2026-08-25 WS City Council Agenda
Richfield City Council Agenda
August 25, 2026 -- 4:30 PM
Richfield Municipal Center
Bartholomew Conference Room
6700 Portland Avenue South
1. Call to Order
2. Item Discussion
a. Presentation of the 2026 Revised/2027 Proposed Budget and Tax Levy.
3. Adjournment
Auxiliary aids for individuals with disabilities are available upon request. Requests must be made at least 96 hours in advance to
the City Clerk at 612-861-9739.
Includes Materials - Materials relating to these agenda items can be found in the Council Chambers Agenda Packet book located by
the entrance. The complete Council Agenda Packet is available electronically on the City of Richfield website.
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City Council Meeting 8/25/2026
Agenda Section: Item Discussion
Agenda Item: 2.a.
Report Prepared By:
Steve McDaniel, Budget, Cash, and Debt Manager
Department Director:
Mary Bogie, Interim Finance Director
Item for Consideration:
Presentation of the 2026 Revised/2027 Proposed Budget and Tax Levy.
EXECUTIVE SUMMARY
At the August 12, 2026 City Council work session, staff provided the City Council with a
preview of the preliminary 2027 Budget summary and levy, proposed 2027 Capital
Improvement Budget (CIB) and 2028-2031 Capital Improvement Plan (CIP), proposed
utility rates, and a review of City fees.
The preliminary 2026 Revised and 2027 Proposed Budget and Tax Levy will be
presented to the City Council for review.
The proposed 2026 City tax levy is a 4.55% increase over the 2026 tax levy. The
budget includes a balanced General Fund budget and also includes Special Revenue
funds, Enterprise funds, Internal Service funds, Debt Service funds, and Capital
Improvement projects budgets.
The City Council will be asked to approve the preliminary 2026 Revised/2027 Proposed
budget and preliminary tax levy at the September 22, 2026 City Council meeting.
RECOMMENDED ACTION
HISTORICAL CONTEXT
Staff present the proposed budget and tax levy to the City Council at a special budget
work session prior to approval at a City Council meeting in September.
EQUITABLE OR STRATEGIC CONSIDERATIONS OR IMPACTS
The proposed budgets fund positions and projects that advance strategic priorities,
including equity. The budget message highlights examples of progress.
POLICIES (RESOLUTIONS, ORDINANCES, REGULATIONS, STATUTES, ETC.)
The preliminary 2026 Revised/2027 Proposed budget and preliminary tax levy will be
presented to the City Council at the September 22, 2026 City Council meeting for
approval.
CRITICAL TIMING ISSUES
The proposed 2027 City tax levy is a 4.55% increase over the 2026 adopted levy.
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The increase in the City’s General Fund budget for 2027 is 2.16% over the 2026
adopted budget.
FINANCIAL IMPACT
LEGAL CONSIDERATIONS
ALTERNATIVE RECOMMENDATION(S)
ATTACHMENTS
1. 2026-2027 Workplan Action Steps - R1
2. 2026 Department Highlights - R1
3. 2027 City of Richfield Budget Book for 8.25.26 - R1
4. 2027 Proposed Budget Presentation - R2
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Action step Priority/
Outcome
Process
Improve-
ment
Assigned to Year Scheduled Notes
Oversee Facility Assessment Needs Study and incorporate
projects into the 5-year CIB/CIP and 10-year Financial
Management Plan
3b Y Administrative Services - Building
Services/Public Works/ Recreation
2025-2027 Lead and assist in the implementation of the Wold's Facility Assessment Needs Study. Added projects, guided by the consultant's
priority criteria, to capital budgets and to the Financial Management Plan, with identified funding. Projects and funding will still
need to be studied and refined over time.
Improved process of Election Administration 1c Y Administrative Services - City Clerk 2027 Strengthen election records security, chain-of-custody procedures and emegency procedures.
Develop Data Request Process/Policy Y Administrative Services - City Clerk 2027 Establish a consistent citywide data-request workflow policy. Provide annual data practices training for departments and
employees who routinely handle data requests. Conduct quarterly audits of closed data requests and strengthen records
compliance. Improve public-facing information about requesting city data.
Implement Even Year Elections 1c Y Administrative Services - City Clerk 2027 (Final odd year school board election)Worked with ISD280 to transition to even year election cycles and realize cost savings by removing odd year elections.
Develop Data Management System - City Wide 1,3,4 Y Administrative Services - City Clerk Ongoing Update and standardize records retention procedures. Establish an annual records disposition process. Inventory of databases
and drives, which department is responsible for them, and applicable retention requirements. Develop a records-management
dashboard to track retention reviews, training completions, records destruction, and any complaint or compliance issues.
Implement CivicPlus agenda management system to improve
staff report workflow for public meetings.
1c Y Administrative Services - City Clerk/Executive Ongoing Continue to train Council and staff in 2027 on agenda software options. Develop a brand guide for consistency of staff reports.
Develop basic Crisis Communications Plan.1a, 1c, 4a Administrative Services - Communications 2027 Develop basic communications plan and train.
Develop Digital Accessibility Plan to meet Web Content
Accessibility Guidelines (WCAG) by April 2028.
1c, 5a Administrative Services - Communications 2026-2028 Deadlines were extended by 1 year in April 2026. City of Richfield must be in compliance by 4/26/2028. WCAG guidelines apply
to all digital spaces and content, including website content, social media channels, email communications and third-party apps
and vendors.
Launch a new external-facing website and internal-intranet.1c, 5a, 4a Y Administrative Services - Communications Completed Contracted with CivicPlus to build new website. Launched February 2026. Intranet will move to Sharepoint. Will relaunch web
team as part of this initiative.
Network Switch Replacement Program 1c & 3a Y Administrative Services - IT 2027 Begin the multi-year replacement of network switches, prioritizing equipment based on manufacturer end-of-support dates to
improve network reliability, security, and long-term infrastructure sustainability.
Cybersecurity Protection Improvements 1c Y Administrative Services - IT 2027 Modernize endpoint cybersecurity protection to strengthen threat prevention, detection, and response capabilities across City
workstations and systems.
Microsoft 365 Platform Expansion 1c Y Administrative Services - IT 2027 Expand utilization of Microsoft 365 and SharePoint to improve collaboration, document management, and departmental
business processes.
Computer Replacement Program 1c & 3a Y Administrative Services - IT 2027 Continue the four-year workstation replacement program by replacing scheduled desktop and laptop computers and improving
lifecycle tracking of City technology assets.
IT Policy & Cybersecurity Standards 1c Y Administrative Services - IT 2027 Complete and implement updated IT and Cybersecurity Policies to establish consistent technology and security standards,
responsibilities, and practices across the organization.
Cameras and Door Access 1c & 3a Y Administrative Services - IT/Building Services Ongoing - 2027 This project upgrades and expands physical security systems. Phase 1 (Fall 2025-Completed): Replace City Hall cameras and add
new cameras at Public Works, the Ice Arena, and Fire Station 2. Phase 2 (2026): Install new cameras and S2 door access at the
new WLNC building.
Develop ( Implement a "Key Holder" position for each
liquor store
4b Y Administrative Services - Liquor Operations 2026-2027 Work with H/R & Payroll to develop a "shift" pay plan for this "Intermittent" position. Implementation of this position will allow
for each store to schedule and function more effectively with very minimal financial impact. (Status: this has been approved, we
are in the process of implimentation)
Develop Capital Replacement Scehdule for Liquor
Operations-Buildings
3b Administrative Services - Liquor Operations 2026-2027 Review and implement a replacement schedule of common building maintenance items including estimated costs. Roof, HVAC,
Boiler, Cooler compressors, ETC… This will be in conjuction with Public Works. (WOLD STUDY Status: 2026: $7,500 for a new
cooler compressor at the Cedar Point Store, 2027: $660,095 for belowgrade water proofing and sidewalk replacement at
Richfield Liquor Downtown and Cedar Point locations)
Implement and utilize our "Point of Sale" time clock for all
hourly employees
4a Y Administrative Services - Liquor Operations 2026-2027 Create a user profile in the "POS" for all employees with a unique username and password. Train all hourly employees on how to
puch in and out using the "POS" to log their hours. Ultimately eliminating physical timecards. (Status: Employee ID badges have
been created and user profiles in our POS are in the implimentation stage.)
Point of Sale 1b, 1c Y Administrative Services - Deputy Registrar 2027 Research the cost of a new point of sale system to help wtih the record keeping and organization of the motor vehicle and
passport office
Passport Process 1c Y Administrative Services - Deputy Registrar 2027 Implement a "No Show" fee for passport appointment to ensure customers report to the the appointment to minimize lost
opportunities and/or revenues.
Customer Service Feedback Survey 4b Y Administrative Services - Deputy Registrar 2026-2027 Offer a customer service feedback survey to find out what customer's needs are and better communicate the value of our core
services to residents, elected officials and staff.
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Develop an "Apartment Navigator" program to expand
connections with apartment communities.
2c, 5a Community Development 2026 2026 work plan item, as staff capacity allows.
Award additional social service ARPA funds.2c, 5a Community Development 2026 Small amount of funding remains to be spent by Reach for Resources and the Hoarding Program. All funds to be spent by end of
2026.
Policy Request: Study source-of-income non-discrimination
policy & extended eviction notice policy
2c Community Development 2026-2027
Comprehensive Plan 2a-c; 3a,c; 5a Community Development 2026-2028 Required decennial update begins 2026. Consultant hired, engagement kick off to begin with Penn Fest 2026.
Policy Request: Study impacts of reduced 4d(1) tax classification
rate and recommend policy approach.
2b,c Community Development Completed Follow-up work (adjusting related policies) underway and to be completed by EOY.
Cross-training and process improvements to Inspections Division 4a,b Y Community Development Ongoing Hiring challenges continued. Fully-staffed as of July 2026. Inspections divisions (Housing & Commercial) combined under Building
Official to strengthen cross training and build pipeline for advancement.
Review process of bringing a development to
Council/residents.
1c Y Community Development Ongoing Foster a better understanding of "vested entitlements" granted in the zoning code. Provided LMC short-course to Council and
add'l appointed policymakers. Utilized Esri storymaps for MR-2/MR-3 code updates. Comp Plan engagement is opportunity for
community education around process.
Model the type of development and investment that
we want to see in the Community
2b, 2c,3c Community Development Ongoing-2026 Construction is underway on a duplex at 6326 14th. An RFP will be issued for 6808 14th later in 2026.
Three loans have closed at Woodlawn Terrace on new, larger units, using affordability gap grant funds from Metropolitan
Council. Anticipate spending the remainder of the grant by the end of 2026 on 1-2 additional units.
Update housing work plan 2c Community Development 2026 Housing Specialists are in the process of developing new rehab program(s) in response to gaps and opportunities identified in the
2025 housing evaluation. LAHA funds in the amount of $699,000 will be received in 2026 and will support the new rehab
program(s) and emergency rental assistance needs. The HRA received an award of Bring It Home Minnesota funding for rental
assistance and anticipates issuing the first vouchers in September 2026.
Create economic development plan within budget and staffing
constraints
2a,b Community Development 2026 and beyond The Richfield REVIVE Program was approved by the EDA in 2025. Launch delayed to address impacts of Operation Metro Surge
on business community through creation and launch of Richfield Small Business Resiliency Program, which provided $65,000 to
assist 10 businesses. Staff is preparing to roll out the REVIVE program. Other economic development activities include
implementing the Small Business SAC Assistance Program, the Energy Efficient Business Rebate Program, partnering with
Hennepin County on Elevate Hennepin, and providing business assistance information through the Richfield Business Bulletin and
one on one communications.
Develop plan to market HRA owned sites for
redevelopment
2b, c Community Development 2026 and beyond Development conditions continue to be very difficult. A marketing brochure has been developed for the site at 1600-1710 78th
St. Staff meets with and stategically sends site information to prospective developers of HRA -owned sites.
Develop a strategy for marketing downtown and
attracting new businesses.
2a, b Community Development Ongoing The EDA approved the Downtown Richfield Branding and Placemaking Playbook in February 2026, developed by CivicBrand. The
EDA received a $25,000 Business District Initiative grant from Hennepin County for banners and signage, which will be
supplemented by EDA funds to help promote the area, support local businesses, enhance downtown, and implement the
wayfinding plan and placemaking playbook.
Essential Services Study 1b Executive 2026 Complete the Essential Services Study with Rapp Consulting Group and present the final to City Council in September 2026. The
Study provides a structured review and classification of all municipal services, and recommendations to improve service quality,
cost effectiveness and alignment with priorities.
Update the City Charter 1a Executive 2026 Supported updates to the City Charter to bring petition requirements into compliance with state law.
Continue standardizing commission processes in a manual.
Provide training for commissioners and staff liasions.
1a & 5b Y Executive 2026-2027 Creating standard operating procedure for commission liaisons. Training for new and existing commissioners is offered yearly and
led by the City Attorney. Collecting demographic data on commission applicants and appointees. Sending a survey to current
commissioners in 2026 to guide future improvements in recruitment and retention.
Summarize progress on the 2023-2026 Strategic Plan with
updated dashboards and reports. Develop the 2028-2030
Strategic Plan in 2027.
1a Executive 2026-2027 2026 is the last year for the current Strategic Plan. In 2027, the Council-Director team will develop a new 3 year Strategic Plan
(2028-2030) that will be informed by the Financial Management Plan, the Parks Master Plan, and the Essential Services Study.
Continue detailing and standardizing processes and procedures
in the Executive Department.
1c Y Executive Ongoing Created standard operating procedure for internal process improvement including but not limited to, staff memorandums,
commission recruitment, and proclamations.
Partner with local legislators, state agencies and
regional partners to advance key city priorities.
1-5 Executive/All Departments Ongoing 2026 Legislature included $2M in the bonding bill for Nicollet Avenue and the city was able to secure $1.092M in
Community Project Federal funding for the Emergency Water System Interconnect project. Staff continues to
communicate the negative impacts of local cost shares for transportation projects, eliminating local group home
inspections, and 4d tax changes.
Review worker's comp self-insurance program and evaulate
contracting with LMCIT
1b & 1c Y Executive/Finance/HR 2025-2027 Exploring a transition to to the League of Minnesota Cities Insurance Trust (LMCIT) for worker's compensation insurance
coverage, currently self-insured.
Recruit and onboard new City Manager 1-5 Executive/Human Resources 2026-2027 Hired an exective recruitment firm, GMP Consultants, to guide recruitment and onboarding. New city manager to start Q1 2027.
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Develop and implement training programs for management staff 4a Executive/Human Resources 2025-2027 Exec staff coordinated the second year of a multi-city leadership training program, 28 staff participated in 2026. Directed a
consultant to design and provide a supervisor skills training program, 48 staff participated in the first session.
Target process review, improvement and documentation 1b, 3b, 4b Y Finance Ongoing Staff transition highlighted the need to review processes and develop standard operating procedures. Our focus will be strategic
financial management, best practice and internal control compliance. Targeted areas will include: allocations, internal
loans/leases, cash forecasting and management, chart of accounts use, implementing EFT vendor payment (EFT currenting in use
for invoices grater than $300,000, priority for 2027), and other areas as time allows.
Improve monthly/quarterly financial reporting 1b Y Finance Ongoing Budget/actual reports for operations and capital projects have not been timely (staff turnover/transition) and can be better
designed to meet the needs of decision makers. In addition to developing new reports, Finance will meet regularly with
departments to review. Reconcilaitions are up to date enabling more timely reporting going forward.
Optimal staffing to meet service demands. Support recruitment
and retention, maintain workforce capacity
1c, 4b Finance Ongoing Planning for new Finance Director hire 4th qtr 2026 and moving consultant to a project/mentoring role. Maintaining full staffing
in a tight labor market is key for Department to continue strides made in the last year.
Implement Tungsten for Accounts Payable 1c & 3a Y Finance/Administrative Services-IT 2026 Streamline data entry and routing of invoices, significant staff time savings and improved accuracy. Staggered roll-out with
Liquour and IT currently using. Goal is to have all departments on board by the end of 2026.
Develop and implement the Financial Management Plan, a 10-
year finacial planning tool
1b, 3b Y Finance/Executive 2025-2026 Contracted with Ehlers to develop the FMP, integrated into the 2026-2027 budget process and presented to council August 2026.
Develop a Workforce Sustainability Plan 1c, 4b, 5b Y Fire 2027 Develop a workforce sustainability plan focused on staffing models, succession planning, and strategies to manage long-term
absences, turnover, leave coverage and special projects. Critical due to current workforce challenges; ties directly to budget
impact and continuity of operations
Launch an Officer and Training Development Program 4a, 4b Y Fire 2027 Strengthen leadership capacity and improve operational consistency by creating standardized lesson plans, officer development
pathways, and accountability expectations across shifts. Thus, builds a sustainable and structured leadership pipeline and raises
performance standards for daily operations and future growth.
Strengthen Fire Prevention and Risk Reduction Initiatives 2c, 3a, 4a, 4b, 5a Y Fire 2026-2027 Strengthening fire prevention and community risk reduction reduces fire risk, injury, and property loss before emergencies occur.
Proactive inspections, consistent follow-up, and public education—especially with seniors, schools, and vulnerable groups
improve safety and reduce barriers. Using data to target high-risk properties and partnering with businesses and community
organizations enhances overall fire safety while supporting sustainable infrastructure, affordability, and equity.
Implement Data-Driven Decision Tools 1c, 2c Y Fire Ongoing Implement analysis of call data. staffing patterns, and workload distribution to guide operational and budget decisions. Supports
evidence-based budgeting, operational efficiency, and improved accountability.
Piloting Alternative Response Team with RPD and Edina
Police and Fire
1c, 4b Y Fire/Public Safety 2024-2027 Collaborated with Hennepin County, Richfield PD, Edina PD, and Edina Fire to develop a program that connects residents with
appropriate resources for their needs, including mental health support and to reduce the reliance on emergency room visits.
Ongoing evaluation in 2026-2027.
Employee Survey 1, 4 Human Resources 2026 The cycle has been every two years to survey staff on employee experience, satisfaction and solicit feedback. Depending on staff
capacity to complete this in 2026, this may go into 2027.
Organizational culture training 4 a,b Human Resources 2027 Continue the training for all staff (timelines depend on staff capacity).
Update our overall training offerings (safety, respectful
workplace, AWAIR etc.) including review and possible
implementation of the NeoGov Learn module.
4a Human Resources 2027 AWAIR training in MN referes to Workplace Accident and Injury Reduction (AWAIR) training, which is required under MN OSHA
regulations. In order to ease delivery of this and other important training offerings, HR will review implementation of the
NeoGov Learn software which is a centralized solution for departments to track training taken externally, access training from an
extensive training library and even record our own training.
Evaluating MN Paid Leave current vendor 4 Human Resources Evaluating in 2026 for 2027 Continue to evaluate how MN Paid Leave is administered.
Review and improve employee recruitment process including
development of a new hire checklist.
4 Y Human Resources 2026 Continue to evaluate our new hire process and implement the new hire checklist that HR developed.
Update Employee Handbook/Policies 1 Human Resources 2027 Our goal is to finalize a comprehensive update to the employee handbook in late 2026 with a goal of implementation in early
2027.
Update and create HR processes/policies that align with equity
and inclusion goals.
5b Y Human Resources-Equity 2026-2027 Worked with HR to refine hiring/onboarding processes, train employees for inclusive interview practices, be present during
interview processes cross-departmentally, and improve recruitment.
Maintain 1,700 hours of Community Oriented Policing
despite staff shortages.
1,3a-
c,4,5a/b
Public Safety 2023-2027 Expand our programming to reach the varied demographic populations within the city. Continually review what we are providing
with Bloomington Public Health and survey what the communities needs are for services and support. The opioid settlement
money will be planned and spent over the next 18 years.
Continue robust recruitment to fill vacancies due to tight labor
market and maintain diversity.
1a,4,5a-c Public Safety 2024-2026 Have maintained 20% female sworn staff. This percent is above the national average for law enforcement agencies. RPD is also
over 23% officers of color. Hired 5 officers in the last year and will have 3 officers starting in 2026 with goal to be at full
complement by fall 2026.
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Established an Officer Wellness Program addressing spiritual,
physical, and financial health to help officers with stress
management and resiliency. Program will also provide better
resources to cope after crticial
incidents.
1,4, 5 Public Safety 2024-2027 We have presented several wellness topics through our in-house department training in 2026. This will be an ongoing process as
we evaluate what is working through meeting with staff. Looking at a new firm to provide an in-house wellness program to come
out quarterly to meet with officers to do baseline testing. Policy 360 will be our new department policy platform will be
implemented in 2026, which is application based and will have health and wellness applications called MAGNUS ONE to be
implemented in 2027.
Enviromental health and Business licensing implemented and
are monitoring the short term retal program. New software
implementation coming soon
1,3,5 Public Safety 2024-2027 Staff are finalizing the new management software launch for the STR ordinance and continually updating other ordinances as they relate to
property maintenance and health issues in the community. Vacant home numbers continue to rise and GUDS are being addressed via ARPA
funding for abatement. STR monitoring software will be implemented in Quarter 1 2027.
Public Safety Aid Money to be used for the Public Safety Budget
on recruitment and retention.
1,3,4,5 Public Safety 2024-2030 City Manager, Public Safety and Fire met to draft criteria for future projects, including recruitment and retention. A plan was
developed in July of 2025 to spread the dollars and interest out to cover items in the public safety general fund that is in
compliance with the legislative requirements. This money for public safety will be evaluated each year to determine if the money
needs to be transferred into the public safety budget. Anticipating alot of attrition in the next several years through 2030.
Strengthen community partnerships through the JCPP and other
programs, including hosting outreach events.
1c ,3a, 4,
5a-c
Public Safety 2026-2027 Partnering with 30 civic organizations and hosting 21 community outreach events. Through our flagship programs, Home Alone,
Nite to Unite, Unity and the Community, and Heroes for Helpers, we are looking to create more diversity in our outreach by
teaming up with new community organizations. Added Drivers License for all training and completed 6 classes. Working on
additional programming for 2026 - 2027.
Emergency Management/Response for continued support of
COVID, addition training, preparation for man-made and natural
disaters. Outreach to underserved communities. We will be
looking at using the remainder of the ARPA money to replace an
existing Communications Van that is close to 30 yearsold and
needs replacement.
1,3,4,5a-c Public Safety 2025-2026 Awarded $150k in ARPA funding to achieve our goals of emergency planning over the next 3 years. Planning is taking place to
move this forward. We will be looking at using the money to replace an aging communications van. This will be completed in
2026.
Instituited 20 police statutory changes that were passed by the
Legislature and the POST Board on mandated policies.
Anticipate additional reforms will be put into
place in 2027
1,3,4,5 Public Safety 2025-2027 Worked internally to complete and process new reform measures through development, training, and education, and
implementation of equipment. Worked through and completed updated POST Board Mandates, working on other legislative
mandates for 2025. Anticipate further police reform changes during the 2027 legislative session.
Moved to Hyper-Reach community notification system. We are
able to send alerts out that will automactically go to social media
platforms.
1a- c,3,4,5a/b Y Public Safety Completed Hyper-Reach is new and will be implemented and tested. Have been FEMA certified to issue IPAWS notices to the community
that will be delivered to all devices. While we are certified to do IPAWS notices, the state of Minnesota will not allow
municipalities to issue the warnings, required to be done at the county level.
Added a Therapy Dog named "Ritchie" for the city with a
legislative grant.
1,3,4,5 Y Public Safety Completed Our Therapy dog was provided by a grant from the legislature and will be used throughout the city for employees. Training is
completed.
Support Services continues to evaluate properties and perform
complaint based/proactive inspections to ensure properties are
well maintained and in compliance with city code. Also regularly
reviewing and updating relevant code in Support Services.
1,3a-c,4,5 Public Safety Ongoing We worked with numerous properties and home owners concerning property maintenance violations. We have maintained a 95
percent compliance rate for the past 5 years. Significant progress has been made on code updates and new ordinances related
to adult-use cannabis. One cannabis registration remains open and staff are now focused on first year compliance for cannabis
and LPHE retailers. Work is ongoing on tobacco violations and kratom health concerns.
Inspect properties and provide reports on how to lower crime
through crime prevention of the property as in Crime Prevention
through Environmental Design, “CPTED”. Performing security
assessments for schools
and businesses.
1,3,4, 5a/c Public Safety Ongoing Based on the number of "Active Shooter" incidents occurring around the country, increased requests for onsite security
assessments. This is ongoing as we contiue to recieve requests from local schools and businesses. Working with schools and
businesses on safety protocols for critical incidents.
Complete various comprehensive plan updates.1c, 3a, 3b, 3c Public Works 2026-2027 Department will be updating the Water Supply Plan, Sanitary Sewer Comprehensive Plan, Surface Water Management Plan and
Bicycle Master Plan. As well as working closely with CD on development of the Transportation Chapter of the Comprehensive
Plan.
Successfully complete the city-wide water meter
replacement program by the end of 2023.
3a Public Works Completed Meter replacement project complete as of spring 2026.
Traffic Calming Policy 5c Public Works 2027 Explore a traffic calming policy/program for the city. This will involve the Transportation Commission and City Council direction,
as well as a funding source if a program is utimately developed and moves forward into implementation.
New Public Works storage facility.1c, 3a Public Works 2025-2027 DELAYED due to supply chain. Design engineering is underway and the City intends to let the project in late summer 2026 with
site construction starting in the Fall and substantial completion by Spring of 2027.
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Update Inflow/Infiltration (I&I) ordinances in accordance with
the Sanitary Sewer Comprehensive Plan and adopt and
implement a Fats, Oils, and Grease
(FOG) ordinance
3a Public Works 2025-2027 Richfield utilities leadership actively participated in MCES’s task force for the development of policies and programs relating to
FOG in 2024. With the change in regulations and requirements for our annual lead copper sampling for 2025, among many other
things, staff has not yet found the time to make substantial progress on updating these ordinances. The revised completion
target for this effort is 2026.
Construct the Emergency Water System Interconnect 3a, 3b Public Works 2027 Construct an emergency water interconnect system between the City of Minneapolis and Richfield.
Collaborate with state and county officials to examine the
equitability of regional cost share policies
2c, 3b Public Works 2027 A revised cost share policy was adopted by MnDOT in 2026 and includes "ability to pay" language that aims to cap local costs on
state projects. Hennepin County is currently undergoing a cost share policy review with input from cities. That effort is scheduled
to be completed in Q1 2027.
Nicollet Avenue Reconstruction 3a, 3b, 5a, 5c Public Works 2026 - 2027 Cooperative Construction Agreement with Hennepin County to deliver new streetscape and underground utilities.
69th Street Reconstruction 3a, 3b, 5a, 5c Public Works 2026 - 2028 Currently in the public engagement phase of project development, will determine the future streetscape in 2027 and move into
the design phase for 2028 construction.
Penn Avenue Reconstruction 3a, 3b, 5a, 5c Public Works 2026 - 2029 Currently approaching preliminary design selection and will move into the design phase for 2028-2029 construction.
Continue to address inequities and reinvest in the public right-of-
way by utilizing the Public Works Public Engagement Process and
Guiding Principles when designing reconstruction and
improvements.
3a, 5c Public Works Ongoing Public works is underway with various public engagment efforts in summer 2026 with the aim of designing and building projects
that best serve all of Richfield's residents and right-of-way users. Current projects include, but are not limited to: Nicollet Ave (in-
construction); Penn Avenue (in Public Engagement); 69th Street (in Public Engagement); various sidewalk improvement projects.
Inventory and condition assessment of goverment buildings,
park assets, utility infrastructure, fleet, & roadway elements
1c, 3a, 3b Public Works/Administrative
Services/Recreation Services
Ongoing Inventories and condition assessments are being completed for many city assets including; park assets, government buildings,
infrastructure elements and underground utililites. Recreation is underway with Ice Arena and Pool inventory and assessment
with internal staff. A necessary GIS software update is complete and Public Works is in the process of hiring an Asset
Management/GIS Technician FTE which will help us tie all this together into an asset management system.
Parks Master Plan & 10 year CIP 1b, 3a, b, c, 5a y Recreation Services 2025 - 2028 Complete community Engagement in 2026; finalize Park plans and 10-year CIP in 2027. Incorporate into the 2028 CIB/CIP
process.
Explore additional recreation funding sources 1b, 3a,b Recreation Services 2026 - 2029 Apply for Hennepin County Youth sports grant; identify other funding sources to implement the Parks Master Plan.
Update and adjust program offerings 1b,c, 4b, 5a Y Recreation Services 2027 - 2030 Shift programming based on findings from the Parks Master Plan.
Nature Center Construction 1b, 3a,b,
5a,c
Recreation Services 2023-2026 Funding has been secured; construction commenced in September 2025. The budget will need to be managed through the end of
the project in Fall 2026. Substantial completion is expected in October 2026, with a Grand Opening in November 2026.
Develop and implement operational plan for rentals and
programming at new Wood Lake Nature Center Building
1c, 3b, 4a,b 5a,b y Recreation Services 2026 - 2029 A new Event Coordinator (split with Ice Arena/Pool) will be hired in fall 2026. Processes for event space rental and catering
procedures will need to be developed. A new scalable staffing structure for educational programming needs to be developed and
implemented to maximize utilization of the new space. Processes around maintenance and daily facility operations will need to
be developed and refined.
Veterans Park Construction 3a,b,Recreation Services 2023 - 2028 Funding has been secured through the Local Options Sales Tax, State DNR Outdoor Recreation Grant, and liquor store profits to
improve the Pool, Ice Arena, and general Park amenities. The Pool portion of the project will be completed in late 2026. The Ice
Arena improvements will be completed in early 2027. Park improvements will take place in 2027, including trails, pavilion, and
other general park improvements.
Develop and implement operationsal plan for Ice Arena/Pool
birthday party rentals, integrate new Event Coordinator into
current processes.
1b,c, 3b, 4a,b Y Recreation Services 2026 - 2028 Updating procedures for the new Ice Arena lobby space. A new Event Coordinator will be hired (split with Wood Lake) in the fall
of 2026. Processes for birthday rentals at the Ice Arena and Pool will need to be developed.
Community Center Project 1c, 3a,b,c, 4a, 5a 2026 - 2031 In 2026, as part of the Master Plan process, a statistically valid survey will be conducted on the desired amenities for a new
Community Center, and an operational analysis will be completed for the new community center. An RFP will go out for
architectural work on the new community Center in late 2027, with construction anticipated to start in 2030.
Natrual Resources Enhancements 1b,c, 3c, 4a,b y Recreation Services 2025 - 2030 The Natural Resources Plan will be completed in fall 2026. A new Natural Resources Coordinator will be hired in January 2027
and begin building capacity to implement the plan through partnerships, developing a volunteer corps, and securing grant
funding. They will also start developing policies related to natural resources work.
Organized Hauling Contract 1c, 2c, 5a y Recreation Services 2026 - 2028 Resident engagement on organized hauling will begin in late 2026. An RFP will be developed in 2027, and a new contract will be
finalized by October 2028.
Conduct an electric vehicle sutability/assessment, and
continue evaluating fleet for EV/PHEV replacement
opportunities.
3a,b,c Y Recreation Services 2025-2027 Council prioritized CAP goal - Initial vehicle assessment completed in 2025; fleet evaluation and assessment of leasing will occur
in 2027
Increase Climate Action Plan Education with community and city
staff
3c, 5c Y Recreation Services Ongoing Includes informal and formal opportunities. WLNC classes, Farmer's Market tabling, Eco-fair, work with Sustainbility Commission,
outreach regarding CAP, etc. Sub branding completed, initial communication has begun.
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2026 Department Highlights
Administrative Services
City Clerk
• Continued to develop and enhance the data management system city-wide.
• Reviewed retention schedule by department and developed a quarterly process
for destruction of expired retained documents.
• Along with the Hennepin County Elections Department, administered a
successful election process for two elections: Primary Election and General
Election.
Deputy Registrar
• Researched the cost of a new point of sale system to help with the record
keeping and organization of the motor vehicle and passport office.
• Offered a customer service feedback survey to better understand customer
needs and to better communicate the value of our core services to residents,
elected officials and staff.
• Continued to work with legislators regarding financial sustainability for deputy
registrars.
Building Services
• Continued to refine user charges and operating costs to ensure a balanced
operation.
• Implemented the facilities assessment study and developed a long-range
financial plan.
IT
• Completed the Citizenserve sync workflow into the Laserfiche repository to
support data retention requirements.
• Upgraded and migrated the City’s GIS environment to AWS GovCloud to
improve system reliability, security, and long-term support.
• Upgraded multiple existing and new Laserfiche workflows, including Personnel
Action Forms (PAFs), invoices, leave slip submissions, and search functions.
• Implemented new public Laserfiche WebLink access for record searches related
to Council, Commission, and Board records.
• Expanded door access and camera systems to additional City facilities.
• Assisted with the migration of the City’s intranet to SharePoint to improve internal
access to staff resources and information.
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• Expanded the use of cybersecurity training to improve staff awareness of
common threats and strengthen the City’s overall security posture.
• Completed the migration to a modern IP telephony phone system to improve
communication services and support future system enhancements.
Communications
• Led, or assisted with, public information campaigns related to: Operation Metro
Surge, Officer-involved shooting, Parks Master Plan, initiation of Comprehensive
Planning, project updates related to the Our Legacy, Our Future campaign at
Wood Lake Nature Center and the Richfield Outdoor Pool.
• Held biannual meetings with departments to identify relevant content, updates
and reminders to share across channels to residents, visitors and local
businesses.
• Launched a new enhanced, responsive municipal website. The new website
includes the following integrations: Chatbot to assist in multilingual
communications and after-hours customer service, search functionality across
agenda management software, municipal code repository and website, and a
mobile-first design to ensure functionality across desktop, tablet and mobile
devices.
• Launched a new internal intranet site on SharePoint for staff resources and
engagement. This replaces the previous web-based platform for the content.
• Worked with staff to develop an approach to meeting the Web Content
Accessibility Guidelines for the city’s 2028 deadline.
• Continued to maintain and grow the city’s social media accounts (Facebook,
Instagram, LinkedIn and YouTube).
• Guided discussion on whether or not to remove comments from social media
platform(s).
• Transitioned from GovDelivery platform to Mailchimp application for e-
newsletters.
• Sent out approximately 175 bulletins, or e-newsletters to more than 23,000
subscribers across various topics.
• Maintained an average engagement-rate of 33% across all topics.
• Broadcasted approximately 48 public meetings live on Channel 16 and the city’s
YouTube channel.
• Continued developing the rebranded Hometown Guide (formerly the Recreation
Services Program and Activities Guide). Added ten pages of content to guide,
which is delivered to 16,000 households three times per year.
• Facilitated interviews, advertisements and photo opportunities for city staff and
local media.
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• Facilitated the Employee Engagement Committee and its events and
programming.
• Assisted staff with the promotion and marketing of more than 20 citywide events
and activities.
• Spearheaded the 2026 Summer Kickoff (formerly State of the City/Community),
which welcomed more than 250 people to city hall to celebrate a thriving
Richfield.
Liquor Operations
• Two Shift Lead vacancies were reclassified to permanent part-time 20-29 hours
per week in lieu of permanent part-time 30-39 prior to being filled.
• Implemented Tungsten financial software at the liquor stores to process
invoicing/receiving more efficiently.
• Public Works & Liquor Operations utilized the Public Tree Planting Fund to plant
seven trees in the public green space at the Cedar Point store.
• Annual “Toast to Richfield” is scheduled for Thursday, October 8, 2026.
• The 2024 MN State Auditor’s ranked Richfield second among municipal liquor
operations in total sales for the year.
Community Development
Planning & Zoning
• Worked with cannabis retailers to find allowable locations in Richfield.
• Translated several planning handouts into Spanish.
• Created and implemented metal detector rental program for residents.
• Continued to improve plan review and permitting processes to improve efficiency
and customer service.
• Worked with Engineering Division on the Low Salt Design Pilot Project
sponsored by the Nine Mile Creek Watershed District – resulted in better plan
reviews and a best practices handout and checklist.
• Worked through land use applications (e.g. MICC, former American Legion site).
• Continued to work with developers/owners to explore potential development
opportunities (e.g. 101 66th, vacant lot at former Lyndale Gardens site).
• Solicited for consultants to assist with the 2050 Comprehensive Plan update,
conducted interviews, negotiated a scope of services, and entered into a
contract.
• Kick off Comprehensive Plan process and complete Phase One of public
engagement plan.
• Hire and onboard new planner.
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Inspections
• Brought in a retired plan review professional to help get staff trained in doing
commercial and residential plan reviews.
• Sending the less-senior inspectors out to commercial building sites to do
inspections with senior staff so that we can grow our future senior inspectors
from within our current staff.
• Implemented Bluebeam software to help with our inspection corrections on large
building sites.
• Completed digitizing of building plans for long-term efficiency and sustainability
purposes.
• Supported legislative actions to restore rental licensing option for State-licensed
group homes.
Finance
• Worked with Ehlers to update Key Financial Strategies model with a
comprehensive Financial Management Plan.
• Continued review of daily operations and processes including Tungsten (Logis)
implementation, streamlining vendor invoices to payment processing.
• Planning for general obligation debt issue November/December 2026.
Fire
• Navigated a difficult transition in department leadership with the departure of the
Fire Chief and hiring of their replacement. This was compounded by the fact that
the deputy chief position has been vacant since June 2025 and the
administrative assistant since December 2025.
• Recruited, hired, and onboarded a department administrative assistant.
• Dedicated an existing FTE previously assigned to shift coverage to prevention to
address opportunities identified in the Essential Services Study.
• Expanded technology used to enhance the Records Management System
(RMS), improving data collection, pre-planning, recordkeeping, and operational
tracking.
• Maintained uninterrupted minimum shift coverage and provided an incredibly
high level of customer service and satisfaction during staffing shortages caused
by military deployments, parental leave, extended injuries, and large personnel
leave banks.
• Completed the Civil Service testing process to establish an updated firefighter
eligibility list for immediate openings as well as future hiring.
Human Resources
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• Increased recruiting, hiring and onboarding for city employees due to increased
turnover in the past several years.
• Secured candidates for 110 positions, mostly seasonal, and conducted
leadership searches to fill management level positions of HR Director, Project
Engineer and Utility Engineer.
• Settled four contract negotiations at the end of 2025 and one in early 2026.
• Implemented the Minnesota Paid Leave program, including policy development,
employee communication, and payroll coordination.
• Partnered with a consultant to develop and launch a new supervisory training
program for City supervisors.
• Transitioned to a standalone department and hired a Human Resources Director.
• Integrated the Equity Coordinator position and related initiatives into the Human
Resources Department to better align organizational equity efforts with employee
programs, policies, and practices.
• Hired an HR consultant to review citywide policies and suggested changes and
additions for new policies.
• Attended a Labor Management Committee training with the Fire Union facilitated
by the Bureau of Mediation Services.
Legislative/Executive
City Council
• Participated in the annual City Council-Staff Retreat, emphasizing the Council’s
ownership of the City’s strategic plan—its purpose, priorities, direction, and
accountability. Staff, guided by the Council, is responsible for implementing the
plan, determining methods, and measuring performance related to its goals and
action steps.
• Quarterly meetings to focus on long-term vision and planning, and to maintain a
high functioning team.
• Fostered community engagement by serving as liaisons to City boards and
commissions. Improved commission recruiting procedures and provided
onboarding for new commissioners with separate training for commission chairs.
• Met with residents and supported a variety of community initiatives, including
Juneteenth, the 4th of July, Penn Fest, and the third State of the Community
(Summer Kickoff) event.
• Advocated for City priorities at the federal, State, and County levels to help
shape key regional projects and statewide reforms.
• Increased Richfield’s regional presence by partnering with regional organizations
like the I-494 Corridor Commission, I-35W Solutions Alliance, Greater MSP, and
Regional Council of Mayors.
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• Contracted with Craig Rapp Consulting for an essential services study to better
define essential services, prioritize services and programs, and explore more
efficient and effective service delivery models.
• Joined the Cities for Safe and Stable Communities coalition to strengthen
advocacy efforts on issues impacting local government finances, public safety,
housing, and quality of life.
City Manager
• Coordinated training options for staff, including but not limited to leadership
training and supervisor training.
• Organized City Council-Staff retreats to help build constructive operating norms
and expectations to enable a high-functioning team. Council and Directors
worked to identify policy proposals for the coming year during quarterly effective
governance meetings.
• Assisted in the development of the Essential Services Study, providing Council
and staff with service categorizations and recommendations.
• Coordinated the City Manager executive search process, including development
of the Request for Proposals (RFP), proposal evaluation, Council interviews, and
firm selection.
• Initiated the City Manager recruitment process by selecting and contracting with
an executive search firm to guide the City Council through the recruitment and
selection of the City's next City Manager.
• Completed the final update and reporting for the current Strategic Plan in
preparation for development of the City's next strategic plan.
• Supported updates to the City Charter to bring petition requirements into
compliance with state law.
• Partnered with the Finance Department to evaluate the City's workers'
compensation program and develop a recommendation on whether to remain
self-insured or transition coverage to the League of Minnesota Cities Insurance
Trust.
• Transferred administration of the City's lodging tax to the Minnesota Department
of Revenue.
• Participated in mediation efforts for the Fire Union.
• Participated in Bureau of Mediation Services (BMS) Path Forward and Labor
Management Committee (LMC) training for the Fire Union.
Other Agencies
• Awarded $97,584 in contracts to seven non-profit agencies to provide services to
Richfield residents.
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Public Safety
• Presented and participated in numerous events throughout the year that reached
1000’s of residents.
Police
• Therapy Dog Ritchie has been requested throughout the Metro due to various
critical incidents that have occurred, bringing accolades to our department and to
the city due to our willingness to deploy to help those in need.
• Staff has participated in reintegrating students who experienced trauma from the
Annunciation School shooting back into their school. Students learned about the
police department as part of their therapy, discussing the jobs we do to serve the
community and roles that the police play in critical incidents as the “Helpers.”
• JCCP Program responded and assisted the community by attending community
forums and having meetings with community members on responses and roles
as it related to Metro Surge.
• Actively transitioning to “Policy 360” which is a mobile application for our
department policies, which will allow officers quicker access to information and
will expedite our accreditation, accreditation is a certification program from the
Minnesota Chief’s of Police Association that certifies polices as best practice.
Should be completed late 2026 or early 2027.
• Received an award from the City of Brooklyn Park for our assistance in the
apprehension of suspect Vance Boelter, which was the biggest law enforcement
search and apprehension in the State of Minnesota’s history.
• Assigned an officer to the West Metro Drug Task Force to combat the rise in
narcotic activity we are seeing in the community.
• Expanded on a program called “Active Outdoors” with Partnership Academy,
bringing in various coaches to teach different sports to students.
• Clearance rates for cases of violent crimes are above the national average and
the average for Law Enforcement agencies in the State of Minnesota.
2025 Clearance
Rates
National
Benchmark Minnesota Benchmark Richfield Police
Department
Overall Violent
Crime Clearance 40–45% 45–50% 74%
Homicide 57–62% 76% 100%
Aggravated
Assault 48–50% 50% 76%
Robbery 27–30% 30-35% 46%
Rape 25–30% 30% 55%
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Support Services
• Two cannabis dispensaries and ten low potency hemp edible (LPHE) retailers
have registered and opened.
• New short term rental management platform being purchased in late 2026.
• Support Services saw the first significant turnover in staff in three decades and
all positions are now filled and/or are in background.
Emergency Management
• Working with Hennepin County Emergency Management to have all 7 of our
outdoor warning sirens replaced with new control panels.
Public Works
• In collaboration with Public Works managers, completed assessment of existing
services provided/delivered with consideration of priority level, quality of service,
staffing, financial commitments, and regulatory requirements.
• Secured $2 million in state bond funding for the Nicollet Avenue reconstruction
project.
• Partnered with the Recreation Department to develop a Natural Resources Plan.
City Utilities and Water Resources
• Implemented cybersecurity upgrades to improve and protect our network SCADA
system.
• Undertook development of construction documents and a bid letting for the
Emergency Water Systems Interconnect project.
• Continued proactive maintenance of the wastewater collection system by
jetting/proofing the entire city on an annual basis, including televising and root
sawing.
• Rehabilitated approximately 5 miles of sanitary sewer main.
• Began design of a sanitary sewer project to provide capacity for a new residential
development along Portland Avenue South.
• Began design of Sanitary Lift Station 6 Rehabilitation Project.
• Began update of Sewer Comprehensive Plan as required by Metropolitan
Council in conjunction with Citywide Comprehensive Plan update.
• Began sanitary sewer structure adjustments required for the Nicollet Avenue
Reconstruction Project.
• Transitioned to in-house water quality monitoring for lakes and ponds, which was
consultant-led historically.
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• Began updates to the City’s Surface Water Management Plan and the Richfield
Bloomington Watershed Management Organization’s Comprehensive Plan,
which are both updated on a 10-year cycle.
• Completed a utility rate study and development of a forward-looking rate
structure that accounts for our capital and maintenance programs.
• Completed Risk and Resiliency Assessment and Emergency Response Plan,
which are legislative requirements to satisfy the Federal Safe Drinking Water Act
as a water utility permittee.
• Initiated Water Supply Plan update, due to Minnesota Department of Natural
Resources in March 2027.
• Hosted 150 chemistry students from Richfield High School for water treatment
plant tours.
• Began design of water treatment plant generator replacement project.
• Completed site investigation and began in-house design of the Norby’s Pond
Reconstruction Project.
Engineering
• Completed the 2026-2030 Engineering Consultant Pool solicitation, selection
process, contract negotiations, and executed approved agreements with all nine
(9) consultants selected for the pool.
• Constructed the Safe Routes to School project on 64th Street and Russell
Avenue and began construction of the sidewalk project on 73rd Street.
• Began reconstruction of Nicollet Avenue in collaboration with Hennepin County.
• Continued planning and design with Hennepin County for the full reconstruction
of Penn Avenue.
• Began design and engagement for the 69th Street reconstruction project.
• Began design and engagement for the 76th Street and Knox Avenue intersection
improvement project.
• Submitted six projects for Regional Solicitation grant applications.
• Represented Richfield’s interests and coordinated with the City Council related to
the future I-494 corridor planning.
Streets/Forestry, Park, and Fleet Maintenance
• Completion of the USDA Forest Service Urban and Community Forestry Inflation
Reduction Act Grant to enhance urban tree canopy by focusing all planting effort
in census tracts identified by CEJST as disadvantaged communities, contributing
to the goals of Justice40.
• Completed Park Asset Inventory and Condition Assessment data collection and
turned it over to Recreation divisions as detailed in the Strategic Plan.
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• Continued administration of the pavement management plan to protect the major
investment into the residential Mill & Overlay program.
• Provided technical review and construction inspection services for private
redevelopment projects throughout the City, specifically as they relate to rights-
of-way, utility, and stormwater impacts.
Recreation Services
Administration
• Completed Pool and Ice Arena Local Option Sales Tax renovation projects.
• Completed Natural Resources Management Plan for Richfield Lake Park, Taft
Park, Veterans Memorial Park and Wood Lake Nature Center.
• Began Parks Master Planning process.
• Collaborated to conduct a recreation facility assessment.
• Constructed a playground at Donladson Park.
Recreation Programming
• Developed a new partnership model with RecLeaguer to offer adult grass
volleyball leagues.
• Implemented new gardening and kitchen programs supported by the Urban AGRI
grant.
• Partnered with VEAP to offer monthly mobile food pantry in response to the Fare
for All program ending.
• Staff supported community volunteer committees to offer the Richfield 4th of July
Celebration and Penn Fest.
• Secured grants and sponsorships for Entertainment in the Park allowing for
higher quality bands and Food Trucks at all evening performances.
Wood Lake Nature Center
• Completed the construction of a new Wood Lake Nature Center building using
Local Option Sales Tax, Meeting regularly with the building project team.
• Managed the natural resources of Wood Lake Nature Center to allow for access,
safety, and biodiversity, securing grant and donation funding.
• Moved FOWL to a higher level and more diverse styles of fund raising. Held
successful FOWL dinner in November.
• Provided new programming while maintaining traditional programs at two sites
while the Nature Center is under construction.
Sustainability
• Updated Climate Action Plan.
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• Complete fleet electric vehicle assessment.
• Started monthly Fix-it clinics
• Installed solar panels on Ice Arena and Public Works Building using State and
Federal Funding.
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CITY OF RICHFIELD 2027 BUDGET
JANUARY 1, 2027 - DECEMBER 31, 2027
6700 PORTLAND AVENUE , RICHFIELD, MN 55423
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2027 BUDGET TABLE OF CONTENTS
Page NoINTRODUCTORY SECTION
Letter of Transmittal 3City Officials 17Administrative Organization Chart 18City Fund Structure 19
BUDGET SUMMARY INFORMATION
Summary of 2026 Revised Budget - All Funds 22Summary of 2027 Budget - All Funds 23Comparative Analysis of Revenue - All Funds 24Comparative Analysis of Expenditure - All Funds 25
OPERATING BUDGETS
General Fund Analysis
Comparative Analysis of 2026 Adopted, 2026 Revised and 2027 Budget - General Fund 28Comparative Analysis of Fund Balance - General Fund 29Comparative Analysis of Revenues - General Fund 30Comparative Analysis of Expenditures - General Fund 31
General FundsLegislative/Executive - Summary 34City Council/Mayor 35Other Agencies 39City Manager 41Legal45
Administrative Services - Summary 48Administration49Deputy Registrar 52City Clerk 56
Human Resources - Summary 63Human Resources 64
Finance - Summary 69Finance70
Public Safety - Summary 74Support Services 75Police80Emergency Services 87
Fire - Summary 92Fire93
Community Development - Summary 98Community Development Administration 99Planning & Zoning 103Inspections106
Public Works - Summary 112Administration113Engineering117Street Maintenance 122Park Maintenance 126
Recreation Services - Summary 132Recreation Services Administration 133Recreation Programs 137Wood Lake Nature Center 141
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2027 BUDGET TABLE OF CONTENTS
Page NoSpecial Revenue FundsLiquor Contribution Fund 146Tourism Administration 147Communications Fund 148Elections Fund 150Drug/Felony Forfeiture 151Public Safety Compliance 152Recreation Services Contributions 153Nature Center Contributions 154Public Health Grants 155Wood Lake Half Marathon 156Franchise Fees 157Ice Arena 159Swimming Pool 161Special Facilities 162Sustainability163Opioid Settlement Fund 165Public Safety Aid 166Street Light User Fee Fund 167
Enterprise FundsLiquor Operations Fund - Summary 169Liquor Operations 171Richfield Liquor Downtown 172Richfield Liquor Cedar Point 177Richfield Liquor Penn Central 181Richfield Liquor Shops at Lyndale 185
Water and Wastewater Utilities - Summary 189Water Utility 192Wastewater Utility 204
Stormwater Utility - Summary 213Stormwater Utility 215
Internal Service FundsCentral Garage - Summary 229Information Technologies - Summary 237Insurance/Risk Management - Summary 245Building Services - Summary 252
Debt Service FundsDebt Services Mission Statement 259General Obligation Improvement Bonds 260General Obligation Improvement Bonds Scheduled Debt Service Requirements 261
Capital Improvement FundsCapital Improvement Budget and Plan Mission Statement 263Budget Summary Capital Improvement Funds - 2026 271Budget Summary Capital Improvement Funds - 2027 2722027 Capital Improvement Budget & 2028-2031 Capital Improvement Plan 273Capital Improvement 2027 Sources and Uses 275
Full-Time Regular Budgeted Personnel 276
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September 22, 2026
Council Members:
In accordance with the Charter of the City of Richfield, submitted for your consideration are the recommended budgets for the City of Richfield for the
period of January 1, 2027 to December 31, 2027, and for the remainder of the
calendar year 2026. A City Council work session was held on August 12 and 25, 2026, to review the revised and proposed budgets.
Pursuant to State law, the City Council must certify the new budget and the
revenue required to be raised by ad valorem tax levy to the County Auditor. The deadline for the certification is December 28, 2026. A proposed 2027 tax levy must be submitted to the County Auditor on or before September 30, 2026. Any amendments to the proposed budget, which would increase the property tax levy,
must be made prior to the September 30, 2026 proposed levy certification
deadline. No increases in the tax levy are permissible after that date, only reductions.
The resolution required to certify the 2027 Adopted Budget and tax levy, as well as the 2026 Revised Budget is presented within the final adopted budget document completed in December.
The Budget Document includes the General Fund, Special Revenue Funds, Internal Service Funds, Enterprise Funds, Debt Service Funds and Capital Improvement Projects. A diagram of the fund structure is included in the Introductory Section (page 19). Budgets for the General Fund and Special Revenue Funds are adopted on a basis consistent with generally accepted
accounting principles. Budgetary control for the Capital Projects Funds is accomplished through the use of project controls and for the Debt Service Funds by bond indentures. An administrative organizational chart, which summarizes all departments and divisions in the City, is included in the Introductory Section (page 18). This chart indicates the divisions for which each department is
responsible. The 2027 Proposed Budget includes total appropriations from all funds of $112,958,448, including all inter-fund transfers.
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OVERVIEW Ultimately, budgets are a spending plan, calibrated to economic conditions, and rooted in the City’s priorities and values. The recommended 2026 Revised Budget and 2027 Proposed
Budget represent progress on the Council’s strategic priorities. Highlighted below are some
examples of how these priorities are reflected in the 2026 Revised Budget and the 2027 Proposed Budget (see Strategic Progress). The City continues to navigate challenging fiscal constraints and economic conditions. Funding
Richfield’s operations and capital needs with a modest tax base and goal of minimal tax
increases is always challenging. Worsening economic uncertainty and persistent inflation have added to the challenge (see Economic Condition). The City completed several studies and plans in 2026 to strengthen financial planning, better
prepare for economic challenges and guide investments to serve residents for decades to
come. More details on recent development efforts, infrastructure and personnel investments are presented below. Later sections provide a budget summary of the City’s main operating fund, the General Fund,
which funds most City services, followed by a summary of the remaining fund budgets. The
General Fund is primarily funded by property taxes (73% of total revenues): the recommended 2027 City tax levy is a 4.55% increase over last year. The increase is due to three main factors: growing service demands, higher labor costs, and the need to invest in technology, infrastructure and service improvements.
STRATEGIC PROGRESS The pace of change has placed higher expectations on local government. To prioritize investments, the City’s policies, budgets and programs are guided by a four-year strategic plan
which concludes at the end of 2026. Strategic planning focuses Council and staff leadership by regularly reviewing results and progress on policy priorities. The City will assess the results of the 2023-2026 plan in 2027 and develop a new three-year strategic plan for 2028-2030. Developing the new plan will include engagement with residents, policymakers, local partners and staff.
The 2023-2026 strategic plan prioritizes operational excellence, community development, sustainable infrastructure, high-quality workforce and equity.
Operational Excellence: Focused City leadership (1a); Financial capacity
to deliver essential services (1b); Operational capability to deliver
essential services (1c) In 2026, the City launched an upgraded website after a two-year process. The City completed an Essential Services Study, including a full review and
categorization of municipal services, and recommendations to improve service quality and efficiency. Examples of improved services and efficiency include a more robust fire prevention and risk reduction program, expansion of M365 and AI options for staff and implementing a more automated accounts payable program. Finally, in 2026, the Finance Department partnered with our financial advisors to implement a new long-term financial planning tool, the
Financial Management Plan. Additional analysis and detailed information in the financial plan will help inform the development of a new 2028-2030 Strategic Plan.
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Community Development: A vibrant downtown (2a); Increased tax base (2b); Maintain Richfield as an affordable place to live (2c)
Implementation of a downtown branding and placemaking plan began in 2026, including banners and signage to help promote the area. Following an evaluation, the HRA developed new housing programs to fill gaps and guide priorities for $699,000 in Local Affordable Housing Aid (LAHA) funding from the state in 2026. The Housing and Redevelopment Authority (HRA) received funding for rental assistance
through the state’s new Bring It Home Minnesota program and will issue the first vouchers in September. A summary of ongoing community development projects is detailed later in this document under Strategic Development. Many of the programs are funded by the City’s HRA and Economic Development Authority (EDA) budgets. In 2025, those programs directly assisted 557 households and businesses in Richfield.
Sustainable Infrastructure: City infrastructure supports service needs
(3a); Sustainable infrastructure financing (3b); Climate resilience is a priority (3c) Progress on stewardship of the City’s human, financial, built and natural
resources is evident throughout the operating and capital budgets. The new Wood Lake Nature Center, funded with local sales tax, state and federal grants, will open in late 2026. The City also completed several Veterans Park improvements in 2026, including upgrades to the Pool and Ice Arena. The City completed a facilities assessment in 2026 to better identify and prioritize needed building improvements which have been incorporated into
budgets and long-term financial plans. The proposed budgets increase funding for IT, rolling stock and building maintenance to better align funding with ongoing and future equipment and maintenance needs. The City updated the Climate Action Plan in 2026 and will begin negotiating a new contract for organized hauling in 2027.
High-Quality Workforce: A well-trained workforce (4a); Staff capacity to
meet service demands (4b); Healthy Council-staff relationships (4c) Strengthening the City’s recruitment and retention programs to maintain a high-quality workforce is an ongoing effort, especially given the tight labor market
for some government positions. Staff retention has improved in the past 3 years, and several improvements will build on that momentum. Staff were provided with several new training options in 2026, including leadership and skills programs for supervisors. HR is planning safety, skills and personnel policy training for all staff in 2027 The City will survey all staff in late 2026 or early 2027 to better understand needs.
