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2012 Budget2012 Annual Budget City of Chanhassen, MN Adopted December 12, 2011 Todd Gerhardt, City Manager Greg Sticha, Finance Director CITY OF CHANHASSEN 2012 BUDGET Table of Contents Authorizing Resolution ....................................................... ..............................1 TaxLevy Chart ................................................................. ............................... 2 General Fund Expenditures ............................................... ..............................3 General Fund Revenues ................................................... ..............................4 General Government Legislative.............................................................. ............................... 6 Administration........................................................ ...............................8 Finance.................................................................. .............................10 Recreation Center ................................................ ............................... Legal...................................................................... .............................12 Lake Ann Park Operations ................................... ............................... Property Assessment ............................................. .............................14 Park Maintenance ................................................ ............................... Management Information Systems (MIS) .............. .............................16 Senior Citizens Center ......................................... ............................... CityHall ................................................................. .............................18 Recreation Programs ............................................. .............................58 Elections.............................................................. ...............................20 Library Building .................................................... ...............................22 Public Safety Police Administration ........................................... ............................... 24 Fire Prevention and Administration ........................ .............................26 Code Enforcement ................................................. .............................28 CommunityService .............................................. ............................... 30 Public Works Engineering.......................................................... ............................... 32 Street Maintenance .............................................. ............................... 34 Street Lighting & Signals ..................................... ............................... 36 CityGarage .......................................................... ............................... 38 Community Development Planning Commission .......................................... ............................... 40 Planning Administration ....................................... ............................... 42 Senior Commission ................................................ .............................44 Park and Recreation Park and Recreation Commission ......................... .............................46 Park and 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 Recreation Sports ................................................ ............................... 62 CITY OF CHANHASSEN 2012 BUDGET Table of Contents (Continued) Special Revenue Funds ................................................... .............................65 10% Fund ............................................................ ............................... 66 CableTV Fund ....................................................... .............................68 EnterpriseFunds ............................................................ ............................... 71 WaterUtility Fund ................................................ ............................... 72 SewerUtility Fund .................................................. .............................76 Surface Water Management Fund ....................... ............................... 80 Appendix Public Purpose Expenditure Policy ................................... .............................89 PurchasingPolicy ............................................................. .............................93 CITY OF CHANHASSEN CARVER AND HENNEPIN COUNTIES, M NNESOTA DATE: December 12, 2011 RESOLUTION NO: 2011 -68 MOTION BY: McDonald SECONDED BY: Tiornhom A RESOLUTION ADOPTING THE 2012 BUDGET AND CIP, AND ESTABLISHING TAX LEVIES FOR 2011, COLLECTIBLE IN 2012 WHEREAS, the City Council has examined the budgetary and tax levy needs for Chanhassen for the calendar year 2012 through detailed public budget meetings; and WHEREAS, the Public Budget meeting was held on December 5 2011, to receive public input into the budget and tax levy for 2012; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chanhassen that the 2012 Budget for the City of Chanhassen is adopted with revenue and expenditure amounts for the General Fund of $9,616,600, Special Revenue Funds of $18,700, and $102,900 respectively which are detailed in the 2012 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 total tax levy of $10,153,690 for 2012; and BE IT FURTHER RESOLVED that the City Council of the City of Chanhassen adopts a tax levy of $800,000 for the purpose of equipment upgrades and purchases for 2012; 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 Council adopts a Capital Improvement Program for years 2012 -2016 in the total amount of $73,479,100. 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 2011 for collection in 2012, as set forth in the attached Tax Levy Certification document. Passed and adop d by the Chanhassen City Council this 12th day of December, 2011. ATTEST:l/- ' Todd G ardt, City Manager Thomas A. Furlong, Mayor YES NO ABSENT Furlong Ernst Laufenburger McDonald Tjornhom CITY OF CHANHASSEN TAX LEVY 2012 Budget TAX CAPACITY BASED TAX LEVY General Fund Capital Replacement Fund (for equipment) Pavement Mgmt Fund (Sealcoating) General Obligation Debt (212 Bonds) Audubon /Revolving Assess Fund /EDA Public Works Facility Potential Fire Station Debt of Other Agencies (EDA) TOTAL TAX CAPACITY BASED TAX LEVIES 2011 2012 Percent Levy Levy Increase 7,508,200 7,434,500 0.98% 750,000 800,000 6.67% 200,000 200,000 0.00% 336,800 335,900 0.27% 256,570 437,842 70.65% 594,000 593,800 0.03% 0 100.00% 126,420 100.00% 9,771,990 9,802,042 0.31% MARKET VALUE TAX LEVY Library Referendum TOTAL MARKET VALUE TAX LEVY 495,400 351,648 - 29.02% 495,400 $351,648 - 29.02% Use of cash reserves to buy down debt levies TOTAL TAX LEVY Dollar Increase 0 $0 10,267,390 $10,153,690 - 1.11% 113,700 E CITY OF CHANHASSEN 2012 BUDGET Expenditures GENERAL GOVERNMENT 1110 Legislative 1120 Administration 1130 Finance 1140 Legal 1150 Property Assessment 1160 MIS 1170 City Hall 1180 Elections 1190 Library Building TOTAL LAW ENFORCEMENT 1210 Police Administration 1220 Fire Prevention & Admin 1250 Code Enforcement 1260 Community Service 1550 TOTAL PUBLIC WORKS 1310 Engineering 1320 Street Maintenance 1350 Street Lighting & Signals 1370 City Garage 1550 TOTAL COMMUNITY DEVELOPMENT 1410 Planning Commission 1420 Planning Administration 1430 Senior Commission TOTAL PARK & RECREATION 1510 Park & Rec Commission 1520 Park & Rec Administration 1530 Recreation Center 1540 Lake Ann Park Operations 1550 Park Maintenance 1560 Senior Citizens Center 1600 Recreation Programs 1700 Self- Supporting Programs 1800 Recreation Sports TOTAL Total Operational Expenditures Transfer for Roads TOTAL GENERAL FUND Personal Materials Contractual Capital 2012 2011 2010 Services Supplies Services Outlay Total Total Change Actual 32,300 100 68,800 101,200 108,300 6.56%99,774 407,900 500 66,600 475,000 466,000 1.93%464,177 231,800 200 47,800 200 280,000 281,600 0.57%270,019 145,000 145,000 142,000 2.11%142,333 112,600 112,600 112,100 0.45%111,432 179,500 1,900 75,500 256,900 254,600 0.90%237,908 72,800 42,300 292,700 407,800 408,400 0.15%399,437 22,500 9,600 32,100 28,200 13.83%42,295 3,000 119,100 122,100 127,300 4.08%113,803 946,800 48,000 937,700 200 1,932,700 1,928,500 0.22%1,881,179 66,400 1,509,800 1,576,200 1,654,900 4.76%1,585,423 515,000 45,600 202,000 762,600 745,800 2.25%716,057 590,700 5,100 16,300 612,100 608,300 0.62%599,693 59,500 4,500 11,800 75,800 74,200 2.16%71,823 1,231,600 55,200 1,739,900 3,026,700 3,083,200 1.83%2,972,996 549,700 663,500 1,300 139,600 30,600 29,700 581,600 832,800 573,000 823,400 1.50% 1.14% 542,971 851,568 267,000 1,480,200 2,000 159,400 302,300 337,900 86,100 484,300 4,500 4,500 339,900 517,000 345,400 503,000 1.59% 2.78% 317,578 473,988 2,271,300 2,244,800 1.18%2,186,104 410,500 22,800 433,300 200 400 600 4,000 12,000 9,700 25,700 4,200 422,900 32,500 4,200 418,400 32,300 0.00% 1.08% 0.62% 2,928 390,600 30,841 459,600 454,900 1.03%424,369 129,700 213,000 8,700 749,000 45,400 173,700 32,900 13,200 1,365,600 200 600 46,200 7,200 79,900 3,300 19,100 7,700 8,500 172,700 2,600 7,400 85,100 45,900 90,300 21,000 94,700 37,000 384,000 4,000 4,000 2,800 137,700 344,300 61,800 923,200 69,700 287,500 77,600 21,700 2,200 137,300 353,900 62,100 898,300 69,000 282,000 82,000 19,400 27.27% 0.29% 2.71% 0.48% 2.77% 1.01% 1.95% 5.37% 11.86% 2,526 134,139 308,610 53,102 928,882 69,111 274,330 61,864 21,780 1,926,300 1,906,200 1.05%1,854,343 5,457,500 578,800 3,571,600 8,700 9,616,600 9,617,600 0.01%9,318,991 9,616,600 1 9,617,600 1 0.01%9,318,991 CITY OF CHANHASSEN 2012 BUDGET REVENUE 101 General Fund ACCOUNT DESCRIPTION 2010 ACTUAL 2011 BUDGET 2011 PROJECTED 2012 BUDGET Inc Over PY Budget GENERAL PROPERTY TAX 240,028 180,000 180,000 180,000 3305 3010 Current Property Tax 7,097,455 7,508,200 7,508,200 7,434,500 1.0% 3002 Allowance for Delinquent Taxes 300,000) 300,000)200,000) 40,012 3011 Delinquent Property Tax 210,523 130,000 130,000 180,000 1,400 3041 MVHC 15,000 3090 Other Property Taxes 6,500 3500 Local Government Aid 3330 TOTAL GENERAL PROPERTY TAX 7,307,978 7,338,200 7,338,200 7,414,500 1.0% LICENSES 3390 Misc. Permits 2,625 3203 Dog Kennel 619 800 800 800 756,200 3205 Dog or Cat 9,169 3213 Solicitor 950 700 700 1,000 3226 Liquor On and Off Sale 95,954 90,000 90,000 90,000 3230 Rental Housing Licenses 12,450 34,000 34,000 3284 Rubbish 4,200 3,000 3,000 4,000 TOTAL LICENSES 123,342 128,500 128,500 95,800 25.4% PERMITS 3301 Building 480,125 380,000 380,000 380,000 3302 Plan Check 240,028 180,000 180,000 180,000 3305 Heating & A/C 101,549 80,000 80,000 80,000 3306 Plumbing 60,579 65,000 65,000 65,000 3307 Trenching 40,012 25,000 25,000 30,000 3308 Gun 1,320 1,400 1,400 1,400 3309 Sprinkler 10,423 15,000 15,000 11,000 3311 Sign 6,115 7,500 7,500 6,500 3320 Stable 210 300 300 300 3330 Elec Permit App Forms 3331 Firework's Application Fee 225 3390 Misc. Permits 2,625 2,000 2,000 2,000 TOTAL PERMITS 943,210 756,200 756,200 756,200 0.0% FINES & PENALTIES 3401 Traffic & Ordinance Violation 117,899 125,000 125,000 125,000 3402 Vehicle Lockouts 1,746 2,500 2,500 2,500 3404 Dog/Cat Impound 3,789 4,000 4,000 3405 Other Fines and Penalties 175 TOTAL FINES & PENALTIES 123,609 131,500 131,500 127,500 -3.0% INTERGOVERNMENTAL REVENUE 3503 Reimbursement from School District 41,941 45,000 45,000 45,000 3509 Other Shared Taxes 125,349 130,000 130,000 125,000 3510 Grants -State 110,223 90,000 90,000 100,000 TOTAL INTERGOVERNMENTAL REV 277,513 265,000 265,000 270,000 1.9% 4 CITY OF CHANHASSEN 2012 BUDGET REVENUE 101 General Fund 2010 2011 2011 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET PROJECTED BUDGET CHARGES FOR CURRENT SERVICES Inc Over PY Budget 3601 Sale of Documents 3,034 1,000 1,000 1,500 3602 Use & Variance Permits 6,545 10,000 10,000 7,000 3603 Rezoning Fees 500 2,000 2,000 500 3604 Assessment Searches 270 500 500 400 3605 Plat Recording Fees 1,650 3,000 3,000 2,000 3607 Election Filing Fees 20 3613 Misc. - General Government 3,191 5,000 5,000 3,200 3614 Admin. Charge -2% Constr.49,042 20,000 20,000 40,000 3615 Admin. Charge -5% Street Re- Constr.16,664 30,000 30,000 60,000 3615 Admin. Charge -5% Utility Projects 20,701 20,000 20,000 3617 Engineering General 30 3619 Investment Management Fee 75,000 75,000 75,000 75,000 3629 Misc. - Public Safety 11,865 10,000 10,000 11,500 3630 Recreation Program Fees 33,799 40,000 40,000 35,000 3631 Recreation Center 227,487 230,000 230,000 230,000 3633 Park Equipment Rental 150 300 300 300 3634 Park Facility Usage Fee 12,521 14,000 14,000 14,000 3635 Watercraft Rental 5,467 4,500 4,500 5,000 3636 Self- Supporting Programs 55,066 97,000 97,000 93,600 3637 Senior Programs 28,801 30,000 30,000 30,000 3638 Food Concessions 10,212 12,000 12,000 12,000 3639 Misc. -Park & Rec.1,165 1,200 1,200 1,200 3641 Youth Sport Donation 3642 Recreation Sports 29,713 31,000 31,000 31,000 3649 Misc.