MVM Budget memo infoMEMORANDUM
July 25, 2003
TO:
FROM:
SUBJECT:
The Honorable Mayor and City Council Members
Michael C. Van Milligen, City Manager
Budget
At the July 21 2003 Public Hearing on the Fiscal Year 2004 budget amendment, the
City Council set a public hearing on a proposed Utility Franchise Fee for July 28. 2003
at 6:00 p.m. at the Dubuque Carnegie-Stout Library Auditorium.
After receiving citizen input, listening to the City Council discussions over the last two
months, and further examining the available options, I respectfully request Mayor and
City Council approval of a 2% Utility Franchise Fee effective October 1,2003, on the
franchises held by Aquila and Altiant Energy for electricity and natural gas. n the
Franchise Fee Agreement with Aquila and Alliant Energy, the Franchise Fee is capped
at 3% and a unanimous vote of the City Council is req ~ired for approval.
My recommendation is for a 2% Utility Franchise Fee with a rebate for the full 2% to
organizations currently exempt from sales taxes. By state law. the 2% Utility Franchise
Fee would take the place of the City 1% local option sales tax and the School 1% local
option sales tax for those who are required to pay those taxes now. Sales tax exempt
entities would receive a rebate of the franchise fee. This would mean that no
individual, business or organization would see an increase in their costs, but the
City would see an increase in general fund revenues.
The Franchise Fee would allow the restoration of many of the cuts ~)roposed for the
Fiscal Year 2004 budget, including restoring the non-union employee wage freeze;
restoring positions in Fire. Police, Parks and Five Flags departments; restoring library
hours: maintaining existing rates and Saturday service in the Transit department; and
reinstating education and training for city staff.
Under this recommendation for a 2% Utility Franchise Fee. the City general fund would
receive an estimated $641,000 in Fiscal Year 2004 and $879.535 in Fiscal Year 2005.
This change would be done in conjunction with the Fire Union concessions to overtime
pay and acceptance of the change in dental benefits, savmng the City $62.206. The non-
union employees. Teamster's Union, Operating Engineers, and Transit Union also have
agreed to pay 100% of their dental premiums and accept changes in health care
coverage for a savings in Fiscal Year 2004 of $167,379 as part of expense reductions
approved in March 2003.
To make up the remaining funds needed to balance the budget in Fiscal Year 2004
($378,791), I would suggest that the following Fiscal Year 2004 Capital Improvement
Projects be canceled:
CIP projects canceled to make up balance for FY 04:
Fire Dept. Station #2 driveway and exterior improvements$ 62.000
Fire Dept. radio to replace telephone lines $17,500
Fire Dept. Station #4 improvements $ 5.800
Fire Dept. Station #5 improvements $13,600
Softball Fields at Vets $139,500
Historic District Grant program $139,450
Total $377.850
The City of Dubuque is struggling with a substantial budgetary shortfall - mainly the
result of a $1,070,425 funding cut from the State of Iowa. This reduction came without
warmng, and it impacts every department and division within the City. Even more
unfortunate, this shortfall comes on the heels of a difficult budgeting process and
represents an additional revenue loss.
Planning for the Fiscal Year 2004 budget began with City Council goal-setting in August
2002 and included a thorough, detailed and intense examination of the City's finances.
The budget process continued with a series of public hearings in February and March.
At that time, the City Council addressed a $1 million shortfall, which included a
$312.513 state-mandated increase in police and fire pension costs and a 35% boost in
health insurance. While considering these cost increases. Council Members had to take
into account stagnating tax revenues after a national economic downturn.
Dealing with a budget shortfall is a challenging task. Throughout the process, the City
Council made the difficult, but financially responsible decisions. The Fiscal Year 2004
budget, which included the ninth consecutive year of no property tax increase for the
average homeowner, was approved and sent to the State of Iowa for certification by the
March deadline. Unfortunately, the budget story doesn't end there.
After the budget was certified, the Iowa Legislature passed laws that dramatically
red Jced State aid to cities. The City of Dubuque immediately lost $1,070,425 in
revenue or 3.28% of the general fund operating expense. Also, health insurance costs
have continued to increase at a rate exceeding budget expectations. The projected
recurring cost in Fiscal Year 2004 to cover health insurance is an additional $613,766
(with $315,000 in other budget shortfalls). After addressing a $1 million shortfall during
the initial budgeting process, the City's operating budget now faces a reduction of
$1.799,103 in tax funds and a $200,088 shortfall in non-tax supported funds. The State
2
of Iowa has permanently eliminated this funding to cities making this reduction an
annual, recurring loss. Therefore, finding a solution for this revenue loss cannot be a
one-time, short-term solution.
