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_08 15 2022 City Council Agenda Packet
4646 Dakota Street SE Prior Lake, MN 55372 City Council Meeting at City Hall Monday, August 15, 2022 City Council Work Session Agenda 5:00 p.m. 1.DISCUSSION ITEM(S) A.Environmental Scan, Focus Group, and Internal Survey (Guest: Cory Poris Plasch, SVP, Rapp Consulting Group) (60 Mins) B.2023 Budget Update (30 Mins) City Council Meeting Agenda 7:00 p.m. Reports included with this agenda can be found in the Document Center by clicking here or at www.cityofpriorlake.com \Doc Center\City of Prior Lake\City Council, Planning Commission and Advisory Committees\City Council\City Council Agenda Packets\2022\08 15 2022 1.CALL TO ORDER and PLEDGE OF ALLEGIANCE 2.PUBLIC FORUM The public forum is intended to afford the public an opportunity to address concerns to the City Council. The public forum will be no longer than 30 minutes in length and each presenter will have no more than five (5) minutes to speak. Topics of discussion are restricted to City governmental topics rather than private or political agendas. Topics may be addressed at the public forum that are on the agenda. However, topics that are the subject of a public hearing are best addressed at the public hearing, not at public forum. Therefore, topics may not be addressed at public forum if: (I) the topic has been the subject of a public hearing before the City Council or any City Advisory Committee and the Council has not acted on the topic; or (ii) if the topic is the subject of a public hearing for which notice has been published in the City’s official newspaper, or a continued public hearing or public information hearing before the City Council or any City Advisory Committee. During public forum, a member of the public may request that the City Council consider removing an item from the Consent Agenda following the procedure set forth in Section 401.5. The City Council may discuss but will not take formal action on public forum presentations. Matters that are the subject of pending litigation are not appropriate for the forum. 3.APPROVAL OF AGENDA 4.MINUTES A.Approval of the August 1, 2022 City Council Minutes 5.CONSENT AGENDA Those items on the Council Agenda which are considered routine or non-controversial are included as part of the Consent Agenda. Unless the Mayor or a council member specifically requests that an item on the Consent Agenda be removed and considered separately, items on the Consent Agenda are considered under one motion, second and vote. Any item removed from the consent agenda shall be placed on the council agenda under Items Removed Consent Agenda Items. A.Claims Listing B.July Building Permit Summary Report C.July Animal Control Services Report D.Receive Quotes and Award Contract - Welcome Avenue Storm Sewer Repairs Project (2022-16) E.Resolution Approving Five Year Contract for Axon Equipment F.Resolution Approving an Extension of the Deadline for Submitting the Final Plat for Paul's Place 6.PRESENTATIONS 7.PUBLIC HEARINGS 8.OLD BUSINESS 9.NEW BUSINESS A.Resolution Approving the Issuance and Sale of General Obligation Bonds Series 2022A B. Resolution Approving 2023-2027 Capital Improvement Program (CIP) 10.REMOVED CONSENT AGENDA ITEMS 11.COUNCILMEMBER LIAISON UPDATES / COUNCILMEMBER REPORTS 12.OTHER BUSINESS A.Closed Session to Consider an Offer or Counteroffer for the Purchase and Sale of Property 13.ADJOURNMENT City of Prior Lake | 4646 Dakota Street SE | Prior Lake MN 55372 CITY COUNCIL AGENDA REPORT ITEM: 1A MEETING DATE: August 15, 2022 PREPARED BY: Lori Olson, Assistant City Manager PRESENTED BY: Lori Olson AGENDA ITEM: Environmental Scan, Focus Groups, Internal Survey Results GOAL AREA OBJECTIVE: High-Value City Services 6. Seek community engagement through a variety of communication methods to reach all residents. RECOMMENDED ACTION: No action required. BACKGROUND: In 2022, City leaders are developing a new strategic plan to set the vision and framework for the future of Prior Lake. Later in August, the City Council and department heads will convene for a planning session to identify City goals and priorities related to the strategic plan. Over the past few months, several engagement efforts have occured to collect input for this session. The results of some of these efforts will be shared at tonight's work session. The City has retained Rapp Consulting Group to assist with strategic planning efforts. Cory Poris Plasch, Senior Vice President of Rapp, will attend tonight's work session to share the findings from the three stakeholder focus groups she facilitated as well as results of an internal survey. In addtion, Assistant City Manager Olson will provide the findings from an envrionmental scan, which examined the data and trends influencing the City both internally and externally. ATTACHMENTS: 1. environmental_scan_web PriorLakeMN.gov Environmental Scan August 2022 CITY OF PRIOR LAKE • PriorLakeMN.gov 3 Table of contents Introduction 3 External overview 5 Internal Overview 11 Personnel Overview 12 Organizational Chart 13 Financial Overview 17 Conclusion 19 Introduction This environmental scan was developed in support of the City of Prior Lake’s current strategic planning process. The environmental scan examines demographic data and tracks the trends that influence the City. The results will be useful in shaping the City’s goals and strategies moving forward. This report begins with an overview of Prior Lake followed by an analysis of external data that shows how Prior Lake has changed statistically over the past decade. The report then looks at data related to internal City operations and how that information impacts City services. The goal of the scan is to provide a common understanding of the current environment and issues affecting the City of Prior Lake, now and into the future. This report will be one of several inputs, including a community survey, that will be presented to the City Council to develop the City’s new strategic plan. The City’s most recent strategic plan was developed in 2017 and is ready to be refreshed to guide the City through 2030 and beyond. The new strategic plan should be adopted by the City Council in late 2022. The current strategic plan focuses City priorities under the following goal areas: n High-Value City Services n Public Safety n Desirable and Sustainable Development n Transportation and Mobility n Environmental Stewardship and Recreation Prior Lake is a vibrant and welcoming life-long community offering a high quality of life and small-town feel. Adopted in 2018, the City’s vision statement reads: EXTERNAL OVERVIEW About Prior Lake Prior Lake is named after Charles H. Prior, a superintendent at the Milwaukee Railroad, who routed a track through land he owned in the area. Prior Lake was platted in 1871 and was incorporated as a village in 1891. From 1870 to the 1920s, Prior Lake was primarily a farming town focused on agriculture related commerce and development because of the railroad. At the same time, Prior Lake was a summer resort hot spot due to the large recreational lake and the opening of the Grainwood Hotel in 1879. Through the 1920s to 1950s, Prior Lake was a typical American small town experiencing moderate growth. From World War II through the 1970s, Prior Lake experienced significant growth and became a desirable suburban, bedroom community outside Minneapolis. Today, Prior Lake, population 28,357 (2022), is located in one of the fastest growing counties, Scott County, in Minnesota. Prior Lake is a 19.5 square mile developing suburb with a small-town atmosphere, just 30 miles south of downtown Minneapolis. Prior Lake features more than 54 parks on 1,000 acres, over 92 miles of trails and sidewalks, 14 lakes, and a charming downtown. Upper and Lower Prior Lake are popular recreational lakes totaling 1,340 acres. The City of Prior Lake is unique in that it is home to the Shakopee Mdewakanton Sioux Community (SMSC) and Mystic Lake Casino, the second largest Indian Gaming Casino in the nation. CITY OF PRIOR LAKE • PriorLakeMN.gov 5 6 CITY OF PRIOR LAKE • PriorLakeMN.gov Population Households 2010 22,796 2010 8,447 2020 27,107 2020 10,350 2030 32,500 2030 12,600 2040 37,600 2040 14,700 Introduction One word can be used to illustrate the future of Prior Lake: growth. As the statistics below show, Prior Lake is growing not only in population and households but also in area through annexation. The City anticipates the sale of approximately 450 acres of land over the next few years. This transaction will transfer this acreage from agricultural uses to residential and commercial uses which will elicit development opportunities for the next several years. How the City plans for and responds to this growth will define the future of the community. Date source: Met Council Community Profiles Housing Type Housing by Family Type 2020 2000 2010 2020 Single Family 4,592 5,952 6,925 Town Home 549 1,818 2,045 Multi-Family 444 940 1,200 Family with children 38.65% Family no children 33.36% Live Alone 23.21% Non-family household 4.78% CITY OF PRIOR LAKE • PriorLakeMN.gov 7 Geographical Size Median Housing Value (2020 dollars) Trends 2010 17.51 Square Miles 2020 19.59 Square Miles 2040 20.14 Square Miles Prior Lake $328 Scott County $317 Metro Area $271 n The population of Prior Lake is expected to grow by 28% by 2040. n The median household income is 24% higher than the metro area. n Homes in Prior Lake are almost 20% more expensive than the metro area. n Prior Lake is less diverse than Scott County and significantly less diverse than the metro area. 8 CITY OF PRIOR LAKE • PriorLakeMN.gov Prior Lake Scott County 7-County Metro Median Household Income 2020 $108.50 103.3 82.9 Household Size 2020 2.65 2.84 2.5 Home Ownership 2020 84.5%83.6 68.8 Education Level (Associates degree and higher)62%54 55 Date source: Met Council Community Profiles COMPARISON to county and metro area Race & Ethnicity 2020 Prior Lake Scott County 7-County Metro White 87%80 72 Non-White 13%20 28 CITY OF PRIOR LAKE • PriorLakeMN.gov 9 INTERNAL OVERVIEW CITY OF PRIOR LAKE • PriorLakeMN.gov 11 The City of Prior Lake is a Statutory Plan B City (council-manager), represented by five, at-large City Council Members (including the Mayor) who serve staggered, four-year terms. The City Manager, appointed by the City Council, develops the annual budget and manages the operations of six department comprised of 103 employees. City Departments n Administration n Community Development n Finance n Fire n Police n Public Works The City’s Fire Department contracts services to the City of Credit River and Spring Lake Township. The City’s Police Department provides police services to the SMSC. The City’s 2022 Annual budget $35.2 million and General Fund budget was $16.6 million, and the City’s bond rating is AA+. Almost half of the City’s expenditures are related to public safety. 2022 Budget Expenditures Public Safety 49% Administration 19% Public Works 15% Parks and Recreation 14% Community Development 2% Transfers 1% Advisory Boards The City has four advisory boards that provide opportunities for citizen input. n Planning Commission n Economic Development Authority n Community Engagement Committee n Arts and Culture Committee PERSONNEL OVERVIEW Personnel Trends A long-range personnel plan is reviewed annually to monitor staffing needs related to service levels. Although the City lags similar sized metro cities in total employee count, the City has made significant strides over the last five years to address personnel needs. The Community Development department is fully staffed, a reorganization of the Public Works Department has streamlined services, key Administrative positions have been added, and a plan is in place to staff a full-time Fire Department. Most significantly, the Police Department has reached full staffing after the addition of at least one police officer per year over the last five years. Current service levels will not be possible moving forward without the consistent addition of employees each year as indicated in the long-range personnel plan. Staff considered essential employees working in Public Works or Police 74% General fund budget related to personnel costs 73% Recruitment and Retention With an unemployment rate of under 2% in Minnesota, the market for hiring new employees is extremely tight. Wages, benefits, and flexible work policies need to be competitive to recruit and retain high-quality workers to the City of Prior Lake. Seasonal Staffing City services, like park maintenance and recreation, rely heavily on seasonal staffing. College-age kids are not working during the summers like they have in the past, opting to focus on internships, travel, and sports when off school. In addition, hourly wages have increased since the pandemic so there is more competition for these kinds of workers. Without seasonal workers, City services would need to be reduced or eliminated. Healthcare Costs Health insurance premiums continue to increase significantly. These increases are costly for both the City and employees on family plans. Healthcare premiums account for 63% percent of the City’s benefits budget. At the same time, healthcare benefits are critical to attracting and retaining good staff. This trend has no indication of slowing down and could impact labor negotiations and budgets for years to come. 12 CITY OF PRIOR LAKE • PriorLakeMN.gov Organizational Chart Citizens Mayor & City Council City Manager Public Works City Attorney (Contract) Arts & Culture Committee Community Engagement Committee Economic Development Authority Planning Commmission Community Development Finance Administration Police Fire Engineering Facilities Fleet Recreation Streets Parks Utilities Planning Zoning Code Compliance Building Permits Inspections Accounting Accounts Payable Budgeting Debt Management Payroll Utility Billing Treasury City Clerk Comms Elections Human Resources IT Licenses Patrol Records Investigations Emergency Mgmt Animal Control SMSC City of Credit River Spring Lake Twp CITY OF PRIOR LAKE • PriorLakeMN.gov 13 Reside Outside of Prior Lake 86% Employee Stats Employees 2018 2021 98 103 Female 20% Male 80% Gender Age Tenure 0-4 yrs 42% 5-9 yrs 27% 10-19 yrs 17% 20+ 14% under 30 12%30-39 31% 40-49 27% 50-59 23% 60+ 7% Reside in Prior Lake 14% Infrastructure Miles of Street 119 Miles Sanitary Sewer 141 Lift Stations 42 Miles Paved Trail and Sidewalk 92 Community and Neighborhood Parks 54 Police Calls 2018 2021 16,137 21,445 Kids in Recreation Program 2018 2021 743 1,650 Fire Calls 2018 2021 468 674 Utility Bills 2018 2021 9,007 9,629 Building Permits 2018 2021 2,581 2,839 Building Inspections 2018 2021 4,775 6,396 Total Building Permit Valuation 2018 2021 $75.2 $84.4 million million City Services CITY OF PRIOR LAKE • PriorLakeMN.gov 15 Top CIP Projects through 2030 are below: Ladder Truck (2025)$1.5 million Pumper Truck (2030)$1 million Jet Vacuum for Sewer (2030)$580,000 City Hall Roof (2026)$393,000 Dump Truck (2029)$317,000 Library Parking Lot (2025)$300,000 (costs are estimates for planning purposes) CITY OF PRIOR LAKE • PriorLakeMN.gov 17 FINANCIAL OVERVIEW Financial long range Through a long-range financial plan, the City works to identify the funding needs and solutions to maintain current service levels, address the needs of a growing city, and provide budget stability. A goal of this effort is to minimize annual variation in the tax levy and to reduce debt. The primary service priorities include personnel, equipment replacement, facilities, parks, pavement management, and Economic Development Authority (EDA) funding. Debt management is an integral part of the financial management of the City. Debt management aims to stabilize the overall debt burden and future tax levy requirements to ensure that issued debt can be repaid. The City is steadily paying down existing debt, while conservatively issuing new debt. The City Council supports incremental increases in the tax levy to support the long-term plans of the Capital Improvement Program (CIP) with the goal of building cash reserves to minimize future debt and to meet our capital replacement needs. 18 CITY OF PRIOR LAKE • PriorLakeMN.gov n Adopting a property tax model that takes into account the cost of inflation and community growth when establishing the tax levy. n Implementing franchise fees to fund pavement management projects. n Updating the utility rate model into a tiered water and sewer rate structure based on usage while also increasing base fees to provide funding for fixed costs. n Refunding debt for total interest savings of $796,350. n Utilizing federal grant funds, such as CARES, APRA and SAFER grants, to offset the cost of major planned expenditures. Over the past few years, major financial policies have been implemented to put the City on a good path financially, including: Finance trends n Increased property valuations: In 2022 assessed values increased by 18.4% across all property types. n Growth in tax base: The City continues to experience growth in residential development. New construction added about $83 million in estimated market value to the tax base for 2023. 9% of the City’s increase in market value was from new construction. n General Fund balance: Based upon the long-range financial plan, the reserve balance is planned to be between 40%- 50% for 2023-2027. n Personnel costs: Personnel continues to be the largest component of the annual budget. A competitive hiring market impacts the ability to recruit and retain employees. A market wage study will be necessary in the next couple of years. n Tax rate: The City is educating stakeholders about the significance of the tax rate versus the tax levy to explain how services should be funded. Prior Lake has the lowest tax rate in Scott County. n Parks maintenance and replacement funding: City leadership needs to identify a plan for maintaining and replacing existing neighborhood parks as there is no dedicated funding source for this effort. The information outlined in this environmental scan provides a broad overview of current conditions to help inform the strategic plan. Overall, the City is in a good place with a solid general fund reserve balance and adequate staffing. Adhering to the long-range financial, debt management, and personnel plans will be important moving forward to remain that way. CITY OF PRIOR LAKE • PriorLakeMN.gov 19 CONCLUSION n Transitioning from a paid-on-call to full-time Fire Department. The City has applied for a federal grant, which would help ease the financial burden of this important public safety service. n Parks and trails maintenance and enhancement. The estimated annual funding shortfall for neighborhood park renovations and trail maintenance is about $500,000 per year. This does not include improvements to ballfields or community parks like Lakefront Park or Sandpoint Beach. A park referendum is an option that needs to be explored to help fund this gap. n Managing ‘pay go’ versus debt issuance while addressing city infrastructure replacement needs. Funding for water and sewer infrastructure replacement past the year 2027 is inadequate and may require an increase in rates and/or the issuance of debt. n Technology continues to evolve and become more integrated into all City services, especially in the Police Department. Software costs, particularly annual licensing fees, have increased significantly, and cybersecurity is a constant issue. n The Public Works Maintenance Center requires an expansion and renovation. No funding source has been identified for this major capital improvement. n Prior Lake is not done growing and will continue to annex surrounding farmland. Orderly annexation planning and related infrastructure costs need to be addressed. Challenges over the next ten years, as identified by City Department Heads, include: City of Prior Lake 4646 Dakota Street SE Prior Lake, MN 55372 PriorLakeMN.gov Prepared by Lori Olson, Assistant City Manager August 2022 City of Prior Lake | 4646 Dakota Street SE | Prior Lake MN 55372 CITY COUNCIL AGENDA REPORT ITEM: 1B MEETING DATE: August 15, 2022 PREPARED BY: Nicole Klekner, Assistant Finance Director Jason Etter, Senior Accountant PRESENTED BY: Cathy Erickson, Finance Director AGENDA ITEM: 1B 2023 Budget and Tax Levy Work Session GOAL AREA OBJECTIVE: High-Value City Services 1. Establish financial stability for all funds. 2. Design a comprehensive funding strategy for capital needs. 3. Ensure sufficient resources and staffing to meet service demands. 