-Public Works 2,100 5,000 5,000 2,000 3651 Merchandise Sales 1,911 1,500 1,500 1,500 3670 Internment Fee 50 TOTAL CURRENT SERVICES 596,952 643,000 643,000 656,700 2.1% OTHER REVENUE 3801 Interest Earnings 37,575 100,000 100,000 60,000 3802 Equipment Rental & Sale 195,623 180,000 180,000 150,000 3803 Building Rental 5,420 5,000 5,000 5,000 3804 Land Sale 7,400 3807 Donations 35,285 25,200 25,200 31,400 3816 SAC Retainer 2,479 5,000 5,000 3,000 3818 Sur -Tax Retainer 629 1,000 1,000 1,000 3820 Misc. Other Revenue 317 1,000 1,000 500 3903 Refunds /Reimbursements 107,415 38,000 38,000 45,000 3980 Cash Short/Over 4 TOTAL OTHER REVENUE 392,147 355,200 355,200 295,900 - 16.7% TOTAL GENERAL FUND REVENUE 9,764,750 9,617,600 9,617,600 9,616,600 0.0% TOTAL GENERAL FUND EXPENDITURES 9,616,600 NET LEVY REMAINING (Use of Gen Fund Reserves) 5 CITY OF CHANHASSEN 2012 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 also serves as the Economic Development Authority, and appoints members to various boards and commissions such as the Planning Commission, Park and Recreation Commission, Senior Commission and other advisory groups. Budget Highlights The 2012 budget reflects a decrease of $7,100 (6.6 %). Decreases were achieved by moving all postage expenses to the Administration budget. 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 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 0 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1110 Legislative 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4020 Salaries & Wages -Temp 4030 Contributions- Retirement 4050 Workers Compensation TOTAL PERSONAL SERVICES 4210 Books & Periodicals TOTAL MATERIALS & SUPPLIES 4300 Fees, Services 4330 Postage 4340 Printing & Publishing 4360 Subscriptions & Memberships 4370 Travel & Training 4375 Promotional Expense 4933 Sales Tax 32,300 TOTAL CONTRACTUAL SERVICES TOTAL LEGISLATIVE 28,850 30,000 30,000 0.0% 2,048 2,200 2,200 0.0% 78 100 100 0.0% 30,976 32,300 32,300 0.0% 200 100 50.0 %) 200 100 50.0 %) 1,383 2,000 2,000 0.0% 6,800 100.0 %) 34,821 36,000 36,000 0.0% 23,918 25,000 25,000 0.0% 3,364 5,000 4,500 10.0 %) 5,309 1,000 1,300 30.0% 3 0.0% 68,798 75,800 68,800 9.2 %) 99,774 108,300 101,200 6.6 %) 7 CITY OF CHANHASSEN 2012 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 2012 budget reflects an increase of $9,000 (1.9 %) from the 2011 budget. All postage expenses for the City are now included in this budget. 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) Administrative Support Specialists. Staff specifically provides support for the City Council and City Manager by producing the City communications such as the website, Chanhassen Connection, electronic message sign and Cable Channel 8, as well as overseeing City Council and Commission packets. Other significant expenses within Administration include oversight of rental of City property, such as cell tower leases. Revenues This department generates revenue through rental of City owned property, such as cell tower leases. Fees paid for inspections of cell tower equipment are recuperated. E CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1120 Administration 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/ DEC 4010 Salaries & Wages -Reg 4020 Salaries & Wages -Temp 4030 Contributions - Retirement 4040 Contributions- Insurance 4050 Workers Compensation TOTAL PERSONAL SERVICES 314,601 319,300 323,000 1.2% 220 1,000 1,000 0.0% 44,264 47,800 48,100 0.6% 31,637 35,800 35,300 1.4 %) 445 700 500 28.6 %) 391,167 404,600 407,900 0.8% 4120 Supplies- Equipment 21 200 200 0.0% 4130 Supplies- Program 7 100 100 0.0% 4210 Books & Periodicals 200 200 0.0% TOTAL MATERIALS & SUPPLIES 29 500 500 0.0% 4300 Fees, Services 15,910 7,000 7,000 0.0% 4310 Telephone 3,427 4,000 4,000 0.0% 4320 Utilities 26 0.0% 4330 Postage 22,652 16,000 23,000 43.8% 4340 Printing & Publishing 71 1,000 300 70.0 %) 4360 Subscriptions & Memberships 3,079 4,500 4,300 4.4 %) 4370 Travel & Training 8,415 8,000 8,000 0.0% 4380 Mileage 5,100 5,500 5,500 0.0% 4410 Rental- Equipment 13,587 14,500 14,500 0.0% 4530 Repair & Maintenance -Equip 300 100.0 %) 4807 Property Tax Expense 711 100 100.0 %) 4933 Sales Tax 4 0.0% TOTAL CONTRACTUAL SERVICES 72,982 60,900 66,600 9.4% 4703 Office Equipment 0.0% TOTAL CAPITAL OUTLAY 0.0% TOTAL ADMINISTRATION 464,177 466,000 475,000 1.9% 6 CITY OF CHANHASSEN 2012 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, Assistant Finance Director, and two accounting clerks one of which is shared with the Fire Department. Budget Highlights The 2012 budget reflects a small decrease of $1,600 (.6 %). There were no significant changes in the budget from 2011 to 2012. Future Trends The Finance Department acquired new software in 2005. The new software was used to implement Utility Billing online payments (a convenience feature for our residents to pay their bills online with the use of a credit card). The department also plans on implementing an online payroll /timekeeping processing system in the next couple years. 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 $35,000 - $40,000 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 $450. 10 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1130 Finance 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages -Reg 4030 Contributions- Retirement 4040 Contributions- Insurance 4050 Workers Compensation 4060 Unemployment 231,800TOTALPERSONALSERVICES 4120 Supplies- Equipment 4210 Books & Periodicals TOTAL MATERIALS & SUPPLIES 177,992 178,200 25,305 26,600 24,002 27,900 254 400 227,553 233,100 100 200 178,700 0.3% 26,600 0.0% 26,100 6.5 %) 400 0.0% 0.0% 231,800 0.6 %) 100 0.0% 100 0.0% 200 0.0% 4300 Fees, Services 10,764 7,000 11,000 57.1% 4301 Fees, Financial /Audit 27,429 32,000 29,000 9.4 %) 4310 Telephone and Communications 671 500 700 40.0% 4330 Postage 200 100.0 %) 4340 Printing & Publishing 243 1,800 1,000 44.4 %) 4360 Subscriptions & Memberships 465 400 500 25.0% 4370 Travel & Training 2,890 6,100 5,500 9.8 %) 4530 Repair & Maintenance -Equip 100 100 0.0% 4933 Sales Tax 4 0.0% TOTAL CONTRACTUAL SERVICES 42,466 48,100 47,800 0.6 %) 4703 Office Equipment 200 200 0.0% TOTAL CAPITAL OUTLAY 200 200 0.0% TOTAL FINANCE 270,019 281,600 280,000 0.6 %) 11 CITY OF CHANHASSEN 2012 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 The legal services budget was increased by $3,000 (2.1 %) to reflect actual spending. Legal spending typically fluctuates with development. 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 most City Council meetings. 12 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1140 Legal 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/ DEC 4302 Fees, Legal 142,163 142,000 145,000 2.1% 4340 Printing & Publishing 170 - - 0.0% TOTAL CONTRACTUAL SERVICES 142,333 142,000 145,000 2.1% TOTAL LEGAL 142,333 142,000 145,000 2.1% 13 CITY OF CHANHASSEN 2012 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 Property Assessment budget was increased by $500 (.4 %) for 2012. This minor adjustment was made to accommodate additional parcels in the City. 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 and Hennepin County for service in 2012. The City contracts 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. 14 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1150 Property Assessment 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/ DEC 4300 Fees, Services 111,272 112,000 112,500 0.4% 4340 Printing & Publishing 160 100 100 0.0% TOTAL CONTRACTUAL SERVICES 111,432 112,100 112,600 0.4% TOTAL PROPERTY ASSESSMENT 111,432 112,100 112,600 0.4% I CITY OF CHANHASSEN 2012 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 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 2012 MIS department budget reflects a .9% increase. There was a slight increase in professional services due to increases in software maintenance fees. MIS staff will continue concentrating on reducing the number of physical City network servers through the use of VMWare virtualization software. 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. The City's primary financial application provided by Springbrook Software is scheduled for a major upgrade in 2012. The City's permitting software will be migrated to the Springbrook platform later that year. Future Trends Existing network servers will continue to be integrated into fewer physical servers utilizing a VMWare Virtual Server platform. This reduces the number of physical servers needed and allows for more efficient use of their computing power and resources. In addition, data storage for these network servers was consolidated through the deployment of storage area network appliances. The two technologies will work together to provide the City with redundant network resources. The same technology will be utilized to virtualize some low usage PC's. Storage needs are anticipated to grow significantly due to the addition of scanned building drawing images and sewer televising video files. Additional storage capacity is being added in 2012 to accommodate this growth. The City is participating with Carver County and other agencies on a joint fiber optical network. The construction phase of this project began in the spring of 2011 and is expected to be completed in late 2012 or early 2013. When fully implemented, there is the potential for cost savings with internet and web services, and for the sharing of network resources. Initial collaboration would be the placement of redundant City storage at the County data center in Cologne. 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 MIS budget supports the maintenance of all software utilized by staff for their support of City projects and functions as well as all the required network equipment. Major software agreements include financial applications, permitting, document imaging and various network support utilities. Some of these expenditures are included in the capital budget accounts. 16 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1160 Management Information Systems (MIS) 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/ DEC 4010 Salaries & Wages -Reg 137,201 4030 Contributions- Retirement 19,722 4040 Contributions- Insurance 16,919 4050 Workers Compensation 196 177,400TOTALPERSONALSERVICES174,037 4150 Maintenance Materials 1,196 4210 Books & Periodicals 290 4220 Software Licenses 4260 Small Tools & Equipment 160 2,400TOTALMATERIALS & SUPPLIES 1,647 4300 Fees, Services 44,116 4310 Telephone 2,122 4320 Utilities 4,559 4370 Travel & Training 5,186 4530 Repair & Maintenance -Equip 5,638 4933 Sales Tax 602 74,800TOTALCONTRACTUALSERVICES62,224 4703 Office Equipment TOTAL CAPITAL OUTLAY TOTAL M.I.S. 237,908 137,000 139,100 1.5% 20,500 20,600 0.5% 19,600 19,500 0.5 %) 300 300 0.0% 177,400 179,500 1.2% 1,300 1,300 0.0% 600 300 50.0 %) 0.0% 500 300 40.0 %) 2,400 1,900 20.8 %) 52,800 53,500 1.3% 1,900 2,200 15.8% 8,100 8,800 8.6% 7,000 6,000 14.3 %) 5,000 5,000 0.0% 0.0% 74,800 75,500 0.9% 0.0% 0.0% 254,600 256,900 0.9% OVA CITY OF CHANHASSEN 2012 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 Expenditures decreased by $600 (.1 %) over the 2011 budget. Changes include a reduction in telephone expenses due to the discontinuation of some lines and a reduction in utilities to reflect actual spending. 