DISCLAIMER

 

06-054-O (AS AMENDED) (AS VETOED)

 

ORDINANCE NO. 9810


AN ORDINANCE SETTING THE BUDGET FOR THE FISCAL YEAR 2007 APPROPRIATION MONIES FOR THE SUPPORT OF THE CITY GOVERNMENT, PUBLIC UTILITIES, AND PUBLIC ENTERPRISE FUNDS AND FOR OTHER PURPOSES.

BY COUNCILOR STEWART:

The city of Duluth does ordain:

     Section 1. That in accordance with Section 58 of the 1912 Home Rule Charter of the city of Duluth, and all amendments thereof and laws supplementary thereto, and for the fiscal year beginning January 1 and ending December 31, 2007, the city council hereby budgets, determines and states the amount of money required to meet the principal and interest of maturing obligations comprising the outstanding indebtedness of such city; the amounts of money necessary to be provided for each such fund and each department of such city; and estimates the amount of income from all other sources and revenues, exclusive of taxes upon property, together with the probable amount required to be levied and raised by taxation to defray all expenses and obligations of such city during such fiscal year.

     That the monies as so budgeted and hereinafter set forth shall be paid upon the presentation of properly verified vouchers bearing thereon the budget distribution for which such expenditures are to be charged in accordance with the detailed classification of accounts and the explanatory information of such as set forth in ordinance in effect governing same, excepting, however, payments for interest and sinking funds, which shall be paid in the manner set forth in Section 53 of the City Charter.

     That any monies received by the several city departments as reimbursement for damages or repairs to city property or work done for others and not anticipated in the original budget may be credited to and added to the appropriate budget item upon approval by the administrative assistant or his designee.

      That use of general fund balance that has been designated for a specific purpose in a prior year, must be approved by the city council if used for a purpose other than what has been specified.

     That grants which have been approved by the appropriate state or federal agency and accepted by resolution of the city council may be added to the respective budget items upon approval of the finance director.

     Section 2. That the finance director be authorized to approve the payments of $3,942,400 from the gas and steam public utility funds to the general fund for administrative services; comprised of $3,852,400 or seven percent of the gross revenues of the gas utility fund to the general fund; and $90,000 from public utility steam fund to the general fund.

     Section 3. That the mayor or the administrative assistant or his designees may make transfers from budget item to budget item as may be considered necessary for the proper administration of the city government for the year. However, the total of any transfers to or from any budget item in excess of ten percent of the appropriation therefore as herein made shall be made only upon approval of the city council. For the purpose of the Section, the term budget item shall mean the amount appropriated to the various funds delineated as fixed charges in the budget summary, the accounts numbered 010 through the 700 series shall each be considered budget items within the general fund, as defined in Chapter 8, Section 54 of the City Charter, and the accounts numbered 510 in the water division, 520 in the gas division, 530 in the sewer division, 535 in the stormwater division, 540 in the steam division and 503 in the golf division.

     Section 4. That the salaries shall be in accordance with the pay plan in effect as provided by Section 22 of the City Charter, as amended.

     Section 5. That the city auditor may create or abolish an accounting fund when required by law or proper accounting procedures.

     Section 6. That the finance director, or his designee, be authorized to make temporary loans to and from the city’s various funds as needed in the conduction of the day-to-day operations of the city.

     Section 7. That the appropriations as set forth in this section constitutes the budget of the city of Duluth for the calendar year of 2007.

