HomeMy WebLinkAboutBudget Workshop 2023.07.12 Powerpoint Slides2024‐2025Budget Workshop PresentationJuly 12th, 2023
Jan‐Feb‐Financial Management Plan WorkshopsMay 3rd‐FMP Presentation to Staff and Budget KickoffJune 5th‐Deadline for departments to input budgets into TylerJune Department MeetingsJuly 12th, 19th, and 26th‐Budget Workshops August 16th‐CIP WorkshopSeptember 6th‐Council Workshop if necessarySeptember 20th‐Adopt Preliminary LevyBy September 30th‐Certify Preliminary LevyNovember‐Proposed Property Taxes Statements mailed by CountyDecember 6th‐Budget Comment Meeting and Adopt Final LevyBy December 30th‐Certify Final LevyAdd a footer22024 Budget Calendar
3Financial Management Plan•Why?•Manage expectations•Maintain assets and fund balances•Reduces stress during budget development•Reduces reactivity•Results•Integrated Budget, tax policy, and capital plans•Annual process dovetails on long‐term goals and plans•Council can focus on long‐term financial health, not single‐year impacts•Operating Budget•Equipment•Current Debt•Future Debt•Pavement Management•Glacial Valley Park Building•Street Debt•Internal Service Funds•Growing Community•EDA Levy
4Financial Management Plan•Outcomes•AAA bond rating•Revised General Fund‐Fund Balance Policy•45%‐55% of next year expenditures•Start to build contingency in General Fund
Governmental FundsRevenues per Capita Comparison5
Governmental FundsExpenditures per Capita Comparison6
7Households
8Population GrowthMet Council 2022 Estimates for Population – 41,027Census 2022 Estimates for Population ‐41,033
9Households
10Lot Inventory
Add a footer11Total Permits Issued to Date
Cash Balances12 (100,000) 1,900,000 3,900,000 5,900,000 7,900,000 9,900,000 11,900,000 13,900,000 15,900,000 17,900,000 19,900,000GeneralFundSpecialRevenueClosedDebtDebtServiceFundsCapitalProjectFundsTIF Funds EnterpriseFundsInternalServiceFundsDeveloperLOC20212022
Closed Debt Cash Balance13 ‐ 500,000 1,000,000 1,500,000 2,000,000 2,500,0002021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032Closed Debt
Since Financial Management Plan14•Assessment Values•9.9% in existing values (FMP 2%)•$176M in new construction (FMP $146M)•Median Home 339,100 to 379,200 (11.8% increase)•Insurance Premiums for Workers Compensation and Property Insurance•Continued inflation•Fleet Services/Cleaning Contract•Budget Additions $1,289,965•Public Safety one‐time Aid•$1,733,080•Building Permits (3.88% decrease from 2023 Budget‐FMP had been decrease of 1%)•HERO Center Contribution
Internal Service Funds‐Insurance153.70%52.48%38.21%10.31% ‐ 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 900,000 1,000,0002019 2020 2021 2022 2023Workers CompensationBudgetActual16.63%16.63%4.99%17.18%19.89% ‐ 50,000 100,000 150,000 200,000 250,000 300,000 350,000 400,0002019 2020 2021 2022 2023Property Insurance
Self Insurance FundAdopted 2022Proposed2023162022 Actual2023 Budget2023 Estimated2024 Proposed2025 ProposedRevenuesCharges to other Funds$2,520,820 $2,860,600 $2,861,040 $3,440,090 $3,732,090Other Revenues106,021 63,000 63,000 116,000 116,000Total Revenues2,626,841 2,923,600 2,924,040 3,556,090 3,848,090ExpendituresHealth Insurance1,737,446 1,683,200 1,738,402 1,875,200 1,986,000MN STATE 299A.46538,669 45,000 61,333 66,000 66,000Workers Compensation855,624 842,500 944,000 1,015,500 1,066,300Property Insurance307,531 326,400 368,700 398,900 418,800Other Expenditures$252,010 $193,000 $156,115 $185,500 $185,500Total Expenditures3,191,280 3,090,100 3,268,550 3,541,100 3,722,600Revenues over/(under) Expenditures(564,439) (166,500) (344,510) 14,990 125,490
Internal Service Funds‐Fleet17 ‐ 100,000 200,000 300,000 400,000 500,000 600,000 700,000 800,000 900,0002019 2020 2021 2022 2023Parts and Outside RepairsBudgetActual
