6.2.
Public Works Committee
- Meeting Date:
- 07/19/2016
- By:
- Bruce Westby, Engineering/Public Works
Title:
Review Engineering Revenue Budget Item
Purpose/Background:
Purpose:
The purpose of this case is to review the purpose and application of the “Engineering Revenue” budget item.
Background:
The City’s budget includes revenues for Engineering department expenses incurred while working to design, implement, construct and administer public improvement projects, and also to review plans and plats and to inspect construction of public improvements for private development projects. Engineering revenue amounts are estimated based on a percentage of public improvement projects (currently 12%) and on billable time spent working on private development projects.
Engineering revenue related to public improvement projects appear to have first been incorporated into the City’s budget in 2003 after the City lost slightly more than $300,000 in annual revenues due to the State cutting Local Government Aid (LGA) and reducing Market Value Homestead Credit (MVHC) starting in State fiscal year 2003 (July 2002 – June 2003). At that time, Engineering revenue was estimated at $30,000 per year. By comparison, the adopted 2016 General Fund budget includes Engineering revenue estimated in the amount of $274,000.
The purpose of this case is to review the purpose and application of the “Engineering Revenue” budget item.
Background:
The City’s budget includes revenues for Engineering department expenses incurred while working to design, implement, construct and administer public improvement projects, and also to review plans and plats and to inspect construction of public improvements for private development projects. Engineering revenue amounts are estimated based on a percentage of public improvement projects (currently 12%) and on billable time spent working on private development projects.
Engineering revenue related to public improvement projects appear to have first been incorporated into the City’s budget in 2003 after the City lost slightly more than $300,000 in annual revenues due to the State cutting Local Government Aid (LGA) and reducing Market Value Homestead Credit (MVHC) starting in State fiscal year 2003 (July 2002 – June 2003). At that time, Engineering revenue was estimated at $30,000 per year. By comparison, the adopted 2016 General Fund budget includes Engineering revenue estimated in the amount of $274,000.
Timeframe:
Approximately 10 minutes for presentation and discussion.
Observations/Alternatives:
Staff is presenting this information in advance of the 2017 budgeting process in an attempt to address any questions Committee members might have regarding the Engineering revenue budget item. If additional information is desired, Staff can present the information at a future Public Works Committee meeting.
Funding Source:
N/A
Recommendation:
N/A
Action:
No action is requested or required.
Attachments
No file(s) attached.
Form Review
| Inbox | Reviewed By | Date |
|---|---|---|
| Grant Riemer | Grant Riemer | 07/13/2016 03:15 PM |
| Kurt Ulrich | Kathy Schmitz | 07/14/2016 01:46 PM |
- Form Started By:
- Bruce Westby
- Started On:
- 07/11/2016 10:27 AM
- Final Approval Date:
- 07/14/2016