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HomeMy WebLinkAbout[09a] 2016 Budget 9(a) Council Agenda Item MEETING DATE: July 20, 2015 AGENDA ITEM: 2016 Budget SUBMITTED BY: Administration BOARD/COMMISSION/COMMITTEE RECOMMENDATION: PREVIOUS COUNCIL ACTION: The Council has previously identified items for budget consideration and requested that the budget be placed on future agendas. BACKGROUND INFORMATION: As the Council discussed the budget at each meeting, the summary of items has been updated and includes any status or work items that have moved the issues forward. Changes in the levy already known: New Levies: 2014 Park Terrace Improvement will increase the levy $ 115,000 Equipment Certificate depends on the amount of issue Clinton Village/Northland $ 25,000 Expiring Levies: City Hall, reduction in levy $ 91,500 Equipment Certificate, reduction of $ 25,500 New Debt Colts Academy purchase – Sales Tax Revenue, not levy REQUESTED COUNCIL ACTION: Discussion only and direction to staff 2016 Budget Summary of budget discussion – June 1, 2015 1. CR 75 Overpass. Loso stated that over the past years the Council has discussed the need to construct an overpass or walkway under CR 75. Loso further stated that he would like to see this completed and use sales tax funding as one of the revenue sources. Discussion included ththth potential crossings such as 4, 8 or 12. 2. Potential improvements to CR 134/East MN Street. The Council questioned the City responsibility in improving East MN Street as it is a County Road. Weyrens stated that staff will check when it is on the CR Improvement plan and what the portion is the responsibility of the City. 3. Elm Street. Schultz requested the City consider extending Elm Street east to CR 133, opening up additional commercial opportunities. 4. Update on Equipment – The Council requested that staff update the public works equipment list from the prior year. 5. Staffing. Schultz stated that with the activity in the City he would like to see additional resources for economic development. The area cities have added community development directors (CDD) to their staff and he would like to see St. Joseph do the same. In addition to working on commercial/industrial development the CDD would be responsible for the Planning and could help promote a senior complex or additional residential. The Council agreed to review the job description and how the position would be funded. 6. Sidewalk Gaps. Schultz stated that the EDA Intern indicated that there are some gaps in sidewalks in the City; therefore, he would like to see those identified and develop a plan for connection. Discussion for June 15, 2015 Community Development Director: Included with the meeting material is a proposed job description for Community Development Director. When the City completed the Springsted Study the position was included and placed on the job/wage scale. The job description has been updated, as we have updated others as we have hired. The proposed structure would leave the Administrator as the EDA Director and the CDD would be responsible to the Administrator and would complete the EDA functions. This is the current structure that is in place in Sauk Rapids and has worked well. This would not be a union position. Financing for the position: The City currently budgets $ 32,000 for professional services, or for the MDG Contract. The current wage scale would have this position between $ 55,620 and $ 75,692. Estimating benefits and wages the actual cost would be between $ 69,525 and $ 94,615. Hire 2015: If hired in 2015, the CDD would probably be on staff for 3.5 or 4 months, starting in September sometime. The estimated cost per month would be $ 5,800 to $ 6,200 per month, depending on starting wage. Using $ 6,000 for budget per purposes, the 2015 cost would range between $ 21,000 and $ 24,000. Assuming a one month transition, the City would already have in the budget approximately $ 8,800 from contract services not paid to MDG to offset the cost bringing the impact down to $ 12,200 to $ 15,200. This could be funded in 2015 with the donation received from the College and Monastery of St. Benedict. The City did not include a donation in the 2015 General Fund budget (it was included in the Fire Fund) and these funds would offset the impact. 2016 Budget Hire 2016: The budget impact would be the difference between what the City budgets for professional services, $ 32,000 and the starting wage/benefits. The expenditure budget would have to be increased probably $ 40,000 to accommodate. In 2015 the revenue received from building permits has far exceeded the budget number so the revenue number will be increased and can be used to help offset the expenditure. July 6, 2015 Pedestrian Bridge: Since the Council identified a pedestrian crossing over CR 75, Randy Sabart has submitted an application to the APO for CPC Special Study Funding. The purpose of this study is to document existing conditions and to evaluate the feasibility of alternatives to improve safe pedestrian crossing of CSAH 75 between 2nd Ave NW and 20th Ave SE in St. Joseph. A report will be prepared documenting findings and recommendations for further study. This would be the first step in the process. Field Street: Randy Sabart will provide an overview of Field Street, what happened in the past, and how to move forward. July 20, 2015 th Field Street: The Council discussed the extension Field Street from CR 121 to Elena or 7. The first step in the process is a feasibility report. Randy will bring the costs to the meeting. Community Development Director: Financial Impact: 2015 Budget Impact Hire start date October 1, 2015: Expenditure: 3 Month Salary/Benefit $ 6,000 x 3 < $ 18,000 > Revenue: Remaining MDG Contract $ 8,400 CSB Donation (not budgeted) $ 9,600 2015 Budget Impact $ 0.00 2016 Budget Impact Expenditure: Salary/Benefit <$ 75,000 > Revenue: MDG Contract $ 32,000 Revenue Needed $ 43,000