Fleet FundAdopted 2022Proposed2023182022 Actual 2023 Budget2024 Proposed2025 ProposedRevenuesCharges to other Funds$1,702,302 $1,712,100 $2,110,640 $2,258,460Other Revenues2,129000Total Revenues1,704,431 1,712,100 2,110,640 2,258,460ExpendituresPersonnel$878,117 $903,800 $921,000 $971,800Commodities790,757 707,600 808,200 845,455Contractual Services356,007 227,200 433,100 445,100Total Expenditures2,024,881 1,838,600 2,162,300 2,262,355Revenues over/(under) Expenditures($320,450) ($126,500) ($51,660) ($3,895)
Public Safety one‐time Aid$1,733,080•Proceeds to be used to provide public safety, which includes community violence prevention and intervention programs; community engagement; mental health responses; victim services; training programs; first responder wellness; equipment related to fire, rescue, and emergency services; or to pay other personnel or equipment costs.•Ineligible uses include employer contributions to the police and fire fund, and expenses with alleged misconduct, purchase of tactical vehicles or tear gas, or the construction or improvements to a police station.19
Levy DetailsAdopted 2022Proposed202320Certified2023Proposed 2024Proposed 2025General Operating LevyGeneral Fund$17,485,270 $18,472,510 $20,487,430PSCH Interfund Loan/bldg. repairs250,000 300,000 300,000Economic Development125,000 275,000 275,000Equipment Levy$600,000Total General Operating Levy$17,860,270 $19,047,510 $21,662,430Total Debt Levy$2,789,440 $3,664,490 $4,297,930Total Gross Levy$20,649,710 $22,712,000 $25,960,360Levy Increase9.99% 14.30%TIF District 1‐12 Decertification 12/31/2024
Sample Properties216.00%5.70%7.00%5.60%3.60%3.10%4.40%2.90%$34$34$57$34$0$10$20$30$40$50$60$70$80$90$1000.00%5.00%10.00%15.00%20.00%25.00%Property 1 Property 2 Property 3 Property 4Market Value % ChangeChange in City Tax %Avg Tax IncreaseYearMarket Value Change% City tax Change $Change in City tax % 2014 $ 210,900 $ 844 $ 78 10.18%2015 $ 233,200 10.57% $ 902 $ 58 6.87%2016 $ 236,500 1.42% $ 951 $ 49 5.43%2017 $ 237,400 0.38% $ 1,011 $ 60 6.31%2018 $ 248,400 4.63% $ 952 $ (59)‐5.84%2019 $ 257,200 3.54% $ 947 $ (5)‐0.53%2020 $ 267,100 3.85% $ 991 $ 44 4.65%2021 $ 282,400 5.73% $ 1,011 $ 20 2.02%2022 $273,800 ‐3.05% $ 973 $ (38)‐3.76%2023 $329,600 20.38% $1,091 $118 12.13%2024 $ 371,400 12.68% $ 1,181 $90 8.52%Ten‐Year average 6.0% $ 34 3.6%
22Levy In Packet 2024 2025Levy Amount $22,712,000 $25,960,364 9.99% 14.30%Sample Property 1 $90 $148 Another Option 2024 2025Levy Amount $ 23,062,000 $ 25,610,364 11.68% 11.05%Sample Property 1 $110 $106
Debt IssuanceOn Levy starting 2024•2023 Pavement Management $2.9M•Glacial Valley Park Building $4.8M•East Point Douglas •Debt Levy Increase $875,000 2024/2025 Debt•East Point Douglas and Jamaica $3.9M•2024 Pavement Management $5.8M•2025 Pavement Management $3.2M•Shoppes at Cottage View $1.1M23
Add a footer24Adopted Adopted Proposed ProposedFund2022 2023 2024 2025General Levies100 General Fund 15,160,000$ 17,485,270$ 18,472,510$ 20,487,430$ 525 Public Safety/City Hall interfund loan 250,000 250,000 300,000 300,000 285 Economic Development 125,000 125,000 275,000 275,000 Equipment Levy600,000 Total levy subject to limit 15,535,000 17,860,270 19,047,510 21,662,430 Debt LeviesCall Date369 GO Refunding bonds 2016A 220,000 220,000 220,000 190,000 2/1/2024371 GO CIP Bonds 2017A (fire station) 610,000 610,000 610,000 610,000 2/1/2026315 GO CIP Bonds 2019A (HERO) 250,000 250,000 250,000 296,300 2/1/2027305 Equipment Certificates Ice Arena 10 yr 350,000 350,000 350,000 348,800 2/1/2025492 Pavement Mgmt bonds 2015 200,000 300,000 300,000 323,700 2/1/2024493 Pavement Mgmt bonds 2016/2017 200,000 200,000 200,000 200,000 2/1/2026310 GO Improvement bonds 2018A (Ravine Parkway350,000 350,000 250,000 50,000 2/1/2026491 Pavement Mgmt 2013 250,000 - - - 340 GO imp refunding bonds 2021B 264,440 531,240 537,470 2/1/2027330 Pavement Mgmt bonds 2021A 150,000 245,000 230,000 230,000 2/1/2030GO Improve & Abatement bonds 2023A 224,000 540,950 541,200 2/1/2030Future Street Debt (EPD & Shoppes) 182,300 454,010 Future Pavement Management Debt (24 PM) 413,050 Equipment Certificates - 103,400 Total debt levy 2,804,000 2,789,440 3,664,490 4,297,930 Total Gross levy18,339,000 20,649,710 22,712,000 25,960,360 Change in Gross levy4.26% 12.60% 9.99% 14.30%
