111423 CAC Agenda PacketCitizen Advisory Commission Meeting
New Hope City Hall, 4401 Xylon Ave N
November 14, 2023
7 p.m.
1. Call to Order.
2. Roll Call.
3. Approval of August 8, 2023 minutes.
4. Budget update with Reece Bertholf, City Manager and Erin Enstad, Abdo
Financial Solutions.
5. Discuss 2024 citywide garage sale dates.
6. Discuss 2024 agenda items.
7. Brainstorming — Ideas to bring attention to New Hope.
8. Parks and Recreation project updates.
9. Other business.
10. Adjournment.
If you are unable to attend the meeting, please contact Susan Rader at 763-531-5152 or srader@newhopemn.gov
Citizen Advisory Commission
Regular Meeting
CALL TO ORDER
ROLL CALL
APPROVAL OF MINUTES
CITY OF NEW HOPE
4401 XYLON AVENUE NORTH
NEW HOPE, MINNESOTA 55428
August 8, 2023
New Hope City Hall, 7 p.m.
Chair Kulzer called the meeting to order at 7 p.m.
Present: Commissioners Jeffrey Harper, Randy Herman, Jill Kaufman,
Scott Kulzer, Carrie Neuburger, Rick Riley, Bill Wills (arrived
7:20 p.m.)
Absent: None
Staff Present: Susan Rader, Staff Liaison
Bernie Weber, Director of Public Works
Nick Macklem, Stormwater Specialist/Project Coordinator
Commissioner Riley made a motion to approve the minutes of the July 11,
2023 meeting as written. Commissioner Kaufman seconded the motion. Voting
in favor: Commissioners Harper, Herman, Kaufman, Kulzer, Neuburger,
Riley. Opposed: None. Absent: Commissioner Wills. Motion carried.
PUBLIC WORKS PROJECT Nick Macklem, Stormwater Specialist/Project Coordinator addressed the
UPDATES commissioners and briefly reviewed the 42nd Avenue infrastructure
improvements. He reported that this project, done in cooperation with
Hennepin County, included signal replacement at Boone and 42nd avenues,
ADA improvements, water main replacement between Gettysburg and Xylon
avenues, the addition of decorative lighting, trail improvements, the addition
of a monument sign, and mill and overlay paving.
Commissioner Riley wondered if the curb height along 42nd Avenue between
Boone and Gettysburg avenues would be increased.
Mr. Macklem replied that Hennepin County had reviewed the curb heights
but ultimately decided to leave them as -is.
Mr. Macklem reported that the 42nd Avenue infrastructure project had begun
in late June and water main work had neared completion. He explained that
the intersections of Xylon, Zealand and Aquila avenues had been closed to
replace the water main but were expected to re -open at the end of this week.
He added that the intersection at 42nd and Boone avenues was expected to re-
open in late August. Mr. Macklem reviewed that remaining work included the
pedestrian trail decorative lighting, signal light installations, and mill and
overlay paving. Completion was expected in the fall of 2023.
Mr. Macklem then discussed the bridge replacement at Highway 169 and 42nd
Avenue and noted that it was scheduled for completion by MNDOT in the fall
of 2023. He reminded the commissioners that the ramp alignment would
change from a cloverleaf to a folded diamond configuration and would
include pedestrian improvements.
Commissioner Riley wondered how the former cloverleaf areas would be used
following completion of the new configuration.
Mr. Macklem replied that those areas would probably be used for additional
stormwater treatment.
Chair Kulzer wondered if Mr. Macklem had any information regarding plans
for the site of the former Four Seasons Mall in Plymouth.
Mr. Macklem reported that the city of Plymouth had been seeking a developer
for that property and was currently working with the Bassett Creek Watershed
Management Commission to implement a water quality improvement project
in fall 2023 or spring 2024. He explained that the entire area drained into
Northwood Lake and noted that the improvements were projected to remove
up to 100 pounds of phosphorus per year.
Ms. Rader mentioned that a few years ago the City of Plymouth had received a
proposal from a developer, but a project did not move forward, possibly due
to the increase in construction costs.
Commissioner Kaufman wondered about the zoning designation for that
property.
Ms. Rader replied that the proposal had been for a mixed -use project that had
included a small park -and -ride ramp, a five -story apartment building, a small
retail building, a two-story medical building, and possibly another restaurant.
2023 Infrastructure Improvement Projects were then discussed. Mr. Macklem
displayed a map of streets in the southeast corner of 36th and Boone avenues
that had been designated for reclaim and overlay along with a section of 371h
Avenue near Northwood Park. He explained that this process involved
removing the existing pavement to the gravel base, making sub -grade repairs
as needed, then re -paving the street. He also pointed out sections of streets
that would receive water main replacements and noted that the original water
main had been installed in the 1960s. Mr. Macklem also reported that a mill
and overlay project would be completed on Elm Grove Avenue. He explained
that mill and overlay involved removing the top layer of pavement, repairing
cracks as needed, then applying a new top layer.
Commissioner Riley wondered why only a portion of Yukon Avenue between
3611, and Boone avenues had been scheduled for water main replacement and
not the entire section.
Mr. Macklem replied that selections had been determined based on the
number of water main breaks that had occurred in specific areas.
Commissioner Riley wondered how often streets such as those in the
Elm Grove area received mill and overlay improvements.
New Hope Citizen Advisory Commission August 8, 2023
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Mr. Macklem replied that site condition as well as a street's designation within
the pavement management plan had been determining factors. He explained
that staff had determined the lifespan of a new street to be 80 years, with a
typical schedule of mill and overlay within the first 20 years, a reclaim and
overlay in the next 20 years, another mill and overlay around the 60-year
mark, and full reconstruction at 80 years.
Chair Kulzer wondered why storm sewers were not being replaced in the
areas where water main was being replaced.
Mr. Macklem replied that it depended on the area. He noted that storm sewer
improvements had been made to sections of Yukon and Xylon avenues but
commented that staff had determined that most storm sewer lines within the
project appeared to be in good shape.
Mr. Macklem then reviewed 2023 crack repair, seal coat and fog seal projects
and mentioned that in the past this had been done every four to six years but
was now done every eight years. He explained that one-half of the street
would be completed at a time to allow the fog seal time to cure before driving
on it. He reviewed the project areas which included the neighborhood south of
Northwood Lake, the Holiday Park neighborhood, 491h and Quebec avenues,
55th Avenue, 615t and Rhode Island avenues, and a section in the southwest
quadrant of 62nd and Winnetka avenues.
Mr. Macklem reported on the 2022-23 sanitary sewer lining project that had
occurred and commented that a two-year contract had offered the City better
pricing. He displayed before and after photos of the clay pipe lining process
and briefly reviewed that the 2022 project had included a few sections of
streets in the northwest corner of the city as well as the northbound ramp from
Bass Lake Road to Highway 169. He added that 2023 projects had included
Bass Creek Circle and several sections north of Bass Lake Road and noted that
all work had been completed as of May 2023.
Mr. Macklem reported on the noise wall that would be constructed along
Highway 169 between Bass Lake Road and 62nd Avenue and noted that this
project would be completed by MNDOT. He stated that the project had been
scheduled to begin earlier this summer but had been delayed due to utility
work. He added that it was still scheduled for completion in fall 2023 and
would look like other sections of sound wall in the city.
Commissioner Riley wondered if the project was fully funded by the state.
Mr. Macklem replied that the City had contributed 10% of the construction
cost.
Mr. Weber estimated New Hope's cost for that section of sound wall at
$150,000.
Commissioner Riley wondered whether there had been any improvements to
construction techniques since previous sections of wall had been built.
New Hope Citizen Advisory Commission August 8, 2023
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Mr. Weber replied that the quality of the materials had improved which
should result in a more durable finished project.
The Meadow Lake Improvement Project was then reviewed. Mr. Macklem
provided brief background information on the lake and noted that it was
around 12 acres in size with a maximum depth of four feet. He reported that
the City had partnered with the Shingle Creek Watershed Management
Commission to implement a water quality improvement plan to address high
phosphorus levels and invasive species. He stated that previous projects had
included installing grit chambers and sump catch basins and noted that the
Meadow Lake Watershed Association had also implemented rain gardens and
backyard vegetative buffers.
Mr. Macklem reviewed the management plan schedule which had begun in
2021 with a winter drawdown of the lake. He informed the commissioners that
the Shingle Creek Watershed Management Commission had received grant
funding from the Clean Water Fund for this project and stated that goals of the
drawdown had been to control invasive fish populations, address curly -leaf
pondweed, and consolidate sediment. He reported that the lake had refilled
naturally in the spring of 2022 and noted that extensive water quality
monitoring had been conducted that summer. He informed the commissioners
that invasive fish species were no longer present at that time, however curly -
leaf pondweed was still present along with high phosphorus levels in the lake
bottom sediment.
Mr. Macklem reported that an alum treatment had been applied to Meadow
Lake in 2023 and explained that alum was comprised of aluminum sulfate and
sodium aluminate. He further explained that the goal of this treatment was to
keep phosphorus on the lake bottom and prevent it from resurfacing. He also
mentioned that an herbicide treatment had been applied to address curly -leaf
pondweed. He displayed a photo of the lake that had been taken in July and
commented on the improved water clarity.
Commissioner Neuburger wondered if the alum treatment would be harmful
to turtles.
Mr. Macklem replied that the treatment was not anticipated to cause adverse
effects in animals or humans and noted that alum had previously been used in
water treatment plants.
Commissioner Herman wondered how long the alum treatment was expected
to last.
Mr. Macklem replied that this treatment was expected to last between five and
ten years based on results at other lakes. He added that the Shingle Creek
Watershed Management Commission continued to monitor the lake.
Chair Kulzer recalled that it was thought that the curly -leaf pondweed would
freeze out following the drawdown.
New Hope Citizen Advisory Commission August 8, 2023
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Mr. Macklem replied that the plants had not been killed by the winter freeze
although staff had observed a slight improvement.
2024 Infrastructure Improvements were then discussed. Mr. Macklem
displayed a map and reported that 36th Avenue would receive a mill and
overlay between Highway 169 and Winnetka Avenue, a section of
Louisiana/Nevada Avenue would receive a full reconstruction in cooperation
with the City of Crystal, the areas of Zealand, Xylon and 56th avenues south of
Bass Lake Road would receive reclaim and overlay, and sections of the Hidden
Valley Park/Sunny Hollow neighborhood would receive mill and overlay and
reclaim and overlay.
Mr. Macklem reminded the commissioners that the bridge at 36th Avenue and
Highway 169 was scheduled for replacement in 2024 however the pedestrian
bridge would not be replaced.
Mr. Macklem reported on the public works expansion project and noted that
Phase 1 had been completed in 2022 and included the addition of a new soils
building as well as interior renovations to the building. He added that Phase 2,
which was planned for 2024, would include an addition on the south end of
the existing building, an expanded pavement area to the south, and relocation
of the existing fuel station.
Commissioner Riley referred to the water main replacement project on the
north side of 37th Avenue and inquired about the potential for residents to
connect their sump discharge lines to the drain tile.