The City of Dubuque runs a lean operation that provides excellent services at some of
the lowest rates in the State of Iowa. The following compares Dubuque with the other
large cities in Iowa:
Property Tax
Rank CITY TAX RATE
9 Waterloo 18.37162
8 Des Moines 17.04857
7 Iowa City 16.81344
6 Council Bluffs 16.42850
5 Sioux City 15.95108
4 Davenport 14.63000
3 Cedar Rapids 12.82969
2 Dubuque 10.2730
1 Ames 9.63962
The highest-ranked city (Waterloo) is 79 % higher than Dubuque's rate. and the $14.665 average is
42. 8% higher.
Refuse Rates
RANK CITY MONTHLY
FEE PAY AS YOU THROW
7 Ames $20.50 No (average fee for private service)
6 Cedar Rapids $12.56 Yes
5 Iowa City $12.10 Yes
4 Waterloo $11.00 Yes
3 Des Moines $10.25 No
2 Sioux City $9.50 No
1 Dubuque $7.60 Yes
The highest-ranked city (Ames) is 170 % higher than Dubuque's rate, and the $1 ~.93 average is 57%
higher
Wa~rra~s
RANK CITY WATER USED
(800 cubic feet/residential average)
5 Ames $18.42
4 Des Moines $15.86
3 Council Bluffs $14.00
2 Dubuque $12.88
1 Cedar Rapids $12.48
The highest-ranked city (Ames) is 43% higher than Dubuque's rate, and the $14.73 average is 14%
highec
Sewer Rates
RANK CITY SEWER FEE
(Based on 800 cubic fi/month)
9 Iowa City $31.82
8 Des Moines $21,56
7 Waterloo $18.95
6 Sioux City $17.11
5 Ames $16.78
4 Council Bluffs $15.12
3 Davenport $13.76
2 Dubuque $13.12
I Cedar Rapids $10.73
The highest-ranked city (Iowa City) is ~43 % higher than DubuQue's rate, and the $17.66 average is 35%
higher.
Stormwater Utility Rates
RANK CITY RATE*
*Average Monthly Residential rate
8 Des Moines $4.60
7 Burlington $3.00
6 Garner $2.63
5 Cedar Rapids $2.25
4 Boone $1.95
3 Sioux City $1.84
2 Ames $1.50
I Dubuque $1.29
The highest-ranked city (Des Moines) is 257 % higher than Dubuque's rate, and the 52.38 average
84,5% highe~
The City of Dubuque workforce has declined by nearly 12 percent or 69 positions since
1981 in spite of adding numerous services, initiatives during that time period have
included:
Yard waste and recycling
Economic development efforts
County-wide E911 dispatch
Comprehensive housing programs
Community oriented policing
DARE and other drug-related programs
Rental property inspections
Operations of the new leisure pools
McAleece Recreation Complex
City Focus newsletter
Industrial pretreatment and lead and copper testing programs
Fifth Street Parking Ramp
Fourth Street Parking Ramp
~lazardous materials team
4
Advanced life support ambulance service
Govemment Channel 8 programming
Cable TV monitoring and regulation
Additional commissions including Long Range Planning, Environmental
Stewardship, nvestment Oversight, Development Review Committee
Extensions of bike and hike trails
City-operated FBO functions
Increased zoning code enforcement
Developers and builders roundtables
Implementation of riverfront plan
Downtown circulation study
Implementation of the Neighborhood Reinvestment Strategy
Lead paint abatement program
School resource officer program
Washington D.C. initiative
Increased security operations at the airport
Thirteen additional neighborhood parks
Reinstatement of traffic accident investigations
Police K-9 unit
Even with a Utility Franchise Fee, the amended Fiscal Year 2004 budget includes the
elimination of five additional positions for a totat reduction of 74 or nearly 13 percent of
the workforce since 1981. This has been accomplished despite adding certain
positions, like 15 Police Officers, since 1994.
Public safety exemplifies one of those areas where the City provides excellent service.
The Insurance Service Office (ISO) rating is a national classification system that rates a
community's fire protection capabilities with a score of I to 10, with 1 being the best.
The ISO rates 45.898 fire departments nationwide.. The City of Dubuque finished higher
than 96.2% or 44.148 of the other fire departments'in the country with a Class 3 rating.
The City of Dubuque's ability to deal with a fire is in an elite class of 1,750 departments
that are rated between 1 and 3. This puts the City of Dubuque in the top 3.8% of fire
departments in the country. No fire department in'the State of Iowa has a h .gher
classification than Dubuque.
Under State of Iowa law, franchise fees may be implemented as part of an agreement
between local governments and a utility company. In Dubuque, Alliant Energy and
Aquila provide electric and natural gas services to businesses and residences. These
agreements are made to ensure service to all customers in a community and outline the
terms under which utility companies provide service. The intent of these fees is to
reimburse local governments for use of public rights-of-way and other public services.
A franchise fee typically is calculated on a percentage of the revenues derived from the
sales of gas or electricity to customers in that community.