4. Attract, retain, and train a high caliber workforce to ensure high- quality services. RECOMMENDED ACTION: Direction from the City Council on the 2023 proposed tax levy increase in preparation for the September 19th certification of the preliminary tax levy. BACKGROUND: At the previous City Council Work Session on August 1st we ran out of time and did not provide the City Council adequate time to provide direction on the proposed levy. The City Council also requested additional information pertaining to the proposed supply increases as well as the personnel additions. The purpose of today’s workshop is to continue the budget discussion and receive direction on the preliminary 2023 budget and tax levy. Additional meetings/workshops are scheduled to discuss and adopt the 2023 property tax levies and budgets: September 15, 7:00 pm Adopt maximum tax levy and preliminary budget November 7, 5:00 pm Budget work session December 5, 7:00 pm Public budget hearing December 5, 7:00 pm Adopt final budget and tax levy History The following budget development meetings have been held. The impact of these updated plans on the debt balance, tax levy, fund balance reserves and utility rates were a part of the Council and Staff discussion. June 6 Financial planning work session July 18 CIP work session August 1 2023 Budget and Tax Levy work session Item 1B Page | 2 Base tax levy considerations: The following chart provides base considerations for establishing the 2023 tax levy based on factors that impact the Prior Lake community: June 2022 Council Work Session August 2022 Council Work Session Growth (New Construction) 2.0% 2.0% CPI-U (MSP) ** 8.2% 8.7% Debt Service * -0.3% -0.3% Base Property Tax Levy Considerations 9.9% 10.4% **The debt service % change is estimated based on the 2023 planned debt issuance. The annual debt service of the existing debt service rolling off is slightly higher than the proposed 2023 bond issue debt service. ** CPI-U is based on CPI summary released by the U.S Bureau of Labor Statistics for April 2022 and May 2022. Initial Budget Reductions This detail was not provided at the previous Work Session, so we wanted the City Council to have visibility to the more significant budget adjustments staff made prior to that meeting. The following initial budget adjustments were made to lower the tax levy impact: Proposed Tax Levy Increase To fund the present assumptions in the 2023 proposed budget, a preliminary tax levy increase of 13.35% is needed. For the transition to full-time Fire staffing, the financial plan assumes that the city does not receive the SAFER grant and hires the firefighters for a mid-year start of July 1, 2023. Under this scenario, the tax levy impact of FT fire staffing is 5.62% of the tax levy increase. If the FT fire staffing is removed from the levy the proposed increase would be Initial Budget Reductions: Leave franchise fee in general fund vs PMP (50,000)$ Use reserves for election equipment (50,000) Do not hire Recreation Programmer (40,000) First floor printer (6,500) Engineering plotter (9,000) Public education (6,000) Attorney Fee reduction ($165k to $130k)(35,000) Total initial budget reductions (196,500)$ Initial budget add for Scott County Joint Prosecution Costs- Prior Lake is 23.6% of total cost 50,000$ Item 1B Page | 3 13.35% - 5.62% = 7.73%. At 7.73% the levy increase is well below the City’s standard base considerations of growth + inflation + debt which is 10.4%. This suggests that the City is doing more with less purchasing power than exists today. The components of the proposed tax levy change based on the 2023 preliminary budgets are summarized on the tax levy change bar chart below. ADDITIONAL BUDGET INFORMATION: Staff is providing the following additional budget information based on councilor questions and comments at the 8/1 work session. Support/Justification for requested personnel adds: Financial Analyst: a. Finance needs a financial analyst to support all aspects of financial planning and management. This request is based on increasing workloads the Finance department is experiencing, including: i. Increased GASB standards to implement Item 1B Page | 4 ii. Increased reporting requirements for mandated reporting (Reporting Requirements for budgets, audit, payroll, debt, etc. - Requirements are biweekly, quarterly, and annual.) iii. Increasing grant receipts (especially Federal) drastically increases reporting requirements. The City was successful in receiving multiple grants in 2022 and anticipate more aggressively pursuing grants moving forward. iv. Increased financial activity - Population increase resulting in more utility accounts, more special assessments, increased building permit activity, increased construction projects, increased park/recreation activity, etc. v. High level of complexity of construction projects vi. Adding TIF districts also requires work of analysis upfront and subsequent reporting and monitoring b. Finance department would also like to continue to implement process and system efficiencies, which has been limited due to increasing workloads c. Lastly, Finance needs to do constant monitoring of all other departments’ activity to ensure transactions are properly accounted for, and that the budgeting, reporting, etc. is accurate. This is evident by the City’s receipt the past two years of the GFOA Budget award. d. The current Accounting Specialist, who has 25 years of experience with the City, is planning to retire in fall 2023 so we would like to hire the Financial Analyst at the same time as her replacement so that current staff can assist with the training, and we can properly allocate job responsibilities. Mechanic (0.3 FTE moving from part-time to full-time): a. As the city continues to grow, additional vehicles and equipment are being added, including squad cars. This add would help with fleet maintenance as well as additional support for snow and ice control operations. b. Preventive maintenance of current and new equipment is critical to protect the City’s investment and enhance the life of the equipment. Supplies/Maintenance Cost Net Increase: In the 2023 Budget, there is a $95k increase in supplies compared to 2022. This is due mainly to price increases due to inflation, technology upgrades and repairs to aging playgrounds/parks. See Attachment 1 for explanation of changes in the supplies budget by account. With the elimination of the proposed Rec Programmer add, there is $4,000 that can be removed from the Club Prior Supplies budget. Professional Services/Maintenance Agreements/Other Services & Charges: In the 2023 Budget, there is a $80k net decrease for this expenditure grouping as compared to 2022. A summary of the significant items is shown below: Item 1B Page | 5 Detail on increase in Utilities: In the 2023 Budget, there is a $79k increase in utilities compared to 2022. This is based on actual increases the city has seen so far in 2022 and is mainly due to rate increases as well as a 12% increase in natural gas usage, due to colder weather in early 2022. See attachment 2 for specific details of the components of the proposed 2022 tax levy change. Also see the August 1, 2022, budget work session report for information previously provided. FINANCIAL IMPACT: With the elimination of the proposed Rec Programmer add, there is $4,000 that can be removed from the Club Prior Supplies budget. At this point, we are “holding” all system budget adjustments as we have pending health, dental and SAFER grant information that could result in budget adjustments. We will make all system budget adjustments at one time, based on Council direction and prior to the September 19 Council meeting. Description 2022 Budget 2023 Budget Amount Decrease % Decrease Notes Other Services & Charges $568,179 $515,370 (52,809)-9.29% Decrease due to cost redistribution among several accounts to accurately reflect how cellular costs should be paid as well as removal of a 2022 one- time item. Total $2,569,199 $2,489,104 (80,095)-3.12% Decrease due to 2022 budget amendments for one-time expenses for delayed sidewalk projects, which are partially offset by price increases for tree removal, repair services, contracted fertilizing and weed spray; also added service for graffiti removal. Professional Services $1,016,871 $1,003,231 (13,640)-1.34% Decreases in legal expenses ($30k) and property insurance ($19k) to reflect actual spend. There was also a one-time 2022 expense for the community survey that was removed from the 2023 Budget. These decreases are partially offset by increases for Scott Co. joint prosecution ($50k) and a PD promotional testing and wellness program ($23k). Maintenance Agreements $984,149 $970,503 (13,646)-1.39% Item 1B Page | 6 CONCLUSION: Direction, as determined by the council, will assist the staff in preparing the budget agenda item for the second meeting in September. Does the city council have any further questions on the proposed maximum tax levy of 13.35% that will be presented at the September 19 meeting recognizing that it can be reduced, but not increased, when we submit the final tax levy on December 5th? If the City receives confirmation of the SAFER Grant prior to September 19 the proposed maximum tax levy presented will be 9.9%. ATTACHMENTS: 1. 2023 Proposed Supplies Budget 2. Components of the 2023 Proposed Tax Levy Change Attachment 1 – 2023 Proposed Supplies Budget Description 2022 Budget 2023 Budget Amount Increase/ (Decrease) % Increase/ (Decrease)Notes Service Impact Office Supplies 35,000$ 35,000$ -$ 0.0% Operating Supplies 65,650$ 65,650$ -$ 0.0% Operating Supplies-Club Prior Operations 6,500$ 8,000$ 1,500$ 23.1%Increase for extended operations This increase can be reduced from $1,500 to $500 with the elimination of the proposed Rec Programmer add. Service impact - Reduction in current program levels based on increasing number of participants. Operating Supplies-Club Prior Prog Exp 15,000 20,000 5,000 33.3%Increase for extended operations This increase can be reduced from $5,000 to $2,000 with the elimination of the proposed Rec Programmer add. Service impact - Reduction in current program levels based on increasing number of participants. Shop Material 6,240 10,700 4,460 71.5% Cost transfer from other accounts to accurately reflect purchases; added anti-slide materials for Parks to this account No service change. Reclassification between accounts Snow and Ice Management 105,610 119,620 14,010 13.3%Price increases This is soley a price increase and it is unlikely that we'll stop using salt if we run out of budget. However, this will require a decision to use reserves to fund operations or stop using salt for snow and ice management Uniforms/Personal Protective Equipment 107,775 111,100 3,325 3.1%Price increases for PPE, primarily Fire departm The added funds were to cover the projected cost increase for fire turnout gear in 2023. The FD will need to replace 6 sets of turnout gear that will expire as part of its 10 year turnout gear replacement program. Firefighters are not able to perform their duties if there are failures in the turnout gear. Community Events 42,000 45,000 3,000 7.1%10 recreation events; price increases Reduction in current service levels. Repair & Maint Supplies - General 310,500 336,500 26,000 8.4%Price increases for asphalt, concrete, batteries Reduction in current service levels. Repair & Maint Supplies - Building 34,500 40,500 6,000 17.4% Cost transfer from other accounts to accurately reflect purchases; increasing repairs for Public Works shop, parts and materials for in-house maintenance/repair of City Hall and Lakeside Eats & Treats building.No service change. Reclassification between accounts Repair & Maint Supplies Misc Bldg&Struc 75,000 93,500 18,500 24.7%Continued repair of aging playgrounds and park The annual cost to maintaining aging playgrounds and park facilities continues to increase year-over-year. Without increased funding, repairs and maintenace of playground and park facilities will be delayed and the potential need for the closure and/or removal of facilities will become increasingly more imminent. Repair & Maint Supplies Irrigation 12,000 12,000 - 0.0% Repair & Maint Supplies Landscape 48,000 55,000 7,000 14.6%Price increase for fertilizer Decreased service level associated with a projected decline in turf maintenance for athletic fields. Repair & Maint Supplies Trees/Vegetation 15,000 15,000 - 0.0% Small Equipment - General 136,220 118,410 (17,810) -13.1% $29k reduction in PD small equipment (due to 2022 budget amendment for equipment not received in 2021 due to supply chain issues) slightly offset by adds for office equipment for new Finance role ($2.7k), and a couple of small tools for PW Garage Small Equipment - Technology 44,650 60,530 15,880 35.6% Scheduled computer replacements, PD new toughbook and computer compliance The replacement of the PD toughbooks is a mandatory item to ensure we are in compliance with FBI Criminal Justice Information Service (CJIS) requirements for secure network access. We also do not want to be in a situation where an officer's toughbook doesn't work in the midst of a call. Current replacement schedule for PD toughbooks is every 5 years, which is probably one year too long given the wear and tear on the mobile equipment. Also, the price of toughbooks has increased by almost $500.00 from last year. Other computer replacements are part of the CIP and scheduled for every 6 years. We are on a schedule to prevent large annual “surprise” increases should we delay replacement. Also, the large number of computers purchsed throughs CARES Act funds for remote work will be due for replacement in 2024/2025. Small Equipment - Safety 9,800 18,300 8,500 86.7%Price increases for PPE for Parks ($7k) and Str We are required to provide PPE for employees and this is solely driven by price increases. This is not a service issue, but an employee safety issue. Concessions 702 (702) -100.0% Total 1,070,147$ 1,164,810$ 94,663$ 8.8% 1 2023 Proposed Tax Levy Components Attachment 2 LEVY CHANGE TO MAINTAIN CURRENT SERVICE LEVELS AND ADD FT FIRE STAFF – 13.35% FT Fire staffing model with NO SAFER Grant – 5.62% Tax Levy to Replace SAFER Grant $1,316,000 FT Fire Costs Savings with Mid-Year Start (610,000) Additional fire service agreement revenue (181,000) FT Fire Costs Supported by Tax Levy 332,000 Total FT Fire levy impact with NO SAFER Grant $857,000 For the transition to full-time Fire staffing, the financial plan assumes that the city does not receive the SAFER grant and hires the firefighters for a mid-year start of July 1, 2023. Under this scenario, the tax levy impact of FT fire staffing is 5.62% of the tax levy increase. If the city is awarded the SAFER grant prior to the September 19 preliminary tax levy hearing, then the full-time firefighter impact on the tax levy would be $332k or 2.18%. The $332k is comprised of the following items: (155k) POC firefighters’ reduction due to FT staffing 58k FT Fire Unscheduled OT 29k FT Fire workstations/equipment/uniforms 400k Incremental tax levy increase to prepare for future FT Fire costs with no grant funding $332k Additional Personnel Adds: .71% Police Property Room Manager $93,000 Eliminate PT Community Service Officer and seasonal CSOs (93,000) Headcount add but budget neutral - 0 - The immediate need for the Police Dept is the addition of one civilian FTE to manage the property room. The property room is currently staffed by a part-time CSO which is not in line with any best practice. The integrity required and liability associated with property room oversight must be second to none. This position can be created in a budget neutral way by repurposing the CSO PT and seasonal positions. Financial Analyst - $68,000 This position will help support all aspects of financial planning and management, including capital project expenditure monitoring and debt management. Financial and accounting activity levels are growing along with new reporting requirements and governmental accounting standards. Mechanic - $41,000 The part-time mechanic position would become full-time for fleet maintenance as well as to provide additional support for snow and ice control operations. With continued growth in the city, vehicles and equipment are being added. Preventative maintenance is critical to enhance the life of the City’s assets. Capital Improvement Program (CIP) Tax Levy Components - .88% Equipment Replacement funding - $50,000 The Equipment Replacement Plan (ERP) utilizes general tax levies to support replacement of the City’s equipment and vehicle fleet. The ten-year annualized cost for the plan is about $1.47M. The financing plan reflects a gradual increase in the tax levy until the annual levy reaches our annual funding goal. The proposed total levy for 2023 is $975k. Since the proposed levy increase is gradual, bonding may be required for the plan to meet our funding needs. Park Equipment Replacement funding -$35,000 The Revolving Park Plan funds capital replacement projects, park amenities, and trail, sidewalk, and boardwalk replacement. The plan proposes a phased increase in the tax levy to cover the capital projects in the plan. 2023 projects include Ponds phase I, Ponds playground replacement, the Northwood basketball court maintenance, and the Sand Point Beach renovation study. Facilities Management Plan funding -$50,000 The Facility Management Plan (FMP) was developed to plan for major repairs, replacements, and upgrades for all city facilities on a long-term basis (25 years). It does not cover minor expenses for repairs and maintenance. Those will continue to be funded through the operating budgets. 2023 includes carpet, overhead doors and 2 irrigation system at the Police Station, phase II of the library remodel, irrigation system and vehicle exhaust system at FS #1, carpet and infrared tube heater at FS #2, and wall coverings at City Hall. Mandatory Items – 6.14% STAFFING Wage/COLA and Benefits - $382,000 The budget includes a proposed cost of living adjustment (per labor agreements), city payroll taxes and health insurance premium contribution increase. 2023 cost of living adjustment (COLA) is 2.25%. Election Judges – ($54,000) There are no elections in 2023. CURRENT EXPENDITURES Fuel - $204,000 Increase in funding due to the rising cost of gas and diesel fuel. Software Service Contracts – $132,000 Most of this cost ($96k) is for Public Safety: police cameras, video storage technology, SEIM tool, mobile device management and encrypted cards and reader. Supplies – $95,000 Increase in funding for supplies due to price increases due to inflation, technology upgrades and repairs to aging playgrounds/parks. Capital Outlay - $74,000 $54k for mandatory poll pad replacement and new tabulators for the precinct; copier/printer replacements. Utilities - $79,000 72% estimated increase in electric and street/park lighting. Professional Services/Maintenance/Other – ($80,000) Decrease in maintenance agreements (due to 2022 one-time expenses), professional services (decreases in legal expenses and LMCIT property insurance rate reduction; as well as 2022 one-time expense for the community survey); and other services. OTHER Other Items - $104,000 . • $57,000 reduction in debt service. This is estimated as the 2022 bond issuance will not be completed until mid-August 2022. • $129,000 net increase in non-tax revenue sources (primarily for additional Minnesota state aid for Street Maintenance, Police and Fire of $102,000) • $279,000 increase in tax levy in 2023 due to less use of reserves as compared to the 2022 budget. We need to levy for expenditures that were funded with reserves in the prior year. • The EDA budget includes a funding increase of $10,000 to bring the EDA tax levy to $370,000. This is an incremental increase in funding primarily for wages, property taxes and maintenance costs for 2023 EDA owned properties including 4662/4662 Dakota St SE and 16298 Main Ave SE. GENERAL FUND RESERVE Background information: The city’s comprehensive financial management plan calls for maintaining a fund balance between 40-50% to ensure adequate reserves for cash flow, unplanned expenditures, and to maintain the city’s credit worthiness (AA+ credit rating, positive outlook). Staff recommends the use of reserves for one-time expenditures or revenue shortfall; otherwise, the fund balance could drop below the level stated in the comprehensive financial management plan over time. The total 2022 use of reserves is $328,800 comprised of the following items: • $54,000 for the community survey • $6,000 for maintenance and updates of the council chambers equipment to televise the council meetings 3 • $43,800 to increase the fuel budget Several items were carried forward from the 2021 budget as the work could not be done due to supply chain issues • $13,000 for emergency siren maintenance costs and training – carry forward from prior year due to supply chain issues • $115,000 for police department expenditures • $79,390 for the street department and $17,610 for the parks department. Staff was not able to complete sidewalk maintenance at the police department and on Willow Lane 2023 Planned Use of Reserves is $50,000 to fund the following items: • Election equipment –poll pad replacement and new tabulators for the precinct added CHECK REGISTER FOR CITY OF PRIOR LAKE 1/6Page: 08/08/2022 03:41 PM User: Janet DB: Prior Lake CHECK DATE FROM 07/23/2022 - 08/05/2022 AmountDescriptionVendorNameVendorCheckBankCheckDate Bank 1 General Bank 360.00Jul2022HSAAdminFeesALERUS000013758819(E)107/26/2022 2,663.092022DentalClaimsDELTADENTAL000272138820(E)107/25/2022 46.00FilingFee - Res 22-076SCOTTCOUNTY000192128821(E)107/25/2022 46.00FilingFee - Res 22-077 92.00 46.84MileageCHRISTINEWATSON000279068824(A)107/28/2022 133.63JumboLockCLAREY'S SAFETYEQUIPMENT000035308825(A)107/28/2022 1,850.00RemoveDownedTree - 15636 Fremont AveNCOLLINSTREE000036708826(A)107/28/2022 294.50FloorGratesCOMMERCIALTRUCKCOLLISION000037278827(A)107/28/2022 298.417131NSquadsuppliesEMERGENCYAUTOMOTIVETECHINC000054808828(A)107/28/2022 156.669216PTOSolenoidFORCEAMERICA000067738829(A)107/28/2022 1,035.007106,7107,7108 graphicsGRAFIXSHOPPE000076158830(A)107/28/2022 91.96PaintHIRSHFIELD'SDECORATING000086858831(A)107/28/2022 750.00AdjustBoilerValves - CityHallHUMERATECH000271848832(A)107/28/2022 245.96MiscOfficeSuppliesINNOVATIVEOFFICESOLUTIONSLLC000271498833(A)107/28/2022 11.18DVDSleeves 32.32CallLogBook 2.35Rubberbands 291.81 150.00SafetyBoots2022JUSTINSKLUZACEK000270638834(A)107/28/2022 351.77PartsKULLYSUPPLYINC000119408835(A)107/28/2022 115.00ChiefOfficeRe-key - FS#1LOCKSAFE000108558836(A)107/28/2022 130.00SCBAMedicalExam, FitTestMED-COMPASSINC000133068837(A)107/28/2022 55.00QuantitativeFitTest 185.00 148.46StrengthChargeMETROPOLITANCOUNCIL000134008838(A)107/28/2022 1,301.98503doorglassMTIDISTRIBUTINGINC000139518839(A)107/28/2022 53.81Tororearaxlebearing 86.67503Doorgasstrut 1,442.46 350.00CopyPaperNETWORKSERVICESCOMPANY000143818840(A)107/28/2022 153.30UrinalScreens 431.50PaperSupplies 934.80 84.24Jun2022MileageNICHOLASMONSERUD000273908841(A)107/28/2022 748.95Apparel - Night toUniteNORTHAMERICANSAFETY000145748842(A)107/28/2022 1,620.001st & 2nd Qtr 2022 MDT StateAccessSCOTTCOUNTY000192128843(A)107/28/2022 557.07AsphaltWMMUELLER & SONSINC000236458844(A)107/28/2022 455.70Asphalt 55.44Asphalt 286.44Asphalt 1,354.65 9,279.35TRN20-000001 Fish Pt Road EngSvcsWSB & ASSOCIATESINC000237808845(A)107/28/2022 CHECK REGISTER FOR CITY OF PRIOR LAKE 2/6Page: 08/08/2022 03:41 PM User: Janet DB: Prior Lake CHECK DATE FROM 07/23/2022 - 08/05/2022 AmountDescriptionVendorNameVendorCheckBankCheckDate 559.00Kiehm170thStreetReplacementPlanRevi 516.00MiniStorageWCAReplacementPlanReview 86.002022WCALGUSupport 1,310.00KiehmStorage 435.00ReverePlace 3,974.00GeneralEngineeringSupport 291.502021-2022 Municipal State Aid Street Sys 72.50PikeLakeLanding - Commercial 721.00PreserveatJeffersPond 1,243.50TH13TrailPlanningAnalysis 3,174.752022Misc. Sidewalk Improvements 559.00LakefrontDevelopmentWCAReview 402.50SpringLakeRidgeWCAReview 618.00DowntownSecuredParkingLotImprovement 23,242.10 1,509.022022DentalClaimsDELTADENTAL000272138846(E)108/01/2022 5,675.00Jul2022NaturalGasBillsCENTERPOINTENERGY000135708847(E)107/28/2022 60,087.97Aug2022ElectricBillsXCELENERGY000147208848(E)107/28/2022 25.10Jul2022MerchantFeesAUTHORIZE.NET000268218849(E)108/02/2022 2,400.00Jul2022AnimalControl4PAWSANIMALCONTROLLLC000067988850(A)108/05/2022 370.60PlantsBACHMAN'SINC000020358851(A)108/05/2022 391.00PartsBEACONATHLETICS000021708852(A)108/05/2022 5,350.00RemoveDeadTrees - 3509 Basswood CirSWCOLLINSTREE000036708853(A)108/05/2022 470.98MagneticCityLogoGRAFIXSHOPPE000076158854(A)108/05/2022 55.03519ReartirepatchHARTBROSTIRECO000082378855(A)108/05/2022 13,447.70WaterTreatmentChemicalsHAWKINSINC000083128856(A)108/05/2022 80.96MiscOfficeSuppliesINNOVATIVEOFFICESOLUTIONSLLC000271498857(A)108/05/2022 48.34Kes - Business Cards 52.78MiscOfficeSupplies 105.87MiscOfficeSupplies 26.30MiscOfficeSupplies 50.31MiscOfficeSupplies 203.48ElectionSupplies 568.04 48.32Jun2022MileageKELSEYCOY000112628858(A)108/05/2022 56.50Jul2022Mileage 104.82 152,056.76Aug2022WasteWaterServiceMETROPOLITANCOUNCIL000134008859(A)108/05/2022 1,525.00Grundei, Gillipsie - Pre-EmploymentTestMNOCCUPATIONALHEALTH000270998860(A)108/05/2022 192.87537ExhaustYpipeMTIDISTRIBUTINGINC000139518861(A)108/05/2022 28.08537Valvecovergasket 220.95 465.00Jun2022Labor & EmploymentNILANJOHNSONLEWIS000081238862(A)108/05/2022 385.80ApparelNORTHAMERICANSAFETY000145748863(A)108/05/2022 257.50Apparel 643.30 