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Item 2. 2022 Budget, Tax Levy and Capital Improvement Plan ReviewCity of Otsego│13400 90th Street NE, Otsego, MN 55330│Tel. (763) 441‐4414 Fax (763) 441‐9163  TO:   Mayor and City Council  FROM:   Adam Flaherty, City Administrator & Finance Director  DATE:   October 11, 2021  SUBJECT:  Budget Meeting #8  On Monday, Council and staff will begin the review of the 2022‐2031 Capital Improvement Plan.   It should be noted that inclusion of a certain item within the Capital Improvement Plan does not  commit final approval by the City Council. Rather, it directs City staff to plan towards and gather  necessary information for an educated final approval on each respective item. Each individual item  is planned, researched and brought back to the City Council for final approval when the respective  purchase is ready to move forward. I have developed an outline of discussion topics below.   Fleet Vehicles and Equipment CIP  The City has established Fund #206 – Capital Equipment Revolving. The purpose of this fund is to  provide funds and to account for the expenditure of such funds for costs associated with the  replacement of capital equipment, most significantly the City’s machinery and vehicle fleet.  City staff has prepared recommendations for 2022 purchases, which include both replacements of  and additions to the City’s machinery and vehicle fleet. City staff has also prepared a projected  replacement plan through 2031, which covers the entire Capital Improvement Plan period.  City staff presented this information to the Public Works Sub‐Committee on September 15th.  Materials for Review and Discussion  1)Capital Equipment Revolving – Capital Improvement Plan – 2022 Details 2)Financial Cash Flow ‐ Fund #206 – Capital Equipment Revolving 3)Comprehensive Machinery and Vehicle Addition & Replacement Schedule Item 2. City of Otsego│13400 90th Street NE, Otsego, MN 55330│Tel. (763) 441‐4414 Fax (763) 441‐9163  Pavement Management CIP  The City has established Fund #201 – Pavement Management. The purpose of this fund is to  provide funds and to account for the expenditure of such funds for costs associated with the City’s  street maintenance and replacement plan, including fog & seal coating, crack filling, paint striping,  patching, micro‐surface, overlay and reconstruction.    The City Engineer, Assistant City Engineer and Street Operations Manager have prepared  recommendations for those streets to be included in the Street Maintenance Program each year  based on the age and condition of the City streets.    When a street’s condition has degraded to a condition where the Street Management Program is  no longer an effective measure of maintenance, it is placed into our Preventative Maintenance list.   Streets on this list will typically not receive any type of maintenance other than patching as failures  develop.      Each section of street is given an annual PCI rating from 0‐100 and once a street is given a low  enough rating it is placed on a watch list.  Once on this watch list, staff will determine what type  renewal process the street shall receive, in most cases an overlay, reclaim or complete  reconstruction.  These recommendations will then be added to the CIP for ultimate approval from  the Council.    Materials for Review and Discussion  1) Pavement Management – Capital Improvement Plan – Summary  2) Street Maintenance Cost Summary  3) 2022 and 2023 Street Maintenance Maps  4) Street Renewal Cost Summary  5) 2021 Pavement Conditions Rating Index Map  6) Street Renewal Projects Map  7) Financial Cash Flow – Fund #201 – Pavement Management    Staff will review source and use cash flow projections with the City Council and further discuss  recommendations on how to continue to provide adequate funding for all future street  maintenance and renewal projects.    Franchise Fees  Over the course of the past few years budget discussions, the City Council and City staff have had  discussions regarding the use of franchise fees as an additional revenue source to finance the  City’s pavement management program, including street maintenance, reconstruction and  construction projects.     City staff provided at an update to the City Council at the September 27, 2021 meeting. As  outlined at the meeting, the next step will be to adopt the Franchise Agreement Ordinances with  the utility companies, which is on schedule to be included within the October 25, 2021 agenda.        City of Otsego│13400 90th Street NE, Otsego, MN 55330│Tel. (763) 441‐4414 Fax (763) 441‐9163  General Fund Budget  City staff continues to review the expenditure budgets that were presented during previous  budget meetings for any necessary revisions. Those budget revisions will be reviewed with the City  Council at an upcoming budget meeting and prior to final budget adoption.     Property Tax Levy  The City Council approved a preliminary property tax levy of $8,585,005 in September. There have  been no changes to the property tax levy since that approval.    