A franchise fee can be imposed as a percentage of gross sales, so the exact amount
would vary each month. However. the impact of a franchise fee in Dubuque would not
be as s~gnificant due to some changes in the State of Iowa taxing system. If the City of
Dubuque were to implement a franchise fee in 2003. residential property would pay the
2% franchise fee in addition to the 3% Iowa tax for a total of 5%. However, in 2004 the
State tax declines to 2%, while the franchise fee would remain at 2% The total in 2004
is 4%. The total in 2005 is 3%. By the year 2006. the State tax is phased out, and only
the franchise fee remains at 2%. When a community implements a franchise fee, local
option taxes cannot be collected, n the case of Dubuque. this 2% in local option sales
taxes would come off of residential, commercial and industrial bills. Therefore the
consumer sees no increase ~n their costs, but the City would see an increase in general
fund revenues.
Commercial/industrial customers are not receiving a break on their state sales tax
(unless the electric or gas is used in processing). Entities that are currently exempt
from sales tax would also be exem pt from the franchise fee.
Sales Tax and Potential Franchise Fees on ~ Gae and Electric Bills within City Limits
City School Impact on
Calendar Year State Tax Local Option Local Option Franchise Fee City Residents
2001 5.00% 1.00% 0.00% 6.00%
2002 4.00% 1.00% 0.00% 5.00%
2003 Jan.-June 3.00% 1.00% 0.00% 4.00%
~ ~ 2.oo~ ~
~ ~ 2.00% ~
6
Sales Tax and Potential Franchise Fees on i~~~. Gas and Electric Bills within City Limits
City School Impact on
Calendar Year State Tax Local Option Local Option Franchise Fee Comm./Ind.
2002 5,00% 1.00% 0.00% 6.00%
2003 Jan.~June 5.00% 1.00% 0.00% 6.00%
~ ~ 5.00% ~ ~ /~: ~
2004 and beyond 5.00% 2.00% 7.00%
Any electricity or natural gas used in processing ~s exempt from sales tax. but not exempt from the franchise fee.
Sales Tax and Potential Franchise Fees on ~~¢~.s w th n Cty L m ts
City School Franchise Impact on
Calendar Year State Tax Local Option Local Option Fee Tax Exempt
2002 0.00%
~)~ ~ ~: ~07~ w/rebate
2004 and beyond 2.00% 0.00% w/rebate
*Sales tax exempt includes private nonprofit educational institutions, nonprofit private museums tax-certifying or tax-
levying body or governmental subdivision, including state board of regents, state department of human sen/ices, state
department of transportation, all divisions, boards, commissions, agencies, or instrumentalities of state, federal.
county or municipal government which do not have earnings going to the benefit of an equity investor or stockholder.
Any electricity or natural gas used in processing is exempt from sales tax. but not exempt from the franchise fee.
The revenues from a 2% Utility Franchise Fee are projected to be $641,000 in Fiscal
Year 2004 (9 months) and $879,535 in Fiscal Year 2005. Since the City would no
longer collect the City local option sales tax the City could lose $216,399 from the Fiscal
Year 2004 CIP and $324,437 from the Fiscal Year 2005 CIP.
As directed, I met with the leadership of Teamster's Union, Local #421 and the
Dubuque Professional Firefighter's Association. Local #353.
7
The discussions with the Teamsters revolved around the Park Ranger position. The
Teamsters membership had already rejected a wage freeze and already accepted al
the requested health care changes. They asked the City to consider raising the entry
fee at Eagle Point Park from $1 to $2 which would generate over $60,000, more than
enough to pay for the Park Ranger position, or cancel a Park's Division Capital
mprovement Project.
The Firefighters reiterated their willingness to change their FLSA overtime to comp time
and accept paying their full dental premium, which is accepting part of the health care
changes accepted by other employees (except the Police union). This will save the City
$62,206 in Fiscal Year 2004.
I have included this $62 206 savings in my revised budget recommendation.
If the City Council does not approve the Utility Franchise Fee, all the previously
approved cuts, including the non-umon wage freeze and the position eliminations, will
be implemented. To fund the three Fire Equipment Operator positions, the Park Ranger
position, restore Saturday Fixed Route Bus Service and not increase Fixed Route or
paratransit fares, the funding will come from the Capital Improvement Program budget
in the amount of $307,729, and the $62,206 offered up by the Fire Union by accepting
the changes in dental premiums and allowing FLSA overtime to be compensated
through time-off, instead of overtime. The canceled CIPs'are the Historic District Grant
Program ($139,450), the softball field renovation at Vet's Park ($139,500) and $28.779
of the $62,000 Fire Station #2 driveway and exterior improvements.
Canceling these CIPs and not adopting a Utility Franchise Fee merely pushes this
problem into Fiscal Year 2005, which is already looking at a 10.54% property tax
increase for a maintenance level budget. This will push the anticipated Fiscal Year
2005 property tax increase of 10.54% to 13.77%.
