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05-1166Presentetl By: Referretl To: Council File # Green Sheet # RESOLUTION ' IN;A TjPauL, M�NNESOTA b¢ ��. Committee: Date i WHEREAS, state law and city ordinances require that the Saint Paul Public Library Agency submit an annual budget to the Mayor z and City Council; and � a WHEREAS, the Saint Paul Public Library Agency Director submitted a budget request to the Mayor for 2006, pursuant to s sec. 10.002 and 10.03 of the City Charter; and WHEREAS, Mayor Kelly presented his proposed $17,593,781 2006 budget for the Saint Paul Public Library Agency on Monday, August 22, to the Board of Library Commissioners at the Riverview Library; a�d io ii ,z 13 l4 15 t6 n 18 is zo z� zz 23 za zs 26 2I 28 29 33 34 35 36 3] 38 39 WHEREAS, the Board of Commissioners, pursuant to city ordinance, considered Mayor Kelly's recommended budget, and made adjustments totaling $306,627, as indicated on Attachment A, to said recommended budget, and adopted the budget for fiscal year 2006; and WHEREAS, the City Councit considered the $17,9o�,4�8 budget recommended by the Library Agency Board, and recommended adjustments totaling -$8,369 as indicated on Attachment B; and WHEREAS, the Saint Paul Public Library Board has adopted a 2006 financing plan, which includes $10,116,505 property tax and market value credit financing, and requests that the Saint Paul City Council certify a 2005 property tax levy on behalf of the Public Library Agency for the 2006 budget; now therefore be it RESOLVED, that pursuant to the provisions of the City Charter, the Saint Paul Public Library Agency budget for the fiscal year beginning January 1, 2006 as adopted by by the Saint Paul Library Agency Board, is hereby adopted by the City Council. FINALLY RESOLVED, that the Director of Financial Services is hereby authorized to prepare the final 2006 budgets in accordance with the actions taken herein and to equalize, balance or set the final department revenue sources and department appropriations as necessary. Requested by Department of: Financial Services Office By: Matt Adopted by Council: Date Adoption Certified by Councd Secretary: BY� /� //.//l�/l/cllG/Jir . Approved by ;yor: Dat / ` � B � � 05- 1 /�( 3028866 u Form Approved b City Attome : � By. ` � � J -�ns-r Approved by M or for Submission to ouncil: By: � Officeo(F�nanc�alSerncu G\Shs+ed�B�dget�2006\Couvd�Lbrery2006BudgexResoluvo��s SAWT Presented by 1 2 3 4 5 6 7 8 9 10 11 12 RESOLUTION ADOPTING 2006 BUDGET & REQUESTING PROPERTY TAX FINANCING WHEREAS, Mayor Randy Kelly presented the proposed 2006 budget for the Saint Paul Public Library Agency on Monday, August 22, 2005 at the Riverview Library; and WHEREAS, the Boazd of Commissioners of the Saint Paul Public Library Agency held a public hearing on the proposed budget on November 2, 2005 in the City Council Chambers, after norice was published in accordance with law, at which public hearing all those appearing who so des'ued to speak were heard; and RESOLVED, the Board of Commissioners for the Saint Paul Public Library Agency does hereby adopt the 2006 budget for the Saint Paul Public Librazy Agency as foSlows: Amount 13 Library Agency Operations Fund # 349: Library Special Revenue Library Administration Technical Support Seroices Public Services - Library Library Maintenance Services Metro Library Service Agency (MELSA) Friends Of the Library Community Based Science Project Perrie Jones Library St. Catherine's Teaching-Learning Library Total Spending Plan: Library Agency Operations Fund # 349: Undesignated Fund Balance Designated Fund Balance - Grant Carryover Property Taxes / Market Value Credit Local Government Aid MELSA Fees, Sales & Services Miscellaneous Revenues Total Financing Plan: RESOLUTION Council File # L-� - C� �— � O� Green Sheet # U � LIBRARY AGENCY 239,642 1,226,198 2,887,826 7,602,284 1,822,897 273,250 415,493 9,384 I 17,000 34,028 14,628,002 243,365 132,780 8,032;493 5,263,347 140,470 47,850 767,697 14,628,002 �B. oS -�oS D�-l/GG 14 15 16 17 18 19 20 21 Rella Havens Memorial Fund # 363 Rella Havens Memorial Trust Total Spending Plan: Rella Fiavens Memorial Fund # 363 Miscellaneous Revenues Totai Financing Plan: Library Agency Debt Service Fund # 966 Past CIB Bonds for Libraries Past CIB Bonds for Capital Maintenance Subsequent Yeaz Debt Service Current Year Debt Serv.: 2004 PLA Bonds Total Spending Plan: Library Agency Debt Service Fund # 966 Property Tases / Mazket Value Credit Investment Eaznings - Fund 966 Cash Transfer-In Interest Earnings From P.L.A. Cap Proj Contribution To Fund Ba]ance Use of Fund Balance - Designated Subsequent Year Use of Fund Balance - Designated for Debt Service Total Financing Plan: Library Agency Capital Projects Fund # 934 Rondo construction Total Spending Plan: Library Agency Capital Projects Fund # 934 Investment Earnings Use of Fund Balance Total Financing Plan: 27,811 27,811 27,811 27,811 2,015,992 34,171 464,275 528,550 3,042,988 2,084,012 30,000 0 -50,000 464,275 494,701 3,042,988 201,607 201,607 68,309 133,298 201,607 TOTAL - ALL BUDGETS 17,900,408 FURTHER RESOLVED, that the Board of Commissioners has determined that $1 Q t 