Mr. Macklem explained that drain tile was typically added during a street
reconstruction project but noted that in this case drain tile was added to the
north side only of 37th Avenue since the curbing had already been disturbed
by the water main replacement.
Commissioner Riley stated that he lived on the south side of 37th Avenue in the
project area and expressed disappointment that residents on that side of the
street would not be able to connect to the drain tile at the present time. He
expressed concern that the curb may not be redone for several decades based
on the street maintenance schedule.
Mr. Weber replied that the focus had been the water main, which needed
repair. He added that extra money within the budget had allowed for the
addition of drain tile along the north side of the street.
Commissioner Neuburger wondered if there was a map indicating the location
of all storm drains in the city.
Mr. Macklem replied yes and noted that paper maps were available as well as
GIS maps.
Ms. Rader suggested reviewing the pavement management plan at a future
meeting.
New Hope Citizen Advisory Commission August 8, 2023
Page 5
The commissioners thanked Mr. Macklem and Mr. Weber for their
presentation. They excused themselves from the meeting at 8:09 p.m.
BRAINSTORMING - IDEAS No new ideas were brought forward.
TO BRING ATTENTION TO
NEW HOPE
PARKS AND RECREATION Ms. Rader reported on Liberty Park and noted that the mats under the slides
PROJECT UPDATES still needed to be installed, new benches had been added and older ones
removed, and the drinking fountain would be replaced. She also reported that
the water pipe beneath the basketball court had been repaired and the
contractor would return to apply the bituminous layer and install the hoops.
Ms. Rader also mentioned that the baseball field improvements at Lighted
Field would get underway soon and the south scoreboards had been delivered
to the ice arena but might not be installed for another month.
OTHER BUSINESS Chair Kulzer reminded the commissioners that there would be no meeting on
September 12. He noted that the annual dialog with the City Council would
take place on September 18 at 6:30 p.m. and encouraged the commissioners to
attend. He also mentioned that the council/commissions bus tour was
scheduled for September 19.
Ms. Rader reminded the commissioners to RSVP for the bus tour by
September 1.
The Liberty Park cleanup scheduled for October 10 was also discussed. The
commissioners decided to meet at 5:30 p.m. to begin cleanup.
Discussion ensued regarding the December meeting. Commissioner Kaufman
stated that she would reach out to Cooper High School regarding the student
council and would share her findings when the commissioners meet in
October.
Commissioner Wills also suggested a discussion regarding tobacco licenses
and cannabis in New Hope.
Ms. Rader mentioned that the City Council would be discussing this topic at
their next meeting.
Ms. Rader brought up the snowman/snow sculpture contest and noted that it
was typically advertised in the winter edition of "In Motion", which might
already be published before the commissioners meet again. She briefly
reviewed the information that was previously published.
It was the consensus of the commissioners to again offer the contest and to use
the same timeline and information in the brochure.
New Hope Citizen Advisory Commission August 8, 2023
Page 6
Ms. Rader made the following announcements:
• Movie in the Park, "Minions: The Rise of Gru' would be shown on
August 24.
• The July Movie in the Park had been cancelled due to weather and
was tentatively rescheduled for September 30.
• Music in the Park on August 16 with Innocent Reggae Band.
• Music in the Park on August 30 with Red Pine Revival.
• The last day for Food Truck Fridays would be August 18.
• The New Hope Aquatic Park would close for the season on August 20.
• The Movie at the Golf Course, "Tin Cup", which had been cancelled
in 2022 might be rescheduled for early September.
Commissioner Wills reported that he had participated in the judging for the
RAVE Awards and had noticed more zero-scaping as well as the use of native
plants.
Ms. Rader added that RAVE Awards would be presented at the Council
Meeting on August 28. She thanked Commissioner Wills for serving as a
judge.
ADJOURNMENT Commissioner Neuburger made a motion to adjourn the regular meeting of
the Citizen Advisory Commission. Commissioner Herman seconded the
motion. All present voted in favor. Motion carried. The meeting adjourned at
8:21 p.m.
Respectfully submitted,
Penny Spitzer
Recording Secretary
New Hope Citizen Advisory Commission August 8, 2023
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CAC AGENDA ITEMS FOR 2023-2024
AS OF 10/30/23
The following is a tentative listing of major agenda items that have either been assigned to the CAC, a
CAC member has asked that the item be discussed, or city staff has asked that the item be discussed by
the CAC.
December 12 - Rain Garden Alliance
January 9 -
February 13 -
March 12 -
April 9 -
May 14 - Adopt a Park? Plant planters later in month?
June 11-
July 9 -
August 13 - No meeting
September 10 -Adopt a Park?
September 16 - Council Work Session
September TBD - Commissioner Bus Tour?
October 8 -
November 12 - No meeting
December 10 - Budget Update?
*Note: A meeting may be cancelled if there are no agenda items.
On -going
• Continue to sponsor Snowman Contest, City-wide Garage Sale
• Ideas to bring attention to New Hope
• Promotion of existing City programs: In Focus, RAVE, Outstanding Business
• Volunteering at P&R/City events
• Adopt a Park (2x/year)
Updates
• Park/Facility Projects
Possible Future Topics
• Police Department - Joint Community Police Partnership; violent crime; violence in schools; hate
speech
• P&R Update
• THC Ordinance update/discussion
• Fire Department update
• PW 10-year pavement management plan
• Cooper High School students
• Three Rivers Parks 2 People Initiative
Memorandum
To: Susan Rader, Director of Parks and Recreation
From: Reece Bertholf, City Manager
Date: November 7, 2023
Subject: Review 2024 Preliminary Budget and Discuss Long -Term Sustainability Analysis for Golf
Course, Ice Arena and Swimming Pool
Per the request of the City Council, staff will be reviewing the 2024 preliminary budget with the commission
and discussing the long-term sustainability of the golf course, ice arena and swimming pool operations.
Representatives from Abdo will be in attendance to assist with the presentation. This is an ongoing effort to
keep the commission better informed about city operations. Abdo has served as the city's financial consultant
since 2009 and has implemented a ten-year financial plan for all city funds, which is updated and reviewed
with the City Council annually. A financial plan update will be reviewed with the City Council at the
November work session.
2024 Preliminary Budget
The preliminary budget and tax levy was adopted at the September 11 city council meeting. This is the
maximum tax levy and budget that can be adopted; it can be reduced before final adoption in December, but it
cannot be increased. The Council reviewed all general fund budgets with department heads at their September
work session and utility and enterprise fund budgets at the October work session. The Council will continue
discussion at the November 20 work session, and a public hearing on the budget will be held on November 27.
Attached are excerpts from the introduction to the budget, along with the presentation that will be reviewed
with the commission.
2024 Budget
The 2024 preliminary general fund budget is $18,578,101, which is an increase of (7.8%) over the 2023 budget.
The major changes in the budget include:
• An increase of $601,767 for wage and benefit increases. A 3% cost of living adjustment is budgeted for
employees along with an increase in the city's share of health insurance coverage and a comparable cities
adjustment. Council salary increases have also been budgeted for 2024.
• IT charges to the general fund increased $58,366. Similar to 2023, the charges are based on the new
allocation method for indirect charges (number of phones, computers and employees per department),
with direct departmental LOGIS IT costs being allocated to the benefitting department.
• An increase of $177,132 for the fire district budget.
• There is a $272,960 increase in central garage charges. Similar to 2023, operations and capital will be
funded at 100%.
0 An increase of $64,768 to fund three elections in 2024.
The city is scheduled to receive $1,306,156 in LGA (local government aid) in 2024, which is approximately
$400,000 greater than last year. The revenue will be utilized in the general fund to offset central garage
equipment and building replacement charges; it is not used for general operations.
2024 Tax Levy
The tax levy for the general fund is $12,674,488 which is $597,533 or a 4.95% increase over the 2023 general
fund levy of $12,076,955. The total tax levy for 2024, including the general fund, street and park infrastructure
funds, economic development and housing and redevelopment authorities, and prior debt levies for City
Center, Northwood South and Northwood North infrastructure bonds, the 2017 Police Station/City Hall
facility bonds, and the 2018/2019 Pool and Park improvement bonds is $20,075,245. This represents a 5.36% or
$1,021,929 increase over the 2023 levy of $19,053,316. The total tax levy includes a 5% increase in the street and
park infrastructure levies to support the long-term funding plans for street and park improvements. An HRA
levy of $459,743 is recommended for 2024, which is established as a special taxing district. The EDA levy of
$168,683 will be included in the city's tax rate. Both levies are needed to support the scattered site housing
program and other redevelopment due to funding changes in the CDBG program. Overall, the combined debt
levies are decreasing by $11,720. New levies for future capital needs for the fire station, aquatic center and city
hall/police facility are being funded at $300,000 ($100,000 each).
The median home value for taxes payable in 2024 is $326,050, which is a 0.32% increase. At this time the
estimated impact on residential homes based on the proposed increase in the city tax levy is around 3%. For
homes valued between $175,000 and $500,000 the tax increase estimate is $29 to $93. The city tax rate increased
from 57.162% in 2023 to 58.831% in 2024. The total tax rate is projected to increase from 125.085% in 2023 to
127.004% in 2024.
Sustainability of Ice Arena, Golf Course, Swimming Pool and Park Infrastructure Fund
Abdo has prepared the attached memorandum that discusses the long-term sustainability of the golf course,
ice arena, swimming pool, and park infrastructure fund. The golf course and ice arena are enterprise funds,
which means the operation of the facilities should be supported with revenues from the facility. In 2018, the
Council approved increasing the park infrastructure levy to address long-term debt and capital improvements
at the ice arena, so a sustainable plan is in place to pay off the energy improvement project costs. The
swimming pool is a general fund budget and is supported by pool revenues and general tax dollars. Staff and
the City Council closely review operations of all the three facilities on an annual basis and the staff at the
facilities are very conscientious about operational costs and are to be commended for their efforts.
Abdo will review the memorandum with the commission, and staff will be glad to respond to questions or
comments.
Attachments
• 2024 Budget Information
• Abdo Memo Re: Facilities
0 Page 2
August 4, 2023
Budget Message
Mayor and Council Members:
The annual budget provides the City Council and residents with a sound financial plan for 2024. The
comprehensive budget encompasses City Council goals, maintains current service levels, invests in
infrastructure, and provides resource planning for the future. The city's 10-year financial plan, which
incorporates a 10-year capital plan, was the basis for the current budget document and consulted for
future planning purposes.
The total property tax levy is $20,075,245 which reflects a 5.36% increase in the property tax levy from 2023.
In 2023 the city had 11 total levy categories and 2024 enacts three more levy categories at $100,000 each for
future capital needs: fire station, aquatic center, and city hall/police facility. This is a forecasted addition in
the city's financial plan.
The preliminary city tax rate is 57.061% meaning little to no increase for a single-family homeowner. Final
numbers from Hennepin County for the fiscal disparity calculation are expected mid -fall and could slightly
affect the city's tax rate.
The additional capital levies and moderate increases in the other funds from 2023 will ensure the city can
maintain core services, fund capital needs, and carry out city plans and initiatives while remaining
responsive New Hope taxpayers and the citizens of the community.
