are seen in fees for services and rental land and buildings. The increase use of City parks are requiring additional satellites and cleaning services. Also, outside services are needed to help with weed and thistle control. Salaries: 7 full time employees (Park Superintendent, 4 Park Maintenance and 2 Downtown Maintenance). Seasonal Employees: 14 Seasonal Park Maintenance employees. Supplies: Reflects all miscellaneous supplies and materials needed to maintain all existing parks and play structures. Maintenance Material: o $10,000 - fertilizer for all parks with high athletic use o $5,000 - sand for beaches, gravel, rock, and fill o $1,500 - weed spray for parks o $3,000 - small black top repairs to trails Irrigation Supplies: Supplies for irrigation system in parks, Bluff Creek Elementary, City Hall, Library, Fire Stations. Fees and Services o $5,000 - snowplowing City owned parking lots, downtown o $7,500 - fertilizer and weed control for downtown buildings, City Hall, Library, Fire Stations o $4,000 - Spray thistle on City property Cleaning and Waste Removal: Services for rubbish removal throughout the year at all City parks. Rental Land and Buildings: Rental of 41 portable toilets used in City parks. Other Equipment: o $2,500 - electric cords required by State Fire Marshal o $1,500 - snow blower Future Trends The park system will continue to grow with additional trails being added during the construction of the 312 highway. New parks will be added with the development of the southern part of Chanhassen. Outcomes This budget reflects maintenance needs for 37 parks, 55 miles of trails, 26 ball fields, 22 soccer fields, 17 tennis courts, the skate park, the downtown boulevard, 2 fire stations, city hall and the library. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1550 Park Maintenance 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INCt(DEC) 4010 Salaries & Wages-Reg 409,215 422,800 435,400 3.0% 4011 Overtime-Reg 6,600 8,000 8,000 0.0% 4020 Salaries & Wages-Temp 79,339 79,000 82,000 3.8% 4021 Overtime-Temp 1,094 3,000 3,000 0.0% 4030 Contributions-Retirement 60,628 58,800 61,700 4.9% 4040 Contributions-I nsurance 64,125 71,000 59,700 (15.9%) 4050 Workers Compensation 11 ,460 9,500 11,500 21.1% TOTAL PERSONAL SERVICES 632,460 652,100 661,300 1.4% 4120 Supplies-Equipment 32,762 32,000 32,000 0.0% 4140 Supplies-Vehicles 6,237 8,000 8,000 0.0% 4150 Maintenance Materials 35,976 33,000 33,000 0.0% 4151 Irrigation Materials 2,604 3,000 3,000 0.0% 4240 Uniforms & Clothing 1,344 2,800 2,800 0.0% 4260 Small Tools & Equipment 804 2,500 2,500 0.0% TOTAL MATERIALS & SUPPLIES 79,727 81,300 81,300 0.0% 4300 Fees, Services 20,455 18,000 22,000 22.2% 4310 Telephone 3,604 3,700 3,700 0.0% 4320 Utilities 6,952 6,000 6,000 0.0% 4340 Printing & Publishing 203 400 400 0.0% 4350 Cleaning & Waste Removal 5,382 9,000 6,000 (33.3%) 4360 Subscriptions & Memberships 588 400 400 0.0% 4370 Travel & Training 563 2,000 2,000 0.0% 4400 Rental-Land & Buildings 26,068 23,500 28,500 21.3% 4410 Rental-Equipment 4,643 2,000 2,000 0.0% 4440 License & Registration 450 700 700 0.0% 4510 Repair & Maintenance-Building 2,191 3,000 3,000 0.0% 4520 Repair & Maintenance-Vehicles 372 2,500 2,500 0.0% 4530 Repair & Maintenance-Equip 17,016 6,500 6,500 0.0% 4531 Repair & Maintenance-Radios 500 500 0.0% 4560 Repair & Maintenance-Signs 3,795 4,000 4,000 0.0% 4933 Sales Tax 83 0.0% TOTAL CONTRACTUAL SERVICES 92,364 82,200 88,200 7.3% 4705 Other Equipment 3,956 4,000 4,000 0.0% TOTAL CAPITAL OUTLAY 3,956 4,000 4,000 0.0% TOTAL PARK MAINTENANCE 808,507 819,600 834,800 1.9% CITY OF CHANHASSEN 2008 BUDGET Commentary Parks and Recreation - Senior Citizens Center Mission and Current Services The Senior Center budget exists to plan and implement a variety of programs, special events, monthly one-day tours and health, education and wellness classes. The mission is to establish a setting within the Senior Center which is welcoming and improves the quality of life and use of leisure time. Budget Highlights 4,000 for program supplies (additional coffee and paper product price increases) 15,500 in fees for contractual services (additional cost is due to the increase of fuel and food supply costs. This becomes more evident mid 2007 as fuel costs increased which effects day-trip transportation cost as well as speakers and other vendor increases) Future Trends As Baby boomers age and become our "Senior Population" we must provide current and creative health and wellness programs, classes, trips and activities. Outcomes The Senior Center Coordinator works to ensure that quality programs and activities are offered to area older adults. This goal shall be accomplished by: Providing a friendly and inviting environment for all older adults to feel welcome and comfortable in use of their leisure time. Providing opportunities for older adults to be kept informed of current and relevant health, education and technology trends through fresh and varied classes and programs. Facilitating, exploring and networking with local agencies, service providers and businesses to provide joint programming and secure financial sponsorship for program development and implementation. Providing new lifelong learning opportunities, special interest activity clubs and classes, monthly special events and trips to attract new participants. Encouraging and soliciting citizen participation to ensure quality programs and services. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1560 Senior Citizens Center 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INCt(DEC) 4010 Salaries & Wages-Reg 25,652 26,900 32,200 19.7% 4030 Contributions-Retirement 3,503 3,700 4,500 21.6% 4040 Contributions-I nsurance 300 (100.0%) 4050 Workers Compensation 90 200 200 0.0% TOTAL PERSONAL SERVICES 29,246 31,100 36,900 18.6% 4120 Supplies-Equipment 410 300 300 0.0% 4130 Supplies-Program 3,143 3,500 4,000 14.3% TOTAL MATERIALS & SUPPLIES 3,553 3,800 4,300 13.2% 4300 Fees, Services 17,570 16,500 18,500 12.1% 4340 Printing & PUblishing 100 100 0.0% 4350 Cleaning & Waste Removal 200 200 0.0% 4360 Subscriptions & Memberships 20 100 100 0.0% 4370 Travel & Training 139 300 300 0.0% 4375 Promotional Expense 164 200 200 0.0% 4380 Mileage 95 100 100 0.0% TOTAL CONTRACTUAL SERVICES 17,988 17,500 19,500 11.4% TOTAL SENIOR CITIZENS CENTER 50,787 52,400 60,700 15.8% CITY OF CHANHASSEN 2008 BUDGET Commentary Parks and Recreation - Recreation Center Mission And Current Services: This budget provides year-round indoor and outdoor recreational programs at the Chanhassen Recreation Center. This facility is shared with Independent School District 112 and Bluff Creek Elementary School. Budget Highlights: The 2008 expense budget for the Recreation Center remains relatively flat as staff continues to work on restructuring program offerings. Salary and wages: Recreation Center Manager, Facility Supervisors, Dance Coordinator and instructors, and aerobic instructors (21 staff people total) Telephone and Communications: Telephone and fax services Utilities: Heating, air conditioning, and electrical service Repair and Maintenance-Building: Repair and maintenance of windows, doors, walls etc. Promotional Expense: Prepare and distribute promotional materials highlighting new business initiatives and establishing a stronger identity for the Recreation Center within the community. Future Trends As the health and fitness environment continues to evolve in the community, operations at the Recreation Center will be modified, new business initiatives will be implemented, and a stronger identity for the Recreation Center will be developed. Outcomes The Chanhassen Recreation Center provides an inviting atmosphere for people of all ages at an affordable price. The Recreation Center is a focal point for many of the City's recreation activities and community events. The center features a wood floor gymnasium, fitness room, aerobics/dance studio, reception area and five meeting rooms. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1600 Recreation Programs 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 81,009 84,600 85,200 0.7% 4020 Salaries & Wages-Temp 35,813 64,300 57,100 (11.2%) 4021 Overtime-Temp 354 200 400 100.0% 4030 Contributions-Retirement 13,635 14,900 12,500 (16.1%) 4040 Contributions-Insurance 9,906 10,600 9,400 (11.3%) 4050 Workers Compensation 1,157 1,000 1,200 20.0% TOTAL PERSONAL SERVICES 141,875 175,600 165,800 (5.6%) 4120 Supplies-Equipment 2,000 2,000 0.0% 4130 Supplies-Program 13,555 13,100 13,600 3.8% 4240 Uniforms & Clothing 555 1,500 1,500 0.0% TOTAL MATERIALS & SUPPLIES 14,110 16,600 17,100 3.0% 4300 Fees, Services 45,019 47,400 57,200 20.7% 4310 Telephone 1,252 3,300 3,200 (3.0%) 4320 Utilities 2,596 2,500 2,800 12.0% 4330 Postage 200 200 0.0% 4340 Printing & Publishing 3,587 4,400 4,400 0.0% 4360 Subscriptions & Memberships 280 0.0% 4370 Travel & Training 220 500 500 0.0% 4380 Mileage 75 500 500 0.0% 4400 Rental-Land & Buildings 4,096 5,500 6,500 18.2% 4410 Rental-Equipment 11 ,291 17,700 18,200 2.8% TOTAL CONTRACTUAL SERVICES 68,415 82,000 93,500 14.0% TOTAL RECREATION PROGRAMS 224,400 274,200 276,400 0.8% CITY OF CHANHA55EN 2008 BUDGET Commentary Parks and Recreation - Self-Supporting Programs Mission and Current Services This department generally funds adult programs, sports camps, craft and instructional classes that are designed to cover all costs from fee revenue. New programs may be started from this budget even though they may not recover all costs in the first year. Activities are expected to become self-sufficient in following years and are evaluated annually. Budget Highlights This budget provides our residents many recreational opportunities while allowing our department to offset expenditures through program revenues. Future Trends Continue to look for that next big program that is going to provide our residents with quality opportunities and also assist our department with revenue generation. We will continue to look for our next "niche" programs that will fill the needs for smaller groups or individuals. Outcomes It is staff's mandate that this budget's expenses are offset by the revenue collected from various programs. Offer first-class adult sporting leagues while promoting social and physical activity. Assist other departments in City hall with quality programs. Safety Camp is an annual program that our department helps coordinate. Children's enrichment programs are offered to help develop their social and physical needs. Offer many varieties of sporting lessons and camps for our active residents. CITY OF CHANHASSEN 2008 BUDGET 101 General Fund 1700 Self-Supporting Programs 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 20,252 21,200 21,300 0.5% 4020 Salaries & Wages-Temp 2,882 13,600 (100.0%) 4030 Contributions-Retirement 3,021 3,300 3,100 (6.1%) 4040 Contributions-I nsurance 2,476 2,600 2,400 (7.7%) 4050 Workers Compensation 106 100 100 0.0% TOTAL PERSONAL SERVICES 28,738 40,800 26,900 (34.1 %) 4120 Supplies-Equipment 277 600 400 (33.3%) 4130 Supplies-Program 7,432 8,000 4,800 (40.0%) TOTAL MATERIALS & SUPPLIES 7,709 8,600 5,200 (39.5%) 4300 Fees, Services 100,377 82,100 68,000 (17.2%) TOTAL CONTRACTUAL SERVICES 100,377 82,100 68,000 (17.2%) TOTAL SELF-SUPPORTING PROGRAMS 136,823 131,500 100,100 (23.9%) SPECIAL REVENUE FUNDS Special Revenue Funds are established to account for taxes and other revenues designated for a particular purpose by legislation or by the payer of the funds. 10% Fund - Under the term of the charitable gambling license agreement with the American Legion, the City is to receive 10% of the net revenues derived from pull-tab operations. These monies are restricted to use in programs that benefit youth in the community, public safety capital needs excluding pensions, and public safety training. CATV Fund - Under the term of the franchise agreement with cable television operators, the City is to receive 5% of the revenues derived from cable television sales within the City. These monies are dedicated to improving public communications, broadcasting of public meetings, and necessary related expenditures. CITY OF CHANHA55EN 2008 BUDGET Commentary Special Revenue Fund -10%-201 Mission and Current Services Under the term of the charitable gambling license agreement with the American Legion, the City is to receive 10% of the net revenues derived from pull-tab operations. These monies are restricted to use in programs that benefit youth in the community, public safety capital needs excluding pensions, and public safety training. Budget Highlights The proposed 2008 budget includes $17,500 for training opportunities and $2,000 for capital purchases for the fire department. Outcomes In 2007 the entire budget for training of $17,500 was spent on various firefighter training sessions, allowing for training opportunities that would not have been available with just the amounts budgeted for in the City's general fund for firefighter training. The amount for capital purchases has not been designated or spent at the time this budget was published. CITY OF CHANHASSEN 2008 BUDGET SPECIAL REVENUE FUNDS 201 10% Fund 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) REVENUE GENERAL PROPERTY TAX 3801 Interest Earnings 1,522 1,500 0.0% 3807 Donations 17,795 30,000 18,000 (40.0%) TOTAL GENERAL PROPERTY TAX 19,317 30,000 19,500 (35.0%) TOTAL REVENUE 19,317 30,000 19,500 (35.0%) EXPENDITURES CONTRACTUAL SERVICES 4370 Travel & Training 17,500 17,500 17,500 0.0% TOTAL CONTRACTUAL SERVICES 17,500 17,500 17,500 0.0% CAPITAL OUTLAY 4703 Office Equipment 12,500 2,000 (84.0%) TOTAL CAPITAL OUTLAY 12,500 2,000 (84.0%) TOTAL EXPENDITURES 17,500 30,000 19,500 (35.0%) REVENUE OVER/(UNDER) EXPENDITURES 1,817 CITY OF CHANHA55EN 2008 BUDGET Commentary Special Revenue Fund - CATV-210 Mission and Current Services Under the terms of our franchise agreement with Mediacom, the City receives 5% of the revenues derived from cable television sales within the City. These funds are dedicated to improving communication with the public through broadcasting public meetings, studio improvements, and other improvements to the systems. The City utilizes the public access capabilities provided through these franchise fees by re-broadcasting City Council and Commission meetings, as well as providing other programs that serve a public or civic purpose. Budget Highlights The proposed 2008 budget reflects an increase in expenditures of 2.8%, slightly outpacing the increase in revenues, 2.3%. The City purchased equipment to significantly upgrade the quality of public access programming. This equipment will be installed in 2008. In 2008, the City also intends to purchase equipment to offer streaming video of City Council and Planning Commission meetings. This addition requires an equipment purchase as well as monthly hostage and storage fees. The CATV budget includes one personnel, the City Recorder. The City Recorder provides verbatim minutes for City meetings. Future Trends As our capabilities become more sophisticated, it is anticipated that more programming will be shown, as well as providing the public with the opportunity to use the facilities for their own public access programs. CITY OF CHANHASSEN 2008 BUDGET SPECIAL REVENUE FUNDS 210 Cable TV Fund 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) REVENUE GENERAL PROPERTY TAX 3080 Franchise Fees 160,919 150,000 150,000 0.0% TOTAL GENERAL PROPERTY TAX 160,919 150,000 150,000 0.0% OTHER REVENUE 3801 Interest Earnings 11,479 4,500 8,000 77.8% TOTAL OTHER REVENUE 11,479 4,500 8,000 77.8% TOTAL REVENUE 172,398 154,500 158,000 2.3% EXPENDITURES PERSONAL SERVICES 4010 Salaries & Wages-Reg 63,279 67,500 65,300 (3.3%) 4030 Contrib ution s-Retirement 8,091 9,400 9,300 (1.1 %) 4040 Contributions-I n su rance 7,815 9,800 8,300 (15.3%) 4050 Workers Compensation 225 300 300 0.0% TOTAL PERSONAL SERVICES 79,410 87,000 83,200 (4.4%) MATERIALS & SUPPLIES 4120 Supplies-Equipment 250 300 500 66.7% TOTAL MATERIALS & SUPPLIES 250 300 500 66.7% CONTRACTUAL SERVICES 4300 Fees, Services 1,479 10,000 15,000 50.0% 4340 Printing & Publishing 500 500 0.0% 4370 Travel & Training 100 100 0.0% 4483 Liability Insurance 1,500 1 ,400 1 ,400 0.0% TOTAL CONTRACTUAL SERVICES 2,979 12,000 17,000 41.7% CAPITAL OUTLAY 4705 Other Equipment 8,023 10,000 5,500 (45.0%) TOTAL CAPITAL OUTLAY 8,023 10,000 5,500 (45.0%) TOTAL EXPENDITURES 90,662 109,300 106,200 (2.8%) REVENUE OVER/(UNDER) EXPENDITURES 81,736 45,200 51,800 ENTERPRISE FUNDS Enterprise Funds account for the operation of the sewer and water utilities and surface water management district. These funds use the accrual method of accounting, because they are run like independent businesses. Taxes and their revenues are designated for a particular purpose by legislation or by the payer of the funds. Water Utilitv Fund - This fund accounts for the operation of the City-owned water system. It includes the operation of wells and water towers around town. Sewer Utilitv Fund - This fund accounts for the operation of the City-owned sewer system. It includes the operation