45.00742CordaluminumplateNOVAKCOMPANIES000149008864(A)108/05/2022 2,100.00SteelRoofVentCover 2,145.00 CHECK REGISTER FOR CITY OF PRIOR LAKE 3/6Page: 08/08/2022 03:41 PM User: Janet DB: Prior Lake CHECK DATE FROM 07/23/2022 - 08/05/2022 AmountDescriptionVendorNameVendorCheckBankCheckDate 11,413.70LaserficheUpgradeOPG-3INC000271758865(A)108/05/2022 743.50VehicleStorageGarageCameraRepairPRO-TEC DESIGNINC000274298866(A)108/05/2022 190.00JDMowerreartiresROYALTIREINC000187328867(A)108/05/2022 38.61Jun2022MileageSTEVEHART000281638868(A)108/05/2022 27.50Jul2022Mileage 66.11 562.23PartsVIKINGELECTRICSUPPLY000226308869(A)108/05/2022 527.50Parts 58.91UtilityBox 218.87Parts 1,018.80Parts 740.34FuseHolder 2,684.98Parts 1,263.52Parts 7,075.15 746.79AsphaltWMMUELLER & SONSINC000236458870(A)108/05/2022 745.86Asphalt 374.79Asphalt 1,867.44 94.16615WaterPumpAssemblyWOLFMOTORCOINC000236758871(A)108/05/2022 29.62547Valvespring 123.78 364.418502FMSKIDSZIEGLERINC000265008872(A)108/05/2022 303.31Aug2022VisionPremiumsEYEMED000279178873(E)108/05/2022 14,391.00PDKitchenRemodelPEBBLECREEKCUSTOMHOMES00028197110538107/25/2022 103.50Captain'sBadgeASPENMILLS00001891110539107/28/2022 112.91Captain's Badge 216.41 55.5021-2733 2501 Spring LakeRoadAUDRAMIEARSMISC-CD110540107/28/2022 2,737.51WellSensorAUTOMATICSYSTEMSCO00001975110541107/28/2022 238.34RockBRYANROCKPRODUCTSINC00002905110542107/28/2022 910.00Pre-EmploymentTestingCAMPIONBARROW00027595110543107/28/2022 23.70PartsCAPITALONETRADECREDIT00027963110544107/28/2022 15.00Parts 38.70 150.00FarmersMarketPhotosDAVIDGREGOIRE00028089110545107/28/2022 100.00WaterEfficiencyRebateDAVIDTHOMASREFUND-MSC110546107/28/2022 600.00Steinhaus - Rifle InstructorTrainingDEFENSIVEEDGETRAINING00027797110547107/28/2022 300.00WaterEfficiencyRebateJACOBREVAKREFUND-MSC110548107/28/2022 6,700.00PreventativeMaint - Cooling Start-upKLAMMMECHANICALCONTRACTORSINC00026904110549107/28/2022 310.00InstallR22 7,010.00 2,500.0021-1728 5890 Sheffield TerraceNEMIHOMESOFMINNEAPOLISLLCMISC-CD110550107/28/2022 300.00WaterEfficiencyRebateMINDYCOTTERREFUND-MSC110551107/28/2022 CHECK REGISTER FOR CITY OF PRIOR LAKE 4/6Page: 08/08/2022 03:41 PM User: Janet DB: Prior Lake CHECK DATE FROM 07/23/2022 - 08/05/2022 AmountDescriptionVendorNameVendorCheckBankCheckDate 266.15ConcretePlantInspectionsMNDEPTOFTRANSPORTATION00013826110552107/28/2022 36.00CreditChecksMULTIHOUSINGCREDITCONTROL00013968110553107/28/2022 853.33Jun2022RepairPartsNAPAAUTOPARTS00014060110554107/28/2022 62,856.03TIF1stHalf2022OLDNATIONALBANK00016770110555107/28/2022 2,500.0020-1746 14384 Rutgers StreetNEPEBBLECREEKCUSTOMHOMESMISC-CD110556107/28/2022 4,700.0020-2839 15366 Red Oaks Road SE 2,500.0020-2839 15366 Red Oaks Road SE 5,000.0022-1045 15357 Breezy Point Road SE` 2,500.0019-1605 2920 Center Road SW 5,000.0022-0673 2733 Spring Lake Road 2,500.0020-1321 5562 Candy Cove Trail SE 24,700.00 6,712.79TIF1stHalf2022PREMIEREDANCEACADEMY00016573110557107/28/2022 101,461.17TIF1stHalf2022PRIORLAKELEASEDHOUSINGASSOCLLP00027496110558107/28/2022 3,982.001stHalf2022TaxAbatementPRIORLAKEREVIVAL00027658110559107/28/2022 300.00WaterEfficiencyRebateROBERTMYCKAREFUND-MSC110560107/28/2022 605.00WoodchipsROCKHARDLANDSCAPESUPPLY00018571110561107/28/2022 232.859220RearBlowerAssemblyROSENBAUERMN00027385110562107/28/2022 159,305.37TIF1stHalf2022SHEPHERD'SPATH00019450110563107/28/2022 50.00AcrobatProLincesesSHIINTERNATIONALCORP00027975110564107/28/2022 15,978.72Jul2022UnleadedSTAPLESOILCO00028193110565107/28/2022 13,050.97Jul2022Diesel 29,029.69 73.98ShirtsSTREICHERS00019900110566107/28/2022 84.99Shirt 286.97Hageman - Sgt Uniform 15.00Alterations 2.00Shipping 666.00Holsters 1,277.77Gillespie - Initial Uniform 60.99Grundei - Initial Uniform 1,327.85Grundei - Initial Uniform 63.99Karfa - CSO Uniform 3,859.54 207.94RailMarkingUSABLUEBOOK00021882110567107/28/2022 7,217.001stHalf2022TaxAbatementVERSATILEVEHICLESINC00027427110568107/28/2022 300.00WaterEfficiencyRebateADAMBREYETTEREFUND-MSC110569108/05/2022 50.10CoffeeARAMARKREFRESHMENTSERVICES00001772110570108/05/2022 270.002ndQtr2022BCA/STATE OFMINNESOTA00002933110571108/05/2022 140.00Jun2022TaiChiInstructorCHRISTINETMORGAN00027316110572108/05/2022 140.00Jul2022TaiChiInstructor 280.00 39.2740714200IrrigationCITYOFPRIORLAKE00016810110573108/05/2022 56.34Water - 4528 Colorado Street SE 56.34Water - 4662 Dakota Street SE 151.95 2,500.0021-2052 14321 McKenna RoadNWCUDDIGANCUSTOMBUILDERSLLCMISC-CD110574108/05/2022 183.81Jul2022BottledWaterCULLIGANBOTTLEDWATER00003958110575108/05/2022 254.649216GeneratorbearingCUMMINSINC00026958110576108/05/2022 CHECK REGISTER FOR CITY OF PRIOR LAKE 5/6Page: 08/08/2022 03:41 PM User: Janet DB: Prior Lake CHECK DATE FROM 07/23/2022 - 08/05/2022 AmountDescriptionVendorNameVendorCheckBankCheckDate 5,000.0022-0517 14942 Pixie Point CircleSECYGNUSCONSTRUCTIONMISC-CD110577108/05/2022 1,400.0019-2181 15126 Fish Point RoadSEDISTINCTIVEDESIGNBUILDMISC-CD110578108/05/2022 405.00Jul2022YogaInstructorELEANORALLEN00028060110579108/05/2022 88.50WaterEfficiencyRebateERICVANCEREFUND-MSC110580108/05/2022 2,500.0021-0488 3902 Noah CourtNWFIELDSTONEFAMILYHOMESMISC-CD110581108/05/2022 2,500.0021-1761 3937 Noah Court NW 5,000.00 10,349.00ParkBenches & PlaquesFLAGSHIPRECREATIONLLC00006615110582108/05/2022 24.00Aug2022GoToMeetingLicenseGOTOTECHNOLOGIESUSAINC00026895110583108/05/2022 300.00WaterEfficiencyRebateGREGTHOMASREFUND-MSC110584108/05/2022 290.00Jul192022FootCareSessionHEALINGHANDSFORFEET00027618110585108/05/2022 300.00WaterEfficiencyRebateJACKMILLERREFUND-MSC110586108/05/2022 300.00WaterEfficiencyRebateJANICEVITTERAREFUND-MSC110587108/05/2022 14.75ChakraClassRefundJEANNEHILDEBRANDTREFUND-REC110588108/05/2022 2,500.0021-2305 17829 MeadowsWayKEYLANDHOMESMISC-CD110589108/05/2022 2,500.0021-2355 17850 Meadows Way SE 2,500.0021-0528 17791 Mission Trail SE 7,500.00 369.00HolidayGiftMakingClassKIDCREATESTUDIO00027412110590108/05/2022 520.00LegoBrickManiaClass 889.00 11,022.31CSAH21/RevereKIMLEY-HORN & ASSOCIATESINC00011372110591108/05/2022 300.00WaterEfficiencyRebateKRISTOPHERDANKERSREFUND-MSC110592108/05/2022 61,000.002ndQtr2022Property & CasualtyLEAGUEMNCITIESINSTRUS00012435110593108/05/2022 50.00RegistrationCancellationMAGGIMOETELLREFUND-REC110594108/05/2022 270.00Jul2022YogaInstructorMARYMULLETT00028172110595108/05/2022 17,221.05Jul2022SACChargesMETROPOLITANCOUNCIL-SAC00013406110596108/05/2022 2,500.0021-0902 5648 Jarett CourtNEMIHOMESOFMINNEAPOLISLLCMISC-CD110597108/05/2022 33.24523FuelFilterMIDWESTMACHINERYCO00028113110598108/05/2022 79.40523Rearaxlegasketandseal 112.64 1,020.00PaddleBoardInstructorMNMERMAID00027260110599108/05/2022 2,075.00SteelDoorsMONNENSSUPPLYINC00013909110600108/05/2022 3,956.00Blacktop - 17849 ClearyTrlPRIORLAKEBLACKTOP00016610110601108/05/2022 7,280.00Sirenreplacement14649GlendaleAveREADYWATTELECTRIC00018235110602108/05/2022 1,920.00EnvironmentalScanRIGHTLINEDESIGN00028130110603108/05/2022 1,200.008/19/2022 Music in theParkSAWYER'SDREAM00028202110604108/05/2022 35,556.40 #7131 Investigator Ford ExplorerTENVOORDEFORD00027759110605108/05/2022 38,200.38 #7108 Umarked Squad 35,348.38 #7106 Marked Squads 35,348.38 #7107 Marked Squad 144,453.54 72.80WeedwhiphandlesTIM'S SMALL ENGINE REPAIRINC00020510110606108/05/2022 113.98Weedwhipstring 186.78 4,577.67Aug202CellPhoneBillsVERIZONWIRELESS00001315110607108/05/2022 55.00Aug2022ShreddingServiceVETERANSHREDDINGLLC00027643110608108/05/2022 CHECK REGISTER FOR CITY OF PRIOR LAKE 6/6Page: 08/08/2022 03:41 PM User: Janet DB: Prior Lake CHECK DATE FROM 07/23/2022 - 08/05/2022 AmountDescriptionVendorNameVendorCheckBankCheckDate 17,694.00WildsBoosterStationWWGOETSCHASSOCIATESINC00023795110609108/05/2022 1 TOTALS: 1,052,067.06Totalof125Disbursements: 0.00Less0VoidChecks: 1,052,067.06Totalof125Checks: Number of Permits Declared Value Number of Permits Declared Value Single Family Dwellings 5 $3,528,165.00 7 $2,424,475.00 Townhouses (# units) 0 $0.00 0 $0.00 Multiple Units 0 $0.00 0 $0.00 New Commercial Industrial & Commercial 0 $0.00 0 $0.00 Residential 102 $1,619,796.52 81 $3,230,881.25 Industrial & Commercial 3 $622,600.00 2 $36,978.00 Mechanical 61 $0.00 54 $0.00 Mechanical (SF & TH)20 $0.00 28 $0.00 TOTALS 191 $5,770,561.52 172 $5,692,334.25 Number of Permits Declared Value Number of Permits Declared Value Single Family Dwellings 65 $28,229,359.50 83 $32,122,194.00 Townhouses (# units) 0 $0.00 0 $0.00 Multiple Units 0 $0.00 0 $0.00 New Commercial Industrial & Commercial 0 $0.00 4 $3,814,256.00 Residential 660 $10,756,440.97 946 $12,387,254.11 Industrial & Commercial 14 $818,732.59 22 $1,103,203.46 Mechanical 495 $0.00 479 $0.00 Mechanical (SF & TH)260 $0.00 332 $0.00 TOTALS 1494 $39,804,533.06 1866 $49,426,907.57 Summary of Fees Collected July 2022 July 2021 YTD 2022 YTD 2021 General Fund 83,827.46 56,966.02 $605,517.99 $731,108.64 Trunk Reserve Fund 13,756.00 13,300.00 $134,026.00 $191,000.00 Water Storage Fund 0.00 $0.00 $6,160.00 Water and Sewer Fund 4,250.00 5,250.00 $51,890.00 $72,780.00 Metro Council SAC 17,395.00 17,395.00 $149,100.00 $250,985.00 State Surcharge 2,645.38 1,535.94 $18,054.03 $21,388.22 Builders Fees and Deposits 18,187.50 22,500.00 $239,687.50 $227,200.00 TOTAL 140,061.34 116,946.96 $1,198,275.52 $1,500,621.86 Beverly Alexander Beverly Alexander, Development Services Specialist CITY OF PRIOR LAKE BUILDING PERMIT SUMMARY JULY 1, 2022 - JULY 31, 2022 New Residential July 2022 July 2021 2022 Year to Date 2021 Year to Date New Residential Additions and Alterations Additions and Alterations Mechanical permits include but are not limited to furnaces, water heaters, softeners, and fireplaces. They are flat-rate permit fees. Mechanical (SF & TH) permits include required plumbing, heating, sewer and water and fireplace permits for new single family residences. They are flat-rate permit fees. M O U N T C U R V BL V D S E MARKLEYLAKED R SEWELCOMEAVESEScott County GIS 27 16 12 83 42 44 17 82 18 78 14 21 This product is for informational purposes and is not suitable for legal, engineering, or surveying purposes. This product has been produced by the City of Prior Lake for the sole purpose of geographic reference. No warranty is made by the City of Prior Lake regarding specific accuracy or completeness. 0 200 400 500 700 Feet Welcome Avenue Repairs Council Item Location Map 8/3/2022 Welcome Avenue Storm Sewer Repairs City of Prior Lake WSB Project No. 020326-000 Quote Due: July 27, 2022 at 12:00 PM Local Time DENOTES CORRECTED FIGURE Contractor Grand Total Bid 1 Krueger, Inc.$56,005.00 2 Bitumnous Roadways, Inc.$69,731.00 3 Peterson Companies $120,201.00 Engineer's Opinion of Cost $53,568.00 BID TABULATION SUMMARY Jake Newhall, PE Project Manager I hereby certify that this is a true and correct tabulation of the bids as received on July 27, 2022. K:\020326-000\Admin\Construction Admin\Welcome Ave Storm Sewer Repairs\Bidding\020326-000 Welcome Ave Bid Tab Summary 072822 K:\020326-000\Admin\Construction Admin\Welcome Ave Storm Sewer Repairs\Bidding\0020326-000 Welcome Ave LOR 072822.docx 701 XENIA AVENUE S | SUITE 300 | MINNEAPOLIS, MN | 55416 | 763.541.4800 | WSBENG.COM July 28, 2022 Honorable Mayor and City Council City of Prior Lake 4646 Dakota Street SE Prior Lake, MN 55372 Re: Welcome Avenue Storm Sewer Repairs WSB Project No. 020326-000 Dear Mayor and Council Members: Quotes were received for the above-referenced project on or before Wednesday July 27, 2022. A total of 3 quotes were received. The bids were checked for mathematical accuracy and tabulated and there were no errors made on the Proposal Forms. The bid tabulation indicates the low bidder as Krueger Excavating, Inc., Prior Lake, MN in the amount of $56,005.00. WSB has verified references for similar work for Krueger Excavating, Inc. and believe that they are a qualified contractor. We recommend that the City consider these quotes and award a contract to Krueger Excavating, Inc., based on the results of the quotes received. Sincerely, WSB Jake Non-Binding Budgetary Estimate Page 1 Q-405508-44767.601TC Q-405508-44767.601TC Issued: 07/25/2022 Quote Expiration: 08/31/2022 Estimated Contract Start Date: 01/01/2023 Account Number: 311696 Payment Terms: N30 Delivery Method: SHIP TO BILL TO SALES REPRESENTATIVE PRIMARY CONTACT Delivery;Invoice-4649 Dakota St SE Prior Lake Police Dept. - MN Tierney Conlon Steve Frazer 4649 Dakota St SE 4649 Dakota St SE Phone: (480) 712-4910 Phone: (952) 447-9861 Prior Lake, MN 55372-1714 Prior Lake, MN 55372-1714 Email: tconlon@axon.com Email: sfrazer@priorlakemn.gov USA USA Fax: Fax: (952) 440-3666 Email: 41-6005469 Quote Summary Discount Summary Program Length 66 Months Average Savings Per Year $12,584.77 TOTAL COST $145,304.37 ESTIMATED TOTAL W/ TAX $145,304.37 TOTAL SAVINGS $69,216.23 Payment Summary Date Subtotal Tax Total Dec 2022 $24,217.46 $0.00 $24,217.46 Jun 2023 $24,217.36 $0.00 $24,217.36 Jun 2024 $24,217.36 $0.00 $24,217.36 Jun 2025 $24,217.36 $0.00 $24,217.36 Jun 2026 $24,217.36 $0.00 $24,217.36 Jun 2027 $24,217.47 $0.00 $24,217.47 Total $145,304.37 $0.00 $145,304.37 Axon Enterprise, Inc. 17800 N 85th St. Scottsdale, Arizona 85255 United States VAT: 86-0741227 Domestic: (800) 978-2737 International: +1.800.978.2737 Non-Binding Budgetary Estimate Page 2 Q-405508-44767.601TC Quote Unbundled Price:$214,520.60 Quote List Price:$184,054.40 Quote Subtotal:$145,304.37 Pricing All deliverables are detailed in Delivery Schedules section lower in proposal Item Description Qty Term Unbundled List Price Net Price Subtotal Tax Total Program Fleet3ARe Fleet 3 Advanced Renewal 13 60 $182.69 $148.00 $140.75 $109,785.00 $0.00 $109,785.00 Fleet3A Fleet 3 Advanced 1 60 $264.80 $208.00 $197.81 $11,868.60 $0.00 $11,868.60 A la Carte Hardware 72036 FLEET 3 STANDARD 2 CAMERA KIT 13 $2,405.00 $0.00 $0.00 $0.00 $0.00 71210 FLEET DOOR TRIGGER HARDWARE, US 4 $18.60 $17.69 $70.76 $0.00 $70.76 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 11 $249.00 $236.80 $2,604.80 $0.00 $2,604.80 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 11 $1,509.00 $1,435.06 $15,785.66 $0.00 $15,785.66 72034 FLEET SIM INSERTION, VZW 11 $15.00 $14.27 $156.97 $0.00 $156.97 A la Carte Software 87050 FLEET VIEW XL LICENSE 14 6 $29.00 $27.58 $2,316.58 $0.00 $2,316.58 80214 FLEET EVIDENCE.COM UNLIMITED STORAGE 14 6 $34.00 $32.33 $2,716.00 $0.00 $2,716.00 Total $145,304.37 $0.00 $145,304.37 Non-Binding Budgetary Estimate Page 3 Q-405508-44767.601TC Delivery Schedule Hardware Bundle Item Description QTY Estimated Delivery Date A la Carte 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 11 12/01/2022 A la Carte 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 11 12/01/2022 A la Carte 71210 FLEET DOOR TRIGGER HARDWARE, US 4 12/01/2022 A la Carte 72034 FLEET SIM INSERTION, VZW 11 12/01/2022 Fleet 3 Advanced 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 1 06/01/2023 Fleet 3 Advanced 70112 AXON SIGNAL UNIT 1 06/01/2023 Fleet 3 Advanced 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 1 06/01/2023 Fleet 3 Advanced 72034 FLEET SIM INSERTION, VZW 1 06/01/2023 Fleet 3 Advanced 72036 FLEET 3 STANDARD 2 CAMERA KIT 1 06/01/2023 A la Carte 72036 FLEET 3 STANDARD 2 CAMERA KIT 13 06/01/2023 Fleet 3 Advanced 72040 FLEET REFRESH, 2 CAMERA KIT 1 06/01/2028 Fleet 3 Advanced Renewal 72040 FLEET REFRESH, 2 CAMERA KIT 13 06/01/2028 Software Bundle Item Description QTY Estimated Start Date Estimated End Date A la Carte 80214 FLEET EVIDENCE.COM UNLIMITED STORAGE 14 01/01/2023 06/30/2023 A la Carte 87050 FLEET VIEW XL LICENSE 14 01/01/2023 06/30/2023 Fleet 3 Advanced 80400 FLEET, VEHICLE LICENSE 1 07/01/2023 06/30/2028 Fleet 3 Advanced 80401 FLEET 3, ALPR LICENSE, 1 CAMERA 1 07/01/2023 06/30/2028 Fleet 3 Advanced 80402 RESPOND DEVICE LICENSE - FLEET 3 1 07/01/2023 06/30/2028 Fleet 3 Advanced 80410 FLEET, UNLIMITED STORAGE, 1 CAMERA 2 07/01/2023 06/30/2028 Fleet 3 Advanced Renewal 80400 FLEET, VEHICLE LICENSE 13 07/01/2023 06/30/2028 Fleet 3 Advanced Renewal 80401 FLEET 3, ALPR LICENSE, 1 CAMERA 13 07/01/2023 06/30/2028 Fleet 3 Advanced Renewal 80402 RESPOND DEVICE LICENSE - FLEET 3 13 07/01/2023 06/30/2028 Fleet 3 Advanced Renewal 80410 FLEET, UNLIMITED STORAGE, 1 CAMERA 26 07/01/2023 06/30/2028 Services Bundle Item Description QTY Fleet 3 Advanced 73391 FLEET 3 NEW INSTALLATION (PER VEHICLE)1 Fleet 3 Advanced Renewal 73392 FLEET 3 UPGRADE INSTALLATION (PER VEHICLE)13 Warranties Bundle Item Description QTY Estimated Start Date Estimated End Date Fleet 3 Advanced 80379 EXT WARRANTY, AXON SIGNAL UNIT 1 07/01/2023 06/30/2028 Fleet 3 Advanced 80495 EXT WARRANTY, FLEET 3, 2 CAMERA KIT 1 06/01/2024 06/30/2028 Fleet 3 Advanced Renewal 80495 EXT WARRANTY, FLEET 3, 2 CAMERA KIT 13 06/01/2024 06/30/2028 Non-Binding Budgetary Estimate Page 4 Q-405508-44767.601TC Payment Details Dec 2022 Invoice Plan Item Description Qty Subtotal Tax Total Year 1 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 11 $2,630.95 $0.00 $2,630.95 Year 1 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 11 $434.13 $0.00 $434.13 Year 1 71210 FLEET DOOR TRIGGER HARDWARE, US 4 $11.79 $0.00 $11.79 Year 1 72034 FLEET SIM INSERTION, VZW 11 $26.16 $0.00 $26.16 Year 1 72036 FLEET 3 STANDARD 2 CAMERA KIT 13 $0.00 $0.00 $0.00 Year 1 80214 FLEET EVIDENCE.COM UNLIMITED STORAGE 14 $452.67 $0.00 $452.67 Year 1 87050 FLEET VIEW XL LICENSE 14 $386.10 $0.00 $386.10 Year 1 Fleet3A Fleet 3 Advanced 1 $1,978.14 $0.00 $1,978.14 Year 1 Fleet3ARe Fleet 3 Advanced Renewal 13 $18,297.52 $0.00 $18,297.52 Total $24,217.46 $0.00 $24,217.46 Jun 2023 Invoice Plan Item Description Qty Subtotal Tax Total Year 2 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 11 $2,630.94 $0.00 $2,630.94 Year 2 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 11 $434.13 $0.00 $434.13 Year 2 71210 FLEET DOOR TRIGGER HARDWARE, US 4 $11.79 $0.00 $11.79 Year 2 72034 FLEET SIM INSERTION, VZW 11 $26.16 $0.00 $26.16 Year 2 72036 FLEET 3 STANDARD 2 CAMERA KIT 13 $0.00 $0.00 $0.00 Year 2 80214 FLEET EVIDENCE.COM UNLIMITED STORAGE 14 $452.67 $0.00 $452.67 Year 2 87050 FLEET VIEW XL LICENSE 14 $386.10 $0.00 $386.10 Year 2 Fleet3A Fleet 3 Advanced 1 $1,978.07 $0.00 $1,978.07 Year 2 Fleet3ARe Fleet 3 Advanced Renewal 13 $18,297.50 $0.00 $18,297.50 Total $24,217.36 $0.00 $24,217.36 Jun 2024 Invoice Plan Item Description Qty Subtotal Tax Total Year 3 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 11 $2,630.94 $0.00 $2,630.94 Year 3 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 11 $434.13 $0.00 $434.13 Year 3 71210 FLEET DOOR TRIGGER HARDWARE, US 4 $11.79 $0.00 $11.79 Year 3 72034 FLEET SIM INSERTION, VZW 11 $26.16 $0.00 $26.16 Year 3 72036 FLEET 3 STANDARD 2 CAMERA KIT 13 $0.00 $0.00 $0.00 Year 3 80214 FLEET EVIDENCE.COM UNLIMITED STORAGE 14 $452.67 $0.00 $452.67 Year 3 87050 FLEET VIEW XL LICENSE 14 $386.10 $0.00 $386.10 Year 3 Fleet3A Fleet 3 Advanced 1 $1,978.07 $0.00 $1,978.07 Year 3 Fleet3ARe Fleet 3 Advanced Renewal 13 $18,297.50 $0.00 $18,297.50 Total $24,217.36 $0.00 $24,217.36 Jun 2025 Invoice Plan Item Description Qty Subtotal Tax Total Year 4 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 11 $2,630.94 $0.00 $2,630.94 Year 4 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 11 $434.13 $0.00 $434.13 Non-Binding Budgetary Estimate Page 5 Q-405508-44767.601TC Jun 2025 Invoice Plan Item Description Qty Subtotal Tax Total Year 4 71210 FLEET DOOR TRIGGER HARDWARE, US 4 $11.79 $0.00 $11.79 Year 4 72034 FLEET SIM INSERTION, VZW 11 $26.16 $0.00 $26.16 Year 4 72036 FLEET 3 STANDARD 2 CAMERA KIT 13 $0.00 $0.00 $0.00 Year 4 80214 FLEET EVIDENCE.COM UNLIMITED STORAGE 14 $452.67 $0.00 $452.67 Year 4 87050 FLEET VIEW XL LICENSE 14 $386.10 $0.00 $386.10 Year 4 Fleet3A Fleet 3 Advanced 1 $1,978.07 $0.00 $1,978.07 Year 4 Fleet3ARe Fleet 3 Advanced Renewal 13 $18,297.50 $0.00 $18,297.50 Total $24,217.36 $0.00 $24,217.36 Jun 2026 Invoice Plan Item Description Qty Subtotal Tax Total Year 5 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 11 $2,630.94 $0.00 $2,630.94 Year 5 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 11 $434.13 $0.00 $434.13 Year 5 71210 FLEET DOOR TRIGGER HARDWARE, US 4 $11.79 $0.00 $11.79 Year 5 72034 FLEET SIM INSERTION, VZW 11 $26.16 $0.00 $26.16 Year 5 72036 FLEET 3 STANDARD 2 CAMERA KIT 13 $0.00 $0.00 $0.00 Year 5 80214 FLEET EVIDENCE.COM UNLIMITED STORAGE 14 $452.67 $0.00 $452.67 Year 5 87050 FLEET VIEW XL LICENSE 14 $386.10 $0.00 $386.10 Year 5 Fleet3A Fleet 3 Advanced 1 $1,978.07 $0.00 $1,978.07 Year 5 Fleet3ARe Fleet 3 Advanced Renewal 13 $18,297.50 $0.00 $18,297.50 Total $24,217.36 $0.00 $24,217.36 Jun 2027 Invoice Plan Item Description Qty Subtotal Tax Total Year 6 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 11 $2,630.95 $0.00 $2,630.95 Year 6 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 11 $434.15 $0.00 $434.15 Year 6 71210 FLEET DOOR TRIGGER HARDWARE, US 4 $11.81 $0.00 $11.81 Year 6 72034 FLEET SIM INSERTION, VZW 11 $26.17 $0.00 $26.17 Year 6 72036 FLEET 3 STANDARD 2 CAMERA KIT 13 $0.00 $0.00 $0.00 Year 6 80214 FLEET EVIDENCE.COM UNLIMITED STORAGE 14 $452.65 $0.00 $452.65 Year 6 87050 FLEET VIEW XL LICENSE 14 $386.08 $0.00 $386.08 Year 6 Fleet3A Fleet 3 Advanced 1 $1,978.18 $0.00 $1,978.18 Year 6 Fleet3ARe Fleet 3 Advanced Renewal 13 $18,297.48 $0.00 $18,297.48 Total $24,217.47 $0.00 $24,217.47 Non-Binding Budgetary Estimate Page 6 Q-405508-44767.601TC This Rough Order of Magnitude estimate is being provided for budgetary and planning purposes only. It is non-binding and is not considered a contractable offer for sale of Axon goods or services. Tax is estimated based on rates applicable at date of quote and subject to change at time of invoicing. If a tax exemption certificate should be applied, please submit prior to invoicing. Non-Binding Budgetary Estimate 1 FLEET STATEMENT OF WORK BETWEEN AXON ENTERPRISE AND AGENCY Introduction This Statement of Work (“SOW”) has been made and entered into by and between Axon Enterprise, Inc. (“AXON”), and Prior Lake Police Dept. - MN the AGENCY”) for the purchase of the Axon Fleet in-car video solution (“FLEET”) and its supporting information, services and training. (AXON Technical Project Manager/The AXON installer) Purpose and Intent AGENCY states, and AXON understands and agrees, that Agency’s purpose and intent for entering into this SOW is for the AGENCY to obtain from AXON deliverables, which used solely in conjunction with AGENCY’s existing systems and equipment, which AGENCY specifically agrees to purchase or provide pursuant to the terms of this SOW. This SOW contains the entire agreement between the parties. There are no promises, agreements, conditions, inducements, warranties or understandings, written or oral, expressed or implied, between the parties, other than as set forth or referenced in the SOW. Acceptance Upon completion of the services outlined in this SOW, AGENCY will be provided a professional services acceptance form (“Acceptance Form”). AGENCY will sign the Acceptance Form acknowledging that services have been completed in substantial conformance with this SOW and the Agreement. If AGENCY reasonably believes AXON did not complete the professional services in