HomeMy WebLinkAbout01(A) - 2027 Preliminary Budget & Property Tax Levy Report
ITEM: 1A
CITY COUNCIL AGENDA REPORT
MEETING DATE: July 28, 2026
PREPARED BY: Jason Etter, Accounting Manager
Nicole Klekner, Finance Director
PRESENTED BY: Nicole Klekner
AGENDA ITEM: 2027 Preliminary Budget & Property Tax Levy
The purpose of this report is to provide the City Council with an overview of community growth,
proposed 2027 property tax levy, property tax supported-funds, bar chart of primary drivers of the
revenues and expenditure changes in the General Fund as well as the impact of such on the
median valued home and fund balance reserves.
City staff have been preparing their 2027 budget requests over the past few months. The
proposed budgets reflect additional resources needed for the following areas:
Community Growth
Proposed personnel funding for an Administrative Assistant and two Police Officers
Commodities – inflationary increases
Community Growth
The City of Prior Lake has experienced significant growth during these past ten years. Since
2018, growth from new construction has added $2.9 billion to the taxable market value of which
$871 million or 30% of the growth has occurred in the past five years. The following chart
provides a breakdown of that growth:
Type 10-Yr Growth % Change 5-Yr Growth % Change
Residential $ 2,548,001,091 88.3% $ 736,697,788 84.5%
Commercial/Ind 180,084,100 6.2% 104,729,000 12.0%
Apartments 166,199,833 5.8% 45,750,633 5.2%
Other (8,787,695) -0.3% (15,711,641) -1.8%
Total $ 2,885,497,329 100.0% $ 871,465,780 100.0%
The population has grown from 25,735 in 2017 (Minnesota State Demographic Center) to
approximately 29,060 or 13%. As we grow, this also increases the amount of traffic and number
of people requiring services from the City (i.e. streets, parks, police, fire, recreation etc.)
Preliminary taxable market values have increased $245 million or 4.1% from 2026 to 2027, of
which approximately $43 million is from new construction. Based on the 2026 tax rate, new
construction tax capacity of $380,000 will generate about $119,000 in property taxes. This
equates to about 0.5% of the 2027 property tax levy.
City of Prior Lake | 4646 Dakota Street SE | Prior Lake MN 55372
Growth (New Construction)0.5%
Wage Growth *3.7%
Debt Service2.1%
Total property tax considerations6.4%
Item 1A
Page | 2
City Tax Rate
The city has been fortunate to keep its tax rate low. The 2027 proposed tax rate is 32.0%. The
ability to keep the tax rate low is primarily due to new construction growth each year and an overall
valuation increase of 20% made by the Scott County Assessor’s office in 2023. The 2023 tax rate,
at 28.11%, is the lowest tax rate in the past decade, however, this is not sustainable to provide
city services. If the tax rate were maintained at the 2022 level, approximately $1.3 million in
additional revenues would have been generated annually to fund city services, including
equipment replacement, facility improvements, pavement management etc.
Proposed Property Tax Levy
The following chart provides a guide for establishing the 2027 tax levy based on factors that
impact the Prior Lake community:
*Used May YTD wage growth of 3.7% as 72% of city budget is personnel costs.
Economic Growth: Non-tax revenue from residential building permits/fees budget is $408k more
than the 2026 budget. New residential units are estimated at 110 units (60 single family/50
townhomes) for 2027 as compared to the budget of 50 units (50 single family/0 townhomes) for
2026.
Costs higher than CPI: The US Inflation Calculator for May 2026 indicates a CPI of 4.2% (US
Inflation Calculator and U.S. Bureau of Labor Statistics). There is general concern regarding the
inflationary impact on the economy due to labor and material shortages.
Item 1A
Page | 3
Historically, budget items that fall under contractual agreements such as our labor contracts,
health insurance premiums, salt/ice management materials, and technology have seen increases
greater than the area CPI. Preliminary data indicates we may see a 15% increase in our
healthcare premiums and a 10% increase in dental premiums. May YTD wage growth is 3.7%,
which is 0.5% lower than the inflation rate of 4.2%. 72% of the city’s general fund budget is
personnel costs.
Staffing adds:
The Five-Year Personnel Plan includes funding the following staff additions for 2027:
Administrative Assistant (1 FTE) This position will include staffing the front desk of City
Hall, greeting customers, answering phone calls, and routing City information inbox emails
as well as providing executive support to the City Manager, which currently does not exist.
In addition, this position will assist Utility Billing (UB) to enhance customer service,
especially for walk-in customers, by looking up account information and processing
payments when UB staff are unavailable. The Administrative Assistant would help prepare
and mail letters related to the UB certification process and contact residents who are on
the high consumption report, a task that UB performs only as time allows. At that time, the
Administrative Assistant could then direct residents to the My360 portal and help them set
up an account which could increase adoption rates, which would be a new service
provided to our residents.
Police Officers (2 FTE). The recent workload study found that staffing in the Patrol Division
is not adequate to provide shift relief, manage workload volumes and the appropriate
geographic distribution of personnel. In addition, this increase takes into account the ‘non-
operational’ (vacancies to ensure staffing at operational minimal levels) hours for officers
who are in training, on leave, injured or otherwise unable to fulfill their duties. Additional
considerations include the impact of paid family leave as mandated by the State of MN on
staffing requirements. As of early 2026, PLPD anticipate multiple sworn staff to be taking
extended time off, creating vacancies that likely will need to be filled with overtime to
maintain minimum service abilities.