The city is and has been facing increases in costs of goods and services which is supported by the Midwest
urban region CPI increases of 8.2% in 2022 and 4.9% for the same period in 2023 (April - April). While
there is a continued decrease in overall CPI of all items used in the calculation, when the calculation is
adjusted for energy and food, it shows the costs of the remaining goods and services remain steady at or
above 5% as of June 2023. This analysis alone indicates that some increase in the overall budget for the city
is necessary to avoid service cuts. Along with inflation, personnel costs have continued to rise similar to
what we have been seeing for a number of years in the public sector.
The general fund accounts for the financial activity of the core services provided to the community. The
2024 general fund budget is $18,578,101 or a 7.8% increase over 2023. Expenses in the general fund are
offset by several revenues besides property tax to include franchise fees, local government aid, public
safety aid, fees, grants, and donations.
Enterprise funds (utilities, golf course and ice arena) account for services the city provides that are financed
primarily through user fees, though debt and some operating costs at the ice arena are being offset through
a policy decision to transfer $500,000 annually from the park infrastructure fund. The budget for sewer,
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water, solid waste management, storm water, street lighting, golf course and ice arena is $13,773,345 or a
31.27% decrease from 2023. The majority of the decrease is attributed to project funding in water allocated
in 2023.
The remainder of the city's budgeted funds, economic development authority, street infrastructure, park
infrastructure, central garage, and debt all exist to support economic vitality and both physical and virtual
infrastructure within the city. The budget for these funds total $9,770,115 or a 15.09% decrease over 2023.
The central garage and information technology funds act as internal service funds for operations and
maintenance as well as planning for leasing and purchasing of vehicles, capital equipment and IT
infrastructure. The budget for these funds total $10,246,504 or a 143.8% increase from 2023. The majority of
the increase is attributed to project funding in central garage for the public works expansion project in
2024.
The total revenue budget (property tax levy plus non -tax revenue) for New Hope's budgeted funds is
$46,703,113 or an increase of 11.5% over 2023.
The total expense budget for New Hope's budgeted funds is $52,368,065 or a 1.16% decrease over 2023. The
decrease is attributed to less project funding being released in 2024 than was released in 2023. Through the
rest of the budget document positive and negative variances in funds will be noted with explanations
provided by the respective department director in the associated narratives.
The difference in revenue and expenses for 2024 is nearly wholly attributed to a release of fund balance for
the public works expansion project.
The budget preparation begins in May and after several meetings and public input, the final budget is
adopted in December and is posted on the city's website. I would like to thank Abdo Financial Solutions
staff and the finance department for their assistance in publication of the budget document and give
special note to the hard work, attention to detail, and efficient use of the city's financial resources by our
department directors.
I want to personally add that I am thoroughly impressed with the financial position of the city. Given my
short period of review to date, the willingness of the community and Council to see through the capital
planning process, and fund it, will undoubtedly pay large dividends for New Hope far into the future.
Kudos to everyone who came before me.
Respectfully Submitted,
Reece Bertholf
City Manager
CITY OF NEW HOPE
4401 Xylon Avenue North 4 New Hope, Minnesota 55428-4898 • www.newhopemn.gov
City Hall: 763-531-5100 • Police (non -emergency): 763-531-5170 • Public Works: 763-592-6777
City Hall Fax: 763-531-5136 • Police Fax: 763-531-5174 • Public Works Fax: 763-592-6776
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2024 Goals/Priorities
1. Hold the line on spending; continue to provide existing services and programs with current resources.
2. Keep the general fund tax levy/property taxes as low as possible (levy limits are not in effect for 2024).
Continue to proactively pursue all outside funding opportunities for infrastructure and facility
improvements and other programs including public safety, parks and recreation, public works and
housing/redevelopment.
4. Implement 5% annual increase in street and park infrastructure levies to fund capital improvements
outlined in the Pavement Management and Long -Term Financial Plan.
5. Continue with the EDA levy for redevelopment purposes and an HRA levy to provide additional
funding for the scattered site housing program. Abdo Financial Solutions and staff are recommending
that the Council consider implementing levies for long-term capital improvements at the police
station/city hall, fire station #3 and the new aquatic park.
6. Central Garage equipment replacement costs will be funded at 100% in the general fund and staff
recommends using LGA funding for that purpose (not general operations).
7. Conduct three elections in 2024. If any new council members are elected in 2024, appropriate
orientation and training will be provided.
8. Support public safety and emergency preparedness through the police department and West Metro
Fire -Rescue District.
9. Redevelopment will remain a high priority with a continued effort to seek out potential commercial
and industrial redevelopment opportunities. Continue to coordinate on scattered site housing program
and curbside appeal reimbursement program. Property maintenance and inspections will continue as a
top priority.
10. Continue with infrastructure and environmental improvements, park improvements, and capital
improvement projects at facilities and parks. Initiate phase two of the public works building and site
improvements.
11. Continue Emerald Ash Borer program on public property and invasive species (buckthorn) removal in
parks.
12. Continue contractual arrangement with Abdo Financial Solutions for financial oversight. Continue to
update 10-year financial plan and monitor utility and enterprise fund operations. Continue with
enterprise resource planning (ERP).
13. Continue contractual agreement with Solution Builders for IT services.
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14. Conduct city services survey to solicit feedback on city services/projects/issues, continue to
encourage/improve public participation in city affairs and promote inclusiveness, continue to promote
Nextdoor.com, update performance measurement report and SMART goals and conduct commissioner
bus tour and other public events.
15. Continue to update 10-year pavement management and street infrastructure plans and monitor
curbside residential organics collection program.
16. Continue participation in Green Steps program and implement actions to potentially achieve higher
ranking in program.
17. Staff reconunends incorporation of a 3% cost of living adjustment for employees, a 50/50 cost share for
employee insurance increases and implementing salary adjustments depending on the outcome of a
compensation study. Council salary adjustments to be considered for 2025/2026 before the General
Election.
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Budget Process
The annual budget is prepared in accordance with Minnesota statutes and public input from the
community.
The city attempts to adopt a balanced budget so that the appropriated expenditures do not exceed the
estimated revenues and reserves available from prior years. As the budget calendar indicates, the budget
process begins in May of each year. All departments are responsible for compiling budget figures which
are then reviewed and adjusted by the city manager during individual department meetings. The
proposed budget is reviewed by the City Council beginning in August. Council will accept public
comment on the budget at a meeting on November 27, 2023. The final budget is adopted in December.
2024 BUDGET SCHEDULE
May - June, 2023 General discussion/direction.
By July 31, 2023 Department head meetings with city manager and finance consultant.
August 21, 2023 Preliminary budget presented at work session/discuss tax levy.
September 5, 2023 Tentative additional budget work session if no consensus on tax levy at August
work session.
September 11, 2023 Preliminary maximum levy adopted by council.
September - Nov. Continue to refine general fund budget and discuss all enterprise and utility fund
budgets.
September 18, 2023 Review individual department budgets with department heads.
October 16, 2023 Review HRG programs and rates as well as utility and enterprise fund budgets.
November 20, 2023 Review budget document for public hearing.
November 27, 2023 Budget public hearing.
December 11, 2023 Adopt final approved budget.
Revenues
Property Taxes are a revenue source in the general, special revenue and infrastructure funds. This revenue
source is primarily used in the general fund to pay for general government services and is determined on
the basis of availability of other revenue sources and the expenditure level necessary to conduct city
business in accordance with council policies and directives.
Intergovernmental Revenues includes state aid for police, street maintenance, and grant funding. These
budget items are susceptible to overall State of Minnesota budget conditions.
Licenses & Permits include business licenses, building -related permits and fees, and other non -business
licenses and permits.
Charges for Services include administrative charges, recreation program fees, police and fire services, and
facility use fees.
Fines & Forfeits include fines paid for traffic violations and criminal offenses occurring within city limits.
-5-
Revenues (continued)
Investment income includes interest earned on the city's investment portfolio. Interest income continues to
be difficult to predict due to the current market conditions.
Franchise fees were implemented in 2003 and new rates were implemented in March of 2023 to raise
additional revenue for the street infrastructure fund based on the long-term pavement management plan.
The current rate for residential properties is $4.00 per month for gas and electric franchise fees. The 2024
revenue generated in 2024 will be allocated as follows: $550,000 to the general fund and $698,000 to the
street infrastructure fund.
Transfers into the general fund from other funds include $77,132 from Fire Capital Fund for the Joint
Powers Agreement with West Metro Fire -Rescue District, $100,000 from the Park Infrastructure Fund and
$200,000 from the Street Infrastructure Fund for Emerald Ash Sorer Mitigation.
Tax Levy, Tax Capacity, and Tax Impact
The proposed budget for 2024 reflects a tax levy of $20,075,245 which is an increase of 5.36 percent. The
following table summarizes the 2023 tax levy compared with 2024:
Property Tax Levy - All Funds
Comparison of Property Taxes
Program or service
Base Levy
General fund
Street Improvements
Park Improvements i»
Economic Development Authority
Housing and Redevelopment Authority
Fire Capital
Swimming Pool Capital
City Hall Capital
Debt Service
2015A GO TIF Bonds (City Center)
2015B GO Imp Bonds (Northwoods South)
2016A GO Imp Bonds (Northwoods North)
2017A GO Bonds (Police Dept/City Hall)
2018A GO Tax Ab atement Bonds (Pool and Park)
2019A GO Tax Abatement Bonds (Pool and Park Ph. 2)
Total Property Taxes
% Change
Increase / from Prior % of Total
2023 Levied 2024 Requested Decrease Year (flange
$ 12,076,955
$ 12,674,488 $
597,533
4.95
3.14 %
1,698,622
1,783,553
84,931
5.00
0.45
925,185
946,444
21,259
2.30
0.11
160,650
168,683
8,033
5.00
0.04
437,850
459,743
21,893
5.00
0.11
100,000
100,000
100.00
0.52
100,000
100,000
100.00
0.52
100,000
100,000
100.00
0.52
237,853
235,017
(2,836)
(1.19)
(0.01)
208,745
206,685
(2,060)
(0.99)
(0.01)
263,709
259,352
(4,357)
(1.65)
(0.02)
1,705,515
1,706,828
1,313
0.08
0.01
867,464
865,784
(1,680)
(0.19)
(0.01)
470,768
468,668
(2,100)
(0.45)
(0.01)
$ 19,053,316
$ 20,075,245
$ 1,021,929
5.36
5.36 %
(1) Includes an increase of 5% as the annual Park Infrastructure Levy increase, plus an additional $500,000 levy to support
Ice Arena debt service.
-6-
Estimated non -tax revenue for 2024.