of lift stations and payments to the Metropolitan Council Environmental Services division for treating the raw sewage from our City. Surface Water Manaqement Fund - This fund accounts for operations of the City's surface water management district. Those responsibilities include diverting storm water runoff, controlling ponds, managing discharges and other drainage issues. CITY OF CHANHASSEN 2008 BUDGET Commentary Enterprise Fund - Water Utility Fund-700 Mission and Current Services This budget is funded through user fees in the form of utility billings and provides for the operations necessary for the following programs: Provide a safe and reliable drinking water supply and distribution system Operate and maintain ten (10) municipal water wells and approximately 70 miles of watermain Operate and maintain three (3) water storage facilities Repair watermain breaks Confirms that water meets Department of Health requirements. Test water between 1,300 and 1,400 times per year Hydrant flushing Outcomes The major costs in the City Water Utility department, aside from personnel, that provides services to the City are as follows: Chemicals: The amount budgeted for in 2008 is $110,000. This item pays for the chlorine and fluoride required for potable water. Also, this item will pay for other chemicals necessary to run the east water treatment plant. Utilities: The amount budgeted for in 2008 is $250,000. This item pays for the power necessary to run the wells and water treatment plant. Emergency Repairs-Water: The amount budgeted for in 2008 is $65,000. This item pays for some of the watermain break expenditures. CITY OF CHANHASSEN 2008 BUDGET ENTERPRISE FUNDS 700 Water Enterprise Fund Operations 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DECl REVENUE CHARGES FOR CURRENT SERVICES 3617 Engineering General 6,250 0.0% 3661 Water Usage 2,002,855 1,750,000 2,000,000 14.3% 3662 Utility Penalties 52,298 30,000 30,000 0.0% 3664 Sale of Meters & Parts 49,827 50,000 55,000 10.0% 3806 Hook Up Fees 869,963 800,000 1,000,000 25.0% TOTAL CURRENT SERVICES 2,981,193 2,630,000 3,085,000 17.3% OTHER REVENUE 3801 Interest Earnings 455,109 300,000 450,000 50.0% 3903 Refunds/Reimbursements 92, 146 10,000 20,000 100.0% TOTAL OTHER REVENUE 547,255 310,000 470,000 51.6% TOTAL REVENUE 3,528,449 2,940,000 3,555,000 20.9% REVENUE OVER/(UNDER) EXPENDITURES 2,488,380 1,680,600 2,209,200 CITY OF CHANHASSEN 2008 BUDGET ENTERPRISE FUNDS Water Operations 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 310,344 303,200 310,500 2.4% 4011 Overtime-Reg 10,188 15,000 20,000 33.3% 4012 Stand-By Pay 6,214 6,000 7,000 16.7% 4020 Salaries & Wages-Temp 4,377 11,000 13,000 18.2% 4030 Contributions- Retirem ent 43,130 42,200 44,000 4.3% 4040 Contributions-I nsu rance 40,103 47,800 45,900 (4.0%) 4050 Workers Compensation 6,266 5,200 7,000 34.6% TOTAL PERSONAL SERVICES 420,621 430,400 447,400 3.9% 4120 Supplies-Equipment 3,216 6,800 6,800 0.0% 4130 Supplies-Program 500 500 0.0% 4140 Supplies-Vehicles 3,051 6,000 6,000 0.0% 4150 Maintenance Materials 14,272 25,000 25,000 0.0% 4160 Chemicals 41,012 80,000 110,000 37.5% 4170 Motor Fuels & Lubricants 12,389 6,500 6,500 0.0% 4210 Books & Periodicals 124 300 300 0.0% 4240 Uniforms & Clothing 1,255 1 ,400 1,800 28.6% 4250 Merchandise for Resale 50,891 105,000 105,000 0.0% 4260 Small Tools & Equipment 2,060 1,500 2,500 66.7% TOTAL MATERIALS & SUPPLIES 128,271 233,000 264,400 13.5% 4300 Fees, Services 27,487 25,000 35,000 40.0% 4301 Auditing 6,000 6,000 6,000 0.0% 4310 Telephone 6,504 10,000 10,000 0.0% 4320 Utilities 201,255 300,000 250,000 (16.7%) 4330 Postage 5,673 8,000 8,000 0.0% 4340 Printing & Publishing 6,846 6,500 8,500 30.8% 4350 Cleaning & Waste Removal 409 500 500 0.0% 4360 Subscriptions & Memberships 260 400 400 0.0% 4370 Travel & Training 1 ,455 3,500 4,500 28.6% 4410 Rental-Equipment 1,500 1,500 0.0% 4440 License & Registration 208 0.0% 4483 Insurance-General Liability 26,000 13,000 13,000 0.0% 4509 Remit to Other Agencies 55,741 60,000 80,000 33.3% 4510 Repair & Maintenance-Building 5,230 5,000 5,000 0.0% 4520 Repair & Maintenance-Vehicles 49 1,600 1,600 0.0% 4530 Repair & Maintenance-Equip 1,670 30,000 35,000 16.7% 4550 Repair & Maintenance-Water 45,206 65,000 65,000 0.0% 4552 Emergency Repairs-Water 101,183 60,000 110,000 83.3% TOTAL CONTRACTUAL SERVICES 491,176 596,000 634,000 6.4% TOTAL WATER OPERATIONS 1,040,069 1,259,400 1,345,800 CITY OF CHANHASSEN 2008 BUDGET Commentary Enterprise Fund - Sewer Utility Fund-701 Mission and Current Services This budget is funded through user fees in the form of utility billings and provides for the operations necessary for the following programs: Operate and maintain a reliable sanitary sewer collection system Operate and maintain thirty (30) sanitary lift stations and approximately 70 miles of sanitary sewer main The City contracts with MCES (Metropolitan Council Environmental Services) for treatment of the waste and does not have a wastewater treatment plant Sanitary sewer televising Emergency sewer backup Inflow and infiltration Outcomes The major costs in the City Sewer Utility Department, aside from personnel, that provides services to the City are as follows: Remit to other agencies: The amount budgeted for in 2008 is $1,200,000. This item is the payment to the MCES for treatment of the sanitary sewer flows. Utilities: The amount budgeted for in 2008 is $85,000. This item pays for the power to run the lift stations within the City. Repair and Maintenance of Sewers: The amount budged for in 2008 is $75,000. This item pays for the maintenance and upkeep of the sewer system and lift stations CITY OF CHANHASSEN 2008 BUDGET ENTERPRISE FUNDS 701 Sewer Enterprise Fund Operations 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) REVENUE CHARGES FOR CURRENT SERVICES 3617 Engineering General 6,250 0.0% 3660 Sewer Customers 1,941,060 1,850,000 2,000,000 8.1% 3662 Utility Penalties 41,919 38,000 40,000 5.3% 3806 Hook-up Fees 245,372 500,000 300,000 (40.0%) 3811 Sewer Surcharge 19,125 20,000 0.0% TOTAL CURRENT SERVICES 2,253,726 2,388,000 2,360,000 (1.2%) OTHER REVENUE 3801 Interest Earnings 78,046 45,000 75,000 66.7% 3903 Refunds/Reimbursements 622 1,000 1,000 0.0% TOTAL OTHER REVENUE 78,668 46,000 76,000 65.2% TOTAL REVENUE 2,332,394 2,434,000 2,436,000 0.1% REVENUE OVER/(UNDER) EXPENDITURES 397,651 352,600 542,500 CITY OF CHANHASSEN 2008 BUDGET ENTERPRISE FUNDS Sewer Operations 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INCJ(DEC) 4010 Salaries & Wages-Reg 198,741 252,900 258,000 2.0% 4011 Overtime-Reg 5,601 12,000 8,000 (33.3%) 4012 Stand-By Pay 5,962 6,500 6,500 0.0% 4020 Salaries & Wages-Temp 6,480 7,000 10,000 42.9% 4030 Contrib ution s-Retirem ent 27,909 35,200 36,500 3.7% 4040 Contributions-I n su rance 27,762 41 ,1 00 35,200 (14.4%) 4050 Workers Compensation 5,371 5,600 5,700 1.8% TOTAL PERSONAL SERVICES 277 ,825 360,300 359,900 (0.1 %) 4120 Supplies-Equipment 3,680 6,800 6,800 0.0% 4140 Supplies-Vehicles 6,662 6,000 6,000 0.0% 4150 Maintenance Materials 5,107 10,000 10,000 0.0% 4160 Chemicals 108 1,500 1,500 0.0% 4170 Motor Fuels & Lubricants 12,389 6,500 6,500 0.0% 4210 Books & Periodicals 128 250 250 0.0% 4240 Uniforms & Clothing 1,670 1 ,400 1,800 28.6% 4260 Small Tools & Equipment 1,341 1,500 2,500 66.7% TOTAL MATERIALS & SUPPLIES 31,086 33,950 35,350 4.1% 4300 Fees, Services 40,506 26,500 30,000 13.2% 4301 Auditing 6,000 6,000 6,000 0.0% 4310 Telephone 6,233 10,000 10,000 0.0% 4320 Utilities 38,625 85,000 85,000 0.0% 4330 Postage 5,502 8,000 8,000 0.0% 4340 Printing & Publishing 6,256 6,500 8,500 30.8% 4350 Cleaning & Waste Removal 246 500 500 0.0% 4360 Subscriptions & Memberships 100 400 400 0.0% 4370 Travel & Training 2,081 3,500 4,500 28.6% 4410 Rental-Equipment 1,500 1,500 0.0% 4440 License & Registration 116 250 250 0.0% 4483 Insurance-General Liability 26,000 13,000 13,000 0.0% 4509 Remit to Other Agencies 1,385,495 1,397,400 1,200,000 (14.1%) 4510 Repair & Maintenance-Building 2,886 1,700 1,700 0.0% 4520 Repair & Maintenance-Vehicles 1,917 1,800 1,800 0.0% 4530 Repair & Maintenance-Equip 14,669 10,000 12,000 20.0% 4531 Repair & Maintenance-Radios 100 100 0.0% 4551 Repair & Maintenance-Sewer 68,447 75,000 75,000 0.0% 4553 Emergency Sewer Repairs 20,753 40,000 40,000 0.0% TOTAL CONTRACTUAL SERVICES 1,625,833 1,687,150 1,498,250 (11.2%) TOTAL SEWER OPERATIONS 1,934,744 2,081,400 1,893,500 CITY OF CHANHASSEN 2008 BUDGET Commentary Enterprise Fund - Surface Water Management Fund-720 Mission and Current Services This fund serves