See attachment 1 for the budget overview. To fund the present assumptions in the 2027 proposed
budget, a preliminary city tax levy increase of 6.05% is needed. The proposed 2027 city property
tax levy is comprised of the following components:
Fund Proposed 2027 Change
Levy from 2026 ($)
$17,138,124 $605,212
General Fund
3,454,655 475,434
Debt Service Fund
1,025,000 100,000
Equip Revolving Fund
655,000 60,000
Revolving Park Equip Fund
355,000 50,000
Facilities Mgmt. Fund
TOTAL LEVY $22,627,779 $1,290,646
The proposed 2027 tax levy is a 6.05% increase over the 2026 tax levy. The estimated tax
capacity rate is 32.03%, which equates to a 2.07% increase from the 2026 tax rate of 31.38%.
3.12%$1,291,000 Total: 6.05% Personnel AddsCapital Improvement ProgramOperating6.00%5.00%4.00%3.00%2.00%1.00%0.00%$416,0001.95%$210,0000.98%$665,000
2027 Budget / Tax Levy - July 28 Council Worksession
Proposed Tax Levy Increase:
PERSONNEL ADDS: 1.95%
97Administrative Assistant
319Police Officers (2)
416
CAPITAL IMPROVEMENT PROGRAM: 0.98%
100Equipment Replacement
Item 1A
60Park Equipment Replacement
50Facilities Management
Page | 4
210
OPERATING: 3.12%
Levy Changes to Maintain Service Levels
FINANCIAL IMPACT: (866)Non Tax Revenue Increase
531Personnel
605Current Expenditures/Transfers
(89)Capital Outlay
181Subtotal Levy to Maintain Service Levels
City Proposed Levy
484Change in Debt Service
665
The proposed city tax levy is $22,627,779. This is a levy increase of $1,291,000 (6.05%). The
components of the proposed tax levy change based on the 2027 preliminary budgets are
summarized on attachment 3 and in the chart below.
Note: the above change in levy amounts are in thousands
The budget drivers of the levy change are shown on Attachment 3 - Components of the 2027
Proposed Tax Levy.
Median $461,700$600,000$1,000,000
% NetNetNetNetNetNetNet
# of
% EMV Value Range
affected ofPayableInc/DecDifferenceInc/DecDifferenceInc/DecDifference
Inc/DecPropertiesTotal202726 vs 27% Change26 vs 27% Change26 vs 27% Change
+15.01+%861%$ 1,748 $ 29420.3%$ 40420.3%$ 67819.0%
+10.01-15.00%430%$ 1,702 $ 24817.0%$ 34317.3%$ 57716.1%
+5.01-10.00%2,75628%$ 1,605 $ 15110.4%$ 22211.1%$ 37510.5%
+0.01-5.00%5,69758%$ 1,524 $ 704.8%$ 1005.0%$ 1724.8%
No Change370%$ 1,483 $ 292.0%$ 402.0%$ 712.0%
-0.01-5.00%1,08911%$ 1,442 $ (12)-0.8%$ (21)-1.1%$ (30)-0.8%
-5.01 - 10.00%681%$ 1,360 $ (94)-6.4%$ (143)-7.2%$ (232)-6.5%
-10.00 - 15.00%10%$ 1,279 $ (175)-12.0%$ (264)-13.3%$ (435)-12.2%
-15.01% +20%$ 1,238 $ (216)-14.9%$ (325)-16.3%$ (536)-15.0%
9,779
100%
Item 1A
Page | 5
Impact on Median Valued Home
58% of the homes in Prior Lake have seen an estimated increase in market value of 0.01-5%. For
a median valued home of $461,700 the proposed increase in the property tax levy would result in
the city’s portion of the property taxes increasing by approximately $70. The annual change in
2027 total taxes for a sample of property values is shown below.
EDA Proposed Tax Levy
The EDA budget for 2027 is in process. A minimal increase to cover rising costs is anticipated.
Fund Balance:
The Comprehensive Financial Management Plan recommends maintaining reserves in a range
between 40% and 50% of subsequent year expenditures.
The estimated year-end 2026 ending reserve balance is at 56% and the year-end 2027 reserve
balance is estimated at 52%.
City Tax Levy and Tax Rate Projections:
The estimated tax levies and tax rate projections for the city’s five-year financial plan is shown
below.