General Fund
Franchise taxes and other
Licenses and permits
Intergovernmental revenues
Fines and forfeits
Charges for services
Recreation fees
Assessment revenue
Investment income
Other financing sources
Miscellaneous
TOTAL GENERAL FUND
Special Revenue Funds
Solid Waste Management
Economic Development Authority
TOTAL SPECIAL REVENUE FUNDS
Capital Projects Funds
Park Infrastructure
Street Infrastructure
TOTAL CAPITAL PROJECTS FUNDS
Enterprise Funds
Sa nita ry Sewer
Water
Golf Course
Ice Arena
Storm Water
Street Lighting
TOTAL ENTERPRISE FUNDS
Internal Service Funds
Central Garage (operations and replacement)
Information Technology
TOTAL INTERNAL SERVICE FUNDS
TOTAL ESTIMATED NON -TAX REVENUE
TOTAL PROPERTYTAX REVENUE
TOTAL REVENUE
—7—
2023 Budget
$ 535,000
335,720
1,502,330
200,000
548,615
1,253,400
30,000
25,000
718,187
10,000
5,158,252
267,700
78,000
345,700
56,149
537,500
593,649
4,064,500
6,139,500
396,150
1,439,355
1,375,500
180,100
13,595,105
2,054,053
1,093,230
3,147,283
$ 22,839,989
$ 19,053,316
$ 41,893,305
2024 Proposed
Budget
$ 550,000
352,520
2,173,156
200,000
563,560
1,288,275
30,000
40,000
694,465
11,638
5,903,614
366,052
66,000
432,052
64,690
2,838,333
2,903,023
4,202,000
6,153,000
435,500
1,457,070
1,442,000
186,000
13,875,570
2,358,513
1,155,096
3,513,609
$ 26,627,868
$ 20,075,245
$ 46,703,113
The Operating Budgets for the City for all funds supported in whole or in part by property taxes for the calendar year 2024.
2024 Proposed
2023 Budget Budget
General Fund
General Government
Mayor and Council
City Manager
Assessing
City Hall
Communications
Elections
Finance and Independent Auditing
Human Resources
Legal
Planning & Zoning
TOTAL GENERAL GOVERNMENT
Public Safety
Police Protection
Police Reserves
Fire Services
Protective Inspections
Animal Control
TOTAL PUBLIC SAFETY
Public Works
Engineering
Street Maintenance
TOTAL PUBLIC WORKS
Parks and Recreation
Recreation
Parks
Swimming Pool
TOTAL PARKS AND RECREATION
TOTAL GENERAL FUND
Economic Development Authority
Park Infrastructure
Street Infrastructure
2015A GO TIF Bonds (City Center)
2015B GO Imp Bonds (Northwoods South)
2016A GO Imp Bonds (Northwoods North)
2017A GO Bonds (Police Dept/City Hall)
2018A GO Tax Abatement Bonds (Pool and Park)
2019A GO Tax Abatement Bonds (Pool and Park Ph. 2)
TOTAL EXPENDITURES FOR TAX SUPPORTED FUNDS
-8-
$ 106,836
480,013
180,000
461,311
177,732
4,900
327,618
354,859
20,000
312,792
2,426,061
7,571,601
12,912
1,643,504
705,573
124,995
10,058,585
40,000
1,576,757
1,616,757
1,101,531
1,232,256
800,017
3,133,804
27,235,207
824,811
1,948,000
5,272,095
203,887
170,496
234,724
1,599,925
808,906
444,150
11,506,994
$ 109,629
475,841
192,000
462,591
193,731
69,668
380,743
341,157
25,000
284,048
2,534,408
8,343,870
1,820,636
728,112
134,594
11,027,212
45,000
1,774,848
1,819,848
1,117,271
1,243,546
835,816
3,196,633
18,578,101
825,400
855,000
4,622,599
204,908
171,771
235,306
1,597,425
815,356
442,350
9,770,115
The Operating Budgets for the City for all funds supported by user fees and charges other than property taxes
for the ca lenda r year 2024.
Sanitary Sewer
Water
Solid Waste Management
Golf Course
Ice Arena
Storm Water
Street Lighting
TOTAL EXPENDITURES FOR NON -TAX SUPPORTED FUNDS
TOTAL EXPENDITURES FOR ALL OPERATING FUNDS
2023 Budget
$ 3,722,548
10,852,121
318,164
596,197
2,478,733
1,445,940
625,706
20,039,409
2024 Proposed
Budget
$ 4,142,439
5,687,595
366,016
561,490
1,313,778
1,564,821
137,206
13,773,345
$ 48,781,610 $ 42,121,561
The 2024 Budget for the City for all internal service funds used for accounting control of specific functions
within the aforementioned operating funds.
Central Garage (operations and replacement)
Information Technology
TOTAL EXPENDITURES FOR INTERNAL SERVICE FUNDS
TOTAL EXPENDITURES
—9—
3,109,219 9,094,208
1,093,611 1,152,296
$ 4,202,830 $ 10,246,504
$ 52,984,440 $ 52,368,065
The city-wide tax capacity represents the taxable property value within the city. It is determined by
applying the state-wide property tax formula for each parcel, then adding each parcel's tax capacity. The
city-wide tax capacity is then applied to the proposed levy to determine the local tax rate. The following
table shows the change in tax capacities by property type:
New Hope Tax Capacities per the Assessor's Annual Report
% Increase /
Property Type 2021 Pay 2022 2022 Pav 2023 2023 Pay 2024 (decrease)
Residential
Commercial / Industrial
Apartment
Total
$ 13,791,310
9,594,259
5,150,623
$ 16,569,411 $ 16,770,142 1.21%
10, 934, 961 12, 622, 785 15.44%
5,527,620 5,632,813 1.90%
$ 28,536,192 $ 33,031,992 $ 35,025,740 6.04%
Source: Hennepin County Assessor's Annual Assessment Report. The report does not include personal property
values. Tax capacity estimates in the Assessor's Report zoill vary from the tax capacity that is certified for use
in calculating the City's tax rate.
The following table summarizes the local tax rate:
Payable 2022 Payable 2023 Payable 2024
Tax Capacity
28,720,529
33,225,283
35,025,740
TIF Captured Value
(1,634,255)
(1,912,890)
(1,935,504)
Fiscal Disparities Contribution
(3,682,171)
(3,670,779)
(4,207,100)
Net Tax Capacity
23,404,103
28,883,136
27,641,614
Certified Levy
17,814,011
18,615,466
19,615,502
Fiscal Disparities Distribution
(3,110,358)
(2,815,427)
(2,623,312)
Local Levy
14,703,653
16,992,190
15,800,039
Tax Rate Trends
2022
2023
2024
City Tax Rate
62.826%
57.162%
58.831%
HRA Tax Rate
1.497%
1.342%
1.592%
County Tax Rate
38.535%
34.542%
34.542% �(1)
School Tax Rate
26.507%
24.092%
24.092% "(1)
Other Tax Rate
8.742%
7.947%
7.947% '(1)
Total Tax Rate
138.107%
127.004%
125.085%
(1) Amounts for county, school and other districts are not known at this time. Prior year actual tax
rates have been used for this illustration.
-10-
The following table summarizes the estimated tax impact on residential homes based on the proposed
increase in the city tax levy.
2023 Market
Value of a
Taxable
2024
$ Increase /
% Increase /
Home
Market Value
2023 Actual
Estimated
(decrease)
(decrease)
$ 175,000
$ 153,500
$ 877
$ 906
$ 29
3%
200,000
180,800
1,033
1,067
34
3%
225,000
208,000
1,189
1,228
39
3%
250,000
235,300
1,345
1,389
44
3%
300,000
289,800
1,657
1,710
54
3%
350,000
344,300
1,968
2,032
64
3%
400,000
398,800
2,280
2,354
74
3%
450,000
450,000 �(1)
2,572
2,656
84
3%
500,000
500,000 �(1)
2,858
2,951
93
3%
*The median home value for taxes payable in 2024 is $326,050, which is an 0.32 % increase from the median value
home in 2023. Information on the median value home was obtained from the Hennepin County 2023 Assessment
Report - Estimated Market Value Medians by City Report. Actual impact to a home will vary.
(1) For 2023 the Homestead Market Value Exclusion is phased out at a value of $413,800.
-11-
Personnel and Consultant Costs
The 2024 budget accounts for the city's compensation and benefits plan which includes the following components:
• Total employment is as follows: 98 full-time, 2 part-time, and an average of 70 seasonal
• 3% cost of living adjustment (COLA) to union and non -union wage scales
• Step increases (percentage varies based on employee compensation scale)
■ 1 % merit increases for eligible employees
• Contributions to Public Employee's Retirement Association (percentage varies based on employee group)
• Health benefit contributions (contribution varies based on employee elections)
■ Life insurance contributions
• Worker's compensation iiisurancu expense (percentage varies based on employee's actual job duties)
• Applicable taxes
Personnel costs are summarized as follows:
+ COLA increases account for $237,607 or 44% of the increase in the personnel budget
• Step increases account for $147,650 or 27% of the increase in the personnel budget
• Change to health insurance elections and premiums cost accounts for $73,182 or 14% of the increase in the
personnel budget
■ Other changes in part-time, seasonal, and position allocations account for $79,489 or 15% of the increase in
the personnel budget
• Overall, the City's personnel budget will increase by $601,767 to $13,520,357 in 2024.
Consulting costs include:
Actual2022 Total 2024
Vendor
Service
Fees
Budget
ABCities, LLC ` '
Planning
$ 8,114
$ 9,500
Abdo Financial Solutions, LLC
Accounting
150,981
144,253
Ehlers, Inc. "'
Financial
1,209
8,500
Hennepin County
Assessor
172,000
192,000
Jensen, Sondrall, Persellin & Woods, P.A.
268,389
248,700
LOGIS"- `)
information Technology Services
450,903
482,800
Malloy, Montague, Kamowski, LLC
Audit
44,595
44,830
Solution Builders, Inc. (1)
Information Technology Services
157,636
172,707
Stantec Consulting Services, Inc.
Engineering
285,956
109,000
Total
r $1,531,669 PF $ 1,402,790
(1) Costs paid by the internal service funds are charged out to other City funds.
(2) Only managed service cost has been included in the budget figures for contracted service fees.
(3) A significant portion of these fees are offset by fees charged to applicants.
(4) Does not include fees paid from bond sales.
—12—
I
N
W
I
VN�t Residents
City of New Hope
-------�---..�-�-- -�
I— —' Planning Commission `
1 I
I `----------------------- ' 1
1 ------------------------ 1
I Citizen Advisory 3 I
City Council
Policy
EDA Board
BRA Board
—
:— Commission , [
------------------------
-----'
1 ----------------e I
City Manager
Human Rights Commission ' I
1 i
Chief Administrator
1 •---------------------- - t
Government Relations
I
Budget
1 �-'------------------ --�
I
Council Relations
I �
•I--$ Personnel Board I
Emergency Management
! !
Fire Board
l l
________J
EDA Executive Director
I
HRA Executive Director
1
Audit
1 i West Metro Fire -Rescue District ; I
JWC Commission
1 I
HRG Representative
Fire Suppression ; I
Abdo Contract
--� Fire Prevention — —
City Clerk/Treasurer
Emergency Mgmt. Coord.