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 ($178,000). This item includes property insurance, auto insurance, various risk coverages, and terrorism insurance. Another significant expense is the cost of utilities for City Hall. CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1170 City Hall 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC /(DEC) 4010 Salaries & Wages -Reg 51,811 51,300 52,000 1.4% 4011 Overtime -Reg 5,080 3,500 3,500 0.0% 4030 Contributions- Retirement 8,241 7,700 8,200 6.5% 4040 Contributions - Insurance 6,423 7,400 7,400 0.0% 4050 Workers Compensation 1,550 1,600 1,700 6.3% TOTAL PERSONAL SERVICES 73,106 71,500 72,800 1.8% 4110 Supplies -Office 38,184 37,000 37,000 0.0% 4120 Supplies- Equipment 321 1,000 100 90.0 %) 4130 Supplies- Program 48 0.0% 4140 Supplies - Vehicles 500 800 60.0% 4150 Maintenance Materials 3,807 4,000 4,000 0.0% 4260 Small Tools & Equipment 1,057 400 400 0.0% TOTAL MATERIALS & SUPPLIES 43,416 42,900 42,300 1.4 %) 4300 Fees, Services 10,480 9,000 11,000 22.2% 4310 Telephone 9,844 12,000 10,500 12.5 %) 4320 Utilities 36,630 50,000 46,000 8.0 %) 4350 Cleaning & Waste Removal 32,571 33,000 33,000 0.0% 4370 Travel & Training 1,542 200 200 0.0% 4440 License & Registration 100 100 0.0% 4483 Insurance - General Liability 180,380 176,000 178,000 1.1% 4510 Repair & Maintenance - Building 6,117 10,000 8,000 20.0 %) 4520 Repair & Maintenance - Vehicles 20 400 600 50.0% 4530 Repair & Maintenance -Equip 5,141 3,000 5,000 66.7% 4933 Sales Tax 192 300 300 0.0% TOTAL CONTRACTUAL SERVICES 282,916 294,000 292,700 0.4 %) TOTAL CITY HALL 399,437 408,400 407,800 0.1 %) 19 CITY OF CHANHASSEN 2012 BUDGET Commentary General Government — Elections Mission and Current Services The City Managers 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 increasing by $3,900 (13.8% Future Trends Redistricting will occur following the results of the 2010 US Census. Outcomes Funds will be used to assist with the 2012 election, which includes the Presidential race. 20 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1180 Elections 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4020 Salaries & Wages -Temp 4030 Contributions- Retirement 4050 Workers Compensation 4060 Unemployment 100.0% TOTAL PERSONAL SERVICES 27,433 20,500 22,000 7.3% 218 1,000 400 60.0 %) 71 100 100.0% 167 0.0% 27,888 21,500 22,500 4.7% 4110 Office Supplies 462 200 500 150.0% 4300 Fees, Services 10,092 3,000 5,000 66.7% 4340 Printing & Publishing 214 2,300 2,300 0.0% 4370 Travel & Training 3,639 1,200 1,800 50.0% TOTAL CONTRACTUAL SERVICES 14,407 6,700 9,600 43.3% TOTAL ELECTIONS 42,295 28,200 32,100 13.8% 21 CITY OF CHANHASSEN 2012 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, and telephone service. Budget Highlights The budget is decreasing by $5,200 (4.1 %), largely due to a reduction in utility costs and equipment repair to match actual expenses. Future Trends The Library building opened in 2003. Major repairs or capital expenditures are not anticipated for a number of 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. 22 CITY OF CHANHASSEN 2012 BUDGET, 101 General Fund 1190 Library Building 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4120 Supplies- Equipment 4150 Maintenance Materials 4260 Small Tools & Equipment TOTAL MATERIALS & SUPPLIES 4300 Fees, Services 4310 Telephone 4320 Utilities 4350 Cleaning & Waste Removal 4510 Repair & Maintenance - Building 4530 Repair & Maintenance -Equip 4933 Sales Tax TOTAL CONTRACTUAL SERVICES 60 0.0% 3,433 3,000 3,000 0.0% 45 0.0% 3,538 3,000 3,000 0.0% 4,970 6,500 6,500 0.0% 1,454 1,800 1,600 11.1 %) 64,376 70,000 68,000 2.9 %) 31,759 34,000 33,000 2.9 %) 5,591 5,000 5,000 0.0% 2,075 7,000 5,000 28.6 %) 43 0.0% 110,266 124,300 119,100 4.2 %) TOTAL LIBRARY 113,803 127,300 122,100 (4.1% 23 CITY OF CHANHASSEN 2012 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 Lieutenant 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 2012 budget reflects a decrease of $78,700 (4.8 %) while maintaining service levels. The 2012 contract includes a Liaison Lieutenant, 2 Sergeants, a School Resource Officer, an Investigator, 8 Patrol Deputies and 2 Corporals. 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 Sheriffs Department to maintain the high level of satisfaction with our law enforcement services. Staff will continue to monitor needs and will also participate in discussions with the Carver County Sheriffs Department about future staffing levels. Outcomes On average, the City of Chanhassen receives 59 hours of deputy patrol per day. The City also receives investigative and other services from the County. Revenues This department generates revenue through sponsorships for Safety Camp and National Night Out, fines collected through Carver County and liquor licenses. 24 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1210 Police Administration 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/ DEC 4010 Salaries & Wages -Reg 4030 Contributions- Retirement 4040 Contributions- Insurance 4050 Workers Compensation 4375 TOTAL PERSONAL SERVICES 4130 Program Supplies 4300 Fees, Services 4360 Subscriptions & Memberships 4370 Travel & Training 4375 Promotional Expense 4933 Sales Tax TOTAL CONTRACTUAL SERVICES 62,419 62,700 51,000 18.7 %) 9,154 9,400 7,600 19.1 %) 6,485 7,500 7,500 0.0% 174 300 300 0.0% 78,231 79,900 66,400 16.9 %) 3,565 5,000 5,000 0.0% 1,499,704 1,565,000 1,499,800 4.2 %) 60 0.0% 72 500 500 0.0% 3,548 4,500 4,500 0.0% 244 0.0% 1,507,192 1,575,000 1,509,800 4.1 %) TOTAL POLICE ADMINISTRATION 1,585,423 1,654,900 1,576,200 (4.8 %) 25 CITY OF CHANHASSEN 2012 BUDGET Commentary Public Safety — Fire Prevention and Administration Mission and Current Services This budget funds both Fire Prevention and Fire Department Administration. The Fire Department currently employs 45 firefighters operating out of two stations with a primary purpose of providing fire protection services for City residents and business owners. In addition, the department assists neighboring departments when requested and receives the same support in return. The Fire Prevention division is staffed by a Fire Marshal and a Deputy Fire Marshal who office out of City Hall. This division is responsible for enforcing the state fire code in new and existing construction. It is also responsible for the investigation of all fires within the City borders. Budget Highlights The budget is increasing by $16,800 (2.3 %). This increase is attributed partly to a one dollar per call increase and adjustments to wages to reflect actual spending. Also, as part of the 2012 budget process the fire department requested an additional $10,000 for travel and training expenses. Future Trends Anticipated commercial and residential development occurring in the southern portion of the City will increase the need for expanded fire protection in that area. A third satellite fire station is planned to meet that need. Some existing firefighters would be assigned to that station; however, additional staff will need to be added to fully staff all stations. Outcomes Both the Fire Department and Fire Prevention departments are heavily involved with fire prevention awareness throughout the City. Programs such as Safety Camp and Fire Prevention Week for children grades 1 through 3 continue to be a great success. The Fire Department Open House held annually in October offers fire education for all ages and consistently draws increasing crowds. Firefighters also volunteer in numerous City outreach programs such as block parties, station tours and special fire education programs for local community groups to ensure a high visibility within the community. 26 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1220 Fire Prevention and Administration 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC /(DEC) 4010 Salaries & Wages -Reg 134,121 135,000 137,000 1.5% 4011 Overtime 146 1,000 1,000 0.0% 4020 Salaries & Wages -Temp 161,469 132,000 158,000 19.7% 4022 Training Wages 18,900 28,000 32,000 14.3% 4030 Contributions- Retirement 136,587 175,000 150,000 14.3 %) 4040 Contributions - Insurance 23,307 27,200 26,000 4.4 %) 4050 Workers Compensation 9,840 10,000 11,000 10.0% TOTAL PERSONAL SERVICES 484,370 508,200 515,000 1.3% 4120 Supplies- Equipment 9,983 11,000 11,000 0.0% 4130 Supplies- Program 3,016 2,500 2,500 0.0% 4140 Supplies - Vehicles 10,551 12,000 11,500 4.2 %) 4150 Maintenance Materials 611 500 500 0.0% 4170 Motor Fuels and Lubrication 37 0.0% 4210 Books & Periodicals 600 600 0.0% 4240 Uniforms & Clothing 10,717 9,000 9,500 5.6% 4260 Small Tools & Equipment 5,179 5,000 5,000 0.0% 4290 Misc. Materials & Supplies 5,744 5,000 5,000 0.0% TOTAL MATERIALS & SUPPLIES 45,839 45,600 45,600 0.0% 4300 Fees, Services 7,509 11,000 11,000 0.0% 4310 Telephone 4,560 5,000 5,000 0.0% 4320 Utilities 23,377 25,000 25,000 0.0% 4350 Cleaning & Waste Removal 4,286 5,000 5,000 0.0% 4360 Subscriptions & Memberships 1,888 2,000 2,000 0.0% 4370 Travel & Training 11,513 10,000 20,000 100.0% 4375 Promotional Expense 10,537 9,000 9,000 0.0% 4483 Insurance - General Liability 2,196 1,000 2,000 100.0% 4510 Repair & Maintenance - Building 5,809 6,000 6,000 0.0% 4520 Repair & Maintenance - Vehicles 2,004 8,000 7,000 12.5 %) 4530 Repair & Maintenance -Equip 11,614 15,000 15,000 0.0% 4531 Repair & Maintenance- Radios 5,618 5,000 5,000 0.0% Contribution for Performance 94,032 90,000 90,000 0.0% 4933 Sales Tax 906 0.0% TOTAL CONTRACTUAL SERVICES 185,848 192,000 202,000 5.2% TOTAL FIRE PREVENTION ADMIN 716,057 745,800 762,600 2.3% 27 CITY OF CHANHASSEN 2012 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 solicitor permits and providing assistance to the City's law enforcement staff. Budget Highlights This budget reflects an increase of .6 %. There are no significant items that attributed to the increase. Future Trends Residential permits increased over the 2010 number. Residential permits in 2012 should continue to show a slight increase over 2011. Commercial and industrial building will continue to be sluggish. Outcomes The budget provides the wages and salary for the Building Official, 2 Building Inspectors, 2 Mechanical Inspectors and 2 support staff. The budget also provides for Continuing Education for the Inspectors' licensing. Revenues This department generates revenue through building permits and other special permits. W CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1250 Code Enforcement 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/ DEC 4010 Salaries & Wages -Reg 446,658 448,400 455,000 1.5% 4011 Overtime -Reg 0.0% 4020 Salaries & Wages -Temp 0.0% 4021 Overtime -Temp 0.0% 4030 Contributions - Retirement 64,237 67,500 67,800 0.4% 4040 Contributions- Insurance 58,138 69,000 66,400 3.8 %) 4050 Workers Compensation 1,123 1,400 1,500 7.1% 4060 Unemployment 14,430 0.0% TOTAL PERSONAL SERVICES 584,586 586,300 590,700 0.8% 4120 Supplies- Equipment 500 100 80.0 %) 4130 Supplies- Program 844 500 900 80.0% 4140 Supplies - Vehicles 1,379 1,700 1,700 0.0% 4210 Books & Periodicals 805 1,500 1,500 0.0% 4240 Uniforms & Clothing 247 500 500 0.0% 4260 Small Tools & Equipment 36 400 400 0.0% TOTAL MATERIALS & SUPPLIES 3,311 5,100 5,100 0.0% 4300 Fees, Services 0.0% 4310 Telephone 3,788 4,000 4,000 0.0% 4340 Printing & Publishing 915 2,000 1,500 25.0 %) 4360 Subscriptions & Memberships 365 1,000 1,000 0.0% 4370 Travel & Training 2,917 6,000 6,000 0.0% 4375 Promotional Expense 200 100.0 %) 4440 License & Registration 324 200 500 150.0% 4520 Repair & Maintenance - Vehicles 64 500 300 40.0 %) 4530 Repair & Maintenance-Equip 1,667 2,000 2,000 0.0% 4901 Refunds /Reimbursements 1,725 1,000 1,000 0.0% 4933 Sales Tax 31 0.0% TOTAL CONTRACTUAL SERVICES 11,796 16,900 16,300 3.6 %) TOTAL CODE ENFORCEMENT 599,693 608,300 612,100 0.6% 29 CITY OF CHANHASSEN 2012 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 2012 budget is increasing by $1,600 (2.2 %). 