The implementation of this franchise fee also pushes some of the budget issues into
Fiscal Year 2005. but it also provides an additional $238 535 in revenues because the
franchise fee will be collected for 12 months instead of the nine months in Fiscal Year
2004 With a utility franchise fee the projected Fiscal Year 2005 property tax increase is
approximately 12%.
MCVM/jh
Attachment
CC:
M~chael C. Van M~lhgen ,~ ~
Barry Lindahl, Corporation Counsel
Cindy Steinhauser, Assistant City Manager
Pauline Joyce. Administrative Services Manager
8
FRANCHISE FEE REVENUE
Sales Tax and Potential Franchise Fees on Residential Gas and Electric Bills'Within City Limits
City School
Calendar Year State Tax
2001 5.00%
2002 4.00%
2003 Jan.-June 3.00%
3.oo%
Local Option Local Option
1.00% 0.00%
1.00% 0.00%
1.00% 0.00%
Franchise Fee
2.00%
2.00%
2.00%
17-Jul
Impact on
City Residents
6.00%
5.00%
4.00%
FRANCHISE FEE REVENUE
Sales Tax and Potential Franchise Fees on Commercial and Industrial Gas and Electric Bills Within City Limits
City School Impact on
Calend ar Year State Tax Local Option Local Option Franchise Fee Comm./Ind.
2002 5.00% 1.00% 0.00% 6.00%
2003 Jan.-June 5.00% 1.00% 0.00% 6.00%
~,~ ~~ 5.00% 2.00% 7.00%
Any electricity or natural gas used in processing ~s exempt from sales tax, but not exempt from the franchise fee.
FRANCHISE FEE REVENUE
Sales Tax and Potential Franchise Fees on Sales Tax Exempt Properties Within City'Limits
City School
Calendar Year State Tax Local Option Local Option Franchise Fee
2002 0.00%
Impact on
Tax Exempt
Sales tax exempt includes private non profit educational institutions, nonprofit private museums tax-certifying or tax-levying body or
governmental subdivision, including state board of regents, state department of human services, state department of transportation, all
divisions, boards, commissions, agencies, or instrumentalities of state, federal, county or municipal government which do not have
earn~ ngs going to the benefit of an equity investor or stockholder.
Any electricity or natural gas used in processing ~s exempt from sales tax, but not exempt from the franchise fee.
Attachment
SUMMARY OF DECISION PACKAGES BY FUND PER ADOPTED AMENDMENT
GENERAL FUND
FY 04
Cat, Priority Dept Item Amount
FY 05 Cumulative
Amount Fy 94 Total
Impact
0 City-wine
0 City-wide
0 City-wide
0 City-wide
0 City-wide
0 City-wide
0 City-wide
0 City-wide
0 City-wide
0 City-widd
0 City-wide
0 City-wide
0 City-wide
0 City-wide
0
0
Impact of State cuts
Liauor Sales Tax Credit 269.942 269,942 269.942
~lunlcipal Assistance 305.715 305,715 575,657
Personal Property Tax ReDlacemenl 449,968 449.968 1.025,625
Monies and Credit Replacement 44.800 44,800 1,070,425
Homestead Tax Credit change 1,070.425
Impact of health cost increases 413.678 413.678 1.484,103
Hiring freeze/confined space revenue 315.000 315.000 1,799.103
On~ 1,799,103
Unem 1.799,103
Retirement incentive 30.000 1,829,103
C~ty~w~de ~Franemse, F~ee on gas and e ectr c 9~1~03 i,,;~ ~1 081. 997 ~'(1 622 ~184)
C ty-w de,
Non-Union Wage Freeze
These State funding reductions in credits are being passed on to property tax payers
August 9th for 3osltion eliminations or 30 days after Council dectsion
f you assume that 9 positions are cut and aren't placed thru retirements/attrition
Assuming 3 retirements--Directed to extend offer until August 31 2003
1.997,982 Target of $236,000.only came up with $184 805 in '04 & ~190.713 in '05
1,909,982 Billing received 4122103 which is ~20,000 higher than FY 04 budget estimate
827.995
870.185 Restores Education and Training
Cost share on exoense
Split savings Police CT and Lmrary Materials
870, 185 Committment by Council to look at reinstating this next year.
Staff directed to come back to Council with information on utility francbise fee process,
Expense Reductions That Do Not Involve Cutting City Positions in prlorRy order with #1 being cut last.