Records Management
Rescue =
Elections
I ; Explorers
Licensing
t--"'-----------'-----------
Liability Insurance
I — — — — — —
— City Hall Facility
Human Resources /
Administrative Services
Human Resources
Safety
Info Technology
Communications
Risk Mgmt/Insurance
Finance/Accounting
Payroll
Utility Billing
Community Development
Inspections
Permits
Housing
Economic Development
Planning/Zoning
Parks & Recreation
Recreation
Parks
Recreation Facilities
Forestry
City of New Hope
August 2023
.------------------------.
i City Attorney
'
_ _ _ — _ _ _ _ — — — — — _ _ -I— � Steve Sondrall/Stacy Woods �
----------------------=
I
1 i City Engineer
'�—
�� Stantec
t'------------------------'r
t-------------------..
I i Fiscal Advisors
-. .`
I 'A6dn
j�Bwsey and Whitney
�
,
I 'Ehlers
l :Kennedy & Graven
I^-----------------------•
1
! .------------------•.-__.
City Planner
Alan Brixius
------------ ^------------
Police
Patrol
Investigation
Community Services
Animal Control
Crime Prevention
School Liaison
Reserves
Explorers
Public Works
Utilities
Central Garage
Streets
Parks Maintenance
CITY OF NEW HOPE
FULL TIME EQUIVALENT SUMMARY
201E
2019
2020
2021
2022
2023
2024
Increase
Budget
Budget
budgM
budget
Budget
Budget
Budget
(Decrease)
GENERALFUND
General government
Mayor and council
500
5.00
5.00
5.00
5.00
5.00
5.00
-
City manager
3.00
2.95
2.95
2.85
2.95
295
2.90
(0.05)
Elections
-
-
Human resources
2.00
2.00
2.00
2.00
1.80
1.80
1.80
-
Communications
1.00
1.00
1.00
1.00
1.00
1.00
1.00
Finance
203
2-03
203
2.03
2.03
203
203
-
Auditing
-
-
-
-
-
-
-
Assessing
-
-
-
-
-
-
Legal
Planning
1.19
1.19
1.19
1.19
2.09
2.09
1.76
(0.33)
Total general govemment
14.22
14.07
14.07
14.07
14.87
14.87
14.49
(0.36)
Public safety
Police Response
26.68
28.00
28.00
-
-
-
-
-
Police Administration
10.82
10.82
10.82
44.62
44.91
46.00
46.50
0.50
Police Community Service.
1.00
1.00
1.00
-
Police Investigations
B.00
6.00
6.00
-
-
-
-
Police reserves
-
-
-
-
-
-
-
Animal control
1 GO
1.00
1.00
1.00
1.00
1.00-
Protective inspections
5.44
5.44
5."
5-44
5.54
554
554
-
Rental inspections
Total public safety
52.94
5226
5226
51.26
51.45
52.54
53.04
0.50
Public works
Engineering
-
-
-
-
Streets
5.65
5.65
5.65
5.65
5.65
565
5.65
Total public works
565
5.65
5.65
5.65
5.65
5.65
5.65
Parks and recreation
-
Recreation
10.67
10.5E
10.50
10.97
10.40
10.18
9.5B
(0.60)
Parks
7.15
7.15
7.15
7.15
7.20
7.10
7.06
(0.04)
Swimming pool
0.40
0.40
13.25
13.25
11.26
12.94
11.73
(121)
Total parks and recreation
1822
16.13
30.90
31.37
28.86
3022
28.37
(1.85)
Miscellaneous
Special programs
-
-
-
-
-
City hall facility
Total miscellaneous
-
-
-
-
-
-
-
TOTAL GENERAL FUND
91.03
90.11
102-88
102.35
100.83
103.28
101.55
(1-73)
SPECIAL: REVENUE FUNDS
Safety camp
.
Economic Development Authority
2.38
2.53
2.53
2.53
1.43
1.43
1.31
(0.12)
Solid waste management
-
-
-
TO -Protective Inspections, Planning, EDA
238
253
253
2.53
1.43
1.43
131
(0.12)
CAPITAL PROJECTS FUNDS
Street infrastructure
-
-
-
-
Park infrastructure
-
-
TOTAL CAPITAL PROJECTS FUNDS
-
-
-
-
ENTERPRISE FUNDS
Water
365
3.65
3.65
3.65
360
4.60
4.00
(0.60)
Sewer
4.06
4.06
C06
4.06
C06
4,06
446
0A0
Storm wa ter
3.60
3.60
3.60
3.60
329
329
349
0.20
Golfcourse
3.92
397
3.97
3.97
4-02
4.71
4,72
0.01
Ice arena
5.82
5.87
6,17
6.14
6-15
6.27
627
TOTAL ENTERPRISE FUNDS
21.05
21.15
21.43
21.42
21.12
22.93
22.94
0.01
INTERNAL SERVICE FUNDS
Centralgarage
3.75
3.75
3.75
2-75
2.80
2.80
2.80
-
Information technology
0.20
0.20
020
TOTAL INTERNAL SERVICE FUNDS
3-75
3.75
3.75
2.75
300
3.00
3.00
TOTAL ALL FUNDS
118.21
117.54
130.61
129.05
126.38
130.64
128.80
(1.84)
Note: Full time equivalents obtained by dividing total hours by 2080.
-14-
CITY OF NEW HOPE
POSITIONS AND SALARIES
E11d
Position
General Fund
Mayor and Council
Mayor
Councilmember
Personnel Board Member
Total
City Manager
City Manager
City Clerk
Administrative Specialist
Comm Dev Assistant
Total
Elections
Head Election Judges
Election Judges
Election Overtime
Total
Finance
Acctng Ter}midan
Accountant
Utility Billing Clerk
Finance Department Overtime
Total
Human Resources
Planning
Communications
Police/Reserves/Animal Control
Mr of HR & Admin Service
HR Specialist/IT Coordinator
Total
Director Community Development
Administrative Specialist
Office Specialist
Comm Dev Assistant
Community Develop Specialist
Total
Communications Coordinator
Director of Police
Police Captain
Police Sergeant
Police Officer
Office Supervisor
Police Officer - K9
Investigator
Administrative Specialist
Police Clerk FT
Police Clerk PT
Community Service Officer FT
Community Services Support
Police Officer - Drug Task Force
Animal Control Officer
Animal Control Overtime
School Liaison Officer
Evidence Tech
Crime Prevention Officer
Total
-15-
2024 Budget
2024 Budget Full time equivalent
Salary WM)
15,105
42,852
3,600
1.00
4.00
61,557
S00
148,780
0.85
118,504
1.00
61,742
1.00
3,896
0.05
332,923
2.90
15,841
41,653
L765
59,259
72,175
1.00
93,836
1.00
1,926
0.03
1,945
169,8822
2.03
134,647
0.90
93,963
0.90
228,610
1.80
74,804
0.50
22,546
0.44
25,327
0.33
57,838
0.50
180515
1.77
97,294
1.00
97,294
1.00
173,094
1.00
287,828
2.00
749,097
6.00
1,560,997
16.00
94,010
L00
107,985
1.00
463,293
4.00
67,149
1.00
229,562
4.00
29,577
0.50
240,508
5.00
108,839
1.00
69,791
1.00
984
-
217,638
2.00
59,019
1.00
113,097
1.00
4,573,258
47.50
CITY OF NEW HOPE
POSITIONS AND SALARIES
2024 Budget
2024 Budget
Full time equivalent
Fund
[n:thnn
Salary
(FTF.)
Protective Inspections
Building Official
111,797
1.00
Office Specialist
22,546
0.44
Director Community Development
14,961
0.10
Housing/Code Inspector
163,088
2.00
Housing/Code Enforcement Overtime
3,046
-
Administrative Specialist
62,227
1.00
Administrative Specialist Overtime
1,180
General Inspector
89,979
1.00
General Inspector Overtime
1,612
-
Total
470,435
5.54
Public Works - Streets
Director of Public Works
39,279
0.25
Operations Manager
31,429
0.25
Administrative Specialist
16,757
0.25
Contact Manager
39,265
0.40
Parks & Streets Supervisor
52,735
0.50
Maintenance Worker
292,589
4.00
Public Works Overtime
29,249
-
Total
491,303
5.65
Recreation
Director of Parks & Recreation
74,804
0.50
Recreation Supervisor
105,470
1.00
Administrative Specialist
68,807
1.00
Athletic Supervisor
105,470
1.00
Off Support Speclst PT
36,791
0.63
Recreation Department Seasonal
199,363
5.45
Total
590,705
9.58
Parks
Director of Parks & Recreation
74,904
0.50
Director of Public Works
23,567
0.15
Operations Manager
18,858
0.15
Administrative Specialist
10,054
0.15
Contract Manager
39,265
0.40
Parks & Streets Supervisor
52,735
0.50
Parks Seasonal Supervisor
9,361
0.25
Maintenance Worker
295,288
4.00
Parks Overtime
7,839
Parks PT Seasonal
31,981
0.%
Total
563,752
7.06
Swimming Pool
Recreation Facilities Manager
23,701
0.20
Recreation Facilities Supervis
99,371
0.95
Maintenance Worker Ice Arena
11,843
0.15
Pool Seasonal
339,281
10.43
Total
474,197
11.73
Total General Fund
k293,689
�+
101.5
-16-
CITY OF NEW HOPE
POSITIONS AND SALARIES
Fund Position
Economic Development Authority
Director Community Development
City Manager
Comm Dev Assistant
Community Develop Specialist
Office Specialist
Administrative Specialist
Mayor k Council EDA Meetings
Golf
Total Golf
Ire arena
Total Arena
Water
Total Water
Sewer
Total Sewer
Recreation Facilities Manager
Recreation Facilities Supervisor
Ice Arena Maintenance Operator
Golf Superintendent
Golf Course Seasonal
Step Increases
Recreation Facilities Manager
Recreation Facilities Supervis
Maintenance Worker Ice Arena
Golf Superintendent
Ice Arena Seasonal
Step Increases
Director of Public Works
Operations Manager
Utilities Maim Supervisor
Administrative Specialist
Public Works Admin Specialist Overtime
Utility Billing Clerk
Utility Billing Clerk Overtime
Maintenance Worker
Water Part-time
Water Overtime
Water Leadworker
Step Increases
Director of Public Works
Operations Manager
Utilities Maint Supervisor
Administrative Specialist
Utility Billing Clerk
Contract Manager
Maintenance Worker
Sanitary Sewer Part-time
Sanitary Sewer Overtime
Sanitary Sewer Rounds Overtime
Sanitary Sewer Leadworker
Step Increases
-17-
2024 Budget
20Z4 Budget
Full time equivalent
Salary
(FTE)
59,843
0.40
26,255
0.15
9,741
0.13
57,838
0.50
6,738
0.13
1,501
161,917
1.31
29,626
0.25
75,718
0.85
1OZ250
3.62
207,594
4.72
65,177
0.55
110,468
1.05
67,113
0.95
13,362
0.15
123,921
3.67
380,041 6.27
15,712 0.10
18,858 0.15
35,198 0.34
6,703 0.10
16,049 0.25
201,932 Z.80
8,3B3 0.26
18,715 -
321,549 400
23,567
0.15
25,144
0.20
34,162
0.33
10,054
0.15
30,172
0.47
9,816
0.10
201,932
2.80
8,282
0.26
18,614
-
6 914
368,658 446
CITY OF NEW HOPE
POSITIONS AND SALARIES
Fund Position
Storm Water
Total Storm Water
Central Garage
Total Central Garage
Information Technology
Total Information Technology
Total City for 2024 Budget
Director of Public Works
Operations Manager
Administra tive Specialist
Utility Billing Clerk
Utilities Maint Supervisor
Maintenance Worker
Storm Water Specialist
Storm Water Specialist Overtime
Storm Water Part-time
Storm Water Overtime
Contract Manager
Storm Water Leadworker
Step Increases
Director of Public Works
Operations Manager
Central Garage Supervisor
Administrative Specialist
Mechanic
Central Garage Overtime
Maintenance Worker
Step Increases
HR SpecialisVlT Coordinator
D r of HR & Admin Service
Step Increases
-18-
2024 Budget
2024 Budget Full time equivalent
Salary (FTE)
7,856
0.05
6,286
0.05
3,351
0.05
16,049
0.25
34,162
0.33
100,966
1.40
K577
1.00
8,282 0.26
3,458 -
9,816 0.10
274,804 3.49
47,135
0.30
25,144
0.20