Equity and Inclusion: Reduced racial inequities and barriers for traditionally excluded groups (5a); Staff, Boards and Commissions reflect the diversity of the community (5b); Equity-based framework is
applied to decision-making (5c) Equity and inclusion is a priority in the strategic plan and integral to the City’s vision and values. A major focus will be digital accessibility improvements to the City’s website and other communication platforms in 2027. Work continues to update HR processes to better align with equity and inclusion goals. The City hired a summer intern to
assist with HR equity projects, including research on a potential pay increase for those forward-facing staff with needed language skills.
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ECONOMIC CONDITIONS
Minnesota economic indicators reflect a stressed labor market, persistent inflation and a
sluggish real estate market. Some of the negative trends could still be the result of Operation Metro Surge, which disrupted the local economy in late-2025 and early-2026. While the most severe impacts have eased, unpredictable federal policy adds to financial uncertainty.
According to the Minnesota Management and Budget’s (MMB) February forecast, the FY 2026-27 biennium will result in a projected surplus of $3.7 billion and the projected general fund balance for the FY 2028-29 biennium is $377 million. The July update reports that net general fund revenues totaled $2.4 billion, $133 million (5.9%) more than the forecast in February.
• Minnesota’s seasonally adjusted unemployment rate increased by 0.6% to 4.4% in June 2026 compared to June 2025. Minnesota’s rate exceeds the U.S. rate, 4.1%, for the first time since 2007.
• The Consumer Price Index, measuring inflation, for the upper Midwest spiked to 4.3% in May 2026 but returned to 3.1% by July, which is still 0.4% higher than one year ago. Both regional and national inflation rates are being impacted by the Iran war.
• Minnesota’s wage growth has slowed compared to inflation in 2026. Wage growth
outpaced inflation in 2024 and much of 2025, but the trend reversed in late 2025 and
2026.
• Real estate development continues to face headwinds, including high interest rates and higher wage, insurance and material costs. Interest rates are down from their peaks in
2023 and 2024 but remain high; the 30-year fixed mortgage rate was 6.67% during the
second week of August, which is essentially flat compared to last year. Given persistent inflation, the Federal Reserve chose not to reduce rates at their recent meeting.
• The commercial real estate market has been particularly hard hit since the COVID-19
pandemic, leaving a glut of empty space in the Twin Cities. In Richfield, this has resulted in lower or flat commercial values in the last decade, compared to increased residential values, reversing the previous trend of commercial property gains outpacing residential.
• Uncertainties in federal policy and funding commitments add to local fiscal stress,
specifically cuts to federal programs, the impact of immigration enforcement, tariffs and
ongoing military conflicts. The City lost over $500,000 in federal grant funding last year. DEVELOPMENT
Given the slowdown in commercial and multi-family development, the focus is on supporting the local economy, preserving and investing in our existing resources and positioning the City for future opportunities. A number of initiatives are underway:
• A branding and placemaking “playbook” for downtown Richfield was adopted in 2025.Thanks to additional Hennepin County grant funds, and funding from both the City’s HRA and EDA, a significant investment in implementation is beginning.
• New business initiatives, created by the City’s EDA, are providing assistance to help small businesses grow and thrive in the community and invest in outdated commercial spaces. After a delay to allow for the creation of an emergency loan program for
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businesses impacted by the Federal Operation Metro Surge, Richfield REVIVE will launch in late-summer 2026.
• Construction of Penn Station, 42 units of affordable workforce housing, is underway on
formerly blighted commercial property at Penn Avenue and 65th Street, bringing
investment and new residents to the corridor and adding tax-forfeited property back to the tax base. Construction is expected to be completed in December 2026.
• Through its HRA and EDA, the city continues to support investment in its housing
stock and our residential neighborhoods. Having recently completed an evaluation of its many housing programs, the city has reorganized staffing and added hours to focus on the creation of policies and programs that meet Richfield’s housing priorities.
• A new duplex is under construction thanks to the HRA’s Richfield Rediscovered
program, and an EDA Transformation Home Loan has helped to fund the construction of a new ADU. Through demonstration projects, the HRA and EDA are working to create market comps and demonstrate the options made possible by zoning code updates.
• Strategic conversations with potential developers are ongoing to market properties
owned by the HRA for future redevelopment. INFRASTRUCTURE
The 2027 Capital Improvement Budget (CIB) reflects funding for numerous projects throughout the city. In 2027, efforts will include finishing the Nicollet Avenue Reconstruction project, new sidewalks along 73rd Street/Diagonal Avenue (Portland to Cedar) and 64th Street (Lyndale to Portland).
The CIB also includes funding for several utility projects, including an emergency water connection to the Minneapolis water system, sanitary sewer main lining and a new elevator and generator at the Water Treatment Plant. Finally, the 2027 CIB recommends funding for recreation and open space improvement
projects, including Veterans Park trail updates, replacement of playground equipment at Adams Hill Park, a new sand filter and shade structures for the Pool and locker room and flooring repairs at the Ice Arena. The 2028-2031 Capital Improvement Plan (CIP) includes several major arterial roads to be
reconstructed or improved. Hennepin County plans a full reconstruction of Penn Avenue in 2028-29 and the City is expected to contribute according to the county’s local cost-share policies. The reconstruction of 69th Street and improvements to 76th Street at Knox Avenue are planned for 2028 and 2029 respectively.
The recommended CIP also includes funding for a new Community Center building with design beginning in 2027 and construction in 2030. The plan also funds major maintenance for City buildings, including mechanical system upgrades and new roofs at City Hall, the Public Works building and the Ice Arena in 2029. The 2027 budget substantially increases the City’s equipment levy to ensure sufficient long-term funding for rolling stock, buildings and technology
equipment.
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PERSONNEL One additional full-time position is recommended for the 2026 Revised Budget and one full-time position for the 2027 Proposed budget
• Recreation plans to add an Event Coordinator position to oversee facility rentals which will increase once the new Wood Lake Nature Center is completed and increase again once the new Community Center is built.
• Recreation plans to add a Natural Resources Coordinator position to oversee natural area management and secure grants to fund improvement projects. Personnel costs are also increasing due to a 3.00% cost of living adjustment for all employees,
step increases for eligible employees, and an 11.49% increase in the cost of health insurance. Negotiated salary increases range from 3.00% to 4.00% for the five bargaining units’ contracts for 2026-2027; costs increases are included in the revised and proposed budgets. GENERAL FUND The General Fund serves as the main operating fund of the City. It accounts for all financial
resources, except those required to be accounted for in another fund. Revenues The General Fund, which provides for most of the traditional services that residents have come to expect, receives the majority of its funding from property taxes. Other sources of funding come from intergovernmental revenue, charges for services, licenses, permits and transfers
from other funds. The 2027 Proposed Budget was prepared with the strategy that the primary funding source for
the General Fund operations now, and in the future, will come from property taxes. This is the
result of the fact that cities are limited in the type and extent of revenues that they can generate.
In addition, as the City continues to expand and diversify its tax base there will be reductions
in Local Government Aid (LGA) funding from the state. The result is a continued shift in General
Fund revenues. In 2001, LGA, which historically was a major General Fund revenue source,
accounted for 24% of General Fund revenues. In 2027, it will account for 9.76%. Conversely,
property taxes have grown from 40% of revenues in 2001 to 73.45% in 2027. The 2023
legislature increased funding for the LGA program which increased Richfield’s allocation by
$1.35 million in 2024 to $3.39 million. Since then, allocations have increased modestly and the
2027 LGA allocation is $3.5 million.
Richfield remains a net-receiver of the metropolitan Fiscal Disparities Program. The program is a mechanism for tax base sharing for new commercial/industrial property development.
Under the program, a certain percentage of new commercial/industrial growth in the
metropolitan area is contributed to a pool. The tax base growth is then redistributed to cities in the seven-county metropolitan area using a needs-based formula. The metropolitan pool increased in value in 2024 after a few years of lower commercial values. The increase, coupled with Richfield’s increased population, resulted in an additional $61,165 to be distributed in 2026
and a total distribution of $4.9 million for 2027.
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The 2027 budgeted General Fund revenues of $35,893,555 represent a 2.16% increase from the 2026 Adopted budget. The sources of General Fund revenues, with the exception of property taxes and intergovernmental revenues, have remained relatively comparable to the prior years’ budget levels. In 2026, the General Fund will receive: $335,860 from the Liquor
Operations fund to offset administrative costs related to the liquor division operations. A comparison of actual General Fund revenues from 2026 to 2027 is shown in Figure 1 below.
Figure 1
Expenditures The City’s General Fund accounts for most of the services that the City provides to its residents,
such as police, fire, public works, inspections, zoning, parks, recreation and general
administration. Richfield’s General Fund is organized into nine major departments; Legislative/Executive, Administrative Services, Community Development, Finance, Fire, Human Resources, Public Safety, Public Works and Recreation Services. The Human Resources function was added as a department in 2026 and removed as a division from the
Administrative Services Department. Each department encompasses divisions that provide an
array of services, either directed to the public or in support of other City services. Over a period of years, the type and mix of City services would likely change as the community changes. However, in a mature community such as Richfield it is also important that a
consistent balance of services be maintained, even in the face of budgetary constraints.
Richfield's mix of services, as seen through an expenditure analysis of the nine major departments, reflects a stable, consistent approach. The 2027 expenditures are consistent with the expenditures from 2026 (Figure 2). In the 2027 Budget, 59% of the total expenditures are designated for Public Safety and Fire Department operations, while an additional 16% is
designated for Public Works operations. While there have been adjustments, the total balance of services provided by the major departments remains relatively constant. In response to the internal and external constraints, City staff made every effort to limit 2027 expenditure increases for all departments of the General Fund to maintain the current level of City services.
5% (5%), Charges for Services
1% (1%), Fines & …
16% (16%), Intergov't Revenue
3% (3%), License & Permits
73% (72%), Taxes
2% (3%), Misc. Revenue/Trans
2027 (2026) General Fund Revenues
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Figure 2
The most significant issues for the 2026 Revised and 2027 Proposed General Fund Department Budgets are summarized in the following section.
2026 REVISED AND 2027 PROPOSED DEPARTMENT BUDGETS
Legislative/Executive The Legislative/Executive Department 2026 Revised Budget reflects a 3.86% decrease due to the transfer of the Equity Coordinator position and related equity projects to the Human
Resources budget during part of 2026. The 2027 Proposed Budget reflects a decrease of
5.59% due to the transfer of the remaining equity projects to the Human Resources budget and reductions in charges allocated to other City funds. Administrative Services
The Administrative Services Department 2026 Revised Budget reflects a decrease of 2.82%
due to savings related to personal services in the Deputy Registrar division. The 2027 Proposed Budget reflects an increase of 6.99% due changes in internal service chargebacks and the Administrative Services share is more appropriately reflected in the 2027 Proposed Budget.
Human Resources The Human Resources Department 2026 Revised Budget reflects a 14.31% increase over the 2026 Adopted Budget. The increase is primarily due to the transfer of the Equity Coordinator position and related projects from the City Manager budget to the Human Resources budget.
The 2027 Proposed Budget reflects a 56.01% increase over the 2026 Adopted Budget. The
increase is primarily due to increase personal services costs, the transfer of the remaining equity-related expenses from the City Manager budget, increase professional development costs, and higher subscription and membership costs, partially offset by decrease spending on professional services.
3% (3%), Admin Svsc
2% (1%), Human Resources
4% (4%), Legal/Exec.
2% (2%), Finance
8% (7%), Recreation
16% (17%), Public Works5% (5%), Comm. Dev.
19% (19%), Fire
40% (39%), Public Safety
0% (2%), Fund Balance and Paid Family Medical Leave
1% (1%), Transfers
2027 (2026) General Fund Expenditures
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Finance The Finance Department 2026 Revised Budget reflects an increase of 15.74% from the 2026 Adopted Budget to account for a higher allocation, and more equitable share, of the annual financial audit cost between the general fund and enterprise funds. The 2027 Proposed Budget
increases slightly from the 2026 Adopted Budget. The minor increase of 0.49% is related to the change in internal service chargebacks and the Finance Department share is more appropriately reflected in the 2027 Proposed Budget. Public Safety The Public Safety Department 2026 Revised Budget reflects a decrease of 2.28% due to
savings related to personal services. The 2027 Proposed Budget reflects a 4.91% increase
over the 2026 Adopted Budget. The increase is related to personal services costs and the change in internal services chargebacks as the Public Safety Budget’s share has increase in building rental and data processing rental. The Public Safety Department share is more appropriately reflected in the 2027 Proposed Budget. Fire The Fire Department 2026 Revised Budget reflects a decrease of 3.24% due to savings related to personal services. The 2027 Proposed Budget reflects a 3.09% increase over the 2026 Adopted Budget. The increase is related to personal services costs related to union contracts and health insurance increases. Community Development The Community Development Department 2026 Revised Budget reflects a 1.66% decrease due to savings related to the change of the Senior Office Assistant position moving from full-time to half-time. The 2027 Proposed Budget reflects a 2.94% increase over the 2026 Adopted budget. The Planning and Zoning Division shows the largest increase related to increases in
personal services due to staff moving through step and merit increases and health insurance increases. The internal service chargebacks related to data processing rental are also more appropriately reflected in the 2027 Proposed Budget for Community Development divisions. Public Works
The Public Works Department 2026 Revised Budget reflects a 1.22% increase over the 2026 Adopted Budget due to the inclusion of $50,000 related to office space additions at the Public Works facility. The 2027 Proposed Budget reflects a 2.38% decrease from the 2026 Adopted Budget related to the completion of the USFS grant to remove and replace trees in 2026. Recreation Services
The Recreation Services Department 2026 Revised Budget remains mostly unchanged when
compared to the 2026 Adopted Budget. The 2027 Proposed budget reflects a 12.11% increase over the 2026 Adopted budget. The increase is mostly due to two new positions at the Wood Lake Nature Center and increase expenses in 2027 related to the new building operations. The new Event Coordinator position begins near the end of 2026 and the new Natural Resources
Coordinator position begins in 2027. SPECIAL REVENUE FUNDS Liquor Contribution Fund The Liquor Contribution Fund receives profits from the municipal off-sale liquor operations through the transitory ordinance process. These revenues are then used to fund various park
capital projects. Expenditures from the fund are restricted in use to financing capital
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improvements that would otherwise be financed by a General Obligation bond issue. In 2027, a transfer-in of $475,000 will fund different City projects. Tourism Administration Fund This fund accounts for the collection of lodging tax revenues and the pass-through of these
funds to the Richfield Tourism Promotion Board. The Tourism Promotion Board promotes the
city as a visitor destination and promotes civic activities to enhance the city's image. Communications Fund The Communications Fund is maintained to account for the quarterly cable franchise fees received, cable television and community communication activities. The fund covers wages
and salaries for the Communications and Engagement Manager (FT), Communications Specialist (PT) and Video Production Assistant (intermittent). The team is responsible for the City’s website, social media, cable bulletin board, press releases and other internal and external communications. Elections Fund
The Election Fund was established to isolate the large fluctuation over time in election costs from year to year. The fund provides voter registration services, voter information services and election administration. Funding for the costs of elections services is derived from rental revenues from cellular telephone carriers who rent space for their antennas on City infrastructure. Drug/Felony Forfeiture Fund The Drug/Felony Forfeitures Fund receives its revenues as a result of cash and property seized related to drug and/or felony criminal activity. The revenues received are used to purchase equipment for public safety purposes and to provide funding for training. Public Safety Compliance Fund
Revenue from this fund is derived from fines levied against businesses that fail alcohol and tobacco compliance checks. The monies received from the fines are then used to fund the costs involved in performing compliance checks. This fund will also account for the Community Emergency Response Team (CERT). Recreation Services Contribution Fund
The Recreation Services Contributions Fund serves as a method to account for donations
received that are intended to benefit activities of the Recreation Services Department. Uses of the donations include staffing costs, the purchase of supplies and equipment and to help fund park-related construction projects. Nature Center Contribution Fund
The Nature Center Contribution Fund serves as a method to account for donations received that are intended to benefit Wood Lake Nature Center. The source of the donations comes from fundraising activities of the Friends of Wood Lake (FOWL). The donations are used to supplement the Wood Lake Nature Center operating budget and for the purchase of supplies, equipment and to help fund nature center construction projects.
Public Health Grants Fund This fund accounts for the receipt of federal grant funds used by the City to assess and enhance the capacity of local public health departments to respond to bio-terrorism, infectious diseases and other threats to public health.
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Wood Lake Half Marathon Fund This fund was established to provide an alternative revenue source to fund the Wood Lake Nature Center’s environmental education curriculum for Richfield Public School students. Funding for the program is derived from proceeds from the annual Urban Wildland Half
Marathon and 5K races. Utility Franchise Fees Fund This fund accounts for gas and electric franchise fees collected from the public utilities. The majority of fees collected will be directed to the pavement management program and toward the debt service for the bonds issued to help fund the accelerated mill and overlay program.
This may cause a decrease in the fund balance. Ice Arena Fund The Ice Arena maintains two sheets of ice for skating lessons, open skating, and hosts figure skating competitions. It also rents ice to local high schools for hockey practices and games and
to youth associations for clinics, practices, games and tournaments. Swimming Pool Fund This fund accounts for all activities related to the swimming pool operation. It strives to provide users with an outstanding outdoor recreational swimming experience for all ages and groups. Special Facilities Fund This fund maintains the City’s mini-golf course which is run by Wheel Fun Rentals, Inc. through a concession agreement with the City. The operation also provides a picnic shelter to be used by the Richfield Farmers Market and park users. Sustainability Fund The fund manages City’s Sustainability and Organized Hauling Program, for transparent and accurate tracking of financial activity of operating these programs. Opioid Settlement Fund
The fund manages the opioid settlement funds provided to each Community Health Service Agency, from or through an opioid settlement administrator to work on providing services in the area of opioid prevention, treatment and recovery. Public Safety Aid Fund
This is a newly established fund. In December 2023, City received $1,604,296 in one-time public safety aid included in the 2023 MN State omnibus tax bill. The funds cannot be used for general purposes but must be used to “provide public safety”. The fund ensures transparency, compliance and separate tracking of the aid received. Street Light User Fee Fund This is a newly established fund to track the operations of street lighting system. The City includes a fee for street light service on the quarterly utility bills. The fees collected fund payment of the electricity charges, along with maintenance and replacement of street lights. The City also intends to replace its streetlights with energy efficient LEDs, as funding permits.
This switch should save electricity and maintenance costs, and make public lighting infrastructure more versatile, flexible and efficient.
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ENTERPRISE FUNDS Liquor Stores Fund The City of Richfield operates four municipal liquor stores. Total sales for the four liquor stores for 2026 are projected to be $13.70 million and modestly increase to $13.75 million in 2027. Operating expenses budgeted for 2027 for the four stores total $3.28 million. This reflects an
increase from the 2026 adopted operating expenses. For the four stores, the projected profit before transfers for 2027 is expected to be $848,855 with budgeted transfers to the Special Revenue Fund of $475,000 and $335,860 to the General Fund for administrative costs, police duty and payments in lieu of taxes. Water and Wastewater Utility Fund The Water and Wastewater Utility Fund accounts for the operation and maintenance of the City's water plant and sanitary sewer lines. Operating revenues for the Water Fund for 2027 Proposed reflect an increase of $1.3 million from 2026 revised budget levels. This accounts for the additional revenue due to the proposed rate increase. The Water Fund continues to reinvest
in its infrastructure in 2026 and 2027. Included in the current budgets are capital improvements totaling $720,000 in 2026 and $7.95 million in 2027. The 2027 improvements relate to replacement of the water plant elevator, emergency water system interconnect, water plant generator, water plant chlorine storage area, SCADA cybersecurity upgrade, water plant restroom renovation, water plant personnel safety system improvements and well #3 water
service improvements. The Wastewater Utility Fund provides collection of sanitary wastewater from approximately 10,800 accounts in the city. The 2027 Sanitary Wastewater Operating Budget is approximately $5.4 million. The most significant expense is the wastewater treatment charges paid to Metropolitan Council Environmental Services (MCES). The MCES 2027 charges are expected to increase from the budgeted 2026 level of $2,6 million to $3.0 million,
a 15.95% increase. A 16.5% rate increase is proposed for 2027 across the three tier levels for residential water. The wastewater rates are proposed to increase by 9% for 2027. Storm Water Utility Fund The Storm Water Utility Fund provides for the disposal of storm water for the city and is funded through user fees. The fund provides for routine maintenance and major capital improvements to the system. A 17% rate increase is proposed for 2026. INTERNAL SERVICE FUNDS Central Garage Fund The Central Garage Fund accounts for the acquisition, maintenance, and repair of all motor vehicles and motor-driven equipment used by the City. It is funded by internal operating user fees charged to other City departments and funds. Fees for 2027 will increase 5% over 2026
levels. The funding for the replacement of equipment that the operation maintains will be accomplished through a general tax levy in the amount of $1.7 million. The increase is in response to increased costs incurred in the purchase of rolling stock and equipment. Additionally, it is projected that for 2026 and 2027, the fund may not cash flow. The operating transfers are planned to battle inflationary pressures and depleting reserves. The fund is
scheduled to make purchases in 2026 of $1.39 million and $1.78 million in 2027. The significant purchases planned for 2027 are:
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• Flush Truck/Roff-Off at $350,000
• Dump Truck at $320,000
• Fire Truck at $302,100
• Squads - Police Detective (3) at $160,000
• Squads - K9 Patrol (2) at $120,000
• Parks - Ford F250 (2) at $120,000 Information Technologies Fund The Information Technologies (IT) Fund’s primary purpose is to provide computer hardware and software support, programming and training to City staff. As with the Central Garage Fund, the purchase and replacement of equipment in the IT Fund will be funded through a general
tax levy in the amount of $421,845. The fund is scheduled to make capital purchases in 2026 of $89,910 and $147,330 in 2027. The IT Fund also purchases and pays license fees for equipment and software which is not capitalized and provides office supplies and copying services for all City departments. Insurance/Risk Management Fund
The Insurance/Risk Management Fund accounts for all the City's costs for claims related to workers' compensation, unemployment insurance benefits, property insurance, flexible benefits, dental insurance and all other City self-insurance costs. For 2027, the fund has increased property/casualty and workers compensation rates. Operating results of the fund are dependent on the number and scope of claims paid during any given year and consequently,
results can fluctuate from year to year. Building Services Fund The Building Services Fund is responsible for the maintenance and upkeep of the Richfield Municipal Center and Fire Station #2. The Municipal Center was built in 2011. After this amount
of time the increased maintenance costs are expected in the operating budget. User fees will continue to be adjusted on an annual basis to keep pace with operating costs and to provide funding for replacement costs of fixtures within the building.
DEBT SERVICE FUND The Debt Service Fund is used to record financial operations from special assessments, tax
increment, and, as necessary, property taxes to meet debt service payments and outstanding
bond issues. General Obligation improvement bonds are payable through 2043, with outstanding principal at the beginning of 2027 of $35.3 million. The fund balance, along with debt service tax levies, special assessment collections and interest earnings are pledged to service the debt. FINANCE POLICY City policy requires that all budgeted expenditures under $1,000 must be approved by a division manager. Any expenditure over $1,000 and up to $5,000 must be approved by the division manager and department director. Any expenditure over $5,000 must be approved by the division manager, department director and Finance Director. All expenditure over $25,000
requires additional approval of the City Manager. Any expenditure over $175,000 must be
approved by the City Council.
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Capital expenditures represent all tangible or intangible assets that are used in operations, that have initial useful lives extending beyond a single reporting period and whose dollar value is greater than $25,000. CAPITAL IMPROVEMENTS BUDGET
The Capital Improvement Budget recommends $26,382,595 of expenditures in 2027. The projects invest in improvements to right-of-way (streets, sidewalks and underground infrastructure for water, sanitary sewer and stormwater), facilities and parks and open space. The capital budget is funded by a wide variety of sources, including federal, state and county
grants, state transportation funding, utility payments, property taxes, franchise fees and liquor
store profits. Of note, the 2026 Minnesota legislative session provided $2 million to offset Hennepin County local cost shares for the Nicollet Reconstruction Project. The City also received $1.1 million in federal funding to construct a back-up water source with Minneapolis in the event of an emergency.
CONCLUSION The information presented in this budget document provides the background and funding plans to address opportunities and challenges so that the City can be a thriving community into the future. I would like to take this opportunity to thank Budget, Cash and Debt Manager, Steve McDaniel, and all City departments for their input and help in preparing the 2027 budget. In
addition, I thank the City Council for providing the vision, values and priorities that guide our work. Respectfully submitted,
Katie Rodriguez City Manager
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CITY OFFICIALS
Term of Office
4 Years
4 Years
4 Years
4 Years
MAYOR - MARY SUPPLE
COUNCIL MEMBER - SHARON CHRISTENSEN
COUNCIL MEMBER - WALTER BURK
COUNCIL MEMBER - SEAN HAYFORD OLEARY
COUNCIL MEMBER - RORI A. COLEMAN-WOODS 4 Years
ADMINISTRATIVE STAFF
KA TIE RODRIGUEZ - CITY MANAGER
MARY BOGIE - FINANCE DIRECTOR
MICHELLE FRIEDRICH - CITY CLERK
Term Expires
January 12, 2027
January 12, 2027
January 9, 2029
January 9, 2029
January 9, 2029
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Residents
Fire
City Clerk
InformationTechnology
Communications
GovernmentBuildings
LiquorOperations
EmergencyServices Engineering
Central Garage& Equipment
ParkMaintenance
StreetMaintenance/Forestry
StormwaterUtiity &Equipment
Waste WaterUtility
Water Utility
Ice Arena
RecreationProgramming
SpecialFacilities
Sustainability
Swimming Pool
Wood LakeNature Center
EconomicDevelopment
EDA
Planning andZoning
Inspections
HRA
Public SafetyAdministrativeServicesFinanceHumanResources Public Works RecreationServices CommunityDevelopment
Executive
SupportServices
PoliceOperations
City Attorney City Council
City Manager
Deputy Registrar(Motor Vehicle)
City of Richfield Organizational Chart
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Improvement
Bonds
Redevelopment *Right of Way
Bonds Improvements
Special Facilities Public
Aid Facilities
Special Recreation
Opioid
Settlement
Enterprise Funds Internal Services Funds
Public Safety
Streetlight *Municipal Liquor Central Garage
& Equipment
Water & Wastewater Information
Utility Technologies
Storm Sewer
Utility
Insurance/Risk
Management
Building
Services
Compensated
Absences
*General Fund Debt Service
Funds
Capital
Project Funds
Recreational
Development
Aid
User Fee
Fund
Elections
Drug/Felony
Forfeiture
Special Revenue Funds
Wood Lake
Half Marathon
Compliance
Recreation Services
Contributions
Nature Center
Contributions
PROPRIETARY FUNDS
Liquor Contribution
Tourism
Administration
Communications
Grants
GOVERNMENTAL FUNDS
Public Safety
Public Health
Ice Arena
Swimming
Pool
Programs
The City's budget is prepared using a modified
accrual basis of accounting for all
governmental funds and an accrual basis of
accounting for proprietary funds.
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BUDGET SUMMARY
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SUMMARY OF 2026 REVISED BUDGET ALL FUNDS
Fund Balance Fund Balance
FUND December 31, 2025 Revenues Expenditures December 31, 2026
General 13,766,406$ 34,911,587$ 34,168,855$ 14,509,138$
Special Revenue Funds
Liquor Contribution 160,445 476,000 475,000 161,445
Tourism Administration 62,815 7,150 5,440 64,525
Communications 1,850,126 281,000 398,070 1,733,056
Elections 869,686 382,898 328,331 924,253
Drug Felony/Forfeiture 312,155 93,400 51,600 353,955
Public Safety Compliance 413,194 55,500 25,000 443,694
Recreation Contributions 100,133 130,000 123,000 107,133
Nature Center Contributions 499,428 192,000 290,000 401,428
Public Health Grants 145,849 51,214 51,214 145,849
Wood Lake Half Marathon 128,745 70,000 72,000 126,745
Franchise Fees 2,988,358 2,500,000 2,155,000 3,333,358
Ice Arena (1,148,869) 2,035,270 1,634,371 (747,970)
Swimming Pool 208,840 678,480 652,510 234,810
Special Facilities 79,206 69,980 69,590 79,596
Sustainability 303,926 484,829 442,472 346,283
Opioid Settlement 336,294 57,113 12,000 381,407
Public Safety Aid 1,430,579 50,000 - 1,480,579
Street Light User Fee 236,446 387,000 332,000 291,446
Enterprise Funds *
Liquor 6,515,374 13,776,760 13,590,545 6,701,589
Water & Sewer Utility**21,743,911 10,909,000 10,428,540 22,224,371
Storm Sewer Utility **10,339,091 2,842,100 2,462,490 10,718,701
Internal Service Funds *
Central Garage 6,091,919 3,097,530 2,618,770 6,570,679
Information Technologies 657,838 1,917,141 1,872,710 702,269
Insurance/Risk Management 4,557,038 1,216,690 1,707,802 4,065,926
Building Services 1,198,754 1,324,610 1,092,350 1,431,014
Compensated Absences 346,847 - - 346,847
Debt Service Funds **
G.O. Improvement Bonds 9,250,848 8,415,730 7,445,273 10,221,305
Capital Improvement Funds
Recreational Development 8,709,745 20,484,067 20,484,067 8,709,745
Right-of-Way Improvements 4,183,744 6,706,200 6,706,200 4,183,744
Public Facilities - 1,675,000 1,675,000 -
Buildings, Fleet and Technology 1,800,000 3,444,836 3,444,836 1,800,000
TOTALS 98,138,871$ 118,723,085$ 114,815,036$ 102,046,920$
* In municipal accounting, all capital outlay acquired by the Enterprise and Internal Service Funds is recorded
at cost. This cost is charged as depreciation expense over the estimated useful life of the asset.
** Bonds are not recorded as current expenditures, but rather as adjustments to the cash position.
Bond proceeds are not recorded as current revenues.
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SUMMARY OF 2027 BUDGET ALL FUNDS
Fund Balance Fund Balance
FUND January 1, 2027 Revenues Expenditures December 31, 2027
General 14,509,138$ 35,893,555$ 35,893,555$ 14,509,138$
Special Revenue Funds
Liquor Contribution 161,445 476,000 475,000 162,445
Tourism Administration 64,525 7,150 5,440 66,235
Communications 1,733,056 285,000 429,830 1,588,226
Elections 924,253 448,960 298,960 1,074,253
Drug Felony/Forfeiture 353,955 23,500 57,000 320,455
Public Safety Compliance 443,694 43,210 25,000 461,904
Recreation Contributions 107,133 140,000 123,000 124,133
Nature Center Contributions 401,428 87,000 80,000 408,428
Public Health Grants 145,849 51,214 51,214 145,849
Wood Lake Half Marathon 126,745 70,000 72,000 124,745
Franchise Fees 3,333,358 2,477,775 2,375,000 3,436,133
Ice Arena (747,970) 2,149,435 1,556,778 (155,313)
Swimming Pool 234,810 714,080 780,048 168,842
Special Facilities 79,596 72,430 66,342 85,684
Sustainability 346,283 513,161 437,630 421,814
Opioid Settlement 381,407 57,113 12,000 426,520
Public Safety Aid 1,480,579 50,000 - 1,530,579
Street Light User Fee 291,446 387,000 340,000 338,446
Enterprise Funds *
Liquor 6,701,589 13,841,950 13,716,905 6,826,634
Water & Sewer Utility**22,224,371 13,263,140 11,025,050 24,462,461
Storm Sewer Utility **10,718,701 3,231,220 3,078,540 10,871,381
Internal Service Funds *
Central Garage 6,570,679 3,567,854 2,922,070 7,216,463
Information Technologies 702,269 1,984,475 2,051,160 635,584
Insurance/Risk Management 4,065,926 1,196,570 1,346,460 3,916,036
Building Services 1,431,014 1,371,075 1,140,967 1,661,122
Compensated Absences 346,847 - - 346,847
Debt Service Funds **
G.O. Improvement Bonds 10,221,305 8,455,442 8,215,904 10,460,843
Capital Improvement Funds
Recreational Development 8,709,745 3,235,768 3,235,768 8,709,745
Right-of-Way Improvements 4,183,744 10,038,000 10,038,000 4,183,744
Public Facilities - 9,375,000 9,375,000 -
Buildings, Fleet and Technology 1,800,000 3,733,827 3,733,827 1,800,000
TOTALS 102,046,920$ 117,240,904$ 112,958,448$ 106,329,376$
* In municipal accounting, all capital outlay acquired by the Enterprise and Internal Service Funds is recorded
at cost. This cost is charged as depreciation expense over the estimated useful life of the asset.
** Bonds are not recorded as current expenditures, but rather as adjustments to the cash position.
Bond proceeds are not recorded as current revenues.
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COMPARATIVE ANALYSIS OF REVENUES ALL FUNDS
2025 2026 2026 2027
Actual Budget Revised Budget
*General Fund 33,609,625 35,134,115 34,911,587 35,893,555
Special Revenue Funds
Liquor Contribution Fund 480,617 476,000 476,000 476,000 Tourism Administration 9,825 7,150 7,150 7,150 Communications 344,280 276,500 281,000 285,000
Elections 544,597 379,600 382,898 448,960
Drug Felony/Forfeiture 92,429 38,500 93,400 23,500 Public Safety Compliance 166,374 46,300 55,500 43,210 Recreation Contributions 228,220 165,000 130,000 140,000
Nature Center Contributions 282,038 85,000 192,000 87,000
Public Health Grants 190,491 51,214 51,214 51,214 Wood Lake Half Marathon 65,109 70,000 70,000 70,000 Franchise Fees 2,611,823 2,500,000 2,500,000 2,477,775
Ice Arena 2,450,648 2,065,270 2,035,270 2,149,435
Swimming Pool 636,940 710,810 678,480 714,080 Special Facilities 70,155 69,980 69,980 72,430 Sustainability 540,750 526,789 484,829 513,161
Opioid Grant 67,768 57,113 57,113 57,113
Public Safety Aid 54,269 50,000 50,000 50,000
Street Light User Fee 380,825 380,000 387,000 387,000
Enterprise Funds*
Liquor 13,828,055 13,745,200 13,776,760 13,841,950
Water & Sewer Utility 10,883,975 10,925,000 10,909,000 13,263,140 Storm Sewer Utility 2,617,770 2,792,100 2,842,100 3,231,220
Internal Service Funds
Central Garage 3,125,657 3,097,530 3,097,530 3,567,854 Information Technologies 1,885,730 1,902,141 1,917,141 1,984,475 Insurance/Risk Management 1,214,077 1,212,720 1,216,690 1,196,570
Building Services 1,102,159 1,126,610 1,324,610 1,371,075
Compensated Absences - - - -
Debt Service Funds
G.O. Improvement Bonds 7,613,988 8,415,730 8,415,730 8,455,442
Capital Improvement Funds* Recreational Development 13,013,646 6,725,000 20,484,067 3,235,768
Right-of-Way Improvements 6,117,683 9,926,500 6,706,200 10,038,000
Public Facilities 1,993,551 1,525,000 1,675,000 9,375,000
Buildings, Fleet and Technology 2,649,639 3,799,636 3,444,836 3,733,827
Total 108,872,713$ 108,282,508$ 118,723,085$ 117,240,904$
* These funds represent major funds of the City. Major funds represent the significant activities of the City and basically include any fund whose revenues or expenditures, excluding other financing sources and uses, constitute more than 10% of the revenues or expenditures of the appropriated budget.
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COMPARATIVE ANALYSIS OF EXPENDITURES ALL FUNDS
2025 2026 2026 2027
Actual Budget Revised Budget
*General Fund
Legislative/Executive 1,263,572$ 1,360,777$ 1,308,195$ 1,284,677$
Administrative Services 922,615 1,067,194 1,037,066 1,141,770
Human Resources 290,336 360,783 412,420 562,852
Finance 550,482 701,628 812,080 705,066
Public Safety 12,680,033 13,642,788 13,332,315 14,312,605
Fire 6,239,563 6,641,729 6,426,700 6,846,680
Community Development 1,688,854 1,916,110 1,884,350 1,972,361
Public Works 5,377,729 5,949,340 6,021,680 5,807,520
Recreation Services 2,506,587 2,561,200 2,561,799 2,871,320
Operating transfers 352,250 372,250 372,250 388,704
Miscellaneous - 560,316 - -
Subtotal 31,872,021$ 35,134,115$ 34,168,855$ 35,893,555$
Special Revenue Funds
Liquor Contribution Fund 475,000 475,000 475,000 475,000
Tourism Administration 5,440 5,440 5,440 5,440
Communications 383,315 412,420 398,070 429,830
Election 2,070,300 328,331 328,331 298,960
Drug Felony/Forfeiture 60,407 34,100 51,600 57,000
Public Safety Compliance 53,286 25,000 25,000 25,000
Recreation Contributions 232,859 148,000 123,000 123,000
Nature Center Contributions 45,137 78,864 290,000 80,000
Public Health Grants 183,989 51,214 51,214 51,214
Wood Lake Half Marathon 28,242 90,000 72,000 72,000
Franchise Fees 2,073,796 2,464,700 2,155,000 2,375,000
Ice Arena 1,536,783 1,399,878 1,634,371 1,556,778
Swimming Pool 638,056 663,320 652,510 780,048
Special Facilities 66,604 68,680 69,590 66,342
Sustainability 589,660 443,273 442,472 437,630
Opioid Settlement 32,299 12,000 12,000 12,000
Public Safety Aid 134,000 446,095 - -
Street Light User Fee 328,826 332,000 332,000 340,000
Enterprise Funds*
Liquor 13,362,413 13,794,795 13,590,545 13,716,905
Water & Sewer Utility 9,274,854 10,389,360 10,428,540 11,025,050
Storm Sewer Utility 3,240,913 2,357,460 2,462,490 3,078,540
Internal Service Funds
Central Garage 2,844,767 2,618,580 2,618,770 2,922,070
Information Technologies 1,690,116 1,872,703 1,872,710 2,051,160
Insurance/Risk Management (331,448) 1,618,602 1,707,802 1,346,460
Building Services 916,652 1,137,319 1,092,350 1,140,967
Compensated Absences - - - -
Debt Service Funds
G.O. Improvement Bonds 4,977,107 6,990,210 7,445,273 8,215,904
Capital Improvement Funds*
Recreational Development 13,013,646 6,725,000 20,484,067 3,235,768
Right-of-Way Improvements 6,117,683 9,926,500 6,706,200 10,038,000
Public Facilities 1,993,551 1,525,000 1,675,000 9,375,000
Buildings, Fleet and Technology 2,649,639 3,799,636 3,444,836 3,733,827
Total 100,559,913$ 105,367,595$ 114,815,036$ 112,958,448$
* These funds represent major funds of the City. Major funds represent the significant activities of the City and basically
include any fund whose revenues or expenditures, excluding other financing sources and uses, constitute more than 10%
of the revenues or expenditures of the appropriated budget.25
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GENERAL FUND
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COMPARATIVE ANALYSIS OF 2026 ADOPTED, 2026 REVISED AND 2027 BUDGET - GENERAL FUND
Adopted/Proposed %Increase/Adopted 2026 Revised 2026 Proposed 2027 (Decrease)
REVENUES Property Taxes 25,223,647$ 25,223,647$ 26,364,102$ 4.52% Licenses and Permits 1,130,850 1,123,340 1,157,740 2.38% Intergovernmental Revenue 5,766,368 5,874,730 5,589,988 -3.06% Charges for Services 1,830,300 1,909,370 1,891,465 3.34% Fines and Forfeitures 220,000 225,000 225,000 2.27% Miscellaneous Revenues 129,255 167,900 329,400 154.85% Transfers 833,695 387,600 335,860 -59.71% Total Revenues 35,134,115$ 34,911,587$ 35,893,555$ 2.16%
EXPENDITURES Legislative/Executive 1,360,777$ 1,308,195$ 1,284,677$ -5.59% Administrative Services 1,067,194 1,037,066 1,141,770 6.99% Human Resources 360,783 412,420 562,852 56.01% Finance 701,628 812,080 705,066 0.49% Public Safety 13,642,788 13,332,315 14,312,605 4.91% Fire 6,641,729 6,426,700 6,846,680 3.09% Community Development 1,916,110 1,884,350 1,972,361 2.94% Public Works 5,949,340 6,021,680 5,807,520 -2.38% Recreation Services 2,561,200 2,561,799 2,871,320 12.11% Transfers 372,250 372,250 388,704 4.42%
0.44% related to PFML 115,000 - - -100.00% 40% GF Reserve 445,316 742,732 -100.00%
Total Expenditures 35,134,115$ 34,911,587$ 35,893,555$ 2.16%
The 2027 Proposed General Fund budget reflects a 2.16%increase in revenues and expenditures as compared tothe2026 Adopted budget.The 2026 Revised budget reflects a 0.63%decrease when compared to the 2026 Adoptedbudget.
REVENUESTheprimary source of revenues for the General Fund continues to be property taxes, charges for services,intergovernmental revenues and the transfer in of revenues to fund general fund operations.For the 2027 Proposedbudget these four sources account for 94.70%of total General Fund revenues.
EXPENDITURES
The largest expenditures incurred by the General Fund remain those for public safety,fire and public works.Theproposed 2027 tax levy for the General Fund does not even cover the budgeted 2027 expenditures of these threedepartments.
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COMPARATIVE ANALYSIS OF FUND BALANCE - GENERAL FUND
2025 2026 2026 2027ActualBudgetRevisedBudget
Fund Balance - January 1 12,028,802$ 12,028,802$ 13,766,406$ 14,509,138$
Revenue and Transfers 33,609,625 35,134,115 34,911,587 35,893,555
Total Available 45,638,427 47,162,917 48,677,993 50,402,693
Expenditures and Transfers 31,872,021 35,134,115 34,168,855 35,893,555
Fund Balance - December 31 13,766,406$ 12,028,802$ 14,509,138$ 14,509,138$
Fund Balances:
Nonspendable 72,854$ -$ -$ -$
Unassigned 13,693,552 12,028,802 14,509,138 14,509,138
Total Fund Balance 13,766,406$ 12,028,802$ 14,509,138$ 14,509,138$
Revised Budget 2026 Budget 2027
SOURCE Total Percent Total Percent
Taxes 25,223,647$ 72.25%26,364,102$ 73.45%Licenses and Permits 1,123,340 3.22%1,157,740 3.22%
Intergovernmental Revenues: Local Government Aid 3,448,397 9.88%3,503,091 9.76% Other 2,426,333 6.95%2,086,897 5.81% Subtotal 5,874,730 92.30%5,589,988 92.25%
Charges for Services 1,909,370 5.47%1,891,465 5.27%
Fines and Forfeitures 225,000 0.64%225,000 0.63%
Miscellaneous Revenues 167,900 0.48%329,400 0.92%
Transfers 387,600 1.11%335,860 0.94%
Total Revenues 34,911,587$ 100.00%35,893,555$ 100.00%
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COMPARATIVE ANALYSIS OF REVENUES - GENERAL FUND
2025 2026 2026 2027
Actual Budget Revised Budget
Taxes Current Ad Valorem 19,465,675$ 20,389,502$ 20,389,502$ 21,468,766$ Fiscal Disparities 3,840,369 4,834,145 4,834,145 4,895,336
Total Property Taxes 23,306,044$ 25,223,647$ 25,223,647$ 26,364,102$
License and Permits
Business Licenses 312,059$ 261,000$ 249,740$ 248,740$ Non Business Licenses and Permits 977,607 869,850 873,600 909,000
Total License and Permits 1,289,666$ 1,130,850$ 1,123,340$ 1,157,740$
Intergovernmental Revenue Federal -
Grants 158,483$ 160,000$ 182,510$ 182,510$ State :
Local Government Aid 3,410,633 3,448,397 3,448,397 3,503,091 Law Officer Training 39,777 43,000 44,000 44,000 Police State Aid 573,973 450,000 450,000 455,000
Fire State Aid 307,418 250,000 345,830 392,490 State-aid Street Maintenance 315,000 315,000 315,000 315,000
Grants - Other 237,424 470,000 480,000 100,000 Community Health Services 177,835 177,835 177,897 177,897
Support Services 454,250 431,096 431,096 420,000 County-
Grants - Other - 21,040
Total Intergovernmental Revenue 5,674,793$ 5,766,368$ 5,874,730$ 5,589,988$
Charges for Services
General Government and Deputy Registrar 1,916,601 1,420,000 1,491,920 1,469,620
Public Safety 42,340 54,000 50,000 50,000 Park and Recreation 345,021 292,200 311,100 296,100 Nature Center 53,464 64,100 56,350 75,745
Total Charges for Services 2,357,426$ 1,830,300$ 1,909,370$ 1,891,465$
Fines and Forfeits
Municipal Court Fines 221,454$ 220,000$ 225,000$ 225,000$
Total Fines and Forfeits 221,454$ 220,000$ 225,000$ 225,000$
Miscellaneous Revenues
Investment Income 222,216$ 100,000$ 154,500$ 244,000$ Rents 3,893 - 8,000 80,000
Recovery - Damage to Property 8,581 5,000 5,000 5,000
Special Assessments 6,889 -
Other 10,173 24,255 400 400
Total Miscellaneous Revenues 251,752$ 129,255$ 167,900$ 329,400$
Transfers 508,490$ 833,695$ 387,600$ 335,860$
TOTAL REVENUES 33,609,625$ 35,134,115$ 34,911,587$ 35,893,555$
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2025 2026 2026 2027
Actual Budget Revised Budget
Legislative/Executive Mayor-Council 304,125$ 323,712$ 350,935$ 325,961$
Other Agencies 116,110 120,174 120,174 124,030
City Manager 528,528 552,711 472,906 459,926 Legal 314,809 364,180 364,180 374,760
Subtotal 1,263,572$ 1,360,777$ 1,308,195$ 1,284,677$
Administrative Services
Administration 161,895$ 171,262$ 175,893$ 178,580$ Deputy Registrar 734,879 848,060 812,875 913,660
City Clerk 25,841 47,872 48,298 49,530
Subtotal 922,615$ 1,067,194$ 1,037,066$ 1,141,770$
Human Resources
Human Resources 290,336$ 360,783$ 412,420$ 562,852$
Subtotal 290,336$ 360,783$ 412,420$ 562,852$
Finance
Finance 550,482$ 701,628$ 812,080$ 705,066$ Subtotal 550,482$ 701,628$ 812,080$ 705,066$
Public Safety
Support Services 1,730,318$ 1,365,558$ 1,295,955$ 1,447,125$
Police 10,916,816 12,228,570 11,988,800 12,815,470
Emergency Services 32,899 48,660 47,560 50,010
Subtotal 12,680,033$ 13,642,788$ 13,332,315$ 14,312,605$
Fire
Fire 6,239,563$ 6,641,729$ 6,426,700$ 6,846,680$
Subtotal 6,239,563$ 6,641,729$ 6,426,700$ 6,846,680$
Community Development
Administration 68,167$ 69,860$ 69,860$ 39,301$
Planning & Zoning 313,105 362,490 362,510 424,530
Inspections 1,307,582 1,483,760 1,451,980 1,508,530
Subtotal 1,688,854$ 1,916,110$ 1,884,350$ 1,972,361$
Public Works Administration 223,605$ 227,560$ 277,570$ 232,840$ Engineering 613,164 607,220 607,180 628,590
Streets 2,757,684 3,315,230 3,337,580 3,091,070 Park Maintenance 1,783,276 1,799,330 1,799,350 1,855,020 Subtotal 5,377,729$ 5,949,340$ 6,021,680$ 5,807,520$
Recreation Services
Recreation Administration 534,201$ 571,780$ 550,703$ 577,897$ Recreation 1,224,189 1,289,399 1,287,367 1,340,982 Nature Center 748,197 700,021 723,729 952,441
Subtotal 2,506,587$ 2,561,200$ 2,561,799$ 2,871,320$
Transfers Out
Special Revenue Funds 352,250$ 372,250$ 372,250$ 388,704$
352,250$ 372,250$ 372,250$ 388,704$
Miscellaneous
0.44% related to PFML -$ 115,000$ -$
40% Fund Balance Reserve - 445,316 742,732
-$ 560,316$ 742,732$ -$ TOTAL EXPENDITURES 31,872,021$ 35,134,115$ 34,911,587$ 35,893,555$
COMPARATIVE ANALYSIS OF EXPENDITURES - GENERAL FUND
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LEGISLATIVE / EXECUTIVE
33
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Legislative/ExecutiveDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
304,125 323,712 350,935 325,961Mayor Council $$$$0.69%10100
116,110 120,174 120,174 124,030Other Agencies 3.21%10105
528,528 552,711 472,906 459,926City Manager (16.79%)10115
314,809 364,180 364,180 374,760Legal 2.91%10120
1,360,777 1,308,195 1,284,6771,263,572Legislative/Executive TOTAL $$$$(5.59%)
LEGISLATIVE/EXECUTIVE
YEAR AMOUNT
2025 $1,263,572
2026B $1,360,777
2026R $1,308,195
2027B $1,284,677
$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
$1,400,000
2025 2026B 2026R 2027B
E
X
P
E
N
D
I
T
U
R
E
S
YEAR
LEGISLATIVE/EXECUTIVE EXPENDITURES
34
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CITY COUNCIL DIVISION
MISSION STATEMENT
To function as the legislative and policy-making body for the City of Richfield.
DIVISION FOCUS
The Richfield City Council is composed of an elected at-large Mayor and four Council
Members, one of which is elected at-large. The Mayor and the Council Members are each elected to four-year terms. The City Council sets the long-range direction of the City and establishes policies that maintain a high quality of life for Richfield residents.
2026 HIGHLIGHTS
• Participated in the annual City Council-Staff Retreat, emphasizing the Council’s ownership of the City’s strategic plan—its purpose, priorities, direction, and accountability. Staff, guided by the Council, is responsible for implementing the plan, determining methods, and measuring performance related to its goals and action
steps.
• Quarterly meetings to focus on long-term vision and planning, and to maintain a high functioning team.
• Fostered community engagement by serving as liaisons to City boards and
commissions. Improved commission recruiting procedures and provided onboarding for new commissioners with separate training for commission chairs.
• Met with residents and supported a variety of community initiatives, including
Juneteenth, the 4th of July, Penn Fest, and the third State of the Community (Summer
Kickoff) event.
• Advocated for City priorities at the federal, State, and County levels to help shape key regional projects and statewide reforms.
• Increased Richfield’s regional presence by partnering with regional organizations like the I-494 Corridor Commission, I-35W Solutions Alliance, Greater MSP, and Regional Council of Mayors.
• Continued to increase Richfield’s visibility with earned media, by speaking at key local
and regional events and by engaging with our neighbors and regional organizations.
• Contracted with Craig Rapp Consulting for an essential services study to better define essential services, prioritize services and programs, and explore more efficient and effective service delivery models.
• Joined the Cities for Safe and Stable Communities coalition to strengthen advocacy efforts on issues impacting local government finances, public safety, housing, and quality of life.
• Initiated the City Manager recruitment process by selecting and contracting with an executive search firm to guide the City Council through the recruitment and selection of the City's next City Manager.
2027 DIVISION GOALS
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•Embed Strategic Plan mission, vision, values and priorities/outcomes in Council policyand communications and report progress on the dashboard (City Council
Priority/Outcome 1a).
•Continue to improve partnerships with community organizations, including schools,civic groups, nonprofits, and local businesses. Support community events like 4th ofJuly, Penn Fest, and the State of the Community (Summer Kickoff) (City Council
Priority/Outcome 1a).
•Increase Richfield’s visibility with earned media and public by speaking at key localand regional events (City Council Priority/Outcome 1a).
•Continue to advocate for City priorities at the Federal, State, and County levels (City
Council Priority/Outcome 3b).
DIVISION EXPENDITURE COMMENT
The 2026 revised budget is 8.41% higher than the 2026 adopted budget. The increase is
primarily due to the addition of Minnesota Paid Family and Medical Leave costs, joining
the Cities for Safe and Stable Communities coalition, and contracting with an executive search firm to assist with the recruitment of the next City Manager.
The 2027 budget is 0.69% higher than the 2026 adopted budget. The increase is primarily due to the completion of the Essential Services Study and one-time Executive Search
Firm costs included in the 2026 revised budget. The 2027 budget includes funding for the
development of a new Strategic Plan.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Legislative/ExecutiveDEPARTMENT:
Mayor Council - 10100BUSINESS UNIT:
Personal Services
6005 57,201 58,871 58,871 58,871Full Time $$$$
6031 2,554 1,579 1,579 1,579Employer Social Security
6032 735 854 854 854Employer Medicare
6033 1,623 1,670 1,670 1,670Employer Pera
6038 30 30 30 30Workers Compensation
6041 9 - 223 223Paid Family Medical Leave
63,004 63,227 63,22762,152Personal Services Total $$$$
Other Services & Charges
6103 76,069 77,500 104,500 69,500Professional Services -General $$$$
6202 14,190 11,820 11,820 13,504Data Processing Rental
6207 18,700 19,450 19,450 18,469Utility Services
6303 5,533 6,000 6,000 6,500Professional Development
6305 79,579 86,718 86,718 90,086Subscriptions & Memberships
6308 610 620 620 630Property Liability
6401 252 750 750 750Office Supplies
6402 138 500 500 500Copy Charges
6403 23 50 50 50Postage
6409 192 550 550 550Uniforms & Clothing
6513 46,687 56,750 56,750 62,195Other Charges
260,708 287,708 262,734241,973Other Services & Charges Total $$$$
323,712 350,935 325,961304,125Mayor Council TOTAL $$$$
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GENERAL FUNDFUND:
Legislative/ExecutiveDEPARTMENT:
Mayor Council - 10100BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Part-Time Employees
1.00 1.00ExemptMayor1.00
4.00 4.00ExemptCouncil Member 4.00
5.00 5.00Total5.00
- - None $$- $
--Total $$-$
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OTHER AGENCIES DIVISION
MISSION STATEMENT
To award contracts to agencies delivering services to residents in Richfield through a competitive annual process.
DIVISION FOCUS
The Other Agencies Division focus is providing annual contracts to human service agencies serving Richfield residents.
2026 HIGHLIGHTS
•Awarded $97,584 in contracts to seven non-profit agencies to provide services to
Richfield residents.
2027 DIVISION GOALS
•Administer a competitive annual process to contract with social service agencies
to provide needed services to Richfield residents. The 2027 budget includes
$100,500 for social service agency contracts. (City Council Priority/Outcome 2c
and 5a).
DIVISION EXPENDITURE COMMENT
The 2027 budget reflects a 3.21% increase over 2026, driven by modest increases in interdepartmental labor allocations and social service organization contract funding to
maintain current service levels and support community partnerships.
The allocation of the 2027 contracts will be determined by the City Council in early 2027.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Legislative/ExecutiveDEPARTMENT:
Other Agencies - 10105BUSINESS UNIT:
Personal Services
6051 24,310 22,590 22,590 23,530Interdepartmental Labor $$$$
22,590 22,590 23,53024,310Personal Services Total $$$$
Other Services & Charges
6515 91,800 97,584 97,584 100,500Human Services - Unallocated $$$$
97,584 97,584 100,50091,800Other Services & Charges Total $$$$
120,174 120,174 124,030116,110Other Agencies TOTAL $$$$
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CITY MANAGER DEPARTMENT
MISSION STATEMENT
Plan and direct the administration of City projects and programs as established by the City Charter, City ordinances and the City Council to ensure efficient, cost-effective
municipal services and development consistent with City Council vision, values, priorities
and desired outcomes.
DEPARTMENT FOCUS
The City Manager is the chief administrative officer of the City and is responsible to the City Council for the supervision of all departments and divisions of City administration
except where otherwise provided by law or City Charter. In addition to acting as the chief
administrator for the City, the City Manager Department team oversees the City’s equity work.
2026 HIGHLIGHTS
•Coordinated a wide range of training options for staff, including but not limited to
leadership training and supervisor training. (Council Priority/High-QualityWorkforce, a well-trained workforce)
•Organized City Council-Staff retreats to help build constructive operating norms
and expectations to enable a high-functioning team. Council and Directors
worked to identify policy proposals for the coming year during quarterly effectivegovernance meetings. (Council Priority/High-Quality Workforce, healthy Council-staff relationships)
•Assisted in the development of the Essential Services Study, providing Council
and staff with service categorizations and recommendations. (CouncilPriority/Operational Excellence, operational capability to deliver essentialservices)
•Coordinated the City Manager executive search process, including development
of the Request for Proposals (RFP), proposal evaluation, Council interviews, and
firm selection.
•Completed the final update and reporting for the current Strategic Plan inpreparation for development of the City's next strategic plan. (CouncilPriority/Operational Excellence, focused City leadership)
•Supported updates to the City Charter to bring petition requirements into
compliance with state law.
•Partnered with the Finance Department to evaluate the City's workers'
compensation program and develop a recommendation on whether to remain
self-insured or transition coverage to the League of Minnesota Cities Insurance
Trust. (Council Priority/Operational Excellence, focused City leadership)
•Transferred administration of the City's lodging tax to the Minnesota Department
of Revenue.
•Participated in mediation efforts for the Fire Union.
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•Participated in Bureau of Mediation Services (BMS) Path Forward and Labor
Management Committee (LMC) training for the Fire Union.
