HomeMy WebLinkAbout7A 2019 Final Budget and Tax Levy PresentationDecember 3, 2018
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2019 Budgets
Tax Supported
Enterprise Funds
Budget Objectives/Metrics
Residential Impact of the 2019 tax levy
Questions
Tonight’s Agenda
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April 2 –Financial Plan & Debt Work Session
June/July-CIP Work Sessions
Aug. 6 –CIP Public Hearing
Aug. 20 –Budget Work Session
Sept 4 –CIP/Budget Work Session
Sept. 17 –Adopt Preliminary Levy and Budget
Nov. 5 –Budget Work Session
Nov. –Town Hall Budget Video
Dec. 3 –Public Budget meeting
Dec. 3 –Adopt Final Tax Levy and Budget
Tax Levy and Budget Schedule
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Overview –2019 Proposed
Budgets
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General Fund $13,604,039
Debt Service Funds 5,480,327
Rev. Equipment Fund 1,149,336
Facilities Mgmt Fund 89,963
PIR Fund (street overlay) 886,933
Other (EDA, Parks, Cable)926,914
Water Fund 5,257,031
Sewer Fund 3,598,410
Water Quality Fund 1,001,502
Total $31,994,455
The 2019 proposed tax levy is $12,880,775.
Staff is requesting a levy increase of 6.57%
The EDA has requested an increase of
$10,000 in the EDA tax levy.
This has resulted in a total tax levy change
of 6.65% which is presented to the Council
tonight.
For 53% of city homeowners this is a 3.4%
or lower increase in the city portion of
their property tax
2019 Proposed Tax Levy Change
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2019 Proposed Budget & Tax Levy Change
At a Glance
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4.35%
1.61%
0.46%
0.23%
0.00%
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
7.00%
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12/3 Proposed Budget & Tax Levy Change
Mandatory
CIP -Tax Levy Components
Personnel Net Adds
Expenditures -Technlogy Plan Costs
CIP:
$50k Trail Replacement
$50k Equipment Replacement
$95k Street Overlay/PIR Fund
Expenditures-Technology:
$0k Phone System -(Use of Reserves $75k)
rves $45k)
$23k IT Managed Services Contract
$5k IT Network Support
Total: 6.65% $803,200
Personnel:
$80k FTE Add #1 -start February 15
$60k FTE Add #2 -start July 1
($85k) Remove City Engineer
$0k Severance Funding (Use of reserves $100k)
Mandatory:
$318k Wage and Benefits per Contracts
$49k Police Overtime
$24k Parks, Comm Dev, Engr Overtime
$20k Statutory PERA Contrib. Police/Fire
$22k Workers Comp Insurance
$37.4k Salt/Ice Management -(Use of Reserves
$22.6k)
$20.8k Fuel -(Use of Reserves $19.2k)
$45.4k Current expenditure (cost
inflation/transfers)
$127k Debt Service
$10k EDA Levy
($148.4k) Offsetting Revenue
$525,200
$195,000
$55,000
$28,000
Bond Rating –Maintain/improve current
rating (AA+)
2018 –S&P Rating AA+
General Fund Reserves –40% to 50%
2017 Year End –50%
2018 Projected Year End –45-48%
Property Tax Rank –Maintain/improve
Property Taxes/HH –Growth plus inflation
General Fund Expenditures/HH –Growth plus
inflation
Budget Objectives/ Metrics
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City Tax Capacity Rate*
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25.00%
30.00%
35.00%
40.00%
45.00%
50.00%
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Prior Lake 7-County Metro Average Metro Pop. 10,000 - 24,999 Metro Pop. 25,000 - 49,999
*City Levy/Tax Capacity = Tax Rate
Property Tax Levy Per
Household
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General Fund Operating Expenditures
Per Household
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Funding Challenges
Transportation Projects
Aging Fleet
Parks, trails and natural area maintenance
Personnel Requirements for city departments
Technology Replacement
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Residential Impact of City Portion of
Proposed Tax Levy Change
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RESIDENTIAL IMPACTS
% Net Net Net Net Net Net
of Inc/Dec Difference Inc/Dec Difference Inc/Dec Difference
Inc/Dec Total 18 vs 19 % Change 18 vs 19 % Change 18 vs 19 % Change
+15.01+%1,513 17%192.97$ 17.6%391.02$ 18.9%587.73$ 17.8%
+10.01-15.00%1,121 12%161.78$ 14.8%327.69$ 15.9%492.74$ 14.9%
+5.01-10.00%1,594 18%99.40$ 9.1%201.04$ 9.7%302.76$ 9.2%
+0.01-5.00%1,897 21%37.02$ 3.4%74.39$ 3.6%112.79$ 3.4%
No Change 21 0%5.83$ 0.5%11.06$ 0.5%17.80$ 0.5%
-0.01-5.00%1,469 16%(25.36)$ -2.3%(52.26)$ -2.5%(77.19)$ -2.3%
-5.01 - 10.00%808 9%(87.74)$ -8.0%(178.91)$ -8.7%(267.16)$ -8.1%
-10.00 - 15.00%363 4%(150.11)$ -13.7%(305.56)$ -14.8%(457.14)$ -13.8%
-15.01% +195 2%(181.30)$ -16.6%(368.89)$ -17.9%(552.12)$ -16.7%
8,981 100%
% EMV Value Range
# of
affected
Properties
AVG MV- $338,100 $600,000 HOME $900,000 HOME
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