Next Meetings  The schedule for the remaining budget meetings is as follows:    1) October 25th – Parks and Trails CIP; Information Technology CIP  2) November 8th – Capital Improvements CIP; Buildings and Property Maintenance CIP  3) November 22nd – Public Utility Operating Budgets and CIP  4) December 13th – Truth in Taxation Public Meeting    Staff would be seeking direction from the City Council on whether any additional review topics or  budget meetings are necessary, or if the City Council concurs with what has been presented and  reviewed thus far.    thruCapital Improvement Plan City of Otsego, Minnesota Contact Utility Operations Manager 2022 2026 Department Fleet Description Addition of a 4,250 gallon tanker truck. Project #FLEET-22-01 Justification The Wastewater Master Plan and facility designs are engineered for the transport of solids from the West WWTF to the East WWTF for solids processing to Class A EQ material. Transport of the material is scheduled for a Class B CDL tanker truck similar to that of a common septic collection vehicle. 2022 is appropriately timed for the vehicle with the 2021 completion of the East WWTF Biosolids Building and volume with cost analysis providing a <7 year return of investment on a 15 year capital expenditure. Ownership of the vehicle provides staff added benefit of processing based transport planning and added collection system maintenance options. Useful LifeProject Name Tanker Truck Category Vehicles Type Vehicles Total2022 2023 2024 2025 2026Expenditures 220,000220,000Vehicles 220,000 220,000Total Total2022 2023 2024 2025 2026Funding Sources 220,000220,000206 - Capital Equipment Revolving 220,000 220,000Total thruCapital Improvement Plan City of Otsego, Minnesota Contact Street Operations Manager 2022 2026 Department Fleet Description Replacement of a 2006 tandem-axle trailer. Project #FLEET-22-02 Justification The existing trailer is a 2006 Felling FT14. This is a tandem axle multi-purpose trailer that is primarily used to haul a skid loader or the backhoe. The operating capacity for this trailer is 14,000 lbs. This trailer has reached its useful life at 15 years old. City staff have replaced the decking on the trailer once before and the fenders have been replaced on it as well. Useful LifeProject Name Skid Loader Trailer Category Equipment Type Equipment Total2022 2023 2024 2025 2026Expenditures 14,00014,000Equipment 14,000 14,000Total Total2022 2023 2024 2025 2026Funding Sources 14,00014,000206 - Capital Equipment Revolving 14,000 14,000Total thruCapital Improvement Plan City of Otsego, Minnesota Contact Street Operations Manager 2022 2026 Department Fleet Description Addition of a second traffic management sign. Project #FLEET-22-03 Justification Staff has identified a need to have a second traffic management sign to be used by all of the City's departments. These are extremely helpful in notifying residents of construction projects on City streets, notifying residents of special events like hydrant flushing and assisting with traffic flow during events like the festival. Useful LifeProject Name Traffic Management Sign Trailer Category Equipment Type Equipment Total2022 2023 2024 2025 2026Expenditures 18,20018,200Equipment 18,200 18,200Total Total2022 2023 2024 2025 2026Funding Sources 18,20018,200206 - Capital Equipment Revolving 18,200 18,200Total thruCapital Improvement Plan City of Otsego, Minnesota Contact Street Operations Manager 2022 2026 Department Fleet Description Replacement of a 2012 pickup. Project #FLEET-22-04 Justification The primary focus for this pickup has been to assist with snow removal in a cul-de-sac route and assisting with trails. In the summer, it is primarily used to pull the roller while performing blacktop repairs. As an effort to minimize the amount of vehicles while out patching, City staff is recommending to replace the regular cab with a Crewcab. The existing pickup would be added to the City's reserve fleet until it is replaced with another unit that is better suited for this purpose. Useful LifeProject Name 1 Ton Crewcab Pickup Category Vehicles Type Vehicles Total2022 2023 2024 2025 2026Expenditures 56,00056,000Vehicles 56,000 56,000Total Total2022 2023 2024 2025 2026Funding Sources 56,00056,000206 - Capital Equipment Revolving 56,000 56,000Total thruCapital Improvement Plan City of Otsego, Minnesota Contact Street Operations Manager 2022 2026 Department Fleet Description Addition of an asphalt mill attachment for the skid-loader. Project #FLEET-22-05 Justification This is an attachment that goes on the front of a skid steer and has a 24" wide spinning wheel that has carbide teeth for cutting asphalt to various depths. Staff is routinely renting this piece of equipment and with our inventory of streets continuing to grow, it would be extremely efficient to add to the fleet. It allows staff to mill out failed sections of blacktop in open areas and also next to curblines, primarily in front of catch basins where City staff see's the majority of pavement failures. Useful LifeProject Name Asphalt Mill Category Equipment Type Equipment Total2022 2023 2024 2025 2026Expenditures 25,00025,000Equipment 25,000 25,000Total Total2022 2023 2024 2025 2026Funding Sources 25,00025,000206 - Capital Equipment Revolving 25,000 25,000Total thruCapital Improvement Plan City of Otsego, Minnesota Contact Street Operations Manager 2022 2026 Department Fleet Description Replacement of a 2013 pickup. Project #FLEET-22-06 Justification This vehicle is being recommended to be added to the City's reserve fleet but will stay in day to day use within the department. The daily driver pickups like these in a 10 year replacement cycle for budgeting and planning purposes. It is the intent to keep this vehicle and add it to the reserve fleet of three vehicles to assure