Add a footer25Tax Levy ‐ 5,000,000 10,000,000 15,000,000 20,000,000 25,000,0002014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024General FundPSCHEDADebt
Add a footer26Taxable Values ‐ 10,000,000 20,000,000 30,000,000 40,000,000 50,000,000 60,000,000 70,000,0002014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
27City Tax Rate43.81241.59143.13943.01240.58338.95839.18237.35137.25133.91432.135051015202530354045502014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
Add a footer28Equipment Replacement Fund2023 2024 2025Revenues:Transfer In‐General Fund $ 410,000 $ ‐$ ‐Debt Levy‐Equip. Certificates‐‐103,397 Equipment Levy‐‐600,000 Investment Interest 26,000 7,993 466 Total Revenues: 436,000 7,993 703,863 Expenditures:Equipment Paid 2023 99,306 Equipment Purchases on Order 694,050 Equipment Purchases to Order 468,550 Equipment Purchases‐1,583,895 2,700,350 Total Expenditures: 1,261,906 1,583,895 2,700,350 Other Financing Sources/(Uses)Equipment Certificates 840,000 1,880,000 Debt Payment(98,474)Interest Payment (16,800) (37,600)Total Other:‐823,200 1,743,926 Beginning Fund Balance $ 1,635,867 $ 809,961 $ 57,259 Ending Fund balance $ 809,961 $ 57,259 $ (195,302)
29EDA Levy/HRA Levy•EDA Levy•Subject to levy limits•Can be used for:•Housing•Business Loans/development•Redevelopment•Max levy .01813% of previous year’s estimated market value of all property.•HRA Levy•Not subject to levy limits•Can be used for:•Housing•Redevelopment•Max levy .0185% of previous year’s estimated market value of all property.
Add a footer302024 FMP Levy to 2024 Proposed Levy Levy Current Levy Changes 2024 General Fund Operating Levy per FMP 18,491,671$ 8.14%############Internal Service Funds 130,000$ 0.63%Other Changes 44,089$ 0.21%Utility Increases 60,000$ 0.29%HERO Center Contribution 49,495$ 0.24%Assessment Services 20,000$ 0.10%BA CH increased building maintenance costs 33,500$ 0.16%BA Cleaning Costs (CH, Fire, and PW) 24,030$ 0.12%BA Comp Study 45,000$ 0.22%BA Fire Annual Mental Check 5,400$ 0.03%BA Glacial Valley Supervised Playgrounds‐$ 0.00%BA Increased salt costs 31,980$ 0.15%BA Parks 50% position shared with arena‐$ 0.00%BA PT Recreation Coordinator 20 hours per week‐$ 0.00%BA‐Fence 140,000$ 0.68%City Council Dues 0.00%Reduce Building Permits 84,050$ 0.41%Leave Inspector Vacant until 2025 (118,700)$ ‐0.57%Recognize Engineering Revenues for Public Projects (129,205)$ ‐0.63%Credit Card Fees 34,000$ 0.16%Move 2/3 of PW Cleaning Costs to Water and Sewer (15,000)$ ‐0.07%Move 2/3 of PW Utilities to Water and Sewer (43,000)$ ‐0.21%Public Safety Aid (716,350)$ ‐3.47%Toughbook Computers and Watchguard 188,000$ 0.91%Hire Additional Police Officer not in FMP 102,800$ 0.50%Hire FF/Paramedic(1) 4/1 (24,750)$ ‐0.12%Hire FF/Paramedic(2) 4/1 74,250$ 0.36%Hire FF/Paramedic(3) 4/1 74,250$ 0.36%Fire Aid to City (213,000)$ ‐1.03%Fire Staffing Plan 100,000$ 0.48%2024 Proposed General Fund Operating Levy 18,472,510$ 8.05%
Add a footer31Items removed from 2024 BudgetBA‐Siren 39,500$ 0.19%BA‐CSO Hours 110,000$ 0.53%BA‐Deputy Chief (Fund with PS $'s if grant obtained for SCBA's) 149,300$ 0.72%BA Car Inserts for Fire Admin Squads 12,000$ 0.06%BA Water rescue equipment 11,000$ 0.05%BA‐Heated sidewalk at CFS 96,400$ 0.47%BA‐Fitness equipment at CFS 26,000$ 0.13%BA‐300 Additional Tons of Salt 28,465$ 0.14%BA Copier and folding machine increased costs 5,800$ 0.03%BA Parks travel and training expenses 6,700$ 0.03%BA‐SCBA's 446,050$ 2.16%Total of Items Removed 931,215$ 4.51%
General FundTrends (in Thousands)•Levy proposed for 2023 at 13.09% increase•Building permit revenues estimated at 2022 levels and development fees based on expected housing plats and public construction projects•Revenues for providing to building inspection service to other communities removed from budget.•All other revenues static0500010000150002000025000300002020 2021 2022 2023 2024 2025Chart TitleRevenuesExpenses32