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 Sheriffs 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. The CSO program maintains a website and Facebook presence 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. M CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1260 Community Service 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4020 Salaries & Wages -Temp 4021 Overtime -Temp 4030 Contributions- Retirement 4040 Contributions- Insurance 4050 Workers Compensation 7,200 TOTAL PERSONAL SERVICES 46,580 48,000 48,700 1.5% 908 1,400 1,400 0.0% 6,988 6,500 7,200 10.8% 1,276 700 1,200 71.4% 730 1,000 1,000 0.0% 56,482 57,600 59,500 3.3% 4120 Supplies- Equipment 781 1,000 1,000 0.0% 4130 Supplies- Program 1,369 1,000 1,700 70.0% 4140 Supplies - Vehicles 650 1,000 800 20.0 %) 4210 Books & Periodicals 200 100.0 %) 4240 Uniforms & Clothing 785 1,000 1,000 0.0% TOTAL MATERIALS & SUPPLIES 3,585 4,200 4,500 7.1% 4300 Fees, Services 9,935 9,000 9,000 0.0% 4310 Telephone 836 1,100 1,000 9.1%) 4340 Printing & Publishing 128 300 200 33.3 %) 4360 Subscriptions & Memberships 144 200 200 0.0% 4370 Travel & Training 644 700 700 0.0% 4520 Repair & Maintenance - Vehicles 4 500 500 0.0% 4530 Repair & Maintenance -Equip 10 300 100 66.7 %) 4531 Repair & Maintenance- Radios 15 300 100 66.7 %) 4933 Sales Tax 40 0.0% TOTAL CONTRACTUAL SERVICES 11,756 12,400 11,800 4.8 %) TOTAL COMMUNITY SERVICE 71,823 74,200 75,800 2.2% 31 CITY OF CHANHASSEN 2012 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 Plan review and construction monitoring for all developer - installed public improvements Review building permits to ensure compliance with the City Council- approved grading plan and conditions of development approval Attend Planning Commission Meetings Review Vacation Requests Draft Encroachment Agreements Pavement Management Administration of the Pavement Management System 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: Street closures for block parties Temporary lifting of No Parking Zone regulations Daily watering of new sod or seed 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 2012 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 2012 is $4,100. This amount is used to pay for the Engineering copier's supplies and maintenance agreements. Revenues This department generates revenue through permits and development review fees. 32 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1310 Engineering 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages -Reg 4011 Overtime -Reg 4020 Salaries & Wages -Temp 4030 Contributions- Retirement 4040 Contributions- Insurance 4050 Workers Compensation 57,839 TOTAL PERSONAL SERVICES 4120 Supplies- Equipment 4140 Supplies - Vehicles 4150 Maintenance Materials 4210 Books & Periodicals 1,500 TOTAL MATERIALS & SUPPLIES 4300 Fees, Services 4310 Telephone 4330 Postage 4340 Printing & Publishing 4360 Subscriptions & Memberships 4370 Travel & Training 4380 Mileage 4530 Repair & Maintenance -Equip 4933 Sales Tax 100 TOTAL CONTRACTUAL SERVICES 4705 Other Equipment TOTAL CAPITAL OUTLAY TOTAL ENGINEERING 397,964 413,000 419,400 1.5% 1,500 1,500 0.0% 5,252 15,000 15,000 0.0% 57,839 61,700 62,300 1.0% 42,597 48,400 50,000 3.3% 1,013 1,500 1,500 0.0% 504,665 541,100 549,700 1.6% 52 500 500 0.0% 332 700 700 0.0% 0.0% 29 100 100 0.0% 413 1,300 1,300 0.0% 27,952 18,000 18,000 0.0% 2,598 3,200 3,000 6.3 %) 400 100.0 %) 432 600 600 0.0% 1,204 1,400 1,400 0.0% 1,597 3,000 3,000 0.0% 93 500 500 0.0% 4,018 3,500 4,100 17.1% 0.0% 37,893 30,600 30,600 0.0% 0.0% 0.0% 542,971 573,000 581,600 1.5% 33 CITY OF CHANHASSEN 2012 BUDGET Commentary Public Works — Street Maintenance Mission and Current Services This budget provides for the maintenance arm of the following programs: Pavement Management Snow removal and ice control Crack sealing Pothole patching and small patch overlays Tree trimming and mowing activities Traffic sign installation and maintenance Pavement marking Storm Water Management Street sweeping Storm sewer cleaning 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 2012 is $40,000. 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 2012 is $75,000 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. 34 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1320 Street Maintenance 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC /(DEC) 4010 Salaries & Wages -Reg 448,096 462,400 457,700 1.0 %) 4011 Overtime -Reg 20,377 18,000 20,000 11.1% 4020 Salaries & Wages -Temp 9,546 10,000 10,000 0.0% 4021 Overtime -Temp 28 0.0% 4030 Contributions- Retirement 66,576 70,000 68,000 2.9 %) 4040 Contributions- Insurance 67,431 71,700 74,600 4.0% 4050 Workers Compensation 29,023 30,000 33,200 10.7% TOTAL PERSONAL SERVICES 641,077 662,100 663,500 0.2% 4120 Supplies- Equipment 42,696 40,000 40,000 0.0% 4140 Supplies - Vehicles 22,909 18,000 18,000 0.0% 4150 Maintenance Materials 102,280 65,000 75,000 15.4% 4210 Books & Periodicals 100 100 0.0% 4240 Uniforms & Clothing 4,929 4,800 4,800 0.0% 4260 Small Tools & Equipment 1,094 1,700 1,700 0.0% TOTAL MATERIALS & SUPPLIES 173,907 129,600 139,600 7.7% 4300 Fees, Services 1,672 1,000 1,000 0.0% 4310 Telephone 3,700 3,800 3,800 0.0% 4340 Printing & Publishing 92 300 300 0.0% 4350 Cleaning & Waste Removal 516 300 300 0.0% 4360 Subscriptions & Memberships 64 1,200 1,200 0.0% 4370 Travel & Training 1,300 2,000 2,000 0.0% 4410 Rental- Equipment 992 1,500 1,500 0.0% 4440 License & Registration 600 600 0.0% 4510 Repair & Maintenance - Building 500 500 0.0% 4520 Repair & Maintenance - Vehicles 160 3,000 1,000 66.7 %) 4530 Repair & Maintenance -Equip 3,833 5,500 5,500 0.0% 4531 Repair & Maintenance - Radios 143 0.0% 4540 Repair & Maintenance - Streets 1,669 2,000 2,000 0.0% 4560 Repair & Maintenance -Signs 18,357 10,000 10,000 0.0% 4933 Sales Tax 3,086 0.0% TOTAL CONTRACTUAL SERVICES 35,584 31,700 29,700 6.3 %) 4705 Other Equipment 1,000 0.0% TOTAL CAPITAL OUTLAY 1,000 0.0% TOTAL STREET MAINTENANCE 851,568 823,400 832,800 1.1% 35 CITY OF CHANHASSEN 2012 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 is $315,000. 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 $22,000 which is to pay for bulbs and ballasts and also repair and maintenance of the signal systems. 36 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1350 Street Lighting & Signals 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4120 Supplies- Equipment 1,527 5,000 2,000 (60.0 %) TOTAL MATERIALS & SUPPLIES 1,527 5,000 2,000 (60.0 %) 4300 Fees, Services 300 300 4310 Telephone 363 600 600 4320 Utilities 300,283 315,000 315,000 4530 Repair & Maintenance -Equip 2,500 4560 Repair & Maintenance -Signs 4565 Repair & Maintenance - Lights &Signals 15,405 22,000 22,000 TOTAL CONTRACTUAL SERVICES 316,051 340,400 337,900 TOTAL STREET LIGHT & SIGNALS 317,578 345,400 339,900 0.0% 0.0% 0.0% 100.0 %) 0.0% 1.6 %) 37 CITY OF CHANHASSEN 2012 BUDGET Commentary Public Works — City Garage Mission and Current Services To keep in good condition over $8 million worth of vehicles and equipment. Keep the fleet operational with minimal down time and strive to 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 is $150,000. The main expenditure is for diesel and unleaded fuels for the City's fleet which includes all City departments. The budget also includes fuel used by the Carver County Sheriffs vehicles which are assigned in the community, Carver County is then billed for this usage. This budget amount also includes the purchase of oil, grease and hydraulic fluids. 2. Utilities: The amount budgeted is $60,000. This expenditure includes the utility costs gas, electric) to heat and power the new Public Works building. 38 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1370 City Garage 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC /(DEC) 4010 Salaries & Wages -Reg 188,282 187,600 190,300 1.4% 4011 Overtime -Reg 5,950 6,500 6,500 0.0% 4030 Contributions - Retirement 27,246 28,000 28,300 1.1% 4040 Contributions - Insurance 29,457 35,700 34,400 3.6 %) 4050 Workers Compensation 7,007 7,200 7,500 4.2% TOTAL PERSONAL SERVICES 257,943 265,000 267,000 0.8% 4120 Supplies- Equipment 2,521 2,000 2,500 25.0% 4140 Supplies - Vehicles 360 500 500 0.0% 4150 Maintenance Materials 2,186 1,000 1,200 20.0% 4170 Motor Fuels & Lubricants 127,767 138,000 150,000 8.7% 4240 Uniforms & Clothing 917 1,200 1,200 0.0% 4260 Small Tools & Equipment 4,518 3,000 4,000 33.3% TOTAL MATERIALS & SUPPLIES 138,269 145,700 159,400 9.4% 4300 Fees, Services 2,430 1,300 2,000 53.8% 4310 Telephone 4,811 4,000 4,500 12.5% 4320 Utilities 49,899 60,000 60,000 0.0% 4330 Postage 12 0.0% 4340 Printing & Publishing 100 100 0.0% 4350 Cleaning & Waste Removal 7,966 10,000 9,000 10.0 %) 4360 Subscriptions & Memberships 200 200 0.0% 4370 Travel & Training 179 800 800 0.0% 4410 Rental- Equipment 500 100.0 %) 4440 License & Registration 1,345 500 500 0.0% 4510 Repair & Maintenance - Building 6,562 7,000 7,000 0.0% 4520 Repair & Maintenance - Vehicles 300 100.0 %) 4530 Repair & Maintenance -Equip 1,200 2,000 2,000 0.0% 4531 Repair & Maintenance - Radios 100 100.0 %) 4933 Sales Tax 400 0.0% TOTAL CONTRACTUAL SERVICES 74,802 86,800 86,100.0.8 %) 4703 Office Equipment 500 500 0.0% 4705 Other Equipment 2,974 5,000 4,000 20.0 %) TOTAL CAPITAL OUTLAY 2,974 5,500 4,500 18.2 %) TOTAL CITY GARAGE 473,988 503,000 517,000 2.8% 39 CITY OF CHANHASSEN 2012 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 2011 to 2012. Future Trends The Commission will likely see more development applications, including residential and commercial developments. 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. 40 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1410 Planning Commission 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/ DEC 4210 Books & Periodicals 200 TOTAL MATERIALS & SUPPLIES 200 4340 Printing & Publishing 2,453 3,000 4360 Subscriptions & Memberships 200 4370 Travel & Training 476 800 TOTAL CONTRACTUAL SERVICES 2,928 4,000 TOTAL PLANNING COMMISSION 2,928 4,200 200 0.0% 200 0.0% 3,000 0.0% 200 0.0% 800 0.0% 4,000 0.0% 4,200 0.0% 41 CITY OF CHANHASSEN 2012 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 1.1 % due to increased personnel costs. Future Trends The majority of building activity will be in current developments, including additions and remodeling to existing commercial and industrial buildings. Outcomes The planning staff (Community Development Director, 2 Senior Planners, Planner I and Planning Secretary) 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 Revenues This department generates revenue through permit fees and the review of development applications. 42 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1420 Planning Administration 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/ DEC 4010 Salaries & Wages -Reg 298,981 307,500 312,400 1.6% 4030 Contributions- Retirement 41,996 45,900 46,500 1.3% 4040 Contributions - Insurance 43,867 51,100 51,000 0.2 %) 4050 Workers Compensation 426 600 600 0.0% TOTAL PERSONAL SERVICES 385,270 405,100 410,500 1.3% 4120 Supplies- Equipment 4130 Supplies- Program 4140 Supplies - Vehicles 4210 Books & Periodicals TOTAL MATERIALS & SUPPLIES 104 300 300 0.0% 100 100.0 %) 100 100 0.0% 200 100.0 %) 104 700 400 (42.9 %) 4300 Fees, Services 4310 Telephone 4340 Printing & Publishing 4360 Subscriptions & Memberships 4370 Travel & Training 4520 Repair & Maintenance - Vehicles TOTAL CONTRACTUAL SERVICES 20 5,000 200 200 420 1,500 4,786 5,500 200 5,226 12,600 TOTAL PLANNING ADMINISTRATION 390,600 418,400 43 5,000 0.0% 100.0 %) 100.0 %) 1,500 0.0% 5,500 0.0% 100.0 %) 12,000 4.8 %) 422,900 1.1% CITY OF CHANHASSEN 2012 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 .6% due to increased personnel costs. 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 Dining Coordinator including Meals -on- Wheels This budget also funds a portion of the Senior Planner that is the staff to the Senior Commission 44 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1430 Senior Commission 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages -Reg 17,942 17,900 18,100 1.1% 4030 Contributions - Retirement 2,600 2,700 2,700 0.0% 4040 Contributions - Insurance 1,632 1,900 1,900 0.0% 4050 Workers Compensation 25 100 100 0.0% TOTAL PERSONAL SERVICES 22,199 22,600 22,800 0.9% 4300 Fees, Services 8,467 9,000 9,000 0.0% 4370 Travel & Training 81 200 200 0.0% 4375 Promotional Expense 93 500 500 0.0% TOTAL CONTRACTUAL SERVICES 8,642 9,700 9,700 0.0% TOTAL SENIOR COMMISSION 30,841 32,300 32,500 0.6% 45 CITY OF CHANHASSEN 2012 BUDGET Commentary Park 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. 