conformance with this SOW, AGENCY must notify AXON in writing of the specific reasons within seven (7) calendar days from delivery of the Acceptance Form. AXON will remedy the issues to conform with this SOW and re-present the Acceptance Form for signature. If AXON does not receive the signed Acceptance Form or written notification of the reasons for rejection within 7 calendar days of the delivery of the Acceptance Form, AGENCY will be deemed to have accepted the services in accordance to this SOW. Force Majeure Non-Binding Budgetary Estimate 2 Neither party hereto shall be liable for delays or failure to perform with respect to this SOW due to causes beyond the party’s reasonable control and not avoidable by diligence. Schedule Change Each party shall notify the other as soon as possible regarding any changes to agreed upon dates and times of Axon Fleet in-car Solution installation to be performed pursuant of this Statement of Work. Axon Fleet Deliverables Typically, within (30) days of receiving this fully executed SOW, an AXON Technical Project Manager will deliver to AGENCY’s primary point of contact via electronic media, controlled documentation, guides, instructions and videos followed by available dates for the initial project review and customer readiness validation. Unless otherwise agreed upon by AXON, AGENCY may print and reproduce said documents for use by its employees only. Security Clearance and Access Upon AGENCY’s request, AXON will provide the AGENCY a list of AXON employees, agents, installers or representatives which require access to the AGENCY’s facilities in order to perform Work pursuant of this Statement of Work. AXON will ensure that each employee, agent or representative has been informed or and consented to a criminal background investigation by AGENCY for the purposes of being allowed access to AGENCY‘s facilities. AGENCY is responsible for providing AXON with all required instructions and documentation accompanying the security background check’s requirements. Training AXON will provide training applicable to Axon Evidence, Cradlepoint NetCloud Manager and Axon Fleet application in a train-the-trainer style method unless otherwise agreed upon between the AGENCY and AXON. Local Computer Non-Binding Budgetary Estimate 3 AGNECY is responsible for providing a mobile data computer (MDC) with the same software, hardware, and configuration that AGENCY personnel will use with the AXON system being installed. AGENCY is responsible for making certain that any and all security settings (port openings, firewall settings, antivirus software, virtual private network, routing, etc.) are made prior to the installation, configuration and testing of the aforementioned deliverables. Network AGENCY is responsible for making certain that any and all network(s) route traffic to appropriate endpoints and AXON is not liable for network breach, data interception, or loss of data due to misconfigured firewall settings or virus infection, except to the extent that such virus or infection is caused, in whole or in part, by defects in the deliverables. Cradlepoint Router When applicable, AGENCY must provide AXON Installers with temporary administrative access to Cradlepoint’s NetCloud Manager to the extent necessary to perform Work pursuant of this Statement of Work. Evidence.com AGENCY must provide AXON Installers with temporary administrative access to Axon Evidence.com to the extent necessary to perform Work pursuant of this SOW. Wireless Upload System If purchased by the AGENCY, on such dates and times mutually agreed upon by the parties, AXON will install and configure into AGENCY’s existing network a wireless network infrastructure as identified in the AGENCY’s binding quote based on conditions of the sale. VEHICLE INSTALLATION Preparedness Non-Binding Budgetary Estimate 4 On such dates and times mutually agreed upon by the parties, the AGENCY will deliver all vehicles to an AXON Installer less weapons and items of evidence. Vehicle(s) will be deemed ‘out of service’ to the extent necessary to perform Work pursuant of this SOW. Existing Mobile Video Camera System Removal On such dates and times mutually agreed upon by the parties, the AGENCY will deliver all vehicles to an AXON Installer which will remove from said vehicles all components of the existing mobile video camera system unless otherwise agreed upon by the AGENCY. Major components will be salvaged by the AXON Installer for auction by the AGENCY. Wires and cables are not considered expendable and will not be salvaged. Salvaged components will be placed in a designated area by the AGENCY within close proximity of the vehicle in an accessible work space. Prior to removing the existing mobile video camera systems, it is both the responsibility of the AGENCY and the AXON Installer to test the vehicle’s systems’ operation to identify and operate, documenting any existing component or system failures and in detail, identify which components of the existing mobile video camera system will be removed by the AXON Installer. In-Car Hardware/Software Delivery and Installation On such dates and times mutually agreed upon by the parties, the AGENCY will deliver all vehicles to an AXON Installer, who will install and configure in each vehicle in accordance with the specifications detailed in the system’s installation manual and its relevant addendum(s). Applicable in-car hardware will be installed and configured as defined and validated by the AGENCY during the pre-deployment discovery process. If a specified vehicle is unavailable on the date and time agreed upon by the parties, AGENCY will provide a similar vehicle for the installation process. Delays due to a vehicle, or substitute vehicle, not being available at agreed upon dates and times may results in additional fees to the AGENCY. If the AXON Installer determines that a vehicle is not properly prepared for installation (“Not Fleet Ready”), such as a battery not being properly charged or properly up-fit for in-service, field operations, the issue shall be reported immediately to the AGENCY for resolution and a date and time for the future installation shall be agreed upon by the parties. Non-Binding Budgetary Estimate 5 Upon completion of installation and configuration, AXON will systematically test all installed and configured in-car hardware and software to ensure that ALL functions of the hardware and software are fully operational and that any deficiencies are corrected unless otherwise agreed upon by the AGENCY, installation, configuration, test and the correct of any deficiencies will be completed in each vehicle accepted for installation. Prior to installing the Axon Fleet camera systems, it is both the responsibility of the AGENCY and the AXON Installer to test the vehicle’s existing systems’ operation to identify, document any existing component or vehicle systems’ failures. Prior to any vehicle up-fitting the AXON Installer will introduce the system’s components, basic functions, integrations and systems overview along with reference to AXON approved, AGENCY manuals, guides, portals and videos. It is both the responsibility of the AGENCY and the AXON Installer to agree on placement of each components, the antenna(s), integration recording trigger sources and customer preferred power, ground and ignition sources prior to permanent or temporary installation of an Axon Fleet camera solution in each vehicle type. Agreed placement will be documented by the AXON Installer. AXON welcomes up to 5 persons per system operation training session per day, and unless otherwise agreed upon by the AGENCY, the first vehicle will be used for an installation training demonstration. The second vehicle will be used for an assisted installation training demonstration. The installation training session is customary to any AXON Fleet installation service regardless of who performs the continued Axon Fleet system installations. Non-Binding Budgetary Estimate 6 The customary training session does not ‘certify’ a non-AXON Installer, customer-employed Installer or customer 3rd party Installer, since the AXON Fleet products does not offer an Installer certification program. Any work performed by non-AXON Installer, customer-employed Installer or customer 3rd party Installer is not warrantied by AXON, and AXON is not liable for any damage to the vehicle and its existing systems and AXON Fleet hardware. Page 1 Q-405391-44753.755TC Q-405391-44753.755TC Issued: 07/11/2022 Quote Expiration: 07/31/2022 Estimated Contract Start Date: 08/15/2022 Account Number: 311696 Payment Terms: N30 Delivery Method: SHIP TO BILL TO SALES REPRESENTATIVE PRIMARY CONTACT Delivery;Invoice-4649 Dakota St SE Prior Lake Police Dept. - MN Tierney Conlon Steve Frazer 4649 Dakota St SE 4649 Dakota St SE Phone: (480) 712-4910 Phone: (952) 447-9861 Prior Lake, MN 55372-1714 Prior Lake, MN 55372-1714 Email: tconlon@axon.com Email: sfrazer@priorlakemn.gov USA USA Fax: Fax: (952) 440-3666 Email: 41-6005469 Quote Summary Discount Summary Program Length 4.5484 Months Average Savings Per Year $6,295.59 TOTAL COST $6,353.81 ESTIMATED TOTAL W/ TAX $6,353.81 TOTAL SAVINGS $2,386.24 Payment Summary Date Subtotal Tax Total Jul 2022 $6,353.81 $0.00 $6,353.81 Total $6,353.81 $0.00 $6,353.81 Axon Enterprise, Inc. 17800 N 85th St. Scottsdale, Arizona 85255 United States VAT: 86-0741227 Domestic: (800) 978-2737 International: +1.800.978.2737 Page 2 Q-405391-44753.755TC Quote Unbundled Price:$8,740.05 Quote List Price:$7,381.20 Quote Subtotal:$6,353.81 Pricing All deliverables are detailed in Delivery Schedules section lower in proposal Item Description Qty Term Unbundled List Price Net Price Subtotal Tax Total Program 73122 AXON 2-CAMERA FLEET SOLUTION TRUE UP FEE 1 55 $93.00 $80.50 $4,427.32 $0.00 $4,427.32 Fleet2-TAP Fleet 2 Without TAP 1 5 $365.97 $94.20 $80.08 $400.40 $0.00 $400.40 A la Carte Hardware 71210 FLEET DOOR TRIGGER HARDWARE, US 2 $18.60 $15.81 $31.62 $0.00 $31.62 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 1 $249.00 $211.67 $211.67 $0.00 $211.67 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 1 $1,509.00 $1,282.80 $1,282.80 $0.00 $1,282.80 Total $6,353.81 $0.00 $6,353.81 Page 3 Q-405391-44753.755TC Delivery Schedule Hardware Bundle Item Description QTY Estimated Delivery Date Fleet 2 Without TAP 71088 AXON FLEET 2 KIT 1 07/15/2022 A la Carte 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 1 07/15/2022 A la Carte 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 1 07/15/2022 A la Carte 71210 FLEET DOOR TRIGGER HARDWARE, US 2 07/15/2022 Software Bundle Item Description QTY Estimated Start Date Estimated End Date Fleet 2 Without TAP 80410 FLEET, UNLIMITED STORAGE, 1 CAMERA 2 08/15/2022 12/31/2022 Fleet 2 Without TAP 87050 FLEET VIEW XL LICENSE 1 08/15/2022 12/31/2022 Page 4 Q-405391-44753.755TC Payment Details Jul 2022 Invoice Plan Item Description Qty Subtotal Tax Total Year 1 11634 CRADLEPOINT IBR900-1200M-B-NPS+5YR NETCLOUD 1 $1,282.80 $0.00 $1,282.80 Year 1 71200 FLEET ANT, AIRGAIN, 5-IN-1, 2LTE, 2WIFI, 1GNSS, BL 1 $211.67 $0.00 $211.67 Year 1 71210 FLEET DOOR TRIGGER HARDWARE, US 2 $31.62 $0.00 $31.62 Year 1 73122 AXON 2-CAMERA FLEET SOLUTION TRUE UP FEE 1 $4,427.32 $0.00 $4,427.32 Year 1 Fleet2-TAP Fleet 2 Without TAP 1 $400.40 $0.00 $400.40 Total $6,353.81 $0.00 $6,353.81 Page 5 Q-405391-44753.755TC Tax is estimated based on rates applicable at date of quote and subject to change at time of invoicing. If a tax exemption certificate should be applied, please submit prior to invoicing. Standard Terms and Conditions Axon Enterprise Inc. Sales Terms and Conditions Axon Master Services and Purchasing Agreement: This Quote is limited to and conditional upon your acceptance of the provisions set forth herein and Axon’s Master Services and Purchasing Agreement posted at www.axon.com/legal/sales-terms-and-conditions), as well as the attached Statement of Work (SOW) for Axon Fleet and/or Axon Interview Room purchase, if applicable. In the event you and Axon have entered into a prior agreement to govern all future purchases, that agreement shall govern to the extent it includes the products and services being purchased and does not conflict with the Axon Customer Experience Improvement Program Appendix as described below. ACEIP: The Axon Customer Experience Improvement Program Appendix, which includes the sharing of de-identified segments of Agency Content with Axon to develop new products and improve your product experience (posted at www.axon.com/legal/sales-terms-and-conditions), is incorporated herein by reference. By signing below, you agree to the terms of the Axon Customer Experience Improvement Program. Acceptance of Terms: Any purchase order issued in response to this Quote is subject solely to the above referenced terms and conditions. By signing below, you represent that you are lawfully able to enter into contracts. If you are signing on behalf of an entity (including but not limited to the company, municipality, or government agency for whom you work), you represent to Axon that you have legal authority to bind that entity. If you do not have this authority, please do not sign this Quote. Page 6 Q-405391-44753.755TC s1\\d1\ Signature Date Signed 7/11/2022 Page 1 Q-405940-44767.595TC Q-405940-44767.595TC Issued: 07/25/2022 Quote Expiration: 08/31/2022 Estimated Contract Start Date: 09/15/2022 Account Number: 311696 Payment Terms: N30 Delivery Method: SHIP TO BILL TO SALES REPRESENTATIVE PRIMARY CONTACT Delivery;Invoice-4649 Dakota St SE Prior Lake Police Dept. - MN Tierney Conlon Beau Johnson 4649 Dakota St SE 4649 Dakota St SE Phone: (480) 712-4910 Phone: Prior Lake, MN 55372-1714 Prior Lake, MN 55372-1714 Email: tconlon@axon.com Email: beaujohnson37@gmail.com USA USA Fax: Fax: Email: 41-6005469 Quote Summary Discount Summary Program Length 60 Months Average Savings Per Year $36,842.27 TOTAL COST $564,944.35 ESTIMATED TOTAL W/ TAX $564,944.35 TOTAL SAVINGS $184,211.36 Payment Summary Date Subtotal Tax Total Aug 2022 $112,989.03 $0.00 $112,989.03 Aug 2023 $112,988.83 $0.00 $112,988.83 Aug 2024 $112,988.83 $0.00 $112,988.83 Aug 2025 $112,988.83 $0.00 $112,988.83 Aug 2026 $112,988.83 $0.00 $112,988.83 Total $564,944.35 $0.00 $564,944.35 Axon Enterprise, Inc. 17800 N 85th St. Scottsdale, Arizona 85255 United States VAT: 86-0741227 Domestic: (800) 978-2737 International: +1.800.978.2737 Page 2 Q-405940-44767.595TC Quote Unbundled Price:$749,155.71 Quote List Price:$625,381.71 Quote Subtotal:$564,944.35 Pricing All deliverables are detailed in Delivery Schedules section lower in proposal Item Description Qty Term Unbundled List Price Net Price Subtotal Tax Total Program 2022OSP7+Premium 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 35 60 $307.94 $249.00 $237.16 $498,036.00 $0.00 $498,036.00 A la Carte Hardware 20050 HOOK-AND-LOOP TRAINING (HALT) SUIT 1 $789.75 $0.00 $0.00 $0.00 $0.00 AB3C AB3 Camera Bundle 34 $699.00 $0.00 $0.00 $0.00 $0.00 AB3MBD AB3 Multi Bay Dock Bundle 4 $1,538.90 $0.00 $0.00 $0.00 $0.00 AB3C AB3 Camera Bundle 1 $699.00 $699.00 $699.00 $0.00 $699.00 AB3MBD AB3 Multi Bay Dock Bundle 1 $1,538.90 $1,538.90 $1,538.90 $0.00 $1,538.90 A la Carte Software 100342 INPUT-ACE PERPETUAL LICENSE MAINTENANCE 2 60 $82.92 $82.92 $9,950.40 $0.00 $9,950.40 100330 INPUT-ACE PERPETUAL LICENSE 2 $2,500.00 $2,500.00 $5,000.00 $0.00 $5,000.00 50045 UNLIMITED INTERVIEW ROOM CLOUD STORAGE 5 59 $99.00 $92.75 $27,361.00 $0.00 $27,361.00 50043 INTERVIEW - SOFTWARE - STREAMING SERVER MAINTENANCE (PER SER 2 59 $29.17 $29.17 $3,442.06 $0.00 $3,442.06 ProLicense Pro License Bundle 7 60 $39.00 $34.49 $14,486.99 $0.00 $14,486.99 A la Carte Services 100337 INPUT-ACE EXAMINER TRAINING 2 $595.00 $595.00 $1,190.00 $0.00 $1,190.00 100336 INPUT-ACE OPERATOR TRAINING 2 $395.00 $395.00 $790.00 $0.00 $790.00 100341 VIDEO EXAMINATIONS FOR THE POLICE INVESTIGATOR - ONLINE 10 $245.00 $245.00 $2,450.00 $0.00 $2,450.00 20120 TASER 7 INSTRUCTOR COURSE VOUCHER 3 $375.00 $0.00 $0.00 $0.00 $0.00 Total $564,944.35 $0.00 $564,944.35 Page 3 Q-405940-44767.595TC Delivery Schedule Hardware Bundle Item Description QTY Estimated Delivery Date 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 100126 AXON VR TACTICAL BAG 1 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 100186 HTC FOCUS 3 WRIST TRACKER 2 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20008 TASER 7 HANDLE, YLW, HIGH VISIBILITY (GREEN LASER), CLASS 3R 35 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20008 TASER 7 HANDLE, YLW, HIGH VISIBILITY (GREEN LASER), CLASS 3R 1 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20018 TASER 7 BATTERY PACK, TACTICAL 42 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20160 TASER 7 HOLSTER - SAFARILAND, RH+CART CARRIER 35 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20296 SAMSUNG S7+ TABLET FOR VR SIMULATOR 1 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20297 SAMSUNG S7+ TABLET CASE FOR VR SIMULATOR 1 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20298 VR-ENABLED GLOCK 19 CONTROLLER 1 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20378 HTC FOCUS 3 VR HEADSET 2 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22175 TASER 7 LIVE CARTRIDGE, STANDOFF (3.5-DEGREE) NS 105 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22175 TASER 7 LIVE CARTRIDGE, STANDOFF (3.5-DEGREE) NS 70 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22176 TASER 7 LIVE CARTRIDGE, CLOSE QUARTERS (12-DEGREE) NS 105 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22176 TASER 7 LIVE CARTRIDGE, CLOSE QUARTERS (12-DEGREE) NS 70 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22177 TASER 7 HOOK-AND-LOOP TRN (HALT) CARTRIDGE, STANDOFF NS 70 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22178 TASER 7 HOOK-AND-LOOP TRN (HALT) CARTRIDGE, CLOSE QUART NS 70 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22179 TASER 7 INERT CARTRIDGE, STANDOFF (3.5-DEGREE) NS 35 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22181 TASER 7 INERT CARTRIDGE, CLOSE QUARTERS (12-DEGREE) NS 35 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22196 TASER 7 VR CARTRIDGE, STANDOFF (3.5-DEGREE)2 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22197 TASER 7 VR CARTRIDGE, CLOSE-QUARTERS (12-DEGREE)2 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 70033 WALL MOUNT BRACKET, ASSY, EVIDENCE.COM DOCK 1 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 71019 NORTH AMER POWER CORD FOR AB3 8-BAY, AB2 1-BAY / 6-BAY DOCK 1 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 71044 BATTERY, SIGNAL SIDEARM, CR2430 SINGLE PACK 70 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 74200 TASER 7 6-BAY DOCK AND CORE 1 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 75015 SIGNAL SIDEARM KIT 35 08/15/2022 AB3 Camera Bundle 11534 USB-C to USB-A CABLE FOR AB3 OR FLEX 2 38 08/15/2022 AB3 Camera Bundle 11534 USB-C to USB-A CABLE FOR AB3 OR FLEX 2 2 08/15/2022 AB3 Camera Bundle 73202 AXON BODY 3 - NA10 - US - BLK - RAPIDLOCK 34 08/15/2022 AB3 Camera Bundle 73202 AXON BODY 3 - NA10 - US - BLK - RAPIDLOCK 1 08/15/2022 AB3 Camera Bundle 73202 AXON BODY 3 - NA10 - US - BLK - RAPIDLOCK 1 08/15/2022 AB3 Camera Bundle 74028 WING CLIP MOUNT, AXON RAPIDLOCK 38 08/15/2022 AB3 Camera Bundle 74028 WING CLIP MOUNT, AXON RAPIDLOCK 2 08/15/2022 AB3 Multi Bay Dock Bundle 70033 WALL MOUNT BRACKET, ASSY, EVIDENCE.COM DOCK 4 08/15/2022 AB3 Multi Bay Dock Bundle 70033 WALL MOUNT BRACKET, ASSY, EVIDENCE.COM DOCK 1 08/15/2022 AB3 Multi Bay Dock Bundle 71019 NORTH AMER POWER CORD FOR AB3 8-BAY, AB2 1-BAY / 6-BAY DOCK 4 08/15/2022 AB3 Multi Bay Dock Bundle 71019 NORTH AMER POWER CORD FOR AB3 8-BAY, AB2 1-BAY / 6-BAY DOCK 1 08/15/2022 AB3 Multi Bay Dock Bundle 74210 AXON BODY 3 - 8 BAY DOCK 4 08/15/2022 AB3 Multi Bay Dock Bundle 74210 AXON BODY 3 - 8 BAY DOCK 1 08/15/2022 A la Carte 20050 HOOK-AND-LOOP TRAINING (HALT) SUIT 1 08/15/2022 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22175 TASER 7 LIVE CARTRIDGE, STANDOFF (3.5-DEGREE) NS 70 08/15/2023 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22176 TASER 7 LIVE CARTRIDGE, CLOSE QUARTERS (12-DEGREE) NS 70 08/15/2023 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22175 TASER 7 LIVE CARTRIDGE, STANDOFF (3.5-DEGREE) NS 70 08/15/2024 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22176 TASER 7 LIVE CARTRIDGE, CLOSE QUARTERS (12-DEGREE) NS 70 08/15/2024 Page 4 Q-405940-44767.595TC Hardware Bundle Item Description QTY Estimated Delivery Date 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22177 TASER 7 HOOK-AND-LOOP TRN (HALT) CARTRIDGE, STANDOFF NS 70 08/15/2024 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22178 TASER 7 HOOK-AND-LOOP TRN (HALT) CARTRIDGE, CLOSE QUART NS 70 08/15/2024 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 100210 VIRTUAL REALITY TABLET REFRESH ONE 1 02/15/2025 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20373 VIRTUAL REALITY HEADSET REFRESH ONE 2 02/15/2025 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 73309 AXON CAMERA REFRESH ONE 36 02/15/2025 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 73689 MULTI-BAY BWC DOCK 1ST REFRESH 5 02/15/2025 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22175 TASER 7 LIVE CARTRIDGE, STANDOFF (3.5-DEGREE) NS 70 08/15/2025 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22176 TASER 7 LIVE CARTRIDGE, CLOSE QUARTERS (12-DEGREE) NS 70 08/15/2025 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22175 TASER 7 LIVE CARTRIDGE, STANDOFF (3.5-DEGREE) NS 70 08/15/2026 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 22176 TASER 7 LIVE CARTRIDGE, CLOSE QUARTERS (12-DEGREE) NS 70 08/15/2026 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 73310 AXON CAMERA REFRESH TWO 36 08/15/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 73688 MULTI-BAY BWC DOCK 2ND REFRESH 5 08/15/2027 Software Bundle Item Description QTY Estimated Start Date Estimated End Date 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 100165 UNLIMITED 3RD-PARTY STORAGE 35 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20248 TASER 7 EVIDENCE.COM LICENSE 35 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20248 TASER 7 EVIDENCE.COM LICENSE 1 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 20370 FULL VR TASER 7 ADD-ON USER ACCESS 35 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 73478 REDACTION ASSISTANT USER LICENSE 35 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 73618 CITIZEN FOR COMMUNITIES USER LICENSE 35 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 73680 RESPOND DEVICE PLUS LICENSE 35 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 73682 AUTO TAGGING LICENSE 35 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 73686 EVIDENCE.COM UNLIMITED AXON DEVICE STORAGE 35 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 73739 PERFORMANCE LICENSE 35 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 73746 PROFESSIONAL EVIDENCE.COM LICENSE 35 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 85760 Auto-Transcribe Unlimited Service 35 09/15/2022 