Laserfiche WebLink
<br />Councilmember Riley asked why there is a beginning balance of $1.5 million. <br /> <br />Finance Director Lund stated the pavement management fund had a beginning balance that was <br />calculated to complete roads reconstruction over 9 years, which was estimated at 1.9%. She added, <br />after the franchise fee was instituted, approximately $95,300 was transferred for the business park. <br /> <br />Councilmember Heineman asked whether the balance at the beginning of the year will be enough <br />to fund projects in 6-month increments. <br /> <br />Finance Director Lund stated that is an estimate as the City has not finished paying off the project <br />and collecting franchise fees. She added she is estimating $1.5 million. <br /> <br />Councilmember Heineman stated if the balance is estimated to increase to 15%, there will be <br />enough funding to continue road projects and increase the balance starting in 2029. <br /> <br />Councilmember Heineman asked whether Finance Director Lund can confirm that the balance <br />with franchise fees after 2029 would be $276,000 as he indicated in his model. <br /> <br />Finance Director Lund stated she did not focus on tax rates. <br /> <br />Councilmember Musgrove stated MSA funding is also used for budgeting for roads projects. She <br />asked whether MSA funds are available to the City, which were recently reviewed, would mean <br />more or less funding for roads. <br /> <br />Finance Director Lund stated the estimated $1.9 million was strictly for road projects that were <br />not eligible for MSA funding. She added MSA roads are noted in the CIP. <br /> <br />Mayor Kuzma requested clarification regarding MSA funding. <br /> <br />City Administrator Kurt Ulrich stated MSA funding varies from year to year, and every year more <br />cities are eligible. He added MSA funding that is available for Ramsey roads has been decreasing <br />slowly over the years. <br /> <br />Councilmember Riley asked whether the City Council is comfortable with rejecting option #1, so <br />ndrd <br />the focus can be on the 2 and 3 options. <br /> <br />The City Council agreed to consider only Options 2 and 3. <br /> <br />Councilmember Riley stated City Staff presented a preliminary budget with a 12% increase 2 <br />months ago. He asked why the 5.45% increase is now possible, and what has changed. <br /> <br />Finance Director Lund stated items in the budget highlighted in red have been removed from the <br />budget, including the citizen survey; the Laserfiche upgrade for $55,000; body worn cameras for <br />$117,000, which were moved to the American Recovery Fund; $300,000 related to the transfer; <br />and employee health insurance that was recalculated, for a total of approximately $900,000 in <br />reductions. <br />City Council Work Session / August 24, 2021 <br />Page 3 of 19 <br /> <br />