46 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1510 Park and Recreation Commission 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC 4130 Supplies - Program 4210 Books & Periodicals TOTAL MATERIALS & SUPPLIES 4340 Printing & Publishing 4360 Subscriptions & Memberships 4370 Travel & Training TOTAL CONTRACTUAL SERVICES TOTAL PARK & REC COMMISSION 100 100 0.0% 100 100 0.0% 200 200 0.0% 1,687 1,100 1,700 54.5% 430 600 500 16.7 %) 409 300 400 33.3% 2,526 2,000 2,600 30.0% 2,526 2,200 2,800 27.3% 47 CITY OF CHANHASSEN 2012 BUDGET Commentary Park and Recreation — Park and Recreation Administration Mission and Current Services The Park 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 Highlight Salaries and Wages: Park and Recreation Director 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 CHANHASSEN 2012 BUDGET 101 General Fund 1520 Park and Recreation Administration mi201020112012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET 4010 Salaries & Wages -Reg 4030 Contributions - Retirement 4040 Contributions - Insurance 4050 Workers Compensation 127,194TOTALPERSONALSERVICES 102,220 100,600 14,257 15,200 10,574 12,300 143 200 127,194 128,300 102,000 1.4% 15,200 0.0% 12,300 0.0% 200 0.0% 129,700 1.1% 4120 Supplies- Equipment 4130 Supplies - Program 4210 Books & Periodicals 4240 Uniforms & Clothing 4360 TOTAL MATERIALS & SUPPLIES 4300 Fees, Services 4310 Telephone 4330 Postage 4340 Printing & Publishing 4360 Subscriptions & Memberships 4370 Travel & Training 4380 Mileage 100 TOTAL CONTRACTUAL SERVICES TOTAL PARK & REC ADMINISTRATION 134,139 23 500 300 40.0 %) 61 200 100 50.0 %) 100 100 0.0% 200 100 50.0 %) 84 1,000 600 40.0 %) 1,015 200 800 300.0% 1,505 1,500 1,500 0.0% 0.0% 277 0.0% 2,053 1,600 1,600 0.0% 1,999 4,400 3,400 22.7 %) 13 300 100 66.7 %) 6,861 8,000 7,400 7.5 %) 137,300 137,700 0.3% 49 CITY OF CHANHASSEN 2012 BUDGET Commentary Park and Recreation — Recreation Center Mission and Current Services: The Recreation Center budget exists to provide fitness and recreational opportunities for the community. The Center also provides community space for programs and rentals. The Recreation Center provides year -round indoor and outdoor recreational programs. This facility is shared with Independent School District 112 and Bluff Creek Elementary School. Budget Highlights: Salary and wages: Recreation Center Manager, Facility Supervisors, Dance Coordinator and Dance Instructors Supplies - Equipment: $3,000 fitness equipment, gym supplies and facility rental equipment requirements Supplies — Programs: $42,000 supplies needed for Dance for Fun program participant costumes and additional in -house program supply needs at the Recreation Center Fees for Service: $43,000 program management fees to provide recreational opportunities to the community Utilities: $33,000 Recreation Center is responsible for 24% of facility heating, air conditioning, and electrical service Repair and Maintenance - Building: $3,000 facility repair and maintenance requirements Future Trends As the health and fitness industry grows and changes, the Recreation Center will introduce new fitness formats, offer additional youth programs and multi - generational activities, and enhance recreational opportunities for youth, families and seniors. Outcomes The Recreation Center Manager will ensure quality programs and opportunities are offered for the community. Offer fitness and recreational services at an affordable price. Provide a friendly atmosphere for participants of all ages to feel welcome. Provide a variety of programs to meet community needs. Encourage increased participation in community fitness. Offer rental facilities at affordable rates. Revenues This department generates revenue through Recreation Center facility rental fees, fitness center and open gym use, youth, adult and senior program registrations and dance costume sales. 50 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1530 Recreation Center 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC /(DEC) 4010 Salaries & Wages -Reg 54,037 54,400 55,200 1.5% 4020 Salaries & Wages -Temp 111,440 130,000 119,000 8.5 %) 4021 Overtime -Temp 99 0.0% 4030 Contributions- Retirement 23,711 28,500 28,500 0.0% 4040 Contributions - Insurance 6,439 7,500 7,400 1.3 %) 4050 Workers Compensation 2,713 2,500 2,900 16.0% 4060 Unemployment 722 0.0% TOTAL PERSONAL SERVICES 199,161 222,900 213,000 4.4 %) 4120 Supplies- Equipment 1,260 3,000 3,000 0.0% 4130 Supplies - Program 34,778 42,000 42,000 0.0% 4150 Maintenance Materials 235 500 500 0.0% 4240 Uniforms & Clothing 514 700 700 0.0% TOTAL MATERIALS & SUPPLIES 36,786 46,200 46,200 0.0% 4300 Fees, Services 32,511 40,000 43,000 7.5% 4310 Telephone 215 1,500 800 46.7 %) 4320 Utilities 30,741 36,000 33,000 8.3 %) 4360 Subscriptions & Memberships 221 300 300 0.0% 4370 Travel & Training 681 400 400 0.0% 4375 Promotional Expense 1,207 1,600 1,600 0.0% 4510 Repair & Maintenance- Building 3,940 3,000 3,000 0.0% 4530 Repair & Maintenance -Equip 1,680 1,000 1,700 70.0% 4590 Misc. Contractual Services 1,352 1,000 1,300 30.0% 4901 Refunds /Reimbursements 49 0.0% 4933 Sales Tax 65 0.0% TOTAL CONTRACTUAL SERVICES 72,663 84,800 85,100 0.4% TOTAL RECREATION CENTER 308,610 353,900 344,300 2.7 %) 51 CITY OF CHANHASSEN 2012 BUDGET Commentary Park 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 and 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 and reservations in order for our customers to have a quality experience. Revenues This department generates revenue with facility and watercraft rentals and concessions through the Lake Ann concession operation. 52 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1540 Lake Ann Park Operations 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4020 Salaries & Wages -Temp 4021 Overtime -Temp 4030 Contributions- Retirement 4050 Workers Compensation TOTAL PERSONAL SERVICES 4130 Supplies- Program 4240 Uniforms & Clothing TOTAL MATERIALS & SUPPLIES 5,819 8,000 8,000 0.0% 50 0.0% 449 500 500 0.0% 99 200 200 0.0% 6,417 8,700 8,700 0.0% 8,021 7,000 7,000 0.0% 500 200 (60.0 %) 8,021 7,500 7,200 (4.0 %) 4300 Fees, Services 27,280 31,000 31,000 0.0% 4310 Telephone 1,090 1,500 1,500 0.0% 4320 Utilities 9,972 13,000 13,000 0.0% 4340 Printing & Publishing 267 400 400 0.0% 4903 Bad Debt Expense 54 0.0% TOTAL CONTRACTUAL SERVICES 38,663 45,900 45,900 0.0% TOTAL LAKE ANN PARK OPERATIONS 53,102 62,100 61,800 0.5 %) 53 CITY OF CHANHASSEN 2012 BUDGET Commentary Park 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 adjustments were made to all areas in the Park Maintenance budget resulting in a 2.8% increase. 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 $3,000 — weed spray for parks o $1,500 — small black top repairs to trails Irrigation Supplies: Supplies for irrigation system in parks, Bluff Creek Elementary, City Hall, Library and Fire Stations. Fees and Services o $7,000 — snowplowing City owned parking lots and downtown o $7,500 — fertilizer and weed control for downtown buildings, City Hall, Library and Fire Stations o $2,000 — 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 47 portable toilets used in City parks. Future Trends The trail system will continue to grow with new sections being added annually. New parks will be added with the development of the southern part of Chanhassen. Outcomes This budget reflects maintenance needs for 37 parks, 85 miles of trails, 10 miles of sidewalks, 26 ball fields, 22 soccer fields, 17 tennis courts, the skate park, the downtown boulevard, 2 fire stations, City Hall and the library. 54 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1550 Park Maintenance 2011 to 2010 2011 2012 2012 4CCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC /(DEC) 4010 Salaries & Wages -Reg 457,289 452,600 459,400 1.5% 4011 Overtime -Reg 23,504 15,000 20,000 33.3% 4020 Salaries & Wages -Temp 89,404 90,000 99,600 10.7% 4021 Overtime -Temp 3,386 4,000 4,000 0.0% 4030 Contributions - Retirement 75,138 72,000 78,000 8.3% 4040 Contributions- Insurance 65,922 78,400 76,800 2.0 %) 4050 Workers Compensation 9,258 11,200 11,200 0.0% 4060 Unemployment 489 0.0% TOTAL PERSONAL SERVICES 724,389 723,200 749,000 3.6% 4120 Supplies- Equipment 40,465 34,000 36,500 7.4% 4140 Supplies - Vehicles 4,438 5,000 4,600 8.0 %) 4150 Maintenance Materials 27,870 31,000 31,000 0.0% 4151 Irrigation Materials 3,158 3,000 3,000 0.0% 4240 Uniforms & Clothing 2,113 2,800 2,800 0.0% 4260 Small Tools & Equipment 1,940 2,000 2,000 0.0% TOTAL MATERIALS & SUPPLIES 79,984 77,800 79,900 2.7% 4300 Fees, Services 53,744 22,000 22,000 0.0% 4310 Telephone 2,443 2,700 2,700 0.0% 4320 Utilities 12,558 12,000 12,500 4.2% 4330 Postage 12 0.0% 4340 Printing & Publishing 275 400 400 0.0% 4350 Cleaning & Waste Removal 5,416 7,000 6,500 7.1%) 4360 Subscriptions & Memberships 400 400 0.0% 4370 Travel & Training 581 1,000 1,000 0.0% 4400 Rental -Land & Buildings 32,452 32,500 32,500 0.0% 4410 Rental- Equipment 212 1,000 1,000 0.0% 4440 License & Registration 700 200 71.4 %) 4510 Repair & Maintenance- Building 3,099 2,500 2,500 0.0% 4520 Repair & Maintenance - Vehicles 2,000 500 75.0 %) 4530 Repair & Maintenance-Equip 5,786 5,000 5,000 0.0% 4531 Repair & Maintenance- Radios 100 100 0.0% 4560 Repair & Maintenance -Signs 2,497 3,000 3,000 0.0% 4933 Sales Tax 346 0.0% TOTAL CONTRACTUAL SERVICES 119,421 92,300 90,300 2.2 %) 4705 Other Equipment 5,088 5,000 4,000 20.0 %) TOTAL CAPITAL OUTLAY 5,088 5,000 4,000 20.0 %) TOTAL PARK MAINTENANCE 928,882 898,300 923,200 2.8 % 55 CITY OF CHANHASSEN 2012 BUDGET Commentary Park and Recreation — Senior.Citizens Center Mission and Current Services The Senior Center budget exists to plan and implement a variety of year -round programs, special events, monthly one -day tours and health and wellness activities for older adults. The Senior Center provides a setting which is welcoming and looks to improve the quality of life and use of leisure time. Senior Center programs and activities are funded by a combination of affordable fees and community sponsorship programs. Budget Highlights The budget provides the Senior Center Coordinator the ability to plan, implement and utilize resources to provide a wide variety of programs, activities, special events and recreation opportunities to our residents. The Senior Center will continue to offer quality programs and activities to our residents and be a place where older adults can embrace positive aging and feel part of the community. Future Trends As the senior population grows and changes, the Senior Center will keep current on new trends and offer programs and services to meet and address these changing needs. Older adults are moving out of their large family homes and /or relocating to Chanhassen due to the large variety of life cycle housing as well as to be closer to their adult children. They look to the Senior Center for a social and recreation network to interact with other seniors. Outcomes Chanhassen has a strong and respected reputation for providing quality programming and activities for its senior population. The Senior Center Coordinator will work to ensure that this continues by: Providing quality programs, activities and classes that are relevant and affordable to all participants while also looking to attract new participants. Providing a friendly and inviting environment for all older adults to feel welcome and comfortable in use of their leisure time. Facilitating, exploring and networking with local agencies, service providers and businesses to provide joint programming and secure financial sponsorship for program development and implementation. Revenues Senior Center revenue is generated from program, day trips and activity fees, donations, room rental, coffee fund, greeting card sales, extended trips and occasional memorial gifts. 