Internal Service FundsCash Balance History•Staged approach to funding•Begin funding current year operations in the 2023 IT Budget.•Analyze Fleet Fund for 100% cost recovery.•Fund current year operations in 2024 Insurance Budget•Fund current cash deficits in the funds when there are surpluses in other funds.1,351,582 (357,145)(274,440) (1,000,000) (500,000) ‐ 500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,0002011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024Chart TitleInsuranceITFleet33
Add a footer34Debt Levies861,350 ‐ 1,000,000 2,000,000 3,000,000 4,000,000 5,000,000 6,000,0002021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040Exisiting Debt2023 Debt2024 Debt
Public SafetyHERO Center, Police, Fire, EMS
Public SafetyHERO Center2023 Accomplishments•Renewed contracts with Tier I and Tier II agencies: Rasmussen University, Washington County S.O., & Oakdale PD•Two federal agencies agreed to exercise additional funding for 2023‐2024•Added a full‐time facility operations specialist position to assist with keeping up with the demand on facility maintenance, equipment and repairs at HERO2024 Goals•Add additional civilian courses for the public users•Build up our public safety course offerings•Increase our non‐partner agency users•Work to add an additional Tier II contracted agency user by 2024‐2025 timeframe36
HERO CenterTrends •Continue the possible deficit funding between the two cities based on sworn officers. CG would cover with GF Fund Balance.•Receiving approximately $35,800 from Woodbury for Administrative Fees. Started collecting during the 2023 budget period.•Contribution Amount ‐75%0200000400000600000800000100000012000002021 2022 2023 2024 2025Chart TitleRevenuesExpensesPartner ContributionAdd a footer37
Public SafetyPolice & Animal Control2023 Accomplishments•Implementation of Peer Support Group•Transitioned to advanced sighting system for improved accuracy of handguns•Additional K9 Officer trained•Outfitted squad cars with AEDs through grant proceeds•Joined fence consortium•Case Management Unit (CMU) ‐mental health, domestic violence, threat management2024 Goals•Recruitment and retention of police officers, emphasizing additional CSO hours•Succession planning and command structure•Continue regular technology schedules (toughbooks, body‐worn cameras, UAVs, computer forensics)•Explore neighborhood crime prevention strategies (Ring doorbell, automatic license plate readers)•Employee wellness initiatives and resiliency•Maintain squad replacement schedule with inflation challenges•Security fence38
Squads and Administration Cars in 2024 and 2025Add a footer39Public Safety2023 Ford Police Interceptor Utility* $45,000.00Graphics Package $982.00Equipment/Setup from Guardian Fleet Safety $16,926.83Motorola M500 Camera System $7,100.00Panasonic Toughbook 55 $2,947.00Gamber Johnson Computer Dock $635.00Power Supply for Computer Dock $144.00Brother PJ763 Thermal Printer $410.00Motorola APX6500 Radio $6,251.36Stalker DSR2X Radar System $3,250.00Squad Rifle $3,100.00Less Lethal Weapon System $1,200.00Additional Squad Supplies $2,000.00Total: $89,946.19
Squad Year Purchased Mileage Replacement Year AmountPolice – Squad 1660 2016 112,363 2024 $50,000.00Police – Squad 1247 2012 87,405 2024 $50,000.00Fire – Squad 1360 2014 129,272 2024 $69,350.00Police – Squad 1662 2016 84,029 2025 $50,000.00Police – Squad 1839 2014 74,679 2025 $50,000.00Fire – Squad 3117 2015 35,390 2025 $69,350.00Squads and Administration Cars in 2024 and 2025Add a footer40Public Safety
Public SafetyEmergency Management2023 Accomplishments•Replaced outdoor warning siren at 100th/Hadley•Camera trailer purchased with UASI grant proceeds•Lead our Emergency Management Planning Team through a Threat and Hazard Identification and Risk Assessment (THIRA) process that will help our city develop mitigation strategies and needed capabilities2024 Goals•Add outdoor warning siren in the 9500 block of Military Road to cover gaps‐BA Cut•Emergency Management tabletop exercise•Continue the mission of the Emergency Management Division: Keeping Cottage Grove Ready41