that staff have addequate transportation. The pickup being purchased will take the place of the 3/4 pickup used by the Street Operations Manager, which will be re-assigned within the Streets department for better day-to-day usage. Useful LifeProject Name 1/2 Ton Extended Cab Pickup Category Vehicles Type Vehicles Total2022 2023 2024 2025 2026Expenditures 35,00035,000Vehicles 35,000 35,000Total Total2022 2023 2024 2025 2026Funding Sources 35,00035,000206 - Capital Equipment Revolving 35,000 35,000Total thruCapital Improvement Plan City of Otsego, Minnesota Contact City Administrator 2022 2026 Department Fleet Description Replacement of a 2006 SUV. Project #FLEET-22-07 Justification City staff is recommending to replace BD#20 with a compact SUV similar to the vehicle that was purchased for the Building Department in 2020. The 2006 Explorer has more than 130 thousand miles on it, and would be added to the Reserve Fleet and utilized by the Building Department and City Call as an additional vehicle for building inspections and general transportation. Useful LifeProject Name Compact SUV Category Vehicles Type Vehicles Total2022 2023 2024 2025 2026Expenditures 30,60030,600Vehicles 30,600 30,600Total Total2022 2023 2024 2025 2026Funding Sources 30,60030,600206 - Capital Equipment Revolving 30,600 30,600Total thruCapital Improvement Plan City of Otsego, Minnesota Contact Park & Recreation Director 2022 2026 Department Fleet Description Replacement of a 2013 pickup. Project #FLEET-22-08 Justification The fleet CIP identifies that the City's work truck fleet is scheduled to be replaced on a ten-year rotation. #50 which is a GMC Sierra One Ton that has a plow. Staff is recommending that this vehicle be replaced with a ¾ Ton Extended Cab with a Boss Plow. The existing pickup would be added to the City's reserve fleet until it is replaced with another unit that is better suited for this purpose. Useful LifeProject Name 3/4 Ton Extended Cab Pickup Category Vehicles Type Vehicles Total2022 2023 2024 2025 2026Expenditures 43,18043,180Vehicles 43,180 43,180Total Total2022 2023 2024 2025 2026Funding Sources 43,18043,180206 - Capital Equipment Revolving 43,180 43,180Total thruCapital Improvement Plan City of Otsego, Minnesota Contact 2022 2026 Department Fleet Description Annual Fleet Purchases The current replacement schedule can be found in the Capital Improvement Plan section of the budget. Years 2023-2031 are presented as lump sum amounts instead of individual purchase amounts as the potential purchases in any year beyond 2022 is subject to change. Project #FLEET-23-31 Justification Staff reviews fleet condition annually to provide a recommendation of scheduled replacements along with an evaluation of the City’s equipment’s capability to continue providing a high level of service. A rating system has been established to quantify these recommendations based on five criteria (age, mileage, maintenance cost, condition and level of use.) Equipment is recommended for replacement based on industry life cycles for typical equipment, age of equipment and current condition. Useful LifeProject Name 2023-2031 Future Fleet Purchases Category Vehicles Type Vehicles Total2022 2023 2024 2025 2026Expenditures 3,014,218732,713 479,507 672,435 1,129,563Vehicles 732,713 479,507 672,435 1,129,563 3,014,218Total Total2022 2023 2024 2025 2026Funding Sources 3,014,218732,713 479,507 672,435 1,129,563206 - Capital Equipment Revolving 732,713 479,507 672,435 1,129,563 3,014,218Total Unit # Department  Existing Description Replacement Description Year Purchased Purchased Cost Scheduled ReplacementReplacement CostEstimate  Salvage Value  (Trade / Sale)Net CostADDITION Utilities Tanker Truck N/A 2022 220,000            ‐                          220,000             PW#13 Streets  2006 Felling Skid Loader Trailer Skid Loader Trailer 2006 4,775                2022 14,000              1,433                12,568               ADDITION Safety Traffic Management Sign NA 2022 18,200              18,200               PW#7 Streets 2012 Ford F350 Pickup w/plow Ford F350 Crewcab 2012 34,516              2022 56,000              10,000              46,000               ADDITION Streets  Asphalt Mill 25,000              2022 25,000              25,000               PW#52 Streets 2013 Ford F150 extended cab 4X4 Ford F150 2013 25,600              2022 35,000              10,500              24,500               BD#20 Inspections 2006 Ford Explorer Ford Escape 2006 20,153              2020 30,600              ‐                          30,600               PW#50 Parks 2013 GMC Sierra 3500 1 ton 4X4 w/plow F250 Ext, Cab W/ Plow 2012 31,985              2022 43,180              9,596                33,584               2022 Total441,980            31,528              410,452             ADDITION Utilities Portable Generator N/A 2023 130,000            ‐                          130,000             PW#12 Utilities 2013 F250 4X4 w/plow 3/4T Ext Cab 4x4 w plow 2013 22,300              2023 58,000              6,690                51,310               ADDITION Utilities  1T Ext Cab Utility bodyN/A 2023 58,000              ‐                          58,000               PW #10 Parks 2013 Ford F150 extended cab 4X4 F150 2013 25,600              2022 35,000              7,680                27,320               PW #20 Streets Atlas Copco Air Compressor Equivilant  2011 10,270              2023 13,864              