Budget Process Resources and Online Transparency ToolsCopyrighted
March 2, 2026
City of Dubuque WORK SESSION #
City Council
ITEM TITLE: 5.15 PM - Budget Process Resources and Online
Transparency Tools
SUMMARY: Chief Financial Officer Jennifer Larson and Budget Manager
Laura Bendorf will make a presentation on City Budget
Resources and Online Transparency Tools.
Enclosed with the materials is a memorandum from the City
Attorney providing information on the City Council's
procedural options for the upcoming budget meetings.
SUGGUESTED
DISPOSITION:
ATTACHMENTS:
1. MVM Memo Work Session — City Budget Resources and Online Transparency
Tools
2. Staff Memo Work Session Budget Resources and Online Transparency Tools
3. Budget Overview
4. City Attorney Memo - Budget Hearing Rules-2-24-26
Page 12 of 939
Dubuque
THE CITY OF
uFA�a9a av
DuBE
13
Masterpiece on the Mississippi zoo�•*o
rP PP 2017202019
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Work Session — City Budget Resources and Online Transparency Tools
DATE: February 25, 2026
Chief Financial Officer Jennifer Larson will make a presentation on City Budget
Resources and Online Transparency Tools at the 5.15 p.m. work session on March 2,
2026.
Mic ael C. Van Milligen
MCVM:sv
Attachment
cc: Crenna Brumwell, City Attorney
Cori Burbach, Assistant City Manager
Jennifer Larson, Chief Financial Officer
Page 13 of 939
THE CITY OF
Dubuque
DUB E
ANamtoRy
Masterpiece on the Mississippi
rp pp
2oo�•o 13
Zoi7*20*Zoi9
TO: Michael C. Van Milligen, City Manager
FROM: Jennifer Larson, Chief Financial Officer
SUBJECT: Work Session — City Budget Resources and Online Transparency Tools
DATE: February 25, 2026
INTRODUCTION
The purpose of this memo is to submit a presentation on City Budget Resources and
Online Transparency Tools for the City Council work session on Monday, March 2,
2026, at 5:15 p.m.
DISCUSSION
The Fiscal Year 2027 budget process will officially begin with City Council at the public
hearing on March 9, 2026, to adopt a maximum property tax levy. The presentation on
City Budget Resources and Online Transparency Tools is intended to provide an
overview of how the City's budget works, how funds are structured, how we receive and
spend money, and what tools are available to help everyone better understand City
finances.
Page 14 of 939
Budget Process Overview
Jennifer Larson, Chief Financial Officer
Laura Bendorf, Budget Manager
How city funds are organized
Where the City's revenue comes from
IL How expenses are planned and managed
' ills MAI ill • The annual budget cycle
•
Key budget documents
Online transparency and budget tools
Cities in Iowa operate through legally separate
funds.
Money in one fund generally cannot be used for
another purpose.
It is not one big checking account.
Two Main Categories
• Governmental Funds - General operations,
restricted revenues, capital projects, debt
service
• Proprietary Funds - Utilities and internal
service operations
Page 17 of 939
1. Governmental Funds
• General Fund - Daily operations
• Special Revenue - Legally restricted uses
• Capital Projects- Major construction
• Permanent Funds - Only earnings may be used
• Debt Service- Pays principal and interest
2. Proprietary Funds
• Enterprise Funds - Water, Sewer, Refuse, Parking, Stormwater, Transit
• Internal Services - Shared services between departments
Page 18 of 939
Major Revenue Categories
• Taxes (property tax, LOST, hotel/motel, TIF)
• Licenses and Permits
• Use of Money and Property
• Intergovernmental revenues
• Charges for services
• Special assessments
• Miscellaneous revenue
• Transfers and bond proceeds
Page 19 of 939
• Police, Fire, E911, Ambulance, and
Emergency Services
• Parks & Recreation
• Library
• Administration
• Planning and Zoning
• Property tax, LOST, franchise fees,
licenses, grants, charges for service,
leases, transfers
Page 20 of 939
Levy Rate Factors
• Maximum levy: $8.10
• Reduction applied (2% or 3%) when growth exceeds state
thresholds
• FY26 General Fund Levy: $7.63281
Page 21 of 939
Other
Property Tax
Levies
K-
0ransit Levy- Funds only
he transit system
ort Liability Levy -
lability Insurance
Tru st 7h d Agency Levy -
Employee Benefits
Hotel/Motel
Tax
K-
7%tax rate
50% promotes tourism via
aveL Dubuque
50% provides property tax
relief
�ocai
:DPt1C
�!)ale's
Established by Iowa
Code &voter
referendum
30%special
assessment relief
50% pro pe rty tax
relief
20% maintenance,
riverfront, economic
development, transit
equipment
Lease revenue provide
property tax relief
DRA reimburses Police
overtime for casino security
FY26 total property tax
relief support: $8.7M
Page 25 of 939
Utilities pay for the right to use City
streets/right-of-way
Capped at 5%
Dedicated to property tax relief
FY26 Electric Franchise Fees:
$5,150,794
FY26 Gas Franchise Fees: $1,039,866
Page 26 of 939
General Fund
Leases
K-
Sources include riverfront, buildings,
land, wharfage, and airport leases.