CITY PROPERTY TAX PROJECTION
Five Year Planning Period
202620272028202920302031
TAX LEVIES
General Fund Levy - Tax Capacity 16,267,024 16,864,136 18,032,656 19,595,626 20,819,085 22,357,525
General Fund Levy - Market Value 265,888 273,988 281,638 283,838 290,738
277,888
Debt Service Fund 2,979,220 3,454,655 3,889,440 4,390,759 4,060,724 3,530,139
CIP Funds 1,825,000 2,035,000 2,185,000 2,335,000 2,500,000 2,650,000
Item 1A
Total Tax Levies 21,337,132 22,627,779 24,388,735 26,605,223 27,670,547 28,815,553
Annual $ Change 1,485,227 1,290,646 1,760,956 2,216,489 1,065,324 1,145,006
Page | 6
TOTAL % CHANGE IN TAX LEVIES7.5%6.0%7.8%9.1%4.0%4.1%
CITY TAX CAPACITY TAX RATE32.03%33.54%35.45%35.77%36.05%
Annual % Change2.07%4.72%5.69%0.92%0.77%
Debt per Capita 868 890 1,304 1,328 1,311 1,497
Bonds Outstanding 24,565,000 25,285,000 37,220,000 38,275,000 38,140,000 43,965,000
Change in Bonds Outstanding 720,000 11,935,000 1,055,000 (135,000) 5,825,000
The city’s financial planning reflects funding general operations, future planned capital
improvements, including related debt service on planned bond issuance to support capital
improvements for streets, equipment replacement and facilities capital maintenance projects.
In total, these funding needs result in an estimated 10-year average tax rate increase of 3.0%.
This is in line with the parameters established in the city’s 2023 financial planning study. Any
modifications to the planned budgets and CIP are reflected in the annual update of the financial
plan.
Budget & CIP Schedule
Additional meetings/workshops (highlighted in blue) are currently scheduled to discuss and adopt
2027 property tax levies and budgets:
Aug 25, 5:00 pm Workshop – Additional Review of Preliminary Tax Levy and Budget,
if needed
Sept 22, 7:00 pm Meeting – Adopt Preliminary Tax Levy & Budget; Announce Public
Budget Meeting Date
Nov 10, 5:00 pm Workshop – Final 2027 Budget/Tax Levy Discussion
Dec 8, 7:00 pm Meeting – Public Budget Meeting (Truth in Taxation); Adopt 2027
Budget & Tax Levy; Adopt Fee Schedule
Council Direction
Staff are seeking direction regarding the 2027 property tax levy and underlying budgets.
ATTACHMENTS:
1. 2027 Budget Overview
2. Personnel Plan 2027-2031
3. Components of 2027 Proposed Tax Levy Change
4. 2027 Proposed Revenues and Expenditure Detail by Fund
2025 2026 2026 2027 2027 2027
ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
ACCOUNT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
Fund 101 - GENERAL FUND
TAXES
31010.00 Current Property Taxes - General Purpos 13,734,786 15,251,333 15,251,333 15,856,545 605,212 3.97
31020.00 Delinquent Property Taxes - General Purp 75,091
31040.00 Fiscal Disparities 1,261,402 1,281,579 1,281,579 1,281,579
33423.00 Market Value Credit Aid 499
TAXES 15,071,778 16,532,912 16,532,912 17,138,124 605,212 3.66
FRANCHISE TAXES
31810.00 Franchise Taxes 518,830 528,000 528,000 513,500 (14,500) (2.75)
FRANCHISE TAXES 518,830 528,000 528,000 513,500 (14,500) (2.75)
INTERGOVERNMENTAL
33160.10 Fed Aids/Grants - Operating Grants
33160.11 Fed Aids/Grants - Operating Police 25,129
33401.00 Local Government Aid
33416.01 State Aid - Police Train 32,816 30,000 30,000 30,000
33416.02 State Police Aid-Ins Prem 455,021 378,000 378,000 450,000 72,000 19.05
33417.00 State Aid - Fire Training 50,090
33418.00 State Road & Bridge Aid 593,917 552,295 552,295 581,635 29,340 5.31
33420.00 State Fire Aid-Ins. Prem.449,938 387,258 387,258 450,000 62,742 16.20
33422.10 State Aids/Grants - Operating Grants
33422.11 State Aids/Grants - Operating Police 15,353
33610.10 County-City Aids/Grants - Operating Gran
33610.11 County-City Aids/Grants - Operating Poli
33620.00 Township Fire & Resc Aid 961,430 1,092,405 1,092,405 1,179,955 87,550 8.01
33621.00 Liaison Aid 68,430 68,430 68,430 72,340 3,910 5.71
33631.00 Payment in Lieu of Taxes 1,400,000 1,525,000 1,525,000 1,650,000 125,000 8.20
33700.10 Miscellaneous Grants - Operating Grants 7,473