Public Safety ‐PoliceGeneral fund divisions2021 Actual 2022 Actual 2023 Adopted 2024 Proposed 2025 ProposedPolice $8,169,854 $8,600,416 $9,073,300 $9,766,945 $10,029,720Animal Control $23,886 $25,790 $29,340 $30,710 $31,760Emergency Management$87,341 $115,658 $98,580 $75,060 $119,060Add a footer42
Public SafetyForfeiture and Opioid Funds2023 Accomplishments•Purchased admin vehicle out of criminal forfeiture funds in 2022 ($31,900)•Using DUI forfeiture funds to purchase $25,000 worth of radios and $50,000 worth of in‐car and body‐worn camera systems for squads in 2023•Purchase interior drone2024 Goals•Upgrade and replace robotics•Computer forensic software upgrades and training43
Public SafetyFire Model44
COTTAGE GROVE PUBLIC SAFETYFire Staffing PlanCity Council Budget WorkshopJuly 12, 2023
COTTAGE GROVE PUBLIC SAFETYAccomplishments –GrowthWe have had the ability to provide quality services because of a significant investments in the fire department over the last five to ten years.•Transition from Police‐Paramedic to Fire‐based Paramedic model•New Central Fire Station•Aerial Ladder Truck•Duty Crews•24/7 shift staffing•Increased Training and uniform/PPE budgets•Supporting East Metro Live Fire Training Facility membership•Funding for EMS innovation (ultrasound, technology upgrades)•Consistent engagement and attendance at Fire Department events•Full‐time Fire Marshal (increase from part‐time)•Deputy Fire Chief (EMS emphasis)
COTTAGE GROVE PUBLIC SAFETYFire Staffing Plan Process•City Council directed Department of Public Safety to conduct a staffing study•Study was for “front‐line” staffing•Ethical Leaders in Action facilitated Staffing Study•Staffing study started with June 2022 with formation of staffing committeeStaffing Group:•Tony Khambata ‐City Councilperson•Peter Koerner –Director of Public Safety•Rick Redenius –Fire Chief•Jon Pritchard – Deputy Fire Chief•Nick Arrigoni –Fire Captain/Paramedic (Full‐time)•Peter Fischer –Fire Captain/Paramedic (Full‐time)•Mike McCoy – Firefighter/EMT (Part‐time)•Kiel Kwiatkowski – Firefighter/Paramedic (Part‐time)
COTTAGE GROVE PUBLIC SAFETYScope of Staffing Plan•Fully recognize staffing needs are evaluated within other department and city‐wide needs but beyond scope of this presentation•Scope of this presentation is “front‐line,” shift‐based staff•Delivery of emergency response: fire, EMS and rescue•Accomplish community risk reduction •Community engagement•Shift‐based training•Team‐member wellness (fitness opportunities, burn‐out, PTSD)•Does not address equipment•Does not address leadership or non‐shift support needs•Previous organization study from Ethical Leaders in Action correctly identified Leadership/Management needs
COTTAGE GROVE PUBLIC SAFETYAssumptions•Service Excellence•Professional services with holistic mission focused on genuine community engagement•Continued community growth•Continue commercial and industrial growth•Residential increase with focus on housing diversity (multi‐family dwellings)•Recreation destination•No longer a “hidden gem” –We are a large, busy and growing metropolitan suburb•One of the largest suburbs in the nation’s 16thlargest metropolitan area •We can elude local, state and national trends and maintain a large part‐time workforce•All staffing recommendations in this study are based on Cottage Grove population only•Newport and St. Paul Park EMS needs are not considered •Considered a “high utilization” mutual aid to help insulate department planning in‐case Newport/St. Paul Park EMS is lost•Assumption‐EMS billing will not remain as stable in the long term •Unpredictable, not has high recapture (aging population) •They are in our PSA
COTTAGE GROVE PUBLIC SAFETYPrimary Service Area (PSA)•State awards agencies where they provide EMS•Currently, it is difficult to make any changes to a PSA•Agency is obligated to provide appropriate coverage•Attempts to change a PSA may affect the whole PSA•Cottage Grove’s PSA includes Newport, St. Paul Park and Grey Cloud Township