56 CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1560 Senior Citizens Center 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages -Reg 4030 Contributions- Retirement 4040 Contributions- Insurance 4050 Workers Compensation TOTAL PERSONAL SERVICES 4120 Supplies- Equipment 4130 Supplies - Program TOTAL MATERIALS & SUPPLIES 4300 Fees, Services 4340 Printing & Publishing 4350 Cleaning & Waste Removal 4360 Subscriptions & Memberships 4370 Travel & Training 4375 Promotional Expense 4380 Mileage 4933 Sales Tax TOTAL CONTRACTUAL SERVICES 38,287 38,600 39,100 1.3% 5,609 5,800 5,900 1.7% 295 300 0.0% 55 100 100 0.0% 44,245 44,500 45,400 2.0% 397 300 300 0.0% 2,720 3,200 3,000 6.3 %) 3,117 3,500 3,300 5.7 %) 21,196 20,000 20,000 0.0% 100 100 0.0% 80 200 200 0.0% 59 100 100 0.0% 276 300 300 0.0% 74 200 200 0.0% 64 100 100 0.0% 0 0.0% 21,749 21,000 21,000 0.0% TOTAL SENIOR CITIZENS CENTER 69,111 69,000 69,700 1.0% 57 CITY OF CHANHASSEN 2012 BUDGET Commentary Park and Recreation — Recreation Programs Mission and Current Services To provide a year -round recreational program that reflects a variety of interests in the community and that develops a social, physical, cultural, and aesthetic quality for our citizens. These programs are funded by a combination of affordable fees, property tax levy and a community sponsorship program. Budget Highlights The Recreation Programs budget provides our department the ability to plan and utilize resources to provide a wide variety of special events and recreation opportunities to our residents. Future Trends The function of this budget is to provide our residents with opportunities to grow as a family and to embrace being part of our community. Community events are held in high regard to our residents and our department will continue to grow our recreational opportunities. Outcomes Chanhassen has a deep tradition of planning and hosting special events and recreational opportunities for our residents. This budget gives the financial tools to provide this service. Provide first -class events for our residents. Continue summer concert music series. Seasonal wages and equipment needed for playground program, warming houses, recreation intern and skate park attendants. Revenues This department generates revenue through various activity entry fees, 4 of July activities, the Summer Concert Series and the Summer Discovery Playground Program. W CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1600 Recreation Programs 2011 to 2010 2011 2012 2012 4CCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INCADEC) 4010 Salaries & Wages -Reg 90,434 89,800 91,100 1.4% 4020 Salaries & Wages -Temp 46,431 54,500 54,500 0.0% 4021 Overtime -Temp 205 1,100 1,100 0.0% 4030 Contributions- Retirement 16,640 17,500 17,200 1.7 %) 4040 Contributions- Insurance 8,034 8,900 8,700 2.2 %) 4050 Workers Compensation 878 1,000 1,100 10.0% TOTAL PERSONAL SERVICES 162,621 172,800 173,700 0.5% 4120 Supplies- Equipment 2,000 2,000 0.0% 4130 Supplies - Program 13,165 15,600 15,600 0.0% 4240 Uniforms & Clothing 1,244 1,500 1,500 0.0% TOTAL MATERIALS & SUPPLIES 14,409 19,100 19,100 0.0% 4300 Fees, Services 55,860 54,000 54,000 0.0% 4310 Telephone 2,087 1,300 2,100.61.5% 4320 Utilities 3,487 3,000 3,000 0.0% 4330 Postage 200 100.0 %) 4340 Printing & Publishing 5,239 4,400 4,900 11.4% 4360 Subscriptions & Memberships 35 0.0% 4370 Travel & Training 293 600 600 0.0% 4380 Mileage 100 100 0.0% 4400 Rental -Land & Buildings 7,268 6,500 7,000 7.7% 4410 Rental- Equipment 22,832 20,000 23,000 15.0% 4933 Sales Tax 198 0.0% TOTAL CONTRACTUAL SERVICES 97,299 90,100 94,700 5.1% TOTAL RECREATION PROGRAMS 274,330 282,000 287,500 2.0% 59 CITY OF CHANHASSEN 2012 BUDGET Commentary Park and Recreation — Self- Supporting Programs Mission and Current Services This department generally funds adult programs and 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 the next big program that will 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 staffs 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. 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. W CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1700 Self- Supporting Programs 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4010 Salaries & Wages -Reg 4020 Salaries & Wages -Temp 4030 Contributions- Retirement 4040 Contributions- Insurance 4050 Workers Compensation TOTAL PERSONAL SERVICES 4120 Supplies- Equipment 4130 Supplies- Program TOTAL MATERIALS & SUPPLIES 4300 Fees, Services 4933 Sales Tax TOTAL CONTRACTUAL SERVICES 22,608 23,500 23,800 1.3% 3,109 900 3,000 233.3% 3,549 3,700 3,800 2.7% 2,008 2,200 2,200 0.0% 74 100 100 0.0% 31,349 30,400 32,900 8.2% 600 - (100.0 %) 7,501 8,000 7,700 (3.8 %) 7,501 8,600 7,700 (10.5 %) 22,933 43,000 37,000 (14.0 %) 81 - - 0.0% 23,014 43,000 37,000 (14.0 %) TOTAL SELF - SUPPORTING PROGRAMS 61,864 82,000 77,600 (5.4°/6) 61 CITY OF CHANHASSEN 2012 BUDGET Commentary Park and Recreation — Recreation Sports Mission and Current Services This budget exists to fund sports programs for preschool and school age children. All programs are supervised by the Recreation Center Manager and Recreation Supervisor. New programs are expected in the future as growth continues. Activities are to be self - sufficient and are evaluated annually. Budget Highlights This budget allows our department to provide year round sports programs for children of all ages All programs are offset through program revenues. Future Trends These programs provide youth with an opportunity to participate in beginner level sports activities at an affordable price. As the Recreation Sports programs continue to grow, we plan to expand programming with new opportunities. Staff looks to continue to offer quality activities for children. Outcomes Staff will ensure quality and affordable sports programs for youth and ensure that this budget's expenses are offset by the revenue collected from programs. Offer many varieties of quality sporting opportunities to meet community needs. Increase revenue received over prior contracted sports programs. Help children develop social and physical skills through introductory sports classes. Staff wages and equipment will be needed as program grows. Revenues This department generates revenue with After School Sports, Soccer, Basketball, Floor Hockey and T -Ball programs. 5% CITY OF CHANHASSEN 2012 BUDGET 101 General Fund 1800 Recreation Sports 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) 4020 Salaries & Wages -Temp 4030 Contributions - Retirement 4050 Workers Compensation TOTAL PERSONAL SERVICES 4120 Supplies- Equipment 4130 Supplies- Program 4240 Uniforms & Clothing 4375 Promotional Exepnses TOTAL MATERIALS & SUPPLIES 4300 Fees, Services 4340 Printing & Publishing 4933 Sales Tax TOTAL CONTRACTUAL SERVICES 11,880 10,000 12,000 20.0% 1,034 400 1,000 150.0% 198 100 200 100.0% 13,112 10,500 13,200 25.7% 2,106 2,000 2,000 0.0% 857 2,100 2,100 0.0% 4,763 3,800 4,200 10.5% 1,000 200 80.0 %) 7,726 8,900 8,500 4.5 %) 120 777 45 942 0.0% 0.0% 0.0% 0.0% TOTAL RECREATION SPORTS 21,780 19,400 21,700 11.9% 63 This page intentionally left blank. 64 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. 65 CITY OF CHANHASSEN 2012 BUDGET Commentary Special Revenue Fund —10 %a Fund - 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 2012 budget includes $18,700 for training opportunities for the fire department. Outcomes In 2011, the entire budget for training of $17,500 was spent 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. Revenues This fund receives revenue from the American Legion equal to 10% of the net revenues derived from pull -tab operations. CITY OF CHANHASSEN 2012 BUDGET SPECIAL REVENUE FUNDS 201 10% Fund 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) REVENUE GENERAL PROPERTY TAX 3801 Interest Earnings 676 500 700 40.0% 3807 Donations 22,731 15,000 18,000 20.0% TOTAL GENERAL PROPERTY TAX 23,407 15,500 18,700 20.6% TOTAL REVENUE 23,407 15,500 18,700 20.6% EXPENDITURES CONTRACTUAL SERVICES 4370 Travel & Training 17,500 17,500 18,700 6.9% TOTAL CONTRACTUAL SERVICES 17,500 17,500 18,700 6.9% CAPITAL OUTLAY 4703 Office Equipment - - - 0.0% TOTAL CAPITAL OUTLAY - - - 0.0% TOTAL EXPENDITURES 17,500 17,500 18,700 6.9% REVENUE OVER/(UNDER) EXPENDITURES 5,907 (2,000) - 67 CITY OF CHANHASSEN 2012 BUDGET Commentary Special Revenue Fund — Cable TV Fund - 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 2012 budget reflects an increase of $10,200 (11 %) in expenditures. The increase is largely due to an added budget of $3,000 for equipment purchases. The Cable TV budget includes one personnel, the City Recorder. The City Recorder provides verbatim minutes for City meetings, including City Council, Planning Commission, and Park & Recreation Commission. Future Trends The cable channel will continue to be used for public education and the promotion of public events. Revenues This fund generates revenue through the collection of franchise fees. CITY OF CHANHASSEN 2012 BUDGET SPECIAL REVENUE FUNDS 210 Cable TV Fund 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC /(DEC) REVENUE GENERAL PROPERTY TAX 3080 Franchise Fees 231,729 200,000 230,000 15.0% TOTAL GENERAL PROPERTY TAX 231,729 200,000 230,000 15.0% OTHER REVENUE 3801 Interest Earnings TOTAL OTHER REVENUE TOTAL REVENUE EXPENDITURES PERSONAL SERVICES 4010 Salaries & Wages -Reg 4030 Contributions - Retirement 4040 Contributions - Insurance 4050 Workers Compensation TOTAL PERSONAL SERVICES MATERIALS & SUPPLIES 4120 Supplies- Equipment TOTAL MATERIALS & SUPPLIES CONTRACTUAL SERVICES 4300 Fees, Services 4340 Printing & Publishing 4370 Travel & Training 4483 Liability Insurance 4933 Sales Tax 10.0% TOTAL CONTRACTUAL SERVICES CAPITAL OUTLAY 4705 Other Equipment TOTAL CAPITAL OUTLAY TOTAL EXPENDITURES 10,958 8,000 10,000 10,958 8,000 10,000 25.0% 25.0% 242,687 208,000 240,000 15.4 71,703 70,000 71,700 2.4% 10,348 10,400 10,600 1.9% 7,351 8,000 8,800 10.0% 101 200 200 0.0% 89,504 88,600 91,300 3.0% 3,019 500 3,500 600.0% 3,019 500 3,500 600.0% 37,622 1,500 3,000 100.0% 500 500 0.0% 100 100 0.0% 1,500 1,500 1,500 0.0% 3 0.0% 39,125 3,600 5,100 41.7% 7,027 3,000 100.0% 7,027 3,000 100.0% 138,675 92,700 102,900 11.0% REVENUE OVER/(UNDER) EXPENDITURES 104,012 115,300 137,100 C" This page intentionally left blank. 70 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 Utility 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 Utility 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 Management 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. 71 CITY OF CHANHASSEN 2012 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 a water treatment plant. Operate and maintain eleven (11) municipal water wells and approximately 137 miles of watermain. Operate and maintain three (3) water storage facilities. Repair watermain breaks. Confirms that water meets Department of Health requirements. Coordinate between 1,300 and 1,400 water tests per year. Maintain hydrants and perform annual flushing. Outcomes The major costs in the City Water Utility department, aside from personnel, that provides services to the City are as follows: Chemicals: 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: This item pays for the power necessary to run the wells and the water treatment plant. Repair and Maintenance of Water: This item pays for some of the watermain break expenditures. Revenues This fund generates revenue through water user fees and connection charges. 72 CITY OF CHANHASSEN 2012 BUDGET ENTERPRISE FUNDS 700 Water Operations 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/ DEC REVENUE 2,550,000 CHARGES FOR CURRENT SERVICES 3661 Water Usage 3662 Utility Penalties 3664 Sale of Meters & Parts 3666 Bulk Water Sales 3806 Hook Up Fees TOTAL CURRENT SERVICES OTHER REVENUE 3801 Interest Earnings 3903 Refunds /Reimbursements TOTAL OTHER REVENUE TOTAL REVENUE REVENUE OVER/(UNDER) EXPENDITURES 2,332,767 2,550,000 2,550,000 0.0% 57,950 65,000 60,000 7.7 %) 32,887 30,000 35,000 16.7% 1,030 5,000 5,000 0.0% 649,421 600,000 625,000 4.2% 3,074,055 3,250,000 3,275,000 0.8% 49,747 80,000 50,000 37.5 %) 14,789 5,000 10,000 100.0% 64,536 85,000 60,000 29.4 %) 3,138,591 3,335,000 3,335,000 0.0% 1,683,011 1,911,000 1,926,500 73 CITY OF CHANHASSEN 2012 BUDGET ENTERPRISE FUNDS 700 Water Operations 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC /(DEC)I 4010 Salaries & Wages -Reg 358,840 362,000 362,000 0.0% 4011 Overtime -Reg 10,288 20,000 15,000 25.0 %) 4012 Stand -By Pay 6,322 7,000 6,500 7.1 %) 4020 Salaries & Wages -Temp 14,057 16,000 16,000 0.0% 4021 Overtime -Temp 265 0.0% 4030 Contributions - Retirement 53,549 55,000 56,000 1.8% 4040 Contributions - Insurance 52,931 52,000 55,000 5.8% 4050 Workers Compensation 25,802 32,500 30,000 7.7 %) 4060 Unemployment 600 0.0% TOTAL PERSONAL SERVICES 522,655 544,500 540,500 0.7 %) 4120 Supplies- Equipment 10,358 10,000 10,000 0.0% 4130 Supplies- Program 37 100 100 0.0% 4140 Supplies - Vehicles 5,367 5,000 5,400 8.0% 4150 Maintenance Materials 27,480 20,000 24,000 20.0% 4160 Chemicals 144,325 120,000 135,000 12.5% 4170 Motor Fuels & Lubricants 14,359 15,000 15,000 0.0% 4210 Books & Periodicals 200 100.0 %) 4240 Uniforms & Clothing 2,178 2,100 2,200 4.8% 4250 Merchandise for Resale 61,236 100,000 60,000 40.0 %) 4260 Small Tools & Equipment 4,024 2,800 3,000 7.1% TOTAL MATERIALS & SUPPLIES 269,363 275,200 254,700 7.4 %) 4300 Fees, Services 45,610 30,000 42,000 40.0% 4301 Auditing 4,000 6,000 6,000 0.0% 4310 Telephone 7,758 10,000 8,000 20.0 %) 4320 Utilities 206,745 238,000 212,000 4330 Postage 6,396 6,500 6,500 0.0% 4340 Printing & Publishing 1,427 2,000 1,600 20.0 %) 4350 Cleaning & Waste Removal 372 300 400 33.3% 4360 Subscriptions & Memberships 383 500 400 20.0 %) 4370 Travel & Training 4,907 3,500 3,500 0.0% 4410 Rental- Equipment 904 1,500 3,000 100.0% 4440 License & Registration 300 100.0 %) 4483 Insurance - General Liability 13,000 13,000 13,000 0.0% 4509 Remit to Other Agencies 74,694 80,000 78,000 2.5 %) 4510 Repair & Maintenance - Building 14,228 6,000 6,000 0.0% 4520 Repair & Maintenance - Vehicles 1,000 200 80.0 %) 4530 Repair & Maintenance -Equip 42,263 35,000 42,000 20.0% 4550 Repair & Maintenance -Water 141,922 80,000 100,000 25.0% 4552 Emergency Repairs -Water 98,026 90,000 90,000 0.0% 4703 Office Equipment 9 0.0% 4933 Sales Tax 916 700 700 0.0% TOTAL CONTRACTUAL SERVICES 663,562 604,300 613,300 1.5% TOTAL WATER OPERATIONS 1,455,579 1,424,000 1,408,500 1.1 %) 74 This page intentionally left blank. 