33700.20 Miscellaneous Grants - Capital Grants 106,250 (106,250) (100.00)
33700.23 Miscellaneous Grants - Capital Parks 9,618
INTERGOVERNMENTAL 4,069,215 4,033,388 4,139,638 4,413,930 274,292 6.63
CHARGES FOR SERVICES
34103.00 Zoning & Subdivision Fees 34,941 40,000 40,000 35,000 (5,000) (12.50)
34104.00 Plan Check Fees 202,176 157,545 157,545 318,039 160,494 101.87
34105.00 Sale of Maps/Publications - Reports 168 500 500 100 (400) (80.00)
34107.00 Assessment Searches - Reports 75 500 500 250 (250) (50.00)
34108.00 Street Chip Seal Fee-New Development 22,275
34109.00 Project Admin/Eng Fees 112,500 185,000 185,000 185,000
34203.00 Accident/Warrant Reports - Reports 568 500 500 500
34731.00 Adult League Fees 4,382 5,000 5,000 5,000
34732.00 Recreation Program Fees - Contracted 47,735 45,000 45,000 45,000
34735.00 Recreation Program Fees - Staff Run 71,732 70,000 70,000 72,000 2,000 2.86
34735.01 Recreation Program Fees - Club Prior 16,731 15,000 15,000 15,000
34740.00 Concessions - Park Fees (136)
34760.01 Facility Rental - Regular 50,693 68,088 68,088 71,037 2,949 4.33
34760.87 Facility Rental - Lease 15,490
34761.00 Studio/Pavilion Rental 35,686 30,000 30,000 32,000 2,000 6.67
34762.00 Park Shelter Rental 20,524 22,000 22,000 22,000
34762.01 Boat Slip Rental 74,750 72,000 72,000 72,000
34765.01 Tower Leases
34765.87 Tower Leases - Lease 332,757 289,104 289,104 297,503 8,399 2.91
34780.00 Parking Meter Fees 22,757 30,000 30,000 32,500 2,500 8.33
34782.00 Sign Lease Fees
34783.00 City Contract Services 199,248 295,092 295,092 234,430 (60,662) (20.56)
CHARGES FOR SERVICES 1,265,052 1,325,329 1,325,329 1,437,359 112,030 8.45
SPECIAL ASSESSMENTS
36101.00 City Assess. Collections
36102.00 County Assess. Collection 4,611 4,000 4,000 4,000
SPECIAL ASSESSMENTS 4,611 4,000 4,000 4,000
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 396,353 293,500 293,500 320,800 27,300 9.30
36210.87 Interest Earnings (127,225)
36215.00 Amortization - Premium/Discount 174,463
36225.00 Unrealized Inv.Gain(Loss)163,211
36226.00 Realized Inv Gain/(Loss)
INTEREST (LOSSES) ON INVESTMENTS 606,802 293,500 293,500 320,800 27,300 9.30
BUDGET REPORT
CITY OF PRIOR LAKE
REVENUES - DETAIL
From Amended Budget
2025 2026 2026 2027 2027 2027
ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
ACCOUNT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
REVENUES - DETAIL
From Amended Budget
MISCELLANEOUS REVENUES
36211.00 Developer Agreements 127,948 57,300 57,300 125,000 67,700 118.15
36212.00 Miscellaneous Revenue 231,626 70,000 70,000 70,000
36230.00 Contributions & Donations 4,314
36230.11 Contributions - Shop with a Cop 2,640
36230.12 Contributions and Donations
36230.13 Contributions and Donations 16,794
36230.33 Contributions - Charitable Gambling 15,500
MISCELLANEOUS REVENUES 398,822 127,300 127,300 195,000 67,700 53.18
SALE OF ASSETS
39102.00 Sale of Property 22,634
SALE OF ASSETS 22,634
TRANSFERS IN
39203.00 Transfer from Other Funds 626,975 668,000 668,000 725,000 57,000 8.53
TRANSFERS IN 626,975 668,000 668,000 725,000 57,000 8.53
LICENSES AND PERMITS
32100.00 Business Licenses 2,800 2,200 2,200 2,200
32110.00 Liquor Licenses 80,845 73,795 73,795 74,495 700 0.95
32120.00 Cannabis Fee 4,200
32160.00 Refuse Haulers 6,990 6,290 6,290 6,290
32175.00 Public Private Gathering Permit 150
32180.00 Cigarette Licenses 3,250 2,750 2,750 2,250 (500) (18.18)
32185.00 Food Truck Registration 2,175
32190.00 Community Event Application 2,350 2,000 2,000 2,000
32210.00 Building Permits 408,611 242,097 242,097 489,290 247,193 102.10
32211.00 Retainage Forfeiture
32215.00 Mechanical Permits 58,520 75,399 75,399 77,675 2,276 3.02
32230.00 Plumbing Permits 46,754 56,703 56,703 46,595 (10,108) (17.83)
32231.00 Sewer/Water Inspection 1,853 4,916 4,916 5,995 1,079 21.95
32232.00 Plumbing Registrations
32260.00 Burning Permits 3,220 4,560 4,560 (4,560) (100.00)
32265.00 Banner Permits 200
32270.00 Short-term Rental Fee 2,750 2,000 2,000 2,000
LICENSES AND PERMITS 624,668 472,710 472,710 708,790 236,080 49.94