as the financing mechanism for the construction and maintenance of storm water infrastructure, including storm sewers, storm water ponds and other storm water improvement projects. The improvements that occur with regard to storm water runoff, water retention and other water issues will improve the quality of the City's lakes, streams and ponds. Budget Highlights Budgeted expenditures are proposed to decrease by 29%. The decrease is due to accounting for a large portion of capital improvements on a capital expenditure line rather than in operating costs. Future Trends As a part of the update of the Surface Water Management Plan, the City has identified a high- priority areas. These priorities are reflected in the capital improvement projects. Outcomes The budget provides the salary and wages for three (3) full-time positions including the Water Resources Coordinator, Environmental Resources Coordinator, and Natural Resources Technician. Activities include all those related to Forestry, Natural Resources and Water Resources. These activities include: Staff to the Environmental Commission Recycling Forestry Arbor Day Community Gardens Stormwater Management including drainage complaints Wetland Permitting Erosion and sediment control inspection and enforcement CITY OF CHANHASSEN 2008 BUDGET ENTERPRISE FUNDS 720 Surface Water Management Fund 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) REVENUE PERMITS 3328 Wetland Alteration 1,535 1,000 0.0% TOTAL PERMITS 1,535 1,000 0.0% CHARGES FOR CURRENT SERVICES 3533 Other Grants 539 0.0% 3660 Sewer Customers 417,257 400,000 410,000 2.5% 3662 Utility Penalties 7,444 6,000 7,000 16.7% 3806 Connection Charges 384,671 500,000 350,000 (30.0%) TOTAL CURRENT SERVICES 809,911 906,000 767,000 (15.3%) OTHER REVENUE 3801 Interest Earnings 156,003 80,000 150,000 87.5% 3903 Refunds and Reimbursements 8,649 0.0% TOTAL OTHER REVENUE 164,652 80,000 150,000 87.5% TOTAL REVENUE 976,098 986,000 918,000 (6.9%) REVENUE OVER/(UNDER) EXPENDITURES 304,684 182,300 345,400 CITY OF CHANHA55EN 2008 BUDGET ENTERPRISE FUNDS Surface Water Management Fund 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages-Reg 124,386 126,300 128,500 1.7% 4020 Salaries & Wages-Temp 5,000 5,000 0.0% 4030 Contributions- Retirem ent 16,434 17,400 18,200 4.6% 4040 Contributions-I nsu rance 14,975 15,300 16,100 5.2% 4050 Workers Compensation 752 700 800 14.3% TOTAL PERSONAL SERVICES 156,546 164,700 168,600 2.4% 4120 Supplies-Equipment 196 500 500 0.0% 4130 Supplies-Program 337 1,500 1,500 0.0% 4150 Maintenance Materials 29,782 5,000 20,000 300.0% 4210 Books and Periodicals 200 200 0.0% 4240 Uniforms & Clothing 195 300 300 0.0% TOTAL MATERIALS & SUPPLIES 30,509 7,500 22,500 200.0% 4300 Fees, Services 468,989 600,000 350,000 (41.7%) 4301 Fees, Financial/Audit 8,000 8,000 8,000 0.0% 4310 Telephone and Communications 96 0.0% 4340 Printing & Publishing 282 10,000 10,000 0.0% 4360 Subscriptions & Memberships 1,016 3,500 3,500 0.0% 4370 Travel & Training 1,033 4,500 4,500 0.0% 4380 Mileage 476 500 500 0.0% 4410 Rental-Equipment 1,966 5,000 5,000 0.0% 4483 Insurance-General Liability 2,500 0.0% TOTAL CONTRACTUAL SERVICES 484,358 631,500 381,500 (39.6%) TOTAL EXPENDITURES 671,414 803,700 572,600 CITY OF CHANHASSEN 2008 BUDGET ENTERPRISE FUNDS 720 Surface Water Management Fund 7201 Recycling 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) REVENUE INTERGOVERNMENTAL REVENUE 3520 Grants-County 3,062 2,000 2,000 0.0% TOTAL INTERGOVERNMENTAL REV 3,062 2,000 2,000 0.0% CHARGES FOR CURRENT SERVICES 3650 Sale of Recyclables 12 0.0% TOTAL CURRENT SERVICES 12 0.0% TOTAL REVENUE 3,074 2,000 2,000 0.0% REVENUE OVER/(UNDER) EXPENDITURES (33,586) (49,750) (49,900) CITY OF CHANHASSEN 2008 BUDGET 720 Surface Water Management Fund 7201 Recycling 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DECl 4010 Salaries & Wages-Reg 19,725 21,000 21 ,200 1.0% 4030 Contrib ution s-Retirem ent 2,562 3,000 3,000 0.0% 4040 Contribution s-I nsurance 4,936 5,450 5,300 (2.8%) 4050 Workers Compensation 135 150 200 0.0% TOTAL PERSONAL SERVICES 27,357 29,600 29,700 0.3% 4130 Supplies-Program 1,729 4,500 4,500 0.0% 4210 Books and Periodicals 100 100 0.0% 4260 Small Tools & Equipment 214 100 100 0.0% TOTAL MATERIALS & SUPPLIES 1,943 4,700 4,700 0.0% 4300 Fees, Services 3,295 15,000 15,000 0.0% 4340 Printing & Publishing 3,895 1,700 1,700 0.0% 4350 Cleaning and Waste Removal 500 500 0.0% 4360 Subscriptions & Memberships 120 150 200 33.3% 4370 Travel & Training 50 100 100 0.0% TOTAL CONTRACTUAL SERVICES 7,360 17,450 17,500 0.3% TOTAL RECYCLING 36,660 51,750 51,900 0.3% CITY OF CHANHA55EN 2008 BUDGET ENTERPRISE FUNDS 720 Environmental Protection 7202 Reforestation 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) REVENUE INTERGOVERNMENTAL REVENUE 3533 Grants-Other 5,507 0.0% TOTAL INTERGOVERNMENTAL REV 5,507 0.0% CHARGES FOR CURRENT SERVICES 3640 Community Garden Plot Rental 1,695 1 ,400 1,500 7.1% 3650 Sale of Recyclables 2,018 1,800 1,500 (16.7%) TOTAL CURRENT SERVICES 3,713 3,200 3,000 (6.3%) TOTAL REVENUE 9,220 3,200 3,000 (6.3%) REVENUE OVER/(UNDER) EXPENDITURES (82,872) (76,450) (76,800) CITY OF CHANHASSEN 2008 BUDGET 720 Surface Water Management Fund 7202 Reforestation 2007 to 2006 2007 2008 2008 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DECl 4010 Salaries & Wages-Reg 19,725 21,000 21,200 1.0% 4030 Contributions- Retirement 2,562 3,000 3,000 0.0% 4040 Contributions-I nsu ran ce 4,935 5,450 5,300 (2.8%) 4050 Workers Compensation 135 150 200 0.0% TOTAL PERSONAL SERVICES 27,356 29,600 29,700 0.3% 4130 Supplies-Program 5,555 6,100 6,000 (1.6%) 4260 Small Tools & Equipment 5,363 0.0% TOTAL MATERIALS & SUPPLIES 10,918 6,100 6,000 (1.6%) 4300 Fees, Services 39,628 40,000 39,500 (1.3%) 4320 Utilities/Community Garden 12,915 1,900 1,900 0.0% 4340 Printing & Publishing 237 1,000 1,600 60.0% 4360 Subscriptions & Memberships 115 100 100 0.0% 4370 Travel & Training 923 950 1,000 5.3% TOTAL CONTRACTUAL SERVICES 53,819 43,950 44,100 0.3% TOTAL REFORESTATION 92,093 79,650 79,800 0.2% APPENDIX City of Chanhassen Public Purpose Expenditure Policy Every City of Chanhassen expenditure must be valid based upon the public purpose for which it is purchased and the specific or implied authority found in State Law. The following are deemed to meet the Council definition of public purpose expenditures: MEETING FOOD/MEALS The City Council recognizes that situations in which City business needs to be discussed can and do occur during meal hours (i.e. luncheon meetings). In addition, there are public and employee meetings and events in which reasonable refreshments may add to the success of the meeting and/or event and create a more productive work force. The following items are deemed to meet the Council definition of public purpose expenditures in regards to food and meals. 1. Meals and refreshments are allowed at City meetings and events that have a purpose of discussing City issues. These meetings would normally have a pre-planned agenda and occur during normal meal hours. 2. Meals and refreshments are allowed at employee meetings and events that have a purpose of discussing City issues or are a part of an employee training. These meetings would also normally have a pre-planned agenda. This does not include routine staff meetings. 3. Meals and refreshments are allowed when they are part of a breakfast/lunch/dinner meeting for official city business when it is the only practical time to meet. Usually these meals involve meeting with City councilmembers, committee/commission members, or local business/fraternal organizations. 4. During official meetings of the City Council, council committees, advisory boards/commissions, and taskforces. 5. Meals purchased by an employee, councilmember, or agent while at a conference or other training event may be reimbursed by the City provided that an appropriate receipt is provided. Such receipt must be itemized and include who the meal was purchased for, and will specify what was included in the purchase. 6. Reimbursable travel expenses for employees or councilmembers are outlined in the City of Chanhassen Personnel Policy. 