105,470
1.00
20,109
0.30
77,320
1.00
3,347
278,524 2.80
10,440 0.10
14,961 0.10
25.401 0.20
10,312.178 128.81
CITY OF NEW HOPE
SALARIES BY POSITION
Position
€uii time and Part time
Police Officer
Maintenance Worker
Police Sergeant
Administrative Specialist
Police Captain
Police Clerk FT
Investigator
School Liaison Officer
Recreation Facilities Supervis
Community Service Officer FT
City Manager
Police Officer - Drug Task Force
Housing/Code Inspector
Director of Public Works
Dir of HR & Admin Service
Director of Parks & Recreation
Director Community Development
Director of Police
Operations Manager
Recreation Facilities Manager
City Clerk
Community Develop Specialist
Athletic Supervisor
Central Garage Supervisor
Building Official
Parks & Streets Supervisor
Recreation Supervisor
Crime Prevention Officer
Police Officer - K9
Contract Manager
HR Specialist/IT Coordinator
Utilities Maint Supervisor
Office Supervisor
Communications Coordinator
Accountant
General Inspector
Golf Superintendent
Maintenance Worker Ice Arena
Storm Water Specialist
Comm Dev Assistant
Mechanic
Utility Billing Clerk
Animal Control Officer
Acctng Technician
Office Specialist
Evidence Tech
Councilmember
Off Support Speclst PT
Police Clerk PT
Mayor
Head Election Judges
Election Judges
Storm Water Part-time
Sanitary Sewer Part-time
Water Part-time
Total full time and part time
Salary (FTE) Department
1,560,997 16.00
1,082,707 15.00
749,D97 6.00
326,954 5.00
287,828
2.00
229,562
4.00
463,293
4.00
217,638
2.00
209,839
2.00
240,508
5.00
175,035
1.00
108,839
1.00
163,089
2.00
157,116
1.00
149,608
1.00
149,608
LOD
149,608
1.00
173,094
1.00
125,717
1.00
118,504
1.00
lIU04
1.00
115,677
1.00
105,470
1.00
105,470
1.00
111,797
1.00
105,470
1.00
105,470
1.00
113,887
1-00
107,985
1.00
99,163
1.00
104,403
1.00
103,522
1.00
94,010
1.00
97,294
1.00
93,836
1.00
89,979
1.00
89,060
1.00
7B,956
1.00
84,577
1.00
38,964
0.51
77,320
1.00
64,197
1.00
69,791
1.00
72,175
1.00
51,829
1.01
59,019
1.00
42,852
400
36,791
0.63
29,577
0.50
15,105
1.00
15,841
41,653
8,282
0.26
8,282
0.26
8,383
0.26
9,402,252
104.43
-19-
Police
Split Streets, Parks, Water, Sewer, and Storm Water
Police
Split City Manager, Streets, Parks, Police, Recreation,
Planning, Protective Inspections, Recreation, EDA, Water, Sewer and CG
Police
Police
Police
Police
Split Pool, Arena and Golf
Police
City Manager, EDA
Police
Protective Inspections
Streets, Parks, Water, Sewer, Storm, Central Garage
Human Resources, IT
Split Parks and Recreation
Split Planning and EDA
Police
Split Streets, Parks, Water, Sewer, Storm Water and CG
Split Pool, Arena and Golf
City Manager
Split Planning and EDA
Recreation
Central Garage
Protective Inspections
Split Streets and Parks
Recreation
Police
Police
Split Streets, Stormwater, Sewer, and Parks
Human Resources, IT
Split Water, Sewer and Storm Water
Police
Communications
Finance
Protective Inspections
Golf
Split Pool and Arena
Storm Water
EDA, Planning, and City Manager
Central Garage
Split Water, Sewer, Storm water and Finance
Police
Finance
Protective Inspections, Planning, EDA
Police
Mayor and Council
Recreation
Mayor and Council
Storm Water
Sewer
Water
CITY OF NEW HOPE
SALARIES BY POSITION
Position
Salary
(FIE)
Non-FTE Amounts
Personnel Board Member
3,600
-
Human Resources
Mayor& Council EDA Meetings
1,501
FDA
Parks Leadworker
-
-
Parks
Public Works Leadworker
Streets
Total Non-FTE Amounts
5,101
Overtime
Election Overtime
1,765
-
Police
Public Works Overtime
29,249
Streets
Sanitary Sewer Overtime
18,614
-
Sewer
Water Overtime
18,715
-
Water
Parks Overtime
7,939
Parks
Sanitary Sewer Rounds Overtime
6,914
Sewer
Central Garage Overtime
3,347
-
Central Garage
Storm Water Overtime
3,458
-
Storm Water
Housing/Code Enforcement Overtime
3,046
-
Protective Inspections
General Inspector Overtime
1,612
Protective Inspections
Finance Department Overtime
1,945
Finance
Administrative Specialist Overtime
1,180
-
Protective Inspections
Animal Control Overtime
984
Animal Control
Total Overtime
98,668
Seasonal
Pool Seasonal
339,281
10.43
Pool
Recreation Department Seasonal
199,363
5.45
Recreation
Ice Arena Seasonal
173,921
3.67
Ice Arena
Golf Course Seasonal
102,250
3.62
Golf
Parks PT Seasonal
31,981
0.96
Parks
Parks Seasonal Supervisor
9,361
0.25
Parks
Total Seasonal
806,157
24.38
Total Wages 2023 Budget
10,312,178
128.81
-20-
2024 BUDGET -GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES & CHANGES IN FUND BALANCE
REVENUES
Property taxes
Franchise taxes and other
Licenses and permits
Intergovernmental revenues
Fines and forfeits
Charges for services
Recreation fees
Assessment revenue
Investment income
Miscellaneous
TOTAL REVENUES
EXPENDITURES
General government
Public safety
Public works
Parks and recreation
TOTAL EXPENDITURES
OTHER FINANCING SOURCES (USES)
Other -transfers in
TOTAL OTHER FINANCING
SOURCES (USES)
NET CHANGE IN FUND BALANCES
FUND BALANCE, JANUARY 1
FUND BALANCE, DECEMBER 31
Revenues - 2024 Budget
other
mtergoverni
115.
Charges and
fees
13%
Franchise J
fees
3%
2024
Budget
$ 12, 674,488
550,000
352,S20
2,173,1S6
200,000
563,560
1,288,275
30,000
40,000
11,637
17,883,636
2,534,408
13.64%
11,027,212
59.36%
1,819, 848
9.80%
3.196,633
17.21%
18,578,101
694,465
694,465
7,748,072
$ 7,748,072
Expenditures - 2024 Budget
Parks and General
recreation government
17% 14%
Public works
10%
1
Taxes
68% Public safety
59%
-21-
2024 BUDGET -GENERAL FUND
SCHEDULE OF EXPENDITURES
2021
2022
2023
2024
2023 to 2024
2023 to 2024
Proposed
Increase
Increase
Actual
Actual
Budget
Budget
(Decrease)
(Decrease)
EXPENDITURES
General government
Mayor and counciI S
105,867
$ 102,341
$ 106,836
$ 109,629
$ 2,793
2.6%
City manager
453,786
472,471
480,013
475,841
(4,172)
-0.9%
Elections
10,326
66,494
4,900
69,668
64,768
1321.8%
Finance
311,896
304,630
327,618
380,743
53,125
16.2%
Assessing
165,000
172,000
180,000
192,000
12,000
6.7%
Legal
16,901
38,499
20,000
25,000
5,000
25,0%
Human resources
325,426
331,361
354,859
341,157
(23,702)
-3.9%
Planning
159,828
286,284
312,792
284,048
(28,744)
-9.2%
Communications
144,249
167,319
111,732
193,731
15,999
9.0%
City hall
454,846
482,286
461,311
462,591
1,280
0.3%
Total general government
2,148,125
2,423,685
2.426,051
2.534,409
108,347
4.5%
Public safety
Police
6,636,756
6,715,585
7,571,601
8,343,870
772,269
10.2%
Police reserves
9,709
12,551
12,912
(12,9121
-100.0%
Fire services
1,418,843
1,517,553
1,643,504
1,82Q636
177,132
10.8%
Protective inspection
60Z908
655,078
705,573
728,112
22,539
3.2%
Animal Control
104,561
122,922
124,995
134,594
9,599
7.7%
Total public safety
8,772,777
9,023,599
10,058,585
11,027,212
969,627
9.6%
Public works
Engineering
43,492
46,888
40,000
45,000
5,000
12.5%
Streets
1,609,511
L823,849
1,576,757
1,714,848
198,091
12.6%
Total public works
1,653,003
1,870,737
1.616,757
1,839,848
203,091
12.6%
Parks and recreation
Recreation
948,550
1.049,090
1,101, 531
1,117, 271
15,740
1.4%
Parks
1,127,573
1,212,992
1,232,256
1,243,546
11,290
0.9%
Swimming pool
553,330
753,199
800,017
835,816
35,799
4,5%
2,629,453
3,015,281
3,M,804
3,196.633
62,829
2.0%
Other Financing Uses
Transfers Out
1,642,533
1,142,382
-
-
N/A
1,642,533
1,142,382
-
N/A
TOTAL EXPENDITURES $
16,845,891
$ 17,475,784
5 17,235,207
$ 18.579,101
$ 1.342.894
7.8%
Major changes in expenditures
Personnel Budget Changes (Police Department)
S 368,570
Central Garage Charges
240,310
Joint Powers Agreement with West Metro Fire
178,066
OtherContractural (Police Department)
148,514
Emerald Ash Borer tree removal
100,000
Election
64,768
Personnel Budget Changes Including Seasonal (Swimming Pool)
26,319
Personnel Budget Changes (Planning)
(24,546)
Other Changes
240,893
Total increase in expenditures
1,342,894
-22-
2024 BUDGET -GENERAL FUND
SCHEDULE OF REVENUES
2021
2022
2023
2024
2023 to 2024
2023 to 2024
Proposed
Increase
Increase
Actual
Actual
Budget
Budget
(Decrease)
(Decrease)
REVENUES
Taxes
Property taxes
5 10,914,572 5
11,391,654 $
12,076,955
$ 12,674,488
$ 597,533
4.9%
Franchise taxes and other
522,395
519,744
535,000
550,000
15,D00
2.8%
Licenses and permits
399,087
346,871
335,720
352,520
16,800
5.0%
Intergovernmental revenues
2,603,365
1,629,741
1,502,330
2,173,156
670,826
44.7%
Fines and forfeits
185,603
187,219
200,000
200,000
0.0%
Charges for services
531,647
757,040
548,615
563,560
14,945
2.7%
Recreation fees
959,680
1,083,587
1,253,400
1,288,275
34,875
2.8%
Assessment revenue
32,210
29,868
3D,0D0
30,000
0.0%
Investment income
(93,405)
(261,964)
25,000
40,000
15,000
60.0%
Administrative Transfer Fee
294,672
302,042
309,593
317,333
7,740
2.5%
Other Transfers
156,000
499,998
408,594
377,132
(31,462)
N/A
Miscellaneous
87,722
64,313
10,000
11,637
1,637
16.4%
TOTAL REVENUES
$ 16.593,548 $
16,550,113 $
17.235.207
$ 18,578,101
$ 1,342,894
7.8%
Major changes in revenue
Property Taxes
$ 597,532
Local Government Aid
458,326
Public Safety Aid
203,500
Franchse fees
15,000
Investment Income
15,000
Transfers
(31,462)
Otherchanges
94,998
Total increase in revenue
$ 1,342,894
Transfers
Fire Capital Fund for Joint Powers Agreement with West Metro Fire
77,132
Park Infrastructure Fund for Emerald Ash Borer Mitigation
1000GD
Street Infrastructure Fund for Emerald Ash Borer Mitigation
200,000
-23-
MEMO
TO: REECE BERTHOLF
FROM: ERIN ENSTAD - ABDO FINANCIAL SOLUTIONS
SUBJECT: SUSTAINABILITY OF ICE ARENA, GOLF COURSE, SWIMMING POOL, AND PARK
INFRASTRUCTURE
DATE: NOVEMBER 14, 2023
Introduction
Upon your request, we have updated the long-term sustainability analysis of the Ice Arena, Golf Course, Pool, and Park
Infrastructure Fund.