09/14/2027 Pro License Bundle 73683 10 GB EVIDENCE.COM A-LA-CART STORAGE-21 09/15/2022 09/14/2027 Pro License Bundle 73746 PROFESSIONAL EVIDENCE.COM LICENSE 7 09/15/2022 09/14/2027 A la Carte 100330 INPUT-ACE PERPETUAL LICENSE 2 09/15/2022 09/14/2027 A la Carte 100342 INPUT-ACE PERPETUAL LICENSE MAINTENANCE 2 09/15/2022 09/14/2027 A la Carte 50043 INTERVIEW - SOFTWARE - STREAMING SERVER MAINTENANCE (PER SER 2 10/15/2022 09/14/2027 A la Carte 50045 UNLIMITED INTERVIEW ROOM CLOUD STORAGE 5 10/15/2022 09/14/2027 Services Bundle Item Description QTY 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 11642 THIRD-PARTY VIDEO SUPPORT LICENSE 35 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 79999 AUTO TAGGING / PERFORMANCE IMPLEMENTATION SERVICE 1 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 80190 Evidence.com Channel Services 1 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 80223 INACTIVE CHANNEL ACCESS LICENSE 1 A la Carte 100336 INPUT-ACE OPERATOR TRAINING 2 A la Carte 100337 INPUT-ACE EXAMINER TRAINING 2 A la Carte 100341 VIDEO EXAMINATIONS FOR THE POLICE INVESTIGATOR - ONLINE 10 A la Carte 20120 TASER 7 INSTRUCTOR COURSE VOUCHER 3 Page 5 Q-405940-44767.595TC Warranties Bundle Item Description QTY Estimated Start Date Estimated End Date 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 100197 HTC FOCUS 3 VR HEADSET - WARRANTY 2 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 100198 AXON VR CONTROLLER KIT - WARRANTY 1 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 80465 EXT WARRANTY, MULTI-BAY DOCK (TAP)5 09/15/2022 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 80374 EXT WARRANTY, TASER 7 BATTERY PACK 42 08/15/2023 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 80395 EXT WARRANTY, TASER 7 HANDLE 35 08/15/2023 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 80395 EXT WARRANTY, TASER 7 HANDLE 1 08/15/2023 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 80396 EXT WARRANTY, TASER 7 SIX BAY DOCK 1 08/15/2023 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 80464 EXT WARRANTY, CAMERA (TAP)35 08/15/2023 09/14/2027 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 80464 EXT WARRANTY, CAMERA (TAP)1 08/15/2023 09/14/2027 Page 6 Q-405940-44767.595TC Payment Details Aug 2022 Invoice Plan Item Description Qty Subtotal Tax Total Year 1 100330 INPUT-ACE PERPETUAL LICENSE 2 $1,000.00 $0.00 $1,000.00 Year 1 100336 INPUT-ACE OPERATOR TRAINING 2 $158.00 $0.00 $158.00 Year 1 100337 INPUT-ACE EXAMINER TRAINING 2 $238.00 $0.00 $238.00 Year 1 100341 VIDEO EXAMINATIONS FOR THE POLICE INVESTIGATOR - ONLINE 10 $490.00 $0.00 $490.00 Year 1 100342 INPUT-ACE PERPETUAL LICENSE MAINTENANCE 2 $1,990.08 $0.00 $1,990.08 Year 1 20050 HOOK-AND-LOOP TRAINING (HALT) SUIT 1 $0.00 $0.00 $0.00 Year 1 20120 TASER 7 INSTRUCTOR COURSE VOUCHER 3 $0.00 $0.00 $0.00 Year 1 2022OSP7+Premium 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 35 $99,607.36 $0.00 $99,607.36 Year 1 50043 INTERVIEW - SOFTWARE - STREAMING SERVER MAINTENANCE (PER SER 2 $688.42 $0.00 $688.42 Year 1 50045 UNLIMITED INTERVIEW ROOM CLOUD STORAGE 5 $5,472.20 $0.00 $5,472.20 Year 1 AB3C AB3 Camera Bundle 34 $0.00 $0.00 $0.00 Year 1 AB3C AB3 Camera Bundle 1 $139.80 $0.00 $139.80 Year 1 AB3MBD AB3 Multi Bay Dock Bundle 4 $0.00 $0.00 $0.00 Year 1 AB3MBD AB3 Multi Bay Dock Bundle 1 $307.78 $0.00 $307.78 Year 1 ProLicense Pro License Bundle 7 $2,897.39 $0.00 $2,897.39 Total $112,989.03 $0.00 $112,989.03 Aug 2023 Invoice Plan Item Description Qty Subtotal Tax Total Year 2 100330 INPUT-ACE PERPETUAL LICENSE 2 $1,000.00 $0.00 $1,000.00 Year 2 100336 INPUT-ACE OPERATOR TRAINING 2 $158.00 $0.00 $158.00 Year 2 100337 INPUT-ACE EXAMINER TRAINING 2 $238.00 $0.00 $238.00 Year 2 100341 VIDEO EXAMINATIONS FOR THE POLICE INVESTIGATOR - ONLINE 10 $490.00 $0.00 $490.00 Year 2 100342 INPUT-ACE PERPETUAL LICENSE MAINTENANCE 2 $1,990.08 $0.00 $1,990.08 Year 2 20050 HOOK-AND-LOOP TRAINING (HALT) SUIT 1 $0.00 $0.00 $0.00 Year 2 20120 TASER 7 INSTRUCTOR COURSE VOUCHER 3 $0.00 $0.00 $0.00 Year 2 2022OSP7+Premium 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 35 $99,607.16 $0.00 $99,607.16 Year 2 50043 INTERVIEW - SOFTWARE - STREAMING SERVER MAINTENANCE (PER SER 2 $688.41 $0.00 $688.41 Year 2 50045 UNLIMITED INTERVIEW ROOM CLOUD STORAGE 5 $5,472.20 $0.00 $5,472.20 Year 2 AB3C AB3 Camera Bundle 34 $0.00 $0.00 $0.00 Year 2 AB3C AB3 Camera Bundle 1 $139.80 $0.00 $139.80 Year 2 AB3MBD AB3 Multi Bay Dock Bundle 4 $0.00 $0.00 $0.00 Year 2 AB3MBD AB3 Multi Bay Dock Bundle 1 $307.78 $0.00 $307.78 Year 2 ProLicense Pro License Bundle 7 $2,897.40 $0.00 $2,897.40 Total $112,988.83 $0.00 $112,988.83 Aug 2024 Invoice Plan Item Description Qty Subtotal Tax Total Year 3 100330 INPUT-ACE PERPETUAL LICENSE 2 $1,000.00 $0.00 $1,000.00 Year 3 100336 INPUT-ACE OPERATOR TRAINING 2 $158.00 $0.00 $158.00 Year 3 100337 INPUT-ACE EXAMINER TRAINING 2 $238.00 $0.00 $238.00 Year 3 100341 VIDEO EXAMINATIONS FOR THE POLICE INVESTIGATOR - ONLINE 10 $490.00 $0.00 $490.00 Page 7 Q-405940-44767.595TC Aug 2024 Invoice Plan Item Description Qty Subtotal Tax Total Year 3 100342 INPUT-ACE PERPETUAL LICENSE MAINTENANCE 2 $1,990.08 $0.00 $1,990.08 Year 3 20050 HOOK-AND-LOOP TRAINING (HALT) SUIT 1 $0.00 $0.00 $0.00 Year 3 20120 TASER 7 INSTRUCTOR COURSE VOUCHER 3 $0.00 $0.00 $0.00 Year 3 2022OSP7+Premium 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 35 $99,607.16 $0.00 $99,607.16 Year 3 50043 INTERVIEW - SOFTWARE - STREAMING SERVER MAINTENANCE (PER SER 2 $688.41 $0.00 $688.41 Year 3 50045 UNLIMITED INTERVIEW ROOM CLOUD STORAGE 5 $5,472.20 $0.00 $5,472.20 Year 3 AB3C AB3 Camera Bundle 34 $0.00 $0.00 $0.00 Year 3 AB3C AB3 Camera Bundle 1 $139.80 $0.00 $139.80 Year 3 AB3MBD AB3 Multi Bay Dock Bundle 4 $0.00 $0.00 $0.00 Year 3 AB3MBD AB3 Multi Bay Dock Bundle 1 $307.78 $0.00 $307.78 Year 3 ProLicense Pro License Bundle 7 $2,897.40 $0.00 $2,897.40 Total $112,988.83 $0.00 $112,988.83 Aug 2025 Invoice Plan Item Description Qty Subtotal Tax Total Year 4 100330 INPUT-ACE PERPETUAL LICENSE 2 $1,000.00 $0.00 $1,000.00 Year 4 100336 INPUT-ACE OPERATOR TRAINING 2 $158.00 $0.00 $158.00 Year 4 100337 INPUT-ACE EXAMINER TRAINING 2 $238.00 $0.00 $238.00 Year 4 100341 VIDEO EXAMINATIONS FOR THE POLICE INVESTIGATOR - ONLINE 10 $490.00 $0.00 $490.00 Year 4 100342 INPUT-ACE PERPETUAL LICENSE MAINTENANCE 2 $1,990.08 $0.00 $1,990.08 Year 4 20050 HOOK-AND-LOOP TRAINING (HALT) SUIT 1 $0.00 $0.00 $0.00 Year 4 20120 TASER 7 INSTRUCTOR COURSE VOUCHER 3 $0.00 $0.00 $0.00 Year 4 2022OSP7+Premium 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 35 $99,607.16 $0.00 $99,607.16 Year 4 50043 INTERVIEW - SOFTWARE - STREAMING SERVER MAINTENANCE (PER SER 2 $688.41 $0.00 $688.41 Year 4 50045 UNLIMITED INTERVIEW ROOM CLOUD STORAGE 5 $5,472.20 $0.00 $5,472.20 Year 4 AB3C AB3 Camera Bundle 34 $0.00 $0.00 $0.00 Year 4 AB3C AB3 Camera Bundle 1 $139.80 $0.00 $139.80 Year 4 AB3MBD AB3 Multi Bay Dock Bundle 4 $0.00 $0.00 $0.00 Year 4 AB3MBD AB3 Multi Bay Dock Bundle 1 $307.78 $0.00 $307.78 Year 4 ProLicense Pro License Bundle 7 $2,897.40 $0.00 $2,897.40 Total $112,988.83 $0.00 $112,988.83 Aug 2026 Invoice Plan Item Description Qty Subtotal Tax Total Year 5 100330 INPUT-ACE PERPETUAL LICENSE 2 $1,000.00 $0.00 $1,000.00 Year 5 100336 INPUT-ACE OPERATOR TRAINING 2 $158.00 $0.00 $158.00 Year 5 100337 INPUT-ACE EXAMINER TRAINING 2 $238.00 $0.00 $238.00 Year 5 100341 VIDEO EXAMINATIONS FOR THE POLICE INVESTIGATOR - ONLINE 10 $490.00 $0.00 $490.00 Year 5 100342 INPUT-ACE PERPETUAL LICENSE MAINTENANCE 2 $1,990.08 $0.00 $1,990.08 Year 5 20050 HOOK-AND-LOOP TRAINING (HALT) SUIT 1 $0.00 $0.00 $0.00 Year 5 20120 TASER 7 INSTRUCTOR COURSE VOUCHER 3 $0.00 $0.00 $0.00 Year 5 2022OSP7+Premium 2022 - OFFICER SAFETY PLAN 7 PLUS Premium 35 $99,607.16 $0.00 $99,607.16 Year 5 50043 INTERVIEW - SOFTWARE - STREAMING SERVER MAINTENANCE (PER SER 2 $688.41 $0.00 $688.41 Year 5 50045 UNLIMITED INTERVIEW ROOM CLOUD STORAGE 5 $5,472.20 $0.00 $5,472.20 Year 5 AB3C AB3 Camera Bundle 34 $0.00 $0.00 $0.00 Page 8 Q-405940-44767.595TC Aug 2026 Invoice Plan Item Description Qty Subtotal Tax Total Year 5 AB3C AB3 Camera Bundle 1 $139.80 $0.00 $139.80 Year 5 AB3MBD AB3 Multi Bay Dock Bundle 4 $0.00 $0.00 $0.00 Year 5 AB3MBD AB3 Multi Bay Dock Bundle 1 $307.78 $0.00 $307.78 Year 5 ProLicense Pro License Bundle 7 $2,897.40 $0.00 $2,897.40 Total $112,988.83 $0.00 $112,988.83 Page 9 Q-405940-44767.595TC Tax is estimated based on rates applicable at date of quote and subject to change at time of invoicing. If a tax exemption certificate should be applied, please submit prior to invoicing. Standard Terms and Conditions Axon Enterprise Inc. Sales Terms and Conditions Axon Master Services and Purchasing Agreement: This Quote is limited to and conditional upon your acceptance of the provisions set forth herein and Axon’s Master Services and Purchasing Agreement posted at www.axon.com/legal/sales-terms-and-conditions), as well as the attached Statement of Work (SOW) for Axon Fleet and/or Axon Interview Room purchase, if applicable. In the event you and Axon have entered into a prior agreement to govern all future purchases, that agreement shall govern to the extent it includes the products and services being purchased and does not conflict with the Axon Customer Experience Improvement Program Appendix as described below. ACEIP: The Axon Customer Experience Improvement Program Appendix, which includes the sharing of de-identified segments of Agency Content with Axon to develop new products and improve your product experience (posted at www.axon.com/legal/sales-terms-and-conditions), is incorporated herein by reference. By signing below, you agree to the terms of the Axon Customer Experience Improvement Program. Acceptance of Terms: Any purchase order issued in response to this Quote is subject solely to the above referenced terms and conditions. By signing below, you represent that you are lawfully able to enter into contracts. If you are signing on behalf of an entity (including but not limited to the company, municipality, or government agency for whom you work), you represent to Axon that you have legal authority to bind that entity. If you do not have this authority, please do not sign this Quote. Page 10 Q-405940-44767.595TC Exceptions to Standard Terms and Conditions Agency has existing contract #00060181 and #00045724 (originated via Q-318241 and Q-317987) and is terminating that contract upon the new license start date 9/15/2022) of this quote. The parties agree that Axon is granting a refund of $7,979.67 to refund paid, but undelivered services. This discount is based on a ship date range of 8/15/2022- 8/31/2022, resulting in a 9/15/2022 license date. Any change in this date and resulting license start date will result in modification of this discount value which may result in additional fees due to or from Axon. This credit is contingent upon agency payment of any outstanding invoices. s1\\d1\ Signature Date Signed 7/25/2022 Page 11 Q-405940-44767.595TC Summary: Prior Lake, Minnesota; General Obligation Primary Credit Analyst: Melody W Vinje, Centennial + 1 (303) 721 4163; melody.vinje@spglobal.com Secondary Contact: Jessica Olejak, Chicago + 1 (312) 233 7068; jessica.olejak@spglobal.com Table Of Contents Credit Highlights Outlook Credit Opinion Related Research WWW.STANDARDANDPOORS.COM/RATINGSDIRECT AUGUST 4, 2022 1 Summary: Prior Lake, Minnesota; General Obligation Credit Profile US$2.175 mil GO imp bnds ser 2022A dtd 09/08/2022 due 12/15/2032 Long Term Rating AA+/Positive New Prior Lake GO bnds Long Term Rating AA+/Positive Outlook Revised Prior Lake ICR Long Term Rating AA+/Positive Outlook Revised Prior Lake GO Long Term Rating AA+/Positive Outlook Revised Prior Lake GO Long Term Rating AA+/Positive Outlook Revised Prior Lake GO Long Term Rating AA+/Positive Outlook Revised Credit Highlights S&P Global Ratings revised its outlook to positive from stable and affirmed its 'AA+' long-term rating on Prior Lake, Minn.'s existing general obligation (GO) debt. At the same time, we assigned our 'AA+' long-term rating, with a positive outlook, to the city's expected $2.2 million series GO improvement bonds. The outlook revision reflects our view of the city's consistently very strong financial performance, coupled with a very strong economy, and well-managed fixed costs. Security The bonds are secured by the city's GO unlimited property tax pledge. Debt service on the 2022A bonds is also payable from special assessments. We rate to the unlimited-tax pledge because we have insufficient information under our rating criteria to for a credit opinion on the other revenue stream. Bond proceeds will finance a street reconstruction project in the city's downtown. Credit overview Prior Lake ended fiscal 2021 with positive net results and increased reserves, despite an amended budget calling for a large use of reserves. The city's financial performance has been consistently positive, and we think it will sustain very strong reserves in some form for the foreseeable future, notwithstanding the complexities of managing increased public safety costs and bringing fire services in house in fiscal 2023. We view the city's comprehensive long-term planning and maintenance of very strong reserves as a credit strength, providing additional cushion. WWW.STANDARDANDPOORS.COM/RATINGSDIRECT AUGUST 4, 2022 2 The city is about 24 miles southwest of the Twin Cities and it experienced sustained residential growth, increasing its population about 13% in the past decade. While the local economy is very strong, we believe there is potential for weakening due to national recession risk, which S&P Global Economics currently assesses at 45% probability of occurring during the next 12 months. For more information see "U.S. Business Cycle Barometer: The Party’s Over" published July 27, 2022, on RatingsDirect. In addition, we consider the city's overall debt burden to be very large, and a credit weakness. Although the city plans to issue additional new-money debt in the next few years, we do not expect it will worsen the city's debt profile. The rating further reflects our view of the city's: Projected incomes above the national average, growing net tax capacity and city's participation in the Minneapolis-St. Paul-Bloomington metropolitan statistical area (MSA); Consistently strong budgetary performance, with operating surpluses supporting very strong budgetary flexibility and liquidity; Very strong management, with strong financial policies and practices under our Financial Management Assessment FMA) methodology, and a strong institutional framework; and Weak debt and contingency debt profile, with future debt plans, partially offset by the city's very rapid amortization with about 99% of debt being repaid within 10 years. Environmental, social and governance We have analyzed the city's environmental, social, and governance risks relative to its economy, management, budgetary outcomes, and debt and liability profile, and view them as neutral within our credit analysis. We note that the city could be suspectable to occasional flooding. However, we believe this risk is mitigated by the city's flood-response policy and maintenance of very high reserves. Outlook The positive outlook reflects a one-in-three chance that we could raise the rating over the two-year outlook period if the city maintains adequate performance as it balances increased personnel costs of adding a full-time fire department, and inflationary pressures from a potential recession. Downside scenario We could revise the outlook to stable or lower the rating if financial performance and reserves weaken substantially, particularly if reserves fall well below the city's reserve policy without a credible plan to restore to compliance. Upside scenario We could raise the rating if the city sustains reserves comparable with fiscal 2021 levels even as it manages the complexities of transitioning to direct provision of fire services, particularly if the city's debt levels moderate and its income profile strengthens. WWW.STANDARDANDPOORS.COM/RATINGSDIRECT AUGUST 4, 2022 3 Summary: Prior Lake, Minnesota; General Obligation Credit Opinion Growing population and steady residential development expected to continue Prior Lake's net tax capacity has steadily increased year over year (7% from 2021-2022) primarily from new residential development. Management reports the city has a strong housing market, with demand for single- and multifamily homes. Recently the city issued a permit for a 97-unit multifamily complex, and it reports about 400 additional multifamily homes are in various stages of the approval process. Also adding to the city's market values are "garage condominiums"; these equipment-storage units have become popular within the area for recreational use and sell for 200,000-$300,000. Located in Scott County in the Minneapolis-St. Paul-Bloomington MSA, the city benefits from participation in its larger region. Major employers in the city include the Shakopee Mdewakanton Sioux Community (4,500 employees), which operates the Mystic Lake Casino; the local school district (1,195); and childcare provider Playworks (175). Market values have increased steadily during the past few years and the city estimates provide for additional increases in net tax capacity. About 90% of the tax base is residential, which has provided the city a stable source of tax base growth in recent years. The city's top 10 taxpayers represent 7% of its tax base, which we consider very diverse. In the future, management expects robust growth, both residentially and commercially. Healthy financial performance expected to continue in fiscal years 2022 and 2023 We believe the city's conservative budgeting practices and comprehensive capital planning are driving the city's healthy financial performance. Our analysis includes adjustments for revenues and expenditures that we view as one-time, and adjustments for recurring transfers. After adjustments, fiscal 2021 ended with a slight surplus due to well performing revenues and reduction of expenditures due to timing and supply chains. The amended budget called for the spending of approximately $1.3 million in reserves, for various expenses such as a compensation study, police wage adjustment, and a one-time transfer of $800,000 to the facility management fund for capital projects. However, reserves actually increased at fiscal year-end due mostly to stronger-than-budgeted revenue. Prior Lake's American Rescue Plan allocation totaled $2.98 million, which the city intends to use for street reconstruction and fire station remodels. Fiscal 2022 is budgeted with a small deficit to incorporate costs of the compensation study and $275,000 of expenditures carried from fiscal 2021 to 2022 due to timing. Primary changes to the budget include increased public safety costs from the prior year by $590,000, and the council approved increase in the gas and electric-franchise-fee revenue dedicated to pavement management that is expected to generate $1 million in 2022. Fiscal 2023 is budgeted to include the costs for the city's fire department. The city applied for a federal Staffing for Adequate Fire and Emergency Response (SAFER) grant; if selected, the grant will pay up to an estimated $1.3 million of full-time fire personnel costs through fiscal 2026. Management expects city council will approve an increase in the incremental tax levy of $400,000, which will fully support a full-time fire department, with or without the grant. If the full amount of the SAFER grant is awarded to the city, the additional level funds will be used for capital funding projects until funding is needed in 2026. WWW.STANDARDANDPOORS.COM/RATINGSDIRECT AUGUST 4, 2022 4 Summary: Prior Lake, Minnesota; General Obligation The city's liquidity is robust, in our view, with cash and investments of $44.5 million after adjusting for unspent proceeds; likewise, funds available to general operations are very strong, in our view, ending with $13.8 million in fiscal 2021.The available fund balance includes $10.4 million (70.6% of expenditures) in the general fund and $3.4 million 23% of expenditures) that is outside the general fund but legally and practically available for operations. These include balances in the city's revolving equipment, revolving park equipment, and facility management funds. The city has alternative financing in the form of a 2014 private lease-purchase agreement, with approximately $1 million outstanding. Events of default are standard under the agreement and debt acceleration, in an event of default, is limited to the amounts owed in the current fiscal year, with a maximum amount of approximately $300,000. We therefore do not consider the lease-purchase agreement to be a contingent liability risk, and we expect the city's liquidity will remain very strong. Based on the city's conservative budgeting practices and projections for balanced budgets in fiscal 2023 and beyond we believe operations will be stable. Strong management with strong FMA We expect management will remain strong. Highlights of the city's management policies and practices include: Use of two years of historical data, outside data sources, and line-item estimates when developing the budget; Budget-to-actual results and investment holdings are reported to council quarterly; A current-plus-10-year long-term financial plan, although council typically focuses on the next five years; A 10-year capital improvement plan that is updated regularly; A formal investment policy, with investment holdings reported to council quarterly; Debt management policy, which includes limitations on the issuance and amortization of debt and requires the city to maintain a debt management study, which forecasts future borrowing plans; and Formal reserve policy of maintaining general fund reserves at a minimum of 40%-50% of expenditures. In addition, the city enhanced its cyber security by implementing a cyber-security policy, personnel training, and firewalls. The institutional framework score for Minnesota cities with populations greater than 2,500 is strong. Substantial debt burden with elevated fixed costs, partially offset by rapid amortization The city's net direct debt is $35.9 million. About 99% of debt is scheduled to repaid within 10 years, which we view as a credit strength. The city has additional debt plans of $6.3 million in the next two years for street projects; we do not expect these additional plans will weaken the city's existing debt profile. Pension and other postemployment benefits are not a near-term pressure We do not believe that pension liabilities represent a medium-term credit pressure, as contributions are only a modest share of the budget, and we believe the city has the capacity to absorb higher costs without pressuring operations. Prior Lake participates in two multiple-employer, defined-benefit pension plans that have seen recent improvements WWW.STANDARDANDPOORS.COM/RATINGSDIRECT AUGUST 4, 2022 5 Summary: Prior Lake, Minnesota; General Obligation in funded status, although plan statutory contributions have regularly fallen short of actuarial recommendations. Along with certain plan-specific actuarial assumptions and methods, this introduces some long-term risk of funding volatility and cost acceleration. Although the city funds its other postemployment benefits (OPEB) on a pay-as-you-go basis, exposing it to cost acceleration and volatility, we expect that near-term costs will remain only a small share of total spending and therefore not a significant budgetary pressure. The city participates in the following plans: Minnesota General Employees Retirement Fund (GERF): 87% funded (as of June 30, 2021), with a city proportionate share of the plan's net pension liability of $3.1 million. Minnesota Police and Fire Fund (PEPFF): 94% funded (June 30, 2021), with a proportionate share of $3.4 million. A single-employer, defined-benefit OPEB plan: 0% funded, with a net OPEB liability of $1,075,000. Total contributions to GERF and PEPFF were both above our minimum funding progress metric and static funding in both cases. Annual contributions are based on a statutory formula that has typically produced contributions lower than the actuarially determined contribution for each plan. In our view, this increases the risk of underfunding over time if the state legislature does not adjust to offset future funding shortfalls. Other key risks include a 7.5% investment rate-of-return assumption (for both plans) that indicates some exposure to cost acceleration as a result of market volatility, and an amortization method that significantly defers contributions through a lengthy, closed 30-year amortization period based on a level 3.25% and 3.00% payroll growth assumption for GERF and PEPFF, respectively. Regardless, costs remain only a modest share of total spending, and we believe they are unlikely to pressure the city's medium-term operational health. Prior Lake, Minn.