7. The City will not purchase or reimburse any employee, councilmember, or agent for the purchase of intoxicating liquor or malt beverages. The costs of these meals are included within individual department's budgets. These budgets are approved annually by the City Council as a part of the overall budget approval process which includes a public hearing on the proposed budget. MEMBERSHIPS AND DUES The City Council has determined that the City will fund memberships and dues in professional organizations and City social and community organizations when the purpose is to promote, advertise, improve or develop the City's resources and advantages and not solely for personal interest or gain. The cost of these memberships and dues are included within individual department's budgets. These budgets are approved annually by the City Council as a part of the overall budget approval process which includes a public hearing on the proposed budget. EMPLOYEE REGOGNITION PROGRAM The City of Chanhassen City Council recognizes the hard work and service performed by the employees of the City ofChanhassen through a formal Employee Recognition Program. The City Council believes the benefits of attracting, retaining and motivating employees through an Employee Recognition Program support employee job satisfaction, which in turn impacts cooperation and productivity. The result is to provide excellent public and customer service to better serve the interests of the citizens of the community. The Employee Recognition Program is considered "additional compensation" for work performed by employees but is entirely dependent on receiving funding from year-to-year. 1. Service recognition awards shall be given to all regular and full-time employees who have completed continuous years of service. The following awards have been established: a. Five (5) years - $25 in selected merchandise b. Ten (10) years - $50 in selected merchandise c. Fifteen (15) years - $75 in selected merchandise d. Twenty (20) years - $100 in selected merchandise e. Twenty-five (25) years - $150 in selected merchandise f. Thirty (30) years - $200 in selected merchandise g. Thirty-five (35) years - $250 in selected merchandise 2. The costs of these recognition awards are included within individual department's budgets. These budgets are approved annually by the City Council as a part of the overall budget approval process which includes a public hearing on the proposed budget. 3. The City supports events that are planned and paid for by employees. Examples of such events include but are not limited to the summer picnic, potluck meals, and holiday parties. The City Council understands that these events may occur during normal working hours, and if approved by the City Manager or hislher designee, employees will not be required to use vacation or compensatory time for such events. 4. The City Manager has the authority to approve other forms of recognition including issuance of flex time or compensatory time as he or she sees appropriate. CREDIT CARD USE The use of credit cards by any employee otherwise authorized to make purchases on behalf of the City is permitted, provided that purchases made by credit card must comply with all statutes, rules, and/or Council policy applicable to City purchases. The use of City credit cards shall be limited to purchases on behalf of the City and no other purpose. CELLULAR TELEPHONES Practice The City recognizes that technology is advancing and cellular telephones are becoming a part of City equipment assigned to certain City employees. In recognition ofthat fact, the City has adopted a practice governing the use of cellular telephones. The development of this practice will encourage the wise use of available technology for the benefit of citizens in order to deliver City services in an efficient and cost-effective manner. It will also establish guidelines for the appropriate and efficient use of cellular telephones by City personnel. Guidelines: The City may purchase cellular telephones for employees who have a business necessity to telephone others and receive calls while outside of City buildings, or for employees' personal safety. Cellular telephones are City equipment and are to be used by authorized employees to conduct business in a professional manner. Employees are responsible for the proper care and handling of all City equipment in their possession. Cellular numbers shall not be given out to the general public except by the employee assigned that number. Calls will be limited to those that are necessary in order to perform assigned duties based upon circumstances at that time. Calls that are not urgent will be made by other means. All calls will be held to the shortest duration possible. Elaborate conversations will be held in person or by other means. City employees having access to assigned City-owned cellular telephones during non-business hours may make necessary personal telephone calls during non-business hours. In return for the City paying for the basic calling plan, the employee will be required to be available 24 hours a day, 7 days a week for emergency contact, providing the dollar value of calls does not exceed the monthly calling plan rate charged for that particular cellular telephone. Personal use of City- owned cellular telephones should be kept to an absolute minimum during business hours. If the calling plan rate is exceeded because of personal calls made during business and/or non-business hours, the employee shall reimburse the City the dollar value of personal calls that exceed the calling plan rate. Calling plans shall be selected based on the City's needs and shall not be adjusted to accommodate personal use by the employee. Employees must also reimburse the City for all personal cellular calls made where a toll or fee is charged. Compliance: On a monthly basis, cellular telephone bills from each cellular telephone will be submitted to the Finance Department. If the dollar value of calls does exceed the monthly cellular plan rate, a summary of personal calls shall be attached to the bill and will include the date of the call, the time, the number to which the call was made and the signature of the employee who made the call. Also, a monthly reimbursement form for each cellular telephone (if necessary) will be submitted to the Department Head. The employee should attach a personal check made payable to the City ofChanhassen for reimbursement of personal calls made over the calling plan rate. The Department Head will then: 1. Compare cellular telephone bills against this practice, and 2. Forward the cellular phone bill to the Finance Department. Safety: In the interest of safety, if calls are made inside a vehicle, employees are encouraged to bring vehicle to a complete stop when answering cellular calls. All outgoing calls, whenever practical, should be made with the vehicle in a stationary position. Hands-free devices shall be used when available. Cautionary Note: Employees should be cognizant that cellular telephone communications are not a secure form of communication. Sensitive information should be conveyed through a more secure form of communication. Assignment of Department Cellular Telephones Department Heads or the City Manager must pre-approve all calling plans based on departmental needs. Adopted by the Chanhassen City Council on November 25, 2002. Purchasing Policy City of Chanhassen, Minnesota Adopted on February 10, 2003 Amended on July 14, 2003 June 26, 2006 Section 1. Purchasing Guidelines 1.1 Goals and Objectives This purchasing manual was created to: Clarify and reconcile the sometimes confusing requirements of state purchasing law, departmental procedures, and the finance department processes. Provide a comprehensive resource book for staff to be effective and efficient when making purchases. Standardize purchasing and payment methods to expedite the purchasing process. The standards in this manual are minimum standards to ensure fiscal responsibility. Departments may set more restrictive procedures to meet their own budgetary accountability. 