FINES AND FORFEITURES
35101.00 County Court Fines 95,552 108,000 108,000 108,000
35104.00 Prosecution Restitution 4,201
FINES AND FORFEITURES 99,753 108,000 108,000 108,000
TOTAL - FUND 101 23,309,140 24,093,139 24,199,389 25,564,503 1,365,114 5.64
DEBT SERVICE FUNDS
TAXES
31015.00 Current Property Taxes - Debt Service 2,925,685 2,979,221 2,979,221 3,454,655 475,434 15.96
TAXES 2,925,685 2,979,221 2,979,221 3,454,655 475,434 15.96
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 128,781 89,800 89,800 101,900 12,100 13.47
36225.00 Unrealized Inv.Gain(Loss)56,468
INTEREST (LOSSES) ON INVESTMENTS 185,249 89,800 89,800 101,900 12,100 13.47
DEBT ISSUED
39310.00 G.O. Bond Proceeds
DEBT ISSUED
OTHER FINANCING SOURCES
39315.00 Projects - Bond Premium
OTHER FINANCING SOURCES
TRANSFERS IN
39203.00 Transfer from Other Funds 1,259,807 1,305,156 1,305,156 1,335,088 29,932 2.29
TRANSFERS IN 1,259,807 1,305,156 1,305,156 1,335,088 29,932 2.29
SPECIAL ASSESSMENTS
36101.00 City Assess. Collections 377,146
36102.00 County Assess. Collection 383,328 485,532 485,532 323,118 (162,414) (33.45)
SPECIAL ASSESSMENTS 760,474 485,532 485,532 323,118 (162,414) (33.45)
2025 2026 2026 2027 2027 2027
ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
ACCOUNT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
REVENUES - DETAIL
From Amended Budget
MISCELLANEOUS REVENUES
36212.00 Miscellaneous Revenue
MISCELLANEOUS REVENUES
TOTAL - DEBT SERVICE FUNDS 5,131,215 4,859,709 4,859,709 5,214,761 355,052 7.31
2025 2026 2026 2027 2027 2027
ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
ACCOUNT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
REVENUES - DETAIL
From Amended Budget
Fund 210 - CABLE FRANCHISE FUND
CHARGES FOR SERVICES
34304.00 PEG Access Fees 10,245 12,000 12,000 8,400 (3,600) (30.00)
CHARGES FOR SERVICES 10,245 12,000 12,000 8,400 (3,600) (30.00)
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 3,566
36225.00 Unrealized Inv.Gain(Loss)1,451
INTEREST (LOSSES) ON INVESTMENTS 5,017
TOTAL - FUND 210 15,262 12,000 12,000 8,400 (3,600) (30.00)
Fund 225 - CAPITAL PARK FUND
INTERGOVERNMENTAL
33160.20 Fed Aids/Grants - Capital Grants 1,000,000
33700.20 Miscellaneous Grants - Capital Grants 850,000 850,000
INTERGOVERNMENTAL 1,000,000 850,000 850,000
CHARGES FOR SERVICES
34760.01 Facility Rental - Regular 62,398 30,267 30,267 13,467 (16,800) (55.51)
34760.87 Facility Rental - Lease
34791.00 Dedication Fees 229,560 187,500 187,500 300,000 112,500 60.00
CHARGES FOR SERVICES 291,958 217,767 217,767 313,467 95,700 43.95
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 43,620 41,400 41,400 31,600 (9,800) (23.67)
36210.87 Interest Earnings 890
36225.00 Unrealized Inv.Gain(Loss)22,145
INTEREST (LOSSES) ON INVESTMENTS 66,655 41,400 41,400 31,600 (9,800) (23.67)
TRANSFERS IN
39203.00 Transfer from Other Funds 290,000
TRANSFERS IN 290,000
MISCELLANEOUS REVENUES
36230.00 Contributions & Donations
MISCELLANEOUS REVENUES
TOTAL - FUND 225 1,648,613 259,167 259,167 1,195,067 935,900 361.12
Fund 240 - EDA SPECIAL REVENUE FUND
TAXES
31010.00 Current Property Taxes - General Purpos 377,462 378,543 378,543 378,543
31040.00 Fiscal Disparities 26,575 26,457 26,457 26,457
TAXES 404,037 405,000 405,000 26,457
CHARGES FOR SERVICES
34760.02 Facility Rental - EDA 26,988 26,988 26,988 27,000 12 0.04
CHARGES FOR SERVICES 26,988 26,988 26,988 27,000 12 0.04
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 19,575 11,100 11,100 26,100 15,000 135.14
36225.00 Unrealized Inv.Gain(Loss)8,040
36226.00 Realized Inv Gain/(Loss)
INTEREST (LOSSES) ON INVESTMENTS 27,615 11,100 11,100 26,100 15,000 135.14
MISCELLANEOUS REVENUES
36230.00 Contributions & Donations
MISCELLANEOUS REVENUES
SALE OF ASSETS
39102.00 Sale of Property
SALE OF ASSETS
TRANSFERS IN
39203.00 Transfer from Other Funds
TRANSFERS IN
TOTAL - FUND 240 458,640 443,088 443,088 458,100 15,012 3.39
2025 2026 2026 2027 2027 2027
ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