COTTAGE GROVE PUBLIC SAFETYCurrent SituationSummary of Current Staffing SituationFront‐line emergency response personnel are deployed on three, 24‐hour shifts (A, B and C shift). Each shift consists of:One full‐time fire captain, Three full‐time firefighter paramedics, Two 24‐hour positions filled by multiple part‐time firefighter/EMTs, and One 12‐hour position filled by multiple part‐time firefighter/EMTs.Each “on‐shift” full‐time position requires three people to cover all three shifts (one on each shift.) Each 24 hours of part‐time coverage requires seven personnel, due to work hour limitations required to maintain part‐time status (36 hours per month). In addition, firefighters are actually available somewhat less than 24 hours on each shift due to work time reduction under the Fair Labor Standards Act (FSLA).
COTTAGE GROVE PUBLIC SAFETYDemand for Service is IncreasingWhile full‐time staffing has been static, demand has increased markedly. Between 2017 and 2022, the department has seen a 47 percent increase in call volume, and a 31 percent increase in Fire/EMS utilization per 1000 residents. This growth has been in both EMS and fire/rescue calls for service. The following graphs depict the growth in call volume:3070322134423326413545182000250030003500400045005000year 2017 year 2018 year 2019 year 2020 year 2021 year 2022Total Fire Department Calls for Service, 2017‐202245184771503853205618593330003500400045005000550060006500FY 2022 FY 2023 FY 2024 FY 2025 FY 2026 FY 2027Projected Fire/EMS Call Volume, 2023‐2027
COTTAGE GROVE PUBLIC SAFETYCall Volume Factors•Population growth is leading factor in Cottage Grove•12.3 percent 2010 to 2020•Estimated 5.7 percent 2020 to 2022•Fire and EMS utilization•Aging population (CG and United States)•Cottage Grove 2010 (over 65) = 8.3 percent (2871 seniors)•Cottage Grove 2020 = 11.8 percent (4583 seniors)•Higher utilization per 1000 people (national trend)•Aging infrastructure •Housing choice and options are great for community but typically lead to higher community needs•Higher density = positioning community for growth•Higher density = more calls for service
COTTAGE GROVE PUBLIC SAFETYStaffing –Level of Service •Delivery of Emergency Response –Fire, EMS, Rescue •Establish Benchmarks•Response times•Mutual Aid•Unavailable Time•Community Risk Reduction•Life Safety Inspections•Community Engagement•Events•EMS Initiatives (CPR, HeartSafe Community)•Training•Shift‐based training•External Training•Team‐member wellness (fitness opportunities, work life balance, PTSD
COTTAGE GROVE PUBLIC SAFETYPart‐Time StaffingIncreasingly Difficult Due to Recruitment and Retention ChallengesWhile Cottage Grove remains committed to recruiting and retaining part‐time firefighters and to maintaining a true combination department, the City is not immune from national and local trends toward fewer qualified candidates and more turnover of current part‐time employees. Many local communities have markedly reduced or eliminated their part‐time firefighter programs over the past 10 years, including Brooklyn Park, Eagan, Edina, Maplewood, Oakdale, Plymouth, Prior Lake, Roseville, White Bear Lake, and Woodbury.
COTTAGE GROVE PUBLIC SAFETYPart‐Time StaffingIncreasingly Difficult Due to Recruitment and Retention ChallengesThe timeline demonstrates the many departments in the Twin Cities metro that have had to make significant changes in their staffing model. In 2014, the University of Minnesota in partnership with the Minnesota State Fire Chief Association published a report called “Empty Boots, Quiet Sirens: The State of Non‐Career Firefighting in Minnesota” which forecasted many of the same problems witnessed by the CGFD and despite addressing many of the issues identified as drivers in the report, departments have not been able to achieve recruitment and retention goals. The CGFD is not alone in this problem.