Supports property tax relief.
$6.2 million
General Fund
Charges for
Service
xa m pie
Fees cannot exceed the cost
of providing the service.
Ahl A iAh
0
Animal Licenses
$225K
Building Permits
$900K
0
it 110
Health
Permits/Licenses
$158K
Planning and
Zoning Fees
$80K
Am
Rental Licenses
$71 OK
Business
Licenses $
138K
General Fund
Interest
K-
icreased significantly
ince 2021
rY21 $222K increasing
to $4,,8M in FY25 A
Road Use Tax -Streets Only
TI F - Urban renewal costs
Housing Vouchers - Rent assistance &
administration
Grants - Restricted project uses
Restricted funds cannot be shifted to
the General Fund.
Page 31 of 939
• Street Construction - Streetimprovementsfunded by 30% of Local Option Sates
Tax
• Sales Tax Increment - Flood Mitigation Grant for designated Stormwater Projects
and related debt
• Sales Tax Construction - Facility maintenance, riverfront and economic
development, Transit Equipment funded by 20% of Local Option Sates Tax
• TIF Construction - Projects in TIF Districts
• Golf Construction - Bunker Course improvements funded by golf activity surplus
• Airport Construction -Airport improvements funded by Federal Aviation
Administration, state grants, and local match
Page 32 of 939
• Ella Lyons Peony Trail Trust Fund -Maintenance cost related to City
Peony Trail (trust agreement)
• Library Gifts Trust Fund -Testamentary gifts to the Library
• Only earnings, not principal, may be used for the purposes set by the
donors
Page 33 of 93919
Pays general obligation bond
principal and interest
Funded through a small levy
and transfers from other funds
Page 34 of 93920
M
M
Must cover
operating,
maintenance &
capital costs
Cannot subsidize
the General Fund
Examples: Water,
Sewer, Stormwater,
Transit, Refuse,
Parking
•Garage Service (fleet)
•Stores (supplies)
• Health Insurance
• General Service support
for capital projects
Page 36 of 93922
Government Activities by Program
Activities Included
Public Safety Police, Fire, Ambulance, Emergency Communications, Animal
Control, Building Inspections, Flood Wall Operations
Public Works Airport, Public Works, Engineering
Health and Social Services Health, Human Rights, Purchase of Services
Culture and Recreation Ice Center, Multicultural Family Center, Parks, AmeriCorps, Five
Flags, Grand River Center, Recreation, Marina, Library, Arts and
Cultural Affairs, Planning,
Community and Economic Development Economic Development, Housing
General Government Facilities Management, Human Resources, Communications, City
Council, City Manager's Office, City Clerk, Finance, City Attorney,
Information Technology
Debt Service Principal and interest payments on bonds, notes and other debt
obligations
Capital Projects General Government or Tax Increment Financing Capital Projects
Business Type/Proprietary/Enterprise Water, Sanitary Sewer, Stormwater, Solid Waste, Parking, Transit,
Salt Operations, Garage Service
Page 37 of 939
OPERATING -ANNUAL
SERVICES
CAPITAL - LONG-TERM
DEBT- PAYING FOR
CAPITAL PROJECTS
Page 38 of 93924
' Operating Budget
Includes:
0,
•
Includes:
• Five -Year infrastructure plan
• Includes streets, facilities,
utilities, major equipment
• Year One becomes part of the
annual budget
Page 40 of 939
Budget Timeline
• City Manager recommends budget carryover amendment for City Council approval at a public hearing.