3,081                10,783               ADDITION Streets F150 F150   NA 38,000              2023 38,000              ‐                          38,000               PW#51 Parks 2018 Toro 5910 wide area mower Wide Area Mower  2018 103,592            2023 139,849            31,078              108,772             PW #1 Streets 2007 Elgin street sweeper Keep or trade off old machine, many systems failing2011 77,484              2023 260,000            23,245              236,755             2023 Total732,713            71,774              660,940             PW#77 Utilities  2000 Olympian ‐ Perkins Portable Generator Equivalent 2000 2024 132,000            5,000                127,000             ADDITION Utilities  1T Ext Cab Utility bodyN/A 2024 60,000              ‐                          60,000               PW #42 Streets 2002 Sterling Single Axel Plow Truck2002 46,520              2024 225,000            13,956              211,044             PW#2 Streets 2014 Kubota RTV‐X1120D Utility Vehicle 2014 9,857                2024 13,307              2,957                10,350               PW #23 Streets 2004 WRT Rubber Tire Roller2006 12,500              2024 33,000              3,750                29,250               PW#59 ParksDump Box Trailer (moved)Dump Trailer  2014 12,000              2024 16,200              3,600                12,600               2024 Total479,507            29,263              450,244             ADDITION Utilities  1T Ext Cab Utility bodyN/A 2025 62,000              ‐                          62,000               PW #8 Streets 2010 CAT 305C Excavator2010 55,286              2025 74,636              16,586              58,050               PW #39 Streets 2008 Sterling L8500 Dump Truck, Plow 2008 68,028              2025 224,000            20,408              203,592             ADDITION Streets F250 w/ plow N/A 61,000              2025 61,000              ‐                          61,000               PW#24 Streets 2014 Larue D35 Snowblower2014 87,646              2025 118,322            26,294              92,028               PW#4 Streets 2015 Ford F‐350 One ton dump2015 52,946              2025 71,477              15,884              55,593               ADDITION  Parks & Rec F250F250 NA 54,000              2025 61,000              ‐                          61,000               2025 Total672,435            79,172              593,264             PW #44 Utilities 2010 Mack GU713 Jet‐Vac Equivalent 2010 260,514            2026 600,000            78,154              521,846             ADDITION Utilities Locate VehicleN/A 2026 62,000              62,000               ADDITION Utilities Locate VehicleN/A 2026 62,000              62,000               PW#54 Streets 2016 Ford F‐350 One ton dump2016 52,946              2026 71,477              15,884              55,593               PW #43 Streets 2010 Mack GU713 Tandem Dump Truck, Plow 2010 197,609            2026 266,772            59,283              207,489             PW#53 Parks 2016 Ford F‐250 Extended Cab  F‐250 2016 40,000              2026 54,000              12,000              42,000               PW#55 Parks 2016 John Deere Z930M zero turn mower Zero turn 2016 9,862                2026 13,314              2,959                10,355               2026 Total1,129,563        168,279            961,284             City of Otsego ‐ Capital Assets ‐ Vehicles (by Year) Unit # Department  Existing Description Replacement Description Year Purchased Purchased Cost Scheduled ReplacementReplacement CostEstimate  Salvage Value  (Trade / Sale)Net CostCity of Otsego ‐ Capital Assets ‐ Vehicles (by Year)PW#57 Utilities 2017 Ford F‐250 Extended Cab & Plow Equivalent 201742,390              2027 62,000              12,717              49,283               PW#78 Utilities 1999 Katolight ‐ John Deere Portable Generator Equivalent 1999 2027 140,000            5,000                135,000             PW #18 Utilities 2016 Ford F‐250 Extended Cab  3/4T Ext Cab w plow2016 35,000              2027 62,000              10,500              51,500               PW#17 Streets 2017 Ford F250 P/U2017 24,996              2027 33,745              7,499                26,246               PW#36 Streets 2017 John Deere 4066R 2017 41,608              2027 56,171              12,482              43,688               PW#16 Streets 2017 Bomag BW90AD Asphalt Roller2017 29,200              2027 39,420              8,760                30,660               PW#56 Parks 2017 Ford F‐250 Crew Cab2017 32,473              2027 43,839              9,742                34,097               ADDITION  Parks & Rec  Track Skid Loader   NA 63,654              2027 63,654              ‐                          63,654               2027 Total500,828            66,700              434,128             PW#58 Streets 2018 Vermeer BC1000XL Chipper2018 29,356              2028 39,631              8,807                30,824               PW#19 Streets 2018 Vermac Traffic Information Trailer 2018 16,475              2028 22,241              4,943                17,299               PW#63 Streets 2018 Ford F‐250 Extended Cab 4x42018 29,632              2028 40,003              8,890                31,114               ADDITION Utilities  1T Ext Cab Utility bodyN/A 2028 63,000              ‐                          63,000               PW #14 Parks 2018 CAT 259D Track Skid Loader2018 59,124              2028 