HomeMy WebLinkAbout09 18 2023 - 7A 2024 Preliminary Budget and Tax Levy2024 Preliminary Tax Levy and Budget
September 18, 2023
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2024 Preliminary Tax Levy and Budget
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By September 30, the City Council must:
Adopt a preliminary budget and certify a preliminary property tax levy for pay 2024
Announce the time and place of the meeting, when the budget and levy will be discussed, and public input allowed
The public budget meeting will be held December 4 at 7:00 p.m. in the Council Chambers
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2024 Tax Levy and Budget Schedule
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Tax Levy and Budget Schedule
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Overview – 2024 Preliminary Budgets
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Budget Overview
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The proposed budgets reflect additional resources needed for the following areas:
First full year of Fire department full-time staffing (includes six months of added expenditures due to midyear 2023 implementation)
Proposed personnel add for a Police Officer and Recreation Programmer
Unfunded mandates (elections, joint county prosecution, PD additional holiday worked)
Reduction in the rate of development
Inflationary/Contract increases for wages and commodities
Funding annual capital replacement needs for equipment/park equipment/facilities.
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July & August 2023
Average en route time- 01:01
Average on scene time- 05:52
Average total call time: 06:53
July & August 2022
Average en route time- 05:48
Average on scene time- 06:41
Average total call time: 12:29
En route time (time to get out the door)
On scene time (time to get to the fire scene)
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Fire Department Metrics
(Two full months of Full-Time Fire Staffing)
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General Fund Expenditures $20,975,067
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General Fund Revenues $21,075,067
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The growth of wages surpassed that of inflation for the first time since March 2021 in February of 2023.
71% of city budget is personnel costs.
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2024 Base Tax Levy Considerations
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The 2024 proposed tax levy is $18,857,710.
The proposed tax levy increase is $1,993,754 (11.81%)
$644,000 (3.8%) of the tax levy increase is funding to support the transition to a full-time firefighter staffing model and unfunded mandates.
$1,350,000 (8.1%) is the levy needed to provide city services, capital improvement funding, and address commodity cost increases and wage inflation.
Components of the 2024 Proposed Tax Levy Change
Total CITY tax levy of $18,857,710 which is an 11.81% increase from the prior year levy. City tax rate estimate of 30.42% (8.2% increase).
Total EDA tax levy of $390,000 which is a 5.41% increase from the prior year levy. EDA tax rate estimate of .64% (2.3% increase)
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Property Tax Projection Summary
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Property Tax Rate History
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Prior Lake’s Tax Rate has been consistently lower than average tax rate for Seven-County Metro area cities.
2023 Prior Lake City Tax Rate of 28.11%
2024 Prior Lake City Tax Rate based on preliminary 2024 budget is 30.42%
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Metro Area Average City Tax Rates
City Levy/Tax Capacity = Tax Rate
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City Levy/Tax Capacity = Tax Rate
2024 Prior Lake City Tax Rate based on preliminary 2023 budget is 30.42%
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Scott County Tax Capacity Rate by City
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Resident Impact of Proposed City Tax Levy Change
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Resident Impact of City Tax Levy
Median Valued Home
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2024 Tax Levy and Budget Schedule
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Next Steps
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Council Discussion
Council Action Requested
Resolution 1- Consider Approval of a Resolution Approving Preliminary 2024 City Budgets and Certifying Preliminary 2024 City of Prior Lake Property Tax Levy to Scott County Department
of Taxation
Resolution 2 - Consider Approval of a Resolution Approving Preliminary 2024 Economic Development Authority Budget and Certifying Preliminary 2024 Economic Development Authority Property
Tax Levy to Scott County Department of Taxation
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