5.16. SR 08-05-1996 - Laserfiche WebLink

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ity of MEMORANDUM iver FROM: DATE: SUBJECT: Mayor & City Council Pat Klaers, City Ad~]a/~r August 5, 1996 Update on Finance~ for Capital Improvements A number of financial issues need to be reviewed in the near future either just before or after the city budget is considered by the council. Currently the assistant administrator and I are busy working with department heads in putting the 1997 budget proposal together so there is limited background material included with this memo regarding the finances for some of the recently discussed capital improvement projects. Depending on our schedule and the availability of information, there may be some material handed out at this 8/5/96 meeting. The issues that I would like to briefly review with the council vary from somewhat simple to rather complex. These issues include the following: · Library re-roofing project · Financing of the fire department pumper truck · City contribution of $50,000 to the ice area project · Update on liquor store projects and finances · Funding of the Cass property recreation fields · City participation in street projects Attached for your review are the relevant audit pages that show the status of the funds that the city needs to access to do some of the above projects. The library proiect is relatively simple. The total cost of the re-roofing project is in the $55-60,000 range. The city has sufficient reserves in the library fund to pay for this project. The repayment plan to pay off the debt for the library expansion project is still valid, but the city will now have less flexibility to use its reserves for emergencies (like this re-roofing project) or for potential revenue shortfalls. Financing of the fire department pumper truck is also relatively simple. It is proposed that the city use some of the additional contribution from the 13065 Orono Parkway · P.O. Box 490 · Elk River, MN 55330 · (612) 441-7420 · Fax: (612) 441-7425