1 PoSce
3 Library
4 City Clerk
5 City Manage~
6 Emerg. Comm
7 City Manager
8 City Manager
9 Engineering
Specialized police,.setvices 'o~,eAim~
Reduce programming by 47% for all (4,285) (4,285}
Eliminates staff support on CS tests (1.350) (1.3501
Sensitivity Training [3.000) {3,0001
Training expense for Ride-Alongs 11,6651 (1,6651
Eliminate employees gifts (4.072) (4,072}
Wellness Programming (9.700) (9,700)
Eliminates $8.900 for overtime (8,0001 (8.000)
I 1 Recreation
12 City Council
13 City Council
14 City Council
15 Legal Services
16 City Clerk
17 City Clerk
18 Annex Maint
19 City Hal!
20 City Hall
Eliminate Ice Rink Warming Houses (5,8711 (5.871i
Eliminate Boards and Comm. Picnic (2,400} f2.4001
Reduce Travel Professional Conference (13,7501 113.750}
Sister City Program (2,0001 (2,000)
Eliminated Education & Trainin~
Eliminate microfilming/scanning (6,260) t8.260l
Drop printing of Council Proceedings (1,190) I1.190)
Equipment Maint. Contract ,475} 14751
Reduced janitorial services (5,668) (5,668)
Reduce property maintenance (2,298} {2.298)
792.614 Restores 84, 165 of the $81,736 overtime for STOP, Domestic violence accreditation
788.329
786,979 Eliminates overtime for staff support. Dept staff and Commissioners would need to help
783.979
782.314 Net savings (expense less 1/3 county reimbursement)
778.242 Spirit luncheon would continue with no g~fts or service awards
768.542
760 542 Lowe~ priority tasks will be delayed
760 542
754.671
752,271
738.521 Restores 50% of Travel Professional Conference expense. Cost share on expense
730,52'
736.521 Don't eliminate this training Impact is $962
728,261 Eliminates intern to scan records and microfilming of Council records.
727,071 One book would De orovided to Library and one in City Clerk's Office
726.596 Reduce regular emvator testing and ~rev. maint, from monthly to every two months
720,928 Monday, Wed, and Friday janitorial service and restrooms on summer weekends
718.630 Group replace ballasts, defer maintenance if necessary on other items
SUMMARY OF DECISION PACKAGES RY FUND PER ADOPTED AMENDMENT
GENERAL FUND
FY 04
Cat. Priority Dept Item Amount
FY 05 Cumulative
Amount Fy 04 Total Impact
21 City Hal Reduce ooerating supplies (1,059) (1,059)
22 Into Services Reduce network maint to 8hfs/5 days (5.000) (5.000)
22 Library, ,, 'r' ::~:Redud~imateriai~Pdrcbased J 7 4%' i,".'~i~ ~} .~i! ;~1 ~75 ~ ~1','6~5
2
2
2
2 23 Info Services
2 24 Healti~
2 25 Health
2 26 Health
2 27 info Services
2 27 Legal Services
2 28 Parks
2 29 Planning
2 30 Planning
2 31 City Manager
2 32 Annex Maint
2 33 Annex Maint
2 34 Annex Maint
2 35 City Manager
2 36 Econ. Day
2 37 City Manager
2 38 City Manager
2 39 City Manager
2 40 City Manager
2 41 Emerg, Corem
2 42 Emerg. Mgml
2 43 Finance
2 44 Finance
2 45 Healtb
2 46 Nousing Serv
2 47 Human Rights
2 48 Info Services
2 49 Info Services
2 50 Recreation
2 51 City Manage~
2 52 Police
2 63 Recreation
2 54 Police
2 55 Planning
Renegotiated service contract (5.000) 15.000)
Eliminates CT for Animal Control Officer (1,494) (1,539)
Eliminates temp clerical (885] (902)
Uses comp time vs paid overtime (6,835] [6,836)
Splits health insurance between depts (4,301) (4,301)
Eliminate weekend overtime (7,860) 17.860)
Reduce times zoning map updated 12,000) {2,000)
Eliminate ECIA contracted services (12,000) (12,000)
Drop 25 Laserfiche view cnw licenses (1,980) (1,960)
Boiler Maintenance (460) (450)
Property Maintenance 12.0SS) 12,088)
Property Maintenance 1615) (615)
Drop Dale Carnegie Trainin0 (3 431 ) (3,431 )
Washington DC Initiative reduced (13,218) 113.218)
Budget printing--4 copies only (5,360) (5,360)
Meals for budget hearing sessions (2.650) (2.650)
Eliminate catering for meetings (2,500) (2,500)
Subscriptions Services-Personnel {2.000) (2,000)
CAD maintenance shifted to 911 Fund {15.311) (15,311)
increased federal funds (3,541) (3,541)
Monitor/Collect Loans Internally~CDBG (6,000) (6,000)
Recharge addl OH to parking (4,000) (4,000)
State reimbursement of activities (5.000) 15.400)
Shift vehicle expense.reduce supplies (2,200) (2,200)
Shift ~10,000 salaries to HUD funding (10,000) I10.000)
Actual savings on SQL more than antic. 1,702) (1,702)
Email management moved in house (13,058) {16.783)
increase Admin. Overhead Chg to Golf {10,000) (10,000)
College Reimbursement Funds [7.400) (7,400)
Eliminates Graphic Artist position (60,858) (60,858)
CDBG funds pay for 50% swim pass {13,528) (13,528)
Reimb for tickets issued by Police (20.000) 120.000)
Eliminate staff membershi~ in APWA (900) (600)
717.571
712,571
670.696
665.696
664,202
663.317
663,317
656,482
652,181
644,321
642,321
630,321
Restores ~4.000 of proposed ~46,87§ cut
Limited after hour time spent on inspections
Same amount of savings in Police
628,341 Reduced from 50 to 25 and dropped 2 full licenses.