2027 DEPARTMENT GOALS
•Continue to lead the integration of the City’s mission, vision, values, and strategicplan priorities into communications, processes, and City culture. Maintaindashboards to track performance targets. (Council Priority/OperationalExcellence, focused City leadership)
•Assist the Finance Department to develop long-term financial plans to fundoperations and capital needs (Council Priority/Operational Excellence, financialcapacity to deliver essential services)
•Assist HR in developing a training program for staff (Council Priority/High-Quality
Workforce, a well-trained workforce)
•Continue implementing process improvements across administrative functions.(Council Priority/Operational Excellence, operational capability to deliver
essential services)
•Coordinate the annual Council-Staff effective governance schedule and process.(Council Priority/High-Quality Workforce, healthy Council-staff relationships)
•Develop the 2027 legislative platform and partner with local legislators, state
agencies, and regional partners to advance key City priorities. (City CouncilPriority/Outcome)
•Develop the City's next Strategic Plan. (Council Priority/Operational Excellence,
focused City leadership)
DEPARTMENT EXPENDITURE COMMENT
The 2026 revised budget is 14.44% lower than the 2026 adopted budget. The decrease is primarily due to the transfer of the Equity Coordinator position and related equity
projects to the Human Resources budget, partially offset by increased costs for Paid
Family and Medical Leave, a City Manager salary increase, and higher training costs.
The 2027 budget is 16.79% lower than the 2026 adopted budget. The decrease is
primarily due to the transfer of the remaining equity projects to the Human Resources
budget and reductions in charges allocated to other City funds.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Legislative/ExecutiveDEPARTMENT:
City Manager - 10115BUSINESS UNIT:
Personal Services
6005 415,321 438,161 392,153 383,905Full Time $$$$
6031 24,748 26,013 23,630 21,382Employer Social Security
6032 5,853 6,233 5,526 5,106Employer Medicare
6033 31,265 32,862 29,411 28,793Employer Pera
6035 57,264 60,897 42,124 53,968Medical Insurance
6036 2,550 2,597 2,086 1,862Dental Insurance
6037 251 140 123 100Term Life
6038 890 910 910 960Workers Compensation
6040 426 776 694 680Long Term Disability
6041 83 - 1,488 1,457Paid Family Medical Leave
6055 (93,540)(90,310)(90,310)(93,590)Administrative Labor Credit
478,279 407,835 404,623445,111Personal Services Total $$$$
Other Services & Charges
6103 5,823 3,690 190 200Professional Services -General $$$$
6202 27,663 22,882 22,882 21,189Data Processing Rental
6207 9,340 9,710 9,710 9,724Utility Services
6302 1,958 2,640 2,220 1,920Communications
6303 14,148 12,600 14,775 13,600Professional Development
6305 3,229 5,000 3,700 3,500Subscriptions & Memberships
6307 3,808 4,130 4,130 2,570Insurance & Bonds
6308 1,160 1,180 1,180 1,200Property Liability
6401 965 1,000 1,000 1,000Office Supplies
6402 417 350 350 350Copy Charges
6403 4 50 50 50Postage
6513 14,902 11,200 4,884 - Other Charges
74,432 65,071 55,30383,417Other Services & Charges Total $$$$
552,711 472,906 459,926528,528City Manager TOTAL $$$$
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GENERAL FUNDFUND:
Legislative/ExecutiveDEPARTMENT:
City Manager - 10115BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0022City Manager 1.00
1.00 1.0013Senior Analyst 1.00
- -12Equity Coordinator 1.00
.50 .509Administrative Assistant .50
2.50 2.50Total3.50
-- None $$-$
--Total $$-$
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LEGAL DIVISION
MISSION STATEMENT
To provide legal services as required by the City of Richfield.
DIVISION FOCUS
The Legal Division includes legal services and costs for general corporate representation
and municipal prosecution.
The firm of Kennedy and Graven provides general corporate representation for the City. Services provided include attendance at all City Council meetings; attendance as requested by the Council or City staff at meetings with staff, public groups and public
hearings; review and preparation of contracts, performance bonds, insurance and other
routine legal documents; revision and preparation of ordinance code amendments and resolutions; formal and informal legal advice to Council, staff, commissions and committees; training sessions with officials and staff to discuss topics including but not limited to important legislative or judicial developments; and formal and informal advice
on human resource matters including interpretations of federal, state and local rules and
regulations relating to human resources matters.
H/J Law has been providing prosecution services to the city since July 1, 2022. Prosecution legal services provided include advising; ordinance enforcement; peace officer training; charging; calendar appearances; court trials; pretrial conferences and
omnibus hearings; jury trials; sentencing; and appeals. The city plans to continue the
contract with H/J Law for 2027.
2026 HIGHLIGHTS
• Continued excellent legal representation by Kennedy and Graven and H/J Law (City
Council Priority/Outcome 1c).
2027 DIVISION GOALS
• To ensure that the City has the best legal representation possible for all facets of its operation (City Council Priority/Outcome 1c).
DIVISION EXPENDITURE COMMENT
The 2026 revised budget reflects a 0% increase over the 2026 adopted budget. The 2027 budget includes a 2.91% increase to account for anticipated contractual rate adjustments for legal services provided by Kennedy & Graven. The increase maintains current service levels while reflecting modest increases in hourly billing rates.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Legislative/ExecutiveDEPARTMENT:
Legal - 10120BUSINESS UNIT:
Other Services & Charges
6103 120,892 165,000 165,000 173,250Professional Services -General $$$$
6105 192,467 197,700 197,700 200,000Prosecution
6308 1,450 1,480 1,480 1,510Property Liability
364,180 364,180 374,760314,809Other Services & Charges Total $$$$
364,180 364,180 374,760314,809LegalTOTAL$$$$
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ADMINISTRATIVE SERVICES
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Administrative ServicesDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
161,895 171,262 175,893 178,580Administration$$$$4.27%10200
734,879 848,060 812,875 913,660Deputy Registrar 7.74%10215
25,841 47,872 48,298 49,530City Clerk 3.46%10216
1,067,194 1,037,066 1,141,770922,615Administrative Services TOTAL $$$$6.99%
REVENUES
717,143 700,000 726,700 735,000Deputy Registrar $$$$5.00%10215
277 - - - City Clerk - 10216
ADMINISTRATIVE SERVICES
YEAR AMOUNT
2025 $922,615
2026B $1,067,194
2026R $1,036,526
2027B $1,141,770
$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
2025 2026B 2026R 2027B
E
X
P
E
N
D
I
T
U
R
E
S
YEAR
ADMINISTRATIVE SERVICES EXPENDITURES
48
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ADMINISTRATION DIVISION
MISSION STATEMENT
The mission of the Administration Division is to provide managerial direction and oversight
to the Administrative Services Department, including the general supervision of deputy registrar office, city clerk, communications and engagement, government buildings, information technology, and liquor store operations.
DIVISION FOCUS
The Administrative Services Director serves as the supervisor of Administrative Services
Department, including this division.
The Administrative Services Director is responsible for the overall direction and coordination of most of the City’s administrative support service activity that allows the other City departments to operate effectively and to create an optimal work environment
for employees.
2026 HIGHLIGHTS
•Smooth transition of HR responsibilities to the new HR Director.
•Enhance budget process for Administrative Services Department (City Council
Goal 4a).
•Implement policy and procedure changes for Liquor Operations (City CouncilGoal 4a).
•Facility Study – analysis completed it 2026, funding allocation in 2027 goals (CityCouncil Goal 1b).
2027 GOALS
•Review and develop templates for the Record Management System Project with
IT and City Clerk.
•Financial plan for facility study (City Council Goal 1b).
•Develop organization-wide technology plan (City Council Goal 1c).
DIVISION EXPENDITURE COMMENT
The 2026 revised budget reflects a 2.7% increase from the 2026 adopted budget. In the 2027 proposed budget, there will be a 4.27% increase from the 2026 adopted
budget.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Administrative ServicesDEPARTMENT:
Administration - 10200BUSINESS UNIT:
Personal Services
6005 166,204 183,430 178,587 187,060Full Time $$$$
6031 10,670 11,270 11,072 11,600Employer Social Security
6032 2,495 2,660 2,590 2,710Employer Medicare
6033 12,985 13,757 13,394 14,030Employer Pera
6036 729 750 723 750Dental Insurance
6037 72 40 43 40Term Life
6038 110 110 110 120Workers Compensation
6040 148 325 316 330Long Term Disability
6041 33 - 678 710Paid Family Medical Leave
6054 (66,724)(76,430)(76,430)- Interdepartmental Labor Credit
6055 (53,880)(55,580)(55,580)(57,340)Administrative Labor Credit
80,332 75,503 160,01072,842Personal Services Total $$$$
Other Services & Charges
6103 - 60 60 60Professional Services -General $$$$
6202 7,510 6,810 6,810 6,320Data Processing Rental
6207 76,400 79,460 79,460 7,140Utility Services
6302 481 - 480 500Communications
6303 2,392 1,500 10,500 1,500Professional Development
6305 - 250 250 250Subscriptions & Memberships
6307 1,183 1,150 1,130 1,030Insurance & Bonds
6308 700 710 710 720Property Liability
6401 248 130 130 150Office Supplies
6402 - 30 30 50Copy Charges
6403 3 30 30 50Postage
6414 136 800 800 800Other Supplies
90,930 100,390 18,57089,053Other Services & Charges Total $$$$
171,262 175,893 178,580161,895AdministrationTOTAL$$$$
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GENERAL FUNDFUND:
Administrative ServicesDEPARTMENT:
Administration - 10200BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0020A.S. Director/Assistant City Manager 1.00
1.00 1.00Total1.00
-- None $$-$
--Total $$-$
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DEPUTY REGISTRAR DIVISION
MISSION STATEMENT To provide exceptional customer service quickly and with accuracy serving as Deputy Registrar for
the State of Minnesota and managing the city information desk.
DIVISION FOCUS The Deputy Registrar Division provides resident services to the community in its function as Deputy
Registrar for the State of Minnesota. The division performs customer service functions for the City in the areas of motor vehicle titling and registrations, limited driver’s license services, passport applications and photos, fish and game licenses, and Department of Natural Resources (boat, snowmobile and ATV) transfers and registration. This department also includes the city information desk that processes City mail, answers resident questions, schedules for the use of the Municipal
Center conference rooms and checks in passport and motor vehicle customers. The Deputy Registrar Division includes the Motor Vehicle Licensing Supervisor, a Lead Licensing Technician, 3 full-time Licensing Technicians and 3 part-time Licensing Technicians. Two intermittent employees serve as City Services Receptionist.
The division provides high-volume, high-quality customer service, assisting an average of over 250 customers per day while maintaining a 99% accuracy rate in transactions. Despite the complexity and variety of services offered, the division continues to achieve an average transaction time of approximately 10 minutes, demonstrating strong operational efficiency, effective staff performance,
and consistent commitment to delivering timely and accurate service to the public.
2026 DIVISION GOALS
• Began researching and evaluating a new Point of Sale system to enhance operational efficiency, improve reporting capabilities, and support future departmental needs (City Council Goal 1b).
• Create and implement communications to City residents regarding Deputy Register services
and transaction requirements, improving customer awareness and preparedness (City Council Goal 4a).
• Create and implement a new passport appointment sign-up system, improving scheduling efficiency and enhancing customer experience (City Council Goal 1b).
2027 DIVISION GOALS
• Implement a new point of sale system to help with the record keeping and organization of the
motor vehicle, passport and Department of Natural Resource office (City Council Goal 1b).
• Continue to work with legislators regarding financial sustainability for deputy registrars (City Council Goal 1b).
DIVISION EXPENDITURE COMMENT
The 2026 revised budget reflects a -4.15% decrease from the 2026 adopted budget. In the 2027 proposed budget, there will be a 7.74% increase from the 2026 adopted budget.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Administrative ServicesDEPARTMENT:
Deputy Registrar - 10215BUSINESS UNIT:
Personal Services
6005 315,340 383,855 368,994 390,490Full Time $$$$
6006 117,274 138,241 126,605 135,720Part-time
6007 50,813 51,008 49,468 52,350Seasonal
6009 8,748 - 3,500 3,600Overtime
6031 30,225 38,490 33,657 35,710Employer Social Security
6032 7,069 9,000 7,871 8,350Employer Medicare
6033 36,671 46,808 40,876 43,390Employer Pera
6035 60,745 73,652 74,720 85,010Medical Insurance
6036 2,583 2,979 2,892 2,980Dental Insurance
6037 325 200 213 200Term Life
6038 160 1,240 1,300 1,350Workers Compensation
6040 365 679 653 690Long Term Disability
6041 96 - 2,068 2,200Paid Family Medical Leave
746,152 712,817 762,040630,414Personal Services Total $$$$
Other Services & Charges
6103 57 300 300 300Professional Services -General $$$$
6202 68,680 70,668 70,668 72,920Data Processing Rental
6205 - 270 270 300Maintenance & Repairs
6207 - 44,910Utility Services
6301 - 100 100 100Advertising & Publication
6302 - 250 840 1,200Communications
6303 1,670 2,150 1,500 1,700Professional Development
6305 1,200 660 660 700Subscriptions & Memberships
6307 6,448 4,590 4,500 7,150Insurance & Bonds
6308 2,180 2,220 2,220 2,260Property Liability
6401 6,640 8,000 6,300 6,680Office Supplies
6402 10,990 2,200 2,200 2,400Copy Charges
6403 6,600 7,700 7,700 8,000Postage
6414 - 200 200 200Other Supplies
6513 - 2,600 2,600 2,800Other Charges
101,908 100,058 151,620104,465Other Services & Charges Total $$$$
848,060 812,875 913,660734,879Deputy Registrar TOTAL $$$$
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GENERAL FUNDFUND:
Administrative ServicesDEPARTMENT:
Deputy Registrar - 10215BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0012Motor Vehicle Supervisor 1.00
1.00 1.009Lead Licensing Technician 1.00
3.00 3.008Licensing Technician 3.00
5.00 5.00Total5.00
Intermittent Employees
.95 .956City Services Receptionist (2 people)1.00
.95 .95Total1.00
Part-Time Employees
2.10 2.108Licensing Technician(3 people)2.50
2.10 2.10Total2.50
-- None $$-$
--Total $$-$
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Administrative Services
Actual Actual Budget Revised Proposed
2024 2025 2026 2026 2027
Inputs:
Number of Full Time Employees 5 5 5 5 5
Division Expenditures 780,437$ 734,879$ 848,060$ 812,875$ 913,660$
Outputs:
Motor Vehicle Transactions 55,125 47,629 55,500 55,500 58,000
Passport Transactions 7,400 3,570 3,000 3,200 3,500
Effectiveness Measures:
Motor Vehicle Revenues-Year 610,165$ 553,126$ 500,000$ 570,000$ 575,000
Passport Revenues-Year 180,438$ $153,455 200,000$ 156,700$ 160,000 Motor Vehicle Processing Time 9 minutes 10 minutes 10 minutes 10 minutes 10 minutes
Passport Processing Time 20 minutes 20 Minutes 20 minutes 20 minutes 20 minutes
Efficiency Measures:
Accuracy of Motor Vehicle Trans 99%99%99%99%99%
Division Revenue per capita 16.49$ 14.95$ 13.52$ 15.41$ 14.94$
Division Expenditures per capita 21.10$ 19.87$ 22.92$ 21.97$ 23.74$
2025 Budget reflects removal of
Administrative Labor Credits
for further analysis
Population 36993
38,482 (2027)
Performance Measures
Deputy Registrar
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CITY CLERK DIVISION
MISSION STATEMENT
To serve as the official clerk to the City Council, Housing and Redevelopment Authority (HRA), and Economic Development Authority (EDA); to maintain and safeguard all
official city records; to manage public data requests with transparency and efficiency; to
administer elections with integrity and accuracy; and to deliver equitable, responsive customer service to city staff, residents, and constituents.
DIVISION FOCUS
The City Clerk Division is responsible for preparing, maintaining, certifying, and
distributing information regarding City Council, HRA, and EDA actions through minutes,
resolutions, and ordinances. These documents are official records of actions and legislation that govern the City.
The City Clerk manages data requests in compliance with the MN Data Practices Act and administers the city-wide records management program (GovQA).
The City Clerk’s Division is responsible for the administration, retention of election
records, and the overall conduct of elections within the City. In collaboration with Hennepin County and the Minnesota Secretary of State, the division ensures fair, accurate, and transparent election processes. Year-round services include voter registration and providing up-to-date voter information to residents.
The division is also responsible for domestic partner registrations.
In 2026, the division focused on streamlining internal processes related to CivicPlus
agenda management software; incorporating Weblink within the new CivicPlus
application to allow the general public easier access to Council and Commission
archived related documents; administering two elections (Primary and General
Elections); and establishing a process for municipal code codification to ensure code is
updated three times per year.
2026 HIGHLIGHTS
• Ensure all customer service functions of the City Clerk Division meet the goals of
the City Council of being operationally excellent and customer-focused to
maintain Richfield’s competitiveness with surrounding communities. (City Council
Goal 1c).
• Maintain an accurate record of all City Council, HRA, and EDA Minutes,
Ordinances, Resolutions, and Legal Notices. (City Council Goals 1, 3, and 4).
• Conduct two elections (Primary and General Elections). (City Council
Priority/Outcome 1b and 1c).
• Improved processes related to the CivicPlus agenda management software
platform. Worked with the Executive Department to streamline the minutes
template for City Council and Commissions. (City Council Goal 1c).
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• Collaborated with IT to launch Weblink (Laserfiche product) within the CivicPlus
agenda management software platform. Improved transparency and public
engagement by launching Weblink through the public portal feature for Council
and Commission meetings, improving access to City Council and Commission
meetings. This allows the public to easily access and download historical
records, including Council and Commission agenda packets, minutes,
resolutions, and ordinances.
(City Council Goals 1c and 1, 3, and 4).
• Continued to streamline efficient operations for data requests. (City Council Goal
Step 1c).
• Enhanced municipal code update processes to include direct links to the staff
report item within the municipal code supplemental, and continued codification of
approved ordinances three times per year.
(City Council Goal 1c).
2027 DIVISION GOALS
• Continue to develop and enhance the data management system city-wide (City
Council Goals 1c and 1, 3, and 4).
• Continue to produce and maintain accurate City records, resolutions, ordinances
and legal notices. Maximize efficiency and data management procedures. (City
Council Goals 1c and 1, 3, and 4).
• Review retention schedule by department and develop a quarterly process for
destruction of expired retained documents. (City Council Goals 1, 3, and 4).
• Administer the final odd-year election process for the Richfield School District.
(City Council Goal 1c).
• Continued involvement with the Municipal Clerks and Finance Officers
Association of Minnesota (MCFOA) and International Institute Municipal Clerks
(IIMC) for professional development.
• Continue to review and offer training and development opportunities for staff on
CivicPlus, data requests, and records retention. (City Council Goal 1c).
• Continue partnering with the CAREs Committee to broaden inclusion and equity
initiatives. (City Council Goal 5.2).
DIVISION EXPENDITURE COMMENT
The 2027 Proposed Budget reflects a 3.46% increase over 2026 Adopted Budget. The
2027 Proposed Budget includes increases in personal services within the internal
department service classifications; increases in seasonal and part-time staffing wages
(election judges) to align Richfield’s election judge wages more competitively and
equitably with Hennepin County and Richfield’s peer city group; increases to annual
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The 2026 Revised City Clerk Budget reflects a small .89% increase over 2026 Adopted Budget due to adjustments in personnel services expenses.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Administrative ServicesDEPARTMENT:
City Clerk - 10216BUSINESS UNIT:
Personal Services
6005 139,993 144,440 145,481 154,846Full Time $$$$
6006 448 20,000 20,000 12,400Part-time
6007 28,473 65,000 65,000 38,950Seasonal
6009 379 500 500 500Overtime
6031 8,949 17,096 14,284 12,779Employer Social Security
6032 2,093 3,998 3,341 2,989Employer Medicare
6033 10,196 10,833 10,911 11,613Employer Pera
6035 22,470 22,892 23,805 26,836Medical Insurance
6036 1,089 1,117 1,085 1,117Dental Insurance
6037 107 60 64 60Term Life
6038 270 160 160 175Workers Compensation
6040 166 240 258 274Long Term Disability
6041 26 - 875 783Paid Family Medical Leave
6054 (242,470)(285,831)(285,831)(263,380)Interdepartmental Labor Credit
505 (67)(58)(27,811)Personal Services Total $$$$
Other Services & Charges
6103 7,579 --- Professional Services -General $$$$
6202 23,841 22,517 22,517 21,835Data Processing Rental
6207 -2,224Utility Services
6301 98 1,500 1,500 2,000Advertising & Publication
6303 2,250 5,030 4,630 2,975Professional Development
6305 14,389 16,150 17,008 17,791Subscriptions & Memberships
6307 1,222 1,140 1,140 1,175Insurance & Bonds
6308 180 180 180 185Property Liability
6401 396 400 400 400Office Supplies
6402 3,687 30 200 200Copy Charges
6403 10 20 20 20Postage
6414 - 400 400 400Other Supplies
6513 370 383Other Charges
47,367 48,365 49,58853,652Other Services & Charges Total $$$$
47,872 48,298 49,53025,841City Clerk TOTAL $$$$
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GENERAL FUNDFUND:
Administrative ServicesDEPARTMENT:
City Clerk - 10216BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0014City Clerk 1.00
1.00 1.00Total1.00
Part-Time Employees
.50 .509Administrative Assistant .50
- - (FT - 50% Shared with Executive)-
.50 .50Total.50
- - None $$- $
--Total $$-$
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Administrative Services
Actual Actual Actual Proposed Revised Proposed
2023 2024 2025 2026 2026 2027
Inputs:
Number of Full Time Employees 1.0 1.25 1.50 1.50 1.50 1.50Division Expenditures $22,032 49,745 $ 25,841 $ $47,872 $48,298 49,530 $
Outputs:
Legal Notices Published 40 49 55 19 50 60
Domestic Partnerships Filed 4 5 7 1 5 6
Meeting Notices 69 96 129 125 125 125
Number of Elections Held 1 2 1 2 2 1
Number of Registered Voters 25,499 22,172 26,468 22,912 22,912 23,000
Number of Ballots Cast 4,265 19,664 1,793 19,700 19,700 19,800
Effectiveness Measures:
Number of Data Requests Completed thru GovQA 1,347 1,490 3,054 2,532 2,600 2,650
1347 - City 1490 - City 1040 - City 1016 - City TBD TBD
2002 - Police 1516 - Police TBD TBD
Efficiency Measures:Expenditure per Capita 0.60 $ 1.34 $ 0.70 $ 1.29 $ 1.31 $ 1.29 $
Council/Commission Packets Posted in the last 365 days 96Videos Posted to YouTube in the last 365 days 15
Italics indicates projected numbers.
Population 36,99438,482 (2027)
Performance Measures
City Clerk
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HUMAN RESOURCES
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Human ResourcesDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
290,336 360,783 412,420 562,852Human Resources $$$$56.01%10205
360,783 412,420 562,852290,336Human Resources TOTAL $$$$56.01%
HUMAN RESOURCES
YEAR AMOUNT
2025 $290,336
2026B $360,783
2026R $412,420
2027B $562,852
$0
$200,000
$400,000
$600,000
2025 2026B 2026R 2027B
E
X
P
E
N
D
I
T
U
R
E
S
YEAR
HUMAN RESOURCES EXPENDITURES
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Human Resources Department
MISSION STATEMENT
To attract, develop, and retain a diverse, high performing, respectful workforce through integrated and strategic systems, policies, and procedures. Play a vital role in providing strategic organizational service and support to all City departments.
DEPARTMENT FOCUS
This department is responsible for the administration of the Human Resources ordinances, personnel policies, local, state and federal laws, classification and pay plans, leave administration, recruitment, selection and onboarding of employees in conjunction with their department. Talent management, benefits administration, employee safety, employee and labor relations, employee training, alignment with diversity, equity and inclusion initiatives, the Americans with Disabilities Act plan and process for visitors and employees, and risk management including all workers compensation, property and liability claims for the City. The Department is led by the HR Director.
2026 HIGHLIGHTS
•Increased recruiting, hiring and onboarding for city employees due to increased
turnover in the past several years. (City Council Priority/Outcome 4).
•Secured candidates for 110 positions and conducted leadership searches to fill
management level positions of HR Director, Project Engineer and UtilityEngineer.
•Settled four contract negotiations at the end of 2025 and one in early 2026.
•Implemented the Minnesota Paid Leave program, including policy development,employee communication, and payroll coordination.
•Supported participation of a second cohort of employees in the multi-city North
Star Leadership Program.
•Partnered with a consultant to develop and launch a new supervisory training
program for City supervisors.
•Transitioned to a standalone department and hired a Human Resources Director
•Integrated the Equity Coordinator position and related initiatives into the Human
Resources Department to better align organizational equity efforts with employee
programs, policies, and practices.
•Hired an HR consultant to review citywide policies and suggested changes and
additions for new policies.
•Attended a Labor Management Committee training with the Fire Union facilitated
by the Bureau of Mediation Services.
2027 GOALS •Conclude I-9 Audit.•Review and improve recruitment processes.•Finalize and implement new policies and policy changes.•Revise exit interview strategy to include in person exit interviews.•Review the City’s safety program and hold City wide AWAIR or equivalent safetytraining.•Assist and complete Citywide Supervisor Training.•Complete city-wide respectful workplace training.
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• Conduct an employee engagement survey. • Track HR metrics to quantify volume of workload. • Assist in executive recruitment process for the City Manager search. • Continue working towards Equity Program goals and initiatives.
DEPARTMENT EXPENDITURE COMMENT
The 2026 revised budget reflects a 14.31% increase over the 2026 adopted budget. The increase is primarily due to the transfer of the Equity Coordinator position and related projects from the City Manager budget to the Human Resources budget, as well as employer contributions for Paid Family and Medical Leave.
The 2027 budget reflects a 56.01% increase over the 2026 adopted budget. The increase is primarily due to increased personnel costs, the transfer of the remaining equity-related expenses from the City Manager budget, increased professional development costs, and higher subscription and membership costs, partially offset by
decreased spending on professional services.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Human ResourcesDEPARTMENT:
Human Resources - 10205BUSINESS UNIT:
Personal Services
6005 267,458 308,693 338,094 450,560Full Time $$$$
6007 16,322 3,000 - - Seasonal
6031 17,344 17,837 15,951 22,375Employer Social Security
6032 4,056 4,172 3,730 5,233Employer Medicare
6033 17,627 22,899 25,503 33,792Employer Pera
6035 39,986 50,454 53,487 77,554Medical Insurance
6036 1,747 2,206 2,308 2,979Dental Insurance
6037 172 120 136 160Term Life
6038 110 110 110 120Workers Compensation
6040 258 540 555 776Long Term Disability
6041 177 -1,283 1,710Paid Family Medical Leave
6054 (156,704)(179,498)(179,498)(135,000)Interdepartmental Labor Credit
6055 (48,450)(50,150)(50,150)(51,910)Administrative Labor Credit
180,383 211,509 408,349160,103Personal Services Total $$$$
Other Services & Charges
6103 56,805 100,000 103,500 35,640Professional Services -General $$$$
6202 24,670 30,820 30,820 41,397Data Processing Rental
6207 -6,544Utility Services
6301 299 500 500 500Advertising & Publication
6302 1,160 1,300 1,720 2,880Communications
6303 5,520 2,600 4,425 6,600Professional Development
6304 6,937 12,000 19,200 12,000Employee Training
6305 23,117 12,800 14,100 16,070Subscriptions & Memberships
6307 2,366 2,300 2,250 3,082Insurance & Bonds
6308 570 580 580 590Property Liability
6312 4,808 15,000 15,000 15,000REEP Program
6401 961 1,300 1,300 1,800Office Supplies
6402 1,188 1,000 1,000 1,000Copy Charges
6403 1,832 200 200 200Postage
6513 6,316 11,200Other Charges
180,400 200,911 154,503130,233Other Services & Charges Total $$$$
360,783 412,420 562,852290,336Human Resources TOTAL $$$$
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FUND:
DEPARTMENT:
BUSINESS UNIT:
GENERAL FUND
Human Resources
Human Resources - 10205
DIVISION PERSONNEL
NUMBER OF EMPLOYEES
CLASSIFICATIONS
SALARY
GRADE
2026
ADOPTED
2026
REVISED
2027
BUDGET
Regular Full-Time Employees
HR Manager 17 1.00 - -
HR Director 19 -1.00 1.00
HR Specialist 11 1.00 - -
HR Generalist I 11 -1.00 1.00
HR Specialist 11 1.00 --
HR Generalist II 12 -1.00 1.00
Equity Coordinator 12 -1.00 1.00
Total 3.00 4.00 4.00
Intermittent Employees
Recruiting and Onboard Support -.15 .15
Total -.15 .15
ITEMS
CAPITAL OUTLAY
2026
ADOPTED
2026
REVISED
2027 BUDGET
None
Total
$ -$
$ - $
- $ -
- $ -
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FINANCE
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
FinanceDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
550,482 701,628 812,080 705,066Finance$$$$0.49%10210
701,628 812,080 705,066550,482FinanceTOTAL$$$$0.49%
FINANCE
YEAR AMOUNT
2025 $550,482
2026B $701,628
2026R $812,080 \
2027B $705,066
$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
2025 2026B 2026R 2027B
E
X
P
E
N
D
I
T
U
R
E
S
YEAR
FINANCE EXPENDITURES
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FINANCE DIVISION
MISSION STATEMENT
To maintain all of the City’s financial records, to provide accounting, and financial support services to other City departments and the City’s Housing and Redevelopment Authority (HRA) and Economic Development Authority (EDA).
DIVISION FOCUS
The Finance Division provides financial management and accounting services for all city operations. Services include budget, cash and debt management, capital financing, investments, accounts payable, utility billing, receipts and receivables, fixed assets, payroll, financial reporting and audit coordination.
In addition to the City’s Annual Budget, the division prepares the Annual Comprehensive Financial Report.
Richfield has again attained AA+ rating - very high credit quality – assigned by S&P Global Ratings in November 2025. The rating agency evaluates several factors in their analysis including economic, financial and management factors, as well as the city’s ability to meet financial obligations.
2026 HIGHLIGHTS
• Work with Ehlers to update Key Financial Strategies model with a comprehensive Financial Management Plan.
• Continued review of daily operations and processes including Tungsten (Logis) implementation streamlining vendor invoice to payment processing.
• Growth in staff confidence and understanding of finance responsibilities.
• Planning for general obligation debt issue Nov/Dec 2026.
2027 FINANCE DIVISION GOALS
• Staff investment: Stabilization and staff development.
• Technology: Vendor payment process from check to ACH; continue Tungsten rollout.
• Financial Management and Decision Making
• Targeted focus review for best practice/internal control of critical financial functions.
• Improve budgeting and reporting of capital projects.
DIVISION EXPENDITURE COMMENT
The revised 2026 budget reflects an increase from the 2026 Adopted Budget to account for a higher allocation, and more equitable share, of our annual financial audit cost between the general fund and enterprise funds . The 2027 Proposed Budget increases slightly from the 2026 Adopted Budget. The minor increase of 0.49% is related to the change in internal service chargebacks and the Finance Department share is more appropriately reflected in the 2027 Proposed budget.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
FinanceDEPARTMENT:
Finance - 10210BUSINESS UNIT:
Personal Services
6005 549,989 670,105 670,105 710,694Full Time $$$$
6009 274 - - - Overtime
6031 32,838 39,344 39,344 43,276Employer Social Security
6032 7,680 9,202 9,202 10,121Employer Medicare
6033 38,963 48,783 48,783 53,302Employer Pera
6035 69,080 89,113 89,113 86,019Medical Insurance
6036 3,115 3,724 3,724 3,724Dental Insurance
6037 388 260 260 280Term Life
6038 1,220 280 280 290Workers Compensation
6040 660 1,151 1,151 1,258Long Term Disability
6041 121 -2,532 2,697Paid Family Medical Leave
6054 (43,760)(43,760)(43,760)(43,760)Interdepartmental Labor Credit
6055 (398,360)(411,700)(411,700)(425,490)Administrative Labor Credit
406,502 409,034 442,411262,208Personal Services Total $$$$
Other Services & Charges
6103 150,080 163,700 271,620 155,865Professional Services -General $$$$
6202 55,720 49,766 49,766 52,207Data Processing Rental
6207 49,640 51,620 51,620 18,353Utility Services
6301 - - 1,000 1,000Advertising & Publication
6302 764 3,350 1,000 1,000Communications
6303 5,905 4,000 5,350 8,000Professional Development
6305 980 1,000 1,000 1,000Subscriptions & Memberships
6307 6,609 5,740 5,740 6,680Insurance & Bonds
6308 2,350 2,400 2,400 2,450Property Liability
6401 5,123 6,500 8,500 8,000Office Supplies
6402 1,976 1,250 1,250 2,000Copy Charges
6403 5,556 3,800 3,800 5,600Postage
6409 496 - - 500Uniforms & Clothing
6414 - 2,000 - - Other Supplies
6513 456 - - - Other Charges
295,126 403,046 262,655285,655Other Services & Charges Total $$$$
Capital Outlay
7130 2,619 --- Taxes, Interest & Penalty $$$$
--- 2,619Capital Outlay Total $$$$
701,628 812,080 705,066550,482FinanceTOTAL$$$$
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GENERAL FUNDFUND:
FinanceDEPARTMENT:
Finance - 10210BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0015Budget, Cash and Debt Manager 1.00
1.00 1.0013Senior Analyst 1.00
1.00 1.0015Assistant Finance Director 1.00
1.00 1.0014Payroll Accountant 1.00
.50 .5011Accountant.50
1.00 1.008Accounting Technician (Accounts Payable)1.00
- - 8Accounting Technician (Accounts Receivable)1.00
1.00 1.0011Accountant-
6.50 6.50Total6.50
-- None $$-$
--Total $$-$
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PUBLIC SAFETY
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Public SafetyDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
1,730,318 1,365,558 1,295,955 1,447,125Support Services $$$$5.97%10300
10,916,816 12,228,570 11,988,800 12,815,470Police Operations 4.80%10305
32,899 48,660 47,560 50,010Emergency Services 2.77%10315
13,642,788 13,332,315 14,312,60512,680,033Public Safety TOTAL $$$$4.91%
REVENUES
997,380 950,086 915,733 900,137Support Services $$$$(5.26%)10300
1,064,665 991,390 994,910 989,910Police Operations (0.15%)10305
PUBLIC SAFETY
YEAR AMOUNT
2025 $12,680,033
2026B $13,642,788
2026R $13,332,315
2027B $14,312,605
$0
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
$14,000,000
$16,000,000
2025 2026B 2026R 2027B
E
X
P
E
N
D
I
T
U
R
E
S
YEAR
PUBLIC SAFETY EXPENDITURES
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SUPPORT SERVICES DIVISION
MISSION STATEMENT
To provide management and administration of public health services, business
licensing, cadets, animal control, food/pool/lodging inspections, emergency
preparedness response and environmental health services.
DIVISION FOCUS
The Support Services Division includes the full-time Support Services Division
Manager/Community Health Services Administrator and Code Compliance Officer, two
part-time Environmental Health Specialists, two part-time Business Licensing
Specialists, three part-time Cadets, and a seasonal Environmental Health Tech when
necessary.
The Support Services Division performs six major functions for the City. They are:
• Environmental Health Code Enforcement
• Animal Control
• Business Licensing
• Public Health Services
• Food/Pool/Lodging Inspection Services
• Liaison to the Richfield Advisory Board of Health (Citizens Commission)
As a revenue generating division of Richfield’s Public Safety Department, Support
Services responds to roughly 1200 environmental health code violations of private and
public property annually, managed by two part-time job share Environmental Health
Specialists. In addition to receiving complaints, staff also proactively act on the top five
most common code violations. The division responds to all animal control calls which
are handled by a Code Compliance Officer and three part-time Cadets, who are also the
field inspectors for complaints. Additional Cadet duties include handling parking issues,
assisting Patrol when called, public safety related errands, monthly monitoring of vacant
properties, and participating in community events as ambassadors of the Department.
Additionally, Support Services provides business licensing and renewal functions for all
food/pool/lodging establishments, cannabis and low-potency hemp edible (LPHE)
retailers and many other types of businesses. Compliance checks for liquor, tobacco
and cannabis are mandated by state statute.
With the creation of the local public health act in 1976, Richfield contracted with the City
of Bloomington for public health services. Richfield is one of 53 Community Health
Boards (CHB) authorized under the local public health act and one of only four cities in
Minnesota that is a CHB. To fulfill the duties required in statute, CHB’s may hire staff,
contract with other CHB’s, form a Joint Powers Agreement with other CHB’s or
relinquish their status. Edina, Richfield and Bloomington’s City Councils determined that
it was in the best interests of their communities to not form a Joint Powers Agreement
and contract with Bloomington for public health services in 1976. The state of Minnesota
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has invested in public health recently and that decision proved accurate. Bloomington,
Edina and Richfield collectively are getting more new funding than Hennepin and
Minneapolis combined for Foundational Public Health Responsibilities grant, more
funding than Minneapolis and nearly the same amount as Hennepin for the Response
Sustainability Grant and more funding than either Minneapolis or Hennepin received for
the Cannabis and Substance Use Prevention grant.
Richfield’s funding allows for WIC, WIC Peer Breastfeeding support, Statewide Health
Improvement Partnership (SHIP), substance use prevention, emergency preparedness,
family home visiting, and foundational public health responsibilities. In
2025, 704 individuals received WIC in Richfield and 130 received home visiting
support. This funding also supports the public health emergency preparedness plans for
Richfield, cannabis and other substance prevention work, responding to public health
referrals, providing immunizations and disease investigations, chronic disease
prevention work via SHIP, which has been funding safe routes to school infrastructure in
Richfield, and foundational public health responsibilities which are the operational
foundation for public health departments.
The agreements with Bloomington allow Richfield to fulfil its requirements as a
CHB with tax support of $460,319, which allows it to utilize over $1.5 million in grant
funding. The agreement with Bloomington Environmental Health provides for the
inspection, illness and injury investigation, and other state delegated duties in the
food, pool and lodging programs and for investigation and remediation of lead poisoning
cases. The agreement with Public Health provides for the other required public health
activities that CHBs must do to maintain their CHB status. This collaborative
arrangement allows for Richfield to utilize the expertise of Bloomington to fulfil its
CHB requirements at a scale and capacity it would not be able to do on its own, without
a substantial investment.
2026 HIGHLIGHTS
•Support Services saw significant turnover in staff in early 2026. All positions have
been filled or are in background.
•Support Services has registered two cannabis dispensaries and ten low-potency
hemp edible retailers, of which there is no cap. Effort is underway to bring STR
owners into compliance with licensing their properties.
2027 STRATEGIC PRIORITIES/OUTCOMES
•1C,4B: Cross-train staff in Environmental Health and Business Licensing
•1C: Continue to update relevant City Code
DIVISION EXPENDITURE COMMENT
Most of the division’s expenditures are employee salaries. With the implementation of
the compensation and class study, most staff are stepping again.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Public SafetyDEPARTMENT:
Support Services - 10300BUSINESS UNIT:
Personal Services
6005 218,194 216,776 183,590 213,490Full Time $$$$
6006 278,010 343,624 304,408 339,687Part-time
6007 7,737 7,902 6,090 - Seasonal
6009 92 500 500 500Overtime
6031 29,191 34,545 29,605 33,355Employer Social Security
6032 6,827 8,078 6,923 7,801Employer Medicare
6033 35,981 42,029 36,600 41,487Employer Pera
6035 62,276 67,471 81,263 113,613Medical Insurance
6036 1,440 1,490 1,251 1,484Dental Insurance
6037 142 80 74 80Term Life
6038 470 480 480 500Workers Compensation
6040 254 384 325 378Long Term Disability
6041 87 - 1,897 2,090Paid Family Medical Leave
723,359 653,006 754,465640,701Personal Services Total $$$$
Other Services & Charges
6103 968,129 547,926 545,326 581,675Professional Services -General $$$$
6202 50,842 45,098 45,098 47,574Data Processing Rental
6204 21,650 22,730 22,730 23,870Motor Pool Operating Rental
6207 13,530 14,070 14,070 17,962Utility Services
6301 1,098 750 750 900Advertising & Publication
6302 55 300 300 300Communications
6303 - - 500 500Professional Development
6305 599 635 635 670Subscriptions & Memberships
6307 4,665 2,300 2,250 5,899Insurance & Bonds
6308 820 840 840 860Property Liability
6315 (400)750 750 750Other Contractual Services
6401 3,285 2,000 2,000 3,000Office Supplies
6402 2,051 300 500 500Copy Charges
6403 1,271 1,000 1,200 1,200Postage
6409 5,657 2,500 5,000 6,000Uniforms & Clothing
6513 16,365 1,000 1,000 1,000Other Charges
642,199 642,949 692,6601,089,617Other Services & Charges Total $$$$
1,365,558 1,295,955 1,447,1251,730,318Support Services TOTAL $$$$
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GENERAL FUNDFUND:
Public SafetyDEPARTMENT:
Support Services - 10300BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0014Support Services Manager 1.00
1.00 1.0011Code Compliance Officer 1.00
2.00 2.00Total2.00
Part-Time Employees
1.20 1.209Health Specialist 1.20
1.20 1.208Business Licensing Tech 1.20
2.40 2.408Community Service Officer 2.40
4.80 4.80Total4.80
-- None $$-$
--Total $$-$
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Public Safety
Actual Actual Budget Budget 2024 2025 2026 2027
Inputs: FT employees 2 2 2 2
# PT employees 6 7 7 7
Division expenditures 1,175,453$ 1,730,318$ 1,365,558$ 1,447,125$
Outputs:
# proactive ins. conducted 414 560 500 900
# citizen generated complaints 518 275 353 350
Effectiveness Measures:
% within 5 days 65%65%65%65%
% within 10 days 25%25%25%25%
More than 10 days 10%10%10%10%
Efficiency Measures:
# proactive ins. cond./inspector 69 93 83 225
# citizen compl. cond./inspector 86 55 58 116
Division expenditure per capita 31.77$ 46.77$ 36.91$ 37.61$
Performance Measures
Support Services
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POLICE DIVISION
MISSION STATEMENT It is the Mission of the Richfield Police Department to safeguard the lives and property of the people we serve, to reduce the incidence and fear of crime, and to enhance
public safety while working with the community to improve their quality of life. The men and women of the Richfield Police Department are committed to accomplishing these goals with courage, honor, integrity, and hard work.
DIVISION FOCUS
Our mission statement provides the foundation upon which all operational decisions and organizational policies are based. Under the leadership of the Public Safety Director, the Police Division works tirelessly to accomplish the mission. To effectively achieve these stated goals, the Police Division is divided into three sections:
•The Patrol Section consists of the uniformed officers patrolling the streets ofRichfield in marked police squads. These officers provide timely 24/7 policecoverage to the community of Richfield. There are three specialty units embeddedin the patrol section or available to assist the patrol section. The specialty units are
two canine units assigned to the patrol section, traffic unit, and SWAT team. The
canine unit enhances the officer’s ability to locate offenders, persons, contrabandand/or property.The traffic unit allows flexibility in enforcement efforts and affords the patrol sectionthe ability to focus on problem traffic areas in the city. Finally, the SWAT team
provides the patrol section with the ability to respond to high-risk incidents that do
not fall within the scope of routine policing.
•The Investigations Section consists of officers assigned to investigation and theSpecial Investigative Unit (SIU). Investigations are responsible for conducting all
criminal investigations in the City of Richfield.
The Richfield Special Investigative Unit (SIU) proactively investigates narcotic, vice,and gang related crimes in Richfield. We also have a continued partnership with theHennepin County Sheriff’s Office West Metro Drug Task Force.
•The Administrative Section consists of support services, Joint Community PolicePartnership unit (JCPP), Embedded Social Worker, Alternative Response Team(ART) and the Crime Prevention Unit (CPU). Personnel are responsible foradministrative and clerical support, planning and research, processing criminalcomplaints and conducting statistical analyses for the police division. CPU provides
citizens with the knowledge necessary to protect their person and property frombecoming victimized by crime through community education and preventionprograms. The Therapy Canine is assigned to this section as well.
2026 HIGHLIGHTS
Community Relations in keeping with Council Priorities and Desired Outcomes 1a-c,4a-b, 5a-c.
The Opening of the second Cannabis dispensary on Lyndale Avenue to go along with the dispensary on Penn Avenue
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Our Therapy Dog Ritchie has been requested and used throughout the Metro due to
various critical incidents that have occurred. This has brought accolades to our
department and to the city due to our willingness to deploy to help those in need. We have participated in helping students who experienced trauma from the Annunciation School shooting with reintegration back into the school. They have come
to the police department as part of their therapy to discuss the jobs we do to serve the
community and roles that the police play in critical incidents as the “Helpers.” As part of our JCCP Program we responded and assisted the community by attending community forums and having meetings with members of the community on responses
and roles as it related to Metro Surge.
Transitioning to “Policy 360” which is a mobile application for our department policies. The officers will now have the ability to acknowledge the policies from their phones, take quizzes on the material, have procedures and statutes at their disposal in by simply
speaking onto the phone. This program will expedite our Accreditation that we are
working on with the process to be done by the end of 2026. Expanded on a program called “Active Outdoors” with Partnership Academy. We brought in various coaches to teach different sports to students, went fishing, and
played soccer.
Received an award from the City of Brooklyn Park for our assistance in the apprehension of suspect Vance Boelter after the horrific shootings of Representative Hortman and her husband and Senator Hoffman and his wife. This was the biggest
Law Enforcement search and apprehension in the State of Minnesota’s history.
Personnel:
• In keeping with Council Priorities and Desired Outcomes 1c, 4a-b, 5a-c, we hired
5 new police officers. Three of the hires came through our Cadet program in Support Services and worked for a couple years before becoming police officers. Promotions occurred with Lt. Joe Griffin being promoted to Deputy Chief and Sgt Cook being promoted to Lieutenant. Officers Leon, Wold, and Schultz were promoted to Sergeant.
REVISED 2026 BUDGET CHANGES
• The revised 2026 budget is slightly lower than the adopted 2026 budget. We have had attrition through retirements that have occurred this year. We hired for
those vacancies. We also had some lower-than-expected revolving costs. 2026 POLICE DIVISION Priorities
• Enhance police effectiveness with additional technology upgrades and apps.
• Continue to seek out grant funding opportunities for new programs/equipment.
• In keeping with Council Priorities and Desired Outcomes 5a-c, continue to enhance the partnership between members of the community and the police
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through proactive programs based on the Community Oriented Policing philosophy including community conversations.
• In keeping with Council Priorities and Desired Outcomes 1, 3, and 5, reduce crime and increase the feeling of safety and security through a partnership between members of the community and the police department.
• In keeping with Council Priorities and Desired Outcomes 1, 3, 4, and 5, continue with our past programs and plan new programs. Develop and initiate new programs for the community with our staff. DIVISION EXPENDITURE COMMENT
The increases in the Proposed 2027 Budget are due mainly to:
• The personal services increase for 2026 reflects collective bargaining agreements for the 3 unions along with 35 employees will receive step increases.
• Increase in Utility Service fees
• Increase in professional services due to transitioning to Tyler Technologies and software upgrades after the initial implementation year.
• Increase in Health Insurance, Paid Medical Leave, Workers Compensation, and
PERA.
• Increase in Data Processing Rental (IT) for equipment relating to computers and service due to licensing limitations.
• Must replace portable radios that are over 14 years old and are out of warranty. They are no longer being supported for repair.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Public SafetyDEPARTMENT:
Police Operations - 10305BUSINESS UNIT:
Personal Services
6005 5,997,435 6,761,470 6,574,160 7,040,140Full Time $$$$
6006 162,710 184,100 179,800 190,280Part-time
6007 -10,000 10,000 10,000Seasonal
6009 273,842 230,000 230,000 230,000Overtime
6011 60,953 79,420 64,450 77,350Education Pay
6031 51,631 54,170 49,110 50,980Employer Social Security
6032 91,001 97,080 93,950 100,770Employer Medicare
6033 1,051,067 1,168,350 1,127,550 1,211,390Employer Pera
6035 930,718 1,071,800 1,002,470 1,127,410Medical Insurance
6036 47,140 41,440 39,680 41,220Dental Insurance
6037 3,630 2,230 2,340 2,210Term Life
6038 191,580 195,410 195,410 205,180Workers Compensation
6040 6,691 11,900 11,410 12,260Long Term Disability
6041 1,212 -25,090 27,000Paid Family Medical Leave
6051 - 200 200 200Interdepartmental Labor
6053 65,182 60,000 65,000 60,000Labor Services Billed
6054 (165,000)(165,800)(165,800)(165,800)Interdepartmental Labor Credit
6055 (24,240)(25,090)(25,090)(91,260)Administrative Labor Credit
6056 (59,870)(70,000)(70,000)(70,000)Labor Services Billed Credit
9,706,680 9,409,730 10,059,3308,685,682Personal Services Total $$$$
Other Services & Charges
6103 598,725 733,760 691,630 711,440Professional Services -General $$$$
6201 95,827 196,240 198,440 236,830Rents & Leases
6202 313,490 328,850 328,850 419,070Data Processing Rental
6204 380,380 399,400 399,400 419,370Motor Pool Operating Rental
6205 19,866 42,970 43,470 54,640Maintenance & Repairs
6207 390,580 406,200 482,810 482,810Utility Services
6301 256 140 300 300Advertising & Publication
6302 5,142 6,500 6,000 6,000Communications
6303 97,322 90,000 95,000 100,000Professional Development
6305 7,180 6,000 6,000 7,000Subscriptions & Memberships
6307 54,369 64,100 62,840 56,320Insurance & Bonds
6308 21,300 21,730 21,730 22,160Property Liability
6315 1,958 1,000 2,000 2,000Other Contractual Services
6319 76,958 65,000 76,000 70,000Detention Costs
6401 11,619 10,000 11,000 11,000Office Supplies
6402 2,043 500 1,500 2,000Copy Charges
6403 2,018 1,300 1,500 2,000Postage
6409 71,799 76,000 76,000 76,000Uniforms & Clothing
6414 80,302 72,200 74,600 77,200Other Supplies
2,521,890 2,579,070 2,756,1402,231,134Other Services & Charges Total $$$$
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Public SafetyDEPARTMENT:
Police Operations - 10305BUSINESS UNIT:
12,228,570 11,988,800 12,815,47010,916,816Police Operations TOTAL $$$$
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GENERAL FUNDFUND:
Public SafetyDEPARTMENT:
Police Operations - 10305BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0021Public Safety Director 1.00
1.00 1.0019Deputy Director 1.00
3.00 3.00PS-5Lieutenant 3.00
8.00 8.00PS-4Sergeant 8.00
36.00 36.00PS-2Police Officer 35.00
1.00 1.0012Records Supervisor 1.00
- - 10Crime Prevention Specialist 1.00
.80 .8012IT Technician II .80
1.00 1.0012Analyst1.00
1.00 1.0010Records Technician 1.00
2.00 2.008Senior Office Asst 2.00
1.00 1.0010Police Data & Media Specialist 1.00
55.80 55.80Total55.80
Part-Time Employees
2.00 2.008Senior Office Asst 2.00
2.00 2.00Total2.00
-- None $$-$
--Total $$-$
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Department/Division
Actual Actual Budget Budget
2024 2025 2026 2027
Inputs:
Number of full time employees 58.80 59.80 59.80 59.80Division Expenditures $10,707,721 10,916,816$ 12,228,570$ $12,815,470
Outputs:
Annual Calls for Service 36,710 36,710 38,420 38,600
Crime Prevention Activities Neighborhood Crime Watch Blocks 230 219 219 220
National Night Out - Block Parties 170 156 160 175
Traffic Enforcement - Citations 2,000 2,400 3,500 2,200
Effectiveness Measures:
Crime Occurrences Part 1
Part 2
Group A 2,000 2,140 1,900 1,800
Group B 700 700 820 750
Motor Vehicle Crashes 700 700 675 790
Efficiency Measures:
Police Call Response Time-Minutes 4.00 3.45 3.45 3.45
Expenditure per Capita 289.45$ 295.10$ 330.56$ 333.03$
Cost Per Response 291.68$ 297.38$ 318.29$ 332.01$
Performance Measures
Police Operations
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EMERGENCY SERVICES DIVISION MISSION STATEMENT The Richfield Emergency Services Unit’s mission is to cooperate with and assist the licensed, sworn officers of the Richfield Police Department, Richfield Fire Department, and Emergency Medical Services by maintaining a state of
preparedness for disasters, community events and other emergencies. This is accomplished with professional training standards and the maintenance of emergency plans, and an Emergency Operations Center set up by the Richfield Police Department.
DIVISION FOCUS
The Richfield Police Reserve Unit In keeping with Council Priorities and Desired Outcomes 1c, 3a, 4b-c, 5a-c, the unit is comprised entirely of citizen volunteers and was established to aid the sworn officers and command staff of the Richfield Police Department. This
requires monthly training in specific areas such as patrol tactics, traffic, crowd
control, and emergency medical services. The execution of this division focus is accomplished by spending several documented hours in active support of police operations. These programs include but are not limited to:
• July 4th event
• High School sporting events
• Race events sponsored by various churches and Woodlake Nature Center
• Environmental Home Checks
• Vacation Home Checks – proactive measures to deal with burglaries when
homeowners are away.
• Assist officers with traffic and crowd control at events, emergency call outs for disasters, crime scene protection and Toward Zero Death “TZD” enforcement events.
• Provide patrol support during busy evenings and weekend hours.
• Weekly squad maintenance checks
• Traffic security during VIP visits
• Helping with community events like “Heroes and Helpers” “Unity and the Community” and others.
Richfield CERT Program Priorities
In keeping with Council Priorities and Desired Outcomes 1a-c, 4b, and 5a-c, the Richfield Community Emergency Response Team (CERT) has over 100 citizen
volunteers trained in areas of traffic control, medical triage, fire safety, and
emergency sheltering.
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The program holds two introductory training classes each year for new volunteers. Volunteers who pass the initial training program are formed into teams that train once a month. The program has expanded on a more regional
basis to include the Cities of Bloomington, Burnsville, Eden Prairie, St. Louis
Park, and Minneapolis. CERT volunteers have been used to assist the city during the following events. • Traffic/Crowd Control at various events.
• Youth CERT presentations at Home Alone program
• Promoting CERT and Emergency Preparedness at Nite to Unite
• Traffic Control at Urban Half Marathon
• Maintenance and command of the Mobile Operations Center (Communications Van) which is utilized as a coordination point and
headquarters for major events such as weather disasters, major crime
scenes, community events.
• Working on diversifying CERT to match community demographics.
• Work with our Ham Radio club and provide maintenance of our system. Over the past 10 years CERT has expanded into the business community as a CERT business model. Teen CERT has also been taught to children in collaboration with Our Home Alone program to better prepare children for natural or community disasters. Emergency Management Team Priorities
In keeping with Council Priorities and Desired Outcomes 1a-c, 3a, 4b, and 5a-c
the police department is now working with various schools from public to private and businesses on emergency drills and reviewing plans and providing consultation to them since the aftermath of “active shooter” incidents in the last several years. Division Expenditure
The budget reflects personnel costs for the extra pay the Reserve Coordinator
receives. Other costs are for uniforms, supplies, equipment, and maintenance
necessary for the operation of the Division. There is a large expenditure that occurred in 2018 and 2019 when we replaced the last six of seven warning sirens in the city. The sirens were well over 50 years old and needed replacement. The work was completed in the spring of 2019 on the new sirens.
The sirens will be included in the budget until 2028. We updated our Ham Radio equipment in 2024 that is on the building of Woodlake Point. We also will be purchasing Blue Scape software which will replace Mission Manager for the Emergency Operations Center.
The “Hyper Reach” community notification system was paid for part out of the cable fund and the Emergency Services Budget. The program is more in sync with social media sites and can be used in conjunction with Hennepin County’s adoption of the IPAWS system. The community notification system will now be
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budgeted entirely out of the Emergency Services Budget for the 2026 revised budget and beyond.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Public SafetyDEPARTMENT:
Emergency Services - 10315BUSINESS UNIT:
Personal Services
6009 7,022 7,450 7,450 7,450Overtime$$$$
6038 100 100 100 100Workers Compensation
7,550 7,550 7,5507,122Personal Services Total $$$$
Other Services & Charges
6201 14,882 21,070 20,970 26,970Rents & Leases $$$$
6204 2,680 2,810 2,810 2,950Motor Pool Operating Rental
6205 7,276 9,000 9,000 4,200Maintenance & Repairs
6207 - 450 450 450Utility Services
6308 320 330 330 340Property Liability
6401 - 50 50 50Office Supplies
6409 - 2,000 2,000 2,000Uniforms & Clothing
6414 619 5,400 4,400 5,500Other Supplies
41,110 40,010 42,46025,777Other Services & Charges Total $$$$
48,660 47,560 50,01032,899Emergency Services TOTAL $$$$
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FIRE^ Zs/ ^
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
FireDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
6,239,563 6,641,729 6,426,700 6,846,680Fire$$$$3.09%10400
6,641,729 6,426,700 6,846,6806,239,563FireTOTAL$$$$3.09%
REVENUES
374,984 278,000 392,050 439,410Fire$$$$58.06%10400
FIRE
YEAR AMOUNT
2024 $6,239,563
2025B $6,641,729
2025R $6,426,700
2026B $6,846,680
$0
$1,500,000
$3,000,000
$4,500,000
$6,000,000
$7,500,000
2024 2025B 2025R 2026B
E
X
P
E
N
D
I
T
U
R
E
S
YEAR
FIRE EXPENDITURES
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FIRE DEPARTMENT
MISSION STATEMENT
The Richfield Fire Department (RFD) exists to deliver professional services that safeguard our community against loss of life and property.