1.2 ADA Compliance The City of Chanhassen is subject to the provisions of the Americans with Disabilities Act (ADA). The Chanhassen City Council adopted an ADA compliance plan which outlines how the city complies with the Act. In general, the city will consider the needs of people with disabilities as it purchases equipment and configures work and public areas. Section 1. Purchasing Guidelines 1.3 Quick Reference Guide Value of Purchase Quotations Needed Payment Request Approvals Needed Prior Options to Purchasina Less than $100 None Petty Cash Department Yes Credit Card Finance No Check Request City Manager No City Council No 100-$4,999 Departmental Discretion Credit Card Department Yes Check Request Finance No Purchase Order City Manager No City Council No 5,000-$14,999 Two Written Quotes or Check Request Department Yes RFP's Purchase Order Finance No City Manager Yes City Council No 15,000-$49,999 Two Written Quotes or Check Request Department Yes RFP's Purchase Order Finance Yes City Manager Yes City Council Yes Greater than $50,000 Sealed Bids Check Request Department Yes Purchase Order Finance Yes City Manager Yes City Council Yes Notes: If a cooperative purchasing agreement is in place, quotations are not needed. RFP's are required for contracting services in excess of $15,000 on an annual basis except from the consultant pool (see RFP section of this document). The city manager may delegate authority for approval of agreements less than 15,000 (see Agreement Processing section of this document). Purchases between $5,000 and $15,000 have to be approved by the City Manager. The city council has pre-approved payment for utility accounts and payroll transfers that occur in the normal course of business even though they may exceed $15,000 because these are contractual accounts. The vendors that fall under this situation include Minnegasco, Northern States Power, Metropolitan Council Environmental Services, United States Treasury, State of Minnesota, Medica, PERA, and St. Paul Companies and other similar companies. Any payments to these vendors that are outside the normal course of business will be presented to the City Council for individual approval. Section 2. Purchasing Practices 2.1 Ethics I Relations with Vendors The City of Chanhassen holds its employees to the highest ethical standards. Purchases shall be conducted so they foster public confidence in the integrity of the city's procurement system, and open and free competition among prospective suppliers. In keeping with this value, employees should avoid the following practices when making purchases on behalf of the city: Circumventing competitive bidding requirements. Examples of this include: Splitting purchases so that they can be made through several small purchases. Using the emergency procedure process when no true emergency exists. Using a 'sole source' exemption when competition is available. Denying one or more vendors the opportunity to bid on a contract Examples of this include: Using unnecessarily restrictive specifications. Pre-qualifying bidders on a discriminatory basis. Removing companies from a bidders list without just cause. Requiring unnecessarily high bonding. Giving favored vendors an unfair advantage. Example of this include: Providing vendors with information regarding their competition's offers in advance of a bid opening. Making information available to favored vendors and not to others. Giving un-favored vendors inaccurate or misleading information. Accepting gifts from vendors. Minnesota Statutes 9471.895 prohibits government employees from receiving gifts except where they are included as part of the cost of a product, good, or service provided (such as a meal provided as part of a conference). Section 2. Purchasing Practices 2.2 Recycled Content Environmentally preferable products are goods and services that have a lesser or reduced effect on human health and the environment when compared with other goods and services that serve the same purpose. The following is an overview of items that should be considered prior to making a purchase. Details relating to the items can be found at the Solid Waste Management Coordinating Board web site at www.swmcb.org. Office Products - General Erasable boards - alternative to paper flip charts Self-stick fax addressing labels - alternative to full-sized fax cover sheets Electronic software presentations - alternative to transparencies Solar-powered calculators and other devices - eliminates the need for batteries Refillable pens, pencils, and tape dispensers - eliminates waste Reuse file folders and binders - applying new labels extends their usefulness E-mail - alternative to paper memorandums Double-sided copies - reduces paper waste Reusable kitchen dishware - reduces waste Purchase products in reusable, refillable, or returnable containers -containers may be sent back to the vendor for reuse Copy Paper and Envelopes Recycled content - when possible, purchase 100% post-consumer paper Chlorine-free paper - buying chlorine-free paper reduces pollution. Choose paper labeled as 'Processed Chlorine-Free" (PC F) White and pastel paper - fluorescent colors make copy paper harder to recycle Purchase white and pastel-colored copy paper - dark colors, plastic windows, and padding make envelopes harder to recycle Printing Services Low volatile organic compounds - choose a printer that uses low-VOC water- based or agri-based inks and press chemicals Inks - avoid inks containing heavy metals such as barium, copper! and zinc. Colors to avoid include fluorescent colors, warm red, and metallics Glue, Coatings, and Foil Stamping - use glueless bindings and uncoated paper when possible. Avoid foil stamping and heavy ink coverage Office Machines Copiers - save paper with copiers that feature automatic duplexing and multi-page printing. Purchase remanufactured copiers and models that can use remanufactured toner cartridges Computers and Monitors - choose models that can be easily upgraded Printers - when possible, choose printers with duplex units to save paper. Look for models that are certified as star compliant (can cut energy use by more than 65%) Printer Toner Cartridges - purchase remanufactured toner cartridges from suppliers that will reuse spent cartridges Vehicles Motor Oil - purchase re-refined oil when possible Antifreeze - purchase extended life antifreeze that is designed to last five years/150,OOO miles or longer Fuel - the use of 85% ethanol blended fuels (E85) reduces carbon monoxide and ozone-producing emissions Plastic Lumber and Treated Wood Plastic Lumber - alternative to chemically treated wood Treated Wood - purchase only AGO treated wood Office Cleaners Reusable, Returnable Packaging - purchase cleaners in concentrates Plastic Waste Bags - purchase bags that are made from recycled materials Paint Latex Paint - purchase latex paint rather than oil-based paint. Paint should be 10% to 100% post-consumer content Carpet Purchase recycled rubber-backed carpet tiles that can be replaced as they wear Office Furniture and Panels Remanufactured Furniture - Purchase remanufactured furniture when possible. When purchasing new furniture, look for recycled content including metal, PVC and other plastics, pressboard, and fabric Section 3. Authorization The City of Chanhassen has a decentralized purchasing program where individual departments are responsible for making their own purchases. There are a few exceptions including the supplies maintained in the office supply closet, paper and stationery products, and modular furniture and chairs. The front desk receptionists will assist staff members who need help with research or purchase of items in cases where staff are not familiar with particular products. Payment Authorization Process 1. Determine the need for commodities and services. 2. Research the cost of the purchase and determine proper purchasing alternative. 3. Determine the appropriate account coding and whether there is sufficient funds available in that budget line item. 4. Forward request to department director or designee for approval. If purchase exceeds $5,000 and is less than $15,000 approval is needed by City Manager. 5. Department director forwards request for payment with invoice to the Finance Department for approval and input into financial accounting system. 6. Finance produces check register for approval by the city manager or his/her designee and review by city council. 7. Payment is made by the finance department. Section 4. Purchasing Alternatives 4.1 Sealed Bids A formal sealed bid procedure is required for all purchases in excess of $50,000 except professional services. A published notice of bid is required in the official city newspaper at least seven days in advance of bid opening. The published notice must state where the plans and specifications can be obtained by bidders and specifically, where the bid opening will be held. The notice may also be published on the city's official web site; however, this publication is in addition to the official newspaper publication. All bid openings are to be administered by originating department. The preparation of all specifications are to be the responsibility of the originating department. Required authorization for plans and specifications is the responsibility of the originating department. The city council must formally approve the bid contract. The originating department then files the contract with the administration department. 