79,817              17,737              62,080               PW#60 Parks 2018 Ventrac 4500Z2018 52,637              2028 63,164              15,791              47,373               PW#28 Parks 2018 Felling FT16‐2 Tilt Trailer2018 16,513              2028 22,293              4,954                17,339               2028 Total330,149            61,121              269,028             PW#70 Streets 2016 Cimline Tack Trailer2019 12,000              2029 16,200              3,600                12,600               PW#69 Streets 2019 Stepp Hot Box2019 63,733              2029 86,040              19,120              66,920               ADDITION Streets S/A Dump Body Plow Truck N/A 215,058            2029 215,058            ‐                          215,058             PW#64 Parks 2019 Ford F‐350 truck w/dump2019 41,241              2029 55,675              12,372              43,303               PW#66 Parks 2019 ProGator2019 $36,110 2029 48,749              10,833              37,916               PW#72 Parks Kromer Field Painter/ Groomer2019 $22,500 2029 30,375              6,750                23,625               2029 Total452,096            52,675              399,421             PW #52 Utilities 3/4 T Ext Cab wPlow Package  Equivalent 2020 36,000              2030 65,000              10,800              54,200               PW#85 Streets Floor Scrubber2020 15,500              2030 20,925              4,650                16,275               BD #83 Inspections BLDG #83Ford Escape 2020 24,907              2030 33,624              7,472                26,152               PW #75 Parks #75 Toro Blower2020 7,621                2030 10,288              2,286                8,002                 PW #22 Parks2012 John Deere Z925A ‐ zero turn 2020 10,200              2030 13,769              3,060                10,710               2030 Total143,607            28,268              115,339             PW#30 Streets 2016 Mack GU712 Rolloff Truck2016 219,430            2031 296,231            65,829              230,402             PW#11 Streets 2016 Mack GU713 Tandem Dump Truck, Plow 2016 212,161            2031 286,417            63,648              222,769               Parks Tool Cat‐UTV  2021 59,600              2031 80,460              17,880              62,580               PW #22 Parks2012 John Deere Z925A Zero TurnZero Turn Mower 2021 10,200              2031 13,769              3,060                10,710               2031 Total676,877            150,417            526,460              City of OtsegoCapital Equipment Revolving FundCash Flow SummaryRevised: October 7, 2021 7.69% 7.14% 6.67% 6.25% 5.88% 5.56% 5.26% 5.00% 4.76% 4.55% 4.35% 4.17%Actual Forecast2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031RevenuesProperty Taxes 280,000$              300,000$              320,000$              340,000$              360,000$             380,000$             400,000$             420,000$             440,000$             460,000$              480,000$              500,000$            Investment Interest 10,149                  ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Sales of Fixed Assets ‐                             ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Sales of Fixed Assets (Est.) ‐                             40,000                  ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Utility Fund Contributions ‐                             ‐                             220,000                246,000                192,000              62,000                724,000              264,000              63,000                ‐                             65,000                 ‐                          Transfers In ‐                             ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Total 290,149                340,000                540,000                586,000                552,000              442,000              1,124,000           684,000              503,000              460,000                545,000                500,000             ExpensesPersonal Services ‐                             ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Supplies ‐                             ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Other Charges & Services ‐                             ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Capital Outlay ‐ General ‐                             ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Capital Outlay ‐ Public Safety 24,907                  ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Capital Outlay ‐ Streets 152,436                300,228                ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Capital Outlay ‐ Parks 17,422                  69,716                  ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Capital Outlay (Fleet CIP) ‐                             248,988                441,980                732,713                479,507              672,435              1,129,563           500,828              330,149              452,096                143,607                676,877             Transfers Out ‐                             ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Total 194,765                618,932                441,980                732,713                479,507              672,435              1,129,563           500,828              330,149              452,096                