The RFD aligns its work with the strategic priorities and goals set by the City Council
and city staff, including:
•Deliver essential fire, rescue, and Emergency Medical Services (EMS) whilefostering a qualified workforce through ongoing professional development. Thisincludes collaboration on initiatives like the Alternative Response Team (ART), ajoint effort with police and fire agencies to address Emergency Medical Services
system gaps and better serve the community’s evolving needs.
•Deliver fire prevention, safety education, and loss mitigation programs thatsupport the well-being of all residents.
•Partner closely with neighboring fire departments and emergency responseagencies to maintain robust automatic and mutual aid agreements.
•Empower department members to serve every resident and visitor with respect,professionalism, and integrity—the foundation of a high-quality workforce.
DIVISION FOCUS
Two fire stations are staffed 24/7 by 27 career personnel. Average daily staffing is 6
firefighters per shift, operating two fire engines and one rescue unit. An additional position is assigned to prevention to manage code enforcement, plan review, inspections and public education.
The Fire Chief, Deputy Chief, and Assistant Chief oversee administration, operations, training and fire code enforcement. The department attempts to have at least one chief
officer available 24/7 to respond to significant incidents, providing incident command and city representation. Mutual aid chiefs fill in as needed. An Administrative Assistant supports departmental operations, recordkeeping, and customer service functions.
2026 HIGHLIGHTS
•Navigated a difficult transition in department leadership with the departure of the firechief and hiring of their replacement. This was compounded by the fact that thedeputy chief position has been vacant since June 2025 and the administrativeassistant since December 2025.
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• Effectively recruited, hired, and onboarded a department administrative assistant.
• Dedicated an existing FTE previously assigned to shift coverage to prevention to address opportunities identified in the Essential Services Study
• Expanded technology used to enhance the Records Management System (RMS), improving data collection, pre-planning, recordkeeping, and operational tracking.
• Maintained uninterrupted minimum shift coverage and provided an incredibly high level of customer service and satisfaction during staffing shortages caused by military deployments, parental leave, extended injuries, and large personnel leave banks.
• Completed the Civil Service testing process to establish an updated firefighter eligibility list for immediate openings as well as future hiring.
2027 DIVISION GOALS
• Implement comprehensive, structured lesson plans and expand leadership development to improve training consistency, officer competency, and shift accountability (City Council Goal 4a).
• Increase the frequency and effectiveness of inspections, pre-incident planning, and
community outreach to reduce fire risk and improve public safety (City Council Goal
1c, 2a).
• Expand department technology use to improve data accuracy, streamline workflows, and support data-driven decision-making (City Council Goal 1c, 4a).
• Present a council work session outlining a staffing request and applying for a federal SAFER grant to support the hiring of three battalion chief positions by the end of year (City Council Goal 1c)
• Develop and implement employee engagement, wellness, and succession planning
strategies to ensure operational continuity and build leadership capacity (City Council Goal 4a, 4b, 4c).
• Strengthen public trust through increased community outreach, transparent
reporting, and partnerships promoting fire prevention and emergency preparedness
(City Council Goal 5a, 2a).
DIVISION EXPENDITURE COMMENT
The 2026 revised budget is down 3.24% from the 2026 adopted budget.
The 2027 proposed budget shows an overall increase of 3.09% from the 2026 adopted
budget.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
FireDEPARTMENT:
Fire - 10400BUSINESS UNIT:
Personal Services
6005 3,396,876 3,629,122 3,356,610 3,791,440Full Time $$$$
6009 248,283 292,000 282,000 293,000Overtime
6013 73,073 79,423 79,120 91,760Longevity
6031 4,383 4,980 1,580 3,780Employer Social Security
6032 50,436 52,215 46,830 52,420Employer Medicare
6033 647,651 699,894 591,740 666,370Employer Pera
6035 557,181 573,332 495,530 646,790Medical Insurance
6036 26,178 23,832 21,220 23,840Dental Insurance
6037 2,178 1,281 1,260 1,290Term Life
6038 65,580 66,890 66,890 70,230Workers Compensation
6040 3,945 6,564 5,950 6,740Long Term Disability
6041 686 -12,760 14,450Paid Family Medical Leave
6051 148,645 150,000 150,000 150,000Interdepartmental Labor
5,579,533 5,111,490 5,812,1105,225,095Personal Services Total $$$$
Other Services & Charges
6103 86,665 88,558 347,160 124,340Professional Services -General $$$$
6201 147,921 85,868 76,210 76,210Rents & Leases
6202 61,787 70,043 70,050 67,410Data Processing Rental
6204 142,250 149,360 149,360 156,830Motor Pool Operating Rental
6205 28,045 20,000 20,300 20,600Maintenance & Repairs
6207 287,640 299,150 299,150 261,130Utility Services
6208 52,321 47,657 72,310 70,510800 MHz Charges
6302 28,097 29,000 25,020 21,820Communications
6303 42,198 45,000 38,380 43,380Professional Development
6305 6,374 5,500 5,090 3,720Subscriptions & Memberships
6307 30,183 31,470 31,470 30,850Insurance & Bonds
6308 10,380 10,590 10,590 10,800Property Liability
6315 854 3,000 3,000 5,330Other Contractual Services
6401 730 3,000 2,000 2,000Office Supplies
6402 759 1,500 1,500 1,500Copy Charges
6403 288 500 500 500Postage
6409 42,533 75,000 82,620 57,140Uniforms & Clothing
6412 5,461 7,000 7,000 7,000Maint. & Const. Materials
6414 14,510 50,000 50,000 50,000Other Supplies
6523 3,877 10,000 4,500 4,500Public Education Supplies
6524 21,595 30,000 19,000 19,000EMS Supplies
1,062,196 1,315,210 1,034,5701,014,468Other Services & Charges Total $$$$
6,641,729 6,426,700 6,846,6806,239,563FireTOTAL$$$$
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GENERAL FUNDFUND:
FireDEPARTMENT:
Fire - 10400BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
3.00 3.00FS-3Fire Captain 3.00
3.00 3.00FS-2Fire Lieutenant 3.00
22.00 22.00FS-1Firefighter 22.00
1.00 1.0020Fire Services Director/Fire Chief 1.00
1.00 1.0017Assistant Chief 1.00
1.00 1.009Administrative Assistant 1.00
1.00 1.0018Deputy Chief 1.00
32.00 32.00Total32.00
-- $$-$
--Total $$-$
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COMMUNITY DEVELOPMENT
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Community DevelopmentDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
68,167 69,860 69,860 39,301Community Development $$$$(43.74%)10500
313,105 362,490 362,510 424,530Planning & Zoning 17.11%10502
1,307,582 1,483,760 1,451,980 1,508,530Inspections 1.67%10505
1,916,110 1,884,350 1,972,3611,688,854Community Development TOTAL $$$$2.94%
REVENUES
17,150 --- Community Development $$$$ - 10500
33,431 15,000 15,000 15,000Planning & Zoning 0.00%10502
1,710,055 1,477,100 1,477,100 1,544,700Inspections 4.58%10505
COMMUNITY DEVELOPMENT
YEAR AMOUNT
2025 $1,688,854
2026B $1,916,110
2026R $1,884,350
2027B $1,972,361
$0
$300,000
$600,000
$900,000
$1,200,000
$1,500,000
$1,800,000
$2,100,000
2025 2026B 2026R 2027B
E
X
P
E
N
D
I
T
U
R
E
S
YEAR
COMMUNITY DEVELOPMENT EXPENDITURES
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COMMUNITY DEVELOPMENT DEPARTMENT
MISSION STATEMENT
The Community Development Department works to maintain the immediate and long-term health and safety of the community through responsible, responsive, and professional zoning administration, inspections, comprehensive planning, redevelopment services, and housing and business program administration.
DEPARTMENT FOCUS
The 21 employees of the Community Development Department are committed to service, professional integrity, and ongoing professional development. There are five primary areas of focus within the Department:
•Planning and zoning
•Housing and redevelopment
•Inspections
•Economic development
•Administrative support
“Community Development” is itself one of the five Strategic Priorities identified by the City Council in the 2023-2027 Strategic Plan. The Strategic Plan calls for the creation of a vibrant downtown, the diversification of the city’s tax base, and preservation of Richfield’s affordability. This wide-ranging work means that Community Development staff work with many elected and appointed community leaders including the City Council, the Housing and Redevelopment Authority (HRA), the Economic Development Authority (EDA), and the Planning Commission.
While funding for non-Inspections staff salaries and benefits is compiled in this budget, those costs are ultimately reallocated to individual City, HRA, and EDA program/project budgets. The Administration (10500) budget total reflects only planning and zoning building charges and liability insurance fees for non-inspections staff. All other costs are included separately in the individual program/project budgets.
DEPARTMENT EXPENDITURE COMMENT
•Funding for the work of the Community Development Department is provided by theCity, HRA, and EDA tax levies, the Federal Government (Section 8), the State of MN(Bring it Home), and a Local Affordable Housing Allocation (LAHA) derived fromsales tax revenues.
•The City-funded portion (Administration, Planning & Zoning, and Inspections) of the2026 Revised Budget represents a 1.7% decrease from the 2026 Approved Budget.A reduction of a full-time support position in the Inspections Division to a half-timeposition allows for the absorption of significantly increased credit card processingfees that would have otherwise caused significant challenges to meeting the 2026
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budget.
• The 2027 Proposed Budget represents a 2.9% increase from the 2026 Approved Budget; however, this is possible only due to recalculation of building charges by Administrative Services which reallocates many charges to the HRA and its programs.
• The HRA and EDA budgets are available as separate documents.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Community DevelopmentDEPARTMENT:
Community Development - 10500BUSINESS UNIT:
Personal Services
6005 859,436 884,110 895,490 943,020Full Time $$$$
6006 206,922 225,920 240,370 256,700Part-time
6031 62,357 68,570 70,140 74,180Employer Social Security
6032 14,584 16,040 16,410 17,350Employer Medicare
6033 78,332 83,250 85,190 89,980Employer Pera
6035 125,833 126,450 132,690 172,410Medical Insurance
6036 5,103 5,210 5,060 5,210Dental Insurance
6037 537 300 320 300Term Life
6038 630 640 640 670Workers Compensation
6040 948 1,570 1,590 1,670Long Term Disability
6041 203 -4,310 4,550Paid Family Medical Leave
6051 66,150 66,930 66,930 67,740Interdepartmental Labor
6054 (1,420,168)(1,478,990)(1,519,140)(1,633,780)Interdepartmental Labor Credit
--- 867Personal Services Total $$$$
Other Services & Charges
6103 -490 490 510Professional Services -General $$$$
6207 56,450 58,710 58,710 26,061Utility Services
6307 9,410 9,190 9,190 11,230Insurance & Bonds
6308 1,440 1,470 1,470 1,500Property Liability
69,860 69,860 39,30167,300Other Services & Charges Total $$$$
69,860 69,860 39,30168,167Community Development TOTAL $$$$
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GENERAL FUNDFUND:
Community DevelopmentDEPARTMENT:
Community Development - 10500BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0020Community Development Director 1.00
1.00 1.0017Community Development Asst. Director 1.00
1.00 1.0015ED Manager 1.00
1.00 1.0015City Planner 1.00
1.00 1.0014MF Housing Administrator 1.00
.50 .5011Accountant.50
1.00 1.0010Planner I 1.00
1.00 1.009Administrative Assistant 1.00
7.50 7.50Total7.50
Part-Time Employees
1.20 1.4011Housing Specialist 2.00
.90 .908MF Housing Assistant 1.00
.60 .607Community Development Technician 1.00
2.70 2.90Total4.00
-- None $$-$
--Total $$-$
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PLANNING AND ZONING DIVISION
MISSION STATEMENT
The Planning and Zoning Division provides local land use administration, policy
development, and guidance to residents, local businesses, and developers. Additionally,
staff manages the processes that help shape the future of Richfield through development and implementation of long-range plans.
DIVISION FOCUS
• Long range comprehensive planning for the community.
• Shorter range strategy and implementation planning for specific areas.
• Administration and enforcement (on a complaint-basis) of the City’s Zoning
Ordinance, including processing a variety of land use applications and reviewing
building permit applications.
2026 HIGHLIGHTS
• Worked with cannabis retailers to find allowable locations in Richfield.
• Translated several planning handouts into Spanish.
• Created and implemented metal detector rental program for residents.
• Continued to improve plan review and permitting processes to improve efficiency
and customer service (e.g. outdoor seating, reasonable accommodation).
• Worked with Engineering Division on the Low Salt Design Pilot Project sponsored by the Nine Mile Creek Watershed District – resulted in better plan reviews and a best practices handout and checklist.
• Worked through land use applications (e.g. MICC, former American Legion site).
• Continued to work with developers/owners to explore potential development opportunities (e.g. 101 66th, vacant lot at former Lyndale Gardens site).
• Participated in Northstar Leadership Program.
• Solicited for consultants to assist with the 2050 Comprehensive Plan update, conducted interviews, negotiated a scope of services, and entered into a
contract.
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•Kick off Comprehensive Plan process and complete Phase One of publicengagement plan.
•Hire and onboard new planner.
2027 PROGRAM GOALS
•Complete Phase Two and Three of the Comprehensive Plan update, with the
draft plan completed by early 2028.
•Continue onboarding of new staff.
•Continue to provide excellent customer service to residents and businesses.
(City Council Priority/Outcome 4b)
•Continue to manage City’s Just Deeds Program with Community DevelopmentAdministrative and Housing staff. Lack of available attorneys has hamperedprogress. (City Council Priority/Outcome 5c)
•Continue work with Housing Division staff to evaluate potential disparate impactsof adopted land use regulations. (City Council Priority/Outcome 5a and c)
•Continue to monitor emerging trends and best practices - recommending
ordinance changes that will keep Richfield competitive.
•Continue to process land use permits related to changes-in-use, renovations,and new development. (City Council Priority/Outcome 2a and b)
•Consider pop-up meeting project with Communications Division and potential use
during Comprehensive Plan update.
DIVISION EXPENDITURE COMMENT
•No change is proposed from the total approved 2026 Planning and Zoning
Budget.
•The 2027 Proposed Budget increases 17.1% over 2026 Adopted. This increaseincludes a 16% increase in staff costs due to staff moving through step and meritincrease process and insurance premium increases, and a 73.7% increase in IT
charges as that Division works to correctly proportion charges. The increase
also includes an additional $10,750 in consultant costs related to theComprehensive Plan. This charge will appear again in 2028.
•Going forward, consideration should be given to increasing the annual set-aside
for the Comprehensive Plan from the current $12,850. This change should be
considered for 2029 and beyond.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Community DevelopmentDEPARTMENT:
Planning & Zoning - 10502BUSINESS UNIT:
Personal Services
6051 231,831 301,910 304,490 350,580Interdepartmental Labor $$$$
301,910 304,490 350,580231,831Personal Services Total $$$$
Other Services & Charges
6103 57,606 34,920 31,860 37,100Professional Services -General $$$$
6202 14,650 15,210 15,210 26,420Data Processing Rental
6204 110 120 - - Motor Pool Operating Rental
6301 1,220 1,900 1,400 1,400Advertising & Publication
6303 2,931 3,930 3,930 3,930Professional Development
6305 2,280 2,350 2,770 2,880Subscriptions & Memberships
6401 96 200 200 200Office Supplies
6402 436 500 500 500Copy Charges
6403 1,123 800 800 870Postage
6409 - 150 150 150Uniforms & Clothing
6414 822 500 1,200 500Other Supplies
60,580 58,020 73,95081,274Other Services & Charges Total $$$$
362,490 362,510 424,530313,105Planning & Zoning TOTAL $$$$
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INSPECTIONS DIVISION
MISSION STATEMENT
To provide inspection services to safeguard life, health, property and public welfare; enforcing the minimum requirements of the City Code and Minnesota State Building Code.
DIVISION FOCUS
• The Inspections Division (Inspections) consists of eight full-time employees and a part-time employee: a Building Official, Senior Building Inspector, three Building Inspectors, Plumbing/Mechanical Inspector, Housing Inspections Technician, Permit Technician, and Senior Office Assistant (part-time).
• Administer and enforce city ordinances relating to building code requirements including building, plumbing, heating, ventilation, and air conditioning.
• Perform Point of Sale and Rental Inspections.
• Inspections staff spend significant time advising homeowners managing their own remodeling or home addition projects and work closely with homeowners and landlords during Point of Sale and Rental inspections.
2026 HIGHLIGHTS
• Brought in a retired plan review professional to help get staff trained in doing commercial and residential plan reviews.
• We have been getting the less-senior inspectors out to commercial building sites to do inspections with senior staff so that we can grow our future senior inspectors from within our current staff (City Council Priority/Outcome 4a).
• Implement and utilize Bluebeam software to help with our inspection corrections on large building sites (City Council Priority/Outcome 1c).
• Complete digitizing of building plans for long-term efficiency and sustainability purposes.
• Support legislative actions to restore rental licensing option for State-licensed group homes.
2027 INSPECTION DIVISION GOALS
• Continue to work with inspectors to help them grow in their careers and to build division resiliency through cross training (City Council Priority/Outcome 4a).
• Continue to maintain the quality of homes and buildings by eliminating potential safety concerns via building, point-of-sale, and rental inspections.
• The Division will continue a close working relationship with the Fire Department, Support Services, Public Safety, Public Works, and other departments to effectively
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implement programs that affect the residents of Richfield.
• Consider improvements to escrow system for point-of-sale program.
DIVISION EXPENDITURE COMMENT
• The 2026 budget has been reduced by approximately 2%; reflecting the change of the Senior Office Assistant from full-time to half-time but masking a significant spike in credit card processing fees.
• Credit card fees in 2025 exceeded $100,000. While a lower rate has been negotiated for now, 2026 fees are still anticipated to approach $80,000. The proposed 2027 budget assumes that measures will be in place to recoup the majority of these fees.
• A difficult economic environment for larger projects means lower revenues projected for 2026 and 2027.
• The 2027 budget reflects a 1.7% increase in expenses over 2026 adopted.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Community DevelopmentDEPARTMENT:
Inspections - 10505BUSINESS UNIT:
Personal Services
6005 735,416 887,670 795,100 859,730Full Time $$$$
6006 9,241 - 36,100 38,210Part-time
6031 43,794 54,280 50,880 54,680Employer Social Security
6032 10,242 12,700 11,900 12,790Employer Medicare
6033 55,749 66,580 62,340 67,350Employer Pera
6035 128,719 151,490 138,810 165,820Medical Insurance
6036 5,636 6,700 5,560 5,960Dental Insurance
6037 554 360 330 320Term Life
6038 10,760 10,980 10,980 11,530Workers Compensation
6040 897 1,570 1,410 1,520Long Term Disability
6041 143 - 3,160 3,410Paid Family Medical Leave
6051 32,706 36,500 37,130 48,630Interdepartmental Labor
1,228,830 1,153,700 1,269,9501,033,857Personal Services Total $$$$
Other Services & Charges
6103 24,363 70,000 70,000 60,000Professional Services -General $$$$
6201 475 500 550 550Rents & Leases
6202 68,090 58,780 58,780 54,670Data Processing Rental
6204 18,508 19,410 19,410 20,380Motor Pool Operating Rental
6207 28,350 29,480 29,480 29,060Utility Services
6301 - 100 100 100Advertising & Publication
6302 7,974 6,000 6,000 10,000Communications
6303 9,793 8,000 8,000 10,000Professional Development
6305 - 750 750 750Subscriptions & Memberships
6307 7,997 10,330 10,130 7,940Insurance & Bonds
6308 2,530 2,580 2,580 2,630Property Liability
6401 1,551 4,000 4,000 4,000Office Supplies
6402 210 500 500 500Copy Charges
6403 403 500 500 500Postage
6409 1,488 2,500 4,000 4,000Uniforms & Clothing
6414 1,707 3,500 3,500 3,500Other Supplies
6513 100,286 38,000 80,000 30,000Other Charges
254,930 298,280 238,580273,725Other Services & Charges Total $$$$
1,483,760 1,451,980 1,508,5301,307,582InspectionsTOTAL$$$$
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GENERAL FUNDFUND:
Community DevelopmentDEPARTMENT:
Inspections - 10505BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0016Chief Building Official 1.00
1.00 1.0013Senior Building Inspector 1.00
4.00 4.0012Trade/Building Inspector 4.00
1.00 1.009Permit Technician 1.00
1.00 1.008Housing Inspections Technician 1.00
.50 .508Senior Office Assistant 1.00
8.50 8.50Total9.00
- - None $$- $
--Total $$-$
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Community Development/Inspections
Actual Actual Actual Actual Actual Actual Adopted Budgeted
2020 2021 2022 2023 2024 2025 2026 2027
Inputs:
Number of full time employees 9.00 9.00 9.00 9.00 9.00 7.50 8.50 8.5
Division Expenditures 1,281,725$ 1,365,631$ 1,279,528$ 1,386,753$ 1,387,987$ 1,307,583$ 1,483,760$ 1,508,530$
Division Revenues 2,099,064$ 2,106,359$ 1,593,477$ 1,151,573$ 1,349,987$ 1,710,053$ 1,477,100$ 1,544,700$
Outputs:
No. of Inspections Performed 7,526 6,315 6,605 6,003 5,702 6,240 6,200 6300
No. of Permits Issued 5,753 4,265 4,627 4,533 4,882 3,188 3,000 3100
Valuation of Building Permits 101,830,626$ 123,669,092$ 87,243,342$ 38,883,638$ 46,435,811$ 85,273,394 82,000,000$ 83,000,000$
Point of Sale Inspections Performed 483 1,047 694 550 750 632 650 650
Rental Unit Inspections Performed 1,065 1,796 695 3,200 2,145 3358 3,400 3400
Effectiveness Measures:
Request for Building Inspection
Response Time
% within 24 hours 98.00%98.00%98.00%98.00%98.00%98.00%98.00%98.00%
% within 72 hours 100.00%100.00%100.00%100.00%100.00%100.00%100.00%100.00%
Request for Point of Sale Inspection
% within 48 hours 60.00%60.00%60.00%60.00%60.00%60.00%60.00%60.00%
% within 120 hours 95.00%95.00%95.00%95.00%95.00%95.00%95.00%95.00%
Efficiency Measures:
No. of Building Inspections per
Inspector 3,010 2,526 2,642 2,001 1,901 2,496 2,067 2,100
No. of POS/rental unit inspections
per Inspector 774 1,422 695 1,875 1,448 1,995 2,025 2,025
Revenue per Capita 58.24$ 58.54$ 44.29$ 32.01$ 37.52$ 47.53$ 41.05$ 42.93$
Expenditure per Capita 35.56$ 37.96$ 35.56$ 38.54$ 38.58$ 36.34$ 41.24$ 41.93$
Performance Measures
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PUBLIC WORKS
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Public WorksDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
223,605 227,560 277,570 232,840PW Administration $$$$2.32%10600
613,164 607,220 607,180 628,590Engineering 3.52%10605
2,757,684 3,315,230 3,337,580 3,091,070Street Maintenance (6.76%)10610
1,783,276 1,799,330 1,799,350 1,855,020Park Maintenance 3.10%10615
5,949,340 6,021,680 5,807,5205,377,729Public Works TOTAL $$$$(2.38%)
REVENUES
432,142 70,500 110,500 50,500Engineering$$$$(28.37%)10605
403,933 690,000 690,000 320,000Street Maintenance (53.62%)10610
PUBLIC WORKS
YEAR AMOUNT
2025 $5,377,729
2026B $5,949,340
2026R $6,021,680
2027B $5,807,520
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
2025 2026B 2026R 2027B
E
X
P
E
N
D
I
T
U
R
E
S
YEARS
PUBLIC WORKS EXPENDITURES
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PUBLIC WORKS ADMINISTRATION DIVISION
MISSION STATEMENT
The Public Works Department works hard to sustain and improve the quality of life for our
community by offering the highest standards in essential municipal services and providing them in a timely, responsible and professional manner.
DIVISION FOCUS
The Public Works Administration Division is responsible for overseeing delivery of public
capital improvement projects, ongoing maintenance and operations of the Public Works
divisions, and engaging in and contributing to the regional discussions surrounding emerging public works issues (e.g., regional transportation projects impacting Richfield; storm water quality management; water supply; environmental issues; and public education and engagement.)
2026 HIGHLIGHTS
• Completed Park Asset Inventory and Condition Assessment data collection and turned it over to Recreation divisions as detailed in the Strategic Plan (City Council Priority/Outcome 3a & 3b).
• Continued the conversation with elected officials around limits to the cost-share burden that State and County projects unilaterally place upon municipalities (City Council Priority/Outcome 2c, 3a-b & 5c).
• Alongside Utility managers and consultant team, completed a utility rate study and
development of a forward-looking rate structure that accounts for our capital and maintenance programs (City Council Priority/Outcome 1b-c & 3a-b).
• Continued to cooperate with MnDOT and represent Richfield’s interests related to the “Phase 1” I-494 corridor improvements and future “Phase 2” construction project (City Council Priority/Outcome 3a-c, 5a & 5c).
• In collaboration with PW Managers, completed assessment of existing services provided/delivered with consideration of priority level, quality of service, staffing, financial commitments, and regulatory requirements (City Council Priority/Outcome 1a, 1c & 3a).
• Completed the 2026-2030 Engineering Consultant Pool solicitation, selection process, contract negotiations, and executed approved agreements with all nine (9) consultants selected for the pool (City Council Priority/Outcome 1c & 3a).
• Implement Pace Scheduler timecard software and transition PWWs to electronic daily timecards (City Council Priority/Outcome 1c & 3a).
2027 DIVISION GOALS
• Continue to utilize Public Work’s outreach mediums/social media outlets to promote ongoing and upcoming infrastructure projects and public works initiatives (City
Council Priority/Outcome 1b & 3a).
• Continue to work with elected officials to further the conversation around limits to the cost-share burden that State and County projects unilaterally place upon municipalities (City Council Priority/Outcome 2c, 3a-b & 5c).
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• Pursue external funding solutions via grants to help supplement current funding for
critical needs within the entire department for road reconstruction, utility replacement and reinvestments, SRTS infrastructure, and ADA compliance (City Council Priority/Outcome 2c, 3a-b & 5a).
• Support Engineering staff and Hennepin County’s team with the completion of Nicollet Avenue reconstruction and public engagement/design for Penn Avenue Reconstruction in 2028-2029 (City Council Priority/Outcome 2a, 3a, 5a & 5c).
• Continue to support Engineering staff as they represent Richfield’s interests related to the “Phase 1” I-494 corridor improvements and future “Phase 2” construction project (City Council Priority/Outcome 3a-c, 5a & 5c).
DIVISION EXPENDITURE COMMENT
The 2026 Revised Budget reflects a 21.98% increase from the 2026 Adopted Budget.
This increase is due to the inclusion of $50k in the maintenance and repair line item
(6205) for office space additions at the Public Works facility.
The 2027 Proposed Budget reflects an increase of 2.32% from the 2026 Adopted Budget.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Public WorksDEPARTMENT:
PW Administration - 10600BUSINESS UNIT:
Personal Services
6005 291,213 298,470 298,470 309,580Full Time $$$$
6031 17,347 17,980 18,510 19,190Employer Social Security
6032 4,112 4,330 4,330 4,490Employer Medicare
6033 21,361 22,180 22,180 23,020Employer Pera
6035 29,951 29,630 31,740 35,780Medical Insurance
6036 1,458 1,490 1,450 1,490Dental Insurance
6037 143 80 90 80Term Life
6038 140 140 140 150Workers Compensation
6040 274 520 520 540Long Term Disability
6041 60 -1,130 1,180Paid Family Medical Leave
6054 (190,000)(195,500)(200,500)(209,500)Interdepartmental Labor Credit
179,320 178,060 186,000176,059Personal Services Total $$$$
Other Services & Charges
6103 3,036 7,530 7,630 7,630Professional Services -General $$$$
6202 17,910 13,890 13,890 12,060Data Processing Rental
6205 50,000 - Maintenance & Repairs
6302 1,156 1,500 1,500 1,500Communications
6303 11,340 8,440 9,590 8,440Professional Development
6305 688 890 890 770Subscriptions & Memberships
6307 1,924 2,300 2,250 2,060Insurance & Bonds
6308 820 840 840 860Property Liability
6401 3,615 5,000 5,000 5,000Office Supplies
6402 1,904 2,500 2,500 2,700Copy Charges
6403 2,799 2,500 2,500 2,900Postage
6414 2,354 2,850 2,920 2,920Other Supplies
48,240 99,510 46,84047,546Other Services & Charges Total $$$$
227,560 277,570 232,840223,605PW Administration TOTAL $$$$
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GENERAL FUNDFUND:
Public WorksDEPARTMENT:
PW Administration - 10600BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0020PW Director 1.00
1.00 1.0013Senior Analyst 1.00
2.00 2.00Total2.00
-- None $$-$
--Total $$-$
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ENGINEERING DIVISION
MISSION STATEMENT
The Public Works Department works hard to sustain and improve the quality of life for our community by offering the highest standards in essential municipal services and providing them in a timely, responsible and professional manner.
DIVISION FOCUS
To provide planning, design, and construction management support for Public Works operations, construction, and maintenance projects. Conducting plan reviews for permits and developers with a focus on protecting the City’s interest in the public rights-of-way. Specifically, to:
•Maintain record drawings of the City’s existing infrastructure and provide guidance toany proposed changes that would impact that infrastructure.
•Manage permitted work within the public rights-of-way including utility work, small cellinstallations, private redevelopment impacts, and excavation/obstruction permits.
•Provide an investment plan for sustainable and resilient delivery of critical servicesthrough a proactive asset management approach.
•Identify and pursue outside funding sources for capital improvement projects.
•Develop and administer the department’s Sweet Streets® capital improvement andmaintenance projects and work cooperatively with Hennepin County on thereconstruction of their arterials through the City.
•Represent Richfield’s interests in regional transportation planning and constructionprojects.
•Manage storm water related issues within the City through tracking and coordinationbetween departments regarding the Storm Water Pollution Prevention Program andreview of redevelopment plans for storm water regulation compliance and permitting.
•Provide staff support for the Transportation Commission.
2026 HIGHLIGHTS
•Constructed the Safe Routes to School project on 64th St and Russell Ave, and beganconstruction of the sidewalk project on 73rd St (City Council Priority/Outcome 3a-b, 5a& 5c).
•Began reconstruction of Nicollet Avenue in collaboration with Hennepin County (CityCouncil Priority/Outcome 1b, 3a-b, 5a & 5c).
•Secured $2 million in state bond funding for the Nicollet Avenue reconstruction project(City Council Priority/Outcome 2c, 3a-b, 5a & 5c).
•Continued administration of the pavement management plan to protect the majorinvestment into the residential Mill & Overlay program (City Council Priority/Outcome3a-b).
•Continued planning and design with Hennepin County for the full reconstruction ofPenn Avenue (City Council Priority/Outcome 1b & 3a).
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• Began design and engagement for the 69th St reconstruction project (City Council Priority/Outcome 3a-b, 5a & 5c).
• Began design and engagement for the 76th Street and Knox Avenue intersection improvement project (City Council Priority/Outcome 3a-b, 5a & 5c).
• Submitted six projects for Regional Solicitation grant applications (City Council Priority/Outcome 1b, 2c, 3a-b, 5a & 5c).
• Provided technical review and construction inspection services for private redevelopment projects throughout the City, specifically as they relate to rights-of-way, utility, and stormwater impacts (City Council Priority/Outcome 2b & 3c).
• Represented Richfield’s interests and coordinated with the City Council related to the future I-494 corridor planning (City Council Priority/Outcome 3a-c, 5a & 5c).
2027 DIVISION GOALS
• Construct the sidewalk project on 64th St (City Council Priority/Outcome 3a-b, 5a & 5c).
• Complete reconstruction of Nicollet Avenue in collaboration with Hennepin County (City Council Priority/Outcome 3a-b, 5a & 5c).
• Complete a pavement maintenance project on 77th Street to address failing concrete joints (City Council Priority/Outcome 3a-b).
• Begin the replacement of several traffic signals along 76th and 77th Streets (City Council Priority/Outcome 3a-b).
• Continue to identify and pursue grant funding sources for capital improvement projects (City Council Priority/Outcome 1b, 2c, 3a-b, 5a & 5c).
• Investigate opportunities for dedicated funding for active transportation and transportation safety improvements (City Council Priority/Outcome 1b, 3a-b, 5a & 5c).
• Complete planning and design with Hennepin County for the full reconstruction of Penn Avenue (City Council Priority/Outcome 3a).
• Complete planning and design for the 69th St reconstruction project (City Council Priority/Outcome 3a-b, 5a & 5c).
• Continue to coordinate with MnDOT and represent Richfield’s interests related to the I-494 corridor improvements (City Council Priority/Outcome 3a-b, 5a & 5c).
• Continue to address roadblocks for pedestrians and bicyclists by engaging with the public to understand where opportunities exist (City Council Priority/Outcome 3a, 3c, 5a & 5c).
DIVISION EXPENDITURE COMMENT
The 2026 Revised Budget reflects a 0.0% increase from the 2026 Adopted Budget. $24,500 in MSA revenues are expected to be transferred into the division.
The 2027 Proposed Budget reflects a 3.52% increase from the 2026 Adopted Budget, due primarily to a budgeted effort to update the City’s bicycle and pedestrian plans over the next 2 years (may be offset by grant funding). $144,000 in MSA revenues are expected to be transferred into the division.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Public WorksDEPARTMENT:
Engineering - 10605BUSINESS UNIT:
Personal Services
6005 547,346 669,610 667,730 731,220Full Time $$$$
6007 7,847 18,790 19,200 19,200Seasonal
6009 6,163 2,400 2,400 2,400Overtime
6031 33,158 42,670 42,010 45,740Employer Social Security
6032 7,755 9,980 9,820 10,700Employer Medicare
6033 40,369 50,220 50,080 54,840Employer Pera
6035 75,523 89,470 100,270 118,160Medical Insurance
6036 3,648 4,500 4,240 4,500Dental Insurance
6037 358 240 250 240Term Life
6038 6,120 6,240 6,240 6,550Workers Compensation
6040 638 1,190 1,180 1,290Long Term Disability
6041 104 - 2,610 2,850Paid Family Medical Leave
6054 (270,000)(502,000)(489,500)(634,000)Interdepartmental Labor Credit
393,310 416,530 363,690459,029Personal Services Total $$$$
Other Services & Charges
6103 63,177 114,250 89,250 165,260Professional Services -General $$$$
6201 2,106 - - - Rents & Leases
6202 39,360 38,880 38,880 41,120Data Processing Rental
6204 11,340 11,910 11,910 12,510Motor Pool Operating Rental
6302 4,215 4,700 4,700 4,700Communications
6303 16,960 17,170 17,570 16,570Professional Development
6305 6,131 12,650 12,900 14,770Subscriptions & Memberships
6307 4,810 5,740 5,630 5,140Insurance & Bonds
6308 1,090 1,110 1,110 1,130Property Liability
6401 34 - - - Office Supplies
6414 4,912 7,500 8,700 3,700Other Supplies
213,910 190,650 264,900154,135Other Services & Charges Total $$$$
607,220 607,180 628,590613,164EngineeringTOTAL$$$$
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GENERAL FUNDFUND:
Public WorksDEPARTMENT:
Engineering - 10605BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0017City Engineer 1.00
1.00 1.0015Transportation Engineer 1.00
2.00 2.0014Project Engineer 2.00
1.00 1.0013Civil Engineer 1.00
1.00 1.0010Engineering Assistant 1.00
.04 .0410Asset Management/GIS Analyst .05
6.04 6.04Total6.05
-- None $$-$
--Total $$-$
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Department/Division Public Works/Engineering
Actual Actual Budget Budget202420252026R2027P
Inputs:
Number of full time employees 5.0 6.05 6.05 6.05
Total General Fund expenditures 632,524$ 613,164$ 607,180$ 628,590$
Outputs:
Number of engineering contracts 4 3 9 3
Value of engineering contracts $317,000 $370,000 $880,500 $400,000
Number of construction projects 4 4 5 6
Value of construction projects $606,000 $2,355,000 $5,495,000 $8,385,000
Effectiveness Measures:
Value of change orders $81,000 $159,000 $24,000 $0
% of project costs (goal <5%)13.4%6.8%0.4%0.0%
Number of right-of-way permits issued/inspected 174 228 200 200
Efficiency Measures:% of GF expenditures to construction projects 104.4%26.0%11.0%7.5%
% of consultant contracts to construction projects 52.3%15.7%16.0%4.8%
Division expenditure per Capita $16.44 $15.93 $15.78 $16.33
Performance Measures
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STREET MAINTENANCE DIVISION
MISSION STATEMENT
The Public Works Department works hard to sustain and improve the quality of life for our community by offering the highest standards in essential municipal services and providing
them in a timely, responsible and professional manner.
DIVISION FOCUS
To provide pavement management, street signage, signal lights, streetlights, asphalt patching, ice control, and snow removal. These programs are necessary to ensure the citizens of Richfield have a safe, efficient, and reliable transportation system.
The Street Maintenance Division also protects Richfield’s urban forest and existing tree
canopy through tree inspections, monitoring both public and private trees, tree removal, trimming, and replacing trees on the boulevard as they are removed.
2026 HIGHLIGHTS
• Continued assistance with private property diseased/hazardous tree removals using
the assessment option for paying removal costs (City Council Priority/Outcome 3c & 5c).
• Completion of the USDA Forest Service Urban and Community Forestry Inflation
Reduction Act Grant to enhance urban tree canopy by focusing all planting efforts on
the southeast corner of the city in the census tracts identified by CEJST as disadvantaged communities, contributing to the goals of Justice40 (City Council Priority/Outcome 3c, 5a & 5c).
• Hire a GIS/Asset Management position to start the creation of an Asset
Management System (City Council Priority/Outcome 3a-b & 4b).
2027 DIVISION GOALS
• Create an inventory of pavement markings to establish a replacement program (City
Council Priority/Outcome 3a-b).
• Establish maintenance programs for City assets (City Council Priority/Outcome 2c & 3a-c).
• Begin development of an Asset Management System (City Council Priority/Outcome
3a-b & 4b).
DIVISION EXPENDITURE COMMENT
The 2026 Revised Budget reflects an increase of 0.67% from the 2026 Adopted Budget. This is attributed to continually rising costs for materials and aging infrastructure specifically with the City’s street lighting and traffic signal systems.
The 2027 Proposed Budget reflects a decrease of 6.76% from the 2026 Adopted Budget due to the completion of the USFS grant to remove and replace trees in 2026.
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Public WorksDEPARTMENT:
Street Maintenance - 10610BUSINESS UNIT:
Personal Services
6005 1,172,435 1,189,460 1,171,240 1,245,640Full Time $$$$
6007 20,154 44,950 44,930 47,570Seasonal
6009 42,152 20,000 20,000 20,000Overtime
6031 71,493 74,970 73,030 77,620Employer Social Security
6032 16,720 17,530 17,080 18,150Employer Medicare
6033 87,677 87,900 86,470 92,050Employer Pera
6035 210,779 215,020 225,250 261,840Medical Insurance
6036 9,485 10,040 9,490 10,610Dental Insurance
6037 938 540 560 540Term Life
6038 39,040 39,820 39,820 41,810Workers Compensation
6040 1,309 2,080 2,040 2,170Long Term Disability
6041 230 -4,560 4,850Paid Family Medical Leave
6054 (94,350)(124,110)(115,140)(115,660)Interdepartmental Labor Credit
1,578,200 1,579,330 1,707,1901,578,062Personal Services Total $$$$
Other Services & Charges
6103 16,080 16,020 16,020 16,050Professional Services -General $$$$
6202 38,688 33,180 33,180 27,050Data Processing Rental
6204 478,400 502,320 502,320 527,440Motor Pool Operating Rental
6205 29,692 25,300 31,500 31,500Maintenance & Repairs
6209 90,811 114,500 114,500 104,500Utility Lighting
6301 - 240 240 240Advertising & Publication
6302 15,901 15,000 15,000 15,000Communications
6303 14,293 12,440 12,440 12,440Professional Development
6305 1,072 180 2,000 2,000Subscriptions & Memberships
6307 11,495 15,290 14,990 13,720Insurance & Bonds
6308 3,760 3,840 3,840 3,920Property Liability
6315 384,023 804,160 811,160 439,160Other Contractual Services
6409 13,286 11,000 14,000 13,500Uniforms & Clothing
6410 6,752 6,000 7,000 6,000Small Tools & Parts
6411 29,892 90,000 90,000 90,000Salt
6412 32,511 34,450 36,950 28,250Maint. & Const. Materials
6414 1,790 1,310 1,310 1,310Other Supplies
6415 11,176 51,800 51,800 51,800Sign Parts & Supplies
1,737,030 1,758,250 1,383,8801,179,622Other Services & Charges Total $$$$
3,315,230 3,337,580 3,091,0702,757,684Street Maintenance TOTAL $$$$
123
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GENERAL FUNDFUND:
Public WorksDEPARTMENT:
Street Maintenance - 10610BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
10.00 10.00LT-1Public Works Worker 10.00
.77 .7718Deputy Public Works Director .75
1.00 1.0014Operations Supervisor 1.00
1.00 1.0010Forester1.00
.35 .358Senior Office Assistant .35
.20 .2012GIS Coordinator .20
.17 .1710Asset Management/GIS Analyst .17
13.49 13.49Total13.47
Intermittent Employees
1.23 1.23103Seasonal Maintenance Laborer (4 Positions)-
1.23 1.23Total-
-- None $$-$
--Total $$-$
124
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Department/Division
Actual Actual Budget Budget 2024 2025 2026R 2027P
Inputs:
Number of Full-Time Employees 13.3 13.47 13.47 13.47
Division Expenditures 2,569,956$ 2,757,684$ 3,337,580$ 3,091,070$
Outputs:
Number of City-Owned Street Lights 3,510 3,510 3,510 3,510
Work Orders for Street Light Out 341 451 500 500
Annual Number of Trees Removed 356 301 400 400
Annual Number of Trees Planted 250 200 745 200
Tree Trimmings-Routine 194 176 200 200
Effectiveness Measures:
Days to Repair Street Light After
Request 7.4 6.0 14.5 6.0
Average Days to Complete After Tree 14 15 15 15
Service Request Received
Efficiency Measures:
Cost to Operate Street Lights 309,828$ 328,825$ 332,000$ 332,000$
Cost to Maintain Street Lights 38,259$ 90,811$ 114,500$ 104,500$
Total Cost to Operate and Maintain 348,087$ 419,636$ 446,500$ 436,500$
Street LightsExpenditure per Capita to Maintain
Street Lights 9.05$ 10.90$ 11.60$ 11.34$
Cost per New Tree Planted 392.74$ 383.51$ 610.74$ 425.00$
Annual Dollars Spent on New Trees 98,185$ 76,701$ 455,000$ 85,000$
Division Expenditure per Capita 66.78$ 71.66$ 86.73$ 80.33$
Performance Measures
Street Maintenance
125
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PARK MAINTENANCE DIVISION
MISSION STATEMENT
The Public Works Department works hard to sustain and improve the quality of life for our community by offering the highest standards in essential municipal services and providing
them in a timely, responsible and professional manner.
DIVISION FOCUS
To maintain and repair Richfield’s 21 park areas that provide space and facilities for leisure activities. These areas vary in size from one-quarter acre (Little Bob’s Park) to over 100 acres (Veterans Memorial Park). The Park Maintenance Division is responsible
for maintaining and repairing:
•Buildings
•Play features
•Tennis/Pickleball courts
•Ballfields
•Turf areas
•Trash pick-up and disposal
•Winter maintenance of sidewalks/trails
The Park Maintenance Division also manages the maintenance of the 77th Street
Maintenance District.
2026 HIGHLIGHTS
•Continued support of City-sponsored events such as Vehicle Day, 4th of JulyCelebration and Penn Fest (City Council Priority/Outcome 1c, 2a & 4b).
•Completed Park Asset Inventory to establish future Park Maintenance needs (CityCouncil Priority/Outcome 1b, 3a-b, 4b, 5a & 5c).
•Partnered with the Recreation Department to develop a Natural Resources Plan
(City Council Priority/Outcome 1b, 3a-b, 4b, 5a & 5c).
2027 DIVISION GOALS
•Maintain support for City-sponsored events such as 4th of July Celebration and PennFest (City Council Priority/Outcome 1c, 2a & 4b).
•Utilize the Park Asset Inventory to establish future Park Maintenance/AssetManagement plan(s) (City Council Priority/Outcome 1b, 3a-b, 4b, 5a & 5c).
•Establish maintenance plans for Tennis, pickleball, and basketball paved court
surfaces (City Council Priority/Outcome 1b, 3a-c, 4b, 5a & 5c).
•Partner with the Recreation Department to implement the Natural Resources Plan(City Council Priority/Outcome 1b, 3a-b, 4b, 5a & 5c).
•Assist the Recreation Department with the Parks Master Plan (City CouncilPriority/Outcome 1b-c, 3a-c, 4b, 5a & 5c).
126
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DIVISION EXPENDITURE COMMENT
The 2026 Revised Budget reflects a 0% increase from the 2026 Adopted Budget.
The 2027 Proposed Budget reflects an increase of 3.1% from the 2026 Adopted
Budget. This is attributable to increases in personal services as employees move
through the step system (merit increases) and costs associated with Paid Family Medical Leave.
127
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Public WorksDEPARTMENT:
Park Maintenance - 10615BUSINESS UNIT:
Personal Services
6005 673,776 719,940 688,780 724,300Full Time $$$$
6007 27,330 44,950 44,930 47,570Seasonal
6009 26,232 23,000 23,000 23,000Overtime
6031 42,511 46,150 44,290 46,660Employer Social Security
6032 9,942 10,790 10,360 10,960Employer Medicare
6033 50,894 53,200 50,820 53,810Employer Pera
6035 139,673 146,370 145,250 159,350Medical Insurance
6036 6,095 6,440 5,590 5,590Dental Insurance
6037 593 350 370 340Term Life
6038 15,770 16,090 16,090 16,890Workers Compensation
6040 774 1,260 1,200 1,270Long Term Disability
6041 115 -2,740 2,900Paid Family Medical Leave
6054 (43,790)(32,000)(38,000)(38,520)Interdepartmental Labor Credit
1,036,540 995,420 1,054,120949,915Personal Services Total $$$$
Other Services & Charges
6103 15,136 13,870 15,670 15,690Professional Services -General $$$$
6202 10,630 15,570 15,570 24,380Data Processing Rental
6204 255,380 268,150 268,150 281,560Motor Pool Operating Rental
6205 116,876 126,670 124,430 136,670Maintenance & Repairs
6207 187,234 134,460 134,460 134,460Utility Services
6302 8,937 11,240 9,240 9,240Communications
6303 8,999 10,310 10,310 8,840Professional Development
6305 - 100 100 100Subscriptions & Memberships
6307 36,748 54,210 53,150 37,020Insurance & Bonds
6308 4,160 4,240 4,240 4,320Property Liability
6310 - 200 200 200Taxes & Licenses
6315 115,487 61,400 100,900 80,900Other Contractual Services
6409 9,769 10,600 10,600 10,600Uniforms & Clothing
6410 5,933 2,000 2,000 2,000Small Tools & Parts
6412 4,095 7,500 750 750Maint. & Const. Materials
6414 53,977 42,270 54,160 54,170Other Supplies
762,790 803,930 800,900833,361Other Services & Charges Total $$$$
1,799,330 1,799,350 1,855,0201,783,276Park Maintenance TOTAL $$$$
128
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GENERAL FUNDFUND:
Public WorksDEPARTMENT:
Park Maintenance - 10615BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
8.00 8.00LT-1Public Works Worker 8.00
.50 .5014Operations Supervisor .50
.17 .1710Asset Management/GIS Analyst .17
8.67 8.67Total8.67
Intermittent Employees
1.23 1.23103Seasonal Maintenance Laborer (4 Positions)-
1.23 1.23Total-
- - None $$- $
--Total $$-$
129
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Department/Division
Actual Actual Budget Budget202420252026R2027P
Inputs:
Number of full time employees 8.5 8.67 8.67 8.67
Division Expenditures 1,593,191$ 1,783,276$ 1,799,330$ 1,855,030$
Outputs:
No. of Parks Maintained 21 22 22 22
No. of Athletic Fields 24 24 24 24
Effectiveness Measures:
Games Not Played Due to
Weather-Related Field Conditions 11 17 10 10
Efficiency Measures:
Average Cost to Maintain Each Park 75,866.24$ 81,058.00$ 81,787.73$ 84,319.55$
Cost to Maintain Parks per Capita 41.40$ 46.34$ 46.76$ 48.21$
Performance Measures
Public Works/Park Maintenance
130
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RECREATION SERVICES
131
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Recreation ServicesDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
534,201 571,780 550,703 577,897Recreation Administration $$$$1.07%17000
1,224,189 1,289,399 1,287,367 1,340,982Recreation 4.00%17501
748,197 700,021 723,729 952,441Wood Lake Nature Center 36.06%18000
2,561,200 2,561,799 2,871,3202,506,587Recreation Services TOTAL $$$$12.11%
REVENUES
345,020 292,200 311,100 296,100Recreation$$$$1.33%17501
55,264 64,100 64,350 155,745Wood Lake Nature Center 142.97%18000
YEAR AMOUNT
2025 $2,506,587
2026B $2,561,200
2026R $2,561,799
2027B $2,871,320
$0
$400,000
$800,000
$1,200,000
$1,600,000
$2,000,000
$2,400,000
$2,800,000
$3,200,000
2025 2026B 2026R 2027B
E
X
P
E
N
D
I
T
U
R
E
S
YEAR
RECREATION SERVICES EXPENDITURES
132
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RECREATION SERVICES ADMINISTRATION
MISSION STATEMENT Richfield Recreation Services encourages a happy, healthy, and connected community by providing inclusive recreational experiences that promote physical activity, mental wellness, and social belonging.
DIVISION FOCUS
The Recreation Services Administration Division provides support for the Recreation Services Department, which includes Wood Lake Nature Center, Recreation Programs and Athletics, Ice Arena, Outdoor Pool, Honoring All Veterans Memorial, Band Shell, Mini-Golf, and the Sustainability divisions (organics, recycling, and sustainability). The Administrative
Division also contains items related to parks planning and development.
2026 HIGHLIGHTS
•Completed Pool and Ice Arena Local Option Sales Tax renovation projects. (CityCouncil Priority 3)
•Completed Natural Resources Management Plan for Richfield Lake Park, Taft Park,Veterans Memorial Park and Wood Lake Nature Center. (City Council Priority 1, 3,and 5)
•Began Parks Master Planning process (City Council Priority 3a, 3b)
•Collaborated to conduct a recreation facility assessment (City Council Priority 3, 5c).
•Complete fleet electric vehicle assessment. (City Council Priority 3)
•Installed solar panels on Ice Arena and Public Works Building using State and
Federal Funding (City Council Priority 1b and 3b)
•Constructed playground at Donladson Park (City Council Priority 3a)
•Updated Climate Action Plan (City Council Priority/Outcome 3c)
2027 DIVISION GOALS
•Complete Veterans Memorial Park Local Option Sales Tax Projects (City CouncilPriority 3)
•Complete Parks Master Plan and begin work on identified CIP projects (City CouncilPriority 3a, 3b)
•Deliver several Recreation Department wide training opportunities (City Council Priority
4a).
•Begin work on new organized hauling contract (City Council Priority 1)
DIVISION EXPENDITURE COMMENTS The Recreation Services/Administration Division shows a decrease of 3.69% for 2026 revised due to a reduction in employee benefit costs. 2027 will have a 1.07% increase
due to a growth in staffing costs but a reduction in expected credit card processing fees.
133
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Recreation ServicesDEPARTMENT:
Recreation Administration - 17000BUSINESS UNIT:
Personal Services
6005 291,856 300,600 301,290 319,140Full Time $$$$
6031 15,495 17,400 17,240 18,230Employer Social Security
6032 3,624 4,070 4,030 4,260Employer Medicare
6033 20,999 22,160 22,290 23,620Employer Pera
6035 54,824 56,070 46,580 53,070Medical Insurance
6036 1,749 2,100 2,000 2,000Dental Insurance
6037 172 170 170 170Term Life
6038 2,500 2,550 2,550 2,680Workers Compensation
6040 314 610 500 500Long Term Disability
6041 57 - 1,136 1,200Paid Family Medical Leave
405,730 397,786 424,870391,590Personal Services Total $$$$
Other Services & Charges
6103 180 2,000 - - Professional Services -General $$$$
6202 13,837 13,010 13,010 12,394Data Processing Rental
6207 10,627 8,500 10,600 11,000Utility Services
6301 40,028 38,000 40,000 40,000Advertising & Publication
6302 2,285 2,000 2,300 2,300Communications
6303 3,408 3,200 5,000 3,700Professional Development
6307 8,065 5,340 5,240 8,168Insurance & Bonds
6308 9,220 9,400 9,400 9,590Property Liability
6402 7,724 7,400 7,700 7,800Copy Charges
6513 47,237 77,200 59,667 58,075Other Charges
166,050 152,917 153,027142,611Other Services & Charges Total $$$$
571,780 550,703 577,897534,201Recreation Administration TOTAL $$$$
134
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GENERAL FUNDFUND:
Recreation ServicesDEPARTMENT:
Recreation Administration - 17000BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0020Recreation Services Director 1.00
.40 .4012Sustainability Specialist .40
1.00 1.0012Analyst1.00
2.40 2.40Total2.40
-- None $$-$
--Total $$-$
135
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Department/Division
Actual Actual Budget Budget
2024 2025 2026 2027
Inputs:
Number of organics program participants 3,371 3,490 3,500 3,500
Richfield Households 15,332 15,332 15,332 15,332
Outputs:
Rec. Adminstration Division Cost 522,959$ 534,201$ 550,703$ 577,897$
Effectiveness Measures:
% of Households in Organics Program 22%23%23%23%
Efficiency Measures:
Adminstration cost per capita 34.11$ 34.84$ 35.92$ 37.69$
Performance Measures
Recreation Services/Administration
136
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RECREATION PROGRAMS MISSION STATEMENT
Richfield Parks and Recreation encourages a happy, healthy, and connected community by providing inclusive recreational experiences that promote physical activity, mental wellness, and social belonging. DIVISION FOCUS The Recreation Programs Division provides high‑quality programs, activities, and events for the entire community, with a focus on accessibility and inclusion for people of all abilities, backgrounds, and economic circumstances. The Division coordinates scheduling of athletic fields and park facilities for local sports associations, schools, and
community groups.
2026 HIGHLIGHTS
• Developed a new partnership model with RecLeaguer to offer adult grass volleyball leagues (City Council Priority1.b,1.c)
• Implemented new gardening and kitchen programs supported by th Urban AGRI
grant. (City Council Priority 1.b, 5.a)
• Partnered with VEAP to offer monthly mobile food pantry in response to the Fare for All program ending. (City Council Priority 5.a)
• Staff supported community volunteer committees to offer the Richfield 4th of July Celebration and Penn Fest. (City Council Priority 1.c, 5.a)
• Secured grants and sponsorships for Entertainment in the Park which allowing for higher quality bands and Food Trucks at all evening performances. (City Council Priority 1.c, 5.a)
2027 DIVISION GOALS
• Adjust program offerings based off Park System Master Plan Program Assessment report (City Council Priority 1.b, 1.c).
• Continue to defer program expenses by expanding community partnerships and secure new sponsorships. (City Council Priority 1.b).
• Increase volunteers for programs and special events. (City Council Priority4.b)
DIVISION REVENUE COMMENT
Revenue is forecasted to continue to increase. The 2026 revised revenue is projected to
increase by 6.47% compared to the 2026 adopted budget. The 2027 proposed budget includes a 1.33% revenue increase compared to the 2026 adopted budget. DIVISION EXPENDITURE COMMENT
The Recreation Programs 2026 revised budget is projected to have 0% change in
expenditures compared to the 2026 adopted budget. The proposed budget
expenditures in 2027 are increasing by 4% due to increase in contractual services
(portable restrooms, referees, contract programs).