75 CITY OF CHANHASSEN 2012 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-one (31) sanitary lift stations and approximately 124 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. Repair emergency sewer main breaks. Inflow and infiltration. Annual jetting of sewer lines. 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 is $1,520,000. This item is the payment to the MCES for treatment of the sanitary sewer flows. Utilities: This item pays for the power to run the lift stations within the City. Repair and Maintenance of Sewers: This item pays for the maintenance and upkeep of the sewer system and lift stations. Revenues This fund generates revenue through sewer user fees and connection charges. 76 CITY OF CHANHASSEN 2012 BUDGET ENTERPRISE FUNDS 701 Sewer Operations 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC /(DEC) REVENUE 2,350,000 CHARGES FOR CURRENT SERVICES 3660 Sewer Customers 3662 Utility Penalties 3806 Hook -up Fees 3811 Sewer Surcharge 11.9% TOTAL CURRENT SERVICES OTHER REVENUE 3801 Interest Earnings 3903 Refunds /Reimbursements TOTAL OTHER REVENUE TOTAL REVENUE 2,300,903 2,350,000 2,350,000 0.0% 56,430 60,000 60,000 0.0% 244,219 210,000 235,000 11.9% 8,025 15,000 10,000 33.3 %) 2,609,577 2,635,000 2,655,000 0.8% 17,682 50,000 20,000 60.0 %) 1,210 1,000 1,200 20.0% 18,892 51,000 21,200 58.4 %) 2,628,468 2,686,000 2,676,200 REVENUE OVER/(UNDER) EXPENDITURES 597,370 522,700 518,600 0.4 %) 77 CITY OF CHANHASSEN 2012 BUDGET ENTERPRISE FUNDS 701 Sewer Operations 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC /(DEC) 4010 Salaries & Wages -Reg 240,768 238,000 245,000 2.9% 4011 Overtime -Reg 6,928 10,000 8,000 20.0 %) 4012 Stand -By Pay 6,322 6,500 6,500 0.0% 4020 Salaries & Wages -Temp 15,472 16,000 16,000 0.0% 4021 Overtime -Temp 0.0% 4030 Contributions- Retirement 36,875 38,000 38,000 0.0% 4040 Contributions- Insurance 32,991 32,000 35,000 9.4% 4050 Workers Compensation 3,444 4,000 4,000 0.0% 4060 Unemployment 600 0.0% TOTAL PERSONAL SERVICES 343,401 344,500 352,500 2.3% 4120 Supplies- Equipment 7,797 7,500 7,600 1.3% 4140 Supplies - Vehicles 8,111 1,000 2,000 100.0% 4150 Maintenance Materials 9,383 8,000 9,000 12.5% 4160 Chemicals 3,244 3,000 3,400 13.3% 4170 Motor Fuels & Lubricants 11,352 15,000 12,000 20.0 %) 4210 Books & Periodicals 200 100.0 %) 4240 Uniforms & Clothing 1,053 2,000 1,800 10.0 %) 4260 Small Tools & Equipment 2,735 2,800 2,800 0.0% TOTAL MATERIALS & SUPPLIES 43,676 39,500 38,600 2.3 %) 4300 Fees, Services 25,623 25,000 25,000 0.0% 4301 Auditing 4,000 6,000 6,000 0.0% 4310 Telephone 5,320 7,000 6,000 14.3 %) 4320 Utilities 65,140 78,000 70,000 10.3 %) 4330 Postage 6,169 7,000 6,400 8.6 %) 4340 Printing & Publishing 634 1,800 1,500 16.7 %) 4350 Cleaning & Waste Removal 132 200 200 0.0% 4360 Subscriptions & Memberships 100 400 400 0.0% 4370 Travel & Training 5,454 3,200 4,200 31.3% 4410 Rental- Equipment 1,914 500 800 60.0% 4440 License & Registration 200 100.0 %) 4483 Insurance - General Liability 14,000 13,000 14,000 7.7% 4509 Remit to Other Agencies 1,386,052 1,520,000 1,520,000 0.0% 4510 Repair & Maintenance - Building 5,886 4,000 4,600 15.0% 4520 Repair & Maintenance- Vehicles 1,000 400 60.0 %) 4530 Repair & Maintenance -Equip 26,212 12,000 16,000 33.3% 4551 Repair & Maintenance -Sewer 85,474 75,000 77,000 2.7% 4553 Emergency Sewer Repairs 11,499 25,000 14,000 44.0 %) 4703 Office Equipment 9 0.0% 4933 Sales Tax 403 0.0% TOTAL CONTRACTUAL SERVICES 1,644,022 1,779,300 1,766,500 0.7 %) TOTAL SEWER OPERATIONS 2,031,098 2,163,300 2,157,600 0.3 %) m This page intentionally left blank. 79 CITY OF CHANHASSEN 2012 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 for 2012 are 25.7% less than the 2011 budget due to adjustments to reflect actual spending. Future Trends As a part of the update of the Surface Water Management Plan, the City has identified high - priority areas. These priorities are reflected in the capital improvement projects. Additional priorities have been established to comply with section 103D of the Clear Water Act including NPDES and non - degradation requirements. 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 NPDES/MS4 Compliance TMDL Requirements Water Quality Improvements Storm sewer conveyance improvements, treatment design and construction and maintenance costs Revenues This fund generates revenue through surface water management fees and development SWMP connection charges. o CITY OF CHANHASSEN 2012 BUDGET ENTERPRISE FUNDS 720 Surface Water Management Fund 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) REVENUE PERMITS 3328 Wetland Alteration TOTAL PERMITS CHARGES FOR CURRENT SERVICES 3660 Sewer Customers 3662 Utility Penalties 3806 Connection Charges TOTAL CURRENT SERVICES OTHER REVENUE 3801 Interest Earnings 3903 Refunds and Reimbursements TOTAL OTHER REVENUE TOTAL REVENUE REVENUE OVER/(UNDER) EXPENDITURES 1,478 300 15,000 4900.0% 1,478 300 15,000 4900.0% 526,660 520,000 520,000 0.0% 12,028 14,000 14,000 0.0% 100,000 30,000 70.0 %) 538,688 634,000 564,000 11.0 %) 21,997 60,000 22,000 63.3 %) 111,772 0.0% 133,769 60,000 22,000 63.3 %) 673,935 694,300 601,000 13.4 %) 382,180 309,000 314,700 W CITY OF CHANHASSEN 2012 BUDGET ENTERPRISE FUNDS 720 Surface Water Management Fund 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC /(DEC) 4010 Salaries & Wages -Reg 123,323 129,200 126,500 2.1 %)4020 Salaries & Wages -Temp 5,691 8,000 8,000 0.0% 4030 Contributions- Retirement 17,336 18,200 18,200 0.0% 4040 Contributions - Insurance 19,348 21,000 22,200 5.7% 4050 Workers Compensation 317 500 500 0.0% TOTAL PERSONAL SERVICES 166,015 176,900 175,400 0.8 %) 4120 Supplies- Equipment 1,140 2,000 2,000 0.0% 4130 Supplies- Program 7,755 7,500 8,000 6.7% 4150 Maintenance Materials 16,695 10,000 16,000 60.0% 4210 Books and Periodicals 100 100.0 %)4240 Uniforms & Clothing 100 100.0 %) TOTAL MATERIALS & SUPPLIES 25,590 19,700 26,000 32.0% 4300 Fees, Services 66,836 175,000 75,000 57.1%)4301 Auditing 2,000 8,000 4,000 50.0 %)4310 Telephone and Communications 948 600 800 33.3% 4340 Printing & Publishing 130 100 100 0.0%4360 Subscriptions & Memberships 1,280 1,200 1,200 0.0%4370 Travel & Training 1,324 2,000 2,000 0.0%4380 Mileage 300 300 0.0%4410 Rental- Equipment 0.0%4483 Insurance - General Liability 1,500 1,500 1,500 0.0%4703 Office Equipment 9 0.0%4807 Property Tax Expense 26,020 0.0%4933 Sales Tax 102 0.0% TOTAL CONTRACTUAL SERVICES 100,151 188,700 84,900 55.0 %) TOTAL EXPENDITURES 291,756 385,300 286,300 25.7 %) M CITY OF CHANHASSEN 2012 BUDGET ENTERPRISE FUNDS 720 Surface Water Management Fund 7201 Recycling 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) REVENUE INTERGOVERNMENTAL REVENUE 3520 Grants - County 2,984 4,000 3,000 (25.0 %)TOTAL INTERGOVERNMENTAL REV 2,984 4,000 3,000 (25.0 %) CHARGES FOR CURRENT SERVICES 3650 Sale of Recyclables TOTAL CURRENT SERVICES TOTAL REVENUE REVENUE OVER/(UNDER) EXPENDITURES 36 - - 0.0% 36 - - 0.0% 3,020 4,000 3,000 (25.0 %) 32,613) (36,900) (35,900) L.*]K CITY OF CHANHASSEN 2012 BUDGET ENTERPRISE FUNDS 720 Surface Water Management Fund 7201 Recycling 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/ DEC 4010 Salaries & Wages -Reg 21,786 22,300 22,300 0.0% 4030 Contributions- Retirement 3,034 3,200 3,300 3.1% 4040 Contributions - Insurance 5,137 5,100 6,500 27.5% 4050 Workers Compensation 61 100 100 0.0% TOTAL PERSONAL SERVICES 30,018 30,700 32,200 4.9% 4130 Supplies- Program 1,537 2,000 1,600 20.0 %)4210 Books and Periodicals 100 100.0 %)4260 Small Tools & Equipment 25 100 100 0.0% TOTAL MATERIALS & SUPPLIES 1,562 2,200 1,700 22.7 %) 4300 Fees, Services 3,062 6,000 3,600 40.0 %)4340 Printing & Publishing 824 1,700 1,100 35.3 %)4350 Cleaning and Waste Removal 0.0% 4360 Subscriptions & Memberships 150 200 200 0.0% 4370 Travel & Training 100 100 0.0% 4933 Sales Tax 17 0.0% TOTAL CONTRACTUAL SERVICES 4,053 8,000 5,000 37.5 %) TOTAL RECYCLING 35,633 40,900 38,900 (4.9 %) M. CITY OF CHANHASSEN 2012 BUDGET ENTERPRISE FUNDS 720 Surface Water Management Fund 7202 Reforestation 2011 to 2010 2011 2012 2012 ACCOUNT DESCRIPTION ACTUAL BUDGET BUDGET % INC/(DEC) REVENUE INTERGOVERNMENTAL REVENUE 3533 Grants -Other _ TOTAL INTERGOVERNMENTAL REV - CHARGES FOR CURRENT SERVICES 3640 Community Garden Plot Rental 1,957 3650 Sale of Recyclables 3,930 3903 Refunds and Reimbursements 220 TOTAL CURRENT SERVICES 6,107 TOTAL REVENUE 6,107 3,800 4,500 18.4% REVENUE OVER/(UNDER) EXPENDITURES (73,549) (72,800) (75,200) m 0.0% 0.0% 1,800 1,900 5.6% 2,000 2,600 30.0% 0.0% 3,800 4,500 18.4% CITY OF CHANHASSEN 2012 BUDGET ENTERPRISE FUNDS 720 Surface Water Management Fund 7202 Reforestation 2011 to 2010 2011 2012 2012ACCOUNTDESCRIPTIONACTUALBUDGETBUDGET % INC/(DEC) 4010 Salaries & Wages -Reg 21,786 22,300 22,300 0.0%4030 Contributions - Retirement 3,034 3,200 3,300 3.1%4040 Contributions - Insurance 5,137 5,100 6,500 27.5%4050 Workers Compensation 61 100 100 0.0% 4370 TOTAL PERSONAL SERVICES 30,017 30,700 32,200 4.9% 4130 Supplies- Program 3,931 5,000 4,200 16.0 %)TOTAL MATERIALS & SUPPLIES 3,931 5,000 4,200 16.0 %) 4300 Fees, Services 43,456 38,000 41,000 7.9%4320 Utilities /Community Garden 616 1,600 800 50.0 %)4340 Printing & Publishing 824 500 800 60.0%4360 Subscriptions & Memberships 79 200 100 50.0 %)4370 Travel & Training 665 600 600 0.0%4933 Sales Tax 67 TOTAL CONTRACTUAL SERVICES 45,707 40,900 43,300 0.0% 5.9% TOTAL REFORESTATION 79,655 76,600 79,700 4,0% APPENDIX MN This page intentionally left blank. 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 occurduringnormalmealhours. 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, advisoryboards /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 ofChanhassenPersonnelPolicy. 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 of Chanhassen 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 — certificate and $25 dollars b. Ten (10) years — certificate and $50 dollars c. Fifteen (15) years — certificate and $75 dollars d. Twenty (20) years — certificate and $100 dollars e. Twenty -five (25) years — certificate and $150 dollars f. Thirty (30) years certificate and $200 dollars g. Thirty-five (35) years — certificate and $250 dollars h. Forty (40) years — certificate and $500 dollars i. Forty-five (45) years — certificate and $750 dollars 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. WE 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 his/her 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 of that 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 Citypersonnel. 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 assignedthatnumber. 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 byothermeans. 91 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 of Chanhassen 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. Safe : 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. Amended by the Chanhassen City Council on December 12, 2011. Purchasing Policy City of Chanhassen, Minnesota Adopted on February 10, 2003 Amended on July 14, 2003 June 26, 2006 July 14, 2008 June 27, 2011 93 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 purchasingprocess. The standards in this manual are minimum standards to ensure fiscal responsibility.Departments may set more restrictive procedures to meet their own budgetaryaccountability. 