ACCOUNT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
REVENUES - DETAIL
From Amended Budget
Fund 410 - REVOLVING EQUIPMENT FUND
TAXES
31010.00 Current Property Taxes - General Purpos 874,083 925,000 925,000 1,025,000 100,000 10.81
31015.00 Current Property Taxes - Debt Service 150,000
TAXES 1,024,083 925,000 925,000 1,025,000 100,000 10.81
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 20,387 14,000 14,000 16,400 2,400 17.14
36225.00 Unrealized Inv.Gain(Loss)7,776
INTEREST (LOSSES) ON INVESTMENTS 28,163 14,000 14,000 16,400 2,400 17.14
MISCELLANEOUS REVENUES
39104.00 Forfeiture Property Sales
MISCELLANEOUS REVENUES
SALE OF ASSETS
39102.00 Sale of Property 113,242
SALE OF ASSETS 113,242
TRANSFERS IN
39203.00 Transfer from Other Funds 317,563
TRANSFERS IN 317,563
DEBT ISSUED
39310.00 G.O. Bond Proceeds 2,200,000 2,200,000
DEBT ISSUED 2,200,000 2,200,000
TOTAL - FUND 410 1,483,051 939,000 939,000 3,241,400 2,302,400 245.20
Fund 430 - REVOLVING PARK EQUIP FUND
TAXES
31010.00 Current Property Taxes - General Purpos 534,304 595,000 595,000 655,000 60,000 10.08
TAXES 534,304 595,000 595,000 655,000 60,000 10.08
INTERGOVERNMENTAL
33160.20 Fed Aids/Grants - Capital Grants 212,500 212,500 (212,500) (100.00)
33700.20 Miscellaneous Grants - Capital Grants 283,600 283,600
INTERGOVERNMENTAL 212,500 212,500 283,600 71,100 33.46
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 32,624 28,200 28,200 20,100 (8,100) (28.72)
36225.00 Unrealized Inv.Gain(Loss)15,595
INTEREST (LOSSES) ON INVESTMENTS 48,219 28,200 28,200 20,100 (8,100) (28.72)
MISCELLANEOUS REVENUES
36230.00 Contributions & Donations 88,000 170,000 170,000 200,000 30,000 17.65
MISCELLANEOUS REVENUES 88,000 170,000 170,000 200,000 30,000 17.65
TRANSFERS IN
39203.00 Transfer from Other Funds
TRANSFERS IN
DEBT ISSUED
39310.00 G.O. Bond Proceeds
DEBT ISSUED
TOTAL - FUND 430 670,523 1,005,700 1,005,700 1,158,700 153,000 15.21
2025 2026 2026 2027 2027 2027
ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
ACCOUNT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
REVENUES - DETAIL
From Amended Budget
Fund 440 - FACILITIES MANAGEMENT FUND
TAXES
31010.00 Current Property Taxes - General Purpos 254,165 305,000 305,000 355,000 50,000 16.39
TAXES 254,165 305,000 305,000 355,000 50,000 16.39
INTERGOVERNMENTAL
33160.00 Fed Aids/Grants
33620.00 Township Fire & Resc Aid
33700.10 Miscellaneous Grants - Operating Grants
INTERGOVERNMENTAL
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 28,981 28,700 28,700 21,400 (7,300) (25.44)
36225.00 Unrealized Inv.Gain(Loss)12,538
INTEREST (LOSSES) ON INVESTMENTS 41,519 28,700 28,700 21,400 (7,300) (25.44)
TRANSFERS IN
39203.00 Transfer from Other Funds 60,000 60,000 130,000 70,000 116.67
TRANSFERS IN 60,000 60,000 130,000 70,000 116.67
DEBT ISSUED
39310.00 G.O. Bond Proceeds 1,545,000 1,545,000 500,000 (1,045,000) (67.64)
DEBT ISSUED 1,545,000 1,545,000 500,000 (1,045,000) (67.64)
TOTAL - FUND 440 295,684 1,938,700 1,938,700 1,006,400 (932,300) (48.09)
Fund 450 - PERMANENT IMPROVEMENT REVOLVING FUND
TAXES
31010.00 Current Property Taxes - General Purpos
TAXES
FRANCHISE TAXES
31810.00 Franchise Taxes
FRANCHISE TAXES
INTERGOVERNMENTAL
33610.25 County-City Aids/Grants - Capital PW
INTERGOVERNMENTAL
SPECIAL ASSESSMENTS
36101.00 City Assess. Collections 32,932
36102.00 County Assess. Collection 224,617 244,846 244,846 202,839 (42,007) (17.16)
SPECIAL ASSESSMENTS 257,549 244,846 244,846 202,839 (42,007) (17.16)
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 42,707 26,100 26,100 36,600 10,500 40.23
36225.00 Unrealized Inv.Gain(Loss)17,183
INTEREST (LOSSES) ON INVESTMENTS 59,890 26,100 26,100 36,600 10,500 40.23
TRANSFERS IN
39203.00 Transfer from Other Funds 451,555
TRANSFERS IN 451,555
DEBT ISSUED
39310.00 G.O. Bond Proceeds 230,000 230,000 (230,000) (100.00)
DEBT ISSUED 230,000 230,000 (230,000) (100.00)
TOTAL - FUND 450 768,994 500,946 500,946 239,439 (261,507) (52.20)
2025 2026 2026 2027 2027 2027
ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
ACCOUNT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
REVENUES - DETAIL
From Amended Budget
Fund 601 - WATER FUND
INTERGOVERNMENTAL
33422.15 State Aids/Grants - Operating Public Wor 1,214 5,000 5,000
INTERGOVERNMENTAL 1,214 5,000 5,000
CHARGES FOR SERVICES
37106.00 Spring Lake Township Utility Surcharge 7,549
CHARGES FOR SERVICES 7,549
SPECIAL ASSESSMENTS
36102.00 County Assess. Collection 8,417
SPECIAL ASSESSMENTS 8,417
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 332,794 237,900 237,900 300,000 62,100 26.10
36225.00 Unrealized Inv.Gain(Loss)136,768
INTEREST (LOSSES) ON INVESTMENTS 469,562 237,900 237,900 300,000 62,100 26.10
MISCELLANEOUS REVENUES
36212.00 Miscellaneous Revenue 8,609
37190.00 Miscellaneous Revenue Adj
MISCELLANEOUS REVENUES 8,609
SALE OF ASSETS
39102.00 Sale of Property
SALE OF ASSETS
TRANSFERS IN
39203.00 Transfer from Other Funds 41,145
TRANSFERS IN 41,145
CAPITAL CONTRIBUTIONS FROM OTHER FUNDS
37901.00 Contribution (Other Fund)187,933
57901.00 Capital Contributions (Other Fund)
CAPITAL CONTRIBUTIONS FROM OTHER FUNDS 187,933
CAPITAL CONTRIBUTIONS FROM DEVELOPERS
37902.00 Contribution (Developers)408,345
CAPITAL CONTRIBUTIONS FROM DEVELOPERS 408,345
OTHER FINANCING SOURCES
39315.00 Projects - Bond Premium 16,160
OTHER FINANCING SOURCES 16,160
CONTRIBUTIONS AND DONATIONS
36231.00 PERA Pension Contributions (1,095)
CONTRIBUTIONS AND DONATIONS (1,095)
WATER CHARGES
37100.00 Utility Receipts - Water 3,793,549 4,117,125 4,117,125 4,179,766 62,641 1.52
37160.00 Penalties 10,855 10,000 10,000 10,000
WATER CHARGES 3,804,404 4,127,125 4,127,125 4,189,766 62,641 1.52
CAPITAL FACILITY CHARGES
37110.00 Utility Base Fee Revenue 1,526,931 1,468,569 1,468,569 1,541,092 72,523 4.94
CAPITAL FACILITY CHARGES 1,526,931 1,468,569 1,468,569 1,541,092 72,523 4.94
METER SALES
37170.00 Water Meter Sales 30,954 50,725 50,725 50,725
37175.00 Pressure Reducers 9,126 12,900 12,900 12,900
METER SALES 40,080 63,625 63,625 63,625
TOTAL - FUND 601 6,519,254 5,897,219 5,897,219 6,099,483 202,264 3.43
2025 2026 2026 2027 2027 2027
ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
ACCOUNT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
REVENUES - DETAIL
From Amended Budget
Fund 602 - STORM WATER UTILITY
INTERGOVERNMENTAL
33422.10 State Aids/Grants - Operating Grants 2,855
33610.20 County-City Aids/Grants - Capital Grants
INTERGOVERNMENTAL 2,855
SPECIAL ASSESSMENTS
36102.00 County Assess. Collection (9,526)
SPECIAL ASSESSMENTS (9,526)
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 160,630 100,100 100,100 125,000 24,900 24.88
36225.00 Unrealized Inv.Gain(Loss)56,391
INTEREST (LOSSES) ON INVESTMENTS 217,021 100,100 100,100 125,000 24,900 24.88
MISCELLANEOUS REVENUES
36212.00 Miscellaneous Revenue
MISCELLANEOUS REVENUES
TRANSFERS IN
39203.00 Transfer from Other Funds 9,810
TRANSFERS IN 9,810
CAPITAL CONTRIBUTIONS FROM OTHER FUNDS
37901.00 Contribution (Other Fund)252,753
CAPITAL CONTRIBUTIONS FROM OTHER FUNDS 252,753
CAPITAL CONTRIBUTIONS FROM DEVELOPERS
37902.00 Contribution (Developers)117,910
CAPITAL CONTRIBUTIONS FROM DEVELOPERS 117,910
OTHER FINANCING SOURCES
39315.00 Projects - Bond Premium 2,994
OTHER FINANCING SOURCES 2,994
CONTRIBUTIONS AND DONATIONS
36231.00 PERA Pension Contributions (335)
CONTRIBUTIONS AND DONATIONS (335)
WATER CHARGES
37160.00 Penalties 2,279 1,500 1,500 2,000 500 33.33
WATER CHARGES 2,279 1,500 1,500 2,000 500 33.33
STORM WATER CHARGES
32250.00 Wetland Conservation Act Fees 980
37120.00 Storm Water Revenue 2,059,519 2,125,713 2,125,713 2,212,035 86,322 4.06
STORM WATER CHARGES 2,060,499 2,125,713 2,125,713 2,212,035 86,322 4.06
TOTAL - FUND 602 2,656,260 2,227,313 2,227,313 2,339,035 111,722 5.02
2025 2026 2026 2027 2027 2027
ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
ACCOUNT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
REVENUES - DETAIL
From Amended Budget
Fund 604 - SEWER FUND