Ice Arena
The question of sustainability would revolve around two different components of the business. The first component would
be revenue and the composition of that revenue. Staff has provided updated information on hours sold through 2022. A
summary of total hours sold is listed below:
YOUTH OTHER HOURLY OPEN OPEN SKATE
YEAR DIST 281 HOCKEY CONTRACTS RENTALS SKATE HOCKEY SCHOOL YR TOTAL
2022 564.75 1,369.25 2,096.25 - 80.00 - 137.25 4,247.50
13% 32% 49% 0% 2% 0% 3%
2021 630.00 1,423.25 2,141.50 - 82.50 - 139.00 4,416.25
2020 198.00 1,139.25 1,492.00 - 59.50 - 96.00 2,984.75
2019 571.50 1,454.00 1,940.25 - 103.75 - 132.50 4,202.00
2018 576.00 1,442.50 1,908.42 - 87.00 - 137.75 4,151.67
2017 564.75 1,433.00 1,816.25 - 79.00 - 137.50 4,030.50
2016 534.00 1,349.25 1,437.25 12.00 94.50 - 140.00 3,567.00
2015 510.25 1,403.00 1,544.00 15.00 94.25 12.00 144.25 3,722.75
2014 504.75 1,399.50 1,570.75 13.50 90.50 9.00 146.00 3,734.00
2013 620.50 1,268.50 1,556.50 62.00 89.50 142.00 3,739.00
Hours decreased slightly in 2016, due to the youth association cancelling their Junior Gold program and the cancellation
of two full weekend Showcase tournaments during summer months.
Over the last several years the hours have fluctuated depending on Showcase tournaments and Midwest Prep Elite
season and tournaments. Between 2015 and 2019, the number of hours used by District 281 for the boy's and girl's high
school hockey programs increased and use by youth hockey and other contracts continued to be strong. From 2013 to
2019, cash receipts increased from $866k to $960k. In 2020 cash receipts decreased to $581 k due to the impacts of
COVID-19.
In 2020, ice rentals and revenues were greatly impacted by COVID-19. The ice arena was closed for approximately 4
months. When open, guidelines for the facility had an impact to operations in terms of limited numbers of players,
participants and spectators allowed, reduced use of locker rooms, modified traffic patterns and increased sanitizing of
public use areas throughout the facility. Revenues were further impacted by the concession stand and dryland training
area unable to be used from mid -March through mid-2021, so the lease payments were not collected during that time. Ice
rentals in 2021 were strong due in part to the hockey season continuing later in the spring because of the arena being
closed in December 2020 (COVID-19). In 2022, the hours rented, and total cash receipts decreased slightly due to the
dasher board and glass project taking place in the north rink.
The second consideration for sustainability includes the expense side. Expenses for the purposes of sustainability include
operating expenses, payroll, debt service and capital needs. Operating would include all expenses to supply and operate
the facility. Payroll includes all staff time allocated to the Arena. Capital expenses include improvements greater than
$5,000 that have a useful life greater than one year.
The 2024 revenue budget is $957,070, plus a $500,000 levy. The 2024 budget for operating expenditures is $1,313,778,
with $108,000 of that being for capital items and $225,000 in depreciation. Recently, several large capital projects took
place including the roof and skylight replacement for the south rink in 2021, the dasher boards and glass replacement for
the north rink in 2022, and the replacement of the cement floor, dasher boards and glass for the south rink in 2023. Due to
the significant costs, the City issued two loans from the Temporary Financing Fund to help fund these projects.
Until 2013, capital costs were funded in the park infrastructure fund. These projections assume that all capital will be paid
for by the Ice Arena. This will continue to have a significant effect on the overall cash flow. The scheduled capital through
2027 is as follows:
2023 2024 2025 2026 2027
Yearto Estimated Estimated Estimated Estimated Estimated
Department Replace Item Cost Amounts Amounts Amounts Amounts Amounts
Ice Arena
2023
IA compressors
$ 26,500 5
26,500 S
Ice Arena
2023
IA concession stand
36,000
36,000
Ice Arena
2023
IA meeting room carpet
9,600
9,600
Ice Arena
2023
IA re -cement floor and replace glass and boards (south rink)
647,600
647.600
Ice Arena
2023
IA skate tile
18,000
18,000
Ice Arena
2023
IA water heaters
48,000
48,000
Ice Arena
2024
IA drinking fountain (south rink)
18,000
Ice Arena
2024
IA gutters
20,000
Ice Arena
2024
IA HVAC (south rink)
50,000
Ice Arena
2024
IA Zamboni room garage doors
20,000
Ice Arena
2025
IA brine replacement
125,000
-
Ice Arena
2025
IA generator switch
40,000
-
Ice Arena
2025
IA mist equipment
10,000
Ice Arena
2025
IA south floor paint
50,000
Ice Arena
2025
IA system relief valves
10,000
Ice Arena
2026
IA bleacher caps (south rink)
35,000
Ice Arena
2026
IA community room tile
22,000
Ice Arena
2026
IA compressors
30,000
-
Ice Arena
2026
IA HVAC
75,000
Ice Arena
2026
IA mist equipment
10,000
Ice Arena
2026
IA parking lot
825,000
Ice Arena
2026
IA showers
20,000
Ice Arena
2027
IA bathrooms (lower level public)
30,000
Ice Arena
2027
IA bleacher caps (north rink)
50,000
Ice Arena
2027
IA mist equipment
10,000
-
Ice Arena
2027
IA overhead doors
25,000
-
Ice Arena
2027
IA radiant heaters (south rink)
30,000
Ice Arena
2027
skate tile (north rink)
60,000
Ice Arena
2027
IA water heater for showers
15,000
18,000
20,000
50,000
20,000
125,000
40,000
10,000
50,000
10,000
35,000
22,000
30,000
75,000
10,000
825,000
20,000
30,000
50,000
10,000
25,000
30,000
60,000
15,000
City Management has modified the long-term plan for the Ice Arena and structured in transfers from the Park
Infrastructure Fund as well as financing assumptions for major capital improvements, in an effort to rebuild the operating
cash balance over the next ten years.
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
Ice Arena Fund
2023 2024 2025 2026 2027
Total Revenues Total Expenses Cash and Cash Equivalents, December 31
In our experience with the majority of ice arenas, these facilities generate sufficient cash flow to cover operations, but
major capital will cause a shortfall. Introduction of a property tax levy to support ice, is helping to improve the Fund's
ability to cover operations, capital, and debt service needs.
Enterprise Fund Projected Acfivity
2023 2024 2025 2026 2027
Estimated Estimated Estimated Estimated Estimated
Cash Flows from Operating Activities
Receipts from customers and users (enterprise assumption of 2.5% growth)
Payments to suppliers and employees (enterprise modified assumption of 2.5% growth)
Net Cash Provided (Used) by Operating Activities
S 939,355 $ 987,070 S 1,011,747 $ 1,037,040 S 1,062,966
(920,11H) (947,928) (971,524) (995,812) (1,020.707)
19,272 39,242 40,223 41,229 42,259
As a result, the City will continue to consider the following options to maintain sufficient reserves:
1. Annual re -prioritization of capital will continue to be done. This has been past practice and ensured the highest
need is presented prior to purchasing any item.
2. A Park Infrastructure Levy of $200,000 was implemented in the 2018 budget. It has increased $100,000 through
2021 to $500,000 and is expected to remain at $500,000 for 2024.
3. The proposed long-term plan for the Ice Arena Fund could continue to require financing for major capital
improvements. Interfund loans from the Temporary Financing Fund were necessary in 2022 and 2023 and
another loan is expended in 2026 for the parking lot project. The annual debt service, including interest, has
been modeled into our analysis.
4. Continue to look at opportunities to generate additional revenue including fees, grants, and donations.
Golf Course
As discussed above, the sustainability question revolves around separate considerations for revenue and expenses. In
2015 and 2016, the Golf Course saw an increase in the rounds of golf played, but due to the wet weather and late
openings, rounds decreased in 2017-2019. In 2020, the impact of COVID-19 was a positive one for the Golf Course.
Although the number of rentals, tournaments and lesson registrations were reduced, the number of rounds of golf played
increased more than 50% compared to 2019. For 2022, the golf course continued to be busy with the number of rounds
played being slightly lower than the 2021 rounds. In 2023, rounds have continued to be strong, and as of October 1, are
higher than 2022 to date. Revenue from concessions, merchandise, cart rental and league fees continue to be higher than
budgeted and the clubhouse rentals have continued to increase following the drastic reduction during COVID-19. The
parking lot agreement with Ironwood Apartments continues to be a successful source of revenue and is valid through
March 2025. The table below shows the number of rounds played from 2013 to 2023. Generally, the Golf Course has
been able to generate sufficient revenue to cover all operating and debt service needs.