--Key Credit Metrics Most recent Historical information 2021 2020 2019 Very strong economy Projected per capita EBI % of U.S.146.3 Market value per capita ($)183,750 Population 27,026 26,654 26,164 County unemployment rate(%)3.0 Market value ($000)4,966,019 4,449,577 4,150,984 Ten largest taxpayers % of taxable value 6.8 Weak budgetary performance Operating fund result % of expenditures 1.9 15.8 5.1 Total governmental fund result % of expenditures (3.0)6.6 1.1 Very strong budgetary flexibility Available reserves % of operating expenditures 92.1 88.7 76.3 Total available reserves ($000)13,802 12,414 10,114 WWW.STANDARDANDPOORS.COM/RATINGSDIRECT AUGUST 4, 2022 6 Summary: Prior Lake, Minnesota; General Obligation Prior Lake, Minn.--Key Credit Metrics (cont.) Most recent Historical information 2021 2020 2019 Very strong liquidity Total government cash % of governmental fund expenditures 164.3 152.9 135.6 Total government cash % of governmental fund debt service 926.7 753.7 760.1 Very strong management Financial Management Assessment Strong Weak debt and long-term liabilities Debt service % of governmental fund expenditures 17.7 20.3 17.8 Net direct debt % of governmental fund revenue 133.6 Overall net debt % of market value 3.1 Direct debt 10-year amortization (%)99.3 Required pension contribution % of governmental fund expenditures 4.7 OPEB actual contribution % of governmental fund expenditures 0.1 Strong institutional framework Data points and ratios may reflect analytical adjustments. EBI--Effective buying income. OPEB--Other postemployment benefits. Related Research Through The ESG Lens 3.0: The Intersection Of ESG Credit Factors And U.S. Public Finance Credit Factors, March 2, 2022 2020 Update Of Institutional Framework For U.S. Local Governments Certain terms used in this report, particularly certain adjectives used to express our view on rating relevant factors, have specific meanings ascribed to them in our criteria, and should therefore be read in conjunction with such criteria. Please see Ratings Criteria at www.standardandpoors.com for further information. Complete ratings information is available to subscribers of RatingsDirect at www.capitaliq.com. All ratings affected by this rating action can be found on S&P Global Ratings' public website at www.standardandpoors.com. Use the Ratings search box located in the left column. 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In no event shall S&P Parties be liable to any party for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including, without limitation, lost income or lost profits and opportunity costs or losses caused by negligence) in connection with any use of the Content even if advised of the possibility of such damages. Copyright © 2022 by Standard & Poor’s Financial Services LLC. All rights reserved. CITY COUNCIL AGENDA REPORT ITEM: 9B MEETING DATE: PREPARED BY: PRESENTED BY: AGENDA ITEM: GOAL AREA OBJECTIVE: August 15,2022 Jason Etter, Christine Watson, Andy Brotzler and Cathy Erickson Andy Brotzler, Public Works Director Cathy Erickson, Finance Director 2023-2027 Capital Improvement Program High-Value City Services 1.Establish financial stability for all funds. 2.Design a comprehensive funding strategy for capital needs. Transportation & Mobility 1.Maintain quality local street system based on a financially stable plan that meets Overall Condition targets. 2.Promote neighborhood connectivity and safety through development and street reconstruction projects. 3.Integrate trails to link neighborhoods with city and regional assets. 4.Support complete street designs that ensure pedestrian mobility and multi-modal transportation options. RECOMMENDED ACTION: Staff is requesting approval of the five-year (2023-2027) Capital Improvement (CIP) Program which includes all plans: equipment replacement, parks, facilities, pavement management, technology, water, sewer, and stormwater plans. BACKGROUND: The Capital Improvement Program is the city's singular most important long-term financial planning tool. The CIP is updated on an annual basis. The CIP is designed to identify infrastructure improvements and the associated funding sources needed due to ongoing maintenance, repair, and community growth. Such projects include City-initiated improvements, county, and state road improvements. The following long-term planning documents are part of the CIP: •Equipment Replacement Plan -identifies the City's vehicle and equipment needs and establishes a regular replacement schedule. •Park Plan -identifies the new park capital improvements and the equipment replacement demands for 55 neighborhood parks. •Facilities Management Plan -identifies major repairs or improvements to all City-owned buildings. •Transportation Plan -identifies the annual street improvement project(s) and annual street overlay project. City of Prior Lake I 4646 Dakota Street SE I Prior Lake MN 55372 Item 9B Page 12 o Annual Street Improvement Project{s) -identifies the major roadway improvements involving both new and reconstruction projects that need to be coordinated with Scott County. o Annual Street Overlay -identifies the City's annual street overlay costs and anticipated project levy and bonding for the special assessment portion of the annual project costs. •Technology Plan -identifies hardware and software needs and establishes a regular replacement schedule. •Water Plan -identifies major replacements or additional infrastructure needed to supply water to the City. •Sewer Plan -identifies major replacements or additional infrastructure needed to collect and discharge sanitary waste from the City. •Storm Water Plan -identifies major repairs or additional infrastructure needed to treat storm water discharge in the City. Each plan in the CIP was reviewed with the City Council during the workshop held on July 18, 2022. Staff provided a detailed overview of the 2023 projects and highlights of other major projects scheduled for 2023- 2027. During the work session, guidance was provided to staff regarding change in the overall tax levy and planned 2023 utility rates. Current Circumstances A presentation of the 2023-2027 CIP will be provided to inform the Council and the public of the planned projects, financial planning, and financial impact of the CIP as part of the annual CIP update. The projects that are reflected in year 2023 of the five-year CIP have been incorporated into the 2023 budget. The improvements that are funded in full or partially by tax levies have a direct impact on the level of property taxes payable in future years. Bond proceeds are utilized to pay for projects and debt levies are adopted to repay the debt service. It is important for the Council to recognize that the CIP is a flexible planning tool that is affected by the actions of several governmental agencies (State, County and Shakopee Mdewakanton Sioux Community). Conclusion Approval of the CIP does not constitute final project or purchase approval. Projects or purchases identified in 2023 have been incorporated into the development of the 2023 budget. Projects and all purchases over $20,000 will come back to the City Council for subsequent approvals. All future bonding decisions are approved by the City Council, as well. Following Council approval of the Capital Improvement Program, Engineering staff will prepare a feasibility report (if applicable) for those transportation projects identified for the upcoming year. Adequate lead time is important for surveying, right-of-way acquisition and engineering to obtain the best possible bids, which has generally occurred when the City is able to put projects out for bid early in the year. All the projects included in the CIP will come before the City Council several times prior to final approval. Item 9B Page 13 The City Council should hear the staff report regarding the proposed CIP and Street Reconstruction Plan. Following Council questions to staff, the Council should then consider approving the resolution for the 2023-2027 Capital Improvement Program as presented or with any recommended changes. FULL-TIME FIRE STAFFING MODEL -CIP IMPACTS: As discussed at the June 6 financial planning Council work session, the city has applied for the federal SAFER grant that would fund 100% of the new full-time fire personnel wages and benefits for three years (2023-2025). The firefighter grant funding will only be available for three years, so staff is proposing to incrementally increase the tax levy to prepare for the city fully funding the firefighters in 2026. This would be done through an annual transfer out of the General Fund. Since this funding is in preparation of our 2026 needs, it will be used for capital project funding until needed in 2026 for personnel funding. By doing this, the city will pay for capital purchases on a pay go basis, instead of issuing debt. This will help us minimize future bond issues. The phased tax levy increase and the capital project cost it will fund is shown in the table below: 2023 2024 2025 2026 Yearl Transfer Out Expenditure for Street Project -Marsh Drive NE Ext. 400,000 Year2 Transfer Out Expenditure for Facilities Capital Maintenance 500,000 Year3 Transfer Out Expenditure for Equipment -Fire Ladder Truck 300,000 1,200,000 Year4 Firefighter personnel costs 1,600,000 Total Expenditures 400,000 800,000 1,200,000 1,600,000 Phased Tax Levy Increase to fund firefighters by 2026 400,000 400,000 400,000 400,000 If the City does not receive the SAFER grant these capital expenditures would be funded through a future bond issuance. EQUIPMENT REPLACEMENT PLAN {ERP) An evaluation of the condition of the City's fleet is completed annually and the ERP is updated. A Cartegraph Vehicle Replacement Rating (VRR) is used as a tool in completing equipment evaluations in an objective and systematic way using data collected through the fleet management system. The ERP also includes an inventory and replacement schedule for equipment attachments and the emergency sirens to ensure appropriate funding is identified for these items as well. The cost for these items is updated annually based on recent purchases and other industry changes. See Attachments 1 and 2 for more details. Public Works -Proposed new additions to the fleet: •Two 6-foot mowers (2023 and 2024) -These mowers are proposed additions to the fleet to supplement the four current mowers in service. The 6-foot mowers are used for city facilities, boulevards (both city and county), and non-athletic parks. The proposed additions of these mowers are in anticipation of continued expansion of the city park system and will also support a return to previous service levels. These additions will also provide redundancy for down-time with any of the existing lawn mowers. The 2023 mower is proposed to be a Toolcat mower that can be used year round for plowing sidewalks as well as mowing. It's a more versatile and faster machine than a traditional mower. Item 9B Page 14 •1-ton pickup w/plow (2024) -This is a proposed addition to the fleet that will be utilized for asphalt maintenance, utility work, snow plowing and general staff transportation. Currently staff utilizes a variety of former squad cars and UTVs for transportation. •1.5-ton pickup w/dump box (2025) -This is a proposed addition to the fleet that will be utilized for parks maintenance, landscaping, field maintenance, and transportation of staff. Currently staff utilizes a variety of former squad cars, UTVs and lawnmowers for transportation. Fire -FD CIP includes three broad categories: Fire Apparatus: This group includes the heavy rescue, pumper, and ladder trucks. Equipment of this nature has an estimated 20-year useful life. Historically, this type of equipment has been kept 25-28 years, which has resulted in significant repair costs and ongoing safety evaluation as the equipment exceeds its useful life. Fire First Response: This includes the fire department pickups, SUVs and grass rigs which are on a replacement schedule based on the useful life of the asset. The replacement is evaluated each year based on the condition, safety, and maintenance needs of the vehicles. Fire -Other Equipment: This includes all other capital items necessary to provide fire response and protection services. It includes items such as staff radios, utility vehicles, generators, etc. The Fire department is currently replacing their radios over the course of four years (2020 -2023). The radios were originally purchased in 2004 and are no longer supported by Motorola. Police -PD CIP includes three broad categories: Police Fleet: This includes the Police department vehicles which are on a replacement schedule based on the useful life of the asset. The replacement is evaluated each year depending on the condition, safety, and maintenance needs of the vehicles. Emergency Sirens: The Prior Lake Police Department is the Emergency Manager (EM) for the city. As part of the EM duties, staff manages the replacement and maintenance of the emergency warning sirens. In 2023, three of the city's twelve sirens are due to be replaced. Police -Other Equipment: This includes all other capital items necessary to provide Police services, such as radios and generators. Funding Sources: Based on the planned use of funds for equipment replacement, the annual tax levy needs to increase to meet our needs. Council has directed staff to smooth the levy increase where possible, so an annual increase of approx. $50,000 has been built into the plan. Our goal is to maintain the levy at a level that provides adequate cash flow to cover the next year's expenditures, to absorb an unplanned equipment failure, or to fund an unanticipated equipment need. Our average annual equipment funding need is $1.5 million per year over the next 10 years. We strive to only bond for Fire apparatus replacements and fund all other equipment purchases on a pay go basis. The proposed funding level for 2023 is $975,000. This includes a tax levy of $750,000 plus transfers in from the utility funds of $217,500. We will continue to incrementally increase the property tax levy to get to our annual funding goal. Item 9B Page 15 As discussed above, the Equipment CIP includes transfers in from the General fund of $1,500,000 to pay for the Fire ladder truck on a pay go basis instead of debt issuance if the City receives the SAFER grant. The major equipment purchases greater than $100,000 and all new additions are summarized below. 2023 Public Works Sidewalk Machine $165,000 Public Works 6-foot Toolcat Mower (NEW add)$90,000 Fire Rescue Unit $200,000 Police Marked Squad (NEW add) $45,500 2024 Public Works 16-foot Mower $155,000 Public Works Tractor $135,000 Public Works 1-ton Pick-up w/Plow (NEW add)$54,000 Public Works 6-foot Mower (NEW add)$45,000 2025 Public Works Mechanical Sweeper $250,000 Public Works Loader Backhoe $177,000 Public Works 1.5-ton dump (NEW add) $125,000 Police Marked Squad (NEW add) $48,000 Fire Ladder Truck $1,500,000 2026 I Public Works I Wheel Loader I $27s,ooo 2027 Public Works 1.5-ton dump $103,000 Public Works 5-ton single axle dump $247,000 Public Works 16-foot mower $155,000 Police Marked squad (NEW add) $50,000 See Attachments 1 and 2 for more details. PARK PLAN New park capital improvements are budgeted in the Capital Park Fund (Fund 225). Existing park capital improvements are budgeted in the Revolving Park Equipment Fund (Fund 430). The purpose of the draft Park Master Plan is to look at current parks and proposed changes/updates as well as the City's future needs and location of new parks. Based on the current draft Park Master Plan, staff has developed a proposed 10-year plan for improvements in existing neighborhood parks which includes both maintenance activities and proposed replacement/redevelopment. Funding Shortfall: The estimated annual funding shortfall in the 10-year Park Plan for neighborhood park renovations, major equipment replacement, and trail maintenance is $450,000 to $500,000 per Item 9B Page 16 year. It is anticipated that following the adoption of the DRAFT Parks and Trails Master Plan, and as part of the Council's 2023 Strategic Planning work, strategies for the future funding of park needs will begin to be developed. Unfunded Projects of the Park Master Plan: •All proposed neighborhood park renovation projects •Funding for proposed city dock replacements at Sand Point and Watzl's •Ponds Outfield Fencing •Additionally, there is currently no funding plan for Sand Point Beach and Lakefront Park proposed major renovations. Fund 225 -New park improvements In accordance with State Statutes, revenues in the Capital Park Fund may only be used for the acquisition and development or improvement of parks, recreational facilities, playgrounds, trails, wetlands, or open space based on the approved park systems plan. Future trail and neighborhood park development is shown to occur in 2023 and 2026. See Attachment 3 and 5. Fund 430 -Existing park improvement This plan funds capital replacement projects, park amenities, and trail, sidewalk, and boardwalk replacement. The plan proposes a phased increase in the tax levy to cover the capital projects in the plan. See Attachments 4 and 5. The proposed improvements for the next five years include: 2023 Northwood Meadows BB court maintenance $10,000 Ponds Phase 1 (north½ of wheel)* $700,000 Ponds PlayQround replacement $350,000 Sand Point Park Backstop $10,000 Sand Point Beach Renovation study $75,000 Wilds North BB court maintenance $10,000 TOTAL $1,155,000 *The City received a grant from the Minnesota Department of Natural Resources in the amount of $299,485 that will be used towards this project 2024 Ryan BB court maintenance $15,000 Timbercrest BB court maintenance $10,000 Wilds BB court maintenance $15,000 TOTAL $40,000 2025 Ponds Phase 2 (south½ of wheel) $800,000 Wilds Parkway Trail replacement $800,000 TOTAL $1,600,000 2026 Cardinal Ridqe Parkinq lot improvements Grainwood Crossinq Parkinq lot improvements Memorial Parking lot improvements Location TBD Playground replacement TOTAL 2027 Crystal Lake Fishing pier Enclave BB court maintenance Howard Lake BB court maintenance Memorial Drinking fountain and windscreen Woodridge Ballfield backstop Location TBD Playqround replacement TOTAL FACILITY MANAGEMENT PLAN (FMP) $45,000 $5,000 $250,000 $250,000 $550,000 $22,000 $15,000 $15,000 $19,000 $10,000 $250,000 $331,000 Item 9B Page 17 The FMP was developed to plan for major repairs, replacements, and upgrades for all our facilities. The FMP uses standard life expectancy of the facility components and equipment to determine the appropriate placement in the plan. See Attachments 6 and 7 for more details. The major expenditures are summarized below. The 2023-2027 Personnel Plan includes staff additions for Police and Fire, including the implementation of the Full-time Fire staffing model. Additional costs to support these staffing changes include: •Fire Station #1: Renovation to accommodate full-time fire staffing (primarily completed in 2022). •Police Station: With the projections of the current personnel plan, we will be running out of parking in our underground facility. The PD owned vehicles would continue to be parked inside but we will need some additional parking for staff that work 24/7. It is an industry standard to have secured employee parking for PD. As discussed above, the Facilities Management CIP includes transfers in from the General fund of $500,000 to pay for planned 2024 roof replacement costs at City Hall and the Police Station on a pay go basis instead of debt issuance. The major equipment purchases and all new additions are summarized below. 2023 City Hall Wall coverings $70,000 Police Overhead folding door, irrigation system, $233,000 carpet Library/CP Remodel -Phase 2 $125,000 Fire 1 lrriqation system, vehicle exhaust system $115,500 Fire 2 Carpet, infrared tube heater $70,000 TOTAL $613,500 2024 City Hall Police Station Library/GP Maintenance Center Fire 1 Fire 2 2025 Police Library/GP Fire Station 1 2026 City Hall Police Maintenance Center Fire 2 2027 Police Library/GP Maintenance Center Fire 2 Membrane roofinq, irriqation system Membrane roofinq VAV boxes Overhead crane, auto gate Wall coverings, turnout lockers, glass doors, tile walls, exhaust fan, damper Furnace and AC units (3 each) TOTAL Outdoor secure parkinq, fencinq Parkinq lot improvements Rooftop Unit TOTAL VAV boxes, doors, flooring, tile, HVAC, carpet, etc. VAV boxes, doors, HVAC, etc. Windows, hoists, etc. Membrane roofinq TOTAL Epoxy flooring HVAC control system, air handlinq unit Concrete floorinq HVAC improvements TOTAL $283,500 $310,000 $17,500 $121,000 $104,600 $60,000 $896,600 $300,000 $300,000 $147,500 $747,500 Item 9B Page 18 $1,194,500 $428,000 $301,500 $112,000 $2,036,000 $85,000 $228,500 $209,500 $95,000 $618,000 PAVEMENT MANAGEMENT PLAN -TRANSPORATION AND STREET OVERLAY PLANS The proposed 2023-2027 Pavement Management Plan include the following projects that have been previously discussed with the City Council. 2023 -Fish Point Road Phase II The Fish Point Road Phase II project includes the full street and utility reconstruction of Fish Point Road from 160th Street to TH 13. 