137
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Recreation ServicesDEPARTMENT:
Recreation - 17501BUSINESS UNIT:
Personal Services
6005 521,370 550,320 550,080 575,020Full Time $$$$
6006 82,206 101,120 50,550 52,070Part-time
6007 62,549 72,610 116,896 115,931Seasonal
6031 40,247 43,920 44,350 45,910Employer Social Security
6032 9,412 10,270 10,370 10,740Employer Medicare
6033 46,763 48,860 45,050 47,030Employer Pera
6035 101,012 108,740 90,780 102,630Medical Insurance
6036 4,375 4,470 4,378 4,470Dental Insurance
6037 430 400 430 430Term Life
6038 7,720 7,870 7,870 8,260Workers Compensation
6040 643 1,000 1,012 1,020Long Term Disability
6041 115 -3,805 3,992Paid Family Medical Leave
949,580 925,571 967,503876,842Personal Services Total $$$$
Other Services & Charges
6103 -130 130 130Professional Services -General $$$$
6201 4,264 4,400 4,400 4,500Rents & Leases
6202 62,333 57,993 57,993 59,640Data Processing Rental
6204 1,230 1,290 1,290 1,350Motor Pool Operating Rental
6205 3,043 5,000 5,000 5,000Maintenance & Repairs
6207 20,050 18,500 18,500 19,000Utility Services
6301 1,254 2,000 2,000 2,000Advertising & Publication
6302 4,232 5,150 5,150 5,150Communications
6303 6,671 4,120 4,120 4,120Professional Development
6305 2,605 3,600 4,500 3,100Subscriptions & Memberships
6307 6,292 4,590 4,500 7,194Insurance & Bonds
6308 120 120 120 120Property Liability
6315 158,911 145,776 163,943 174,875Other Contractual Services
6401 4,006 3,150 3,150 3,150Office Supplies
6402 957 - 500 500Copy Charges
6403 4,460 3,900 4,500 4,600Postage
6409 2,802 2,000 2,000 2,000Uniforms & Clothing
6414 57,649 72,100 74,000 70,800Other Supplies
6513 6,468 6,000 6,000 6,250Other Charges
339,819 361,796 373,479347,347Other Services & Charges Total $$$$
1,289,399 1,287,367 1,340,9821,224,189RecreationTOTAL$$$$
138
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GENERAL FUNDFUND:
Recreation ServicesDEPARTMENT:
Recreation - 17501BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0014Recreation Manager 1.00
3.00 3.0012Recreation Supervisor 3.00
1.00 1.0010Recreation Program Coordinator 1.00
1.00 1.008Senior Office Assistant 1.00
6.00 6.00Total6.00
Part-Time Employees
1.00 1.006Custodian2.00
1.00 1.00Total2.00
- - None $$- $
--Total $$-$
139
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Department/Division
Actual Actual Budget Budget
2024 2025 2026 2027
Inputs:
Number of Full Time Employees 6 6 6 6
Division Revenues 324,228$ 345,020$ 311,100$ 296,100$
Division Expenditures 1,123,315$ $ 1,224,189 1,287,367$ 1,340,982$
Outputs:
Older Adult Registrants 1,795 1,903 1,800 1,800 Youth/Family Registrations 2,430 2,576 2,400 2,400
Youth/Adult Athletics Registrations 910 965 800 800
Adaptive Registrations 1,358 1,440 1,400 1,400
Total Registrations 6,493 6,882 6,400 6,400
Effectiveness Measures:
Average Revenue Per Registration 50.35$ 47.11$ 48.61$ 46.27$
Efficiency Measures:
Average Cost Per Registration 174.75$ 177.87$ 201.15$ 209.53$
Revenues Per Capita 7.81$ 8.76$ 9.32$ 8.41$
Expenditures Per Capita 27.10$ 33.09$ 34.79$ 36.24$
Performance Measures
Rec Serv/Rec Programs & Athletics
140
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WOOD LAKE NATURE CENTER
MISSION STATEMENT
Wood Lake Nature Center, part of the Recreation Services Department, exists to
enhance the quality of life in Richfield by providing the highest-quality, community-
based nature experience while serving the widest possible audiences.
DIVISION FOCUS
Wood Lake provides high quality, accessible environmental education, recreation and
community program opportunities unique to the Wood Lake Nature Center site.
Provides natural resource information to the public including wildlife, forest, prairie,
wetlands, and lakes programming. Manages and maintains a high-quality natural area.
Supports and guides the Friends of Wood Lake in raising funds for projects and
seasonal staffing.
2026 HIGHLIGHTS
• Completed the construction of a new Wood Lake Nature Center building using Local
Option Sales Tax, Meeting regularly with the building project team. (City Council
Priority 3.a)
• Managed the natural resources of the park to allow for access, safety, and
biodiversity, securing grant and donation funding. (City Council Priority 1, 3.b)
• Moved FOWL to a higher level and more diverse styles of fund raising. Held
successful FOWL dinner in November. (City Council Goal 1b, 3b, 5a)
• Provided new programming while maintaining traditional programs at two sites while
the Nature Center is under construction. (City Council Goal 5.a)
2027 DIVISION GOALS
• Develop and implement programming and rental plan for the new building. (City
Council Priority 5)
• Continue to work with new FOWL board members grow fundraising capacity. (City
Council Priority 1b, 3b, 5a)
• Maintain natural resources in the park working with volunteer groups, Great River
Greening and Public Works. (City Council Priority 1)
DIVISION REVENUE COMMENT
2026 Revised revenue is $250 higher than adopted and 2027 Proposed revenue is
expected to be $91,935 higher due to additional rental and program revenue.
DIVISION EXPENDITURE COMMENT
Wood Lake’s expenditures for the revised 2026 budget are projected to be $23,008
higher due to increases in medical insurance, two months of the new Event
Coordinator, and the addition of paid family and medical leave. The 2027 proposed
expenditures are projected to be $252,420 higher primarily due to additional staffing
and expenses related to the new building operations.
141
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
GENERAL FUNDFUND:
Recreation ServicesDEPARTMENT:
Wood Lake Nature Center - 18000BUSINESS UNIT:
Personal Services
6005 460,297 481,660 493,827 616,363Full Time $$$$
6007 52,532 69,920 70,065 87,190Seasonal
6009 - - 500 500Overtime
6031 31,000 33,676 34,143 42,119Employer Social Security
6032 7,250 7,883 8,015 8,917Employer Medicare
6033 38,492 41,193 42,273 47,292Employer Pera
6035 30,014 29,630 42,950 56,575Medical Insurance
6036 2,186 2,230 1,933 2,719Dental Insurance
6037 358 200 219 220Term Life
6038 6,980 7,120 7,120 7,480Workers Compensation
6040 569 870 870 961Long Term Disability
6041 99 -1,864 2,060Paid Family Medical Leave
6054 (25,000)(108,864)(105,000)(95,000)Interdepartmental Labor Credit
565,518 598,779 777,396604,777Personal Services Total $$$$
Other Services & Charges
6103 2,633 3,500 3,500 3,500Professional Services -General $$$$
6202 54,452 50,670 50,670 47,798Data Processing Rental
6204 9,550 10,030 10,030 10,530Motor Pool Operating Rental
6205 551 2,000 2,000 2,000Maintenance & Repairs
6207 32,759 16,000 16,000 39,000Utility Services
6301 2,401 3,000 3,000 3,300Advertising & Publication
6302 3,798 4,500 4,500 4,500Communications
6303 1,089 1,000 1,000 1,000Professional Development
6305 35 - - - Subscriptions & Memberships
6307 10,779 12,260 12,020 11,517Insurance & Bonds
6308 3,750 3,830 3,830 3,910Property Liability
6315 8,933 4,500 4,500 32,190Other Contractual Services
6401 31 400 400 400Office Supplies
6402 119 100 - - Copy Charges
6403 661 300 400 400Postage
6409 1,418 1,413 1,000 1,000Uniforms & Clothing
6410 1,180 1,000 100 1,000Small Tools & Parts
6414 9,278 20,000 12,000 13,000Other Supplies
6513 3 - - - Other Charges
134,503 124,950 175,045143,420Other Services & Charges Total $$$$
700,021 723,729 952,441748,197Wood Lake Nature Center TOTAL $$$$
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GENERAL FUNDFUND:
Recreation ServicesDEPARTMENT:
Wood Lake Nature Center - 18000BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0014Manager1.00
2.00 2.0012Naturalist2.00
1.00 1.008Senior Office Assistant 1.00
1.00 1.00LT3Public Works Worker 1.00
.65 .658Rental Coordinator -
- 1.0010Natural Resources Coordinator -
5.65 6.65Total5.00
-- None $$-$
--Total $$-$
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Department/Division
Actual Actual Budget Budget
2024 2025 2026 2027
Inputs:
Number of Full Time Employees 5 5 5.5 6.5
Division Revenues 134,550$ 55,264$ 64,350$ 155,745$ Division Expenditures 678,016$ 748,197$ 723,729$ 952,441$
Outputs:
Volunteer Hours 2,608 1,409 1,500 3,000
Number of contact hours for all programs delivered 23,020 10,360 12,060 29,190
Effectiveness Measures:Number of programs delivered annually 607 350 500 650
Number of people attending all programs annually 18,814 10,225 17,000 20,000
Efficiency Measures:
Dollars saved by volunteers 65,200$ 35,225$ 37,500$ 75,000$
Average cost/person of programs delivered 28.89$ 67.77$ 38.79$ 39.83$ Average cost of programs per hour delivered 23.61$ 66.89$ 54.67$ 27.29$
Revenues Per Capita 3.70$ 1.52$ 1.77$ 4.29$ Expenditures Per Capita 18.66$ 20.59$ 19.92$ 26.21$
Performance Measures
Rec Serv/WoodLake Nature Center
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SPECIAL REVENUE
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BUDGET SUMMARYLIQUOR CONTRIBUTION FUND
2025 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 154,828$ 155,828$ 160,445$ 161,445$
Sources
Liquor Profits 475,000 475,000 475,000 475,000
Interest 5,617 1,000 1,000 1,000
Subtotal 480,617 476,000 476,000 476,000
Uses
Transfers 475,000 475,000 475,000 475,000
Subtotal 475,000 475,000 475,000 475,000
FUND BALANCE 160,445$ 156,828$ 161,445$ 162,445$
2026
MISSION STATEMENT
The Liquor Contribution Fund is financed by earnings of the Municipal Liquor Fund,which aretransferredto this fund annually.As capital improvement projects are undertaken, money istransferred out of this fund to the capital improvement funds to finance the project.
DIVISION FOCUS
The 2026 budget revision provides for expenditures of monies from the Liquor Contribution Fund inaccordancewiththerevised 2026 Capital Improvement Budget.The 2027 proposed budget similarlyallocates special revenue monies for expenditure in accordance with the 2026 Capital ImprovementBudget.In 2027,funding received from liquor profits is budgeted at $475,000 which is the same as the
2026 adopted budget.
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BUDGET SUMMARY
TOURISM ADMINISTRATION
2025 2027AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 58,430$ 60,140$ 62,815$ 64,525$
Sources
Hotel/Motel Lodging Tax 7,315 7,000 7,000 7,000
Interest 2,510 150 150 150
Subtotal 9,825 7,150 7,150 7,150
Uses
Personal Services 5,440 5,440 5,440 5,440
Subtotal 5,440 5,440 5,440 5,440
FUND BALANCE 62,815$ 61,850$ 64,525$ 66,235$
2026
MISSION STATEMENT
To set up funding for the Richfield Tourism Promotion Board through a Lodging Tax on the grossreceipts on lodging from hotels and motels within the city.The purpose of this fund is to promote and
market the city as a tourist or convention center.
DIVISION FOCUS
To create a climate supportive of the hotel industry in the city of Richfield.This includes sponsoringevents and other appropriate activities which provide visibility for Richfield as a tourist center.
2027 TOURISM ADMINISTRATION GOALS
1.To promote the city of Richfield as a tourist destination.2.To promote civic activities which enhance the city's positive image.
3.To carry out such activities as permitted under Minnesota statutes.
DIVISION EXPENDITURE COMMENT
This fund is responsible for the collection of lodging tax revenues and the distribution of these funds totheRichfieldTourism Promotion Board (RTPB),and for the examination of the records of any operatorforverificationofaccuracy on the Lodging Tax Returns as well as an annual report to the State ofMinnesota.Revenue here represents 5%of the total taxes generated and submitted to the Richfield
Tourism Promotion Board.
The Richfield Tourism Promotion Board,which meets monthly,is comprised of a representative of theRichfieldChamber of Commerce and a representative from each of the three hotel/motel properties inRichfield.The City Manager serves as the City's liaison to the Board.The duties of the Board include theannual expenditure and a allocation of lodging tax revenues for permissible activities.
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BUDGET SUMMARYCOMMUNICATIONS FUND
2025 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 1,889,161$ 1,785,321$ 1,850,126$ 1,733,056$
Sources
Franchise Fees 287,129 246,500 251,000 230,000
Intergovernmental - - - -
Interest 57,151 5,000 5,000 5,000
Transfers In:
General Fund 25,000 25,000 50,000
Subtotal 344,280 276,500 281,000 285,000
Uses
Personal Services 249,750 240,330 253,780 261,370
Other Service & Charges 133,565 172,090 144,290 168,460
Capital Outlay - - - - Subtotal 383,315 412,420 398,070 429,830
FUND BALANCE 1,850,126$ 1,649,401$ 1,733,056$ 1,588,226$
MISSION STATEMENT
DIVISION FOCUS
2026
COMMUNICATIONS FUND
To provide communication services to Richfield residents through the city’s cable TV channel, website, print publications, social media, media relations, events and other engagement initiatives. Administer
the city’s cable television ordinance.
The communication fund is financed through franchise fees derived from cable television subscribers. These funds are paid to the city under the obligations of the Cable Television Franchise Ordinance. The funds are used to finance public service-related cable television programming and public
information activities.
The overall administration of this fund guided through the city’s Administrative Services Department. Positions funded by this division include Communications and Engagement Manager, Communications Specialist, Video Production Assistant and Communications Interns.
The Communications and Engagement Manager oversees the city’s website, social media channels, e-
newsletters, cable TV programming, print publications, video production, media relations, branding and other external communications. The position also supports internal communications and the city’s intranet. The part-time Communications Specialist assists the Communications and Engagement
Manager in accomplishing the city’s communication goals, with an emphasis on digital
communications. The intermittent Video Production Assistant records city meetings, as well as
assisting in the production of other videos. As needed, Communications Interns are employed to provide college students who are interested in communications and civil service a better understanding of the communications profession, as well as to fill necessary gaps in resident communication
offerings.
The city’s primary cable programming focuses on the live broadcast and re-broadcast of City Council, Housing and Redevelopment Authority, Economic Development Authority and Planning Commission meetings. All additional city programming is produced through this division. In an effort to adequately
produce these programs, cameras, controls, editing equipment and various accessories are needed.
Equipment is updated as needed.
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CABLE T.V. FUNDFUND:
Administrative ServicesDEPARTMENT:
CABLE T.V. FUND - 20004BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0015Communications Manager 1.00
1.00 1.00Total1.00
Intermittent Employees
.20 .20103Video Production Assistant .20
.20 .20Total.20
Part-Time Employees
.50 .5010Communication Specialist .50
.45 - 9Temporary Website Coordinator .45
.95 .50Total.95
-- $$-$
--Total $$-$
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BUDGET SUMMARY - ELECTIONS FUND
2025 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 2,395,389$ 779,069$ 869,686$ 924,253$
SourcesIntergovernmental - - - - Other Revenues 73,218 - - 95,000 Lease Revenue 393,919 329,600 332,898 332,900 Interest 77,460 50,000 50,000 21,060 Subtotal 544,597 379,600 382,898 448,960
UsesPersonal Services 237,989 285,831 285,831 263,380 Other Services and Charges 32,311 42,500 42,500 35,580 Transfers Out: Long-term Capital Reserve Fund 1,800,000 Subtotal 2,070,300 328,331 328,331 298,960
FUND BALANCE 869,686$ 830,338$ 924,253$ 1,074,253$
2026
MISSION STATEMENT
The Elections Fund was established to isolate the large fluctuation in costs from year to year.
DIVISION FOCUS
The Election Division provides voter registration services,voter information services,and electionadministrationservicesfortheCity.The City Clerk is responsible for the management of theseservices.City Clerk Division employees along with seasonal staff provide staffing and support totheElection Division.
Responsibilities include the conduct of primary,general,and special elections,the recruitment and
training of election judges,maintenance of voter registration records,programming/testing of votingequipment,polling place arrangements, legal notices, candidate filings,ballot printing,administration of absentee ballot process,and acting as an information resource for the publicregarding election information.
DIVISION EXPENDITURE COMMENT
The 2026 Revised Budget reflects the cost associated with the upcoming General Elections andvoter registration activities.The 2027 budget reflects the cost associated with the upcoming level ofservicestobe provided during a non-General election year.
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BUDGET SUMMARY
DRUG/FELONY FORFEITURE
2025 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 280,133$ 223,733$ 312,155$ 353,955$
Sources
Intergovernmental Revenue
Drug/felony forfeiture 81,194 35,000 81,000 20,000
Interest 10,346 1,500 10,400 1,500
Other revenues 889 2,000 2,000 2,000
Subtotal 92,429 38,500 93,400 23,500
Uses
Other service & charges 60,407 34,100 51,600 57,000
Subtotal 60,407 34,100 51,600 57,000
FUND BALANCE 312,155$ 228,133$ 353,955$ 320,455$
2026
MISSION STATEMENT
The Drug/Felony Forfeitures Fund receives its revenues as the result of cash and property
seized relating to drug and/or felony type criminal activity and vehicles seized due toaggravatedDUIviolations.By law,the funds can only be used for law enforcement purposes.
DIVISION FOCUS
The funds will used for various police equipment and training needs.
In 2026 Revised planned purchases are a purchases are 3 K-9's and SWAT Supplies ($10,000) SWAT Bags ($3,600) Sniper Rifle ($7,500) Patrol Rifle sights ($11.000) ($8,000) 6 New Glock handguns to account for additional officers and Spares. (2,500) Vehicle Fleet Accesories ($5,000) Drone software. BWC spares (4,000)
In 2027 Proposed planned purchases are purchases for 3 K-9's ($7,000) SWAT Supplies $10,000) Sprinter Conversion Communications Van ($35,000) Drone software ($5,000)
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BUDGET SUMMARY
PUBLIC SAFETY COMPLIANCE
2025 2026 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 300,106$ 373,056$ 413,194$ 443,694$
Sources
Intergovernmental:
Federal grants 6,025 6,000 10,000 6,000
State grants 113,879 10,000 6,500 6,500
County grants 10,000 22,000 10,910
Other grants 2,000
LEADS Revenue 7,172 5,300 5,000 4,800
Interest 11,584
Other 25,714 15,000 12,000 15,000
Subtotal 166,374 46,300 55,500 43,210
Uses
Personnel Services - 5,000 5,000 5,000
Other service & charges 53,286 20,000 20,000 20,000
53,286 25,000 25,000 25,000
FUND BALANCE 413,194$ 394,356$ 443,694$ 461,904$
MISSION STATEMENT
Revenue for this fund comes from fines levied against businesses that fail alcohol and tobaccocompliancechecks.These funds are then used for costs related to performing the compliancechecks.In addition the fund also is used to account for the LEADS on line system for pawnshops and and those that carry a second hand dealers license.
Citizen Corp Grants (CERT)ended in 2014.There currently is no funding source for CERTGrantsthroughtheDepartmentofHomeland Security.All Justice Assistance Grant (JAG)funds are administered in the Compliance Fund and will be utilized for additional purchases ofpoliceequipment and training.The City was awarded a JAG grant for 2023 it does not expireuntiltheendof2026.We have a 2024 JAG grant that expires on 2027 and awaiting on thenotification for the 2025 grant.
DIVISION FOCUS
Funds received from compliance failure fines will be used to fund future ongoing compliancechecksandtheLEEDSonlinesytems.In addition,JAG grants will be administered within thisfund.We no longer receive grant money for JCCP.We currently share the cost with the county
which comes out of 10305.We received bullet proof grants for State and Federal in 2025 and2026.We anticipate we will receive State and Federal bullet proof vest grants in 2027.
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BUDGET SUMMARY
RECREATION CONTRIBUTIONS
2025 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 104,772$ 123,772$ 100,133$ 107,133$
Sources
Intergovernmental
Federal 116,961 - 20,000 30,000
Local Grant - 55,000 - -
Other 109,228 110,000 110,000 110,000
Interest 2,031 - - -
Subtotal 228,220 165,000 130,000 140,000
Uses
Other Services & Charges 232,859 148,000 123,000 123,000
Subtotal 232,859 148,000 123,000 123,000
FUND BALANCE 100,133$ 140,772$ 107,133$ 124,133$
MISSION STATEMENT
DIVISION FOCUS
2026
The Recreation Contributions Fund serves as a way to account for donations that are intended to
benefit activities of the Recreation Services Department. Sources of revenue include
donations/contributions come from individuals, businesses or corporations, as well grants and
interest earnings. Uses of the funds include staffing costs, supplies, equipment, construction,
reimbursements for credit card payments to Farmers Market vendors, and other charges.
Fund activity includes donations from individuals for donated park features, receipt of on-line
engraving donations for the Honoring All Veterans Memorial, Farmers Market, and Community
Center fundraising events like the Boutique and the Garage Sale.
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BUDGET SUMMARY
NATURE CENTER CONTRIBUTIONS
2025 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 262,527$ 270,574$ 499,428$ 401,428$
Sources
Intergovernmental
State 15,578$ -$ -$ -$
Contributions 239,409 58,000 165,000 50,000
Memberships 13,660 20,000 20,000 30,000
Interest 13,391 7,000 7,000 7,000
Subtotal 282,038$ 85,000$ 192,000$ 87,000$
Uses
Personal Services -$ 43,864$ 40,000$ 30,000$
Other Services & Charges 45,137 35,000 250,000 50,000
Subtotal 45,137$ 78,864$ 290,000$ 80,000$
FUND BALANCE 499,428$ 276,710$ 401,428$ 408,428$
MISSION STATEMENT
DIVISION FOCUS
2026
The Nature Center Contribution Fund serves as a way to account for donations that are intended to
benefit Wood Lake Nature Center. Sources of donations mostly come from the fundraising activities of
the Friends of Wood Lake (FOWL). Other donations are received from individuals, businesses or
corporations. Another source includes interest earned from the fund balance. Uses of the fund include a
transfer into to the Woodlake Nature Center Operating Budget for staffing costs, supplies, equipment,
construction and other charges.
Sources of revenue include proceeds from the FOWL Dinner, additional fudraisers, FOWL membership
fees, garden leaf sales, and miscellaneous donations received for park features. Uses of funds include
the a portion of the school year seasonal salary, intern pay, volunteer shirts, sponsorship of the
Halloween Program Candlelight and Ice and the UWHM.
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BUDGET SUMMARY
PUBLIC HEALTH GRANTS
2025 2026 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 139,347$ 87,174$ 145,849$ 145,849$
Sources
Intergovernmental Revenues:
Public Health Grants 185,489 50,714 50,714 50,714
Interest 5,002 500 500 500
Subtotal 190,491 51,214 51,214 51,214
Uses
Other Service & Charges 183,989 51,214 51,214 51,214
183,989 51,214 51,214 51,214
FUND BALANCE 145,849$ 87,174$ 145,849$ 145,849$
MISSION STATEMENT
To prepare for internally and provide services to the community in the area of strengtheningtheCity’s ability to assess and enhance the capacity of local public health departments torespondtobioterrorism, infectious diseases, and other threats to public health.
DIVISION FOCUS
These dollars are grant funds that are provided to each Community Health Service agency,of
which Richfield is one,from or through the State of Minnesota to work on providing services intheareaofpublichealth emergency preparedness services.The grant dollars originate fromtheCentersforDiseaseControlandPreventionandareintendedtobeusedtoassessandenhancethecapacityof the state and local public health departments to respond tobioterrorism, infectious diseases, and other threats to public health.
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BUDGET SUMMARY
WOOD LAKE HALF MARATHON
2025 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 91,878$ 75,878$ 128,745$ 126,745$
Sources
Intergovernmental - - - -
Charges for Service 53,590 60,000 60,000 60,000
Contributions 7,470 10,000 10,000 10,000
Interest Earnings 4,049 -
Subtotal 65,109 70,000 70,000 70,000
Uses
Personal Services - 40,000 40,000 40,000
Other Service & Charges 28,242 50,000 32,000 32,000
Subtotal 28,242 90,000 72,000 72,000
FUND BALANCE 128,745$ 55,878$ 126,745$ 124,745$
2026
MISSION STATEMENT
The Urban Wildland Half Marathon & 5K has been held since 2003. The event was initiated in
response to proposed cuts in Local Government Aid and was seen as a way to fund Wood Lake Nature Center's environmental education curriculum for Richfield Public School students in kindergarten through eighth grade.
The costs of the environmental education program are offset by revenue from the Urban Wildland Half Marathon & 5K.
DIVISION FOCUS
Event sponsorships are detailed as "contributions" and revenues from race registration,
detailed as "charges for service. The "uses" include expenditures related to the race, as well as the amount that will offset environmental education program costs.
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BUDGET SUMMARY
FRANCHISE FEES
2025 2026 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 2,450,331$ 2,887,331$ 2,988,358$ 3,333,358$
Sources
Franchise Fee 2,494,954 2,450,000 2,450,000 2,450,000
Interest 116,869 50,000 50,000 27,775
Subtotal 2,611,823 2,500,000 2,500,000 2,477,775
Uses
Other Services & Charges 120,003 275,000 407,300 346,826
Capital Outlay - - - -
Transfers Out:
General Fund 50,000 50,000 50,000 50,000
Debt Service Fund 746,793 747,700 747,700 743,174
Capital Project Fund 1,157,000 1,392,000 950,000 1,235,000
Subtotal 2,073,796 2,464,700 2,155,000 2,375,000
FUND BALANCE 2,988,358$ 2,922,631$ 3,333,358$ 3,436,133$
MISSION STATEMENT
The establishment of gas and electric franchise fees was in response to reductions in state aidsandthepotential for state imposed levy limits.The fees allow the City to have a reliable revenue
stream.
DIVISION FOCUSTheprimarypurpose of the establishment of gas and electric franchise fees was to replacerevenueslosttoreductionsinstateaidsandto offset the potential for state imposed levy limits.
The fees provide funding for the maintenance of city streets,and diseased tree treatments,removal, and replacement.The most recent increase in Franchise fees took affect in 2024.Thepurposeofthislastincreasewastofund the City's ongoing pavement management includingsidewalk,ADA,and bicycle improvements.
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FRANCHISE FEESFUND:
FinanceDEPARTMENT:
FRANCHISE FEES - 20034BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
-- $$-$
40,000 40,000Pedestrian Improvements 40,000
40,000 40,000Bicycle Improvements 40,000
200,000 200,000ADA Improvements 200,000
345,000 755,000Pavement Management Projects 737,000
325,000 - Public Works Storage Facility 325,000
- - Street Name Sign Replacement 50,000
- 200,00078th Street Lighting -
950,000 1,235,000Total$$1,392,000$
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BUDGET SUMMARY
ICE ARENA
2025 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE (2,062,734)$ (986,714)$ (1,148,869)$ (747,970)$
Sources
User Fees 1,276,401 1,295,270 1,295,270 1,355,190
Concessions 59,060 63,800 63,800 66,100
Other Revenues 58,017 41,200 51,200 83,520
Transfers In:
General Fund 220,000 295,000 255,000 244,625
Capital Project Fund 365,000 370,000 370,000 400,000
Long-Term Capital Reserves 472,170
Subtotal 2,450,648 2,065,270 2,035,270 2,149,435
Uses
Personal Services 760,852 763,788 797,570 875,339
Other Service & Charges 769,131 629,290 628,860 651,439
Interest Charges 6,800 6,800 -
Capital Outlay - - 207,941 30,000
Subtotal 1,536,783 1,399,878 1,634,371 1,556,778
FUND BALANCE (1,148,869)$ (321,322)$ (747,970)$ (155,313)$
2026
MISSION STATEMENT
The Ice Arena operation serves to provide recreational skating and on ice programs for a variety ofages;to provide equitable ice availability for male and females;to provide a quality ice sheet,and aclean and safe facility.
The operation provides skating lessons,open skating,and sponsors the annual ice show. Ice is rentedtothelocalhigh schools for practice and games,youth associations for clinics,practices,games,andhockey tournaments.The St.Paul Figure Skating Competition rents ice along with private hockeyschools and various groups for hockey and broomball.
DIVISION FOCUS
The Ice Arena division consists of four full-time employees that include a facility manager, two Recreation Supervisors, and one Public Works Worker. There are 10-15 resurfacing operators working year-round and seven seasonal concession workers and cashiers.
The Ice Arena Division provides skating lessons, open skating, and sponsors the annual ice show. Ice is rented to high school programs for practice and games, youth associations for clinics, practices, games and seven hockey tournaments. Ice is also rented for the annual St. Paul Figure Skating Competition; private hockey schools; and various groups for hockey and broomball. As always, it is our focus to maintain a quality ice sheet, and a clean and safe facility, provide quality service and maximize revenues
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ICE ARENAFUND:
Recreation ServicesDEPARTMENT:
Ice Arena - 20035BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2025
REVISED
2026
BUDGET
2025
ADOPTED
CAPITAL OUTLAY
ITEMS
2025
REVISED
2026
BUDGET
2025
ADOPTED
Regular Full-Time Employees
1.00 1.0015Facility Manager 1.00
1.00 1.00LT-1Public Works Worker 1.00
1.00 1.0012Recreation Supervisor 1.00
1.00 1.0013Recreation Supervisor-Facilities 1.00
4.00 4.00Total4.00
-- $$$
--Total $$$
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2025 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 209,956$ 237,156$ 208,840$ 234,810$
Sources
User Fees 478,443 591,640 519,310 552,410
Commodities 79,478 95,870 95,870 96,670
County Grant - 23,300 23,300 25,000
Investment Income 8,845 - - -
Other Income (9,826) - - -
Transfers In:
General Fund 80,000 - 40,000 40,000
Subtotal 636,940 710,810 678,480 714,080
Uses
Personal Services 354,421 322,360 342,360 371,580
Other Service & Charges 283,635 340,960 292,150 308,468
Capital Outlay - - 18,000 100,000
Subtotal 638,056 663,320 652,510 780,048
FUND BALANCE 208,840$ 284,646$ 234,810$ 168,842$
BUDGET SUMMARY
SWIMMING POOL
2026
MISSION STATEMENT
The Swimming Pool strives to provide the community with an outstanding outdoor recreationalswimmingexperienceforvarious ages and groups;to provide quality pool water;to provide a cleanandsafefacilityandtoprovide healthy concession choices for customers.
DIVISION FOCUSThe arena staff and a seasonal staff of over 60 employees operate the swimming pool division. Each year the Richfield Outdoor Pool retains about 25 staff from the previous year providing a depth of experience.
The division provides adult lap swim, practice time for swim teams and public use of the pool, zero depth pool, and waterslides during daily open swim hours.
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2025 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 75,655$ 75,475$ 79,206$ 79,596$
Sources
Other Revenues 66,714 69,980 69,980 72,430
Interest 3,441 - - -
Subtotal 70,155 69,980 69,980 72,430
Uses
Personal Services 12,290 12,720 12,720 13,160
Other Service & Charges 54,314 55,960 56,870 53,182
Subtotal 66,604 68,680 69,590 66,342
FUND BALANCE 79,206$ 76,775$ 79,596$ 85,684$
BUDGET SUMMARY
SPECIAL FACILITIES
2026
MISSION STATEMENT
To provide leisure activity for the public through miniature golf and picnics;to provide a welllandscaped,attractive and fun miniature golf course, and to provide a clean and safe picnic area.
DIVISION FOCUS
The Arena staff and Wheel Fun Rentals,Inc.jointly operate the miniature golf and picnic shelter
division.The division provides recreational miniature golf for all ages,plans special events, promotesgroup events, arranges newspaper and direct mail advertisement,and provides a quality picnic shelterforFarmers Market and park users.
The working season begins in early April with cleaning and preparing the miniature golf course,building
and picnic shelter for usage.Picnic shelter rentals and miniature golf regular schedule begin in May.The course remains open daily June through August.Beginning after Labor Day the course is open onweekends only.
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BUDGET SUMMARY
SUSTAINABILITY FUND
2025 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 352,836$ 285,751$ 303,926$ 346,283$
Sources
Intergovernmental
County 159,488 115,000 109,433 100,000
Grants - Other (multi-family grant)129,310 - 40,932 109,082
Special Assessment 136,430 231,614 231,614 200,000
Miscellaneous Revenue - 77,925 600 -
Interest 13,272 - - -
Transfers in:
General Fund 52,250 52,250 52,250 54,079
Special Revenue Fund (Franchise Fee)50,000 50,000 50,000 50,000
Subtotal 540,750 526,789 484,829 513,161
Uses
Personal Services 161,655 168,249 169,481 181,060
Other Services & Charges 428,005 275,024 272,991 256,570
Subtotal 589,660 443,273 442,472 437,630
FUND BALANCE 303,926$ 369,267$ 346,283$ 421,814$
MISSION STATEMENT
2026
The Sustainability Fund initiates and supports Richfield sustainability initiatives and manages Richfield's organized collections program. The City receives financial assistance from Hennepin County to coordinate and manage the
organized collection program.
163
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SUSTAINABILITYFUND:
Recreation ServicesDEPARTMENT:
Sustainability - 20040BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
.60 .6012Sustainability Specialist .60
1.00 1.0010Solid Waste Specialist 1.00
1.60 1.60Total1.60
- - $$- $
--Total $$-$
164
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BUDGET SUMMARYOPIOID SETTLEMENT GRANT
2025 2026 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 300,825$ 345,938$ 336,294$ 381,407$
Sources
Intergovernmental Revenues:
Opioid Grant 56,152 56,613 56,613 56,613
Interest 11,616 500 500 500
Subtotal 67,768 57,113 57,113 57,113
Uses
Other Service & Charges 32,299 12,000 12,000 12,000
32,299 12,000 12,000 12,000
FUND BALANCE 336,294$ 391,051$ 381,407$ 426,520$
MISSION STATEMENT
To prepare for and provide resources and services to the community to address the ongoing opioidepidemic.
DIVISION FOCUS
These dollars are settlement funds that are provided to each Community Health Service agency,ofwhichRichfield is one,from or through an opioid settlement administrator to work on providingservicesinthearea of opiod prevention, treatment and recovery.This funding is in place through2037.
165
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BUDGET SUMMARYPUBLIC SAFETY AID
2025 2026 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 1,510,309 1,426,309 1,430,579 1,480,579
Sources
Intergovernmental Revenues:
State Grant - - - -
Interest 54,269 50,000 50,000 50,000
Subtotal 54,269 50,000 50,000 50,000
Uses
Personal Services - - -
Transfer to:
General Fund 134,000 446,095 - -
134,000 446,095 - -
FUND BALANCE 1,430,579$ 1,030,214$ 1,480,579 1,530,579
MISSION STATEMENT
Track State grant funds earmarked to provide public safety.
DIVISION FOCUS
The grant funds are earmarked to provide public safety including various programs and activities.This fund will focus on transparency, compliance and accurate tracking of revenue and
expenditure.
166
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BUDGET SUMMARY
STREET LIGHT USER FEE FUND
2025 2026 2027
AVAILABLE FOR APPROPRIATION Actual Budget Revised Budget
PRIOR YEAR FUND BALANCE 184,447$ 232,447$ 236,446$ 291,446$
Sources
Charges for Service:
Street Light User Fee 371,917 380,000 380,000 380,000
Interest 8,908 - 7,000 7,000
Subtotal 380,825 380,000 387,000 387,000
Uses
Utility Services 328,826 332,000 332,000 340,000
328,826 332,000 332,000 340,000
FUND BALANCE 236,446$ 280,447$ 291,446$ 338,446$
MISSION STATEMENT
Track operations of the City's street lighting system.
DIVISION FOCUS
The City includes a fee for street light service on the quarterly utility bills.The City Councilannuallyreviewsand establishes the rates for the street light user fee.The fees collected fundpaymentoftheelectricitycharges, along with maintenance and replacement of street lights.The City also intends to replace its streetlights with energy efficient LEDs as funding permits.This switch should save electricity and maintenance costs,and make public lighting
infrastructure more versatile,flexible and efficient.
167
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ENTERPRISE FUNDS
168
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
LIQUOR OPERATIONS FUNDFUND:
Liquor OperationsDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
3,773,330 3,683,300 4,131,298$ 3,458,679 $$$9.49%
4,454,593 4,497,450 4,464,435 4,675,430 3.96%
3,389,701 3,454,580 3,430,155 3,496,927 1.23%
2,059,440 2,069,435 2,020,155 2,073,345 0.19%
50010 RICHFIELD LIQUOR DOWNTOWN
50020 RICHFIELD LIQUOR CEDAR POINT
50030 RICHFIELD LIQUOR PENN CENTRAL
50040 RICHFIELD LIQUOR SHOPS AT
LYNDALE
13,794,795 13,598,045 14,377,000Liquor Operations TOTAL $13,362,413 $$$4.22%
3,813,927 3,867,890 3,866,725 3,924,480$$$$1.46%
4,699,990 4,617,650 4,638,920 4,592,765 (0.54%)
3,520,899 3,483,770 3,537,995 3,625,870 4.08%
1,793,239 1,775,890 1,733,120 1,698,835 (4.34%)
REVENUES
50010 RICHFIELD LIQUOR DOWNTOWN
50020 RICHFIELD LIQUOR CEDAR POINT
50030 RICHFIELD LIQUOR PENN CENTRAL
50040 RICHFIELD LIQUOR SHOPS AT
LYNDALE
LIQUOR STORES
50010 50020 50030 50040
YEAR Downtown Cedar Point Penn CentralShops at Lyndale
2025 3,533,148 4,454,593 3,389,701 2,059,440
2026B 3,773,330 4,497,450 3,454,580 2,069,435
2026R 3,683,300 4,464,435 3,430,155 2,020,155
2027B 4,131,298 4,675,430 3,496,927 2,073,345
-
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
14,000,000
16,000,000
2025 2026B 2026R 2027B
E
X
P
E
N
S
E
S
YEAR
LIQUOR OPERATIONS Shops at
LyndalePenn Central
Cedar Point
Downtown
169
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BUDGET SUMMARY
LIQUOR FUND PROJECTION
2025 2026 2027 2028
AVAILABLE FOR APPROPRIATION Actual Revised Budget Projected
PRIOR YEAR RETAINED EARNINGS 6,049,732$ 6,515,374$ 6,701,589$ 6,826,634$
Revenues
Sales 13,693,470 13,689,810 13,754,900 14,167,550
Less Cost of Sales (9,647,745) (9,582,875) (9,628,440) (9,917,290)
Net Sales 4,045,725 4,106,935 4,126,460 4,250,260
Miscellaneous Revenues
Interest 109,980 69,000 69,000 69,000
Other Revenues (Net)24,605 17,950 18,050 18,590
Total Miscellaneous Revenues 134,585 86,950 87,050 87,590
Total Revenues 4,180,310 4,193,885 4,213,510 4,337,849
Expenses
Personal Services 1,851,864 2,077,240 2,255,810 2,323,480
Other Services and Charges 812,893 786,390 771,795 806,530
Depreciation 200,422 281,430 250,000 257,500
Total Operating Expenses 2,865,179 3,145,060 3,277,605 3,387,510
Net Income (Loss)1,315,131 1,048,825 935,905 950,339
Operating Transfers From (To):
General Fund (374,489) (387,610) (335,860) (345,940)
Special Revenue Fund (475,000) (475,000) (475,000) (475,000)
Net Transfers (849,489) (862,610) (810,860) (820,940)
RETAINED EARNINGS 6,515,374$ 6,701,589$ 6,826,634$ 6,956,033$
CAPITAL OUTLAY -$ 7,500$ 660,095$ 21,720$
170
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LIQUOR OPERATIONS
MISSION STATEMENT
The mission of the Municipal Liquor Operations is to responsibly distribute alcoholic and
MN Legal low dose cannabis beverages at a retail level, consistently aid in the form of quality customer service, well maintained, attractive city-owned facilities while also providing adequate funds for recreational projects in Richfield.
DIVISION FOCUS
The Richfield Liquor Dispensary was established in 1943. The operations consist of four
brick & mortar retail stores with annual sales of $13,693,469.15 and a net profit of $1,106,077.14 before transfers out in 2025. When fully staffed, Liquor Operations employs 5 full-time, eight permanent part- time and approximately 50 intermittent staff members for an estimated FTE count of 23.95 employees.
2026 HIGHLIGHTS
•Year End 2025 was (2.25%) compared to Year End 2024. According to other industrytrends we finished strong. 2026 YTD sales as of 06/30/2026 are +0.14% comparedto the same time 2025.
•The annual “Toast to Richfield” was postponed until Thursday October 8th. Samelocation.
•Implementation of Tungsten at the liquor stores to process invoicing/receiving moreefficiently with City Finance.
•Efficient staffing updates: Filled 2 vacant (PPT 30-39) Shift Lead positions with 2 (PPT
20-29).
•The MN State Auditors report for 2024 was released and we ranked #2 in sales behindLakeville.
2026/2027 GOALS
•Fully integrate and utilize the Tungsten process at the stores.
•Sunset the practice of sharing Shift Leads across store to make each location
accountable for their own.
DIVISION EXPENDITURE COMMENT
•A new HVAC unit at the Downtown store was installed in May 2026.
•Sales remain to be flat, yet personal services continue to grow.
•Cedar & Penn are more labor intensive because they don’t have a back room, andeverything gets sent downstairs, needing to be handled more reducing efficiency.
o Malt beverage/Beer is the leading category (37%) of all sales.
Most labor-intensive category and lowest profit margin
171
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DETAIL REVENUES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
FUND: LIQUOR OPERATIONS FUND
DEPARTMENT: Liquor Operations
BUSINESS UNIT: RICHFIELD LIQUOR DOWNTOWN - 50010
Liquor Sales
5005 1,397,707 1,393,550 1,433,710 1,455,215Sales - Liquor $$$$
5010 704,848 768,850 698,405 708,880Sales - Wine
5015 1,386,523 1,412,770 1,395,270 1,416,200Sales - Beer
5020 157,491 134,550 183,730 186,485Sales - Cordials
5030 37,793 38,440 37,285 37,845Sales - Food
5035 93,994 96,100 95,325 96,755Sales- Other
3,844,260 3,843,725 3,901,3803,778,356Liquor Sales Total $$$$
Other Income
8011 27,495 18,000 18,000 18,000Investment Earnings $$$$
8032 3,185 2,500 2,500 2,500Commissions
8033 205 (370)(1,000)(1,000)Cash/Over Short
8040 4,686 3,500 3,500 3,600Sales - Lottery Commissions
23,630 23,000 23,10035,571Other Income Total $$$$
RICHFIELD LIQUOR
DOWNTOWN TOTAL 3,867,890 3,866,725 3,924,4803,813,927$$$$
172
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
FUND: LIQUOR OPERATIONS FUND
DEPARTMENT: Liquor Operations
BUSINESS UNIT: RICHFIELD LIQUOR DOWNTOWN - 50010
Costs of Goods Sold
5510 2,610,004 2,748,640 2,690,605 2,730,965Purchases for Resale $$$$
2,748,640 2,690,605 2,730,9652,610,004Costs of Goods Sold Total $$$$
Personal Services
6005 119,422 122,010 122,780 129,730Full Time $$$$
6006 97,165 125,360 104,325 110,735Part-time
6007 110,943 133,160 127,565 131,760Seasonal
6009 793 1,250 1,250 1,250Overtime
6031 19,866 23,220 21,745 22,720Employer Social Security
6032 4,647 5,430 5,090 5,315Employer Medicare
6033 (82,076)28,410 26,600 27,920Employer Pera
6035 48,894 51,150 48,485 55,070Medical Insurance
6036 897 910 890 915Dental Insurance
6037 88 50 55 50Term Life
6038 3,300 3,370 3,370 3,540Workers Compensation
6040 141 210 220 230Long Term Disability
6041 61 -1,350 1,415Paid Family Medical Leave
6051 27,440 28,260 28,260 29,110Interdepartmental Labor
6052 3,950 2,940 2,940 18,060Administrative Charges
525,730 494,925 537,820355,531Personal Services Total $$$$
Other Services & Charges
6103 9,231 9,610 9,610 10,000Professional Services -General $$$$
6202 28,000 26,270 26,270 25,363Data Processing Rental
6205 7,466 5,840 5,840 10,000Maintenance & Repairs
6207 32,195 29,760 29,760 30,000Utility Services
6301 3,036 3,000 3,000 3,000Advertising & Publication
6302 798 730 730 600Communications
6303 681 1,800 1,800 1,800Professional Development
6305 1,948 2,250 2,100 2,100Subscriptions & Memberships
6307 12,669 17,140 16,800 9,855Insurance & Bonds
6308 5,000 5,100 5,100 5,200Property Liability
6310 557 1,200 1,100 1,100Taxes & Licenses
6315 11,535 9,000 12,100 12,250Other Contractual Services
6401 842 1,500 1,500 1,500Office Supplies
6402 70 40 50 50Copy Charges
6403 28 260 260 260Postage
6409 263 1,600 1,600 1,600Uniforms & Clothing
6414 6,788 9,500 9,500 9,500Other Supplies
6513 77,274 82,700 79,000 79,000Other Charges
207,300 206,120 203,178198,381Other Services & Charges Total $$$$
Depreciation
6610 64,525 90,060 90,060 70,000Depreciation$$$$173
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
LIQUOR OPERATIONS FUNDFUND:
Liquor OperationsDEPARTMENT:
RICHFIELD LIQUOR DOWNTOWN - 50010BUSINESS UNIT:
90,060 90,060 70,00064,525DepreciationTotal$$$$
Capital Outlay
7230 399,535Building Improvements $$$$
7350 31,759Other Improvements
399,53531,759Capital Outlay Total $$$$
Other Financing Uses
8511 198,479 201,600 201,590 189,800Operating Transfers Out $$$$
201,600 201,590 189,800198,479Other Financing Uses Total $$$$
3,773,330 3,683,300 4,131,2983,458,679RICHFIELD LIQUOR
DOWNTOWN TOTAL $$$$
174
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FUND: LIQUOR OPERATIONS FUND
DEPARTMENT: Liquor Operations
BUSINESS UNIT: RICHFIELD LIQUOR DOWNTOWN - 50010
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
.23 .2316Liquor Operations Manager .23
1.00 1.0012Store Manager 1.00
1.23 1.23Total1.23
Intermittent Employees
2.89 2.89103Sales Associate (15-Employees)15.00
2.89 2.89Total15.00
Part-Time Employees
1.62 1.707Shift Lead (2-employees)2.00
1.62 1.70Total2.00
-399,535$$Wold study - below grade waterproofing & sidewalks -$
-399,535Total$$-$
175
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Department/Division
50000: Liquor Operations
Actual Actual Budget Budget
2024 2025 2026R 2027P
Inputs:
FTE:23.95 23.95 23.95 23.95
Operational Expenditures 3,629,850$ 3,789,137$ 3,954,040 4,087,865
Cost of Sales 9,920,096$ 9,647,745$ 9,636,505$ 9,628,440$
Total Expenditures 13,549,946$ 13,436,882$ 13,590,545$ 13,716,305$
Outputs:
Annual Liquor Sales 14,012,047$ 13,693,470$ 13,689,810$ 13,754,900$
Customer Count 582,065 580,741 577,257 583,029
Annual Advertising Expenditures 5,199$ 12,233$ 12,000$ 12,000$
Effectiveness Measures:
Profit from Liquor Sales 4,091,951$ 4,045,725$ 4,053,305$ 4,126,460$
% of Sales 29.20%29.54%29.61%30.00%
Retained earnings (After Transfers Out)462,101$ 256,588$ 99,265$ 38,595$
Efficiency Measures:
Advertising Cost Per Sales 0.009$ 0.021$ 0.035$ 0.036$
Average Transaction 24.07$ 23.58$ 23.72$ 23.59$
Performance Measures
Liquor Operations
176
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DETAIL REVENUES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
FUND: LIQUOR OPERATIONS FUND
DEPARTMENT: Liquor Operations
BUSINESS UNIT: RICHFIELD LIQUOR CEDAR POINT - 50020
Liquor Sales
5005 1,592,988 1,561,970 1,596,685 1,580,715Sales - Liquor $$$$
5010 860,524 872,860 844,270 835,830Sales - Wine
5015 1,845,560 1,860,580 1,786,400 1,768,535Sales - Beer
5020 227,132 160,790 243,725 241,290Sales - Cordials
5030 45,136 45,940 39,235 38,845Sales - Food
5035 95,008 91,880 105,705 104,650Sales- Other
4,594,020 4,616,020 4,569,8654,666,348Liquor Sales Total $$$$
Other Income
8011 27,495 18,000 18,000 18,000Investment Earnings $$$$
8032 2,904 2,500 2,500 2,500Commissions
8033 (325)(370)(1,100)(1,100)Cash/Over Short
8035 50 - - - Other Miscellaneous Revenues
8040 3,518 3,500 3,500 3,500Sales - Lottery Commissions
23,630 22,900 22,90033,642Other Income Total $$$$
RICHFIELD LIQUOR CEDAR
POINT TOTAL 4,617,650 4,638,920 4,592,7654,699,990$$$$
177
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
FUND: LIQUOR OPERATIONS FUND
DEPARTMENT: Liquor Operations
BUSINESS UNIT: RICHFIELD LIQUOR CEDAR POINT - 50020
Costs of Goods Sold
5510 3,315,365 3,284,720 3,231,220 3,198,910Purchases for Resale $$$$
3,284,720 3,231,220 3,198,9103,315,365Costs of Goods Sold Total $$$$
Personal Services
6005 137,921 141,400 142,670 147,750Full Time $$$$
6006 119,931 135,340 129,855 137,130Part-time
6007 163,348 181,000 178,455 184,175Seasonal
6009 1,307 1,250 1,250 1,250Overtime
6031 24,799 28,240 27,205 28,100Employer Social Security
6032 5,798 6,600 6,340 6,575Employer Medicare
6033 29,109 34,990 33,825 35,180Employer Pera
6035 60,229 61,520 63,395 72,185Medical Insurance
6036 953 970 950 975Dental Insurance
6037 93 60 55 55Term Life
6038 4,980 5,080 5,080 5,330Workers Compensation
6040 170 250 255 260Long Term Disability
6041 82 -1,715 1,780Paid Family Medical Leave
6051 36,980 38,090 38,090 39,230Interdepartmental Labor
6052 3,950 3,960 3,960 24,320Administrative Charges
638,750 633,100 684,295589,650Personal Services Total $$$$
Other Services & Charges
6103 14,165 12,950 12,950 13,000Professional Services -General $$$$
6202 33,000 35,400 35,400 24,885Data Processing Rental
6205 5,615 14,300 14,300 15,000Maintenance & Repairs
6207 27,358 22,910 22,910 23,200Utility Services
6301 3,199 3,000 3,000 3,000Advertising & Publication
6302 776 730 805 600Communications
6303 679 1,800 1,800 1,800Professional Development
6305 1,948 2,300 2,150 2,150Subscriptions & Memberships
6307 15,306 16,960 16,630 11,455Insurance & Bonds
6308 3,620 3,690 3,690 3,760Property Liability
6310 547 1,200 1,080 1,080Taxes & Licenses
6315 34,775 9,250 11,980 12,000Other Contractual Services
6401 2,255 1,500 1,500 1,500Office Supplies
6402 38 50 50 75Copy Charges
6409 - 1,800 1,800 1,800Uniforms & Clothing
6414 7,779 4,100 9,500 9,500Other Supplies
6513 97,701 88,000 99,000 99,000Other Charges
219,940 238,545 223,805248,761Other Services & Charges Total $$$$
Depreciation
6610 40,785 90,060 90,060 60,000Depreciation$$$$
178
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
FUND: LIQUOR OPERATIONS FUND
DEPARTMENT: Liquor Operations
BUSINESS UNIT: RICHFIELD LIQUOR CEDAR POINT - 50020
90,060 90,060 60,00040,785DepreciationTotal$$$$
Capital Outlay
7230 7,500 260,560Building Improvements $$$$
7,500 260,560Capital Outlay Total $$$$
Other Financing Uses
8511 260,032 263,980 264,010 247,860Operating Transfers Out $$$$
263,980 264,010 247,860260,032Other Financing Uses Total $$$$
4,497,450 4,464,435 4,675,4304,454,593RICHFIELD LIQUOR CEDAR
POINT TOTAL $$$$
179
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FUND: LIQUOR OPERATIONS FUND
DEPARTMENT: Liquor Operations
BUSINESS UNIT: RICHFIELD LIQUOR CEDAR POINT - 50020
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
.31 .3116Liquor Operations Manager .31
1.00 1.0012Store Manager 1.00
1.31 1.31Total1.31
Intermittent Employees
4.35 4.35103Sales Associate (17-employees)15.00
4.35 4.35Total15.00
Part-Time Employees
1.84 1.847Shift Lead (2-employees)2.00
1.84 1.84Total2.00
7,500 - Replace 1 of 2 cooler compressors $$-$
- 260,560Wold study - below grade waterproofing & sidewalks -
7,500 260,560Total$$-$
180
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DETAIL REVENUES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
FUND:LIQUOR OPERATIONS FUND
DEPARTMENT:Liquor Operations
BUSINESS UNIT: RICHFIELD LIQUOR PENN CENTRAL - 50030
Liquor Sales
5005 1,116,281 1,107,330 1,129,130 1,157,355Sales - Liquor $$$$
5010 839,393 830,490 818,725 839,190Sales - Wine
5015 1,268,548 1,289,000 1,302,785 1,335,355Sales - Beer
5020 179,998 155,720 186,310 190,970Sales - Cordials
5030 26,451 25,950 23,905 24,500Sales - Food
5035 57,024 51,900 54,490 55,850Sales- Other
3,460,390 3,515,345 3,603,2203,487,695Liquor Sales Total $$$$
Other Income
8011 27,495 18,000 18,000 18,000Investment Earnings $$$$
8032 2,566 2,500 2,500 2,500Commissions
8033 (629)(370)(1,100)(1,100)Cash/Over Short
8035 50 - - - Other Miscellaneous Revenues
8040 3,722 3,250 3,250 3,250Sales - Lottery Commissions
23,380 22,650 22,65033,204Other Income Total $$$$
RICHFIELD LIQUOR PENN
CENTRAL TOTAL
3,483,770 3,537,995 3,625,8703,520,899$$$$
181
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
FUND:LIQUOR OPERATIONS FUND
DEPARTMENT:Liquor Operations
BUSINESS UNIT: RICHFIELD LIQUOR PENN CENTRAL - 50030
Costs of Goods Sold
5510 2,475,615 2,474,180 2,460,740 2,522,260Purchases for Resale $$$$
2,474,180 2,460,740 2,522,2602,475,615Costs of Goods Sold Total $$$$
Personal Services
6005 110,363 120,630 121,500 128,385Full Time $$$$
6006 127,206 135,740 121,060 111,010Part-time
6007 115,236 135,710 125,610 129,745Seasonal
6009 907 1,250 1,250 1,250Overtime
6031 21,561 23,830 22,330 22,230Employer Social Security
6032 5,043 5,570 5,220 5,200Employer Medicare
6033 26,883 29,280 26,615 27,685Employer Pera
6035 40,290 41,440 46,590 60,230Medical Insurance
6036 897 820 890 915Dental Insurance
6037 89 60 55 50Term Life
6038 3,080 3,140 3,140 3,300Workers Compensation
6040 138 210 215 230Long Term Disability
6041 67 -1,400 1,405Paid Family Medical Leave
6051 27,440 28,260 28,260 29,110Interdepartmental Labor
6052 3,210 2,940 2,940 18,060Administrative Charges
528,880 507,075 538,805482,410Personal Services Total $$$$
Other Services & Charges
6103 10,571 9,610 9,610 10,000Professional Services -General $$$$
6202 29,150 26,270 26,270 24,537Data Processing Rental
6205 8,316 6,500 6,500 10,000Maintenance & Repairs
6207 24,682 18,750 18,750 20,000Utility Services
6301 3,143 3,000 3,000 3,000Advertising & Publication
6302 1,545 1,380 1,600 600Communications
6303 679 1,800 1,800 1,800Professional Development
6305 1,948 2,250 2,100 2,100Subscriptions & Memberships
6307 12,632 14,100 13,820 9,825Insurance & Bonds
6308 4,050 4,130 4,130 4,210Property Liability
6310 292 1,250 1,080 1,080Taxes & Licenses
6315 11,270 9,500 11,800 12,000Other Contractual Services
6401 1,454 1,500 1,500 1,500Office Supplies
6402 80 50 50 50Copy Charges
6409 - 1,800 1,800 1,800Uniforms & Clothing
6414 5,238 5,600 9,500 9,500Other Supplies
6513 79,541 75,000 80,000 80,000Other Charges
182,490 193,310 192,002194,591Other Services & Charges Total $$$$
Depreciation
6610 44,156 73,170 73,170 60,000Depreciation$$$$
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
FUND: LIQUOR OPERATIONS FUND
DEPARTMENT: Liquor Operations
BUSINESS UNIT: RICHFIELD LIQUOR PENN CENTRAL - 50030
73,170 73,170 60,00044,156DepreciationTotal$$$$
Other Financing Uses
8511 192,929 195,860 195,860 183,860Operating Transfers Out $$$$
195,860 195,860 183,860192,929Other Financing Uses Total $$$$
3,454,580 3,430,155 3,496,9273,389,701RICHFIELD LIQUOR PENN
CENTRAL TOTAL
$$$$
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FUND: LIQUOR OPERATIONS FUND
DEPARTMENT: Liquor Operations
BUSINESS UNIT: RICHFIELD LIQUOR PENN CENTRAL - 50030
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
.23 .2316Liquor Operations Manager .23
1.00 1.0012Store Manager 1.00
1.23 1.23Total1.23
Intermittent Employees
3.04 3.04103Sales Associates (12-employees)15.00
3.04 3.04Total15.00
Part-Time Employees
1.95 1.707Shift Lead (2-employees)2.00
1.95 1.70Total2.00
-- $$-$
--Total $$-$
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LIQUOR OPERATIONS FUNDFUND:
DETAIL REVENUES BY BUSINESS UNIT
CLASSIFICATIONS
Liquor OperationsDEPARTMENT:
BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
BUSINESS UNIT: RICHFIELD LIQUOR SHOPS AT LYNDALE - 50040
Liquor Sales
5005 639,617 631,350 630,160 617,560Sales - Liquor $$$$
5010 305,029 306,910 277,955 272,400Sales - Wine
5015 634,773 644,510 633,760 621,090Sales - Beer
5020 123,195 113,990 119,000 116,620Sales - Cordials
5030 18,947 17,540 17,835 17,475Sales - Food
5035 39,510 39,460 36,010 35,290Sales- Other
1,753,760 1,714,720 1,680,4351,761,071Liquor Sales Total $$$$
Other Income
8011 27,495 18,000 15,000 15,000Investment Earnings $$$$
8032 2,596 2,500 2,500 2,500Commissions
8033 314 (370)(1,100)(1,100)Cash/Over Short
8035 48 - - - Other Miscellaneous Revenues
8040 1,715 2,000 2,000 2,000Sales - Lottery Commissions
22,130 18,400 18,40032,168Other Income Total $$$$
RICHFIELD LIQUOR SHOPS AT
LYNDALE TOTAL 1,775,890 1,733,120 1,698,8351,793,239$$$$
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
LIQUOR OPERATIONS FUNDFUND:
Liquor OperationsDEPARTMENT:
BUSINESS UNIT: RICHFIELD LIQUOR SHOPS AT LYNDALE - 50040
Costs of Goods Sold
5510 1,246,761 1,253,940 1,200,310 1,176,305Purchases for Resale $$$$
1,253,940 1,200,310 1,176,3051,246,761Costs of Goods Sold Total $$$$
Personal Services
6005 130,823 131,630 132,350 137,240Full Time $$$$
6006 90,863 108,010 107,560 112,790Part-time
6007 75,612 76,810 80,205 86,600Seasonal
6009 728 1,250 1,250 1,250Overtime
6031 17,746 18,410 19,670 20,515Employer Social Security
6032 4,151 4,310 4,600 4,800Employer Medicare
6033 21,913 23,630 24,010 25,250Employer Pera
6035 50,587 52,770 36,880 54,665Medical Insurance
6036 903 920 890 915Dental Insurance
6037 89 50 55 50Term Life
6038 1,980 2,020 2,020 2,120Workers Compensation
6040 155 230 235 245Long Term Disability
6041 53 -1,215 1,280Paid Family Medical Leave
6051 27,440 28,260 28,260 29,110Interdepartmental Labor
6052 1,230 2,940 2,940 18,060Administrative Charges
451,240 442,140 494,890424,273Personal Services Total $$$$
Other Services & Charges
6103 6,484 9,610 8,000 8,000Professional Services -General $$$$
6202 13,400 26,270 26,270 25,235Data Processing Rental
6205 5,395 3,000 7,500 10,000Maintenance & Repairs
6207 24,084 19,260 19,260 20,000Utility Services
6301 2,855 3,000 3,000 3,000Advertising & Publication
6302 - 320 320 600Communications
6303 677 1,800 1,800 1,800Professional Development
6305 4,567 2,250 2,100 2,100Subscriptions & Memberships
6307 13,513 8,070 7,910 10,600Insurance & Bonds
6308 3,620 3,690 3,690 3,760Property Liability
6310 1,467 1,200 1,080 1,080Taxes & Licenses
6315 12,368 14,910 14,910 13,710Other Contractual Services
6401 927 1,500 1,500 1,500Office Supplies
6402 18 25 25 25Copy Charges
6409 - 900 900 1,100Uniforms & Clothing
6414 3,439 3,150 3,150 3,300Other Supplies
6513 46,587 36,000 47,000 47,000Other Charges
134,955 148,415 152,810139,401Other Services & Charges Total $$$$
Depreciation
6610 50,956 28,140 28,140 60,000Depreciation$$$$
186
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
LIQUOR OPERATIONS FUNDFUND:
Liquor OperationsDEPARTMENT:
BUSINESS UNIT: RICHFIELD LIQUOR SHOPS AT LYNDALE - 50040
28,140 28,140 60,00050,956DepreciationTotal$$$$
Other Financing Uses
8511 198,049 201,160 201,150 189,340Operating Transfers Out $$$$
201,160 201,150 189,340198,049Other Financing Uses Total $$$$
2,069,435 2,020,155 2,073,3452,059,440RICHFIELD LIQUOR SHOPS AT
LYNDALE TOTAL
$$$$
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LIQUOR OPERATIONS FUNDFUND:
Liquor OperationsDEPARTMENT:
BUSINESS UNIT: RICHFIELD LIQUOR SHOPS AT LYNDALE - 50040
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
.23 .2316Liquor Operations Manager .23
1.00 1.0012Store Manager 1.00
1.23 1.23Total1.23
Intermittent Employees
1.85 1.85103Sales Associate (7-employees)8.00
1.85 1.85Total8.00
Part-Time Employees
1.70 1.707Shift Lead (2-employees)2.00
1.70 1.70Total2.00
-- $$-$
--Total $$-$
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT
FUND:
Public WorksDEPARTMENT:
WATER AND WASTEWATER UTILITIES
BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
Increase/
(Decrease)
2026 Budget/
2027 Budget
51000 4,746,962 8,994,220 6,814,260 14,151,640WATER UTILITY $$$$57.34%
52000 4,527,892 6,056,340 6,090,480 6,731,210WASTEWATER UTILITY 11.14%
Public Works TOTAL 15,050,560 12,904,740 20,882,8509,274,854 $$$38.75%$
REVENUES
51000 5,643,967 5,366,070 5,350,070 13,615,570WATER UTILITY $$$$153.73%
52000 5,240,008 5,558,930 5,558,930 6,055,570WASTEWATER UTILITY 8.93%
WATER AND WASTEWATER UTILITY
$9,515,122
$11,713,650
`$11,370,004
$12,764,103
E
X
P
E
N
S
E
S
YEAR
WATER AND WASTEWATER UTILITY Water
Wastewater
189
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WATER AND WASTEWATER FUND PROJECTION
2025 2026 2027 2028
AVAILABLE FOR APPROPRIATION Actual Revised Budget Projected
PRIOR YEAR RETAINED EARNINGS 20,134,790$ 21,743,911$ 22,224,371$ 24,462,461$
Revenues
Charges for Service:
Water & Wastewater Usage 10,061,674 10,671,250 11,936,390 12,294,490
Grants - - 1,092,000 -
Miscellaneous Revenues
Interest 112,648 42,000 42,000 42,000
Other Revenues 709,653 195,750 192,750 195,750
Total Miscellaneous Revenues 822,301 237,750 234,750 237,750
Total Revenues 10,883,975 10,909,000 13,263,140 12,532,240
Expenses
Personal Services 2,326,634 2,836,720 3,056,110 3,163,070
Other Services and Charges 5,217,997 5,768,630 6,178,400 6,394,650
Depreciation 1,596,828 1,664,950 1,650,000 1,699,500
Interest 133,395 158,240 140,540 124,584
Total Operating Expenses 9,274,854 10,428,540 11,025,050 11,381,804
Net Income (Loss)1,609,121 480,460 2,238,090 1,150,436
RETAINED EARNINGS 21,743,911 22,224,371 24,462,461 25,612,897
BOND PRINCIPAL *-$ 661,200$ 682,800$ 296,000$
CAPITAL OUTLAY **-$ 1,815,000$ 9,175,000$ -$
BOND PROCEEDS ***-$ -$ 6,408,000$ -$
* Bonds and internal loans are not recorded as current expenses, but rather as adjustments to cash position.