627,891 Reduce boiler checks from weekly to every other week during heating season
625.803 Reduce nightly custodial service and preserve restroom and floor care nightly
629. 188 Reduce frequency of rug replacement servic from biweekly to monthly
621,757
608.539
603. 179 CD ROM available to public at cost
600,529
69B,029
596,029
580,717 Net savings {expense less 1/3 county reimbursementl
577, 176
571 176 Revenue will go to Finance instead of to financial institution
567.176
562,176 Activities eerformed will be reimbursed for Fv 04 & 06 at min. {ia, bioterrorisml
569,976
549,976 Housing cases would take priority
548.274
535.216
525.216
517,816
456.958 Funds I)ub~ic information personnel in Police and Fire witb Cable Franchise fees
443,430
423,430
422.530 Will maintain City Planner's membership
($7,650) (17,650)
(4,950) (12,900)
404,880 Additional ~25 per contractor license fee
399.930 Business licenses from $50 to 275 taxicab from ~,5 to 210 and add special event
SUMMARY OF DECISION PACKAGES BY FUND PER ADOPTED AMENDMENT
As~Adopted by C ~y.Counc 7~9~03 ~n[l~Mgg fled.W t ~ French se_Fe~i Altet:nabve:~[ .~.
GENERAL FUND
FY 04 FY 05
Cat. Priority Dept Item Amount Amount
3 Emerg Comrn
,~ Engineering
5 Engineering
S Engineering
7 Engineering
g Fire
9 Fire
lO Five Flags
11 Five Flags
12 Five Flags
13 Five Flags
14 Health
15 Health
16 Nousing Serv
t7 Legal Services
I S Library
19 Park,,
20 Parks
21 Planning
22 Planning
23 Planning
24 Police
29 Recreation
26 Police
27 Recreation
28 Recreation
29 Recreation
820 charge for each taoe made [2.000) {2.000)
Adds traffic control permit fee 850 12,900) (2.500)
increase oermit fee for dumps~er {5,850) {5.850)
Increases license (1,800) I1,800)
Increase Sidewalk inspection fee 121.000) {21.000)
Adds 81.25/caoita charge for hazma{ {33,321) {33,321)
Confined space charges to industries {4,500) (4.500)
increase Labor Rates [4,866} (4,865)
Add 81.00 surcharge on tickets sole 134,500) {34.500)
increases Public Skating Fees (2,050) (2,050)
Increase skate rental fee $1,00 to s 1,50 (1,175J (1,175)
incr. late penalty on dog/cat license (3,750) (3,750)
increases dog/cat license fees (10,841) (17,400)
Increase rental housing fees (3.595) (3,595)
Payment for Bd of Review tax appea~s {10.000) {10.000)
Meeting room fees.interqibrary loan fee [4.300) (4,300)
Increase oavilion rental fees 15% (7,800) (7,800)
Increase campm~ fees (9,574) (9,574)
New billboard inspection fees [7,800) (7,800)
Increase spec. exception/setback fee [2,800) (2,800)
Zoning fees increased in budget (58,620) (58,620)
oOrid
Processing fee for impounded vehicles {20.400) (20,400)
Increase Play Lot/Tot Lot fees by $5 [4,000) (4,000)
Increase After School Sports fee by 83 {3.750) (3,750)
Increase youth sports fees by 83.00 {2,610) (2,610)
Fy 04 Total Impact
397,930
395,430
389,580
387 780 Revocable and irre~ ocable License processing fee for use of ~ubllc right of way
366,780 $50 if defect is found as part of inspection, 830 for sidewalk permit requested at Office
333,459 Per capita for population outside tile city vs curren0y flat fee to County of
328,959
324,094
289.594
287,544 From $3.50 to $4.00 foradults and $2,00 to 82,50 foryouth
286,369
282.619
271.778 + $2 forspayed/neutered ($10), + 87 fornon-spay/non-neutered [$25)
268,183 From $8.50 te $9,00 perunit, lastincreasedin 1998
258.183
253.883 Shouldtota 193 970
246.08~
236.509
228,709
225,909
167.269
167.289
167,289 Impact of Police decisio~ package
146.889
142,889 From ~10to818
139,139
136,929
Expenditure Reductions That involve Elimination of City Positions in priority order with #1 being cut last.