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 publicareas. Section 1. Purchasing Guidelines 1.3 Quick Reference Guide Value of Purchase Quotations Needed Payment Request Approvals Needed Prior Options to Purchasin 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- $10,000 Two Written Quotes or Credit Card Department Yes RFP's Check Request Finance No Purchase Order City Manager No City Council No 10,000 - $19,999 Two Written Quotes or Credit Card Department Yes RFP's Check Request Finance Yes Purchase Order City Manager Yes 20,000 - $99,999 Two Written Quotes or Check Request City Council Department No Yes RFP's Purchase Order Finance Yes City Manager Yes Greater than Sealed Bids Check Request City Council Department Yes Yes100,000 Purchase Order Finance Yes City Manager Yes Ci Council Yes Notes: If a cooperative purchasing agreement is in place, quotations are not needed. All purchases must be approved as part of the annual budgeting processorwithintheCIP. RFP's are required for contracting services in excess of $25,000 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 20,000 (see Agreement Processing section of this document). Purchases between $10,000 and $19,999 have to be approved by the City Manager and theFinanceDirector. 95 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 $20,000. These are contractual accounts for services that are approved as part of the budget process. The vendors that fall under this situation include Centerpoint Energy, Xcel Energy, Metropolitan Council Environmental Services, United States Treasury, State of Minnesota, PERA, and the City's insurance and healthcare providers. 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 / 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 theCity's procurement system, and open and free competition among prospective suppliers. In keeping with this value, employees should avoid the following practiceswhenmakingpurchasesonbehalfoftheCity: 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. Examples of this include: Providing vendors with information regarding their competition's offers inadvanceofabidopening. Making information available to favored vendors and not to others. Giving un- favored vendors inaccurate or misleading information. Accepting gifts from vendors. Minnesota Statutes §471.895 prohibits government employees from receivinggiftsexcept where they are included as part of the cost of a product, good, orservice provided (such as a meal provided as part of a conference). 97 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 goodsandservicesthatservethe 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 usefulnessE -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 paperChlorine -free paper - buying chlorine -free paper reduces pollution. Choose paperlabeledas `Processed Chlorine- Free" (PCF) White and pastel paper - fluorescent colors make copy paper harder to recyclePurchase 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 zincColorstoavoidincludefluorescentcolors, warm red, and metallics Glue, coatings, and foil stamping - use glueless bindings and uncoated paperwhenpossible. 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 upgradedPrinters - 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 than65 %) 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 /150,000 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 be10% 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, PVCandotherplastics, pressboard, and fabric To7 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 $10,000 and is less than $20,000 approval is needed by CityManager and the Finance Director. 5. Department director forwards request for payment with invoice to the Finance Department for approval and input into financial accounting system. 6. Payment is made by the Finance Department. 7. Finance produces check register for approval by City Council. 100 Section 4. Purchasing Alternatives 4.1 Sealed Bids A formal sealed bid procedure is required for all purchases in excess of $100,000 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 originatingdepartment. Required authorization for plans and specifications is the responsibility of theoriginatingdepartment. The City Council must formally approve the bid contract. The originating department then files the contract with the administrationdepartment. 4.2 State, County and Other Cooperative Purchasing Contracts State Cooperative Purchasing Contracts — The City of Chanhassen participates in theStateofMinnesotaCooperativePurchasingVenture (CPV). This enables participants tobuygoodsandservicesatareducedcostunder the terms of contracts alreadynegotiatedbytheStateof 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 product/service is on a state contract, vendors should be told that the purchase will be made using that contract. When completing thepurchasingpaperwork, note that the purchase is per state contract and indicatethecontractnumber. 4.3 Quotes If a purchase is estimated to exceed $5,000 but not to exceed $99,999, the purchasemaybemadeeitherbysealedbidsor by direct negotiation based upon quotations. If apurchaseismadeinthisrange, staff members are required to obtain at least two written 101 quotes. These quotes should be in writing. If the quotes are not written, the requestorwho received the verbal quote must document the quote in writing. All such quotes mustbeforwardedtothe 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 means an unforeseen combination of circumstances that calls for immediate action to prevent adisasterfromdevelopingoroccurring. Minnesota Statute §12.29 gives the Mayor the authority to declare a local emergencyforuptothreedays, which period may be extended by the City Council. During such an emergency, if authorized by the City Council, the City is not required to use the typicallymandated procedures for purchasing and contracts. During that time, the governingbody may waive compliance with the prescribed purchasing guidelines includingcompliancewithM.S. 471.345, Uniform Municipal Contracting Law. Whenever possible the current purchasing policies and procedures should be followed even when an emergency is declared, but as described above if the emergencyrequires speedy action essential to the health, safety, and welfare of the community andiftherehasbeenanemergencydeclaration, the standard purchasing policies andprocedurescanbewaivedinaccordancewithMinnesota Statute §12.37. 4.5 Request for Proposals (RFP) RFPs may be used to solicit proposals for professional services. Typical information toaddressinRFPsincludes: 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 properreviewandevaluationincluding: Description of firm and qualifications, including any specialized experiencerelatedtotheproject. A list of similar projects the firm has completed. Project timetables including: estimate of hours, breakdown of hours byphase, 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: 102 Quality and thoroughness of the proposal. Similar past experience and /or expertise. References heCost estimate 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'sinsurancecertificate. 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 counselpriorto 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 Cityemployeeatthattime. 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 acreditcardontheInternet, but be cautious - see the first item in this subsection. 103 Section 5. Payment The City of Chanhassen uses various processes in making payments for goods andservices. 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. The purchase order number used will be the employee's number. 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 The Finance Department policy is for bills to be paid on the claims list. For certain exceptions, requests for checks may be used under the following guidelines: Requests for checks are for payments that need to be made prior to claims list. Such items include getting discounts, avoiding late charges (i.e.: credit card payments), purchases requiring payment with order, etc. Requests for checks will be issued weekly. All requests for requests for checks must be submitted to the Finance Department prior to 3:00 p.m. on Wednesday. Checks will be issued, mailed, or returned to appropriate department on Thursdays. Requests for checks may be submitted on an invoice with the codingincluded, purchase order, check request, or expense voucher. Return completed form with attachments and authorization for payment to the Finance Department. 5.3 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. 5.4 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. 104 5.5 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. 5.6 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 forreferenceoflineitemcode. Helpful hints for completing payment process: Eleven digit code —101 (fund) 1120 (department or project) 4110 (officesupplies). 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. 5.7 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 properdepartmental authorization obtained prior to reimbursement. Employee must provide a signature for reimbursement from the Finance Department. 105 5.8 Guidelines for Payment Processing Invoices must be attached to the check request, purchase order, or expensevoucher. Requests for checks are due by 3:00 p.m. 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. 5.9 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, andthoroughness, 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. 5.10 Electronic Funds Transfer Electronic Funds Transfer may be required in some cases to complete a business transaction. The funds are transferred electronically from the party's 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 inSection5.9. 106 5.11 Expense Reimbursement A completed and properly authorized form is required for reimbursement to employees for City- related expenses. All requests must contain proper account codes, department approval, and receipts must be attached where applicable. Expenses will be reimbursed by check issued on the next check run. 107 Section 6. Agreement Processing Agreement Forms Agreements need to be reviewed by the City attorney unless they follow a previouslyusedformatsuch 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 submissionforaCouncil agenda and /or signatures. The City attorney must review an agreement if it is written on the other party'sform, 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 $20,000 in value. Council authorization is required where a contract exceeds $20,000, and the agreement must be signed by the Mayor and the City Manager. Where Council authorization is required, a copy of the agreement must beincluded 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 thecertificateofinsurance. A transmittal form — available from the administration department — ( sample agreement and transmittal form) must be completed and routed to the Cityattorneywith 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 isresponsibleforcirculating the agreement for signatures. Be sure to note on the transmittal form the date the insurance expires, and anyspecialconditions, for instance, if the agreement calls for performance by aspecificdate. 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 ongoingagreement). Original to Administration The central agreement file is maintained by administration. Once the agreementhasbeenfullyexecuted, the ORIGINAL must be submitted to the administration department for placement in the central file. The originating department maykeepacopyoftheagreementforthe department file. The administration department assigns agreement numbers. E., 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 capital asset. The amount to record for that capital asset would be any charge "to place the asset in its intended location and condition for use." 7.2 Acquisition When a capital asset is purchased, a capital 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 capital asset form with the required information. In addition, at the end of the year, a physical count of all capital assets will need to be done by each department's 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 capital 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. 109 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 capital asset removal form must be filled out when an item sold at auction was listed on the capital 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 CRTs in which case purchasing guidelines should be followed. 110