143,607                676,877             Cash Balance ‐ Beginning394,536                390,669                111,737                209,757                63,044                135,537              (94,898)               (100,461)             82,711                255,562                263,466                664,859             Balance Sheet Effects (99,251)                Revenues 290,149                340,000                540,000                586,000                552,000              442,000              1,124,000           684,000              503,000              460,000                545,000                500,000             Expenditures (194,765)               (618,932)               (441,980)               (732,713)               (479,507)             (672,435)             (1,129,563)          (500,828)             (330,149)             (452,096)               (143,607)               (676,877)            Cash Balance ‐ Ending 390,669$              111,737$              209,757$              63,044$                135,537$             (94,898)$              (100,461)$            82,711$               255,562$             263,466$              664,859$              487,982$            Cash Balance ‐ % of Next Year Capital63% 25% 29% 13% 20% ‐8% ‐20% 25% 57%183%98%Projection ‐ Capital Improvement PlanX:\Budget\2022\Cash Flows\Capital Funds206-Capital Equipment Capital Improvement PlanCity of Otsego, MinnesotaPROJECTS BY FUNDING SOURCE2022 2031thruTotal2022 2023 2024 2025 2026Source2027 2028 2029 2030 2031 #201 - Pavement Management984,422984,422Street Maintenance - 2022STREET-22-01895,304895,304Renewal - Walesch EstatesSTREET-22-029,090,4961,248,132 876,784 1,039,1731,013,457 1,427,372 811,196 748,596 835,7421,090,044Street Maintenance - 2023 to 2031STREET-23-015,890,762654,226 595,284 79,718 754,956523,147 75,444 2,125,579 450,812631,596Street Renewals - 2023 to 2031STREET-23-02201 - Pavement Management Total16,860,9841,879,726 1,902,358 1,472,068 1,118,891 1,768,413 1,950,519 886,640 2,874,175 1,286,554 1,721,6401,879,726 1,902,358 1,472,068 1,118,891 1,768,41316,860,984GRAND TOTAL1,950,519 886,640 2,874,175 1,286,554 1,721,640 2022 through 2031Street Maintenance Summary (With Fog Over Seal Coat Only)YEARSEALCOAT MICRO-SURFACEFOGSEAL TRAFFIC CONTROL** OVERHEAD10% - (ENG, LEGAL, ADMIN)CRACKFILLSTRIPING 50% PER yearPREVENTATIVEMAINTENANCE (PATCHING)TOTAL2022 $17,092 $586,978 $38,967.49 $77,164 $72,020 $82,806 $39,854 $69,540 $984,4222023 $61,305 $753,430 $38,787.71 $102,423 $95,595 $84,462 $40,851 $71,279 $1,248,1322024 $52,634 $438,355 $57,469.74 $65,815 $61,427 $86,151 $41,872 $73,061 $876,7842025 $169,746 $446,206 $60,584.05 $81,184 $75,772 $87,874 $42,919 $74,887 $1,039,1732026 $67,689 $544,158 $39,999.41 $78,222 $73,007 $89,632 $43,992 $76,759 $1,013,4572027 $130,104 $810,039 $43,766.96 $118,069 $110,198 $91,425 $45,091 $78,678 $1,427,3722028 $122,058 $321,841 $35,872.28 $57,573 $53,734 $93,253 $46,219 $80,645 $811,1962029 $122,816 $245,432 $56,623.63 $50,985 $47,586 $95,118 $47,374 $82,661 $748,5962030 $88,860 $341,526 $61,039.04 $58,971 $55,040 $97,020 $48,559 $84,728 $835,7422031 $0 $683,305 $10,253.81 $83,227 $77,679 $98,961 $49,773 $86,846 $1,090,04410 year expense $10,074,9182.50% per year is added for inflation for all prices except using 2% for Crack Filling10 yr Average $1,007,492** 12% add this percentage of cost for traffic control based on the average Traffic Control bid prices in 2018 and 2019CF = Crack FillFG = Fog SealSC = Seal CoatMS = Micro-SurfaceS:\Municipal\AOTSEGO\387 Road Maintenance\ROADWAY MGMT PLAN\2022\10 yr Plan Street Maintenance (2022-2031).xlsx DENOTES PROPOSED SC & FOGDENOTES PROPOSED FOG ONLY2022 STREETMAINTENANCELegendDENOTES PROPOSED MICRO-SURFACINGRECONSTRUCT DENOTES PROPOSED SC & FOGDENOTES PROPOSED FOG ONLY2023 STREETMAINTENANCELegendDENOTES PROPOSED MICRO-SURFACING 2022‐2031  Street Renewal SummaryMapID ScheduledProjectYear Project Name TYPE OF STREETOverlayProject CostReclaimProject CostReconstructProject Cost# of ParcelsIndividual Assessment Amount Type of ProjectInitiallyPavedPrevious Overlay Year NotesLocal Streets1 2022 Walesch Estates & O'Day Acres LOCAL 770,558.71$             895,304.33$             1,626,298.12$         61 7,338.56$         Reclaim 1978 1999OVERLAY = REMOVE BIT AND REPAVERECLAIM = RECLAIM, REMOVE 4" SUBGRADE, INSTALL THICKER GRAVEL, REPAVERECONSTRUCT = Lower/Widen2 2023 Vasseur's Oak Grove 3rd Addition LOCAL 163,293.22$             291,583.27$             654,225.92$            65 5,032.51$        Reconstruct 1977 1999 Lower/Widen3 2024 Deerfield Acres/Hidden Valley LOCAL 91,724.16$               163,786.54$             367,488.16$            35 2,339.81$        Reclaim 1980/81 19994 2025 Otsego Industrial Park LOCAL 79,718.40$               142,348.55$             319,387.70$             6 6,643.20$         Overlay 2001/19955 2026 Halls's Addition LOCAL 422,792.27$             754,955.75$             1,693,895.59$        87 4,338.83$        Reclaim 1980 19996 2027 Vasseur's Oak Grove 1st/2nd Add LOCAL292,974.33$             523,147.35$             1,173,786.65$       912,874.44$       Reclaim7 2028 Heritage Plains 1st and 2nd Add LOCAL 75,444.44$               134,716.78$             134,716.78$            16 2,357.64$        Overlay 1995/968 2029 Otsego Acres 1st and 2nd Add LOCAL 267,066.88$             476,885.90$             476,885.90$            59 4,041.41$        