Fire
Fire
Police
Parks
Library
Five Fie
Replace FT Fiscal Coord w PT
(42,206) (42,206)
136.529 Eliminates
74.323
74.
74,323
74,323
74,323
32,t 17 PT Account Clerk I for payroll
32,117
32.117 Assigned to downtown
32,117
32 117 Frozen Ony for F~ 200~
SUMMARY OF DECISION PACKAGES BY FUND PER ADOPTED AMENDMENT
GENERALFUND
Cat. Priority Dept
4 13 City Manager
4 14 ~,Humag
15 Police.
4 17
18 Finance
19 Engineefi'ng
4 20 Airport
4 21 Airport
Admin. Serv Mgr->Budget Director
Eliminate LEO FT and PT positions
FY O4
118,135)
(73.614)
TRANSIT FUND Ipart of General Fund tax asking shortfall)
0 0 Transit State Transit Assistance reduction
3
8000
3 3 Transit
Equalize garage recharge rate
22,049
ROAD USE TAX FUND
O 0 Opel & Maint. ncreased health costs
0 Use non-recurring reserves in FY 04 and replenish in FY 05
Total, General Fund,Transit, RUTF
FY 05
Cumu(ative
Fy 04 Total
(33,272)
Impact
8,000
13,982
13.982
13,982
13.982
13,982
13,982 Keepia FY 04 dueto GASB34 changes
13,982
13.982 Airportrequestto usethesefundsto held address revenue shortfalldue to Northwesl
159.632)
22,049
151,632)
51 632 Fund w th reduct oas n ~ P an~ f nd grants/nnov,at op, s to mdud~ ~ax ~skmgs Ln ~,.Y,i.05 ~ ,,
51 632) Fund:w th,reductmns:'in Cl~r,an~f~ndlgra~ts/mno~abon~o~uq~?~a~k~pgs,'m~,~O~
131,583 Eund w th,reduct ons~n OlP and,hnd grants/innoVa[ oas ~o reduce ta~;askm~5~in~0~, ~
30.778 30.778 0
0 (732,O7O)
SUMMARY OF DECISION PACKAGES BY FUND PER ADOPTED AMENDMENT
WATER OPERATING
Categ Priority Dept 0 Water
City-Wide
2 Finance
2 Wate~
2 Water
2 Water
3 Water
Increased health costs 28.028 28,028
Lower SteF due to retirement (1,071) (1,071)
Reduce consultant services rel to CIPs (2.000) (2,000]
Reduced water demand Quebeco~ 58,567 58.567
Rate adjustment relative to Quebecor (58,567) 158.567!
Total, Water Operating Fund 5,457 5,457
Fy 04 Total
As Adopted by, C t~ Gounc 7-9t03 and Mo~l feU with E~d~J~ se F§~ A temat ye
(mpaet
Savings in Finance offset by reduced recharges to the utilities
Rate increase of I 68% on top of 3% rncreased adopted by Council for FY 04
Use Water Operating fund balance, until impact of Quebecor is more certain
SEWER OPERATING
Categ Priority Dept
Oper. & Maint
City-Wide
Finance
WPC Plant
WPC Plant
WPC Plant
FY 04 FY 05
Increased health costs 28 790 28,790
Nomun o ' Wa~e ad ds~ments~ ~ ;~ ~'~'~ !~I~ ~ ;~. ~, , h ~ ,r,~ ~ ~ ,
Lower Steo due to retirement (1,071) (1,071)
Rob
Renting oxygen generating system 120,322) [34,842]
TotaL, Sewer Operating Fund (694} (7,123)
Cumulative
Fy 04 Total
Savings in Finance offset by reduced recharges to the utilities
Can avoid tMs reduction of ~2.475
Can avoid this reduction of $5,616
Equipment grstallation in FY 04
REFUSE OPERATING
Categ Priority Dept
O Oper. & Maim
City-Wide
2 Finance
3 Oper. & Maint,
3 Oper. & Maint
FY 04 FY 05 Cumulative
Item Amoun! Amount Fy 04 Total
Increased health costs 24,719 24.719
Lower SteE due to rotiremem (1,071 ) (I .071)
Increase fee from ~7.49 to $7,SO/month (21,700) 121.7001
Total, Refuse Collection 1 .R4S 1,94g
Impact
Savings in Finance offset by reduced recharges to the utilities
Still 20% lower than the next lowest solid waster collection fee o[ otHer ten largest cities
Can avoid this increase to generate 82.000
STORMWATER OPERATING
Categ Priority Dept Item
2 Finance Lower Step due to retirement
FY 04
Amount
FY 05 Cumulative
Amount Fy 04 Total
(1 tO71 )
Impact
Savings in Finance offset by reduced recharges to the utilities
SUMMARY OF DECISION PACKAGES BY FUND PER ADOPTED AMENDMENT
Total. Stormwater Fund {1,071 ) {1,071 )
LANDFILL OPERATING FUND
FY 04 FY 05 Cumulative
Categ Priority Dept Item Amount Amount Fy 04 Total
0 ODer & Maint Increased health costs 10,765 10.765
City-Wide Non-unmn wage adjustments
T~otal, Landfill Oper. Fund 0 0
Impact
No impact as covereo Dy 8.75 per ton fee increased already scheduled for 7-1-03
PARKING
FY 04 FY 05 Cumulative
Categ Priority Dep! Item Amount Amount Fy 04 Total
Parking
City-Wide
Parking
Finance
Parking
Parking
Perking
ncreased health costs 11,513 11.513
Total, Parking Oper, Fund 1.614 1,614
Impact
4th Street Ramp
LOOK at rate increase decision packages in FY 05 if necessary.