2023 -CH 21/Revere Way Intersection Improvements This project includes extending Revere Way north of CH 21 to 170th Street and eliminating the existing 170th Street/CH 21 intersection. The project costs will be shared with Scott County, but the City will be the lead agency for design and project administration. 2023-Marsh Rd NE Extension With the recent construction of the Pike Lake Landing development north of CH 42 and east of CH 21, Marsh Drive is constructed from CH 21 east approximately 0.30 miles. As a collector road within the city's transportation plan, Marsh Drive is planned to connect to the existing segment at Pike Lake Trail, Item 9B Page 19 ultimately continuing east through the Vierling property to CH 18. The completion of this connection requires an estimated $800,000 in city funding for the portion of Marsh Drive that would be constructed through city property. Currently city funding in the amount of $400,000 from the General Fund is identified and funding sources for the remaining $400,000 would potentially come from Scott County as they have an interest in seeing this supporting roadway to CSAH 42 completed. The Pavement Management Plan has been updated to identify a combination of mill and overlay, rehabilitation and reconstruction projects based on an average annual funding level of $7.4M for streets beginning in 2024. This is based on the updated Pavement Management Plan completed in 2021 that corresponds with the Council's adoption of an increase in franchise fees with the new franchise fee revenue being dedicated to pavement management. The projected projects for 2024 -2027 are noted below: 2024 -Wilds/Jeffers mill and overlay (12.5 miles) The majority of the streets within the Wilds and Jeffers Developments based on age and condition are candidates for mill and overlay improvements to extend the life of the pavement. Included within the estimated project cost for these improvements is the replacement of bolts on all watermain fittings and valves due to noted corrosive soil conditions within these developments that has led to premature failures. 2025 -Wilds Parkway reclamation Based on the existing condition of Wilds Parkway, a mill and overlay is not a feasible pavement management strategy. A full-depth removal and replacement of the road and pavement section is proposed as a rehabilitation project. Also included with this project is the replacement of the existing trail along the west side of Wilds Parkway from CH 82 to CH 83. 2025 -Lords Street Bridge Rehabilitation Based on a recent bridge inspection completed by Scott County and additional follow up this past winter, rehabilitation and replacement of the timber pier caps, pile cap plates, and painting of the pilings is recommended to extend the life of the bridge. 2025 -Martindale/Henning/Hickory Reclamation The existing pavement within this rural residential neighborhood continues to deteriorate and nearing the point where maintenance is becoming unfeasible. A full-depth pavement rehabilitation is proposed for this area to extend the life of the pavement section. 2026 -Northwood Phase 1 2027 -Northwood Phase 2 See Attachments 8-10 for further detail of the Pavement Management Program. TECHNOLOGY PLAN The Technology Plan is used to plan for current and long-range IT capital needs including general equipment, network infrastructure and software needs. While this plan is reflective of the needs of our various departments, the actual request could change as part of the budget review process. See Attachment 11 . UTILITY FUNDS -FINANCIAL MANAGEMENT PLANS Item 9B Page 110 The City's utility funds finance their portions of the Capital Improvement Program through transfers-out to other funds and by transactions occurring within the specific utility funds themselves. The Utility funds make transfers-out for the Equipment Replacement Plan (ERP) and Facilities Management Plan (FMP) for their portions of equipment purchases or facility projects. Similarly, the Utility funds make transfers-out to the Construction Fund for their portions of the Pavement Management Plan (PMP) projects. Other items that specifically relate only to that utility are accounted for within the fund, such as a water tower rehabilitation occurring in the Water fund. The City develops a financial management plan for each utility fund that includes planning financing sources for capital activities. The financial management plans for water, sewer and stormwater utility services achieve the following goals: •Rate Calculation: Provide for a rate calculation that results in equitable and competitive fixed versus variable portion charge to customers and considers conservation impact of tiers and block rates. •Revenue Sufficiency: Focus on revenue sufficiency to provide cash balances that support the following objectives: o Revenue to meet current and future obligations o Avoid future debt issuance consistent with City objectives o Cash on-hand to provide:•Three-months of operating expense•Following-year debt service payments•Following year capital acquisition (planned to be paid from cash)•Reserves for replacement of infrastructure located under private streets•Reserves for future capital improvements 2023 Resident Impact and Sample Bill: The City plans for modest annual increases in utility rates to accomplish the objectives discussed above while moderating the effects on utility users. Based upon the City's current estimates and water consumption level, utility customers will experience increases of 2.0% -3.4% in their 2023 utility bill. In order for the utility funds to support operations and their respective portions of the Capital Improvement Program, the City proposes a Water rate increase of 1.5%, Sewer rate increase of 2%, and Stormwater rate increase of 11.5%. Increase in stormwater fee is due to the decision in 2021 to add storm sewer replacement costs on reconstruction projects to the stormwater utility fund (previously were part of the general levy and assessment cost), as well as adding $950k in funding in 2024 for regional water quality pond project. The proposed Stormwater increase for a residential property at 11.5% would be $11.78 per year or just under $1 per month. It should be noted that City utility bills also include an MCES Fee for Sewer. This fee does not support City operations or the Capital Improvement Plan, but rather is a fee collected by the City from residents to pay the Metropolitan Council's Environmental Services fee for regional wastewater treatment. The fee will increase 3.5% for 2023, reflecting the increased fee that the Metropolitan Council is charging Prior Lake. This fee increase, as well as the utility rate increases needed to support operations and the Capital Improvement Plan is reflected below. A bi-monthly sample bill showing all utility services, and their projected change from 2022 is shown below: Item 9B Page 111 Water, Sewer & Stormwater -2023 High Volume Medium Volume Low Volume Proposed Customer Customer Customer Gallons Water Billed for Billing Period 78,000 18,000 8,000 Gallons Sewer Billed for Billing Period 47,000 12,000 7,000 Stormwater REU 1 1 2022 Base Fee $ 54.72 $ 54.72 $ 54.72 MCES Fee for Sewer 145.71 37.20 21.70 Tier 1 Volume 60.00 60.00 45.45 Tier 2 Volume 72.00 39.24 Tier 3 Volume 93.60 Tier 4 Volume 489.33 Total Fee $ 915.36 $ 191.16 $ 121.87 2023 Base Fee $ 57.33 $ 57.33 $ 57.33 MCES Fee for Sewer 150.87 38.52 22.47 Tier 1 Volume 61.03 61.03 46.22 Tier 2 Volume 73.23 39.86 Tier 3 Volume 95.20 Tier 4 Volume 497.18 Total Fee $ 934.85 $ 196.74 $ 126.03 % Increase 2.1% 2.9% 3.4% $ Increase $ 19.48 $ 5.58 $ 4.15 The Five-Year Financial Management Plan Cash by Purpose and projected change in rates for the Water, Sewer and Water Quality Funds are shown on Attachment 12, 13, and 14. FINANCIAL IMPACT: In reviewing the 2023-2027 Capital Improvement Program, the City Council should consider the annual tax impact of the scheduled projects. CIP Bonding: The 2023-2027 CIP includes projects that are funded by bond proceeds. Bonds are issued for the project costs that the City is funding through tax levies as well as the costs that are specially assessed to property owners. The 2023-2027 CIP anticipates the following bonding needs: • The five-year Pavement Management Plan includes bonding of $17,383,500 for transportation plan projects and $2,506,000 for street overlay projects. The repayment sources for this bonding include: o Taxlevy o Project Special Assessment (The city provides the upfront funding for the special assessment portion via bonding) o MN State Aid - a portion of the annual allocation will be used for debt repayment Item 9B Page 112 •Bonding for the following major facility repairs, equipment replacements and water/sewer plan capital projects by year: Year Major Facility Equipment Repairs Replacements 2023 -- 2024 300,000 - 2025 -- 2026 1,740,000 - 2027 -- The major facility expenditures are for City Hall and Police Station replacement of membrane roofing and heating, ventilation and air conditioning (HVAC) updates. Summary of Projected Debt Balances The chart below reflects the cumulative effect of proposed new debt issued (blue section) and the retirement of existing debt (green section). Based on the proposed projects in the CIP, debt is projected to decrease from $33.8M at the end of 2021 to $28.6M at the end of 2027. As mentioned above, staff is proposing a phased tax levy increase to prepare for full-time firefighters by 2026. Since this funding is in preparation of our 2026 needs, it will be used for capital project debt reduction until needed in 2026 for personnel funding. By doing this, the city will pay for capital purchases of $2.4M on a pay go basis, instead of issuing debt. This minimizes the need for future bond issues (debt). If the SAFER grant is not received this amount would need to be added back into future debt issuances. Total Debt Outstanding Existing and Planned � $40.0 $35.0 $30.0 $25.0 ■ Planned New Debt $20.0 $15.0 ■ Existing Debt $10.0 $5.0 $0.0 2021 2022 2023 2024 2025 2026 2027 Summary of Projected Tax Levy for Debt Service: Item 9B Page 113 The chart below shows the projected annual tax levy for debt service. The chart illustrates that debt service remains constant from 2021-2025 at about $3,600,000. Based on the proposed projects in the CIP, debt service increases significantly in 2026 and 2027 due to bonding (debt issuance) for two street projects in 2025 (Wilds Pkwy Reclamation and Martindale Area Street projects) and the 2026 bonding for facility work at City Hall and the Police Station. Both buildings were built in 2006. The significant facility project costs are replacement of VAV Boxes, Chillers, Air Handlers, and Carpet. Tax Levy for Debt Service ■ Existing Debt ■ Planned New Debt ! $5.0 i $4.5 $4.0 $3.5 $3.0 $2.5 $2.0 $1.5 $1.0 $0.5 $0.0 2022 2023 2024 2025 2026 2027 Debt per capita is estimated to decrease from $1,211 in 2021 to $960 in 2027 based on the current capital projects planned. The city is working to manage its debt load while providing needed capital replacement projects in a growing city. Debt Per Capita Includes Existing and Planned New Debt �Debt Per Capita Based on population grm-vth of 150 pennits/year x 2.5 persons per household $1,400 $1,211 $1,200 � ... ,. '"" $1,048 ,'! $1,000 -� ---.......... $993 $988 ....... $960 ,_ $800 $600 $400 $200 $0 2021 2022 2023 2024 2025 2026 2027 Bond Repayment through Debt Service Tax Levy: 49000 44000 39000 � :i C, 0 .. 34000 l;u 29000 24000 Item 9B Page 114 The impact of the 2023-2027 CIP and other anticipated bond payment adjustments on the debt service property tax levy are reflected in the following tables. Projected five-year annual change in debt levy: The table below indicates that we are planning to reduce our annual debt levy in 2023 and 2024. We are showing an increase in the annual debt levy in 2022 and 2025. Staff will work with our municipal advisor to review options for structuring the debt to minimize the annual debt service impact. 2023-2027 CIP Projected Change in Debt Levy 2023 2024 2025 2026 2027 Debt: Change in Debt Levy (57,218) (22,062) 176,319 468,784 413,992 The table below is a summary of the annual projected total CIP tax levy by component. 2023-2027 Cl P Projected CIP Tax Levy Tax Levies: 2023 2024 2025 2026 2027 Equipment 750,000 800,000 850,000 900,000 950,000 Revolving Fund Revolving Park 440,000 485,000 535,000 595,000 655,000 Equip Fund Facilities 155,000 205,000 255,000 305,000 355,000 Management Fund Debt Service 3,622,149 3,600,087 3,776,406 4,245,189 4,659,181 Total CIP Tax Levies 4,967,149 5,090,087 5,416,406 6,045,189 6,619,181 Projected change in total CIP Tax Levy: The table below shows the projected change in the CIP tax levy by component. 2023-2027 CIP Projected Change in CIP Tax Levy Tax Levies: 2023 2024 2025 2026 Equipment 50,000 50,000 50,000 50,000 Revolving Fund Revolving Park 35,000 45,000 50,000 60,000 Equip Fund Facilities 50,000 50,000 50,000 50,000 Management Fund Debt Service (57,218) (22,062) 176,319 468,784 Total CIP Tax Levies 77,782 122,938 326,319 628,784 2027 Item 9B Page 115 50,000 60,000 50,000 413,992 573,992 This project debt service levy estimates for years 2023-2027is based on ten-year level annual debt service payments. Bond Repayment Debt Service supported by Water and Sewer Fund Revenues: •Revenues of the Water and Sewer Funds support the annual debt service for the Water Treatment Plant debt refunding bond issues, the AMRS replacement, and the Huron area street improvements. Based on the current projects in the CIP, staff is not proposing any utility funds debt issuance in 2023-2027. The projected annual debt service for the utility funds is shown below: 2023-2027 CIP Projected Debt Service (funded by Utility Fund Revenues) 2023 2024 2025 2026 2027 Water 779,100 784,300 789,000 791,950 801,700 Sewer 169,850 169,650 164,250 162,500 165,500 CIP Impact on Long Range Financial Plan: The financial plan incorporates the debt and tax levy impacts of the Capital Improvement Program. Approval of the CIP does not obligate the City to complete the proposed projects or purchases. The 2023 projects/proposed purchases will be incorporated into the 2023 budget requests for budgeted funds. Further Council approvals may be necessary to comply with state statutes and the city's purchasing policy. RECOMMENDED ACTION: Motion and Second to approve the 2023-2027 Capital Improvement Program ATTACHMENTS: 1.Attach 1 -F410 2022-2031 Sources and Uses of Funds 2.Attach 2 -F410 2022-2031 Projects by Category and Dept 3.Attach 3 -F225 2022-2031 Sources and Uses of Funds 4.Attach 4 -F430 2022-2031 Sources and Uses of Funds 5.Attach 5 -Parks 2022-2031 Projects by Category and Dept 6.Attach 6 -F440 2022-2031 Sources and Uses of Funds 7.Attach 7 -F440 2022-2031 Projects by Category and Dept 8. Attach 8 -F501 2022-2031 Sources and Uses of Funds 9.Attach 9 -F450 2022-2031 Sources and Uses of Funds 10.Attach 10 -Pavement Management 2022-2031 Projects and Funding by Dept 11.Attach 11 -Tech Plan 2022-2031 Projects by Category and Dept 12.Attach 12 -Water Fund Cash 13.Attach 13 -Sewer Fund Cash 14.Attach 14 -Stormwater Cash 15.Attach 15 -City Total Projects by Department and Funding Source Item 9B Page 116 2023 2024 2025 2026 2027 Revolving Equipment Fund (F410) Beginning Balance 469,000 73,900 436,150 450,650 436,050 Revenues and Other Fund Sources Revenue Tax Levy 750,000 825,000 875,000 925,000 975,000 Water Fund (F601)108,750 73,500 162,450 0 0 Water Quality Fund (F602)0 0 125,000 0 0 Sewer Fund (F604)108,750 73,500 162,450 0 0 Contributions and Donations 00 000 Fire Contract (Spring Lake and Credit River)0 0 0 56,000 56,000 Transfer in from General Fund 0 300,000 1,200,000 0 0 Interest Earnings 10,000 7,000 7,000 7,000 7,000 Total Revenues and Other Fund Sources 977,500 1,279,000 2,531,900 988,000 1,038,000 Total Funds Available 1,446,500 1,352,900 2,968,050 1,438,650 1,474,050 Expenditures and Uses Capital Projects & Equipment Building Inspection (38,000) 0 0 0 0 Central Garage (20,000) (20,000) (20,000) (20,000) (20,000) Fire (299,000) (102,000) (1,500,000) (49,500) (47,000) Parks (604,500) (430,000) (50,600) (266,000) (380,500) Police (314,100) (284,750) (315,300) (325,600) (329,000) Streets (97,000) (80,000) (631,500) (341,500) (377,500) Total Expenditures and Uses (1,372,600) (916,750) (2,517,400) (1,002,600) (1,154,000) Change in Fund Balance (395,100) 362,250 14,500 (14,600) (116,000) Ending Balance 73,900 436,150 450,650 436,050 320,050 City of Prior Lake, Minnesota Capital Improvement Program 2023 thru 2027 REVOLVING EQUIPMENT FUND (F410) SOURCES AND USES OF FUNDS Capital Improvement Program City of Prior Lake, Minnesota PROJECTS BY CATEGORY AND DEPARTMENT 2023 2027thru Total20232024202520262027 Department Category Building Inspection Equipment: Pick Ups/Vans 38,000 38,000TRUCK-1/2 TON 6397 38,000 38,000Sub-Total 38,000 38,000DepartmentTotal: Central Garage Equipment: Miscellaneous 20,000 20,000 20,000 20,000 20,000 100,000RefurbishingREFUR 20,000 20,000 20,000 20,000 20,000 100,000Sub-Total 20,000 20,000 20,000 20,000 20,000 100,000DepartmentTotal: Fire Equipment: Apparatus 200,000 200,000Fire - Heavy Rescue 9215 00FireTruckHeavyRescue (Refurbish)9216 1,500,000 1,500,000FireLadderTruck9280 200,000 0 1,500,000 1,700,000Sub-Total Equipment: First Response 49,500 49,500SquadFire (Chief)9200 52,000 52,000SquadPick-Up 1/2 Ton 9202 46,000 46,000SquadPick-Up 1/2 Ton 9203 46,000 52,000 49,500 147,500Sub-Total Equipment: Grass Rigs 50,000 50,000FireTruck1Ton9272 50,000 50,000Sub-Total Equipment: Other 47,000 47,000UTV9275 53,000 53,000FireRadiosFD-RADIOS 53,000 47,000 100,000Sub-Total 299,000 102,000 1,500,000 49,500 47,000 1,997,500DepartmentTotal: Parks Equipment: Attachments 2,500 2,500SKIDSTEERSNOWBUCKET8256 3,000 3,000SKIDSTEERSNOWBUCKET8257 1,600 1,600SKIDSTEERU-BLADE 8260 00DISC8266 12,000 12,000STUMPGRINDER8272 Tuesday, August 2, 2022Page1ProducedUsingthePlan-It Capital Planning Software Total20232024202520262027 Department Category 18,500 18,500TOPDRESSER8273 22,600 3,000 12,000 37,600Sub-Total Equipment: Loaders/Skid Steers 75,000 75,000SKIDSTEER - TRACKS 8502 17,000 17,000FORKLIFT8558 92,000 92,000Sub-Total Equipment: Pick Ups/Vans 43,000 43,000TRUCK1/2 TON 8508 31,000 31,000TRUCK-1 TON 8540 68,000 68,000TRUCK-1 TON 8543 78,500 78,500TRUCK-1 TON 8545 66,000 66,000Truck-1 Ton Dump 8546 62,500 62,500Truck-1 Ton Dump 8547 68,500 68,500TRUCK-1 TON 8548 146,500 228,000 43,000 417,500Sub-Total Equipment: Street/Sidewalk 165,000 165,000SIDEWALKMACHINE8506 165,000 165,000Sub-Total Equipment: Trailers 3,000 3,000TRAILER-SMALL ENCLOSED 8529 10,000 10,000TRAILER8533 10,000 3,000 13,000Sub-Total Equipment: Tree Care 85,000 85,000WOODCHIPPER8510 85,000 85,000Sub-Total Equipment: Turf Care 155,000 155,000MOWER-16FT 8503 155,000 155,000MOWER-16FT 8504 135,000 135,000TRACTOR8507 6,000 6,000SODCUTTER8512 90,000 90,000TOOLCATW/MOWER NEW 8513 45,000 45,000MOWER - 6 FT NEW 8522 45,000 45,000MOWER-6FT 8524 45,000 45,000MOWER-6FT 8525 45,000 45,000MOWER-6FT 8526 68,000 68,000UTILITYVEH-STRIPER 8535 24,000 24,000UTILITYVEHICLE8536 28,000 28,000UTILITYVEH-FIELD GROOMER 8537 31,500 31,500UTILITYVEH-WATER TANK 8538 29,000 29,000UTILITYVEHICLE8539 293,000 335,000 28,000 35,000 210,500 901,500Sub-Total Equipment: Utility Equp. 20,000 20,000ELECTRICSCISSORLIFT8551 20,000 20,000Sub-Total 604,500 430,000 50,600 266,000 380,500 1,731,600DepartmentTotal: Police Tuesday, August 2, 2022Page2ProducedUsingthePlan-It Capital Planning Software Total20232024202520262027 Department Category Equipment: Emerg. Sirens 10,800 10,8001996Siren@13760McKennaRdNWPD-Siren08 10,800 10,8001997Siren@16730NorthwoodRdNWPD-Siren09 25,000 25,0001998Siren@14649GlendaleAveSEPD-Siren10 25,750 25,7502003Siren@16280DuluthAveSEPD-Siren11 26,500 26,5002004Siren@5634LutherRdSEPD-Siren12 27,300 27,3002005Siren@14998WildsPkwyNWPD-Siren13 28,100 28,1002006Siren@1546BelmontAveNWPD-Siren14 29,000 29,0002007Siren@1500SpringLakeCir., Jordan PD-Siren15 46,600 52,250 27,300 28,100 29,000 183,250Sub-Total Equipment: Squads 45,500 45,500SQUADNEW7114 48,000 48,000SQUADNEW7115 50,000 50,000SQUADNEW7116 50,000 50,000InvestigatorCar (1516)7135 40,000 40,000DrugTaskForceCar (1815)7298 182,000 247,500 429,500Squads-Marked Multiple 1 232,500 250,000 482,500Squads-Marked Multiple 2 240,000 240,000Squads-Marked Multiple 3 267,500 232,500 288,000 297,500 300,000 1,385,500Sub-Total 314,100 284,750 315,300 325,600 329,000 1,568,750DepartmentTotal: Streets Equipment: Attachments 00SKIDSTEERTRAILERMOVER8254 26,000 26,000SKIDSTEERASPHALTMILL8258 27,500 27,500SKIDSTEERMANHOLECUTTER8261 25,000 25,0002003DIRECTIONALSAFETYSIGN8426 25,000 26,000 0 27,500 78,500Sub-Total Equipment: Dump Trucks 247,000 247,000TRUCK-5TON-DUMP-SINGLE AXLE 8466 247,000 247,000Sub-Total Equipment: Emergency Power 55,000 55,000Generator - PD GEN-PD 55,000 55,000Sub-Total Equipment: Loaders/Skid Steers 79,500 79,500SKIDSTEER8781 177,000 177,000LOADER-BACKHOE 8785 275,000 275,000LOADERWHEEL8789 256,500 275,000 531,500Sub-Total Equipment: Pick Ups/Vans 103,000 103,000TRUCK-1.5 TON-DUMP 8452 57,000 57,000TRUCK-1 TON 8457 54,000 54,000Pickup1TonNew8550 125,000 125,000Truck - 1.5 Ton - Dump New 8552 57,000 54,000 125,000 103,000 339,000Sub-Total Equipment: Street/Sidewalk 250,000 250,000STREETSWEEPER-MECHANICAL 8472 Tuesday, August 2, 2022Page3ProducedUsingthePlan-It Capital Planning Software Total20232024202520262027 Department Category 250,000 250,000Sub-Total Equipment: Trailers 11,500 11,500TRAILER8479 15,000 15,000TRAILER8480 15,000 11,500 26,500Sub-Total 97,000 80,000 631,500 341,500 377,500 1,527,500DepartmentTotal: 1,372,600 916,750 2,517,400 1,002,600 1,154,000 6,963,350GRANDTOTAL Tuesday, August 2, 2022Page4ProducedUsingthePlan-It Capital Planning Software 2023 2024 2025 2026 2027 Capital Park Fund (F225) - NEW PARKS Beginning Balance 2,185,000 2,388,500 2,995,600 3,603,700 3,712,800 Revenues and Other Fund Sources Revenue Charges for Services: Park Dedication Fees 562,500 562,500 562,500 562,500 562,500 Rent 24,000 24,000 24,000 24,000 24,000 Mn DNR Local Trail Grant 250,0000000 Interest Earnings 20,400 24,000 25,000 26,000 27,000 Total Revenues and Other Fund Sources 856,900 610,500 611,500 612,500 613,500 Total Funds Available 3,041,900 2,999,000 3,607,100 4,216,200 4,326,300 Expenditures and Uses Capital Projects & Equipment Parks: Projects Future Neighborhood Park Development 225-001 0 0 0 (500,000) 0 TH13 Trail TRN19-000004 (650,000)0000 Total (650,000) 0 0 (500,000) 0 Other Uses Property Taxes (3,400) (3,400) (3,400) (3,400) (3,400) Total (3,400) (3,400) (3,400) (3,400) (3,400) Total Expenditures and Uses (653,400) (3,400) (3,400) (503,400) (3,400) Change in Fund Balance 203,500 607,100 608,100 109,100 610,100 Ending Balance 2,388,500 2,995,600 3,603,700 3,712,800 4,322,900 City of Prior Lake, Minnesota Capital Improvement Program 2023 thru 2027 CAPITAL PARK FUND (F225) SOURCES AND USES OF FUNDS 2023 2024 2025 2026 2027 Revolving Park Equipment Fund (F430) - REPLACEMENT