Reclaim 1982 19999 2030 Mississippi Parkwood LOCAL 277,005.60$             494,632.90$             1,109,808.74$        49 2,826.59$        Overlay 199210 2030 Antelope Park LOCAL 173,805.86$             310,355.09$             696,344.28$            31 2,803.32$        Overlay 199211 2031 Country Ridge LOCAL 353,708.24$             631,596.38$             1,417,113.95$        77 4,101.28$        Reclaim 1992 Totals 605,974.30$          3,445,676.25$       654,225.92$        10‐yr Total = Collector Streets Totals ‐$                         ‐$                        ‐$                       10‐yr Total = MSA StreetsM1 202478th St (76th to Page Ave)MSA 56,639.38$               138,221.49$             259,282.50$            ‐$                  Overlay 2001M2 2024 78th St/Quaday Ave MSA 374,858.17$             914,795.55$             1,716,017.42$        ‐$                  Overlay 2000M3 2029 Queens Ave (CSAH 36 to 60th St) MSA 360,151.48$             878,905.65$             1,648,693.43$        9 ‐$                  Reconstruct 1988/2007 Reconstruct to 54' wide w/utilities Totals 431,497.56$          ‐$                        1,648,693.43$     Rural/Local MSA/Collector$2,080,190.99$3.90 per SY $3.78 per SY <‐‐ Micro‐Surface Only (add Fog @ $0.13 SY if needed)\Proposed Project highlighted in Green $10.25 per SY $13.50 per SY$20.00 per SY $36.00 per SY$6,786,067.45$39.87 per SY $60.00 per SY$678,606.75** Costs include 15% Overhead and a  3.0% per year increase2016 Reconstruct Average$4,705,876.47 10‐yr Ave = $470,587.652020 Micro‐Surface Average2017 Overlay Average2020 Reclaim Average10‐yr Average =10‐yr Ave = $208,019.1010‐yr Total = 10‐yr Total = $0.00 10‐yr Ave = $0.00S:\Municipal\AOTSEGO\392 CIP_Renewals\2022\2022 CIP\2022‐CITY Street Renewal Estimate.xlsx10/6/2021 ¯ 456738456738 456738 456742 456742 456742 456742 456736 456739 456739456739 456719 456719 §¨¦9 4 456737 456718 EF137 EF137 10195TH 60TH 85TH 94 70TH 80TH KADLERO DEANRIV E RPAGEPARRISHMACIVER83RDNASHUA 53RDLABEAUX65THQUEENSJABER78THMASON75TH77THQUAM91STPARKMCALLISTER90THJALGERPACKARD96TH89THOHLANDOGRENJASONO BRIAN73 RD 10 1S T 88TH 87TH RAWLINGSMARLOWE7 2 N D KALDERQUADAYNABER61ST QUIN82ND 74TH 71ST 81ST OAKWOOD92ND PARELLKAGAN7 6 T H JANDELJAMES 58TH 59THLANDER62ND 84TH NEEDHAMRAMIERKAHLER93RD 105TH67TH 94TH QUALEPALMGREN63RDLARGE103RD OGDEN51ST97TH RANDOLPHMARTIN FARMSODELLKITTREDGE O DAY SERVICE LYDIA99TH OCHOA6 9 T H NELMARK54THQUI GLEY68TH 56 TH 52NDQ UIL L E YKALLANDMARXPADGETTNAPIERNADALANASONKALENDA79TH L A M B E R T LANNONMACKENZIEKAEDING 57THLAMONTLASALLER A DF ORD75TH LACHMAN64THJANSEN RATHBUN55THPARKINGTON66TH M A C L Y N N QUAKERMARQUETTENAUGHTORO DELLPARSONOR GE N MARTINKAHL88TH PARISODAYLANDAUPINNACLELARABEE Q U A N T R E L L E LANGLEYQUARRYQUAIL QUENROERASPBERRYPALISADESMACLARENR A M S L U N DMANCHESTERO'DELLPARQUETPADREKAISERKEADINGLARGEMANCHESTERKAISER74TH 79TH 72NDMARLOWELAMONTKAHLER 79TH 94TH ODAY78TH K A G A N 71ST 72ND 90TH K A H L E R 93RD 62ND 56THO DELLPARSONPARELL93RDNASHUA PACKARDPARK79 TH 96TH 91ST88TH 77TH 75THOCHOASERVICE 6 5 T H 73RD PADGETT9 2 N D 85TH 92ND 7 2 N D JAMES 87TH LARGE77THO BRIAN88TH 54TH88TH 65TH 75TH 83RD PARELL73RDLAMBERT76TH 54THMARLOWE85TH 96TH 7 2 N D 67TH74TH73RD 73RD 89THOAKWOODLANDAUOCHOA73 RD 59THO DAYLANDER89TH 70THODELL72ND 71ST 77TH 84TH 58TH 78TH 89TH PARELL71ST PACKARDPARK87TH 69TH 9 6 T H PACKARD91ST 81ST 93RD 71STO DELL93RD 95TH QUAMMASONRIVER 76TH 94 JANSEN 76TH90TH 75THO DAY97TH 62NDQUADAYPARELL90TH 77TH 83RD56TH 60THPAGE77TH 71 ST 81ST 92ND 87TH SERVICE92ND59TH 78THLARGE 62NDKALLAND66TH95TH 74TH QUEENS88TH 70TH M A R L O W E 67TH 81ST 71ST 75TH 67TH 84THOAKWOOD71ST 77TH O DAY85TH 72ND ODELL87TH LARGE62ND 5 4 T HPACKARD71ST 81ST 76 TH 74TH 83RD 79TH 62ND 7 6 T H JABER82ND 72NDNABERQUADAY73RD 65TH 80TH M A S O N 75TH PARKINGTONPALMGREN74TH 71ST 67TH 5 7 T HKAHLEROGREN10179TH 91STJALGER PARRISH75TH 78TH 74TH 60TH 87TH QUADAY78TH 96TH 87TH 9 2 N D 81STOCHOA 90TH 89TH 76TH 88TH 74TH OGDENSERVICE PCI RATING MAP-2021 K:\GIS\Projects\Municipal\OTSEGO\OT387 (Streets)\2021\OT387-2021 PCI Rating Map.mxd Legend NO RATING 33 - 40 41 - 50 51 - 60 61 - 70 71 - 80 81 - 83 84 - 87 88 - 91 92 - 95 96 - 100 2022-2031 CIP OVERALL CAPITAL IMPROVEMENT PROJECT PLANMSASTREETSLOCALSTREETS City of OtsegoPavement Management FundCash Flow SummaryRevised: October 7, 2021 10.53% 4.76% 4.55% 4.35% 4.17% 4.00% 3.85% 3.70% 3.57% 3.45% 3.33%Actual Forecast2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031RevenuesProperty Taxes 950,000$              1,050,000$           1,100,000$           1,150,000$           1,200,000$          1,250,000$          1,300,000$          1,350,000$          1,400,000$          1,450,000$           1,500,000$           1,550,000$         Property Taxes (Reduction) ‐                             ‐                             ‐                             (50,000)                 (100,000)             (150,000)             (200,000)             (250,000)             (300,000)             (350,000)               (400,000)               (450,000)            Franchise Fees (Residential) ‐                             ‐                             342,816                685,632                685,632              685,632              685,632              685,632              685,632              685,632                685,632                685,632             Franchise Fees (Commercial) ‐                             ‐                             50,820                  101,640                101,640              101,640              101,640              101,640              101,640              101,640                101,640                101,640             Franchise Fees (New Growth) ‐                             ‐                             ‐                             9,600                     19,200                28,800                38,400                48,000                57,600                67,200                  76,800                 86,400               Intergovernmental (MSA) 251,422                272,126                239,098                240,293                241,494              242,702              243,915              245,135              246,361              247,593                248,830                250,075             Intergovernmental (LGA) 62,870                  ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Special Assessments (Actual) 31,488                  ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Special Assessments (Levied) ‐                             30,992                  22,974                  21,682                  18,377                17,842                12,579                7,995                   ‐                            ‐                             ‐                            ‐                          Special Assessments (Future) ‐                             ‐                             4,900                     13,300                  26,916                26,132                25,348                36,744                48,352                54,416                  60,964                 59,016               Investment Interest 124,282                ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Debt Issuance ‐                             ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Transfers In 1,111,482             ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Total 2,531,544             1,353,118             1,760,608             2,172,147             2,193,259           2,202,748           2,207,514           2,225,146           2,239,585           2,256,481             2,273,866             2,282,763          ExpensesEngineering 24,694                  ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Other Charges & Services 4,109                     ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Capital Outlay 397,468                ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Capital Outlay (CIP‐Maintenance) ‐                             722,952                984,422                1,248,132             876,784              1,039,173           1,013,457           1,427,372           811,196              748,596                835,742                1,090,044          Capital Outlay (CIP‐Renewal) ‐                             715,582                895,304                654,226                163,787              79,718                754,956              523,147              75,444                476,886                450,812                631,596             Capital Outlay (CIP‐MSA) ‐                             ‐                             ‐                             ‐                             431,497              ‐                           ‐                           ‐                           ‐                            1,648,693             ‐                            ‐                          Transfers Out ‐                             ‐                             ‐                             ‐                             ‐                           ‐                           ‐                           ‐                           ‐                            ‐                             ‐                            ‐                          Total 426,271                1,438,534             1,879,726             1,902,358             1,472,068           1,118,891           1,768,413           1,950,519           886,640              2,874,175             1,286,554             1,721,640          Cash Balance ‐ Beginning3,199,088             5,304,220             5,218,804             5,099,686             5,369,475           6,090,666           7,174,523           7,613,625           7,888,252           9,241,196             8,623,502             9,610,814          Balance Sheet Effects (141)                      Revenues 2,531,544             1,353,118             1,760,608             2,172,147             2,193,259           2,202,748           2,207,514           2,225,146           2,239,585           2,256,481             2,273,866             2,282,763          Expenditures (426,271)               (1,438,534)            (1,879,726)           (1,902,358)            (1,472,068)          (1,118,891)          (1,768,413)          (1,950,519)          (886,640)             (2,874,175)            (1,286,554)            (1,721,640)         Cash Balance ‐ Ending 5,304,220$           5,218,804$           5,099,686$           5,369,475$           6,090,666$          7,174,523$          7,613,625$          7,888,252$          9,241,196$          8,623,502$           9,610,814$           10,171,937$      5,661,084$         Cash Balance ‐ % of Next Year Capital369% 278% 268% 365% 544% 406% 390% 890% 322% 670% 558%Projection ‐ Capital Improvement PlanX:\Budget\2022\Cash Flows\Capital Funds201-Franchise Fees