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City of Northfield MN
File #: 24-358    Version: 1 Name:
Type: Information/Discussion Item Status: Agenda Ready
File created: 5/9/2024 In control: City Council
On agenda: 6/4/2024 Final action:
Title: Review the proposed 2025 Northfield Area Fire & Rescue Service Budget and Capital Equipment Plan and Related City of Northfield of Fire Department 2025 Contribution.
Indexes: 2025 Budget
Attachments: 1. 1 - 2025 NAFRS Draft - Member contributions breakdowns Ops & CapX - Rev May, 2. 2 - NAFRS 2024 April close vs budget plus 2025 prelim, 3. 3 - 2025-2034 CEP_DRAFT TMN Revisions with 8125 Contract amt, 4. 4 - NAFRS budget trend (2016-2025), 5. 5 - ADDED 6/4 - NAFRS Northfield Council 2025 Budget presentation
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City Council Meeting Date: June 4, 2024

                                                                

To:                        Mayor & City Council

 

From:   Ben Martig, City Administrator

 

Subject: 

TITLE

Review the proposed 2025 Northfield Area Fire & Rescue Service Budget and Capital Equipment Plan and Related City of Northfield of Fire Department 2025 Contribution.

BODY

Action Requested:                     

The Northfield City Council receives a presentation on the 2025 budget request from the Northfield Area Fire and Rescue Service (NAFRS) with the proposed budget expenditures of $1,809,779 of which Northfield’s financial contribution is $1,320,957.82. 

 

*In addition, Northfield will pay $55,000 in two installments for a private hydrant program.  This is separate from the total NAFRS budget.  With the private hydrant program included, Northfield will pay $1,375,975.82.

 

Summary Report:

The City Council will review the budget request from NAFRS related to the 2025 Budget and Capital Equipment Plan.  The final contribution percentages for Northfield, Dundas, and the Rural Fire District have now been determined and are noted below and attached (attachment 1).  A more detailed 2025 budget breakdown (attachment 2) and the 2025-2034 Capital Equipment Plan (attachment 3) are included.  Northfield’s percentage stayed at 72.99% in 2025.  The NAFRS board approved the final 2024 Budget and Capital Equipment Plan at their meeting on May 16, 2023. 

 

Financial Impacts:                     

2025 NAFRS Operating Budget = $1,277,804

2025 NAFRS Capital Equipment Budget = $531,975

2025 NAFRS Total Preliminary Operating & Capital Equipment Budget = $1,809,779

2025 Northfield Operating Budget Contribution = $932,669 (72.99%)

2025 Northfield Capital Equipment Budget Contribution = $388,289 (72.99%)

2025 Northfield Private Hydrant Program = $55,000 *separate from total NAFRS budget

2025 Northfield Total Operating, Capital, and Hydrant Program Contribution = $1,375,957.82

2025 Rural Fire Protection District Contribution = $374,443.31 (20.69%)

2025 Dundas Fire Protection Contribution = $114,378.04 (6.32%)

 

Previous Years NAFRS Budget (2016-2024):

 

2024 NAFRS Operating Budget = $1,195,000

2024 NAFRS Operating Budget Net Other Revenue = $1,173,000

2024 NAFRS Capital Equipment Budget = $505,000

2024 NAFRS Total Preliminary Operating & Capital Equipment Budget = $1,700,000

2024 NAFRS Total Preliminary Net Operating & Capital Equipment Budget = $1,678,000

2024 Northfield Operating Budget Contribution = $856,172.70 (72.99%)

2024 Northfield Capital Equipment Budget Contribution = $368,599.50 (72.99%)

2024 Northfield Total Operating and Capital Contribution = $1,224,772.20 (72.99%)

2024 Rural Fire Protection District Contribution = $351,730.00 (20.69%)

2024 Dundas Fire Protection Contribution = $106,049.60 (6.32%)  

 

2023 NAFRS Operating Budget = $1,220,000

2023 NAFRS Capital Equipment Budget = $0

2023 NAFRS Total Preliminary Operating & Capital Equipment Budget = $1,220,000

2023 Northfield Operating Budget Contribution = $881,487 (72.76%)

2023 Northfield Capital Equipment Budget Contribution = $0 (72.76%)

2023 Northfield Total Operating and Capital Contribution = $881,487 (72.76%)

* Note: the contribution rates are scheduled for an update this year. The demographer’s office

is scheduled for update in August and the city contributions will be adjusted to reflect the new

formula.

2023 Rural Fire Protection District Contribution 21.26% $257,565

2023 Dundas Fire Protection Contribution 5.98% $72,448

 

2022 NAFRS Operating Budget = $802,000

2022 NAFRS Capital Equipment Budget = $0

2022 NAFRS Total Preliminary Operating & Capital Equipment Budget = $802,000

2022 Northfield Operating Budget Contribution = $580,400 (72.55%)

2022 Northfield Capital Equipment Budget Contribution = $0 (72.55%)

2022 Northfield Total Operating and Capital Contribution = $580,400 (72.55%)

* Note: the contribution rates are scheduled for an update this year. The demographer’s office

is scheduled for update in August and the city contributions will be adjusted to reflect the new

formula.

 

2021 NAFRS Operating Budget = $799,000.00

2021 NAFRS Capital Equipment Budget = $380,000.00

2021 NAFRS Total Preliminary Operating & Capital Equipment Budget = $1,179,000.00

2021 Northfield Operating Budget Contribution = $579,674.50 (72.55%)

2021 Northfield Capital Equipment Budget Contribution = $275,690.00 (72.55%)

2021 Northfield Total Operating and Capital Contribution = $855,364.50 (72.55%)

2020 NAFRS Operating Budget = $836,748

* for purposes of calculating the party’s contribution using $834,748 as there is an additional

$2,000 in revenues from training fees (fire extinguisher training) offsetting from the total.

 

2020 NAFRS Capital Equipment Budget = $75,000

2020 NAFRS Total Operating & Capital Equipment Budget = $911,748

2020 Northfield Operating Budget Contribution = $605,609.67 (72.55%)

2020 Northfield Capital Equipment Budget Contribution = $54,412.50 (72.55%)

2020 Northfield Total Operating and Capital Contribution = $660,022.17 (72.55%)

 

2019 NAFRS Budget = $817,000 (includes small equipment budget $10,000)

Note: $529,000 with lease omitted for comparison purposes to 2018.

2019 Northfield Budget Contribution = $584,726.90 (71.57%)

Note: includes lease contribution.

 

2018 NAFRS Budget = $525,000

2018 Northfield Contribution = $375,742.50 (71.57%)

 

2017 NAFRS Budget $525,000.00

2017 Northfield Contribution = $378,945.00

 

2016 NAFRS Budget = $525,000

2016 Northfield Contribution = $379,155

 

Tentative Timelines:                     

ü                     May 9, 2024 - NAFRS Finance Committee approved 2025 Budget

ü                     May 16, 2024 - NAFRS Board approves 2025 Budget

ü                     June 4, 2024 - City Council receives work session presentation on 2025 Budget

                     June 18, 2024 - City Council approves 2025 Budget

                     September 30 - Note: The Joint Powers Agreement requires that the City of Northfield, as a governing body of the agreement, shall act to approve or disapprove the NAFRS budget submitted on or before September 30.