HomeMy WebLinkAbout2.C. 2013 Budget 4ROSEMOLINT SUMMARY
CITY COUNCIL
City Council Work Session: August 15, 2012
AGENDA ITEM: 2013 Budget AGENDA � ���CTI�:
PREPARED BY: Jeff May, Finance Director AGENDA NO. 2 -C.
ATTACHMENTS: APPROVED BY:
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RECOMMENDED ACTION: Review budget updates and direct staff regarding any other
changes to the preliminary budget and levy to be adopted in September.
BACKGROUND
Since the June 13 work session several changes that need to be made to the 2013 budgets have been
brought to my attention. They have a net impact of lowering the General Fund budget by $15,500 (or less
than 0.15% (less than 2/10` of 1 %) of the overall budget).
DISCUSSION
The changes are as follows:
1) - $40,300 In the Administration budget the receptionist position was reduced to
half -time with no benefits and another employee's health insurance
was switched from family coverage to single coverage.
2) +$ 1,200 In the General Government budget there is an increase of $1,200 for
additional license annual maintenance for the phone system for the coverage that
the Finance Department will be providing.
3) +$15,500 In the Government Building Maintenance budget ($2,100), the Fleet
Maintenance budget ($200), the Street Maintenance budget ($6,400),
and the Parks Maintenance budget ($6,800) funds were added to
cover the final costs of the Public Works Department's
reorganization after all of the positions were finalized.
4) +$ 8,100 In the Park & Rec budget funds were added to cover an employee's
health insurance switch from single coverage to family coverage.
Another thing that has changed since the June 13 work session that changes the overall picture is the
Fiscal Disparity Contribution amount that was made available to us by the County. This amount
decreased by just over $18,000 which was favorable to us in calculating our actual tax rate (based on
the estimates that we now have available). Unfortunately, we received an updated number on our
Total Net Tax Capacity Value as well that showed a decrease of just over $53,000 (1/4 of 1 %) for the
estimated 2013 figures that were given to us back in March. These updated numbers along with the
$15,500 decrease in the General Fund budget slightly increase our estimated tax rate for 2013.
There are three remaining numbers to get — the Total Net Tax Capacity Value (which changes monthly
until the end of the year), the Fiscal Disparity Distribution Levy number (available after the 15` of
August) and the Captured Tax Increment Tax Capacity (which will be available in early September).
We would anticipate making an adjustment to the September 4th levy figure to achieve the zero
increase to the median value home for the City share of taxes knowing that as those final numbers
become available our tax rate and the impact on the median value home will change. This may cause
further adjustments to the budget and levy prior to the final adoption in December.
RECOMMENDATION
The Council is requested to review the proposed changes and direct staff on any further changes desired in
the 2013 proposed budgets and tax levy.
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