COTTAGE GROVE PUBLIC SAFETYPopulation Level at Change*Fire‐based EMS ambulance#Includes service area populationMajor changes in Twin Cities Metro Fire Department Staffing2016‐2023
COTTAGE GROVE PUBLIC SAFETYPart‐Time Firefighter Departure (“Turnover”) RatesThe recruitment and retention efforts require a delicate balance between hiring capable firefighters to provide quality services to the community while creating requirements that are manageable for most part‐time staff. As demonstrated above, the department has sacrificed many requirements that may improve quality of response (e.g. training requirements, call‐back requirements) to improve recruitment and retention. Despite these adjustments that may sacrifice quality of response, the department has witnessed continued difficulty in recruitment and retention. This is metro, state and national problem that continues to plague the fire service despite departments and CGD’s best efforts. The following recent historical data illustrates the challenge: Part‐Time Firefighter Departure (“Turnover”) RatesYear Started YearEnd YearTurnover percentage Resigned/term Added End of year roster201750 40 20% 11 10 49201849 39 20.4% 10 7 46201946 35 23.9% 11 8 43202043 39 9.3% 4 7 46202146 31 32.6% 15 0 31202231 23 25.8% 8 6 28*Average 21.2%*One of the added firefighters in 2022 resigned within three months of start
COTTAGE GROVE PUBLIC SAFETYRecruitment and Retention –What have we done?CGFD has taken many steps to stimulate recruiting and retention of part‐time firefighters, including:•Wage increase of over 20% over three years, and inclusion of part‐time firefighters in City cost of living adjustments (COLA)•Parallel increase in retirement benefits for part‐time firefighters, current and planned•Reduction in the required monthly shifts to 36 hours (3 shifts) per month•Reduction in the requirement for off‐shift training to a minimum of four training sessions per year
COTTAGE GROVE PUBLIC SAFETYRecruitment and Retention – Challenges?A review of the last five years of hours worked shows that even with an increase in demand, part‐time staff have left shifts unfilled.Year Hours Worked2018 26,335.352019 28,171.152020 24,627.202021 23,627.202022 20,266.32We have 15 hours uncovered per day which drives up overtime or leaves shifts unfilled reducing our opportunity to provide services.We have a group of part‐time staff that meet the maximum hours of 120 hours per month to fill gaps.
COTTAGE GROVE PUBLIC SAFETYDissolution –Part‐Time Firefighter SurveyOn June 5, 2023, we met with a majority of the part‐time firefighters. We stressed to them that we are committed to the part‐time firefighters (combination model), and they are a critical component to our delivery model and staffing.During the staffing plan journey, we identified the need for clear expectations and the need to evaluate the current commitment requirements.What are the needed hours for staffingMinimum hours/response distance/call backsTraining commitmentsSupervision opportunitiesEquipment and gearWork life balancePositive Culture
COTTAGE GROVE PUBLIC SAFETYDissolution –Part‐Time Firefighter SurveyAfter discussing options, the members were given a survey. The first question was are you supportive of the dissolution and payout offer? Nineteen (19) members voted “yes”, and six (6) members voted “no”. Members were also asked to “rank the following in order of importance to you with 1 being most important and 8 being least important.” The following is the ranking:1. Higher hourly pay2. Experience pay (higher hourly rate for every 5 years of service)3. Bonus pay for every quarter in good standing4. Emergency shift‐pick‐up bonus5. Reduced hourly requirement/no all‐call quota6. A part‐time to full‐time opportunity training system7. Contributions to employee benefits8. Professional development and training opportunities(* Options 3, 4, 5, and 6 are all within 0.67 points average ranking) Top 3 Items are using one‐time Public Safety Funds.
COTTAGE GROVE PUBLIC SAFETYDissolution – Financial ImplicationsThe current SVF fund is held at the State and not the City, meaning there are no financial implications when the funds are dispersed by the State. The dissolution would allow the City to utilize the State Fire Aid (often referred to as 2% funding) currently in the amount of $266,000.00. These funds can be used for both part‐time and full‐time staffing.$100K from PS AwardRegardless of their age, the Cottage Grove members eligible to receive a benefit will have the option to roll it over to another tax‐qualified account (a traditional IRA is a great example), to receive a direct payout, or to split the benefit between a rollover and direct payout. The members will make their rollover/direct payout elections on the benefit application forms that PERA will provide.