** Capital outlay expense is recorded as depreciation over the useful life of the fixed asset.
*** Bond proceeds are not recorded as current revenues.
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BUDGET SUMMARY
WATER FUND PROJECTION
2025 2026 2027 2028
AVAILABLE FOR APPROPRIATION Actual Revised Budget Projected
PRIOR YEAR RETAINED EARNINGS 10,549,141$ 11,446,146$ 11,300,556$ 12,921,136$
Revenues
Water Usage 4,916,023$ 5,140,070$ 5,908,570$ 6,085,830$
Grants - - 1,092,000 -
Miscellaneous Revenues
Interest 18,291 30,000 30,000 30,000
Other Revenues 709,653 180,000 177,000 180,000
Total Miscellaneous Revenues 727,944 210,000 207,000 210,000
Total Revenues 5,643,967 5,350,070 7,207,570 6,295,830
Expenses
Personal Services 1,229,105 1,552,670 1,670,950 1,729,430
Other Services and Charges 2,185,065 2,463,390 2,542,710 2,631,710
Depreciation 1,241,398 1,366,180 1,275,000 1,313,250
Interest 91,394 113,420 98,330 85,327
Total Operating Expenses 4,746,962 5,495,660 5,586,990 5,759,717
Net Income 897,005 (145,590) 1,620,580 536,113
RETAINED EARNINGS 11,446,146 11,300,556 12,921,136 13,457,249
BOND PRINCIPAL *-$ 598,600$ 614,650$ 226,750$
CAPITAL OUTLAY **-$ 720,000$ 7,950,000$ -$
BOND PROCEEDS ****-$ -$ 6,408,000$ -$
***Water Revenue Bond Debt Coverage 1.32 (0.20)2.27 1.72
* Bonds and internal loans are not recorded as current expenses, but rather as adjustments to cash position.
** Capital outlay expense is recorded as depreciation over the useful life of the fixed asset.
***Calculation excludes depreciation.
**** Bond proceeds are not recorded as current revenues.
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WATER UTILITY DIVISION
MISSION STATEMENT
The Public Works Department works hard to sustain and improve the quality of life for our community by offering the highest standards in essential municipal services and
providing them in a timely, responsible and professional manner.
DIVISION FOCUS
To provide dependable, quality, high-grade softened water to the City of Richfield. Water is supplied by operating a 14 million-gallon per day lime softening plant 24 hours a day, 365 days per year. The water is delivered to 10,820 services by a 117-mile piping
system that ranges in size from 4 inches to 24 inches in diameter. The piping system
services two towers that store 2.5 million gallons of water, 1,062 hydrants, and approximately 2,460 valves. A clearwell reservoir of 2.5 million gallons of water is operated in conjunction with the treatment and distribution system for both maintaining water system demand and having a reserve for fire suppression.
The division also produces the annual Consumer Confidence Report and distributes the
report to all residents and businesses.
2026 HIGHLIGHTS
• Cybersecurity upgrades began to improve and protect our network SCADA
system (City Council Priority/Outcome 1c & 3a).
• Completed Risk and Resiliency Assessment and Emergency Response Plan. These are legislative requirements to satisfy the Federal Safe Drinking Water Act
as a water utility permittee (City Council Priority/Outcome 1c & 3a-b).
• Secured $1.092M in Community Project Federal funding for the Emergency Water Systems Interconnect Project (City Council Priority/Outcome 1b, 3b)
• Undertook development of construction documents and a bid letting for the
Emergency Water Systems Interconnect project (City Council Priority/Outcome 2c & 3a).
• Initiated Water Supply Plan update, the update is due to Minnesota Department of Natural Resources in March 2027 (City Council Priority/Outcome 1c & 3a-c).
• Completed a current and forward-looking (50 year) water rate study for the water utility operation (City Council Priority/Outcome 1b-c, 3a-b).
• Hosted 150 chemistry students from Richfield High School for water treatment
plant tours. The event brought greater awareness to the water utility business as well as promoted the City’s RichWater identity (City Council Priority/Outcome 3a).
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• Began design of water treatment plant generator replacement project (City Council Priority/Outcome 1c & 3a).
2027 GOALS
• Utilize the utilities risk and resiliency plan and program projects, as needed, to increase resiliency of our water infrastructure (City Council Priority/Outcome 1c &
3a-c).
• Construct the Emergency Water Systems Interconnect project (City Council Priority/Outcome 3a,b).
• Continue the “Trust the Tap” campaign and high school water treatment plant
tours for promoting the Richwater identity and consumption of drinking water produced by Richfield (City Council Priority/Outcome 3c & 5a).
• Complete the water treatment plant generator project to increase resiliency of
water system (City Council Priority/Outcome 1c & 3a).
• Complete an update of the Water Supply Plan (City Council Priority/Outcome 1c & 3a-c).
• Complete Water Treatment Plant feasibility study, evaluating lifecycle costs and
intangibles associated with sustainable water supply options into the future (City Council Priority/Outcome 1c & 3a-c).
DIVISION EXPENDITURE COMMENT
The 2026 Revised Budget reflects a 0.0% increase from the 2026 Adopted Budget
related to operating expenses.
The 2027 Proposed Budget reflects an increase of 4.87% from the 2026 Adopted Budget related to operating expenses. This is primarily due to increasing costs related to personnel wages and benefits, water treatment chemicals (6413), and maintenance
and repair (6205) needs at the water treatment plant.
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WATER UTILITYFUND:
DETAIL REVENUES BY BUSINESS UNIT
CLASSIFICATIONS
Public WorksDEPARTMENT:
BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
WATER UTILITY - 51000BUSINESS UNIT:
License & permits
4164 - 2,500 2,500 2,500Water Permit $$$$
2,500 2,500 2,500- License & permits Total $$$$
Intergovernmental Revenues
4212 1,092,000Federal Grants $$$$
4244 10,000 10,000 10,000 10,000Grants Other
10,000 10,000 1,102,00010,000Intergovernmental Revenues Total $$$$
Miscellaneous Revenues
4632 20,311 - - - Recovery/Damage to City Prop.$$$$
- - - 20,311Miscellaneous Revenues Total $$$$
Special Assessments
4740 3,995 4,500 4,500 4,500Special Assessments-Penalty &$$$$
4,500 4,500 4,5003,995Special Assessments Total $$$$
Utility Revenues
4812 3,885,197 4,160,590 4,160,590 4,847,090Metered Water - Tax Exempt $$$$
4814 554,603 500,000 500,000 582,000Metered Water
4816 446,607 433,600 433,600 433,600Water Service Charges
4818 25,621 26,380 26,380 26,380Other Water Charges/Services
4848 - 12,500 12,500 12,500Certification Fee
5,133,070 5,133,070 5,901,5704,912,028Utility Revenues Total $$$$
Other Income
8011 18,291 46,000 30,000 30,000Investment Earnings $$$$
8034 600,492 - - - Other Refund/Reimbursements
8035 63,350 170,000 170,000 167,000Other Miscellaneous Revenues
8038 15,500 - - - Gain on disposal of Assets
216,000 200,000 197,000697,633Other Income Total $$$$
Other Financing Sources
8052 6,408,000Bond Proceeds $$$$
6,408,000Other Financing Sources Total $$$$
WATER UTILITY TOTAL 5,366,070 5,350,070 13,615,5705,643,967$$$$
194
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
WATER UTILITYFUND:
Public WorksDEPARTMENT:
WATER UTILITY - 51000BUSINESS UNIT:
Personal Services
6005 911,774 950,670 923,490 997,970Full Time $$$$
6007 8,536 22,360 22,460 23,780Seasonal
6009 59,622 35,000 50,000 50,000Overtime
6031 60,360 59,290 57,600 62,300Employer Social Security
6032 14,116 13,870 13,470 14,570Employer Medicare
6033 (226,308)69,830 67,980 73,190Employer Pera
6035 133,827 135,860 139,350 162,110Medical Insurance
6036 6,674 7,150 6,740 7,150Dental Insurance
6037 728 420 480 460Term Life
6038 38,150 38,910 38,910 40,860Workers Compensation
6040 1,038 1,650 1,600 1,740Long Term Disability
6041 178 -3,520 3,800Paid Family Medical Leave
6051 54,100 60,000 55,000 55,000Interdepartmental Labor
6052 166,310 172,070 172,070 178,020Administrative Charges
1,567,080 1,552,670 1,670,9501,229,105Personal Services Total $$$$
Other Services & Charges
6103 274,669 415,170 471,710 368,220Professional Services -General $$$$
6201 - 1,750 1,750 1,750Rents & Leases
6202 29,421 33,190 33,190 29,180Data Processing Rental
6204 57,150 60,010 60,010 63,010Motor Pool Operating Rental
6205 629,359 504,300 479,300 559,300Maintenance & Repairs
6207 282,393 365,000 365,000 379,600Utility Services
6301 11,336 16,000 8,500 9,000Advertising & Publication
6302 12,400 16,200 16,200 16,200Communications
6303 29,306 19,500 23,500 24,500Professional Development
6305 7,699 20,100 7,100 7,200Subscriptions & Memberships
6307 67,296 37,870 37,130 68,710Insurance & Bonds
6308 38,730 39,500 39,500 40,290Property Liability
6310 16,400 19,750 19,750 22,750Taxes & Licenses
6315 15,390 12,200 9,950 6,800Other Contractual Services
6401 2,671 2,000 2,000 2,000Office Supplies
6402 16 500 500 500Copy Charges
6403 26,549 16,000 16,000 16,000Postage
6409 6,668 9,000 9,000 10,000Uniforms & Clothing
6410 60,328 67,000 62,000 72,000Small Tools & Parts
6412 47,005 35,000 35,000 35,000Maint. & Const. Materials
6413 480,680 541,300 541,300 579,700Chemicals
6414 44,806 41,500 43,500 49,500Other Supplies
6513 62,740 178,000 181,500 181,500Other Charges
2,450,840 2,463,390 2,542,7102,203,012Other Services & Charges Total $$$$
195
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
WATER UTILITYFUND:
Public WorksDEPARTMENT:
WATER UTILITY - 51000BUSINESS UNIT:
Depreciation
6610 1,241,398 1,366,180 1,366,180 1,275,000Depreciation$$$$
1,366,180 1,366,180 1,275,0001,241,398DepreciationTotal$$$$
Capital Outlay
7350 (21,365)2,925,000 720,000 7,950,000Other Improvements $$$$
7400 3,418 - - - Machinery & Equipment
2,925,000 720,000 7,950,000(17,947)Capital Outlay Total $$$$
Other Financing Uses
8521 - 598,600 598,600 614,650Principal Payments $$$$
8522 91,156 85,020 111,920 96,830Interest Payments
8523 238 1,500 1,500 1,500Paying Agent Fees
685,120 712,020 712,98091,394Other Financing Uses Total $$$$
8,994,220 6,814,260 14,151,6404,746,962WATER UTILITY TOTAL $$$$
196
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WATER UTILITYFUND:
Public WorksDEPARTMENT:
WATER UTILITY - 51000BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
4.00 4.00LT-2Water Plant Operator 4.00
2.00 2.00LT-2Water Plant Mechanic 2.00
2.00 2.00LT-1Public Works Worker 2.00
.50 .5016Utility Superintendent .50
.50 .5014Utility Supervisor .50
.80 .808Utility Billing Clerk .80
.15 .158Senior Office Assistant .15
.15 .1512GIS Coordinator .15
.35 .3515Assistant Utility Superintendent .35
.17 .1710Asset Management/GIS Analyst .17
10.62 10.62Total10.62
150,000 50,000Water Plant Elevator Replacement $$175,000$
50,000 - Sludge Pump Replacement 50,000
100,000 4,900,000Emergency Water System Interconnect 100,000
100,000 2,500,000Water Plant Generator 2,500,000
- - Water Plant Program Space Renovation 100,000
125,000 100,000Water Plant Chlorine Storage Area -
25,000 25,000SCADA Cybersecurity Upgrade -
- 200,000WTP Second Floor Restrooms Renovation -
- 125,000WTP Personnel Safety Systems Improvements -
- 50,000Well #3 Water Service -
170,000 - Public Works Storage Facility -
720,000 7,950,000Total$$2,925,000$
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Department/Division
Actual Actual Budget Budget
2024 2025 2026R 2027P
Inputs:
Number of Full-Time & Part-Time Employees 10.45 10.45 10.62 10.62
Division Operating Revenues 4,574,577$ 4,912,028$ 5,133,070$ 5,901,570$
Division Operating Expenses 2,265,607$ 2,136,786$ 2,463,390$ 2,542,710$
Principal Payments and Interest 107,684$ 91,394$ 712,020$ 712,980$ Capital Outlay (excluding Depreciation)164,983$ 13,812$ 720,000$ 7,950,000$
Outputs:Total Miles of Water Mains 117 117 117 117Water Pumped in Gallons 876,522,000 840,316,000 900,000,000 900,000,000
Total WM Replace/Rehab (feet)1,456 1,558 5150 2740
Annual Number of Water Main Breaks 17 18 18 18
Efficiency Measures:
Operating Cost Per 1 Million Gallons Pumped 2,585$ 2,543$ 2,737$ 2,825$
Cost per Capita (excluding Capital Outlay)64.15$ 60.23$ #85.84$ 88.01$
Performance Measures
Water Utility
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GENERAL OBLIGATION REFUNDING BONDS, SERIES 2015B
SCHEDULE OF DEBT SERVICE REQUIREMENTS
December 31, 2026
PAYMENT UNPAID
YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 400,000$
2027 400,000 4,000 404,000 -
400,000$ 4,000$ 404,000$
199
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WATER GENERAL OBLIGATION BONDS, SERIES 2019A
SCHEDULE OF DEBT SERVICE REQUIREMENTS
December 31, 2026
PAYMENT UNPAID
YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 905,000$
2027 50,000 27,200 77,200 855,000
2028 55,000 25,100 80,100 800,000
2029 55,000 23,175 78,175 745,000
2030 60,000 21,450 81,450 685,000
2031 60,000 19,650 79,650 625,000
2032 60,000 17,850 77,850 565,000
2033 65,000 15,975 80,975 500,000
2034 65,000 14,025 79,025 435,000
2035 65,000 12,075 77,075 370,000
2036 70,000 10,050 80,050 300,000
2037 70,000 7,950 77,950 230,000
2038 75,000 5,775 80,775 155,000
2039 75,000 3,525 78,525 80,000
2040 80,000 1,200 81,200 -
905,000$ 205,000$ 1,110,000$
200
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WATER GENERAL OBLIGATION BONDS, SERIES 2020A
SCHEDULE OF DEBT SERVICE REQUIREMENTS
December 31, 2026
PAYMENT UNPAID
YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 1,445,000$
2027 130,000 32,975 162,975 1,315,000
2028 135,000 29,000 164,000 1,180,000
2029 140,000 24,875 164,875 1,040,000
2030 145,000 20,600 165,600 895,000
2031 145,000 16,975 161,975 750,000
2032 150,000 14,025 164,025 600,000
2033 60,000 11,925 71,925 540,000
2034 65,000 10,675 75,675 475,000
2035 65,000 9,375 74,375 410,000
2036 65,000 8,075 73,075 345,000
2037 65,000 6,775 71,775 280,000
2038 70,000 5,390 75,390 210,000
2039 70,000 3,903 73,903 140,000
2040 70,000 2,363 72,363 70,000
2041 70,000 788 70,788 -
1,445,000$ 197,718$ 1,642,718$
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WATER GENERAL OBLIGATION BONDS, SERIES 2022A
SCHEDULE OF DEBT SERVICE REQUIREMENTS
December 31, 2026
PAYMENT UNPAID
YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 833,700$
2027 34,650 6,830 41,480 799,050
2028 36,750 6,531 43,281 762,300
2029 37,800 6,219 44,019 724,500
2030 39,900 5,894 45,794 684,600
2031 40,950 5,556 46,506 643,650
2032 43,050 5,204 48,254 600,600
2033 44,100 4,840 48,940 556,500
2034 46,200 4,462 50,662 510,300
2035 48,300 4,067 52,367 462,000
2036 50,400 3,654 54,054 411,600
2037 52,500 3,224 55,724 359,100
2038 53,550 2,780 56,330 305,550
2039 56,700 2,319 59,019 248,850
2040 58,800 1,836 60,636 190,050
2041 60,900 1,335 62,235 129,150
2042 63,000 817 63,817 66,150
2043 66,150 277 66,427 -
833,700$ 65,845$ 899,545$
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BUDGET SUMMARY
WASTEWATER UTILITY FUND PROJECTION
2025 2026 2027 2028
AVAILABLE FOR APPROPRIATION Actual Revised Budget Projected
PRIOR YEAR RETAINED EARNINGS 9,585,649$ 10,297,765$ 10,923,815$ 11,541,325$
Revenues
Sewer Usage 5,145,651 5,531,180 6,027,820 6,208,660
Miscellaneous Revenues
Interest 94,357 12,000 12,000 12,000
Other Revenues - 15,750 15,750 15,750
Total Miscellaneous Revenues 94,357 27,750 27,750 27,750
Total Revenues 5,240,008 5,558,930 6,055,570 6,236,410
Expenses
Personal Services 1,097,529 1,284,050 1,385,160 1,433,640
Other Services and Charges 3,032,932 3,305,240 3,635,690 3,762,940
Depreciation 355,430 298,770 375,000 386,250
Interest 42,001 44,820 42,210 39,257
Operating Expenses 4,527,892 4,932,880 5,438,060 5,622,087
Net Income 712,116 626,050 617,510 614,323
Operating Transfers From (To)
Projects Funds - - - -
- - - -
RETAINED EARNINGS 10,297,765 10,923,815 11,541,325 12,155,648
BOND PRINCIPAL *-$ 62,600$ 68,150$ 69,250$
CAPITAL OUTLAY **-$ 1,095,000$ 1,225,000$ -$
***Wastewater Revenue Bond Coverage 6.84 5.83 5.60 5.66
* Bonds are not recorded as current expenses, but rather as adjustments to cash position.
** Capital outlay expense is recorded as depreciation over the useful life of the fixed asset.
***Calculation excludes depreciation.
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WASTEWATER UTILITY DIVISION
MISSION STATEMENT
The Public Works Department works hard to sustain and improve the quality of life for our community by offering the highest standards in essential municipal services and
providing them in a timely, responsible and professional manner.
DIVISION FOCUS
To provide responsible collection and disposal of wastewater for the community with minimal inconvenience to residents and businesses.
The division focus is operation, maintenance, and rehabilitation of a 100-mile collection
system consisting of pipes ranging from 9 to 36 inches in diameter. This collection
system serves approximately 10,820 services. This division also operates 9 sanitary sewer lift stations that lift wastewater from low areas to a higher elevation where it flows by gravity to the Metropolitan Council Environmental Services (MCES) wastewater system.
2026 HIGHLIGHTS
•Continued proactive maintenance of the wastewater collection system byjetting/proofing the entire city on an annual basis, including televising and rootsawing (City Council Priority/Outcome 1c & 3a).
•Rehabilitated approximately 5 miles of sanitary sewer main (City CouncilPriority/Outcome 3a).
•Began design of a sanitary sewer project to provide capacity for a new residential
development along Portland Avenue South (City Council Priority/Outcome 1c & 3a).
•Began design of Sanitary Lift Station 6 Rehabilitation Project (City CouncilPriority/Outcome 1c & 3a).
•Began update of Sewer Comprehensive Plan as required by Metropolitan Council in
conjunction with Citywide Comprehensive Plan update (City CouncilPriority/Outcome 1c & 3a).
•Completed a current and forward-looking (50 year) sewer rate study for the sanitary
sewer utility operation (City Council Priority/Outcome 1b & 3a, b).
•Began sanitary sewer structure adjustments required for the Nicollet AvenueReconstruction Project (City Council Priority/Outcome 3a, b).
2027 GOALS
•Continue the sanitary sewer rehabilitation program (City Council Priority/Outcome3a).
•Continue proactive maintenance of the wastewater collection system by
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jetting/proofing the entire City on an annual basis, including televising and root sawing (City Council Priority/Outcome 1c & 3a).
•Complete bid letting and construction of Sanitary Lift Station 6 Rehabilitation Project
(City Council Priority/Outcome 1c & 3a).
•Complete Sanitary Sewer Comprehensive Plan update (City CouncilPriority/Outcome 1c & 3a).
•Complete sanitary sewer structure adjustments required for the Nicollet AvenueReconstruction Project (City Council Priority/Outcome 3a, b).
DIVISION EXPENDITURE COMMENT
The 2026 Revised Budget reflects a 0.0% increase from the 2026 Adopted Budget
related to operating expenses.
The 2027 Proposed Budget reflects an increase of 9.4% from the 2026 Adopted Budget related to operating expenses. This is primarily due to a 15.95% increase to the 2027 Metropolitan Council Environmental Services (MCES) charges for providing wastewater treatment services for the City of Richfield. Approximately 60% of the Wastewater
Division expenditures are pass through to the MCES for these services.
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WASTEWATER UTILITYFUND:
DETAIL REVENUES BY BUSINESS UNIT
CLASSIFICATIONS
Public WorksDEPARTMENT:
BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
WASTEWATER UTILITY - 52000BUSINESS UNIT:
License & permits
4162 -15,000 15,000 15,000Sewer Permit $$$$
15,000 15,000 15,000-License & permits Total $$$$
Utility Revenues
4832 5,114,414 5,518,180 5,518,180 6,014,820Sewer Charges $$$$
4836 150 500 500 500Other Sewer Charges/Services
4838 31,087 - - - Sewer Availability Charge
4848 -12,500 12,500 12,500Certification Fee
5,531,180 5,531,180 6,027,8205,145,651Utility Revenues Total $$$$
Other Income
8011 94,357 12,000 12,000 12,000Investment Earnings $$$$
8035 - 750 750 750Other Miscellaneous Revenues
12,750 12,750 12,75094,357Other Income Total $$$$
WASTEWATER UTILITY TOTAL 5,558,930 5,558,930 6,055,5705,240,008$$$$
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
WASTEWATER UTILITYFUND:
Public WorksDEPARTMENT:
WASTEWATER UTILITY - 52000BUSINESS UNIT:
Personal Services
6005 624,344 749,170 721,490 785,250Full Time $$$$
6007 31,327 22,470 22,460 22,780Seasonal
6009 30,848 20,000 20,000 20,000Overtime
6031 41,917 46,610 44,660 48,620Employer Social Security
6032 9,803 10,900 10,440 11,370Employer Medicare
6033 (25,482)54,950 52,980 57,760Employer Pera
6035 107,218 126,020 129,380 150,700Medical Insurance
6036 5,124 6,400 6,010 6,380Dental Insurance
6037 503 340 400 380Term Life
6038 21,780 22,220 22,220 23,330Workers Compensation
6040 714 1,300 1,250 1,360Long Term Disability
6041 123 - 2,760 3,010Paid Family Medical Leave
6051 83,000 83,000 80,000 80,000Interdepartmental Labor
6052 166,310 172,070 172,070 178,020Administrative Charges
6054 - (2,070)(2,070)(3,800)Interdepartmental Labor Credit
1,313,380 1,284,050 1,385,1601,097,529Personal Services Total $$$$
Other Services & Charges
6103 154,819 202,130 265,170 187,250Professional Services -General $$$$
6202 29,250 33,190 33,190 29,180Data Processing Rental
6203 190 - - - Motor Pool Fixed Rental
6204 78,660 82,590 82,590 86,720Motor Pool Operating Rental
6205 49,500 125,000 107,000 107,000Maintenance & Repairs
6207 18,910 26,250 26,250 26,250Utility Services
6301 - 5,000 5,000 5,000Advertising & Publication
6302 8,044 14,300 14,300 14,300Communications
6303 16,553 15,300 17,300 17,300Professional Development
6305 250 250 1,500 1,600Subscriptions & Memberships
6307 8,653 10,730 10,520 8,930Insurance & Bonds
6308 7,720 7,870 7,870 8,030Property Liability
6310 - 200 200 200Taxes & Licenses
6315 4,944 21,000 7,800 4,500Other Contractual Services
6401 - 100 100 100Office Supplies
6403 - 100 100 100Postage
6409 8,848 8,000 9,000 9,000Uniforms & Clothing
6410 34,019 29,000 29,000 22,500Small Tools & Parts
6412 18,587 42,250 32,250 32,250Maint. & Const. Materials
6414 1,874 9,850 9,850 9,850Other Supplies
6513 - 13,000 16,500 16,500Other Charges
646,110 675,490 586,560440,821Other Services & Charges Total $$$$
MCES Charges
6601 2,580,868 2,629,750 2,629,750 3,049,130MCES Charges $$$$
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
WASTEWATER UTILITYFUND:
Public WorksDEPARTMENT:
WASTEWATER UTILITY - 52000BUSINESS UNIT:
2,629,750 2,629,750 3,049,1302,580,868MCES Charges Total $$$$
Depreciation
6610 355,430 298,770 298,770 375,000Depreciation$$$$
298,770 298,770 375,000355,430DepreciationTotal$$$$
Capital Outlay
7350 9,529 1,075,000 1,095,000 1,225,000Other Improvements $$$$
7400 1,714 - - - Machinery & Equipment
1,075,000 1,095,000 1,225,00011,243Capital Outlay Total $$$$
Other Financing Uses
8521 -62,600 62,600 68,150Principal Payments $$$$
8522 42,001 30,530 44,620 42,010Interest Payments
8523 - 200 200 200Paying Agent Fees
93,330 107,420 110,36042,001Other Financing Uses Total $$$$
6,056,340 6,090,480 6,731,2104,527,892WASTEWATER UTILITY TOTAL $$$$
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WASTEWATER UTILITYFUND:
Public WorksDEPARTMENT:
WASTEWATER UTILITY - 52000BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
6.00 6.00LT-1Public Works Worker 6.00
.50 .5016Utility Superintendent .50
.50 .5014Utility Supervisor .50
.80 .808Utility Billing Clerk .80
.15 .158Senior Office Assistant .15
.35 .3515Assistant Utility Superintendent .35
.15 .1512GIS Coordinator .15
.17 .1710Asset Management/GIS Analyst .17
8.62 8.62Total8.62
900,000 900,000Sewer Main Lining $$900,000$
170,000 - Public Works Storage Facility 175,000
25,000 25,000Cybersecurity upgrade/SCADA -
- 300,000Lift Station 6 Improvements -
1,095,000 1,225,000Total$$1,075,000$
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Department/Division
Actual Actual Budget Budget202420252026R2027P
Inputs:
Number of Full-Time & Part-Time Employees 8.45 8.62 8.62 8.62
Division Operating Revenues 4,950,448$ 5,240,008$ 5,558,930$ 6,055,570$
Division Operating Expenses & MCES 4,121,980$ 4,192,946$ 4,589,290$ 5,020,850$
Outputs:
Total Miles of Sanitary Sewer Mains 113 113 113 113
Total Sanitary Flow in Gallons 738,940,000 738,860,000 758,020,000 833,300,000
Effectiveness Measures:
Accumulative Sanitary Main Lined/
Replaced (feet)111,300 144,300 171,300 198,300
% of System Replaced/Lined 18.65%24.19%28.71%33.24%
Sanitary Sewer Back Ups
Caused by City Main 0 1 0 0
Efficiency Measures:
Annual Expense Per Capita for
Sanitary System and Disposal 107.11$ 108.96$ 119.26$ 130.47$
Performance Measures
Wastewater Utility
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SEWER GENERAL OBLIGATION BONDS, SERIES 2019A
SCHEDULE OF DEBT SERVICE REQUIREMENTS
DECEMBER 31, 2026
PAYMENT UNPAID
YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 830,000$
2027 50,000 24,900 74,900 780,000
2028 50,000 22,900 72,900 730,000
2029 50,000 21,150 71,150 680,000
2030 55,000 19,575 74,575 625,000
2031 55,000 17,925 72,925 570,000
2032 55,000 16,275 71,275 515,000
2033 60,000 14,550 74,550 455,000
2034 60,000 12,750 72,750 395,000
2035 60,000 10,950 70,950 335,000
2036 65,000 9,075 74,075 270,000
2037 65,000 7,125 72,125 205,000
2038 65,000 5,175 70,175 140,000
2039 70,000 3,150 73,150 70,000
2040 70,000 1,050 71,050 -
830,000$ 186,550$ 1,016,550$
211
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WATER GENERAL OBLIGATION BONDS, SERIES 2022A
SCHEDULE OF DEBT SERVICE REQUIREMENTS
December 31, 2026
PAYMENT UNPAID
YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 436,700$
2027 18,150 3,577 21,727 418,550
2028 19,250 3,421 22,671 399,300
2029 19,800 3,258 23,058 379,500
2030 20,900 3,087 23,987 358,600
2031 21,450 2,910 24,360 337,150
2032 22,550 2,726 25,276 314,600
2033 23,100 2,535 25,635 291,500
2034 24,200 2,337 26,537 267,300
2035 25,300 2,130 27,430 242,000
2036 26,400 1,914 28,314 215,600
2037 27,500 1,689 29,189 188,100
2038 28,050 1,456 29,506 160,050
2039 29,700 1,215 30,915 130,350
2040 30,800 962 31,762 99,550
2041 31,900 699 32,599 67,650
2042 33,000 428 33,428 34,650
2043 34,650 145 34,795 -
436,700$ 34,489$ 471,189$
212
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
STORMWATER UTILITYFUND:
Public WorksDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
3,471,260 3,421,290 3,985,740STORMWATER UTILITY $ 3,240,913 $$$14.82%53000
3,471,260 3,421,290 3,985,740Public Works TOTAL $ 3,240,913 $$$14.82%
REVENUES
2,617,770 2,792,100 2,842,100 3,231,220STORMWATER UTILITY $$$$15.73%53000
STORM SEWER UTILITY
YEAR AMOUNT
2025 $3,255,242
2026B $3,471,260
2026R $3,421,290
2027B $3,985,740
$0
$1,000,000
$2,000,000
$3,000,000
$4,000,000
2025 2026B 2026R 2027B
E
X
P
E
N
S
E
S
YEAR
STORM SEWER UTILITY
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BUDGET SUMMARYSTORMWATER UTILITY FUND PROJECTION
2025 2026 2027 2028
AVAILABLE FOR APPROPRIATION Actual Revised Budget Projected
PRIOR YEAR RETAINED EARNINGS 10,962,234$ 10,339,091$ 10,718,701$ 10,871,381$
Revenues
Storm Sewer Usage 2,251,735 2,556,370 2,990,530 3,080,250
Grants 126,322 46,980 - -
Miscellaneous Revenues 239,713 238,750 240,690 247,910
Total Revenues 2,617,770 2,842,100 3,231,220 3,328,161
Expenses
Personal Services 494,927 559,650 603,300 624,420
Other Services and Charges 1,674,174 877,210 1,361,950 1,409,620
Depreciation 893,134 827,470 930,000 957,900
Interest and amortization 178,678 198,160 183,290 166,661
Total Operating Expenses 3,240,913 2,462,490 3,078,540 3,158,601
Net Income (Loss)(623,143) 379,610 152,680 169,559
Special Item - - - -
RETAINED EARNINGS 10,339,091 10,718,701 10,871,381 11,040,940
BOND PRINCIPAL *-$ 588,800$ 607,200$ 454,000$
CAPITAL OUTLAY **-$ 370,000$ 300,000$ 300,000$
***Stormwater Revenue Bond Coverage (0.83) 0.48 0.19 0.27
* Bonds are not recorded as current expenses, but rather as adjustments to the cash position.
** Capital outlay expense is recorded as depreciation over the useful life of the fixed asset.
***Calculation excludes depreciation.
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STORM WATER UTILITY DIVISION
MISSION STATEMENT
The Public Works Department works hard to sustain and improve the quality of life for our community by offering the highest standards in critical municipal services and
providing them in a timely, responsible and professional manner.
DIVISION FOCUS
To provide flood protection and environmentally responsible management of storm water for the City of Richfield, as well as community outreach to residents and businesses on the impact they have on the quality of ponds, lakes, and streams.
The division’s mission is achieved by City of Richfield staff and contractors, who
perform the following functions:
•Maintaining compliance with the Municipal Separate Storm SewerSystems (MS4) permit issued by the Minnesota Pollution Control Agency
(MPCA) for the operations of the City’s storm sewer system;
•Providing education and outreach activities;
•Maintaining and operating eleven storm water lift stations;
•Contracting with the Street Division for the sweeping of streets to removesilt, organic matter, and phosphorus;
•Water quality monitoring in local surface waters;
•Operating and maintaining a flocculation treatment system for the removalof phosphorus to fulfill watershed reduction requirements; and
•Improving the flood protection of property by upgrading the storm water
system as opportunities arise.
2026 HIGHLIGHTS
•Transitioned to in-house water quality monitoring for lakes and ponds—this washistorically consultant led (City Council Priority/Outcome 1c, 3a & 3c).
•Began updates to the City’s Surface Water Management Plan and the Richfield
Bloomington Watershed Management Organization’s Comprehensive Plan, whichare both updated on a 10-year cycle (City Council Priority/Outcome 1a & 3a-c).
•Completed site investigation and began in-house design of the Norby’s Pond
Reconstruction Project (City Council Priority/Outcome 1c & 3a-c).
•Completed a current and forward-looking (50 year) rate study for the storm waterutility operation (City Council Priority/Outcome 1b & 3a,b).
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2027 GOALS
• Conduct condition assessment of storm sewer system (City Council
Priority/Outcome 1c & 3a-c).
• Complete design, bidding, and begin construction of Norby’s Pond Reconstruction Project (City Council Priority/Outcome 1c, 3a & 3c).
• Transition back to in-house erosion control inspection of construction projects—this was temporarily consultant led due to staffing constraints (City Council Priority/Outcome 1c & 3a).
• Begin design of Wilson Pond Flood Mitigation Project, addressing an area identified
by the prioritization framework (City Council Priority/Outcome 1c, 3a & 3c).
DIVISION EXPENDITURE COMMENT
The 2026 Revised Budget reflects a 1.26% increase from the 2026 Adopted Budget related to operating expenses.
The 2027 Proposed Budget reflects an increase of 38.50% from the 2026 Adopted
Budget related to operating expenses. This is a result of programming Norby’s Pond Reconstruction Project for 2027 construction. Pond dredging has historically resulted in similar fluctuations, and omitting these construction costs, the 2027 Proposed Budget reflects a 3.26% increase from the 2026 Adopted Budget.
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STORMWATER UTILITYFUND:
DETAIL REVENUES BY BUSINESS UNIT
CLASSIFICATIONS
Public WorksDEPARTMENT:
BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
STORMWATER UTILITY - 53000BUSINESS UNIT:
Intergovernmental Revenues
4244 126,322 34,180 34,180 - Grants Other $$$$
4290 -12,800 12,800 - Other Local Grants
46,980 46,980 - 126,322Intergovernmental Revenues Total $$$$
Utility Revenues
4848 -2,500 2,500 2,500Certification Fee $$$$
4852 2,251,735 2,553,870 2,553,870 2,988,030Storm Drainage Fee
2,556,370 2,556,370 2,990,5302,251,735Utility Revenues Total $$$$
Other Income
8011 77,549 20,000 70,000 70,000Investment Earnings $$$$
8035 162,164 168,750 168,750 170,690Other Miscellaneous Revenues
188,750 238,750 240,690239,713Other Income Total $$$$
STORMWATER UTILITY TOTAL 2,792,100 2,842,100 3,231,2202,617,770$$$$
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
STORMWATER UTILITYFUND:
Public WorksDEPARTMENT:
STORMWATER UTILITY - 53000BUSINESS UNIT:
Personal Services
6005 145,893 204,500 182,680 211,500Full Time $$$$
6009 18 - - - Overtime
6031 8,987 12,680 11,330 13,110Employer Social Security
6032 2,102 2,970 2,650 3,070Employer Medicare
6033 (3,569)15,300 13,700 15,860Employer Pera
6035 26,410 32,190 31,430 38,390Medical Insurance
6036 1,279 1,590 1,430 1,590Dental Insurance
6037 126 90 80 90Term Life
6038 2,470 2,520 2,520 2,650Workers Compensation
6040 198 360 320 370Long Term Disability
6041 23 - 690 800Paid Family Medical Leave
6051 226,100 224,720 225,000 225,000Interdepartmental Labor
6052 84,890 87,820 87,820 90,870Administrative Charges
584,740 559,650 603,300494,927Personal Services Total $$$$
Other Services & Charges
6103 369,310 186,700 343,920 215,000Professional Services -General $$$$
6201 - 5,500 2,500 2,500Rents & Leases
6202 14,620 16,590 16,590 14,590Data Processing Rental
6203 265 - - - Motor Pool Fixed Rental
6204 154,020 161,720 161,720 169,810Motor Pool Operating Rental
6205 1,018,700 299,750 209,750 789,750Maintenance & Repairs
6207 25,336 31,250 30,000 30,000Utility Services
6301 1,491 3,400 3,400 3,400Advertising & Publication
6302 2,323 4,440 4,440 4,440Communications
6303 1,933 3,880 3,880 3,880Professional Development
6305 9,542 8,720 11,520 11,620Subscriptions & Memberships
6307 5,880 2,670 2,640 4,650Insurance & Bonds
6308 1,370 1,400 1,400 1,430Property Liability
6310 4,562 1,250 1,250 1,250Taxes & Licenses
6315 47,760 64,350 43,050 68,480Other Contractual Services
6401 - 150 - - Office Supplies
6402 - 150 - - Copy Charges
6403 - 50 - - Postage
6409 309 - 400 400Uniforms & Clothing
6410 2,690 3,000 3,000 3,000Small Tools & Parts
6412 4,596 20,000 15,000 15,000Maint. & Const. Materials
6413 7,653 5,000 5,000 5,000Chemicals
6414 1,814 1,250 1,250 1,250Other Supplies
6513 - 13,000 16,500 16,500Other Charges
834,220 877,210 1,361,9501,674,174Other Services & Charges Total $$$$
218
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
STORMWATER UTILITYFUND:
Public WorksDEPARTMENT:
STORMWATER UTILITY - 53000BUSINESS UNIT:
Depreciation
6610 893,134 827,470 827,470 930,000Depreciation$$$$
827,470 827,470 930,000893,134DepreciationTotal$$$$
Capital Outlay
7350 -525,000 370,000 300,000Other Improvements $$$$
525,000 370,000 300,000-Capital Outlay Total $$$$
Other Financing Uses
8521 -588,800 588,800 607,200Principal Payments $$$$
8522 177,728 108,030 195,160 180,290Interest Payments
8523 950 3,000 3,000 3,000Paying Agent Fees
699,830 786,960 790,490178,678Other Financing Uses Total $$$$
3,471,260 3,421,290 3,985,7403,240,913STORMWATER UTILITY TOTAL $$$$
219
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STORMWATER UTILITYFUND:
Public WorksDEPARTMENT:
STORMWATER UTILITY - 53000BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
.46 .468Utility Billing Clerk .40
.30 .3015Assistant Utility Superintendent .30
.20 .2012GIS Coordinator .20
.17 .1710Asset Management/GIS Analyst .17
1.00 1.0013Water Resources Engineer 1.00
2.13 2.13Total2.07
-- $$-$
200,000 200,000Storm Sewer Collection System Rehab 200,000
170,000 - Public Works Storage Facility 325,000
- 100,000Wilson Pond Flood Mitigation -
370,000 300,000Total$$525,000$
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Department/Division
Actual Actual Budget Budget
2024 2025 2026R 2027P
Inputs:
Number of Full-Time Employees 1.90 2.07 2.07 2.07
Division Operating Revenues 2,610,364$ 2,617,770$ 2,842,098$ 3,231,214$
Division Operating Expenses 2,241,344$ 3,255,242$ 3,051,279$ 3,685,728$
Outputs:Total Tons of Street Sweepings 483 348.6 325 325
Effectiveness Measures:
Annual Pounds of TP* Removed
from Sweeping Activities (Estimated)244.2 175.9 164.3 164.3
Annual Pounds of TP* Removed
from Infiltration and Floc Systems (Estimated)76.0 11.2 50.0 76.0
Efficiency Measures:
Total Cost for Street Sweeping 146,328$ 117,812$ 120,000$ 120,000$ Total cost for Infiltration/Floc 163,765$ 197,665$ 160,000$ 160,000$
Cost per Pound of TP* Removed 968$ 1,686$ 1,307$ 1,165$
Operating Expenses per Capita 60.59$ 87.99$ 82.48$ 99.63$ *TP = Total Phosphorus
Performance Measures
Stormwater Utility
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GENERAL OBLIGATION REFUNDING BONDS, SERIES 2015B
SCHEDULE OF DEBT SERVICE REQUIREMENTS
DECEMBER 31, 2026
PAYMENT UNPAID
YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 165,000$
2027 165,000 1,650 166,650 -
165,000$ 1,650$ 166,650$
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STORM SEWER REVENUE BONDS, SERIES 2016A
SCHEDULE OF DEBT SERVICE REQUIREMENTS
DECEMBER 31, 2026
PAYMENT UNPAID
YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 1,810,000$
2027 150,000 39,615 189,615 1,660,000
2028 150,000 36,615 186,615 1,510,000
2029 155,000 33,565 188,565 1,355,000
2030 155,000 30,465 185,465 1,200,000
2031 160,000 27,235 187,235 1,040,000
2032 165,000 23,740 188,740 875,000
2033 165,000 20,028 185,028 710,000
2034 170,000 16,090 186,090 540,000
2035 175,000 11,863 186,863 365,000
2036 180,000 7,335 187,335 185,000
2037 185,000 2,497 187,497 -
1,810,000$ 249,048$ 2,059,048$
223
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STORM SEWER GENERAL OBLIGATION BONDS, SERIES 2019A
SCHEDULE OF DEBT SERVICE REQUIREMENTS
DECEMBER 31, 2026
PAYMENT UNPAID
YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 600,000$
2027 35,000 18,000 53,000 565,000
2028 35,000 16,600 51,600 530,000
2029 40,000 15,300 55,300 490,000
2030 40,000 14,100 54,100 450,000
2031 40,000 12,900 52,900 410,000
2032 40,000 11,700 51,700 370,000
2033 40,000 10,500 50,500 330,000
2034 45,000 9,225 54,225 285,000
2035 45,000 7,875 52,875 240,000
2036 45,000 6,525 51,525 195,000
2037 45,000 5,175 50,175 150,000
2038 50,000 3,750 53,750 100,000
2039 50,000 2,250 52,250 50,000
2040 50,000 750 50,750 -
600,000$ 134,650$ 734,650$
224
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STORM SEWER REVENUE BONDS, SERIES 2020B
SCHEDULE OF DEBT SERVICE REQUIREMENTS
DECEMBER 31, 2026
PAYMENT UNPAID
YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 1,070,000$
2027 145,000 15,280 160,280 925,000
2028 150,000 12,330 162,330 775,000
2029 150,000 9,330 159,330 625,000
2030 150,000 7,005 157,005 475,000
2031 155,000 5,250 160,250 320,000
2032 160,000 3,280 163,280 160,000
2033 160,000 1,120 161,120 -
1,070,000$ 53,595$ 1,123,595$
225
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GENERAL OBLIGATION BONDS, SERIES 2022A
SCHEDULE OF DEBT SERVICE REQUIREMENTS
DECEMBER 31, 2026
PAYMENT UNPAID
YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 2,699,600$
2027 112,200 22,115 134,315 2,587,400
2028 119,000 21,148 140,148 2,468,400
2029 122,400 20,138 142,538 2,346,000
2030 129,200 19,085 148,285 2,216,800
2031 132,600 17,990 150,590 2,084,200
2032 139,400 16,853 156,253 1,944,800
2033 142,800 15,672 158,472 1,802,000
2034 149,600 14,449 164,049 1,652,400
2035 156,400 13,169 169,569 1,496,000
2036 163,200 11,832 175,032 1,332,800
2037 170,000 10,439 180,439 1,162,800
2038 173,400 9,002 182,402 989,400
2039 183,600 7,509 191,109 805,800
2040 190,400 5,945 196,345 615,400
2041 197,200 4,323 201,523 418,200
2042 204,000 2,645 206,645 214,200
2043 214,200 896 215,096 -
2,699,600 213,210 2,912,810
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THIS PAGE WAS LEFT BLANK INTENTIONALLY
227
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INTERNAL SERVICE
228
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
CENTRAL GARAGEFUND:
Public WorksDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
4,283,310 4,008,620 4,707,070CENTRAL GARAGE $ 2,844,767 $$$9.89%61000
4,283,310 4,008,620 4,707,070Public Works TOTAL $ 2,844,767 $$$9.89%
REVENUES
3,125,657 3,097,530 3,097,530 3,567,854CENTRAL GARAGE $$$$15.18%61000
CENTRAL GARAGE
YEAR AMOUNT
2025 $2,888,790
2026B $4,283,310
2026R $4,008,620
2027B $4,707,070
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
$3,500,000
$4,000,000
$4,500,000
$5,000,000
2025 2026B 2026R 2027B
E
X
P
E
N
S
E
S
YEAR
CENTRAL GARAGE FUND
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BUDGET SUMMARYCENTRAL GARAGE FUND PROJECTION
2025 2026 2027 2028
AVAILABLE FOR APPROPRIATION Actual Revised Budget Projected
PRIOR YEAR RETAINED EARNINGS 5,811,030$ 6,091,919$ 6,570,679$ 7,216,463$
Revenues
Intergovernmental - - - -
Charges for Service:
Equipment Rental 1,629,080 1,710,530 1,796,080 1,849,960
Miscellaneous Revenues
Interest 37,484 5,000 5,000 5,000
Other Revenues 124,093 47,000 47,000 48,410
Total Misc. Revenues 161,577 52,000 52,000 53,410
Total Revenues 1,790,657 1,762,530 1,848,080 1,903,370
Expenses
Personal Services 484,492 556,580 592,060 612,780
Other Services and Charges 1,218,484 1,107,210 1,130,010 1,169,560
Depreciation 1,141,792 954,980 1,200,000 1,236,000
Operating Expenses 2,844,768 2,618,770 2,922,070 3,018,340
Net Income (Loss)(1,054,111) (856,240) (1,073,990) (1,114,970)
Operating Transfers From (To)
General and Capital Projects Funds 1,335,000 1,335,000 1,719,774 1,779,970
1,335,000 1,335,000 1,719,774 1,779,970
RETAINED EARNINGS 6,091,919 6,570,679 7,216,463 7,881,463
CAPITAL OUTLAY -$ 1,389,850$ 1,785,000$ 1,874,250$
* Capital outlay expense is recorded as depreciation over the useful life of the fixed asset.
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CENTRAL GARAGE DIVISION
MISSION STATEMENT
The Public Works Department works hard to sustain and improve the quality of life for our community by offering the highest standards in essential municipal services and providing
them in a timely, responsible and professional manner.
DIVISION FOCUS
To procure, maintain, repair and replace all motor vehicles, heavy equipment and attachments used by the City. To also provide quality, durable equipment for all divisions and maintain that equipment so that it performs 24 hours a day, seven days a week, and
is always able to respond to emergencies as needed.
Staff maintains 141 motorized pieces of equipment and another 52 non-motorized pieces of equipment.
2026 HIGHLIGHTS
•Evaluation of opportunities to introduce more Hybrid/Electric vehicles into the fleet
(City Council Priority/Outcome 1c & 3c).
2027 DIVISION GOALS
•Continue to evaluate repurposing Police patrol vehicles for use by other divisions (City
Council Priority/Outcome 1c, 3a & 3c).
•Evaluation of opportunities to introduce alternative financing options for procuring Cityvehicles (City Council Priority/Outcome 1c & 3b-c).
DIVISION EXPENDITURE COMMENT
The 2026 Revised Budget reflects a decrease of 6.4% from the 2026 Adopted Budget.
This is due largely to difficulty in obtaining vehicles planned for purchase within the budget year.
The 2027 Proposed Budget reflects an increase of 9.89% from the 2026 Adopted Budget. The increase in the 2027 Proposed budget is due to increases in operating expenses,
planned vehicle purchases and depreciation. Staff expect vehicle price volatility and
general availability to continue to drive fluctuations in the central garage budget over the coming years.