4.2 State, County and Other Cooperative Purchasing Contracts State Cooperative Purchasing Contracts - The City of Chanhassen participates in the State of Minnesota Cooperative Purchasing Venture (CPV). This enables participants to buy goods and services at a reduced cost under the terms of contracts already negotiated by the State of Minnesota. The finance department has access to the releases and listings of products/services that can be purchased on state contract. If it is determined that a producUservice is on a state contract vendors should be told that the purchase will be made using that contract. When completing the purchasing paperwork, note that the purchase is per state contract and indicate the contract number. 4.3 Quotes If a purchase is estimated to exceed $10,000 but not to exceed $50,000, the purchase may be made either by sealed bids or by direct negotiation based upon quotations. If a purchase is made in this range, staff members are required to obtain at least two written quotes. These quotes should be in writing. If the quotes are not written, the requestor who received the verbal quote must document the quote in writing. All such quotes must be forwarded to the finance department with the purchasing documents. 4.4 Emergency Emergency situations may arise where the normal purchasing process cannot be followed for the procurement of goods and services. An emergency must be a situation arising suddenly and unexpectedly which requires speedy action essential to health, safety, and welfare of the community, and not just an inconvenience. 4.5 Request for Proposals (RFP) RFPs may be used to solicit proposals for professional services. Typical information to address in RFPs includes: Background and scope of the project The project's budget to ensure that the proposals stay within that range. Proposal requirements should include adequate information to allow for propert review and evaluation including: Description of firm and qualifications, including any specialized experience related to the project. A list of similar projects the firm has completed. Project timetables including: estimate of hours, breakdown of hours by phase, and the city's expectation for a completion date. Designation of a firm principal who will be in charge of the project. Resumes for all staff who will work on the project. Statement that either no subcontractors are allowed or that all subcontractors will be identified and are subject to the city's approval. Estimate of cost to provide the service, outline of fee schedule and payment schedule. Description of city's selection process. City's evaluation criteria, which typically may include: Quality and thoroughness of the proposal. Similar past experience and/or expertise. References Cost estimate The following statement must be included: The city reserves the right to reject any and all proposals, waive all technicalities and accept any proposal deemed to be in the city's best interest. Submittal deadline: date, time, project name, and addressee. Statement: "Proposers are solely responsible for delivery of their proposals to the city before the deadline. Any proposal received after the deadline will not be considered and will be returned," Information about where questions should be directed. Note: Staff should make sure that all proposers are given the same information. Attach a copy of the agreement proposed to be used for the project, including the city's insurance certificate. The agreement includes provisions to which the firm must agree, so it is important that they see the agreement up front. It is suggested that the RFP be submitted to the city attorney for review prior to distribution. 4.6 Leases/Purchases All lease agreements need approval through the finance department and legal counsel prior to initiating a lease. 4.7 On-Line Purchases The following guidelines are recommended for purchasing products over the Internet: Only purchase from vendors that use secure servers for e-commerce. Most sites will have a disclaimer, but some do not have the disclaimer language. If in doubt, either send an e-mail to the vendor or call them. Ask vendors if they have an 'Extranet" available on their web site as an alternative to credit card payment. If it is, log on to the Extranet where purchases may be made using a password. Payment terms are specified by the city employee at that time. This is the preferred method. When using a credit card, follow the standard purchasing guidelines that are used when paying by credit card on the telephone. It is generally safe to use a credit card on the Internet, but be cautious - see the first item in this subsection. Section 5. Payment The City of Chanhassen uses various processes in making payments for goods and services. 5.1 Standard Purchase Orders Purchase orders are used when required by the vendor to acknowledge the city's request for goods and services. A copy of the purchase order will be sent to the vendor when requested. Obtain purchase order numbers from finance department. Once invoice is received and purchase order complete, return completed purchase order with invoice attached and authorization for payment to the finance department. 5.2 Check requests Used for processing payment for claims list or immediate pay. If travel advance is needed, a check request may be processed on immediate payor claims list. Once invoice is received and check request complete, return completed check request with invoice attached and authorization for payment to finance department. 5.3 Immediate Payment The finance department policy is for bills to be paid on the claims list. For certain exceptions, immediate pay may be used under the following guidelines: Immediate pay is for payments that need to be made prior to claims list. Such items include getting discounts, avoiding late charges (Le.: credit card payments), purchases requiring payment with order, etc. Immediate pay checks will be issued weekly. All requests for immediate pay checks must be submitted to the finance department prior to noon on Wednesday. Checks will be issued, mailed, or returned to appropriate department on Thursdays. Requests for immediate pay may be submitted on a purchase order, check request, or expense voucher. Return completed form with attachments and authorization for payment, to the Finance Department. 5.5 5.6 5.7 5.4 Blanket Purchase Orders, Charge Accounts, and House Accounts The city uses blanket purchase orders, charge accounts, and house accounts for frequently used vendors. This process requires submission of receipt with an account code and department approval. All new open accounts must be authorized by the requesting department director and finance department. Invoices Invoices must be attached to a completed check request, purchase order, or expense voucher along with proper authorization. Documentation must be returned to the finance department to be processed on claims list. Statements The finance department tracks all statements-reviewing for old invoices or credits. For vendors where the city has open accounts, the finance department only pays once a month after matching invoices to the statement. All statements are to be mailed directly to the finance department. Account Coding All requests for payment including check request, purchase order, or expense voucher must have an eleven digit code to process payment. Refer to department budget for reference of line item code Helpful hints for completing payment process: Eleven digit code - 101 (fund) 1120 (department or project) 4210 (office supplies) Description - specific description of up to 30 characters. Vendor address line - limited to four lines. Invoice Number - important to prevent duplicate payment. Computer generated material preferred. Handwritten is acceptable if legible. Open account slips - indicate eleven digit financial code. Request for new business unit or object code. 5.8 Petty Cash Used for reimbursement to employees for items $100 or less for expenditures made on behalf of the city. An expense voucher must be completed, with a receipt attached, with proper departmental authorization obtained prior to reimbursement. Employee must provide a signature for reimbursement from the finance department. 