UDAG FUNDS
CMeg Priority Dept
0 Corem, Dev.
City Wide
2 Purch of Serv
Item
FY 04
FY OB Cumulative
Amount Fy 04 Total
Increased health costs 717 717
Reduction no longer needed $717
COMMUNITY DEV, FUNDS
Categ Pdorlt¥ Dept Item
O City Wide
City Wide
2 Econ. Dev.
2 Housing/CD
Increased health costs
FY O4
Amount
12.799
FY 05
12.799
Cumuratlve
Fy 04 Total
Impact
SUMMARY OF DECISION PACKAGES BY FUND PER ADOPTED AMENDMENT
2 Housing/CD
2 Housing/CD
2 Housing/CD
General Liability Insurance (1,500) (1,500)
Total, Community Dev. Block Grant (OB) [68)
l~s ~Adopted by, G t[ (~u~B.,,~-9. 0.3 ,aqq,.,,H~d.[
Reduced due to error in spreading costs
LEAD PAINT PROGRAM
Categ Priority Depl
2 Housinp/CD
Housing/CD
FY 04 FY 05 Cumulative
tern Amount Amount Fy OZ~ Total
Shift vehicle expense.reduce supplies
Impact
SECTION 8 HOUSING
FY 04
Categ Priority Dep! item Amount
City Wide
Housing/CD
2 Housing/CD
2 Housing/CD
2 Housing/CD
2 Housing/CD
2 Housing/CD
CABLE TV FUND
Categ Priority Dept
0 Cable TV
0 Cable TV
City Wide
2 Annex Maint
2 Cable TV
2 Cable TV
2 Cable TV
2 Cable TV
2 Cable TV
2 City Managers
FY 05 Cumulative
Amount Fy 04 Total
Increased health costs 13.853 13.853
Reduce postage, more internet (500) (500)
Staff to oonate refreshments-FSS (200) (200)
Mileage reduced fewer visits {590) (590)
Reduced telephone long distance {700) (700)
Change backgrouno checks to later (2,250) (2.250)
Toter, Section 8 9.613 9.613
Impact
Police $10 fee for background checks
Use fund balance to cover or alternate background check admin, nolicy
FY 04 FY 05 Cumulative
Item Amount Amount Fy 04 Total
increased health insurance costs 7.015 7.015
FY 2004 Operating Budget Surplus [7,015) (7,015)
Non-un o~ ,wagd ad usthl~hts ~(~ ~;!' ~ ~'.~ ~!it~;~ ~),~i~ ~i~~ ! ~
Property Maintenance
Reduce Machinery/Equip. Rental
Eliminate Promotional activities
Reduce SubscR~tions
Reduce Subscriptions
Estimate of FY 04/05 surplus $45,600/~42,000 but uncertain--negotiations in process,
Reduction no longer needed
Reduction no longer needed
Reduction no longer needed
Reduction no longer needed
Reduction no longer needed
Reduction no IonBer needed
SUMMARY OF DECISION PACKAGES BY FUND PER ADOPTED AMENDMENT
2 City Managers
4 City Managers
4 Police
Eliminate City Expo Event
Graphic Artist position eliminated (60.858) (60,858)
Charge PI function of Police & Fire 60,858 60,858
Total, Cable TV Fund 0 0
Reduction no longer needed
Position and related sunplies and services 860,868
SERVICE FUND
FY 04
Catef~ Priority Dap! tam Amount
FY 06 Cumulative
Amount Fy 04 Total
Engineering ncreased health costs-Engineering 18,743 18,743
City Wide Reduce recharges based on lower rates
Oper. & Maint. ncreased health costs*Garage 12.360 12,360
Engineering Eliminate Traffic Engineerrng position 18,727) (8,727)
Engineering Shftfunds/assghmen~gf.E~pg ,~i¢~ ~J~ ~ ~
Oper, & Maim. Equalize garage rates for Transit (22,050) (22,050)
Total, Service Fund 326 320
increase recharges to projects and to garage recharges