COTTAGE GROVE PUBLIC SAFETYDissolution –Hire BackMembers would be hired back as part‐time employees with the PERA coordinated benefit starting at the hired back time (not retro to original hire date)Seniority will still be based on original hire date with the departmentComplete an applicationSince they are in good standing, there would be no probation period, psychological or physical (members currently participate in a yearly physical)Updated job description with requirements clearly explained (members are only allowed a maximum of 120 hours per month, otherwise benefits would need to be offered)
COTTAGE GROVE PUBLIC SAFETYMoving Forward –How will we recruit and retainExploring a more robust part‐time recruitment and retention system. Two parts:Recruitment•Kick off during Fire Prevention Week•Recruitment Video•Recruitment Flyer•College and High School Visits•Advertise through different fire associations•Word of mouth (recruitment bonus)•Streamline Process•Application On‐Line•On‐Boarding and Field TrainingExpectations and requirements•Host fire certification training•Higher hourly wage•Experience Pay•Bonus Pay for Good Standing•Hourly Requirements•Explore call‐back quota•Review response distance•Community Engagement•Leadership opportunities
COTTAGE GROVE PUBLIC SAFETYCrew Staffing ‐OverviewTo achieve optimal shift staffing and deliver service excellence, we plan to use a combination of full‐time and part‐time members.Current Goal: 2 ALS ambulances 24/7Revised Goal: 2 ALS ambulances and 1 ALS Fire EngineIncrease coverage (number of ambulances) as population increases while maintaining fire coverage
COTTAGE GROVE PUBLIC SAFETYWhat does 3 full‐time firefighters bring?•Stability (More reliable shift coverage)•Reduction of overtime•Time off requests•Training opportunities•Increase coverage (Higher percentage of 2 ALS and 1 ALS Fire Engine)•Not at minimums•Opportunity Public events on‐shift•Opportunity for life safety inspections•Complete on‐shift training
COTTAGE GROVE PUBLIC SAFETYPhase I – Stabilization – Financial Implication•To implement this plan (FT and PT staffing) on 4/1/2024 will require approximately $234,000 (General Fund) in additional funds. In 2023, the City will receive $266,000 in Fire Relief Aid. If these Fire Relief Aid funds are available to the City at a future time, this could be used to fund these personnel costs. 2025 will require an additional $115,500 in funding ($86,600 General Fund and $28,900 EMS Fund).•The Financial Management Plan included adding one Firefighter/Paramedic each year from 2024 through 2026. The one‐time Public Safety Aid will allow the City to add all three Firefighter/Paramedics in 2024.
COTTAGE GROVE PUBLIC SAFETYMoving Forward•Continue FTE increases to match community growth to maintain level of service identified•Continue evaluation of services and staffing based on statistical analysis, community input and conforming to best practice, industry standards and well‐established research•Continue to evaluate community needs and adjust fire department priorities, service, and staffing •Evaluate generating revenue opportunities and ability •Explore grant opportunities•Evaluate effectiveness of part‐time firefighter recruitment and retention
Public SafetyFire2023 Accomplishments•Joined East Metro Training Facility•Established Fire/EMS staffing plan•Significant progress towards Heart Safe Community Designation•Upgraded fire radios2024 Goals•Firefighter wellness checks/Peer Support Group•Update fleet replacement plan for ambulances and fire apparatus based on best practice, NFPA and industry standards•Provide annual life safety inspections•Develop special rescue operations capacity (water, low‐angle)‐BA Cut looking for grant•Additional personnel, including Firefighter/Paramedic & Deputy Fire Chief (hold until 2025)•Research grant opportunities to replace SCBAs‐Hold until 2025•Upgrade fitness equipment at CFS‐BA Cut70
Public Safety ‐FireGeneral fund divisions2021 Actual 2022 Actual 2023 Adopted 2024 Proposed 2025 ProposedFire Protection $1,501,433 $1,719,684 $1,669,220 $1,931,190 $2,007,420Add a footer71
Public SafetyEMS2023 Accomplishments•Implemented Community Paramedic Program•Awards for EMS excellence•Transitioned to new EMS billing company2024 Goals•Expand Community Paramedic Program•Evaluate role in opioid overdose response and prevention•New ambulance (ordered 2022)•Replace cardiac monitors, AEDs & ventilators (lease option)72
EMSTrends (in Thousands)•2024 includes ambulance purchase of $305,000 that was approved in 2022050000010000001500000200000025000003000000350000040000002021 2022 2023 2024 2025Chart TitleRevenuesExpensesAdd a footer73
Discussion & Direction to Staff
ITEMS FOR DISCUSSION•Cash •Pavement Management 75
2023‐2024 Budget Communications Plan