010 - LEGISLATIVE AND EXECUTIVE

1101

City council - total

$ 148,500

1102

Mayor’s office - total

262,400

1103

Administrative assistant

386,700

1104

Attorney’s office - total

1,370,800

1105

Human rights office - total

153,000

 

Total legislative and executive

$2,321,400

 

015 - ADMINISTRATIVE SERVICES

1510

Human resources - total

$ 655,900

1512

City clerk - total

546,200

1514

Management information systems - total

1,540,300

1515

Facilities management - total

4,580,300

1516

Architect’s office

209,500

 

Total administrative services

$7,532,200

 

020 - PLANNING AND DEVELOPMENT DEPARTMENT

 

Urban development - total

$590,400

 

Total planning department

$590,400

 

030 - FINANCE

1321

Finance administration - total

$318,400

1322

City assessor’s office - total

803,000

1324

City auditor’s office - total

1,133,800

1325

Purchasing office - total

235,000

1327

City treasurer’s office - total

393,800

 

Total finance and records

$2,884,000

 

100 - FIRE DEPARTMENT

1501

Fire administration - total

$444,700

1502

Firefighting operations - total

13,848,700

1503

Fire prevention and training - total

392,600

1504

Building safety - total

1,857,800

 

Total fire department

$16,543,800

 

200 - POLICE DEPARTMENT

1610

Police administration - total

$2,053,600

1620

Police patrol division - total

 10,973,200

1630

Police investigation - total

3,082,000

 

Total police department

$16,108,800

 

300 - LIBRARY

1702

Library services - total

$3,912,100

1703

Buildings and equipment - total

247,800

 

Total library

$4,159,900

 

400 - PARKS AND RECREATION

1812

Recreation and senior services - total

$1,566,300

1814

Zoo - total

1,088,300

 

Total parks and recreation

$2,654,600

 

500 - PUBLIC WORKS

1900

Director’s office - total

$45,400

1920

Maintenance - total

7,175,700

1930

Transportation engineering services - total

2,369,300

 

Total public works

$9,590,400

 

700 - TRANSFERS AND OTHER FUNCTIONS

 

Total transfers and other functions

$16,753,200 $16,153,200

 

PUBLIC ENTERPRISE

503

Golf fund - total

$2,206,700

 

PUBLIC UTILITIES

510

Water fund - total

$15,057,400

520

Gas fund - total

57,172,800

530

Sewer fund - total

19,875,700

535

Stormwater fund - total

4,210,600

540

Steam fund - total

4,950,600

     Section 8. That the administrative assistant or his designee shall provide the council with a final budget report within three months of the end of the budget year setting forth the original approved and the modified budgets for each line item included in this ordinance and explaining in narrative form the reasons for any significant differences between the original approved and the modified budgets.

     Section 9. That the city will review all state and federal grants prior to acceptance to determine the program’s funding status. A statement should be included on each grant resolution outlining items such as whether the grant represents a one time revenue, an ongoing funding source, or a partial funding source with a local match required. The future fiscal impact of the program on the budget will be discussed prior to acceptance of the grant.

     The programs funded by state and federal grants shall be reduced or eliminated accordingly if state or federal revenues are reduced or eliminated and another funding source is not secure. Local funding will be available after a full review to determine whether the program should be continued.

     Section 10. Any amendments to the capital improvement plan, including capital improvements and capital equipment for 2007 as presented to the council on November 9, 2006, capital improvement budget and five year plan 2007-2011, using bonding, current revenue or community investment trust monies will require council approval after public hearing.
     Section 11. That this ordinance shall take effect January 1, 2007.


STATEMENT OF PURPOSE:  This ordinance establishes the city of Duluth budget and appropriates monies for the operation of city departments. Provisions of this ordinance are in conformance with the Duluth City Charter and Minnesota state law. The ordinance sets the 2007 budget for the city’s general fund, the five utility funds of water, gas, sewer, stormwater, and steam, and the golf fund. The budgets as proposed in this ordinance are the same as in the original budget as presented to the city council in September, with the exception of the general fund.


The budget for the general fund of $78,001,700 as originally presented, was increased by council action for the purpose of funding three additional firefighters and three additional police officers, in the amount of $384,000; as well as an additional $600,000 for the purpose of funding other post employment benefits, OPEB. Since that time, the administration has agreed to fund the Human Rights Office in the amount of $153,000 which is offset by an anticipated grant from the federal government in the amount of $115,000 and an additional $38,000 in general fund revenue. All of these changes have set the 2007 general fund budget at $79,138,700.