2018 City of Shakopee Budget

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GENERAL FUND The General Fund is used to account for revenues and expenditures necessary to carry out the basic functions of city government. Divisions within the General Fund include general government, public safety, public works and park and recreation. These basic functions include police and fire protection, planning, administration, etc. Appropriations are made from this fund annually. Revenues are recorded by source, i.e. taxes, intergovernmental, charges for services, etc. Expenditures are recorded by object and are primarily for day-to day operating expenses and equipment. Capital expenditures for large scale public improvements are accounted for within the Capital Projects Funds. General Fund budgets tend to be consistent from year-to-year. However, there are costs drivers that effect every department. Below are the 2018 General Fund cost drivers. Individual division narratives provide greater detail on variances specific to each division.  Overall wages increased 3%.  Health insurance rates for 2017 are increasing 19%.  Building and equipment rents are increasing by 8.5% as part of a two-year plan to fully restore rent charges. Rent charges are reflected as department costs, and are based on the useful life and asset value. 2018 is the second year of the two-year plan.