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023{1011)
Rounds of Golf Played 16,782 16,431 18,190 20.375 18,662 17,800 16,637 26,553 27,654 25,088 23,551
-14.2% -2.1 % 10.7% 12.0% -8.4% -4.6% -5.4% 57.7% 4.1 % -9.3% -6.1 %
Budgeted revenue for 2024 is $435,500. Budgeted operating expenses for 2024 are $561,490. A capital budget of
$60,000 is planned for 2024. As part of the 2023 budget, the Golf Course Superintendent position was rehired. Due to
staff promotions, this position had been vacant since 2012.
Prior to 2013, major capital was paid for out of the Park Infrastructure fund. As noted below, planned future capital could
result in an additional $1,168,500 of new costs to the Golf Course fund through 2027.
2023 2024 2025 2026 2027
Year to Estimated Estimated Estimated Estimated Estimated
Department Replace Item Cost Amounts Amounts Amounts Amounts Amounts
Parks & Recreation
2023
GC fireplace
$ 24,000
Parks & Recreation
2023
GC golf carts (5 of 5)
8,000
Parks & Recreation
2023
GC maintenance garage updates (doors and heaters)
30,000
Parks & Recreation
2023
GC maintenance shop -paint
12,000
Parks & Recreation
2023
GC misc equipment
6,000
Parks & Recreation
2024
GC cart paths paved
20,000
Parks & Recreation
2024
GC clubhouse update
20,000
Parks & Recreation
2024
GC golf cart lease (1 of 5)
10,000
Parks & Recreation
2024
GC misc equipment
10,000
Parks & Recreation
2025
GC clubhouse carpet
15,000
Parks & Recreation
2025
GC fire system
36,000
Parks & Recreation
2025
GC gas grills
7,500
Parks & Recreation
2025
GC golf cart lease (2 of 5)
10,000
Parks & Recreation
2025
GC misc equipment
10,000
Parks & Recreation
2025
GC cart paths paved
25,000
Parks & Recreation
2026
GC cart paths paved
30,000
Parks & Recreation
2026
GC clubhouse exterior
15,000
Parks & Recreation
2026
GC cold storage
100,000
Parks & Recreation
2026
GC fencing
25,000
Parks & Recreation
2026
GC golf cart lease (3 of 5)
10,000
Parks & Recreation
2026
GC irrigation
700,000
Parks & Recreation
2026
GC misc equipment
10,000
Parks & Recreation
2027
GC fencing
30,000
Parks & Recreation
2027
GC golf cart lease (4 of 5)
10,000
Parks & Recreation
2027
GC irrigation pump and motor
25,000
Parks & Recreation
2027
GC misc equipment
10,000
Parks & Recreation
2027
GC roof
30,000
Parks & Recreation
2027
GC VFD Irrigation
10,000
24,000 $
S
8,000
30,000
12,000
6,000
20,000
20,000
10,000
10,000
-
15,000
36,000
7,500
10,000
10,000
25,000
30,000
15,000
100,000
25.000
10,000
700,000
10,000 -
30,000
10,000
25,000
10,000
30,000
10,000
Enterprise Fund Preleeted Aetivity
2023
2024
2025
2026
2027
Estimated
Estimated
Estimated
Estimated
Estimated
Cash Flows from Operating Activities
Receipts from customers and users (modified enterprise assumption of 5% growth)
$ 441,700
$ 453,500
S 476,175
$ 499,984
$ 524,983
Payments to suppliers and employees (modified enterprise assumption of 3% growth)
(431,600)
(451.603)
(465,151)
(479,106)
(493,479)
Net Cash Provided (Used) by Operating Activities
10,100
1,897
11,024
20,878
31,504
The current scenario is presented below. As discussed above, it is anticipated that revenue will be sufficient to cover
operations, but major capital will make it difficult to maintain adequate working capital. Similar to the Ice Arena, a loan or
transfer from the Temporary Financing Fund or other City fund may be necessary for larger capital expenses, especially
for the 2026 irrigation project estimated at $700,000.
transfer from the Temporary Financing Fund or other City fund may be necessary for larger capital expenses, especially
for the 2026 irrigation project estimated at $700,000.
$800,000
$700,000
$600,000
$500,000
$400,000
$300,000
$200,000
$100,000
$ (100,000) 2023
Total Revenues
Golf Fund
2024 2025 2026 2027
Total Expenses Cash and Cash Equivalents, December 31
Options to consider for addressing the golf course are listed below:
1. Sales have been increasing in the past couple of years, providing adequate cash flows for capital purchases.
Should trends change over time, Management may want to reconsider the timing of certain capital projects or an
interfund loan for larger capital expenses.
2. There is a large irrigation project to take place in 2026 totaling $700,000. Some options for funding this project
could be an interfund loan and/or transfer from another fund.
Swimming Pool
The previous outdoor pool was closed in 2018 and 2019 due to construction of the new city hall, aquatic facility, and Civic
Center Park improvements. The new aquatic facility was expected to be operational by June 2020, however due to
COVID-19, the opening was postponed. The Aquatic Park finally opened on June 5, 2021 and had a great first pool
season. The success of the new facility continued in 2022 and 2023. The open swim daily attendance average increased
from 260 in 2017 to 673 in 2021 and 676 in 2022 and 756 in 2023. In addition to open swim, programs such as swim
lessons, lap swim and water walking continued to be offered. Local swim teams also rented practice time during the
weekday mornings. And a regional swim meet was held for three full days in July. The pool is considered to be a program
within the City's overall parks and recreation system, and such, the City provides general property tax support for the
operation. The table below provides sales data for 2015-2023. Currently, the capital expenses related to the aquatic park
are included in the Park Infrastructure Fund, although a $100,000 levy has been recommended for the 2024 budget.
2016
2017 2018
2019 2020 2021
2022
2023
Pool Passes Sold* 665
657
- - 1,929
2,303
2,524
Pool Open Swim Total Attendance** 19,755
18,761
- - 46,590
49,337
55,181
Pool Daily Admission Fees $ 30,249
$ 27,727 $
$ $ - $203,490
$ 190,752
$ 254,314
The analysis of expense revolves around operations. The overall operating revenue budget for the swimming pool in 2024
is $718,000. The 2024 expense is projected at $835,816. A contributing factor to the increase in expenses is seasonal
wages.
*Passes sold through 2017 were family passes. Starting in 2022, passes were sold individually.
**Ages 2 and older.
Park Infrastructure Fund
The capital budget for the pool and parks are included in the Park Infrastructure Fund. Capital expenses related to parks
infrastructure are summarized below. A 10-year capital plan for the pool continues to be developed now that the
construction is complete. Capital expenses related to the park infrastructure fund are summarized below.
2023
2024
2025
2026
2027
Vearto
Estimated
Estimated
Estimated
Estimated
Estimated
Departmenl
Replace
item
Cost
Amounfa
Amounts
Amounts
At"WIS
Amounts
Parks & Recreation.
2023
Parks Emerald Ash Borer
S 100,000 S
100,000 S
S
S
S
-
Parks & Recreation
2023
Parks Pickleball Improvement at Meadow Lake
135,000
135,000
-
-
-
-
Parks & Recreation
2023
Parks concrete• irad work
75,000
75,000
-
Parks & Recreation
2023
Parksrks Liberty Park play equipment project
200,000
200,000
-
-
-
-
Parks & Recreation
2023
Pa Lighted Baseball Field
82B4O00
828,000
-
-
-
Parks & Receation
2023
Parks lighting improvements
90,000
90,000
-
-
-
-
Parks & Recreation
2023
Parks maintenance (Liberty Park basketball courts)
160,000
150,000
-
Parks & Recreation
2023
Pool misc equipment
5,000
5,0011
-
-
-
-
Parks & Recreation
2024
Parks Cgyms pitching machines
5,000
5,000
Parks & Recreation
2024
Parks Emerald Ash Borer
100,000
-
100,000
-
Parks 8 Recreation
2024
parks co mete, Vall work
60,000
-
60,000
-
Parks 9 Re aatlon
2024
Parks lighting improvements
50,000
-
50,000
-
-
Parks & Recreation
2024
Parks maintenance (courts, equipment painting, benches and picnic tables)
65,000
85,000
-
-
-
Parks & Recreatlon
2024
Parks outdoor fitness equipment
50,000
-
50,000
-
-
-
Parks & Recreation
2024
Pool misc equipment
5,000
5,000
-
-
-
Parks & Recreation
2025
Parks Emerald Ash Borer
100,000
100,000
-
Parks & Recreation
2026
Parks concrete, trail work
75,000
75,000
-
Parks & Recreation
2025
Parks hockey rink fencing
13,000
-
13,000
-
Parks & Recreation
2025
Parks lighting Improvements
215,000
215,000
-
-
Parks & Racresilon
2025
Parks maintenance (courts, equipment painting, benches and picnic tables)
60,000
-
60,000
-
Parks & Recreation
2025
Parks picnic sun shades
200,000
-
200,000
-
-
Parks & Recreation
2025
Parks Victory soccer field improvements
35,000
-
35,000
-
Parks & Recreatlon
2125
Pool cameras
21,000
-
21,000
-
-
Parks & Recreation
2026
Pool misc equipment
101000
10,ODO
-
Parks &Recreation
2D26
Parka &nerakl Ash BaM
100,000
100,000
-
Parks & Recreation
2026
Parks concrete mall work
75,DOD
-
75,000
-
Parks & Recreation
2026
Parks lighting improvements
90,000
90,000
-
Parks & Recreation
2026
Parks maintenance (courts, equipment painting, benches and picnic tables)
35,000
35,000
-
Parks & Recreation
2026
Pool misc equipment
10,000
10,000
Parks & Recreatlon
2027
Parks cameras
7,000
-
7,000
Parks & Recreation
2027
Parks concrete, trail work
75,000
-
-
75,000
Parks & Recreation
2027
Parks Elm Grove Park play equipment project
220,000
-
-
220,000
Parks & Recreatlon
2027
Parks lighting Improvements; retro fit Lighted softball field
255,000
-
-
-
255,000
Parks & Recreation
2027
Parks maintenance (courts, equipment painting, benches and picnic tables)
145,000
-
-
145,000
Parks & Recreation
2027
Parks sun shades at Northwood softball fields
184,000
-
-
184,000
Parks & Recreation
2027
Pool Cabana canvas
10,500
-
-
18,500
Parks & Recreatlon
2027
Pool misc equipment
10,000
10,000
Parks & Recreation
2027
Pool water walk ropes
2,00D
-
2,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
Park Infrastructure Fund
2023 2024 2025 2026 2027
� Total Revenues � Total Expenditures Fund Balances, December 31
Options to consider for addressing the Park Infrastructure fund are listed below:
1. Annual re -prioritization of capital will continue to be done. This has been past practice and ensured the highest
need is present prior to purchasing any item.
2. Financing for Ice Arena improvement projects may reduce the amount that will need to be contributed by the Park
Infrastructure Fund to support the Ice Arena's operation cash balance.
3. Additionally, intergovernmental revenue (grants) will continue to be explored for eligible park improvements.