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2013.07.02 Work Session Packet (2nd)CRYSTAL CITY COUNCIL SECOND WORK SESSION AGENDA Tuesday, July 2, 2013 To immediately follow the Regular City Council Meeting Conference Room A Pursuant to due call and notice given in the manner prescribed by Section 3.01 of the City Charter, the second work session of the Crystal City Council was held at ______ p.m. on Tuesday, July 2, 2013 in Conference Room A located at 4141 Douglas Drive, Crystal, Minnesota. I. Attendance Council members Staff ____ Peak ____ Norris ____ Selton ____ Therres ____ Adams ____ Norton ____ Budziszewski ____ Revering ____ Deshler ____ Mathisen ____ Hoffmann ____ Hackett ____ Libby ____ Rauen ____ Hansen ____ Serres II. Agenda The purpose of the work session is to discuss the following agenda items: · Fishing Pier – Twin Lake Shores · Labor relations update and negotiations discussion** · 2014 budget and budget process **Portions of this meeting may be closed pursuant to the open meeting law. III. Adjournment The work session adjourned at ______ p.m. Memorandum DATE: June 25, 2013 TO: Mayor and City Council FROM: Anne Norris, City Manager SUBJECT: 2014 Budget Process and Considerations As you are aware, there are three work sessions in August dedicated to the components of the 2014 budget. Listed below is a very general overview of the actual process of developing the budget: June – July: staff develops general fund and capital budgets August: Council review and discussion of budgets First meeting in September: Council approves the preliminary levy amount for the following year’s budget – the Council may decrease the levy amount but cannot increase the levy amount October – November: Council and staff refine budgets December: public hearing on budget and final approval of budget As we begin work on the 2014 budgets, the following factors will impact the budget: - Settlement with IUOE, Local 49 (Public Works) - PERA increases - 13.3% health insurance increase - Levy limits - Local government aid (affects how much Crystal can levy) - Reduced interest earnings - Property values are stable after 4 years of declining values - Removal of sales tax for non-public safety equipment purchases Staff is assuming the Council’s goal is to continue the current level of services. The Council should discuss other assumptions to be used in developing the 2014 budget.