• City Manager and Department Managers review fiscal year accomplishments and identify future initiatives forgo a I setting.
a mA. I • City Council holds 2-day goal setting to develop Vision and Mission statements, identify 5-year goals, and establish Policy
" agenda.
• • • Budget staff host annual budget trainingfor all departments. J
• City departments prepare Capital Improvement project information and budget requests for review by City Manager.
October
October • City departments prepare operating budget and other requests for review by City Manager.
- c e wb-&e City Manager holds Public Input meetings to review issues and priorities for capital and operating budgets.
January / • City Manager and Budget Staff analyze, review, and balance capital and operating budget requests and prepare final budget
February recommendation. do
• City Manager presents draft Policy guidelines and Maximum Property Tax Resolution to City Council for approval at a public
hearing.
•
• City Council holds public meetings to review recommended budget by department (live on City Channel Dubuque).
• City Council holds final public hearing and adopts budget; staff certifies by April 30 in compliance with State law.
• Budget Manager reviews revenues and expenses and recommends adjustments.
• City Council approves amended fiscal year budget; staff certifies by May 31 in compliance with State law.
Page 41 of 939
-ap"udget Documer
M ,
-1004
.14
Resident's Budget Guide: Easy overview
Capital Improvement Program (CIP): 5-year project plan
Policy Budget: Department budgets, staffing,
performance metrics
Resident's
Budget Guide
K-
Summaries
Visuals
Council priorities
Revenues
Expenditures
Personnel information
City Manager's Budget Message
Budget in Brief
Budget Fact Sheet
Revenue Category Explanations/Expenditure Highlights
Cost of Municipal Services
Rate Comparisons
Impact of Budget on Classes of Property
Summary of Improvement Packages
Personnel Changes
Page 44 of 93930
Ah
How you r
City Share of
Property
Taxes are
Distributed
How the
Money is
Spent
Where the
Money
Comes From
Grand Total
Expenditure
Summaries
Capital
Improvement
Program (CIP)
coo-** Explains each project's purpose
Cost
,—I--, Department
_ Justification
�WM Alignment with City priorities
Page 46 of 939
Policy Budget
City Department
budget detail
Performance
Measures
Improvement
Packages requested
to increase service
levels
Line -item
expenditure and
revenue budget
Significant
budget line -item
explanations
Personnel
summaries by
department and
activity
Budget
Documents
Online
po
www.citvofdubuque.org/Budget
Budget documents Fiscal Year 2020 - Current
O Online Budget Ideas Submittal
Budget Meetings and Related Documents
Page 48 of 939
• Open Budget - Explore operating and capital budgets.
Launched in 2016.
• Open Checkbook —View vendor payments. Launched in
2017.
• baLancingAct -Try balancing the budget under the same
constraints faced by City Council and leave comments.
Launched in 2019.
• i axpaver Kecei pt -Customized receipt demonstrates an
estimate of how much in City taxes the user contributes
to Police, Fire, Library, Parks, and other city services.
Launched in 2019.
Page 49 of 939
40
Questions?
IwIl
THE CITY OF
DUB TEE
Masterpiece on the Mississippi
CRENNA M. BRUMWELL, ESQ.
CITY ATTORNEY
TO: MAYOR BRAD M. CAVANAGH AND MEMBERS OF THE CITY COUNCIL
DATE: FEBRUARY 26, 2026
RE: BUDGET HEARING REMINDERS
Dubuque
All -America Ciq
2007-2012-2013
2017*2019
This is my annual budget process memo for the City Council. Sadly, there is no guidance
or rules related to how individual budget hearings are handled in the state code as our
process is unique and not specifically required by state law.