Beginning Balance 1,398,000 995,700 1,452,700 399,700 456,700 Revenues and Other Fund Sources Revenue Tax Levy 440,000 485,000 535,000 595,000 655,000 Mn DNR Outdoor Recreation Grant 299,000 0 0 0 0 Interest Earnings 13,700 12,000 12,000 12,000 12,000 Total Revenues and Other Fund Sources 752,700 497,000 547,000 607,000 667,000 Total Funds Available 2,150,700 1,492,700 1,999,700 1,006,700 1,123,700 Expenditures and Uses Capital Projects & Equipment Parks: Projects Wilds North BB Court Maintenance 430-010 (10,000) 0 0 0 0 Memorial Windscreen 430-025 0 0 0 0 (7,000) Ponds Phase I Imp 430-028 (700,000) 0 0 0 0 Sand Point Ballfield 430-029 (10,000) 0 0 0 0 Sand Point Beach Renovation Study 430-030 (75,000) 0 0 0 0 Ryan BB Court Surface, Hoop/Stand 430-036 0 (15,000) 0 0 0 Timbercrest BB Court Surface, Hoop/Stand 430-037 0 (10,000) 0 0 0 Memorial Parking Lots (2)430-039 0 0 0 (250,000) 0 Ponds Phase II Imp 430-041 0 0 (800,000) 0 0 Ponds Playground 430-042 (350,000) 0 0 0 0 Cardinal Ridge Parking Lot 430-044 0 0 0 (45,000) 0 Grainwood Crossing Parking Lot 430-045 0 0 0 (5,000) 0 Northwood Meadows BB Court Surface 430-047 (10,000) 0 0 0 0 Crystal Lake Fishing Pier 430-049 0 0 0 0 (22,000) Enclave BB Court Surface 430-050 0 0 0 0 (15,000) Howard Lake BB Court Surface 430-051 0 0 0 0 (15,000) Memorial Drinking Fountain 430-052 0 0 0 0 (12,000) Woodridge Ballfield 430-054 0 0 0 0 (10,000) Wilds North Playground 430-065 0 (15,000) 0 0 0 Wilds Parkway Trail 430-068 0 0 (800,000) 0 0 Misc Playground 0 0 0 (250,000) (250,000) Total (1,155,000) (40,000) (1,600,000) (550,000) (331,000) Other Uses Transfer to Debt Service Funds 00 000 Total 00 000 Total Expenditures and Uses (1,155,000) (40,000) (1,600,000) (550,000) (331,000) Change in Fund Balance (402,300) 457,000 (1,053,000) 57,000 336,000 Ending Balance 995,700 1,452,700 399,700 456,700 792,700 City of Prior Lake, Minnesota Capital Improvement Program 2023 thru 2027 REVOLVING PARK EQUIPMENT FUND (F430) SOURCES AND USES OF FUNDS Capital Improvement Program City of Prior Lake, Minnesota PROJECTS BY CATEGORY AND DEPARTMENT 2023 2027thru Total20232024202520262027 Department Category Parks: Projects New Park Development 500,000 500,000FutureNeighborhoodParkDevelopment225-001 650,000 650,000TH13TrailTRN19-000004 650,000 500,000 1,150,000Sub-Total Park Replacement 10,000 10,000WildsNorthBBCourtMaintenance430-010 7,000 7,000MemorialWindscreen430-025 700,000 700,000PONDSPHASEIIMP430-028 10,000 10,000SandPointBallfield430-029 75,000 75,000SandPointBeachRenovationStudy430-030 15,000 15,000RyanBBCourtMaintenance430-036 10,000 10,000TimbercrestBBCourtMaintenance430-037 250,000 250,000MemorialParkingLots (2)430-039 800,000 800,000PONDSPHASEIIIMP430-041 350,000 350,000PondsPlayground430-042 45,000 45,000CardinalRidgeParkingLot430-044 5,000 5,000GrainwoodCrossingParkingLot430-045 10,000 10,000NorthwoodMeadowsBBCourtMaintenance430-047 15,000 15,000WildsBBCourtMaintenance430-048 22,000 22,000CrystalLakeFishingPier430-049 15,000 15,000EnclaveBBCourtMaintenance430-050 15,000 15,000HowardLakeBBCourtMaintenance430-051 12,000 12,000MemorialDrinkingFountain430-052 10,000 10,000WoodridgeBallfield430-054 800,000 800,000WildsParkwayTrail430-068 250,000 250,000 500,000MISCPLAYGROUNDPLAY 0 0 0 0 00TrailMaintenanceTRAILS 1,155,000 40,000 1,600,000 550,000 331,000 3,676,000Sub-Total 1,805,000 40,000 1,600,000 1,050,000 331,000 4,826,000DepartmentTotal: 1,805,000 40,000 1,600,000 1,050,000 331,000 4,826,000GRANDTOTAL Wednesday, August 3, 2022Page1ProducedUsingthePlan-It Capital Planning Software 2023 2024 2025 2026 2027 Facilities Management Fund (F440) Beginning Balance 941,000 497,100 635,500 556,000 631,000 Revenues and Other Fund Sources Revenue Tax Levy 155,000 205,000 255,000 305,000 355,000 Tax Levy - Debt Service 0 0 360,000 0 0 G.O. Capital Improvement Bonds 0 300,000 0 1,740,000 0 Water Fund (F601) - transfer for portion of maint ctr costs 0 12,000 0 30,000 21,000 Sewer Fund (F604) - transfer for portion of maint ctr costs 0 12,000 0 30,000 21,000 MVTA 0 0 47,000 0 0 Transfer in from General Fund 0 500,000 0 0 0 Interest Earnings 14,600 6,000 6,000 6,000 6,000 Total Revenues and Other Fund Sources 169,600 1,035,000 668,000 2,111,000 403,000 Total Funds Available 1,110,600 1,532,100 1,303,500 2,667,000 1,034,000 Expenditures and Uses Capital Projects & Equipment City Hall (70,000)(283,500)0 (1,194,500)0 Fire Station #1 (115,500)(104,600)(147,500)0 0 Fire Station #2 (70,000)(60,000)0 (112,000)(95,000) Library & Club Prior (125,000)(17,500)(300,000)0 (228,500) Maintenance Center - Total Cost including water & sewer 0 (121,000)0 (301,500)(209,500) Police Station (233,000)(310,000)(300,000)(428,000)(85,000) Total Expenditures and Uses (613,500)(896,600)(747,500)(2,036,000)(618,000) Change in Fund Balance (443,900)138,400 (79,500)75,000 (215,000) Ending Balance 497,100 635,500 556,000 631,000 416,000 City of Prior Lake, Minnesota Capital Improvement Program 2023 thru 2027 FACILITIES MANAGEMENT FUND (F440) SOURCES AND USES OF FUNDS Capital Improvement Program City of Prior Lake, Minnesota PROJECTS BY CATEGORY AND DEPARTMENT 2023 2027thru Total20232024202520262027 Department Category Facilities Facil: City Hall 70,000 70,000WallCoverings440-008 255,500 255,500MembraneRoofing440-017 393,000 393,000VavBoxes440-032 12,000 12,000GlassDoors440-034 16,500 16,500CoilingDoors440-037 281,000 281,000Carpet440-038 28,000 28,000IrrigationSystem440-081 25,000 25,000BrickWallcovering / Cherrywood Paneling 440-088 23,000 23,000ResiliantFlooring440-089 17,000 17,000TileWalls440-090 66,000 66,000BellandGossetPumps (2)440-091 23,500 23,500CabinetUnitHeater440-092 14,000 14,000GreenheckExhaust (2)440-093 145,500 145,500AirHandler (2)440-094 171,500 171,500Chiller440-095 6,500 6,500Miscellaneous440-096 70,000 283,500 1,194,500 1,548,000Sub-Total Facil: Fire Station #1 15,500 15,500IrrigationSystem440-011 21,500 21,500WallCoverings440-018 10,000 10,000TurnoutLockers440-019 35,000 35,000Doors440-020 14,500 14,500TileWalls440-021 15,500 15,500ExhaustFan440-022 8,100 8,100Damper440-023 147,500 147,500RooftopUnit440-031 00RoomDivider / Display Case 440-085 100,000 100,000VEHICLEEXHAUSTSYSTEM440-188 115,500 104,600 147,500 367,600Sub-Total Facil: Fire Station #2 30,000 30,000Carpet440-012 40,000 40,000InfraredTubeHeater440-013 30,000 30,000ForcedAirFurnace (3)440-024 112,000 112,000MembraneRoofing440-039 30,000 30,000ACUnit (3)440-086 15,000 15,000ExhaustFan (2)440-123 20,000 20,000AirExchanger440-124 60,000 60,000Make-Up Air Unit 440-125 70,000 60,000 112,000 95,000 337,000Sub-Total Tuesday, June 14, 2022Page1ProducedUsingthePlan-It Capital Planning Software Total20232024202520262027 Department Category Facil: Library & Club Prior 17,500 17,500VavBoxes440-025 300,000 300,000ParkingLots440-026 131,500 131,500HVACControlSystem440-052 97,000 97,000AirHandlingUnit - Trane 440-110 125,000 125,000REMODELPH2440-187 125,000 17,500 300,000 228,500 671,000Sub-Total Facil: Maintenance Ctr. 40,500 40,500AutoGate440-027 80,500 80,500OverheadCrane440-028 51,500 51,500Windows - Aluminum 440-041 00RoomDivider440-042 154,000 154,000Hoists (In-Ground and Utility)440-043 209,500 209,500ConcreteFloors440-053 28,500 28,500Skylights (3)440-116 24,000 24,000Miscellaneous440-117 43,500 43,500SteelDoorsandFrames440-118 121,000 301,500 209,500 632,000Sub-Total Facil: Police Station 310,000 310,000MembraneRoofing440-029 8,000 8,000OverheadCoilingDoor (2)440-047 13,000 13,000IrrigationSystem440-082 100,000 100,000OverheadFoldingDoor10x14440-083 300,000 300,000Parking / Safety Enhancements 440-087 40,000 40,000FrontEntrySecurityUpdate440-101 19,000 19,000BellandGossetPump440-102 14,000 14,000GreenheckExhaust (2)440-103 79,000 79,000AirHandler - McQuay 440-104 60,000 60,000ACCondenser440-105 208,000 208,000VAVBoxes440-106 85,000 85,000EpoxyFlooring440-107 120,000 120,000CARPET440-185 233,000 310,000 300,000 428,000 85,000 1,356,000Sub-Total 613,500 896,600 747,500 2,036,000 618,000 4,911,600DepartmentTotal: 613,500 896,600 747,500 2,036,000 618,000 4,911,600GRANDTOTAL Tuesday, June 14, 2022Page2ProducedUsingthePlan-It Capital Planning Software 2023 2024 2025 2026 2027 Construction Fund (F501) Revenues and Other Fund Sources Revenue G.O. Special Assessment Bonds - Project Levy 183,000 - 4,500,000 4,352,000 2,149,000 G.O. Special Assessment Bonds - Project Assessment 1,246,500 - 505,000 1,000,000 340,000 G.O. Special Assessment Bonds - Project MSA 3,108,000 - - - - City - MSA Funds 1,355,000 County 2,473,973 - - - - Street Oversize Fund (F503)1,514,290 - - - - Developer Upfront Costs 394,000 - - - - ARPA Funds 578,750 - - - - Franchise Fees - - 300,000 1,948,000 1,151,000 City - Unidentified Funding Source 40,000 - - - - General Fund (F101)400,000 - - - - TIF Funds (F414)100,000 - - - - Revolving Park Equip Funds (F430)- - 800,000 - - Construction Fund (F501)60,000 - - - - Water Fund (F601)581,500 - 325,000 1,150,000 650,000 Water Quality Fund (F602)- - 150,000 693,000 360,000 Sewer Fund (F604)330,000 - - 1,020,000 700,000 Total Revenues and Other Fund Sources 12,365,013 0 6,580,000 10,163,000 5,350,000 Expenditures and Uses Capital Projects & Equipment Streets: Transportation Fish Point Road Phase II TRN22-000001 (5,998,000) - - - - CSAH 21 (Revere to 170th St)TRN22-000002 (5,567,013) - - - - Marsh St Extension TRN23-000001 (800,000) - - - - Wilds Pkwy Reclamation TRN24-000001 - - (4,925,000) - - Lords Street Bridge Rehab TRN24-000002 - - (300,000) - - Martindale/Henning/Hickory Reclamation TRN24-000003 - - (1,355,000) - - Northwood Phase 1 TRN25-000001 - - - (10,163,000) - Northwood Phase 2 TRN26-000001 - - - - (5,350,000) Green Heights Area TRN27-000001 - - - - Sunset Hills Area TRN28-000001 - - - - - Raspberry Ridge Neighborhood TRN29-000001 - - - - - Lords Neighborhood TRN30-000001 - - - - - Village Lake/Tower TRN31-000002 - - - - - Total Expenditures and Uses (12,365,013)0 (6,580,000)(10,163,000)(5,350,000) City of Prior Lake, Minnesota Capital Improvement Program 2023 thru 2027 CONSTRUCTION FUND (F501) SOURCES AND USES OF FUNDS 2023 2024 2025 2026 2027 Perm. Imp. Revolving Fund (F450) Beginning Balance 1,270,000 2,251,210 285,164 285,565 258,370 Revenues and Other Fund Sources Revenue G.O. Special Assessment Bonds - Project Levy 0 1,046,000 0 0 705,000 G.O. Special Assessment Bonds - Overlay Assessment 0 470,000 0 0 285,000 Franchise Fees 1,068,000 1,086,000 0 0 0 Special Assessment Revenue 110,535 212,806 103,930 76,328 159,196 Transfer from Water Fund 0 1,850,000 0 0 0 Interest Earnings 5,700 33,648 4,157 4,163 3,755 Total Revenues and Other Fund Sources 1,184,235 4,698,454 108,087 80,491 1,152,951 Total Funds Available 2,454,235 6,949,664 393,251 366,056 1,411,321 Expenditures and Uses Capital Projects & Equipment Streets: Overlay Wilds / Jeffers Mill and Overlay PIR24-000001 0 (6,570,000) 0 0 0 Northwoods Phase 2 Mill and Overlay PIR27-000001 0 0 0 0 (990,000) Total 0 (6,570,000) 0 0 (990,000) Other Uses Transfer to Debt Service Funds (203,025) (94,500) (107,686) (107,686) (107,686) Total (203,025) (94,500) (107,686) (107,686) (107,686) Total Expenditures and Uses (203,025) (6,664,500) (107,686) (107,686) (1,097,686) Change in Fund Balance 981,210 (1,966,046) 401 (27,195) 55,265 Ending Balance 2,251,210 285,164 285,565 258,370 313,635 City of Prior Lake, Minnesota Capital Improvement Program 2023 thru 2027 PERMANENT IMPROVEMENT REVOLVING FUND (F450) SOURCES AND USES OF FUNDS Capital Improvement Program City of Prior Lake, Minnesota PROJECTS & FUNDING SOURCES BY DEPARTMENT 2023 2027thru Total20232024202520262027DepartmentProject # Streets: Overlay PIR24-000001 6,570,0006,570,000Wilds/Jeffers Mill and Overlay Franchise Fees 3,204,000 3,204,000 G.O. SA Bonds - Overlay Assessment 470,000 470,000 G.O. SA Bonds - Project Levy 1,046,000 1,046,000 Utility: Water Fund (F601)1,850,000 1,850,000 PIR27-000001 990,000990,000NorthwoodsPhase2MillandOverlay G.O. SA Bonds - Overlay Assessment 285,000 285,000 G.O. SA Bonds - Project Levy 705,000 705,000 7,560,0006,570,000 990,000Streets: Overlay Total Streets: Transportation TRN22-000001 5,998,0005,998,000FishPointRoadPhaseII City MSA Funds 1,355,000 1,355,000 G.O. SA Bonds - Project Assessment 440,500 440,500 G.O. SA Bonds - Project Levy 183,000 183,000 G.O. SA Bonds - Project MSA 3,108,000 3,108,000 Utility: Sewer Fund (F604)330,000 330,000 Utility: Water Fund (F601)581,500 581,500 TRN22-000002 5,567,0005,567,000CSAH21 (Revere to 170th St) County 2,274,000 2,274,000 Developer - Upfront Costs 394,000 394,000 Federal Grant 578,700 578,700 G.O. SA Bonds - Project Assessment 806,000 806,000 Street Oversize Fund (F503)1,514,300 1,514,300 TRN23-000001 800,000800,000MarshDrNEExt City - Unidentified Funding Source 40,000 40,000 Construction Fund (F501)60,000 60,000 County 200,000 200,000 General Fund (F101)400,000 400,000 TIF Fund (F414)100,000 100,000 TRN24-000001 4,925,0004,925,000WildsPkwyReclamation G.O. SA Bonds - Project Assessment 400,000 400,000 G.O. SA Bonds - Project Levy 3,400,000 3,400,000 Revolving Park Equip. Fund (F430)800,000 800,000 Utility: Storm Water Fund (F602)0 0 Utility: Water Fund (F601)325,000 325,000 TRN24-000002 300,000300,000LordsStreetBridgeRehab Franchise Fees 300,000 300,000 TRN24-000003 1,355,0001,355,000Martindale/Henning/Hickory Reclamation G.O. SA Bonds - Project Assessment 105,000 105,000 G.O. SA Bonds - Project Levy 1,100,000 1,100,000 Utility: Storm Water Fund (F602)150,000 150,000 TRN25-000001 10,163,00010,163,000NorthwoodPhase1 Franchise Fees 1,948,000 1,948,000 G.O. SA Bonds - Project Assessment 1,000,000 1,000,000 Thursday, June 16, 2022Page1ProducedUsingthePlan-It Capital Planning Software Total20232024202520262027DepartmentProject # G.O. SA Bonds - Project Levy 4,352,000 4,352,000 Utility: Sewer Fund (F604)1,020,000 1,020,000 Utility: Storm Water Fund (F602)693,000 693,000 Utility: Water Fund (F601)1,150,000 1,150,000 TRN26-000001 5,350,0005,350,000NorthwoodPhase2 Franchise Fees 1,151,000 1,151,000 G.O. SA Bonds - Project Assessment 340,000 340,000 G.O. SA Bonds - Project Levy 2,149,000 2,149,000 Utility: Sewer Fund (F604)700,000 700,000 Utility: Storm Water Fund (F602)360,000 360,000 Utility: Water Fund (F601)650,000 650,000 34,458,00012,365,000 6,580,000 10,163,000 5,350,000Streets: Transportation Total GRAND TOTAL 42,018,00012,365,000 6,570,000 6,580,000 10,163,000 6,340,000 Thursday, June 16, 2022Page2ProducedUsingthePlan-It Capital Planning Software Capital Improvement Program City of Prior Lake, Minnesota PROJECTS BY CATEGORY AND DEPARTMENT 2023 2027thru Total20232024202520262027 Department Category Cable Equipment: Audio/Visual 11,650 11,650TightropeFlexLite340 - Control Room COMM-001 12,400 12,400Webstreaming - Control Room COMM-002 52,400 52,400ChambersPresentation - Chambers COMM-003 62,000 62,000ControlRoomProduction - Control Room COMM-004 24,050 52,400 62,000 138,450Sub-Total 24,050 52,400 62,000 138,450DepartmentTotal: Elections I.T.- General Equipment 36,000 36,000PollPads - qty 28 ELEC-001 18,000 20,000 38,000Tabulators - qty 2 ELEC-002 54,000 20,000 74,000Sub-Total 54,000 20,000 74,000DepartmentTotal: Technology I.T.- General Equipment 00EpsonProjector - Parkview TECH-EQ-002 10,600 10,600RicohMPC4503 - CD/Eng TECH-EQ-003 10,600 10,600RicohMPC4504 - Admin TECH-EQ-005 9,000 9,000RicohMPC3003 - PW TECH-EQ-006 9,500 9,500RicohMPC3504 - Police TECH-EQ-007 6,000 6,000RicohMPC2504TECH-EQ-008 18,000 18,000RicohW3601Copier - CD/Eng TECH-EQ-010 40,000 40,000MarcoPhoneUpgradeTECH-EQ-012 10,600 27,000 20,100 46,000 103,700Sub-Total I.T.- Network Infrastructure 12,000 12,000NetworkSwitchTECH-NW-005 15,000 15,000HPProliantDL380ESX01TECH-NW-006 15,000 15,000HPProliantDL380ESX02TECH-NW-007 36,000 36,000DellSANTECH-NW-008 12,000 66,000 78,000Sub-Total 10,600 39,000 20,100 112,000 181,700DepartmentTotal: 64,600 39,000 44,150 164,400 82,000 394,150GRANDTOTAL Wednesday, August 3, 2022Page1ProducedUsingthePlan-It Capital Planning Software Water Fund Summary of Key Financial Information Water Fund 2023 2024 2025 2026 2027 Cash by Purpose For future capital improvements 3,798,268 4,368,731 4,246,914 4,562,963 2,603,615 For following year pay-go capital 2,038,500 559,500 1,520,000 1,300,000 3,574,500 For 3-months of operating cash 833,148 845,601 889,356 881,386 905,220 For following year debt service 784,300 789,000 791,950 801,700 810,450 Ending Cash 7,454,216 6,562,832 7,448,220 7,546,049 7,893,784 Total Average Number of Customer Bills 9,678 9,813 9,938 10,063 10,188 Total Water Volume Billed (1,000 of gallons)829,723 839,443 848,443 857,443 866,443 High Volume Customer (78,000 gallons)1.5%1.5%1.5%1.5%1.5% Medium Volume Customer (18,000 gallons)1.5%1.5%1.5%1.5%1.5% Low Volume Customer (8,000 gallons)1.5%1.5%1.5%1.5%1.5% Average Annual % Change in Water Bill for Billing Period Water Fund Capital Improvement Plan Water Fund Project Description 2023 2024 2025 2026 2027 Capital Outlay Transportation Plan 581,500 1,850,000 325,000 1,150,000 650,000 Meter Replacement Program - Software Upgrade - - 12,500 - - Wells 105,000 55,000 57,500 60,000 50,000 Misc projects 105,000 70,000 15,000 300,000 300,000 Current Year Projects - Facilities 135,500 40,500 - - 300,000 Water Storage & Tower Reconditioning 6,200 - - 10,000 - Technology Plan - 3,000 1,500 - - Current year projects - Equipment - - 128,000 - - WTF Rehabs & Equipment - 20,000 20,000 - - Total Capital Outlay 933,200 2,038,500 559,500 1,520,000 1,300,000 Source of Funds Bond proceeds - - - - - Current revenue / use of cash in fund 933,200 2,038,500 559,500 1,520,000 1,300,000 Total Source of Funds 933,200 2,038,500 559,500 1,520,000 1,300,000 Sanitary Sewer Fund Summary of Key Financial Information Sewer Fund 2023 2024 2025 2026 2027 Cash by Purpose For future capital improvements 2,291,671 3,358,320 3,555,413 4,365,425 3,923,333 For following year pay-go capital 1,678,000 837,500 1,689,000 1,339,500 2,641,000 For 3-months of operating cash 868,285 906,921 974,615 992,956 1,045,353 For following year debt service 169,650 164,250 162,500 165,500 168,000 Ending Cash 5,007,606 5,266,991 6,381,528 6,863,381 7,777,686 Total Average Number of Customer Bills 9,539 9,674 9,799 9,924 10,049 Total Sewer Volume Billed (1,000 of gallons)747,778 755,878 763,378 770,878 778,378 High Volume Customer (47,000 gallons)2.0%2.1%2.1%2.1%2.1% Medium Volume Customer (12,000 gallons)2.1%2.2%2.3%2.3%2.3% Low Volume Customer (7,000 gallons)2.1%2.3%2.3%2.4%2.4% Average Annual % Increase for Fees and Charges Sanitary Sewer Fund Capital Improvement Plan Sewer Fund Project Description 2023 2024 2025 2026 2027 Capital Outlay Transportation Plan 330,000 - - 1,020,000 700,000 Meter Replacement Program - - 12,500 - - Sewer Lining - Inflow/Infiltration Prevention 394,000 1,500,000 454,500 468,000 482,000 Lift Station Rehabilitation 247,000 175,000 142,500 150,000 157,500 Technology Plan - 3,000 10,000 - - Generator/Equipment - - 218,000 51,000 - Total Capital Outlay 971,000 1,678,000 837,500 1,689,000 1,339,500 Source of Funds Bond Proceeds - - - - - Current revenue / use of cash in fund 971,000 1,678,000 837,500 1,689,000 1,339,500 Total Source of Funds 971,000 1,678,000 837,500 1,689,000 1,339,500 Storm Water Quality Fund Summary of Key Financial Information Stormwater Fund 2023 2024 2025 2026 2027 Cash by Purpose For future capital improvements 337,338 238,804 10,144 15,610 158,241 For following year pay-go capital 1,448,000 860,000 1,095,000 800,000 949,250 For 3-months of operating cash 196,064 199,580 205,186 242,207 216,899 Ending Cash 1,981,402 1,298,384 1,310,330 1,057,817 1,324,391 Total Average Number of Residential Equivalent Units Billed 11,877 12,012 12,137 12,262 12,387 Per Residential Equivalent Unit 11.5%11.5%8.0%6.0%6.0% Average Annual % Increase for Fees and Charges Storm Water Quality Fund Capital Improvement Plan Stormwater Fund Project Description 2023 2024 2025 2026 2027 Capital Outlay Transportation Plan - - 150,000 693,000 360,000 Pond Maintenance & Retrofit 200,000 206,000 212,000 218,000 225,000 Stormwater Improvements 150,000 150,000 150,000 150,000 150,000 Stormwater Pond Planning 31,000 32,000 33,000 34,000 35,000 Other 50,000 - - - - Misc projects 280,000 110,000 190,000 - 30,000 Regional Water Quality Pond Project 950,000 - - - Equipment - - 125,000 - - Total Capital Outlay 711,000 1,448,000 860,000 1,095,000 800,000 Source of Funds Bond Proceeds - - - - - Current revenue / use of cash in fund 711,000 1,448,000 860,000 1,095,000 800,000 Total Source of Funds 711,000 1,448,000 860,000 1,095,000 800,000 Capital Improvement Program City of Prior Lake, Minnesota DEPARTMENT SUMMARY 2023 2027thru Total20232024202520262027Department Building Inspection 38,00038,000 Cable 138,45024,050 52,400 62,000 Central Garage 100,00020,000 20,000 20,000 20,000 20,000 Elections 74,00054,000 20,000 Facilities 4,911,600613,500 896,600 747,500 2,036,000 618,000 Fire 1,997,500299,000 102,000 1,500,000 49,500 47,000 Parks 1,731,600604,500 430,000 50,600 266,000 380,500 Parks: Projects 4,826,0001,805,000 40,000 1,600,000 1,050,000 331,000 Police 1,568,750314,100 284,750 315,300 325,600 329,000 Streets 1,527,50097,000 80,000 631,500 341,500 377,500 Streets: Overlay 7,560,0006,570,000 990,000 Streets: Transportation 34,458,00012,365,000 6,580,000 10,163,000 5,350,000 Technology 181,70010,600 39,000 20,100 112,000 16,220,700 8,462,350 11,489,050 14,416,000 8,525,000 59,113,100TOTAL Thursday, August 4, 2022Page1ProducedUsingthePlan-It Capital Planning Software Capital Improvement Program City of Prior Lake, Minnesota FUNDING SOURCE SUMMARY 2023 thru 2027 TotalSource20232024202520262027 Cable Franchise Fund (F210)138,45024,050 52,400 62,000 Capital Park Fund (F225)1,150,000650,000 0 500,000 City - Unidentified Funding Source 40,00040,000 City MSA Funds 1,355,0001,355,000 Construction Fund (F501)60,00060,000 County 2,474,0002,474,000 Developer - Upfront Costs 394,000394,000 Facilities Management Fund (F440)2,871,600613,500 596,600 747,500 296,000 618,000 Federal Grant 578,700578,700 Franchise Fees 6,603,0003,204,000 300,000 1,948,000 1,151,000 G.O. Capital Improvement Bonds 2,040,000300,000 1,740,000 G.O. SA Bonds - Overlay Assessment 755,000470,000 285,000 G.O. SA Bonds - Project Assessment 3,091,5001,246,500 505,000 1,000,000 340,000 G.O. SA Bonds - Project Levy 12,935,000183,000 1,046,000 4,500,000 4,352,000 2,854,000 G.O. SA Bonds - Project MSA 3,108,0003,108,000 General Fund (F101)671,600486,500 33,000 20,100 112,000 20,000 Revolving Equip. Fund (F410)7,042,3501,372,600 916,750 2,596,400 1,002,600 1,154,000 Revolving Park Equip. Fund (F430)4,476,0001,155,000 40,000 2,400,000 550,000 331,000 Street Oversize Fund (F503)1,514,3001,514,300 TIF Fund (F414)100,000100,000 Utility: Sewer Fund (F604)6,515,000971,000 1,678,000 837,500 1,689,000 1,339,500 Utility: Storm Water Fund (F602)4,914,000711,000 1,448,000 860,000 1,095,000 800,000 Utility: Water Fund (F601)6,351,200933,200 2,038,500 559,500 1,520,000 1,300,000 17,946,300 11,770,850 13,350,050 15,857,000 10,254,500 69,178,700GRANDTOTAL Wednesday, June 22, 2022Page1ProducedUsingthePlan-It Capital Planning Software