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CENTRAL GARAGEFUND:
DETAIL REVENUES BY BUSINESS UNIT
CLASSIFICATIONS
Public WorksDEPARTMENT:
BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
CENTRAL GARAGE - 61000BUSINESS UNIT:
Charges for Service
4318 1,629,080 1,710,530 1,710,530 1,796,080Equipment Rental - Operating $$$$
1,710,530 1,710,530 1,796,0801,629,080Charges for Service Total $$$$
Other Income
8011 37,484 5,000 5,000 5,000Investment Earnings $$$$
8035 1,565 2,000 2,000 2,000Other Miscellaneous Revenues
8037 640 20,000 20,000 20,000Recovery From Damage City Prop
8038 121,888 25,000 25,000 25,000Gain on disposal of Assets
52,000 52,000 52,000161,577Other Income Total $$$$
Other Financing Sources
8051 1,335,000 1,335,000 1,335,000 1,719,774Operating Transfers In $$$$
1,335,000 1,335,000 1,719,7741,335,000Other Financing Sources Total $$$$
CENTRAL GARAGE TOTAL 3,097,530 3,097,530 3,567,8543,125,657$$$$
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
CENTRAL GARAGEFUND:
Public WorksDEPARTMENT:
CENTRAL GARAGE - 61000BUSINESS UNIT:
Personal Services
6005 382,419 413,140 403,640 424,630Full Time $$$$
6009 4,697 8,000 8,000 8,000Overtime
6031 23,479 24,220 23,660 24,910Employer Social Security
6032 5,491 5,670 5,530 5,830Employer Medicare
6033 (14,634)29,900 29,290 30,880Employer Pera
6035 71,396 73,780 73,100 83,810Medical Insurance
6036 2,970 3,110 2,980 3,110Dental Insurance
6037 291 170 180 170Term Life
6038 7,860 8,020 8,020 8,420Workers Compensation
6040 446 710 690 730Long Term Disability
6041 77 -1,490 1,570Paid Family Medical Leave
566,720 556,580 592,060484,492Personal Services Total $$$$
Other Services & Charges
6103 4,630 4,260 4,860 4,870Professional Services -General $$$$
6202 42,890 52,130 52,130 27,070Data Processing Rental
6205 257,446 158,330 167,330 208,220Maintenance & Repairs
6206 81,007 35,000 35,000 42,000Accident Repairs
6207 73,838 87,580 87,580 87,580Utility Services
6302 9,774 4,200 4,200 4,200Communications
6303 7,938 3,220 5,220 3,220Professional Development
6305 60 - - - Subscriptions & Memberships
6307 56,456 64,800 63,530 54,330Insurance & Bonds
6308 30,330 30,940 30,940 31,560Property Liability
6310 808 5,000 5,000 5,000Taxes & Licenses
6315 75,003 45,060 45,060 50,060Other Contractual Services
6401 243 660 660 660Office Supplies
6402 - 120 120 120Copy Charges
6403 4 100 100 100Postage
6405 255,255 325,000 325,000 325,000Fuels
6406 10,421 10,500 10,500 12,500Lubricants
6407 10,130 15,460 15,460 16,000Auto Operating Supplies
6408 26,486 30,510 30,510 33,510Tires
6409 5,641 6,500 6,500 6,500Uniforms & Clothing
6410 186,995 145,080 145,080 145,080Small Tools & Parts
6414 47,967 72,430 72,430 72,430Other Supplies
1,096,880 1,107,210 1,130,0101,183,322Other Services & Charges Total $$$$
Depreciation
6610 1,141,792 954,980 954,980 1,200,000Depreciation$$$$
954,980 954,980 1,200,0001,141,792DepreciationTotal$$$$
Capital Outlay
7500 35,161 1,664,730 1,389,850 1,785,000Motor Vehicles $$$$233
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
CENTRAL GARAGEFUND:
Public WorksDEPARTMENT:
CENTRAL GARAGE - 61000BUSINESS UNIT:
1,664,730 1,389,850 1,785,00035,161Capital Outlay Total $$$$
4,283,310 4,008,620 4,707,0702,844,767CENTRAL GARAGE TOTAL $$$$
234
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CENTRAL GARAGEFUND:
Public WorksDEPARTMENT:
CENTRAL GARAGE - 61000BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
3.00 3.00LT-3Automotive Mechanic 3.00
.23 .2318Deputy Public Works Director .25
.50 .5014Operations Supervisor .50
.35 .358Senior Office Assistant .35
.10 .1010Asset Management/GIS Analyst .10
4.18 4.18Total4.20
94,630 - Ice Resurfacer (2)$$89,630$
302,100 302,100Fire Truck 302,100
-350,000Flush Truck/Roll-Off 203,000
101,050 - 1 Ton Pick-Up 50,000
71,990 - Crew Cab Pick-Up 50,000
227,560 - Chipper 250,000
111,230 - Squads - Police LT (3)180,000
150,150 - Squads - Police Investigators (3)180,000
184,900 - Marked Squads - Police (3)210,000
71,260 70,000Tahoe - Fire (2)75,000
75,000 - Tahoe - Police Chief 75,000
- 320,000Dump Truck -
- 100,000Utilities Ford F450 4x4 Truck -
- 120,000Parks - Ford F250 (2)-
- 80,000Utilities Ford F250 4x4 Supercab Truck -
- 120,000Squads - K9 Patrol (2)-
- 160,000Squads - Police Detective (3)-
- 50,000Police Admin Vehicle -
- 47,900Z-Mower Electric -
- 65,000Wood Lake Nature Center Toolcat -
1,389,870 1,785,000Total$$1,664,730$
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Department/Division
Actual Actual Budget Budget 2024 2025 2026R 2027P
Inputs:
Number of full-time employees 4.1 4.2 4.2 4.2
Division Expenditures 1,607,501$ $ 1,667,814 1,663,784$ 1,722,058$
(personnel and services)
Outputs:
Number of Vehicles Maintained 141 141 141 141
Number of Pieces of Equipment 53 53 53 53
Effectiveness Measures:
Scheduled Service Work Orders 234 254 250 250
Unscheduled Service Work Orders 754 771 600 600
Efficiency Measures:
Total Cost of Repairs 1,147,921$ 1,183,322$ 1,107,205$ 1,130,007$
Average Cost/Vehicle Owned 8,141.28$ 8,392.35$ 7,852.52$ 8,014.23$
Division Expenditure per Capita 41.77$ $ 43.34 43.24$ 44.75$
(personnel and services)
Performance Measures
Central Garage
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
INFORMATION TECHNOLOGIESFUND:
Administrative ServicesDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
1,962,611 1,962,620 2,198,490$$$12.02%62000 INFORMATION TECHNOLOGIES $ 1,690,116
1,962,611 1,962,620 2,198,490Administrative Services TOTAL $ 1,690,116 $$$12.02%
REVENUES
1,885,730 1,902,141 1,917,141 1,984,475INFORMATION TECHNOLOGIES $$$$4.33%62000
CENTRAL SERVICES
YEAR AMOUNT
2025 $1,733,783
2026B $1,962,611
2026R $1,962,620
2027B $2,198,490
$0
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
2025 2026B 2026R 2027B
E
X
P
E
N
S
E
S
YEAR
INFORMATION TECHNOLOGIES
237
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BUDGET SUMMARYINFORMATION TECHNOLOGIES FUND PROJECTION
2025 2026 2027 2028
AVAILABLE FOR APPROPRIATION Actual Revised Budget Projected
PRIOR YEAR RETAINED EARNINGS 462,224$ 657,838$ 702,269$ 635,584$
Revenues
Intergovernmental -$ -$ -$ -$
Charges for Service 1,473,854 1,494,561 1,547,630 1,594,061
Subtotal 1,473,854 1,494,561 1,547,630 1,594,061
Miscellaneous Revenues
Interest 18,076 15,000 15,000 15,000
Other - - - -
Total Miscellaneous Revenues 18,076 15,000 15,000 15,000
Total Revenues 1,491,930 1,509,561 1,562,630 1,609,061
Expenses
Personal Service 567,438 723,620 852,060 881,880
Other Services and Charges 1,076,163 1,034,470 1,081,040 1,135,090
Depreciation 46,515 114,620 118,060 121,600
Total Operating Expenses 1,690,116 1,872,710 2,051,160 2,138,570
Net Income (Loss)(198,186) (363,149) (488,530) (529,509)
Operating Transfers: From (To)
Equipment Levy 393,800 407,580 421,845 436,610
Net Transfers 393,800 407,580 421,845 436,610
RETAINED EARNINGS 657,838 702,269 635,584 542,685
CAPITAL OUTLAY *-$ 89,910$ 147,330$ 122,636$
* Capital outlay expense is recorded as depreciation over the useful life of the fixed asset.
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INFORMATION TECHNOLOGIES DIVISION
MISSION STATEMENT
The mission of the Information Technology (IT) Division is to provide secure, reliable, and responsive technology services that support City operations, enhance service delivery, and protect the City’s information systems and data. IT manages and supports the City’s network infrastructure, communication services, end user technology, business applications, and related security systems to ensure staff have the tools and
access needed to serve the community effectively. IT works in partnership with departments, regional partners, and vendors to maintain critical technology infrastructure, provide timely end user support, improve business processes, and guide the effective use of City technology resources. The division’s work
supports the City’s strategic goals through cybersecurity, system modernization, digital workflow improvements, policy development, and practical technology planning that improves operations and reduces risk.
DIVISION FOCUS The Information Technology Division provides centralized technology services and support
to all City departments. The division maintains the City’s network infrastructure, communication systems, end user devices, business applications, cybersecurity tools, and secure system access needed for daily operations. IT provides helpdesk support, computer and mobile device management, phone system
support, printer and copier coordination, software licensing, technology training, and internal office supply management. The division also works with departments and external vendors to support technology planning, system improvements, equipment replacement, and digital workflow improvements.
IT supports the City’s information and physical security needs, including network security, door access, camera systems, cybersecurity policies, PCI compliance, and secure access to City systems and data. The division serves as a technology partner to departments by helping evaluate needs, estimate costs, and align technology investments with City priorities.
2026 HIGHLIGHTS
• Completed the Citizenserve sync workflow into the Laserfiche repository to support data retention requirements (City Council Goal 1c).
• Upgrade and migrate the City’s GIS environment to AWS GovCloud to improve
system reliability, security, and long-term support.
• Upgraded multiple existing and new Laserfiche workflows, including PAFs, invoices, leave slip submissions, and search functions (City Council Goal 1c).
• Implemented new public Laserfiche WebLink access for record searches related to Council, Commission, and Board records.
• Expanded door access and camera systems to additional City facilities (City Council
Goal 1c and 3a).
• Assisted with the migration of the City’s intranet to SharePoint to improve internal access to staff resources and information.
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•Expanded the use of cybersecurity training to improve staff awareness of commonthreats and strengthen the City’s overall security posture (City Council Goals 1c and4a).
•Completed the migration to a modern IP telephony phone system to improve
communication services and support future system enhancements (City CouncilGoal 1c).
2027 DIVISION GOALS
•Improve IT asset tracking for computers, printers, mobile devices, and othertechnology equipment (City Council Goal 1c).
•Strengthen network reliability and security through planned infrastructurereplacements and configuration reviews.
•Modernize internal systems by expanding the effective use of Microsoft 365,SharePoint, and Laserfiche for collaboration, document management, and processefficiency.
•Improve documentation of IT systems, workflows, procedures, and supportresponsibilities.
•Strengthen cybersecurity through staff training, policy updates, and ongoing securityimprovements (City Council Goals 1c and 4a).
DIVISION EXPENDITURE COMMENT
The 2026 revised budget reflects a 0% increase compared to the 2026 adopted budget.
The 2027 proposed budget reflects a 12% increase compared to the 2026 adopted budget. The increase is primarily due to personnel cost-of-living adjustments, the
reclassification of the open Help Desk position from salary grade 11 to a salary grade 12
Application Support Specialist, the addition of cybersecurity insurance costs to the IT budget, and annual Tungsten software costs beginning in 2027. The increase also reflects an average 4% increase in LOGIS services and slight increases in software subscription costs.
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INFORMATION TECHNOLOGIESFUND:
DETAIL REVENUES BY BUSINESS UNIT
CLASSIFICATIONS
Administrative ServicesDEPARTMENT:
BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
INFORMATION TECHNOLOGIES - 62000BUSINESS UNIT:
Charges for Service
4320 1,389,574 1,427,611 1,427,611 1,471,480IT Equipment Rental $$$$
4322 29,971 27,450 27,450 30,750Sale of Supplies
4324 26,604 12,380 12,380 17,140Copying Services
4326 27,705 27,120 27,120 28,260Postage Services
1,494,561 1,494,561 1,547,6301,473,854Charges for Service Total $$$$
Other Income
8011 18,076 - 15,000 15,000Investment Earnings $$$$
- 15,000 15,00018,076Other Income Total $$$$
Other Financing Sources
8051 393,800 407,580 407,580 421,845Operating Transfers In $$$$
407,580 407,580 421,845393,800Other Financing Sources Total $$$$
INFORMATION TECHNOLOGIES TOTAL 1,902,141 1,917,141 1,984,4751,885,730$$$$
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
INFORMATION TECHNOLOGIESFUND:
Administrative ServicesDEPARTMENT:
INFORMATION TECHNOLOGIES - 62000BUSINESS UNIT:
Costs of Goods Sold
5510 48,803 38,630 38,630 52,960Purchases for Resale $$$$
38,630 38,630 52,96048,803Costs of Goods Sold Total $$$$
Personal Services
6005 469,224 540,419 540,420 609,840Full Time $$$$
6013 1,123 - - - Longevity
6031 27,885 32,161 32,160 35,450Employer Social Security
6032 6,521 7,482 7,480 8,290Employer Medicare
6033 (9,222)40,531 40,530 45,740Employer Pera
6035 67,505 97,820 97,820 145,940Medical Insurance
6036 3,158 3,724 3,730 5,240Dental Insurance
6037 310 200 200 200Term Life
6038 310 320 320 280Workers Compensation
6040 533 957 960 1,080Long Term Disability
6041 91 - - - Paid Family Medical Leave
723,614 723,620 852,060567,438Personal Services Total $$$$
Other Services & Charges
6103 375,785 364,411 364,410 352,840Professional Services -General $$$$
6205 139,770 188,348 188,350 252,540Maintenance & Repairs
6207 82,430 85,730 85,730 89,160Utility Services
6302 25,751 150,842 150,840 158,720Communications
6303 11,011 4,380 4,380 6,950Professional Development
6305 4,755 2,500 2,500 5,800Subscriptions & Memberships
6307 4,329 6,310 6,310 6,500Insurance & Bonds
6308 2,680 2,730 2,730 2,810Property Liability
6401 2,159 1,030 1,030 1,500Office Supplies
6402 219 210 210 220Copy Charges
6403 42 100 100 110Postage
6414 361,633 189,248 189,250 150,930Other Supplies
995,839 995,840 1,028,0801,010,564Other Services & Charges Total $$$$
Depreciation
6610 46,515 114,620 114,620 118,060Depreciation$$$$
114,620 114,620 118,06046,515DepreciationTotal$$$$
Capital Outlay
7400 16,796 89,908 89,910 147,330Machinery & Equipment $$$$
89,908 89,910 147,33016,796Capital Outlay Total $$$$
1,962,611 1,962,620 2,198,4901,690,116INFORMATION TECHNOLOGIES TOTAL $$$$
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INFORMATION TECHNOLOGIESFUND:
Administrative ServicesDEPARTMENT:
INFORMATION TECHNOLOGIES - 62000BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0017IT Manager 1.00
1.00 1.0014Asst IT Mgr/BusAnalyst 1.00
1.00 1.0012-11IT Specialist 1.00
1.00 1.0012-1Application Support Specialist -
1.00 1.0011-6Help Desk Technician 1.00
- - 11-1Help Desk Technician 1.00
.20 .2012-11Police IT Specialist (FT-w/Police).20
.30 .3012-8GIS Analyst (FT-w/PW).30
5.50 5.50Total5.50
- 70,000Computer Workstation Replacements $$- $
45,000 - Fiber Infrastruction Projects 45,000
10,650 77,326Network Infrastructure Replacement 10,650
34,260 - Laptop Purchases 34,260
89,910 147,326Total$$89,910$
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Administrative Services
Actual Actual Budget Revised Proposd20242025202620262027
Inputs:
Number of full-time employees 4.5 5.5 5.5 5.5 5.5
Division operating expenses $1,317,367 $1,716,987 $1,872,703 $1,872,710 2,051,160$
Division operating revenue $1,645,614 $1,867,653 1,902,141$ 1,902,141$ 1,969,464$
Outputs:Number of devices supported 670 670 670 690 700
(PCs, laptops, mobile devices, cameras,
credit card readers, servers, & printers)
Number of telephony devices supported 380 380 390 390 390
Number of sites supported 15 15 15 15 15
Number of users supported 365 365 365 365 365
Number of Email Accts 430 430 430 430 430
Number of Various Office 365 Full Licenses 170 170 180 180 180Number of P1 License (email only)143 143 130 130 130
Shared Office Licenses 70 70 70 70 30
Efficiency Measures:
Division operating expenses per user 3,609$ 4,704$ 5,131$ 5,131$ 5,620$
Division operating revenue per user 4,509$ 5,117$ 5,211$ 5,211$ 5,396$
Division operating expenses per capita 35.89$ 46.77$ 51.01$ 51.01$ 53.30$
Performance Measures
Information Technologies
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
FUND:INSURANCE/RISK MANAGEMENT
Administrative ServicesDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
(331,448)1,618,602 1,707,802 1,346,460$$$$(16.81%)64000 INSURANCE/RISK MANAGEMENT
1,618,602 1,707,802 1,346,460(331,448)Administrative Services TOTAL $$$$(16.81%)
1,214,077 1,212,720 1,216,690 1,196,570$$$$(1.33%)
REVENUES
64000 INSURANCE/RISK MANAGEMENT
SELF INSURANCE
YEAR AMOUNT
2025 $0
2026B $1,618,602
2026R $1,707,802
2027B $1,346,460
$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
$1,400,000
$1,600,000
$1,800,000
2025 2026B 2026R 2027B
E
X
P
E
N
S
E
S
YEAR
INSURANCE/RISK MANAGEMENT
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BUDGET SUMMARYINSURANCE/RISK MANAGEMENT FUND PROJECTION
2025 2026 2027 2028
AVAILABLE FOR APPROPRIATION Actual Revised Budget Projected
PRIOR YEAR RETAINED EARNINGS 3,011,513$ 4,557,038$ 4,065,926$ 3,916,036$
Revenues
Charges for Service:
Employers' and Employees' contribution 954,103 1,005,690 985,570 1,015,140
Operating Revenues 954,103 1,005,690 985,570 1,015,140
Miscellaneous Revenues
Interest 198,974 150,000 150,000 150,000
Total Miscellaneous Revenues 198,974 150,000 150,000 150,000
Total Revenues 1,153,077 1,155,690 1,135,570 1,165,140
Expenses
Personal Services 368,581 516,677 330,760 340,680
Other Services and Charges (761,029) 1,130,125 954,700 983,340
Total Expenses (392,448) 1,646,802 1,285,460 1,324,020
Net Income (Loss)1,545,525 (491,112) (149,890) (158,879)
Operating Transfers From (To)
Self Insurance - Workers Comp.61,000 61,000 61,000 61,000
Self Insurance - Property Liab.(61,000) (61,000) (61,000) (61,000)
- - - -
RETAINED EARNINGS 4,557,038$ 4,065,926$ 3,916,036$ 3,757,157$
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INSURANCE/RISK MANAGEMENT FUND
MISSION STATEMENT
To support all of the City’s costs for claims related to workers’ compensation,
unemployment insurance benefits and all other City self-insurance costs. To account for employee contributions and claims in the Flexible Spending Account (FSA) benefits plan and Dental insurance plan.
DIVISION FOCUS
This fund functions to service the City’s workers’ compensation program including safety programs, incentives and claims. It also provides funds for dental insurance coverage and serves as the account for the City’s Flexible Spending Account benefits plan. In addition, all claims paid below the City’s significant deductible limit for virtually all liability and property exposures are paid from this fund as well as awards of compensation, legal costs and administrative costs. Finally, the account also serves as a self insurance fund to cover risk exposures which are not insurable or which would require extraordinary premiums.
While the majority of the City’s workers’ compensation program is self insured, excess coverage for individual workers’ compensation claims which exceed $500,000 is purchased from the Workers’ Compensation Reinsurance Association (WCRA) as mandated by State Statute. All costs below that amount on each claim are paid from this fund.
Funding from the Self-Insurance Fund pay for disability benefits, medical costs, legal fees, administrative charges and safety and risk management/reduction programs. The fund also provides for the periodic maintenance and upgrade of the City’s fitness equipment.
The Administrative Services Director/Assistant City Manager and the Human Resources Manager and Human Resources Specialists regulate the Self-Insurance Fund and perform other associated duties. Accordingly, a portion of those individuals’ time is charged to this fund. The administration of the City’s risk management program is a very comprehensive and time-intensive function.
2026 HIGHLIGHTS
•The rates charged to City departments for property/casualty liability coverage reflecta 2.0% increase for 2027.
2027 SELF INSURANCE DIVISION GOALS
•Continue to monitor rates charged to user departments and divisions for workers’compensation and property casualty and adjust accordingly.
•Partner with City departments to learn more about high-risk workers compensationclaims and put together successful strategies to prevent them in the future.
•Promote employee health and safety.
•Administer a successful risk management program, identifying risk exposures anddealing with them appropriately.
•Continue to manage the City’s Wellness Program.
DIVISION EXPENDITURE COMMENT
The budgeted expenditures for the Self-Insurance Fund for the 2026 Revised/2027 Proposed Budget reflect the costs to administer the risk management program and
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anticipated costs for high-cost workers’ compensation claims due to presumptions in the law related to first responders.
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DETAIL REVENUES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
FUND: INSURANCE/RISK MANAGEMENT
DEPARTMENT: Administrative Services
BUSINESS UNIT: INSURANCE/RISK MANAGEMENT - 64000
Charges for Service
4328 611,549 597,550 597,550 624,830Self Insurance City Contributi $$$$
4330 58,205 62,000 62,000 64,480Self Insurance Employee Contri
4332 203,090 203,170 207,140 211,260Property Contribution
4334 65,235 64,000 64,000 65,000Flex Daycare
4336 15,922 20,000 20,000 20,000Flex Health
4340 102 55,000 55,000Insurance Premium Refunds
1,001,720 1,005,690 985,570954,103Charges for Service Total $$$$
Other Income
8011 198,974 150,000 150,000 150,000Investment Earnings $$$$
150,000 150,000 150,000198,974Other Income Total $$$$
Other Financing Sources
8051 61,000 61,000 61,000 61,000Operating Transfers In $$$$
61,000 61,000 61,00061,000Other Financing Sources Total $$$$
INSURANCE/RISK MANAGEMENT TOTAL 1,212,720 1,216,690 1,196,5701,214,077$$$$
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
FUND: INSURANCE/RISK MANAGEMENT
DEPARTMENT: Administrative Services
BUSINESS UNIT: INSURANCE/RISK MANAGEMENT - 64000
Personal Services
6005 76,857 20,000 80,000 80,000Full Time $$$$
6031 (421)- - - Employer Social Security
6032 (535)- - - Employer Medicare
6033 (7,516)- - - Employer Pera
6038 19,758 120,000 120,000 54,000Workers Compensation
6039 29,231 32,000 32,000 32,000MN Unemployment
6041 (1)- - - Paid Family Medical Leave
6051 223,428 255,927 255,927 135,000Interdepartmental Labor
6052 27,780 28,750 28,750 29,760Administrative Charges
456,677 516,677 330,760368,581Personal Services Total $$$$
Other Services & Charges
6103 107,640 50,000 24,200 24,200Professional Services -General $$$$
6202 8,680 8,700 8,700 - Data Processing Rental
6306 147,598 95,000 150,000 150,000Care of Persons
6307 9,145 84,725 84,725 - Insurance & Bonds
6313 57,692 64,000 64,000 65,000Day Care Reimbursement
6314 19,075 20,000 20,000 20,000Health Care Reimbursement
6315 (1,309,078)450,000 450,000 375,000Other Contractual Services
6316 77,977 80,000 80,000 100,000Dental Single
6317 24,919 28,000 28,000 30,000Dental Spouse
6318 37,534 45,000 45,000 40,000Dental Dependent
6402 18 - - - Copy Charges
6414 81 500 500 500Other Supplies
6513 57,690 175,000 175,000 150,000Other Charges
1,100,925 1,130,125 954,700(761,029)Other Services & Charges Total $$$$
Other Financing Uses
8511 61,000 61,000 61,000 61,000Operating Transfers Out $$$$
61,000 61,000 61,00061,000Other Financing Uses Total $$$$
1,618,602 1,707,802 1,346,460(331,448)INSURANCE/RISK MANAGEMENT TOTAL $$$$
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DEPARTMENT SUMMARY BY BUSINESS UNIT
BUSINESS UNIT BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
BUILDING SERVICES FUNDFUND:
Administrative ServicesDEPARTMENT:
Increase/
(Decrease)
2026 Budget/
2027 Budget
916,652 1,257,319 1,212,350 1,140,967BUILDING SERVICES FUND $$$$(9.25%)67000
1,257,319 1,212,350 1,140,967916,652Administrative Services TOTAL $$$$(9.25%)
REVENUES
1,102,159 1,126,610 1,324,610 1,371,075BUILDING SERVICES FUND $$$$21.70%67000
BUILDING SERVICES
YEAR AMOUNT
2025 $963,334
2026B $1,257,319
2026R $1,212,350
2027B $1,140,967
$0
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
$1,400,000
2025 2026B 2026R 2027B
E
X
P
E
N
S
E
S
YEAR
BUILDING SERVICES
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BUDGET SUMMARYBUILDING SERVICES FUND PROJECTION
2025 2026 2027 2028
AVAILABLE FOR APPROPRIATION Actual Revised Budget Projected
PRIOR YEAR RETAINED EARNINGS 1,013,247$ 1,198,754$ 1,431,014$ 1,661,122$
Revenues
Charges for Service:
Building Rental 1,057,298 1,124,610 1,167,575 1,202,604
Miscellaneous Revenues
Interest 44,861 100,000 100,000 100,000
Other Revenue - - - -
Total Misc. Revenues 44,861 100,000 100,000 100,000
Total Revenues 1,102,159 1,224,610 1,267,575 1,302,604
Expenses
Personal Services 378,039 445,000 495,747 513,100
Other Services and Charges 517,188 613,370 610,220 631,580
Depreciation 21,425 33,980 35,000 36,051
Operating Expenses 916,652 1,092,350 1,140,967 1,180,731
Net Income (Loss)185,507 132,260 126,608 121,873
Operating Transfers: From (To)
Equipment Levy - 100,000 103,500 107,123
Net Transfers - 100,000 103,500 107,123
RETAINED EARNINGS 1,198,754 1,431,014 1,661,122 1,890,118
CAPITAL OUTLAY -$ 120,000$ -$ -$
* Capital outlay expense is recorded as depreciation over the useful life of the fixed asset.
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BUILDING SERVICES DIVISION
MISSION STATEMENT
To provide mechanical and janitorial services to the Richfield Municipal Center complex and Fire Station 2 and to plan, administer and finance major maintenance for these
buildings.
DIVISION FOCUS
The Building Services Division is made up of the Building Superintendent, two Building Maintenance Mechanics and three Building Services Custodians.
The division is responsible for the maintenance and upkeep of the Richfield Municipal
Center, Fire Station 2, the Richfield Community Center, four municipal liquor stores and
Public Works Building.
The division charges City departments a rental charge based on their square footage use of the Richfield Municipal Center and Fire Station 2 for the costs of services, supplies and maintenance. The City’s Liquor operation is charged directly for time and materials
incurred.
In both 2026 and 2027 the focus of the division will be to provide high quality service to its customers and to maintain a clean and safe environment for City employees to work in.
Finally, the Division assists with maintenance tasks at the City’s Swimming Pool, Ice
Arena, park buildings, and Woodlake Nature Center. 2026 HIGHLIGHTS
• Completed the upgrade for all indoor and outdoor lighting at the Municipal Center to LED lighting • Replaced carpeting at Fire Station #1 and the Police Department. • Replaced HVAC unit at Shops at Lyndale.
2027 BUILDING SERVICES DIVISION GOALS
• Continue to refine the operating budget between increased user charges and
operating costs to ensure a balanced operation (City Council Priority/Outcome 1b).
• Work with the Finance Manager to establish a replacement plan for capital items at the Richfield Municipal Center to ensure its long-term viability (City Council Priority/Outcome 1b).
• Replace carpeting in the Police Department
DIVISION EXPENDITURE COMMENT The 2026 Revised Budget reflects a 3.58% decrease over the 2026 Adopted Budget.
The 2026 Proposed Budget reflects a 0.32% increase in operating expenses. In 2027,
Building Services will explore and analyze centralizing services to increase efficiencies resulting in cost savings throughout the City.
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BUILDING SERVICES FUNDFUND:
DETAIL REVENUES BY BUSINESS UNIT
CLASSIFICATIONS
Administrative ServicesDEPARTMENT:
BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
BUILDING SERVICES FUND - 67000BUSINESS UNIT:
Charges for Service
4346 1,057,298 1,098,770 1,098,770 1,141,735Building Rental $$$$
4348 - 25,840 25,840 25,840Labor Services
1,124,610 1,124,610 1,167,5751,057,298Charges for Service Total $$$$
Other Income
8011 44,861 2,000 100,000 100,000Investment Earnings $$$$
2,000 100,000 100,00044,861Other Income Total $$$$
Other Financing Sources
8051 100,000 103,500Operating Transfers In $$$$
100,000 103,500Other Financing Sources Total $$$$
BUILDING SERVICES FUND TOTAL 1,126,610 1,324,610 1,371,0751,102,159$$$$
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DETAIL EXPENDITURES BY BUSINESS UNIT
CLASSIFICATIONS BUDGET
2027
REVISED
2026
BUDGET
2026
ACTUAL
2025
BUILDING SERVICES FUNDFUND:
Administrative ServicesDEPARTMENT:
BUILDING SERVICES FUND - 67000BUSINESS UNIT:
Personal Services
6005 273,986 335,928 307,112 336,986Full Time $$$$
6006 44,131 33,668 29,670 34,550Part-time
6009 723 - - - Overtime
6031 18,677 22,177 18,658 20,456Employer Social Security
6032 4,368 5,187 4,364 4,784Employer Medicare
6033 (22,889)27,610 23,033 25,274Employer Pera
6035 46,782 52,383 48,152 58,867Medical Insurance
6036 1,865 2,234 2,002 2,234Dental Insurance
6037 184 120 118 120Term Life
6038 9,870 10,070 10,070 10,470Workers Compensation
6040 289 592 544 596Long Term Disability
6041 52 - 1,277 1,410Paid Family Medical Leave
489,969 445,000 495,747378,038Personal Services Total $$$$
Other Services & Charges
6103 - 200 200 200Professional Services -General $$$$
6202 23,110 24,520 24,520 21,590Data Processing Rental
6204 10,070 10,570 10,570 11,100Motor Pool Operating Rental
6205 23,694 45,250 45,250 47,030Maintenance & Repairs
6207 240,787 258,340 258,340 260,000Utility Services
6302 1,563 7,540 7,540 1,610Communications
6303 104 810 810 810Professional Development
6307 33,687 26,250 26,250 27,040Insurance & Bonds
6308 24,130 24,610 24,610 25,350Property Liability
6310 1,414 1,180 1,180 1,200Taxes & Licenses
6315 122,588 159,090 159,090 159,090Other Contractual Services
6401 67 320 320 320Office Supplies
6402 91 30 30 30Copy Charges
6409 1,555 2,300 2,300 2,300Uniforms & Clothing
6410 1,293 1,110 1,110 1,300Small Tools & Parts
6412 19,128 21,860 21,860 21,860Maint. & Const. Materials
6414 13,907 29,390 29,390 29,390Other Supplies
613,370 613,370 610,220517,188Other Services & Charges Total $$$$
Depreciation
6610 21,425 33,980 33,980 35,000Depreciation$$$$
33,980 33,980 35,00021,425DepreciationTotal$$$$
Capital Outlay
7230 - 120,000 120,000 - Building Improvements $$$$
120,000 120,000 - - Capital Outlay Total $$$$
1,257,319 1,212,350 1,140,967916,651BUILDING SERVICES FUND TOTAL $$$$
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BUILDING SERVICES FUNDFUND:
Administrative ServicesDEPARTMENT:
BUILDING SERVICES FUND - 67000BUSINESS UNIT:
DIVISION PERSONNEL
CLASSIFICATIONS
SALARY
GRADE
NUMBER OF EMPLOYEES
2026
REVISED
2027
BUDGET
2026
ADOPTED
CAPITAL OUTLAY
ITEMS
2026
REVISED
2027
BUDGET
2026
ADOPTED
Regular Full-Time Employees
1.00 1.0016Building Superintendent 1.00
2.00 2.00LT-2Building Maintenance Mechanic 2.00
3.00 3.00Total3.00
Part-Time Employees
.50 .506Custodian.50
.50 .50Total.50
120,000 - Public Safety Recarpeting $$120,000$
120,000 -Total $$120,000$
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Department/Division
Actual Actual Actual Budget Revised Budget202320242025202620262027
Inputs:
Number of full time employees 3 3 3 3 3 3
Division Operating Expenditures 1,058,344$ 1,037,393$ $1,077,470 $1,137,319 $1,091,074 $1,139,557
Division Operating Revenues 1,046,327$ 1,094,072$ $1,102,159 $1,126,610 $1,126,610 $1,169,575
Outputs:
Annual Contract Cleaning Cost
City Hall 94,520$ 98,985$ 92,400$ $95,172 $96,172 $99,750
Effectiveness Measures:
Cost per Square Foot to Clean City
Hall 1.35$ 1.41$ 1.32$ 1.36$ 1.37$ 1.43$
Efficiency Measures:
Estimated Cost per Square Foot
to Maintain City Hall 12.10$ 11.86$ 12.31$ 13.00$ 12.47$ 13.02$
Rent Revenue per Square Foot 10.06$ 10.52$ 10.60$ 10.83$ 10.83$ 11.25$
Expense per Capita 28.61$ 28.04$ 29.13$ 30.74$ 29.49$ 29.61$
Performance Measures
Administrative Services/Building Services
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DEBT SERVICE
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DEBT SERVICE FUNDS
MISSION STATEMENT
To account for the accumulation for resources used to service the City’s general obligation long-term debt.
DIVISION FOCUS
The activity in these funds is a function of the debt service schedule of the outstanding bond issues, as well as any covenants regarding fund and account structure that may be contained in the original selling agreement for the different bond issues.
The debt service budget is made up of two primary funds; General Obligation Improvement bonds and General Obligation Redevelopment bonds.
The General Obligation (G.O.) Improvement Bond fund provides for the collection of tax debt service levies and special assessments for the payment of principal and interest on the bonds issued for the purpose of public improvements. Beginning in 2007, in response to infrastructure improvements within the City, the City has predominantly issued bonds that require the levying of taxes to service the debt. Accordingly, the result is an annual debt service tax levy. For 2027, the total tax levy required will be $3,916,828. The bonds that will be serviced by this levy and future levies, were issued to fund several City projects, from the construction of the City municipal center to the reconstruction of roadways within the City. The outstanding principal for G.O. Improvement bonds at the end of 2026 is $35,305,000.
The City continues to evaluate outstanding bond issues to determine if cost savings can be achieved by refinancing bonds or calling the bonds early. General Obligation bond debt service will be paid in full in the year 2043. BOND RATINGS The bond rating process is a comprehensive analysis of the City’s financial practices and performances (past and current). Forecasts of future performance and projected long-term planning practices are also reviewed.
The City of Richfield has maintained an excellent bond rating for many years. The City currently has received a AA+ rating from Standard and Poor’s and an AA2 rating from Moody’s Investors Service prior to that.
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BUDGET SUMMARY
GENERAL OBLIGATION IMPROVEMENT BONDS
2025 2026 2026 2027ActualBudgetRevisedBudget
Fund Balance - January 1 6,613,967$ 9,695,325$ 9,250,848$ 10,221,305$
Source of Funds
Taxes (Property)4,012,312$ 3,946,030$ 3,946,030$ 3,916,828$
Taxes (Local Sales Tax)2,674,438$ 3,672,000$ 3,672,000 3,745,440
Special Assessment Collections 37,171 40,000 40,000 40,000
Interest 143,274 10,000 10,000 10,000
Bond Proceeds - - -
Transfer in:
Special Revenue Fund 746,793 747,700 747,700 743,174
- - - -
Total Sources 7,613,988$ 8,415,730$ 8,415,730$ 8,455,442$
Use of Funds
Bond Principal (Property)3,450,000$ 3,155,000$ 3,540,000$ 3,645,000$
Bond Interest (Property)1,188,044 1,043,974 1,090,054 992,729
Bond Principal (Local Sales Tax)2,225,000 2,225,000 3,030,000
Bond Interest (Local Sales Tax)293,056 556,236 580,219 538,175
Fiscal Agent Charges 5,463 5,000 5,000 5,000
Other Services & Charges 40,544 5,000 5,000 5,000
Transfers to:
General Fund - - - -
Capital Project Fund - - - -
Total Uses 4,977,107$ 6,990,210$ 7,445,273$ 8,215,904$
Fund Balance - December 31 9,250,848$ 11,120,845$ 10,221,305$ 10,460,843$
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TAX LEVY UNPAID
REQUIREMENT YEAR PRINCIPAL INTEREST TOTAL PRINCIPAL
2026 35,305,000$
4,121,139 2027 3,645,000 992,729 4,637,729 31,660,000
3,605,541 2028 3,750,000 891,961 4,641,961 27,910,000
2,473,449 2029 3,325,000 793,693 4,118,693 24,585,000
2,490,093 2030 2,340,000 713,414 3,053,414 22,245,000
2,487,906 2031 2,425,000 645,843 3,070,843 19,820,000
2,475,481 2032 2,485,000 576,133 3,061,133 17,335,000
2,352,926 2033 2,545,000 503,545 3,048,545 14,790,000
2,201,808 2034 2,505,000 428,895 2,933,895 12,285,000
1,904,309 2035 2,435,000 354,120 2,789,120 9,850,000
1,917,253 2036 2,160,000 284,114 2,444,114 7,690,000
1,912,620 2037 1,970,000 221,739 2,191,739 5,720,000
1,283,830 2038 2,025,000 160,116 2,185,116 3,695,000
1,006,228 2039 1,490,000 103,206 1,593,206 2,205,000
629,751 2040 880,000 64,038 944,038 1,325,000
431,550 2041 550,000 40,381 590,381 775,000
431,340 2042 380,000 23,400 403,400 395,000
2043 395,000 7,900 402,900 - 31,725,224 35,305,000$ 6,805,227$ 41,707,327$
Debt as a Percentage of Taxable Market Value 0.73%
Debt Per Capita 917.44$
General Obligation Improvement Bonds
Scheduled Debt Service Requirements - Annual Payments
December 31, 2026
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CAPITAL IMPROVEMENT
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CAPITAL IMPROVEMENT BUDGET AND PLAN
MISSION STATEMENT
The Richfield Capital Improvement Budget and Plan is a comprehensive list of major improvements necessary to meet the needs of the community over a five-year period. This list is prepared through compiling the project needs requested by the various city departments. The Capital Plan sets forth the proposed scheduling and details of specific projects by year, estimated cost, and a justification or description to those responsible for making policy decisions regarding expenditures for new facilities. In addition, the Plan provides information so that individual project requests can be better evaluated against community needs and the community’s ability to pay for and maintain these facilities in the succeeding years.
CAPITAL IMPROVEMENT PLAN GOALS
The specific goals of the Capital Improvement Plan are:
• To develop a realistic list of capital improvement needs which relates proposed projects to the City’s capacity to finance such projects.
• To minimize the impact of projects on the residents’ ability to pay.
• To schedule various projects and improvements in a way which allows adequate time to detailed design and engineering of the projects, preparing environmental statements or grant applications or exploring alternative methods of financing.
• To provide coordination between City departments, various units of special and general local government, and public utilities.
• To implement the community’s Comprehensive Plan in an orderly fashion.
• To keep the public involved and informed about needed public improvements and to better enable the public to schedule private improvements.
OVERVIEW
Richfield’s Capital Improvement Plan is a process for identifying annual project needs and priorities for project coordination as well as for financial planning. In addition, the Capital Improvement process provides for public discussion of short range City improvements.
The Capital Improvement Budget (CIB)/Capital Improvement Plan (CIP) projects are identified through discussions of the various City commissions and the City departments. From these discussions City staff compiles estimated costs, scope and potential funding sources for the projects.
A preliminary report is then generated by the Finance Director based on these discussions and presented to a meeting of the Planning Commission.
The Planning Commission then reviews the projects and scheduling based on the following consideration:
• The proposed project’s conformance to the Comprehensive Plan.
The CIB/CIP, as recommended by the Planning Commission, is then returned to the Finance Director, and submitted to the City Council as part of the annual budget process. The Council may delete projects from the Plan or may change the scheduling and priority of the allocation of funds. In accordance with state statutes, the City Council should refer any new project they may add to the Capital Improvement Plan to the Planning Commission for review.
Accordingly, the 2026 Revised/2027 Proposed Capital Improvement Budget (CIB) reflects funding for several improvement projects throughout the City. Included are costs for the Nicollet Avenue Reconstruction, multi-year Pavement Management, multi-year ADA
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Improvements, multi-year Bicycle Improvements and multi-year Pedestrian Improvement projects. The capital spending plan also includes funds for park and recreation and water and wastewater projects.
The funding for the right of way projects is expected to come from sources such as Federal and State grants, Municipal State Aid (MSA), street reconstruction bonds, and utility franchise fees. Funding for other projects included in the CIB will come from intergovernmental revenues, special revenues, and user fees. The City’s main operating budgets should not be materially affected by the planned projects as all funding is outside those budgets. The only possible effect would be on the maintenance of the newly constructed projects. In some cases the maintenance costs may increase, but in others, it is expected to decrease.
The Capital Improvement Plan, which represents the next four-year period, also contains a number of significant proposed projects including, several park projects, major street improvement and reconstruction projects throughout the city, replacement of rolling stock and technology equipment, and several projects to improve public facilities throughout the City.
2027 Capital Improvement Budget Projects Recreation Open Space
Community Center Building Repair - $20,000 Various repair and major maintenance projects to the Community Center building and
surrounding infrastructure that will be identified and prioritized each year by Recreation
Services staff. Items may include HVAC repairs, roof repairs, window and flooring repairs, and other repairs and replacement of existing capital items. This annual budget will be discontinued after 2027 in preparation for a new community center building, funded by local sales tax.
Community Center - $150,000 The Community Center needs a complete rebuild the current building is more than 50 years old and is falling into disrepair. The new building will be sustainably designed and will be able to meet the current demands and needs from across the community, including gym
space, a walking track and community spaces. The total project costs are $55 million and
the funding sources are the following: $45 million would come from a local sales tax and $10 million would come from bonds. The initial 2027 estimated costs of $150,000 is related to the building design.
Ice Arena Improvements - $30,000
Ice Arena improvements are funded by the annual General Fund transfer. Improvements to the arena include HVAC, lobby area, doors, the addition of an elevator, new flooring, and improvements to locker rooms 5 and 6. A new roof is planned for 2029 and the funding for this will be G.O. property tax bonds.
Multi-Year Parks Major Maintenance - $55,000 Various projects relating to the upkeep of existing park infrastructure are identified and prioritized each year by Recreation Services and Public Works Maintenance staff. Projects include tennis/basketball court replacement, trail resurfacing, roof replacement, parking lot
reconstruction, field renovation and other repair or partial replacement of existing park
capital items. Specific improvement projects and their priorities will be identified through the Parks Master Plan process.
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Outdoor Pool Improvements - $100,000 Improvements to the Outdoor Pool are funded by the annual General Fund transfer. 2026 projects include replacing umbrella canopies along with refurbishing pumps and boilers. 2027 projects include replacing pool filter sand, and adding shade structures.
Parks Master Plan - $90,000 Every eight to ten years, the Recreation Services Department updates the Parks Master Plan, a document within the City’s overall Comprehensive Plan which outlines the overall philosophy around park management and development, as well as specific park development plans, and serves as a guiding document for future capital improvement
planning and other operations. The plan was last updated in 2018. Staff will hire a consultant to help coordinate the update, which will involve an extensive public engagement process.
Veterans Park Complex - $2,420,768 Improvements to the park infrastructure, including the Band Shell, the picnic shelter, the mini-golf facility, trails, green space, marsh, etc.). The improvements being made in 2025-2028 are funded by local sales tax ($1.9m), special revenue ($500k), and a possible MN DNR grant ($500k). Projected improvements outlined in the facility assessment are planned
for years beyond 2031 would be funded by general obligation bonds serviced by property tax.
Adams Hill Park Play Equipment Replacement - $150,000 Replace the play equipment structure at Adams Hill Park in accordance with the Play
Equipment Replacement Schedule.
Parks Building Improvements - $220,000 Pending the acceptance of a grant from Hennepin County, the lighting controls and
breakers will be upgraded in 2027 at Christian, Donaldson, Augsburg, and Taft Parks. Then,
looking beyond 2031, general obligation bonds serviced by property taxes would fund the Renovation of the Christian Park building ($1,500,000) and Donaldson Park Building ($1,500,00).
Right of Way Improvements
77th Street Pavement Maintenance - $1,100,000 The concrete pavement panels and pavement joints on 77th Street are beginning to fail in
certain areas and will need major maintenance in the near future to avoid full reconstruction.
This work will address the worst areas of pavement failure, primarily east of Portland Ave.
78th Street Lighting - $200,000 MnDOT will be adding pedestrian level lighting (paid for by the city) to several trail segments
constructed in Phase 1 of the I-494 project. Due to issues with the way the design-build
contract was written, there are several gaps in the trail network that will not have lighting constructed, and the City will need to backfill with pedestrian and street lighting. These areas are 78th Street west of Penn, 78th Street from Pleasant Ave to Nicollet Ave, and 78th Street from Nicollet Ave to Portland Ave.
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Multi-Year ADA Improvements - $200,000 Staff completed a City-wide inventory of pedestrian ramps and sidewalks in 2023. This inventory will be used to identify missing or non-compliant ADA infrastructure within the right-of-way and program ADA infrastructure improvements throughout the City. This may include sidewalks, trails, curbs, corner pedestrian ramps, crosswalks, and other infrastructure.
Multi-Year Bicycle Improvements - $40,000 As part of the implementation of the Bicycle Master Plan and Safe Routes to School Plan, improvements to bike facilities are made on a regular basis. $40,000 of funds are identified each year, however actual spending varies from year to year. Any funds not spent remain
available for future use.
Multi-Year Pedestrian Improvements - $40,000 Spot pedestrian improvements, such as refuge islands, RRFBs, and pavement markings will be constructed where beneficial, as identified in the Pedestrian Master Plan and Safe Routes
to School Plan to achieve the greatest improvement in public safety. $40,000 of funds are
identified each year, however actual spending varies from year to year. Any funds not spent remain available for future use. Multi-Year Nicollet Avenue Reconstruction - $5,740,000
Nicollet Ave Reconstruction from 66th St to 77th St led by Hennepin County. Underground utilities will be replaced or lined as necessary. The County’s consultant led a robust public engagement process following Richfield’s public engagement process to guide the roadway design in 2023 and 2024. Staff are pursuing state bond funding to offset the local costs currently identified for bonding. This is identified as a 2-year construction project (2026-27).
Early project expenses are paid from existing City resources and will be reimbursed following the sale of G.O. bonds closer to project construction. Multi-Year Pavement Management Program - $755,000 In order to protect the investments made in the City’s roadway infrastructure, an ongoing
pavement management program is needed. The program will address areas of greatest
need throughout the City each year and may include mill and overlay, concrete replacement, pavement rejuvenation treatments, crack sealing, and other various roadway improvements.
Multi-Year Traffic Signal Replacement - $900,000 The existing City-owned traffic signals along the 76th St/77th St corridor will be reaching the ends of their expected life cycles between 2025 and 2035. The signals will need to be replaced with new signal systems or alternative traffic control measures. The estimated total cost of signal replacements is $2.67M, with the first signal components being replaced no
earlier than 2027 due to the ongoing 494 project. 69th Street Reconstruction - $413,000 The project includes reconstruction of 69th Street between Penn Avenue and Xerxes Avenue, including narrowing of the roadway to add sidewalk to one side, reconstruction of
retaining walls, lining or replacement of sanitary sewer, and replacement of storm sewer.
The final roadway section will be determined following the City’s public engagement process.
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Penn Avenue Reconstruction – $300,000 This project consists of the reconstruction of Penn Avenue from Hwy 62 to 75th Street led by Hennepin County. The project includes the replacement of City utilities, ADA upgrades, and pedestrian and bicyclist upgrades. The City and County will lead a robust public engagement process to guide the roadway design. The current estimate is based on the
County’s cost share policy and assumes full utility replacement/rehabilitation.
76th and Knox Improvements - $350,000 This project consists of the conversion of the existing signalized intersection at W 76th St (MSAS 361) and Knox Ave S in the City of Richfield to a roundabout, including
improvements to active transportation facilities that use the intersection. Ultimate design of
the intersection will be determined through the City’s public engagement process. Permanent right-of-way acquisition and temporary construction easements will be required. Project was selected for Regional Solicitation in the 2024 cycle, with a FY 2029 construction date. The Regional Solicitation grant covers 80% of the estimated construction costs and
City is responsible for funding the remaining construction costs and all design and right-of-
way costs.
Public Facilities
SCADA Cybersecurity Upgrade - $50,000
The Supervisory Control and Data Acquisition (SCADA) system cybersecurity upgrade will modernize all hardware within the SCADA network that controls the water treatment plant and other utility systems in Richfield. Much of the existing equipment is outdated (some components are nearly 20 years old), which increases the risk of failure and makes the
system more vulnerable to cybersecurity threats. Upgrading to new hardware will
significantly improve system reliability and performance, enabling faster response times to operational changes. In addition, the new equipment will incorporate enhanced security features designed to better protect critical infrastructure from unauthorized access and cyberattacks.
Water Plant Elevator Replacement - $50,000 The elevator at the water treatment plant has reached the end of its useful life cycle. Public Works staff have been advised by the elevator service company that parts are no longer available for this elevator and control system, and it has become difficult to service or repair
when the need arises. The elevator is used daily to transport equipment, chemicals, visitors, and staff from lower to upper levels of the plant. It also satisfies ADA requirements for the building. This project includes a full replacement of the elevator and controls with modern technology.
Water Plant Generator - $2,400,000 The generator at the water treatment plant has reached the point where maintenance and problem solving are too frequent. In addition, the integrated fuel tank and housing are badly corroded. Repairing the current unit is not advantageous due to the age, the cost to implement the needed repairs, and the minimal return on such an investment. There has
also been a shift in the industry and technology for more efficient ways of providing a generator backup system for a building of this type and power demand. This project will fund the design, supply of the generator, placement and commissioning, and oversight of these activities. A study was commissioned in 2024 to ascertain the design needs and future costs.
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Sanitary Lift Station 6 Rehabilitation - $300,000 Rehabilitation of lift station 6, to include updated safety equipment, updated electrical and control equipment, and updated mechanical equipment to include pumps and valves. Project also will improve concrete slab around wet well to solve drainage issues.
Multi-Year Rehabilitation of Storm Sewer Collection System - $200,000 The storm sewer collection system was installed in the mid 1950’s and is comprised of mostly reinforced concrete pipes. A cleaning and inspection program is conducted annually to determine the condition of the sewer mains and structures. Sewer mains and structures that are identified as being in poor condition will be replaced or rehabilitated with the means
and methods that are in line with industry standards. The rehabilitation will extend the life of the mains by up to 75 years. Multi-Year Sanitary Sewer Main Lining - $900,000 The wastewater collection system was installed in the late 1950’s and mainly consists of
Vitrified Clay Pipe (VCP). As these VCP pipes age, tree root intrusion and cracking become
more common. In order to preserve an appropriate level of service to our users and protect the mill and overlay investment, portions of the wastewater collection system undergo cured-in-place pipe (CIPP) lining. Lining consists of placement of a liner in the existing clay pipe, which is adhered to the pipe wall and cured through the use of steam, hot water, or
ultraviolet light. Once it cools, the liner hardens to a consistency of schedule 40 PVC,
effectively restoring structural integrity. This rehabilitation technique is widely used in the industry and is done at a fraction of the cost of open cutting a street to replace the line. It is anticipated that this program will be ongoing until the entire wastewater collection system is rehabilitated, based upon funding availability.
Restroom Renovations – WTP Second Floor - $200,000 The restrooms at the water plant date back to the 1960s and remain largely unchanged. The second-level restrooms, in particular, are in urgent need of renovation to address outdated conditions and to meet current ADA accessibility standards. This project will
renovate existing water plant restrooms for ADA compliance and modernization. Water Plant Chlorine Storage Area Improvements - $100,000 The floor of the chlorine storage area in the water treatment plant has experienced severe spalling and exposure of rebar due to a previous chlorine leak. Impairment has very likely
spread further beyond the spalling that is observable. In order to implement the proper repairs and restore the structural integrity of the floor, the chlorine storage tanks and day tank system will need to be relocated and the full extent of the chlorine room floor inspected and repaired. This project will include the relocation effort along with the requisite concrete and reinforcing bar repair to the floor.
Water Plan Personnel Safety Systems Improvements - $125,000 The results of the Water Treatment Plant Condition Assessment conducted in 2022 revealed certain health and safety issues. One of the issues identified was a deficiency with the design and setup of the eye wash and shower stations. Although the water plant has
the proper stations for our building type, it was discovered that the set up itself is not OSHA compliant. Public works staff retained a consultant to formulate a design that mitigates these issues of non-compliance. This project will include the construction of a recirculation system that satisfies both State and OSHA standards.
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Water System Interconnect - $4,900,000 The water treatment plant was built in 1963 and to date has been a standalone system. If it were to have a catastrophic failure and unable to produce water, the city is not equipped with a long-term emergency backup water source. Connecting to another city’s water system would create the needed level of service redundancy. As part of the DNR’s water
supply plan, they encourage all cities to have an emergency backup water source.
Well #3 Water Service - $50,000 A ¾ inch water service extends out to the Well #3 building at the water plant. The water service was constructed in a manner that exposes a length of copper to the outside
elements as it traverses from within the plant to the well house. This length of pipe has
burst on several occasions due to the cold weather rendering the well useless. This project will include the design, construction, and oversight of construction of a water service extension that is frost protected.
Wilson Pond Flood Mitigation - $100,000
The Wilson Pond subwatershed is located in the southeast quadrant of the City. This subwatershed is subject to flooding during heavy rain events. The low-lying nature of the subwatershed makes it challenging to manage stormwater within the regional pond (Wilson Pond) system. Public Works staff have updated the stormwater model to reflect current
flood risk conditions based on available data. The results of the model will be used to
explore engineering alternatives to reduce the flood risk to the immediate neighborhoods. A design will be selected from the alternatives analysis that yields the most benefit.
Buildings, Fleet and Technology
Richfield Liquor Cedar Point - $260,560 Excavate & replace perimeter waterproofing below garage to eliminate water intrusion (199,699.50), Replace damaged concreate sidewalks and calling (56,785.30), add blower fans to prevent moisture accumulation on cooler doors (4,075.50).
Multi-Year Fleet Purchases - $1,785,000 The Public Works Garage Division purchases all vehicles used by City Departments to provide City Services. This project is ongoing in which the Division makes vehicle purchases every year.
Public Works Facility Building Improvements - $460,000 A number of building maintenance items that need to be addressed were found in a recent Facility Study. The building items vary from HVAC component replacement to repairing water intrusion into the building. This is an ongoing project and maintenance items have been
prioritized by City Staff.
Public Works Facility Office Area Upgrades - $290,000 The Public Works Department is running out of office space and room for additional staff. Currently there is not an identified work area for a GIS Analyst that has not been hired and
an identified hire date of June 1, 2026. This project includes adding 2 offices and some
HVAC components. This project will fulfil an immediate space need but does not eliminate the need for other area upgrades that are needed in the future including new carpet, new office cube equipment, and HVAC repairs.
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Computer Workstation Replacement - $70,000 Annual replacement of City desktop and laptop computer workstations based on the established four-year lifecycle replacement schedule to maintain reliable, secure, and supported technology for City operations. This project also includes funding for additional computer workstations needed to support departmental growth, operational needs, and
changing staffing requirements across the organization. Fire Station 1 Vehicle Exhaust Removal System - $85,000 Fire Station 1 was built with a commercial exhaust detection system that uses the apparatus bays normal HVAC system to evacuate. The industry standard for fire station apparatus bays
is to have a dedicated ventilation system that activates when trucks are started to capture all
exhaust fumes and diesel particulate. Fire Station 2 was upgraded with a dedicated exhaust system in 2026 with funding from a federal FEMA Assistance to Firefighter Grant (AFG). An AFG will be applied for in 2027 to fund the placement of the same dedicated exhaust system in Fire Station 1. This type of grant requires a 10% match that the city is expected to fund and
will be accounted for in the 2027 proposed budget.
Fire Station 2 Repairs - $306,406 Fire Station 2 was originally built in 1964 and remodeled in 2013. The city just completed a facilities study that looked at multiple city buildings, one being Fire Station 2. This study
identified many structural, safety, cosmetic and programmatic changes required to protect the structural asset as well as the employees working and living within it. The study assigned priorities and costs to each identified need, and this list was reviewed and refined by Interim Fire Chief Coppa. The estimated repair and replacement costs needed to satisfy the items identified in the facilities study total $2.454M (2027 costs) over six years. While this addresses
the currently identified needs, it fails to address the lack of essential modern safety features and needed programmatic spaces that will need to be addressed in the near future. The current station would need to be replaced with a building costing approximately $7,150,000 in 2027 dollars with a projected cost increase of 5-6% per year after. A policy discussion needs to determine where the financial priorities lie and whether it makes more sense to pay
for repairs and maintenance to the existing building or consider a new building. Richfield Liquor Downtown - $399,535 Excavate & replace perimeter waterproofing below grade to eliminate water infiltration (321,964.50), Replace damaged sidewalk (31,788.90), replace damaged caulk joint around
entire building perimeter (6,384.95), replace water heater, near end of life (5,434.00), replace corroded stainless-steel flue for boilers (33,962.50). Network Infrastructure Replacement - $77,326 This project provides for the phased replacement of network switches that have reached or
are approaching Cisco end of support status over a three-year cycle. Much of the City’s
network infrastructure replacement schedule had previously been deferred, resulting in aging equipment with increased risk of failure and cybersecurity concerns. Cisco end of support means the manufacturer no longer provides security updates, software patches, or technical support for the equipment. Switches will be replaced in priority order based on their end of
support dates to maintain reliable and secure network infrastructure for City operations and
services.