Previously, the City Attorneys for the largest cities in Iowa and City Clerks were polled on
their processes. We asked if communities had a well -developed process for how items
should be set aside during the departmental presentations/hearings for
consideration/deletion/amendment at the final budget hearing. Attorneys' responding
historically have included those for:
• Des Moines
• West Des Moines
• Iowa City
• Ames.
Unfortunately, none of the responding cities had a clearly outlined process for how
amendments are handled.
It appears other cities handle proposed changes like any other amendment by the Council
with a voice vote. If the amendment passes it becomes part of the roll call vote on the
budget, as amended, at the Final Budget Hearing.
The City Council has the ability to agree upon how requests for further consideration
(adding or deleting funding in the budget) will be handled. I have identified a few ways
this could occur, but there may be other options with a creative bunch such as yourselves.
OFFICE OF THE CITY ATTORNEY DUBUQUE, IOWA
SUITE 330, HARBOR VIEW PLACE, 300 MAIN STREET DUBUQUE, IA 52001-6944
TELEPHONE (563) 589-4381 / FAx (563) 583-1040 / EMAIL cbrumwel@cityofdubuque.org
Page 51 of 939
Options
1) Single Member Holdover: If one (1) member wants an item held for further
discussion or consideration the item is held for discussion at the Final
Budget Hearing.
2) Single Member Ask, Majority Agrees, Final Budget Hearing Consideration:
If one (1) member wants an item held for further discussion or consideration,
an informal poll of the Council occurs. If four (4) members agree the item
should be held the item is held for discussion at the Final Budget Hearing.
If there are not four (4) members in agreement to set the item aside for
further consideration the item isn't held over for further consideration.
3) Single Member Ask, Majority Agrees, Budget Hearing Consideration: If one
(1) member wants an item held for further discussion or consideration, an
informal poll of the Council occurs. If four (4) members agree the item
should be held the item is held for discussion at the end of the departmental
budget hearinas for the evenina*.
If there are not four (4) members in agreement to set the item aside for
further consideration the item isn't held over for further consideration.
*This would require adding an agenda item to each evening of departmental
budget hearings for consideration of items held for further discussion.
4) Item by Item Motion: Members could make motions at each of the hearings
for specific items to be added or deleted from a departmental budget. The
prevailing vote of the Council would govern.
Option #2 above is the process that has been used historically by the City Council.
Any items that are set aside for further consideration during the process need to be
discussed and resolved at, or prior to, the Final Budget Hearing prior to a vote on the
Final Budget. Any changes in departmental budgets to increase funding would require
an offset decreasing funding somewhere else within the budget.
State Program Information
The State does not allow the City to exceed the amount published in the public hearing
notice for planned expenditures in each of the nine program areas in the final adopted
budget. The nine program areas defined by the State for reporting purposes include:
• Public Safety
• Public Works
• Health and Social Services
• Culture and Recreation
2
Page 52 of 939
• Community and Economic Development
• General Government
• Debt Service
• Capital Projects
• Business Type
The City must assign its various cost centers to one of these programs based on reporting
guidelines prepared by the Iowa Department of Management. In addition, the property
tax levy adopted must equal or be less than the property tax levy published in the notice
of public hearing. This is in accordance with the administrative rules which are intended
to implement Iowa Code chapters 384 and 388.
Note: On the state programs areas, revising the budget recommendation if the expense
exceeds the state program amount published requires the budget changes to be included
in the first budget amendment of the new fiscal year.
Open Meetings Reminder
As a reminder entering budget season, the standard rules for City Council meetings apply
to budget work sessions and hearings. All discussions on agenda items should be public
i.e. no private exchanges in any electronic formats with each other, staff, or the public.
This maintains compliance with the open meetings law.
This is for informational purposes and if you have any questions, please reach out.
cc: Michael C. Van Milligen, City Manager
Cori Burbach, Assistant City Manager
Jennifer Larson, Chief Financial Officer
Adrienne N. Breitfelder, City Clerk
3
Page 53 of 939