16,505 in Property Tax revenues are required to finance the 2006 Budget with $8,032,493 needed for the Library Agency General Fund #349, and $2,084012 needed for the Public Library Agency Debt Service Fund #966; and be it FINALLY RESOLVED that the Board of Commissionexs request and xecommends that the Saint Paul City Council certify in 2005, a Property Tax Levy of $10,318,836 to be collected in 2006 which will provide net property tax revenues of $10,116,505 for the 2006 Public Library Agency budgets. [_B. D�-DO� Q�'�/�Olo Benanav Boshom Harris ✓ ✓ Requested by Department of: Thune Adopted by Adoption � By: Appro by By: 30 31 � ✓ � Date '�;Ct�'Y Council Secretary Date � � Form Approved by City Attomey O B 07�, aors Approved by Mayor for Submission to Council d�-//�v� 2006 Budget Balancing Status Library Agency Office of Financial Services Report dateftime: 12/22/2005 1:39 PM Page 1 of t Recommended Budget... Operating (Funds 349 and 363) Debt(Fund 966) Total Gap: Excess /(Shortfall) Technical Changes to the Recammended Budget... Budget After Technical Changes Gap: Excess / (Shortfall) Policy Changes Proposed by the Mayor x Budget After Policy Changes Gap: Excess / (Shortfall) Council Changes to the Recommended Budget... Library Library Library Library Library Library Library Library Library Library Saturday Morning Program at Central Library Homework Centers Funding for a Marketing Specialist Central Service Charges Eliminate Vacancy Savings Cut Recognize Delayed Opening of Rondo Library Fund 349 Use of Fund Balance Increase Property TaxJMV CredR Financing Decrease LGA Financing Retiree insurance savings-estimate (preliminary) Budget After Council Changes Gap: Excess / (Shortfall) Library Capitai Budget Library Library Library $144,243 Bookmobile Garage & $57,364 Conting. Financing - Interest Earnings from Rondo Constr. 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Egan, Chief Budget Analyst V�{��(�/� Margaret A. Egan Chief Budget Analyst Office of the City Council 651.266.8564 margaretegan@ci.stpaul.mn.us RE: Proposal to reduce LibraryAgency's use ofLocal Govern�nentAid (LGA) The Library Board would like to reduce the use of Loca1 Governinent Aid for financing library services. Advantages of this change include a simplified and more stable financing strategy. The reduction in LGA would result in a shift to properiy ta�ces. To provide for a gradual reduction in LGA, a two-part approach is suggested: � 2006 proposed LGA be reduced to the 2005 budgeted amount. This change shifts nearly $300,000 in financing from LGA to property t�es. The proposed change is presented in the table below. -Change in 2006 LGA for the Library Agency- 2006 Mayor's Change from 2005 Budget Proposal 2005 to 2006 2006 Revised LGA $ 4,966,891 � 5,263,347 � 296,456 $ 4,966,891 Property Taxes* $ 10,116,505 � 1�,116,505 � - $ 10,412,961 Total $ 15,083,396 $ 15,379,852 $ 296,456 $ 15,379,852 * The 2006 revised column results in an increase of $296,456 in property taxes for the Library Agency. Tlus is equal to a change of 3% in the levy. The levy for the General Fund decreases by tlus same dollar amount because of the receipt of more LGA. � Library Board draft a plan to gradually eliminate LGA as a financing source over a period of 5 to 15 years. The plan should be presented for considerafion to the City Council by Mazch 1, 2006. The next table estimates the annual amount of the reducrion. -Options for Gradual Reduction of LGA- 5 Year Term 10 Year Term 15 Year Term Annual Reduction $ 1,000,000 $ 500,000 $ 330,000 � Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet � OepartmenUotfice(council: Datelnitiated: � ��� FS – Fina�cia(Services o�-0E�s Green Sheet NO: 3028866 Contact Person & Phone: Barb Renshaw 266-8554 on Council Agenda by (Date): ContractType: RE-RESOLUiION -' Departrnent SentToPerson InitiaUDate 0 inancia rvices A55ign 1 inancia en5ces De arhnent Dirxtor Number Z � ptt rne For Routing 3 a or's Office Mav NASSistan[ Order 4 ooncil 5 iN Clerk Ci Clerk Total # of Signature Pages _(Clip All Locations for SignaNre) Action Requested: Signatures on attached resolution adopting the Saint Paul Public Library Agency's 2006 budget. Recommendations: Approee (A) or F Planning Canmission CIB Committee Ciul Service Commission 1. Has this persoNfirtn e�er worked under a contract for this department? Yes No 2. Has this person/firtn e�er been a city employee? Yes No 3. Does this persoNfirm possess a skill not normally possessed by any current city employee? Yes No Explain all yes answers on separete sheet and attach to green sheet Initiating Problem, Issues, Opportunity (Who, What, When, Where, Why): Financial Services must prepaze the final 2006 budgets to equalize, balance or set the final department revenue sources and department appropriations as necessary. Advantages IfApproved: The 2006 budget and tas levy for the Library will be approved. Di55dVantages IFAppfoVed: None. Disadvantages 1F Not Approved: The 2006 budget and tas lery for the Library will not be approved. rotal Amount of 7ransaction: Funding Source: Financial Informatio n: (Expiain) CosUReqenue Budgeted: Activity Number: December 7, 2005 2:07 PM Page 1