5.9 Guidelines for Payment Processing Invoices must be attached to the check request, purchase order, or expense voucher. Processing of payments on claims are due according to the schedules that are distributed to city staff at the beginning of each year. Immediate pays are due by noon on Wednesday in the finance department, with checks issued the following day. All requests for payments must have eleven digit code to process payment. Refer to department budget line item codes for proper coding. All statements must be sent to the finance department. 5.10 Credit Cards The city will issue credit cards to certain individuals to allow for more efficient purchasing and to make purchases at businesses that no longer allow open accounts. To assist the finance department in ensuring consistency, accuracy. and thoroughness, the following are procedures to be followed for credit card use: Credit cards must be obtained from the finance department. Cards will be distributed to those departments that can demonstrate a need, such as efficiency or because vendors do not allow open accounts. The cards will be issued to departments with transaction and balance limits. No cash advances are allowed on the credit cards. The responsible person will review the credit card statement each month and code each expenditure, which needs to be signed by the department director and forwarded to the finance department. 5.11 Electronic Funds Transfer Electronic Funds Transfer may be required in some cases to complete a business transaction. The funds are transferred electronically from the parties bank accounts. Some instances may include transactions with the State of Minnesota, a federal agency, another local government, or a closing agent in the purchase or sale of real estate. These transactions need to follow the same guidelines for payment processing in Section 5.9. 5.12 Expense Reimbursement Expense vouchers are required for reimbursement to employees of city-related expenses on a monthly basis. (Sample expense voucher on page 32) If larger expenses are incurred, more than one voucher may be reimbursed in one month. All expense vouchers must contain proper account codes, department approval, and receipts must be attached where applicable. Expense vouchers greater than $50 will be reimbursed by check issued on the next immediate pay check run. Section 6. Agreement Processing Agreement Forms Agreements need to be reviewed by the city attorney unless they follow a previously used format such as Contracts for Private Redevelopment. However, if attachments to the agreement modify the agreement or provide new terms, the agreement should be reviewed by the city attorney. The city attorney's review must occur prior to submission for a council agenda and/or signatures. The city attorney must review an agreement if it is written on the other party's form, or if a special agreement is being drafted. Please note: These provisions apply to ALL agreements, including maintenance agreements, service contracts, etc. Authorization Levels The city manager is authorized to sign agreements up to $15,000 in value. Council authorization is required where a contract exceeds $15,000, and the agreement must be signed by the mayor and the city manager. Where council authorization is required, a copy of the agreement must be included with the council Letter. Transmittal Form/Signatures Once the agreement is approved, the other party should submit the original of the agreement for signatures (as many original copies can be submitted as required, but the city requires one original copy for the central agreement file). The agreement packet must include the agreement, any required bonds, and the certificate of insurance. A transmittal form-available from the administration department-(sample agreement and transmittal form) must be completed and routed to the city attorney with the agreement packet. After the city attorney approves the packet, the agreement should be forwarded to the city manager and the mayor depending on the contract amount) for signatures. The originating department is responsible for circulating the agreement for signatures. Be sure to note on the transmittal form the date the insurance expires, and any special conditions, for instance, if the agreement calls for performance by a specific date. The transmittal form should also note the termination date of the agreement (either a specific date, when a condition is met, or that it is an ongoing agreement). Original to Administration The central agreement file is maintained by administration. Once the agreement has been fully executed, the ORIGINAL must be submitted to the administration department for placement in the central file. The originating department may keep a copy of the agreement for the department file. The administration department assigns agreement numbers. Section 7. Capital Outlay And Fixed Assets 7.1 Capitalization Threshold Capital outlay purchases are for items costing more than $5,000, are a tangible asset, and have a life expectancy of more than one year. These items must be included in each department budget in expense account 4701-4762. It should be noted that delivery charges and sales tax must be included as a cost of the item purchased when determining if the purchase is a capital outlay item. If the individual purchase is greater than $5,000 the item is a capital outlay purchase and now should become a recorded fixed asset. The amount to record for that fixed asset would be any charge "to place the asset in its intended location and condition for use." For example if the city were to purchase a street vehicle, all of the following would be considered part of that asset: the vehicle, warning lights, decals, delivery charges, sales tax, licensing, and any other costs to put the asset into its usable condition. Like items that are used together, for example - meeting room chairs, that are used together 7.2 Acquisition When a fixed asset is purchased, a fixed asset form needs to be filled out by the department making the purchase. The forms are kept in the finance department. The form should be completed when the entire cost of the asset can be supported by vendor invoices. The total of these vendor invoices should be the amount recorded for that asset. It should also be noted that all acquisitions should follow the city's capital replacement schedule when applicable. 7.3 Tracking and Transfer Once the asset is recorded on the city's financial accounting system, it is the responsibility of the assigned department to notify the finance department of any assets that have been transferred to a different department. This needs to be done by filling out a fixed asset form with the required information. In addition, at the end of the year, a physical count of all fixed assets will need to be done by each department assigned assets. This count will be done at or near the end of the calendar year. Each department will be provided a list of assigned assets by the finance department. The count will then be made by the department with any discrepancies noted on the list provided. 7.5 Deletion or Disposal of Fixed Assets When an asset is sold or disposed of the assigned department must complete a fixed asset form with the required information in order for the finance department to remove the asset from the financial accounting system. This includes items that are disposed of with no sale or trade value. Once again disposals should follow the capital replacement policy of the city. Section 8. Disposal of Surplus Property 8.1 Auction The city disposes of surplus equipment through public sale in accordance with council policy. Throughout the year the city collects items to be sold at public auction and sends them to an auctioneer with a description and number of items to be sold, and makes arrangements for those items to be transported. The auction house will forward a tabulation of the bids received along with payment. The information is reviewed by the equipment manager and then the payment is forwarded to the finance department. A fixed asset removal form must be filled out when an item sold at auction was listed on the fixed asset system. 8.2 Computer Equipment When a piece of computer equipment has reached the end of its useful life with the city, it may be disposed of in one of the following ways: Sealed bids; Donation to non-profit or governmental agency (city manager approval required); Sell through auction; Recycle through computer recycling vendor; Dispose of as waste (unless it contains hazardous material) if the disposal cost is less than $100; There may be costs associated with recycling or disposal of certain computer equipment such as eRTs in which case purchasing guidelines should be followed.