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RECREATION & OPEN SPACE
-$ B 3,273$ B
- BST 14,727 BST20,000 SR 20,000 SR- O 207,941 O275,000 SR 275,000 SR- O 18,000 O
180,000 SR 90,000 SR
5,000,000 BST 5,339,645 BST
- SR 90,000 SR
- S 250,000 S1,000,000 BST 2,175,481 BST
Community Center Building Community Center Building Community Center Building Repair Ice Arena ImprovementsMulti-Year Parks Major Maintenance Outdoor Pool Improvements Parks Master PlanVeterans Park Improvements Veterans Park Improvements Veterans Park Improvements Wood Lake Nature Center Building Wood Lake Nature Center Building - S 12,000,000 SWood Lake Trail Updates 50,000 O - OWood Lake Trail Updates 200,000 S - STOTAL REC. & OPEN SPACE 6,725,000$ 20,484,067$
RIGHT OF WAY IMPROVEMENT
64th Street Sidewalk 165,000$ M 376,000$ M
64th Street Sidewalk - S 854,000 S69th Street Reconstruction - BU 277,000 BU73rd Street Sidewalk Gap (Diagonal)200,000 M 435,000 M73rd Street Sidewalk Gap (Diagonal)- S 901,200 S76th & Knox Improvements - F 50,000 F77th Street Pavement Maintenance - M 100,000 M
Multi-Year ADA Improvements 200,000 FF 200,000 FF
Multi-Year Bicycle Improvements 40,000 FF 40,000 FF
Multi-Year Pavement Management Plan 737,000 FF 345,000 FF
Multi-Year Pedestrian Improvements 40,000 FF 40,000 FFMulti-Year Street Name Sign Replacement 50,000 FF - FFMulti-Year Traffic Signal Replacements - M 120,000 MNicollet Ave Reconstruction (project to be built in 2026-27)4,000,000 B 1,325,000 BNicollet Ave Reconstruction (project to be built in 2026-27)3,500,000 BU 795,000 BUPenn Avenue Reconstruction 300,000 M 300,000 MSheridan Hills SRTS Sidewalk 150,000 M 147,000 MSheridan Hills SRTS Sidewalk 544,500 S 401,000 STOTAL RIGHT-OF-WAY IMPROVEMENT 9,926,500$ 6,706,200$
UTILITIES
Multi-Year Rehabilitation of Stormwater Collection System Mains 200,000$ U 200,000$ U
Multi-Year Sanitary Sewer Main Lining 900,000 U 900,000 U
SCADA Cybersecurity Upgrade - U 50,000 UWater Plant Chlorine Storage Area Improvements 100,000 U 125,000 UWater Plant Elevator Replacement 175,000 U 150,000 UWater Plant Generator - BU 100,000 BUWater Plant Program Space Renovation 100,000 U - U
Water Plant Sludge Pump Replacement 50,000 U 50,000 U
Water System Interconnect - U 100,000 BU
TOTAL UTILITIES 1,525,000$ 1,675,000$
BUILDINGS, FLEET AND TECHNOLOGY
Carpet Replacement - Fire -$ BSR 50,000$ BSR
Carpet Replacement - Police 120,000 BSR 70,000 BSR
Fiber Infrastructure Projects - Information Technologies 45,000 O 45,000 O
Fire SCBA Purchase 450,000 O - O
Laptop Purchases - Information Technologies 34,260 ISR 34,260 ISR
Liquor Operations (Cedar Point) - Wold Assessment - O 7,500 O
Multi-Year Fleet Purchases 1,664,726 FSR 1,664,726 FSR
Network Infrastructure Replacement - Information Technologies 10,650 ISR 10,650 ISR
Public Works Facility Building Improvements - FSR 37,700 FSR
Public Works Facility Office Area Upgrades O 50,000 O
Public Works Storage Facility 325,000 FF 325,000 FF
Public Works Storage Facility 650,000 O 650,000 O
Public Works Storage Facility 500,000 U 500,000 UTOTAL BUILDINGS, FLEET & TECHNOLOGY 3,799,636$ 3,444,836$
TOTAL USES OF FUNDS 21,976,136$ 32,310,103$
ESTIMATED REVENUE BY SOURCE
(B) G.O. Bonds- Property Tax 4,000,000$ 1,328,273$ (BSR) Buildings Special Revenue 120,000 120,000 (BST) Bonds- Sales Tax 6,000,000 7,529,853 (BU) G.O. Bonds-Utility 3,500,000 1,272,000 (C) Hennepin County - - (F) Federal Grant - 50,000 (FF) Franchise Fees 1,392,000 950,000 (FSR) Fleet Special Revenue 1,664,726 1,702,426
(ISR) Internal Special Revenue 44,910 44,910
(LTCR) Long Term Capital Reserve - -
(M) Municipal State Aid 815,000 1,478,000
(O) Other Funding 1,195,000 978,441 (OR) Other Recreation Funding - - (S) State 744,500 14,406,200 (SR) Special Revenue 475,000 475,000 (TL) Tax Levy - - (U) User Fees 2,025,000 1,975,000 (X) Xcel Energy - -
TOTAL FUNDING BY SOURCE 21,976,136$ 32,310,103$
2026 Capital Improvement Budget
2026 Budget 2026 Revised
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RECREATION & OPEN SPACE
150,000$ SR27,273 B
122,727 BST
20,000 SR30,000 O55,000 SR
100,000 O
220,000 C90,000 SR2,010,768 BST160,000 SR
Adams Hill Park Play Equipment Replacement Community Center Building
Community Center Building Community Center Building Repair
Ice Arena ImprovementsMulti-Year Parks Major Maintenance Outdoor Pool Improvements
Parks Building ImprovementsParks Master Plan
Veterans Park ImprovementsVeterans Park Improvements
Veterans Park Improvements 250,000 STOTAL REC. & OPEN SPACE 3,235,768$
RIGHT OF WAY IMPROVEMENT
69th Street Reconstruction 413,000$ BU
76th & Knox Improvements 350,000 F77th Street Pavement Maintenance 1,100,000 M78th Street Lighting 200,000 FF
Multi-Year ADA Improvements 200,000 FF
Multi-Year Bicycle Improvements 40,000 FFMulti-Year Pavement Management Plan 755,000 FF
Multi-Year Pedestrian Improvements 40,000 FFMulti-Year Traffic Signal Replacements 900,000 MNicollet Ave Reconstruction (project to be built in 2026-27)3,535,000 B
Nicollet Ave Reconstruction (project to be built in 2026-27)205,000 BUNicollet Ave Reconstruction (project to be built in 2026-27)2,000,000 SPenn Avenue Reconstruction 300,000 MTOTAL RIGHT-OF-WAY IMPROVEMENT 10,038,000$
UTILITIES
Lift Station 6 Rehabilitation 300,000$ U
Multi-Year Rehabilitation of Stormwater Collection System Mains 200,000 UMulti-Year Sanitary Sewer Main Lining 900,000 U
Restroom Renovations-WTP Second Floor 200,000 USCADA Cybersecurity Upgrade 50,000 U
Water Plant Chlorine Storage Area Improvements 100,000 UWater Plant Elevator Replacement 50,000 U
Water Plant Generator 2,400,000 BUWater Plant Personnel Safety Systems Improvements 125,000 U
Water System Interconnect 3,809,000 BUWater System Interconnect 1,091,000 F
Well #3 Water Service 50,000 UWilson Pond Flood Mitigation 100,000 UTOTAL UTILITIES 9,375,000$
BUILDINGS, FLEET AND TECHNOLOGY
Computer Workstation Replacement 70,000$ ISRFire Station 1 Vehicle Exhaust Removal System 76,500 F
Fire Station 1 Vehicle Exhaust Removal System 8,500 OFire Station 2 Repairs 306,406 BLiquor Operations (Cedar Point) - Wold Assessment 260,560 OLiquor Operations (Downtown) - Wold Assessment 399,535 OMulti-Year Fleet Purchases 1,785,000 FSRNetwork Infrastructure Replacement - Information Technologies 77,326 ISR
Public Works Facility Building Improvements 460,000 B
Public Works Facility Office Area Upgrades 290,000 BSRTOTAL BUILDINGS, FLEET & TECHNOLOGY 3,733,827$
TOTAL USES OF FUNDS 26,382,595$
ESTIMATED REVENUE BY SOURCE
(B) G.O. Bonds- Property Tax 4,328,679$ (BSR) Buildings Special Revenue 290,000
(BST) Bonds- Sales Tax 2,133,495 (BU) G.O. Bonds-Utility 6,827,000
(C) Hennepin County 220,000 (F) Federal Grant 1,517,500
(FF) Franchise Fees 1,235,000 (FSR) Fleet Special Revenue 1,785,000
(ISR) Internal Special Revenue 147,326 (M) Municipal State Aid 2,300,000
(O) Other Funding 798,595 (OR) Other Recreation Funding -
(S) State 2,250,000 (SR) Special Revenue 475,000
(TL) Tax Levy - (U) User Fees 2,075,000
(X) Xcel Energy -
TOTAL FUNDING BY SOURCE 26,382,595$
2027 Capital Improvement Budget
PROJECT EXPENDITURE
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Spent to Date CIB Adopted CIB Revised CIB CIP CIP CIP CIP TOTAL*CIP Total**
Through 2025 2026 2026 2027 2028 2029 2030 2031 CIP Cost Beyond 2031 Project Costs
RECREATION
OPEN SPACE DEVELOPMENT
26-Community Center Building Repair 20,000 SR 20,000 SR 20,000 SR - 40,000
26-Community Center Building - Replacement 3,273 B 27,273 B 754,545 B 1,090,909 B 8,124,000 B 9,969,455 10,000,000
26-Community Center Building - Replacement 14,727 BST 122,727 BST 3,395,455 BST 4,909,091 BST 36,558,000 BST 44,862,545 45,000,000
26-Ice Arena Improvements 1,200,000 B 1,200,000 1,200,000
26-Ice Arena Improvements 207,941 O 30,000 O 30,000 O 272,000 O 30,000 O 30,000 O 362,000 1,000,000 O 1,599,941
26-Multi-Year Parks Major Maintenance 275,000 SR 275,000 SR 55,000 SR 105,000 SR 355,000 SR 355,000 SR 355,000 SR 1,170,000 355,000 SR 1,855,000 26-Outdoor Pool Improvements 18,000 O 100,000 O 21,270 O 21,270 158,420 O 297,690
26-Parks Master Plan 180,000 SR 90,000 SR 90,000 SR - 180,000
26-Veterans Park Improvements 1,649,587 BST 5,000,000 BST 5,339,645 BST 2,010,768 BST - 9,000,000
26-Veterans Park Improvements 90,000 SR 160,000 SR 250,000 SR 250,000 500,000
26-Veterans Park Improvements 250,000 S 250,000 S - 500,000
26-Wood Lake Nature Center Building 8,824,519 BST 1,000,000 BST 2,175,481 BST - 11,000,000
26-Wood Lake Nature Center Building 225,000 SR - 225,000
26-Wood Lake Nature Center Building - S 12,000,000 S - 12,000,000
26-Wood Lake Nature Center Building 3,000,000 F - 3,000,000
26-Wood Lake Trail Updates 50,000 O - -
26-Wood Lake Trail Updates 200,000 S - -
27-Adams Hill Park Play Equipment Replacement 150,000 SR - 150,000
27-Parks Building Improvements 220,000 C - 220,000
28-Playground Replacement 120,000 SR 120,000 SR 120,000 SR 120,000 SR 480,000 120,000 SR 600,000 TOTAL RECREATION & OPEN SPACE 13,699,106 6,725,000 20,484,067 3,235,768 4,655,000 7,947,000 45,187,000 526,270 58,315,270 1,633,420 97,367,631
(B) G.O. Bonds- Property Tax - - 3,273 27,273 754,545 2,290,909 8,124,000 - 11,169,455 - 11,200,000
(BST) Bonds- Sales Tax 10,474,106 6,000,000 7,529,853 2,133,495 3,395,455 4,909,091 36,558,000 - 44,862,545 - 65,000,000
(C) Hennepin County - - - 220,000 - - - - - - 220,000
(F) Federal Grant 3,000,000 - - - - - - - - - 3,000,000
(O) Other Funding - 50,000 225,941 130,000 30,000 272,000 30,000 51,270 383,270 1,158,420 1,897,631 (S) State - 200,000 12,250,000 250,000 - - - - - - 12,500,000
(SR) Special Revenue 225,000 475,000 475,000 475,000 475,000 475,000 475,000 475,000 1,900,000 475,000 3,550,000 TOTAL FUNDING BY SOURCE 13,699,106 6,725,000 20,484,067 3,235,768 4,655,000 7,947,000 45,187,000 526,270 58,315,270 1,633,420 97,367,631
PROJECTS Spent to Date CIB Adopted CIB Revised TOTAL*TOTAL**
RIGHT OF WAY IMPROVEMENTS Through 2025 2026 2026 2027 2028 2029 2030 2031 CIP cost Beyond 2031 Project costs
26-64th Street Sidewalk 80,000 M 165,000 M 376,000 M - 456,000
26-64th Street Sidewalk - S 854,000 S - 854,000
26-73rd Street Sidewalk Gap (Diagonal)65,000 M 200,000 M 435,000 M - 500,000
26-73rd Street Sidewalk Gap (Diagonal)901,200 S - 901,200
26-Multi-Year Street Name Sign Replacement 50,000 FF - FF - -
26-Sheridan Hills SRTS Sidewalk 32,000 M 150,000 M 147,000 M - 179,000
26-Sheridan Hills SRTS Sidewalk 544,500 S 401,000 S - 401,000
27-77th Street Pavement Maintenance 100,000 M 1,100,000 M - 1,200,000
27-78th Street Lighting 200,000 FF 100,000 FF 200,000 FF 300,000 500,000
27-Multi-Year ADA Improvements 100,000 FF 200,000 FF 200,000 FF 200,000 FF 200,000 FF 200,000 FF 200,000 FF 600,000 1,100,000
27-Multi-Year Bicycle Improvements - FF 40,000 FF 40,000 FF 40,000 FF 40,000 FF 40,000 FF 40,000 FF 40,000 FF 160,000 40,000 FF 280,000
27-Multi-Year Pedestrian Improvements - FF 40,000 FF 40,000 FF 40,000 FF 40,000 FF 40,000 FF 40,000 FF 40,000 FF 160,000 40,000 FF 280,000
27-Nicollet Ave Reconstruction 140,000 B 4,000,000 B 1,325,000 B 3,535,000 B - 5,000,000
27-Nicollet Ave Reconstruction 3,500,000 BU 795,000 BU 205,000 BU - 1,000,000
27-Nicollet Ave Reconstruction 2,000,000 S - 2,000,000
27-Pavement Management Program - FF 737,000 FF 345,000 FF 755,000 FF 795,000 FF 720,000 FF 845,000 FF 770,000 FF 3,130,000 800,000 FF 5,030,000
27-Traffic Signal Replacements 120,000 M 900,000 M 805,000 M 840,000 M 1,645,000 2,665,000
28-69th Street Reconstruction 3,240,000 B 3,240,000 3,240,000
28-69th Street Reconstruction 277,000 BU 413,000 BU 3,760,000 BU 3,760,000 4,450,000
28-76th Street & I35W Intersections 150,000 M 150,000 150,000
28-76th Street & I35W Intersections 600,000 S 600,000 600,000
28- Penn Avenue Reconstruction 3,500,000 B 3,500,000 B 7,000,000 7,000,000
28- Penn Avenue Reconstruction 2,500,000 BU 2,500,000 BU 5,000,000 5,000,000
28- Penn Avenue Reconstruction 200,000 M 300,000 M 300,000 M 300,000 M - 800,000
29-76th & Knox Improvements 1,662,960 B 1,662,960 1,662,960
29-76th & Knox Improvements 50,000 F 350,000 F 150,000 F 2,137,040 F 2,287,040 2,687,040
30-68th Street Sidewalk (Lyndale to Portland)175,000 S 1,625,000 S 1,800,000 1,800,000
30-73rd Street Pedestrian Bridge 2,500,000 B 2,500,000 2,500,000
30-73rd Street Pedestrian Bridge 5,000,000 S 5,000,000 5,000,000
30-73rd Street Trail (35W to Lyndale)113,500 S 1,000,000 S 1,113,500 1,113,500 30-76th Street West Reconstruction 4,100,000 B 4,100,000 4,100,000
30-76th Street West Reconstruction 600,000 BU 600,000 600,000
30-76th Street West Reconstruction 700,000 X 300,000 X 1,000,000 1,000,000
31-63rd Street Greenway - 2,600,000 F 2,600,000
31-63rd Street Greenway - 1,100,000 M 1,100,000
31-70th Street Reconstruction - 3,150,000 BU 3,150,000
31-70th Street Reconstruction - 1,300,000 M 1,300,000
31-76th/77th Street Intersection Control - 3,600,000 B 3,600,000
31-77th Street Reconstruction Lyndale to Portland - 25,000,000 B 25,000,000
31-77th Street Reconstruction Penn to Lyndale - 25,000,000 B 25,000,000
31-77th St Reconstruction Portland to Richfield Pkwy - 9,500,000 B 9,500,000
31-77th St Reconstruction Portland to Richfield Pkwy - 1,000,000 BU 1,000,000
31-Bloomington Ave and Diagonal Blvd - 1,800,000 M 1,800,000
31-Bloomington Ave and Richfield Parkway - 1,800,000 M 1,800,000
31-Humboldt Ave/Lake Shore Dr Reconstruction - 7,000,000 B 7,000,000
31-Humboldt Ave/Lake Shore Dr Reconstruction - 4,000,000 BU 4,000,000
31-North Lyndale Reconstruction - 4,900,000 M 4,900,000
31-TH62 Noise Barrier East - 550,000 M 550,000
31-TH62 Noise Barrier East - 550,000 O 550,000
31-TH62 Noise Barrier East - 9,900,000 S 9,900,000
TOTAL RIGHT OF WAY IMPROVEMENTS 617,000 9,926,500 6,706,200 10,038,000 15,880,000 12,828,500 16,250,000 850,000 45,808,500 103,630,000 166,799,700
(B) G.O. Bonds- Property Tax 140,000 4,000,000 1,325,000 3,535,000 6,740,000 5,162,960 6,600,000 - 18,502,960 70,100,000 93,602,960
(BU) Govt Bond Utility - 3,500,000 1,072,000 618,000 6,260,000 2,500,000 600,000 - 9,360,000 8,150,000 19,200,000
(F) Federal Grant - - 50,000 350,000 150,000 2,137,040 - - 2,287,040 2,600,000 5,287,040 (FF) Franchise Fee 100,000 1,067,000 625,000 1,235,000 1,175,000 1,200,000 1,125,000 850,000 4,350,000 880,000 7,190,000
(S) State - 544,500 2,156,200 2,000,000 600,000 288,500 7,625,000 - 8,513,500 9,900,000 22,569,700
(M) Municipal State Aid 377,000 815,000 1,478,000 2,300,000 955,000 840,000 - - 1,795,000 11,450,000 17,400,000 (X) Xcel Energy - - - - - 700,000 300,000 - 1,000,000 - 1,000,000
TOTAL FUNDING BY SOURCE 617,000 9,926,500 6,706,200 10,038,000 15,880,000 12,828,500 16,250,000 850,000 45,808,500 103,630,000 166,799,700
2026 ADOPTED CAPITAL IMPROVEMENT BUDGET, 2026 REVISED CAPITAL IMPROVEMENT BUDGET, 2027 CAPITAL IMPROVEMENT BUDGET & 2028 - 2031 CAPITAL IMPROVEMENT PLAN - CITY OF RICHFIELD, MINNESOTA
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2026 ADOPTED CAPITAL IMPROVEMENT BUDGET, 2026 REVISED CAPITAL IMPROVEMENT BUDGET, 2027 CAPITAL IMPROVEMENT BUDGET & 2028 - 2031 CAPITAL IMPROVEMENT PLAN - CITY OF RICHFIELD, MINNESOTA
PROJECTS Spent to Date CIB Adopted CIB Revised TOTAL*TOTAL**UTILITIES Through 2025 2026 2026 2027 2028 2029 2030 2031 CIP cost Beyond 2031 Project costs
26-SCADA Cybersecurity Upgrade - 50,000 U 50,000 U 50,000 U 50,000 U 100,000 200,000
26-Water Plant Elevator Replacement 175,000 U 150,000 U 50,000 U - 200,000
26-Water Plant Generator - BU 100,000 BU 2,400,000 BU - 2,500,000
26-Water Plant Program Space Renovation 100,000 U - U - -
26-Water Plant Sludge Pump Replacement 50,000 U 50,000 U - 50,000
27-Lift Station 6 Rehabilitation 300,000 U - 300,000
27-Multi-Year Rehab of Stormwater Collect. Mains 200,000 U 200,000 U 200,000 U 200,000 U 200,000 U 200,000 U 200,000 U 800,000 200,000 U 1,400,000
27-Multi-Year Sanitary Sewer Main Lining 900,000 U 900,000 U 900,000 U 900,000 U 900,000 U 900,000 U 2,700,000 900,000 U 5,400,000
27-Restroom Renovations - WTP Second Floor 200,000 U - 200,000
27-Water Plant Chlorine Storage Area Improvements 100,000 U 125,000 U 100,000 U - 225,000
27-Water Plant Personnel Safety Systems Impr 125,000 U - 125,000
27-Water System Interconnect 100,000 BU 3,809,000 BU - 3,909,000
27-Water System Interconnect 1,091,000 F - 1,091,000
27-Well #3 Water Service 50,000 U - 50,000
27-Wilson Pond Flood Mitigation 100,000 U 400,000 U 400,000 500,000
28-HUB Redevelopment Participation 160,000 FF 160,000 160,000
28-HUB Redevelopment Participation 700,000 O 700,000 700,000
28-HUB Redevelopment Participation 700,000 U 700,000 700,000
28-Water Plant Filter Bay Media Replace & Rehab 500,000 U 500,000 500,000
29-Sanitary Lift Station 4 350,000 U 350,000 350,000
30-Multi-Year Watermain Rehab 3,000,000 U 3,000,000 U 6,000,000 3,000,000 U 9,000,000
31-Sanitary Lift Station 1 350,000 U 350,000 350,000
>31-Logan Tower Coating - 2,000,000 BU 2,000,000
>31-Penn Tower Coating - 2,000,000 BU 2,000,000
>31-Restroom Renovations - 185,000 U 185,000
>31-Sanitary Lift Station 2 - 350,000 U 350,000
>31-Sanitary Lift Station 3 - 350,000 U 350,000
>31-Water Plant Handrail and Guardrail Replacement - 100,000 U 100,000
>31-Water Plant Painting - 40,000 U 40,000
>31-Water Plant Pipe Gallery Coatings - 500,000 U 500,000
>31-Well 2 Generator - 1,000,000 U 1,000,000
31-Well 5 Generator - 1,000,000 U 1,000,000 TOTAL UTILITIES - 1,525,000 1,675,000 9,375,000 3,610,000 600,000 4,100,000 4,450,000 12,760,000 11,625,000 35,435,000
(BU) Govt Bond Utility - - 200,000 6,209,000 - - - - - 4,000,000 10,409,000
(F) Federal Grant - - - 1,091,000 - - - - - - 1,091,000
(FF) Franchise Fee - - - - 160,000 - - - 160,000 - 160,000
(O) Other Funding - - - - 700,000 - - - 700,000 - 700,000 (U) User Fee - 1,525,000 1,475,000 2,075,000 2,750,000 600,000 4,100,000 4,450,000 11,900,000 7,625,000 23,075,000
TOTAL FUNDING BY SOURCE - 1,525,000 1,675,000 9,375,000 3,610,000 600,000 4,100,000 4,450,000 12,760,000 11,625,000 35,435,000
PROJECTS Spent to Date CIB Adopted CIB Revised TOTAL*TOTAL**BUILDINGS, FLEET AND TECHNOLOGY Through 2025 2026 2026 2027 2028 2029 2030 2031 CIP cost Beyond 2031 Project costs
26-Carpet Replacement - Fire 50,000 BSR - 50,000
26-Carpet Replacement - Police 120,000 BSR 70,000 BSR - 70,000
26-Fiber Infrastructure Projects - IT 45,000 O 45,000 O - 45,000
26-Fire SCBA Purchase 308,005 O 450,000 O - O - 308,005
26-Laptop Purchases - Information Technologies 34,260 ISR 34,260 ISR - 34,260
26-Liquor Operations (Cedar Point) Wold Assessment 7,500 O 260,560 O 11,126 O 17,053 O 38,557 O 66,736 439,706 O 774,502
26-Liquor Operations (Shops at Lyndale) Wold Assessment - -
26-Multi-Year Fleet Purchases 1,664,726 FSR 1,664,726 FSR 1,785,000 FSR 1,874,250 FSR 1,967,960 FSR 2,125,400 FSR 2,295,400 FSR 8,263,010 2,410,170 FSR 14,122,906
26-Network Infrastructure Replacement - IT 10,650 ISR 10,650 ISR - 10,650
26-Public Works Facility Building Improvements 460,000 B 235,000 B 235,000 B 350,000 B 415,000 B 1,235,000 695,000 B 2,390,000
26-Public Works Facility Building Improvements 37,700 FSR - 37,700
26-Public Works Facility Office Area Upgrades 290,000 BSR - 290,000
26-Public Works Facility Office Area Upgrades 50,000 O - 50,000
26-Public Works Storage Facility 325,000 FF 325,000 FF - 325,000
26-Public Works Storage Facility 650,000 O 650,000 O - 650,000
26-Public Works Storage Facility 500,000 U 500,000 U - 500,000
27-Computer Workstation Replacement 70,000 ISR 72,450 ISR 74,986 ISR 77,610 ISR 80,327 ISR 305,373 83,138 ISR 458,511
27-Fire Station 1 Vehicle Exhaust Removal System 76,500 F - 76,500
27-Fire Station 1 Vehicle Exhaust Removal System 8,500 O - 8,500
27-Fire Station 2 Repairs 306,406 B 599,601 B 352,173 B 324,007 B 379,403 B 1,655,184 386,696 B 2,348,286
27-Liquor Operations (Downtown) Wold Assessment 399,535 O 21,720 O 1,661,509 O 1,683,230 37,349 O 2,120,114
27-Network Infrastructure Replacement - IT 77,326 ISR 50,186 ISR 172,488 ISR 100,000 ISR 100,000 ISR 422,674 100,000 ISR 600,000 28-Carpet Replacement - City Hall 190,000 BSR 190,000 190,000
29-City Hall Wold Assessment 1,700,000 B 1,700,000 1,850,000 B 3,550,000
29-City Hall Wold Assessment 1,630,000 BSR 1,000,000 BSR 2,630,000 2,630,000
29-Liquor Operations (Penn Central) Wold Assessment 219,857 O 33,859 O 253,716 631,996 O 885,711
29-PW Facility Roof Replacement 2,000,000 B 2,000,000 2,000,000 TOTAL BUILDINGS, FLEET AND TECH 308,005 3,799,636 3,444,836 3,733,827 3,043,207 6,663,590 2,994,070 7,704,055 20,404,923 6,634,054 34,525,645
(B) G.O. Bonds- Property Tax - - 766,406 834,601 2,587,173 674,007 2,494,403 6,590,184 2,931,696 10,288,286 (BSR) Buildings Special Revenue - 120,000 120,000 290,000 190,000 1,630,000 - 1,000,000 2,820,000 - 3,230,000
(F) Federal Grant - - - 76,500 - - - - - - 76,500
(FF) Franchise Fee - 325,000 325,000 - - - - - - - 325,000
(FSR) Fleet Special Revenue - 1,664,726 1,702,426 1,785,000 1,874,250 1,967,960 2,125,400 2,295,400 8,263,010 2,410,170 14,160,606
(ISR) Internal Special Revenue - 44,910 44,910 147,326 122,636 247,474 177,610 180,327 728,047 183,138 1,103,421
(O) Other Funding 308,005 1,145,000 752,500 668,595 21,720 230,983 17,053 1,733,925 2,003,682 1,109,050 4,841,832
(U) User Fee - 500,000 500,000 - - - - - - - 500,000 TOTAL FUNDING BY SOURCE 308,005 3,799,636 3,444,836 3,733,827 3,043,207 6,663,590 2,994,070 7,704,055 20,404,923 6,634,054 34,525,645
SUMMARY PROJECTS
Recreation/Open Space Development 13,699,106 6,725,000 20,484,067 3,235,768 4,655,000 7,947,000 45,187,000 526,270 58,315,270 1,633,420 97,367,631
Right of Way Improvements 617,000 9,926,500 6,706,200 10,038,000 15,880,000 12,828,500 16,250,000 850,000 45,808,500 103,630,000 166,799,700
Utilities - 1,525,000 1,675,000 9,375,000 3,610,000 600,000 4,100,000 4,450,000 12,760,000 11,625,000 35,435,000
Buildings, Fleet and Technology 308,005 3,799,636 3,444,836 3,733,827 3,043,207 6,663,590 2,994,070 7,704,055 20,404,923 6,634,054 34,525,645
TOTAL CAPITAL PROJECTS 14,624,111 21,976,136 32,310,103 26,382,595 27,188,207 28,039,090 68,531,070 13,530,325 137,288,693 123,522,474 334,127,976
(B) G.O. Bonds- Property Tax 140,000 4,000,000 1,328,273 4,328,679 8,329,146 10,041,042 15,398,007 2,494,403 36,262,599 73,031,696 115,091,246
(BSR) Buildings Special Revenue - 120,000 120,000 290,000 190,000 1,630,000 - 1,000,000 2,820,000 - 3,230,000
(BST) G.O. Bonds-Sales Tax 10,474,106 6,000,000 7,529,853 2,133,495 3,395,455 4,909,091 36,558,000 - 44,862,545 - 65,000,000
(BU) G.O. Bonds-Utility - 3,500,000 1,272,000 6,827,000 6,260,000 2,500,000 600,000 - 9,360,000 12,150,000 29,609,000
(C) Hennepin County - - - 220,000 - - - - - - 220,000
(F) Federal Grant 3,000,000 - 50,000 1,517,500 150,000 2,137,040 - - 2,287,040 2,600,000 9,454,540
(FF) Franchise Fees 100,000 1,392,000 950,000 1,235,000 1,335,000 1,200,000 1,125,000 850,000 4,510,000 880,000 7,675,000
(FSR) Fleet Special Revenue - 1,664,726 1,702,426 1,785,000 1,874,250 1,967,960 2,125,400 2,295,400 8,263,010 2,410,170 14,160,606
(ISR) Internal Special Revenue - 44,910 44,910 147,326 122,636 247,474 177,610 180,327 728,047 183,138 1,103,421
(M) Municipal State Aid 377,000 815,000 1,478,000 2,300,000 955,000 840,000 - - 1,795,000 11,450,000 17,400,000
(O) Other Funding 308,005 1,195,000 978,441 798,595 751,720 502,983 47,053 1,785,195 3,086,952 2,817,470 7,989,463
(OR) Other Recreation Funding - - - - - - - - - - -
(S) State - 744,500 14,406,200 2,250,000 600,000 288,500 7,625,000 - 8,513,500 9,900,000 35,069,700
(SR) Special Revenue 225,000 475,000 475,000 475,000 475,000 475,000 475,000 475,000 1,900,000 475,000 3,550,000
(U) User Fees - 2,025,000 1,975,000 2,075,000 2,750,000 600,000 4,100,000 4,450,000 11,900,000 7,625,000 23,575,000
(X) Xcel Energy - - - - - 700,000 300,000 - 1,000,000 - 1,000,000 TOTAL FUNDING SOURCES 14,624,111 21,976,136 32,310,103 26,382,595 27,188,207 28,039,090 68,531,070 13,530,325 137,288,693 123,522,474 334,127,976
* Total CIP costs only include project costs between 2028 and 2031.
** Total Project costs include all spent to date through 2025, CIB Revised 2026, CIB 2027, CIP 2028 - 2031, and CIP Beyond 2031 costs.
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The City of Richfield’s funding for capital projects comes from a variety of sources, but generally falls into one of several categories: federal grants, state money, county funds,
local revenues, franchise fees, user fees, and bond proceeds. Total planned funding for
2027 is $26,382,595. Capital project expenditures are classified into four specific programs: Recreation and Open Space, Right of Way Improvements, Public Facilities and Buildings, Fleet & Technology. Total planned expenditures for 2027 are $26,382,595.
(B) G.O. Bonds-Property Tax16%
(BST) Bonds-Sales Tax
8%
(BU) G.O. Bonds-Utility 26%
(BSR) Buildings Special Revenue
1%(C) Hennepin County
1%
(F) Federal Grant6%
(ISR) Internal Special Revenue
0%
(FF) Franchise Fees5%
(FSR) Fleet Special
Revenue
7%
(M) Municipal State
Aid
9%
(O) Other Funding
3%
(S) State
8%(SR) Special Revenue
2%(U) User Fee8%
TOTAL 2027 FUNDING BY SOURCE
Public Facilities
36%
Buildings, Fleets &
Technology
14%
Recreation/Open
Space
12%
Right of Way
38%
TOTAL 2027 SPENDING BY USE
2027 Capital Improvement Budget - Sources and Uses
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2026-2027
2026 2027
General Fund Revised Proposed
Legislative/Executive
City Council - -
City Manager 2.50 2.50
2.50 2.50
Administrative Services
Administration 1.00 1.00
Human Resources 4.15 4.15
Finance 6.50 6.50
Deputy Registrar 8.05 8.05
City Clerk 1.50 1.50
21.20 21.20
Public Safety
Support Services 6.80 6.80
Police Operations 57.80 57.80
64.60 64.60
Fire 32.00 32.00
32.00 32.00
Community Development
Administration 10.20 10.40
Inspections 8.50 8.50
18.70 18.90
Public Works
PW Administration 2.00 2.00
Engineering 6.04 6.04
Street Maintenance 14.72 14.72
Park Maintenance 9.90 9.90
32.66 32.66
Recreation Services
Recreation Services Administration 2.40 2.40
Recreation Program & Athletics 8.70 8.70
Wood Lake Nature Center 6.40 8.38
17.50 19.48
Subtotal 189.16 191.34
Special Revenue Fund
Cable TV Fund 2.15 1.70
Ice Arena 17.90 18.25
Sustainability 1.60 1.60
Subtotal 21.65 21.55
Enterprise Fund
Liquor 24.24 24.07
Water & Wastewater Utility 18.12 18.12
Storm Sewer Utility 2.13 2.13
Subtotal 44.49 44.32
Internal Service Funds
Central Garage 4.17 4.17
Information Technologies 5.50 5.50
Government Buildings 3.50 3.50
Subtotal 13.17 13.17
Total 268.47 270.38
TOTAL NUMBER OF FULL-TIME EQUIVALENT BUDGETED PERSONNEL
276
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2026 Revised/2027 Proposed Budget
Page 297 of 361
Timetable and Key Events
Aug. 12
Work session: 2027 budget
preview, FMP, utility rates & city fees, 2027 CIB/2028-2031 CIP
Tonight
2026 Revised and 2027
Proposed Budget
presentation with
Directors
Sept. 22
Adopt preliminary tax levy
Dec. 1
Truth in Taxation meeting
Dec. 8
Certify final levy, adopt
Budget & CIB/CIP
Page 298 of 361
Budget Update
•Labor force participation continues to remain below pre-pandemic levels.
•Cost of living increase at 3% and average step increase at 2.75% for non-union represented positions.
•Cost of living/market increase at 3%-4% and average negotiated contract step increases 3%-5.5%
•Personnel continues to be approximately 71% of the General Fund budget.
•Debt issues planned for late 2026 funded with local sales tax. Debt issues planned for 2027 funded with utilities and property
taxes.
•Continued inflationary pressure expected to
persist into 2027.
Page 299 of 361
Budget Update, Cont.
•2027 Local Government Aid (LGA)increase
about 1.59% or a total of $54,694 over 2026.
•2026 Fiscal Disparity Aid increase about 1.27%or a total of $61,191 over 2026.
•Licenses and permits revenue for 2027 is
projected to be similar to 2026 revised and less than 2025 actuals.
•Rolling stock/building/tech levy
at $2,245,122.This includes a 3.5% increase over 2026 for IT and Building
Services. The Fleet equipment levy is now at $1,719,774.
•EDA levy at $667,741 which is a 3.5% increase.
•Proposed levy increase is 4.55%.
Page 300 of 361
General Fund Revenues
2026A 2026R 2027P
Taxes 25,223,647 25,223,647 26,364,102
Licenses and Permits 1,130,850 1,123,340 1,157,740
Intergovernmental 5,766,368 5,899,230 5,589,988
Charges for services 1,830,300 1,939,370 1,891,465
Fines and forfeitures 220,000 225,000 225,000
Miscellaneous 129,255 113,400 329,400
Transfers 833,695 387,600 335,860
Total Revenues 35,134,115 34,911,587 35,893,555
Page 301 of 361
2027 Proposed Budget – General Fund
Revenues
Page 302 of 361
2027 Proposed Preliminary Levy
•2027 Proposed Levy is $33,193,792 which is an increase of 4.55%
over the 2026 Levy
General Fund Levy
Equipment Levy
EDA Levy
- Base Levy Total
Debt Service Levy
- Total 2027 Levy
$26,364,101
$ 2,245,122
$ 667,741
$29,276,964
$ 3,916,828
$33,193,792
Page 303 of 361
2027 Proposed Levy
Impact on Average
Home
•2026
•$326,900 average home>City Tax
$1,728 (prior to homestead credit)
•2027
•$338,300 average home>City Tax $1,858 (prior to homestead credit)
•$130 annual increase or $10.83 per
month
Page 304 of 361
Levy
History
2027P:
4.55%
Page 305 of 361
History of State Aid Year Certified Change
2013 $1,218,346 $0
2014 $1,937,907 $719,561
2015 $2,053,363 $115,456
2016 $2,084,057 $30,694
2017 $2,094,443 $10,386
2018 $2,229,280 $137,837
2019 $2,235,643 $6,363
2020 $2,366,046 $130,403
2021 $2,001,680 ($364,366)
2022 $2,010,927 $9,247
2023 $2,038,711 $27,784
2024 $3,392,552 $1,353,811
2025 $3,410,633 $18,081
2026 $3,448,397 $37,764
2027 $3,503,091 $54,694
Local Government Aid (LGA) is a general-purpose
aid that can be used for any lawful expenditure. It
is also intended to be used for property tax relief.
The Department of Revenue certifies LGA for cities
based on current LGA statutes, including any
changes enacted during the most recent
legislative session.
Page 306 of 361
General Fund Expenditures
2026A 2026R 2027P
Legislative/Executive 1,360,777 1,308,195 1,284,677
Administrative 1,067,194 1,037,066 1,141,770
Human Resources 360,783 412,420 562,852
Finance 701,628 812,080 705,066
Public Safety 13,642,788 13,332,315 14,312,605
Fire 6,641,729 6,426,700 6,846,680
Community Development 1,916,110 1,884,350 1,972,361
Public Works 5,949,340 6,021,680 5,807,520
Recreation Services 2,561,200 2,561,799 2,871,320
Transfer Out 372,250 372,250 388,704
0.44% Paid Family Medical Leave 115,000 0 0
40% Fund Balance Reserve 445,316 742,732 0
35,134,115 34,911,587 35,893,555
Page 307 of 361
2027 Proposed General Fund Expenditures
Page 308 of 361
2027 Proposed
General Fund
Budget
The 2027 proposed General Fund Budget of $35,893,555 is a:
•2.16% increase from the 2026 adopted budget
•2.81% increase from the 2026
revised budget
Page 309 of 361
Staffing Update
Proposed Position Additions
•Recreation Services - Event Coordinator,
October 2026
•Recreation Services - Natural Resources Coordinator,January 2027
Page 310 of 361
General Fund Expenditure History
Year Amount YOY Increase % Change
2021 26,530,517 --
2022 27,443,767 913,250 3.44%
2023 28,978,191 1,534,424 5.59%
2024 31,077,894 2,099,703 7.25%
2025 31,872,015 794,121 2.56%
2026R 34,911,587 3,039,572 9.54%
2027P 35,893,555 981,968 2.81%
Expenditure reported is based of actuals for 2021 to 2025,revised budget for 2026 and proposed
budget for 2027.
Page 311 of 361
Administrative Services
Page 312 of 361
Department Overview
Administrative Services Department Team
21 Full Time
60+ Part Time and Intermittent
Divisions or Funds
•General Fund
•Administration
•City Clerk
•Deputy Registrar
•Special Revenue Funds
•Cable TV
•Elections
•Internal Service Funds
•Insurance/Risk Management
•Building Services
•Information Technology (IT)
•Enterprise Fund
•Liquor Operations
Page 313 of 361
2026R/2027P BudgetAdministrative Services
Page 314 of 361
Investments and Impacts: 2027 Proposed BudgetAdministrative Services
Administration
Human Resources switched from a division to department which decrease interdepartmental labor credit to Administrative Services-Administration.
Building chargebacks were allocated to the proper
divisions within Administrative Services and the Human Resources Department.
2027P is 4.27% higher than 2026A
Page 315 of 361
Investments and Impacts: 2027 Proposed Budget
Administrative Services – Deputy Registrar
2027P is 7.74% higher than 2026A
Offer a customer service feedback survey
•Continue enhancing the customer experience for residents of Richfield and surrounding communities through efficient, accurate and accessible service.
Research and Implement a New Point of Sale System
•This will improve efficiency and reduce manual processes
•Increases accuracy when processing customer transactions
•Strengthens financial controls and transaction tracking
Implement a "No Show" fee for passport appointments
•This is to ensure the customer will report to their scheduled appointment.
Page 316 of 361
Investments and Impacts: 2027 Proposed BudgetAdministrative Services – City Clerk
2027P is 3.5% higher than 2026A
Data Management and Records Retention
•Training city-wide on retention requirements, citywide compliance, and reducing administrative risk.
Data Requests
•Exploring options to handle data requests more efficiently, with year-over-year increases of data requests received.
•Focus on creating a data request policy.
Elections
•Improved voter experience and expanded healthcare facility voting programs due to change to 18 days of Early to 18 days of Early Voting.
•Final year of city-administered Richfield School Board Elections.
Agenda Management
•Continued training opportunities on city software platforms for new and existing staff.
Page 317 of 361
2026R/2027P Budget
2025
Actual
2026
Budget
2026
Revised
2027
Budget
Increase/2026
Budget/2027
Budget
Expenditures
62000 Information Technology 1,690,116 1,962,611 1,962,620 2,198,490 12.02%
64000 Insurance Fund -331,448*1,618,602 1,707,802 1,346,460 -16.81%
67000 Building Services 916,652 1,257,319 1,212,350 1,140,967 -9.25%
Revenues
62000 Information Technology 1,885,730 1,902,141 1,917,141 1,984,475 4.33%
64000 Insurance Fund 1,214,077 1,212,720 1,216,690 1,196,570 -1.33%
67000 Building Services 1,102,159 1,126,610 1,324,610 1,371,075 21.70%
Administrative Services – Internal Services Funds
*An incurred but not reported expense of $1,550,769 was shown in 2024. This expense was reversed in
2025 and this is the reason for the negative expense in Fund 64000.Page 318 of 361
Investments and Impacts: 2027 Proposed Budget
Administrative Services – IT
2027P is 7.88% higher than 2026A
Personnel
•Reclassification of Helpdesk Position to Application Support Specialist.
Network Infrastructure
•Begin a multi-year replacement of network switches reaching end of support to
improve reliability, security, and long-term network stability.
Cybersecurity
•Upgrading workstation endpoint protection across the City.
•Adding additional network logging and visibility to improve threat detection and incident response.
Technology Refresh
•Continue the scheduled replacement of City desktop and laptop computers as part of
the four-year workstation lifecycle program.
Page 319 of 361
Investments and Impacts: 2027 Proposed Budget
Administrative Services – Building Services
2027P is .32% higher than 2026A
Facility Investments and Financial Sustainability
•Implementing the results of Wold's Facility Assessment Needs Study.
•Transfers of invest earnings of $100,000 from Long-Term Capital Reserves.
•Equipment Levy of $103,500
•Continue to refine building chargebacks and explore
centralizing building services.
Page 320 of 361
2026R/2027P Budget
2025
Actual
2026
Budget
2026
Revised
2027
Budget
Increase/2026
Budget/2027
Budget
Expenditures
20004 Cable TV 383,315 412,420 398,070 429,830 4.22%
20005 Elections 2,070,298*328,331 328,331 298,960 -8.95%
Revenues
20004 Cable TV 344,280 271,500 281,000 285,000 -4.24%
20005 Elections 544,596 379,600 382,898 448,960 18.27%
Administrative Services – Special Revenue Funds
* Elections Fund transferred $1,800,000 to the Long-Term Capital Reserves in 2025 that will be used for
future building maintenance.
Page 321 of 361
Investments and Impacts: 2027 Proposed Budget
Administrative Services – Communications
2027P is 4.22% higher than 2026A.
Accessibility: Preparing for Web Content Accessibility Guidelines (WCAG) deadline
•Compliance required by April 26, 2028
•Touches all elements of digital communication (website, social
media, PDFs)
Updated platforms = increased costs
•Updates to Website, chatbot, e-newsletter platform, cloud-based photo storage
Connect with those we are missing
•Continued inclusion of bilingual city news in tri-annual Hometown Guide
•Addition of city-wide mailings for long-range plans (Comprehensive, Parks Master Plan, Strategic, etc.)
Sustainable funding sources for Communications
•Revenues from cable franchise fees are drying up; yet reserves are
very healthy
•$50k annual transfer from General Fund to begin slowly moving costs Page 322 of 361
2026R/2027P BudgetAdministrative Services – Enterprise Fund - Liquor Operations
Page 323 of 361
Richfield Liquor -
Downtown 2025 Actual 2026 Budget 2026 Revised 2027 Budget (+/-)
Expenditures
50010 $ 3,458,679 $ 3,773,330 $ 3,683,300 $ 3,731,765*-1.10%
Revenues
50010 $ 3,813,927 $ 3,867,890 $ 3,866,725 $ 3,924,480 1.46%
Profit/Loss $ 355,248 $ 94,560 $ 183,425 $ 192,715
Richfield Liquor – Cedar
Point 2025 Actual 2026 Budget 2026 Revised 2027 Budget (+/-)
Expenditures
50020 $ 4,454,593 $ 4,497,450 $ 4,456,915*$ 4,414,845*-1.84%
Revenues
50020 $ 4,699,990 $ 4,617,650 $ 4,638,920 $ 4,592,765 -0.54%
Profit/Loss $ 245,397 $ 120,200 $ 182,005 $ 177,920
*Expenditures includes operating only and not capital expenditures.Page 324 of 361
Richfield Liquor – Penn
Central 2025 Actual 2026 Budget 2026 Revised 2027 Budget (+/-)
Expenditures
50030 $ 3,389,701 $ 3,454,290 $ 3,430,145 $ 3,496,928 1.23%
Revenues
50030 $ 3,520,899 $ 3,483,770 $ 3,537,995 $ 3,625,870 4.08%
Profit/Loss $ 131,198 $ 29,480 $ 107,850 $ 128,942
Richfield Liquor – Shops
at Lyndale 2025 Actual 2026 Budget 2026 Revised 2027 Budget (+/-)
Expenditures
50040 $ 2,059,440 $ 2,069,275 $ 2,020,155 $ 2,073,345 0.19%
Revenues
50040 $ 1,793,239 $ 1,775,890 $ 1,733,120 $ 1,698,835 -4.34%
Profit/Loss $ (266,201)$ (293,385)$ (287,035)$ (374,510)
Page 325 of 361
Investments and Impacts: 2027 Proposed Budget
Administrative Services - Liquor Operations
•Despite increased personnel costs and level sales, we anticipate being able to transfer
$475,000 to the Parks and Recreation Department.
•Potential lower-potency hemp edible (LPHE) ban could lead to total sales revenue decrease, approximately 5.25% of Richfield Liquor sales are
LPHE
•Estimated $660,095 in building repairs for 2027
•Slightly increased 2027 sales estimate at the Penn Central Store in anticipation of occupancy at the Penn Station Complex.
Page 326 of 361
Community Development
Page 327 of 361
Department OverviewCommunity Development
Divisions or Funds
•CD Administration
•Planning & Zoning
•Inspections
Department Team
•21 employees (15 FT/6 PT)
•10 positions largely funded by HRA/EDA
Of Note
•Fully staffed for one week so far this year
•Inspections support position reduced to part-time
•Capacity- and resiliency-building in Inspections ongoing
•Looking for efficiencies across all teams (incl. HRA & EDA)
•Increased hours for one of two Housing Specialists
Page 328 of 361
2026R/2027P BudgetCommunity Development
Page 329 of 361
Investments and Impacts: 2027 Proposed Budget
Community Development
Comprehensive Plan
•Additional $10,750 in 2027-2028
•Consider increase in set-aside
Staffing costs
•Steps, merit, shift away from HRA
•Employee growth & development
•IT Costs reallocated
•Revenues flat
Credit Card fees
•2025 over $100,000; 2026 expected $80,000
•2027 budget assumes city will implement mechanism to recoup
Page 330 of 361
Finance
Page 331 of 361
Department OverviewFinance Department
Divisions or Funds:
•Finance
Department Team:
•Finance Director (contracted)
•Assistant Finance Director
•Budget, Cash, and Debt Manager
•Senior Financial Analyst
•Payroll Accountant
•Accountant (2)
•Accounting Technician
•Utility Billing Technician (2 – Public Works budget)
Page 332 of 361
2026R/2027P BudgetFinance Department
Page 333 of 361
Investments and Impacts: 2027 Proposed Budget
Finance Department
Staff investment
•Stabilization and staff development
Technology
•Vendor payment process from check to ACH
•Continue Tungsten (Logis) rollout
Financial Management and Decision Making:
•Work with Ehlers on Financial Management Plan model
•Targeted focus review for best practice/internal control of critical financial functions
•Improve budgeting and reporting of capital projects
Page 334 of 361
Fire Department
Page 335 of 361
Fire DepartmentDepartment Overview
Fire DepartmentDepartment Overview
CAPTAIN
LIEUTENANT
CAPTAIN
LIEUTENANT
(7)FIREFIGHTERS
CAPTAIN
LIEUTENANT
(7)FIREFIGHTERS
27 CAREER PERSONNEL PROVIDE 24/7 COVERAGE ACROSS
TWO FIRE STATIONS
Department Team
•1 Fire Chief, 1 Deputy, Chief 1 Assistant Chief,
3 Captains, 3 Lieutenants, 21 Firefighters, 1
Firefighter Inspector, and 1 Administrative
Assistant
Divisions or Funds
•Fire
Of Note
•Fire Chief leadership transition
•Contract plan review and inspections
•Long-term military deployment
(7)FIREFIGHTERS
Page 336 of 361
2026R/2027P BudgetFire Department
Page 337 of 361
Investments and Impacts: 2027 Proposed Budget
Investments and Impacts: 2027 Proposed Budget
Fire Department
Equipment and Technology:
•Three-year post order build on new
engine
•Reenvisioning of fleet needs and
replacement schedule
•Data dashboard for tracking
and creating efficiencies
•Updating obsolete radio
equipment
•Adding diesel exhaust system to
Station 1
21
7
Operations:
•Reemphasize professional
training and modern tactics
•Reevaluation of response types
and determine priority for
available resources
•Contract for fire code enforcement
Personnel Services:
85% of the total department budget
•Skilled and engaged shift personnel
•Dependency on overtime to maintain
minimum staffing
•Military Leaves
•IOD/Medical Leaves
•Sick Time Use
Page 338 of 361
Human Resources
Page 339 of 361
Department Overview
Human Resources
Divisions or Funds:
•Human Resources
•Insurance Fund
Department Team:
•5 total employees (4 full-time and 1 Intermittent)
•HR Director
•HR Generalist II
•HR Generalist
•Equity Coordinator
•Recruiting and Onboarding Support
Of Note:
•HR Director position created and filled.
•Equity Coordinator joined the HR Department.
Page 340 of 361
2026R/2027P BudgetHuman Resources
Page 341 of 361
Investments and Impacts: 2027 Proposed Budget
Human Resources
Funding HR as a new operating department:
•No longer a division of Administrative Services
•HR Budget supports professional development for staff
•Compensation review
•Leave Administration
•Employee Benefits
•Property and Liability and Work Comp Administration
Workplace Training
•Respectful Workplace, AWAIR or equivalent safety training and Supervisor training
•Funding of REEP program and language incentive
NeoGov Software
•Insight, Onboard, looking into Learn module
Page 342 of 361
Legislative/Executive
Page 343 of 361
Department Overview
Legislative/Executive
Department Team
•City Manager
•Senior Analyst
•Administrative Assistant
Divisions or Funds
•Mayor/City Council
•Other Agencies
•City Manager
•Legal
Page 344 of 361
2026R/2027P BudgetLegislative/Executive
Page 345 of 361
Investments and Impacts: 2027 Proposed Budget
Legislative/Executive
City Council
•2027P is 0.69% higher than 2026A
•Addition of Minnesota Paid Family and Medical Leave
•Joined the Cities for Safe and Stable Communities coalition
•Completed the Essential Services Study
•One-time executive search firm costs in 2026R
•Funding for new Strategic Plan
Other Agencies
•2027P is 3.21% higher than 2026A
•Increase in funding for service contracts
City Manager
•2027P is 16.79% lower than 2026A
•Transfer of Equity Coordinator position
and related equity projects to the Human Resources budget
•Addition of Minnesota Paid Family and Medical Leave
•Increased personnel costs
Legal
•2027P is 2.91% higher than 2026A
•Anticipated contractual rate adjustments for legal services provided by Kennedy & Graven
Page 346 of 361
Public Safety
Page 347 of 361
Department OverviewPublic Safety
Department Team
Police Department
•49 Sworn
•6 Professional Staff (FT)
•8 Professional Staff (PT)
•IT Tech (FT)
Emergency Services
•1 Coordinator (PT)
Support Services
•1 Support Services Manager/ CHS Admin.(FT)
•1 Code Compliance Officer (FT)
•2 Environmental Health Specialists (PT)
•2 Business Licensing Specialists (PT)
•3 Cadets (PT)
•1 Seasonal EH Tech (Temp May – Aug)
Divisions or Funds
•Emergency Management
•Compliance and Drug Forfeiture (Special Revenue)
•Opioid Settlement Fund(Special Revenue)
Page 348 of 361
2026R/2027P BudgetPublic Safety
Page 349 of 361
Investments and Impacts: 2027 Proposed Budget
Public Safety
Technology Upgrades
•Replacing portable radios that are over 14 years old and can't be repaired.
•Utilizing a new application for policy and procedure access for Officers in the field via closed-end AI.
Software Additions
•Addition of Rental Scape software in Business Licensing to address short-term rental issues.
Long-term Planning
•Developing succession planning to ensure long-term stability which is being achieved via numerous promotions, advanced training and education opportunities.
Page 350 of 361
Public Works
Page 351 of 361
Department OverviewPublic Works
Divisions or Funds
•Administration
•Engineering
•Street Maintenance/Forestry
•Park Maintenance
•Water Utility (Enterprise)
•Waste Water Utility (Enterprise)
•Stormwater Utility (Enterprise)
•Central Garage (Internal)
Department Team
•54 Full time
•12 Seasonal Staff
•1 Engineering Intern
Page 352 of 361
2026R/2027P BudgetPublic Works – General Fund Budget
•2026 Revised $50K increase in PW Admin for office space additions.
•Streets Division shows reduction due to completion of the US Forestry Service
grant completed in 2026. This also impacts the 2027 revenue figures.
Page 353 of 361
2026R/2027P Budget
•Water and Wastewater Utilities
•Stormwater Utility
Public Works – Enterprise Fund
* Water Utility 2027 proposed expenditures includes capital outlay of $7.95 million
** Water Utility 2027 proposed revenues includes bond proceeds of $6.41 million and a $1.09 million federal grant
Page 354 of 361
2026R/2027P BudgetPublic Works – Internal Fund Budget
Page 355 of 361
Investments and Impacts: 2027 Proposed Budget
Public Works
•Focus on building Asset Management
System
•Deliver CIP projects and develop future
reinvestments
•Support Comprehensive Planning Efforts
•Update of Water supply Plan and Water
Treatment Plan Feasibility Study
•Norby's Pond Reconstruction
•Wilson Pond Area Flood Mitigation
Page 356 of 361
Recreation Services
Page 357 of 361
Department OverviewRecreation Services
Department Team
•21 Full Time (two new positions in 2027)
•125+ Seasonal and Part Time
3 General Fund Divisions
•Administrative Services
•Recreation Programming
•Wood Lake Nature Center
4 Special Revenue Funds
•Pool
•Ice Arena
•Veterans Park
•Sustainability
Page 358 of 361
2026R/2027P BudgetRecreation Services – General Fund Budget
•Wood Lake Nature Center: New Building Impacts & Natural Resources Coordinator
•Recreation Programming: Vets Park-Some impact to Farmers Market
Page 359 of 361
2026R/2027P BudgetRecreation Services – Special Revenue Funds Budget
•Increases expected in arena and pool revenue with improvements
•Focus on reducing negative fund balance
Page 360 of 361
Investments and Impacts: 2027 Proposed Budget
Recreation Services
•New FTEs
•Natural Resources Coordinator
•Event Coordinator – Wood Lake, Ice Arena
•Capital Projects
•Veterans Park Improvements
•New Community Center
•Park Building and Field Lights Electrical upgrades
•Locker Room Shower Rink 2
•Playground Replacement
•Planning and Policy
•Parks Master Plan & 10 Year CIP
•Natural Area Management Plan
•Increased Programming & Rentals
•New Wood Lake: expanded rentals and programming
•Expanded youth and contract programming
•New garden-to-kitchen programs (Grant)
Page 361 of 361