WORKSHOP ITEM - Joe Huss, Finance Director
Title
PROPOSED 2020 FACILITIES MANAGEMENT FUND BUDGET
Background
Council had their first opportunity to review the proposed 2020 facilities fund budget at the November 18, 2019 workshop. Council had some questions regarding staffing and facilities management. Staff clarified those issues for council at the December 2, 2019 workshop and, in addressing council’s concerns, reduced the expenditure budget by $50,840. Budget statements are being prepared pursuant to council direction from the December 2 workshop and will be handed out at the December 9 workshop.
To review with council, the facilities managed under this fund include city hall and attached garages, public works and the public works cold storage facility, the police training facility and the Mary Ann Young Center. With the adjustments, operating expenditures in the 2020 proposed facilities budget are up 3.5% with the most notable change from 2019 being the additional space to be maintained in the new Mary Ann Young Center. Internal fees have likewise increased, but, again, most of the increase is due to the increased space to be maintained at the MAYC.
Proposed capital spending totals $155,550 and includes $50,000 for additional video security at the public works building as well as $15,000 for masonry work at the public works cold storage facility. At city hall there is $13,500 appropriated for exterior caulking work as well as $26,400 for scheduled replacement of HVAC components. Also in the proposed budget is $50,000 for sealcoating the public and police parking lots at city hall.
While the 2020 budget maintains an adequate fund reserve heading into 2021, there are a number of deferred capital expenses that will need to be addressed over the remaining four years of the five-year plan. Staff will be seeking council’s direction to reprioritize the plan so as to maintain the fund’s financial viability.
Recommendation
Staff is seeking council’s review and comments on the 2020 proposed facilities management fund budget and five-year plan.