INTERGOVERNMENTAL
33630.20 Metro Council Grants - Capital
INTERGOVERNMENTAL
CHARGES FOR SERVICES
37106.00 Spring Lake Township Utility Surcharge 7,546
CHARGES FOR SERVICES 7,546
SPECIAL ASSESSMENTS
36102.00 County Assess. Collection 7,956
SPECIAL ASSESSMENTS 7,956
INTEREST (LOSSES) ON INVESTMENTS
36210.00 Interest Earnings 171,000 119,500 119,500 150,000 30,500 25.52
36225.00 Unrealized Inv.Gain(Loss)71,869
INTEREST (LOSSES) ON INVESTMENTS 242,869 119,500 119,500 150,000 30,500 25.52
MISCELLANEOUS REVENUES
36212.00 Miscellaneous Revenue 32,630
37190.00 Miscellaneous Revenue Adj
MISCELLANEOUS REVENUES 32,630
SALE OF ASSETS
39102.00 Sale of Property
SALE OF ASSETS
TRANSFERS IN
39203.00 Transfer from Other Funds 10,309
TRANSFERS IN 10,309
CAPITAL CONTRIBUTIONS FROM OTHER FUNDS
37901.00 Contribution (Other Fund)65,744
CAPITAL CONTRIBUTIONS FROM OTHER FUNDS 65,744
CAPITAL CONTRIBUTIONS FROM DEVELOPERS
37902.00 Contribution (Developers)178,127
CAPITAL CONTRIBUTIONS FROM DEVELOPERS 178,127
OTHER FINANCING SOURCES
39315.00 Projects - Bond Premium 16,160
OTHER FINANCING SOURCES 16,160
CONTRIBUTIONS AND DONATIONS
36231.00 PERA Pension Contributions (634)
CONTRIBUTIONS AND DONATIONS (634)
WATER CHARGES
37160.00 Penalties 7,199 6,000 6,000 6,000
WATER CHARGES 7,199 6,000 6,000 6,000
CAPITAL FACILITY CHARGES
37110.00 Utility Base Fee Revenue 1,323,937 1,527,666 1,527,666 1,610,176 82,510 5.40
CAPITAL FACILITY CHARGES 1,323,937 1,527,666 1,527,666 1,610,176 82,510 5.40
SEWER CHARGES
37102.00 Utility Receipts - Sewer 2,263,183 2,355,762 2,355,762 2,545,150 189,388 8.04
37104.00 Utility Recpt-Sewer MCES 2,074,890 2,117,886 2,117,886 2,331,351 213,465 10.08
SEWER CHARGES 4,338,073 4,473,648 4,473,648 4,876,501 402,853 9.05
TOTAL - FUND 604 6,229,916 6,126,814 6,126,814 6,642,677 515,863 8.42
TOTAL - ALL FUNDS 49,186,552 48,302,795 48,409,045 53,167,965 4,758,920 9.83
4,865,170 10.07
From Original Budget
ACCOUNT 2025 2026 2026 2027 2027 2027
AND ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
DEPARTMENT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
Fund 101 - GENERAL FUND
PERSONAL SERVICES
41110.00 MAYOR & COUNCIL 66,418 79,120 79,120 80,881 1,761 2.23
41320.00 ADMINISTRATION 328,975 355,644 355,644 380,664 25,020 7.04
41330.00 BOARDS & COMMISSIONS 5,276 7,782 7,782 7,785 3 0.04
41400.00 CITY CLERK FUNCTIONS 139,365 155,382 155,382 259,530 104,148 67.03
41410.00 ELECTIONS 21,846 99,120 115,120 (115,120) (100.00)
41520.00 FINANCE 704,433 760,066 760,066 776,371 16,305 2.15
41820.00 HUMAN RESOURCES 328,177 347,487 347,487 370,613 23,126 6.66
41830.00 COMMUNICATIONS 152,432 160,533 160,533 167,991 7,458 4.65
41910.00 COMMUNITY DEVELOPMENT 293,359 375,564 375,564 396,428 20,864 5.56
41920.00 INFORMATION TECHNOLOGY 271,552 375,217 375,217 473,482 98,265 26.19
41940.00 FACILITIES - CITY HALL 151,692 159,537 159,537 182,350 22,813 14.30
42100.00 POLICE 6,724,025 7,525,823 7,525,823 8,231,972 706,149 9.38
42200.00 FIRE 2,767,213 2,896,988 2,896,988 2,725,752 (171,236) (5.91)
42400.00 BUILDING INSPECTION 856,148 946,563 946,563 998,383 51,820 5.47
43050.00 ENGINEERING 344,487 417,388 417,388 435,546 18,158 4.35
43100.00 STREET 617,019 629,634 629,634 663,333 33,699 5.35
43400.00 CENTRAL GARAGE 303,500 329,749 329,749 342,685 12,936 3.92
45100.00 RECREATION 445,752 517,254 517,254 539,353 22,099 4.27
45200.00 PARKS 1,249,995 1,257,663 1,257,663 1,310,978 53,315 4.24
PERSONAL SERVICES 15,771,664 17,396,514 17,412,514 18,344,097 931,583 5.35
CURRENT EXPENDITURES
41110.00 MAYOR & COUNCIL 4,889 6,150 6,150 6,150
41130.00 ORDINANCE 3,965 6,000 6,000 6,000
41320.00 ADMINISTRATION 85,197 86,400 86,400 108,614 22,214 25.71
41330.00 BOARDS & COMMISSIONS 513 400 400 300 (100) (25.00)
41400.00 CITY CLERK FUNCTIONS 7,553 9,929 9,929 10,645 716 7.21
41410.00 ELECTIONS 9,992 19,912 19,912 (19,912) (100.00)
41520.00 FINANCE 89,895 32,364 34,364 48,660 14,296 41.60
41540.00 INTERNAL AUDITING 42,275 53,400 53,400 59,000 5,600 10.49
41550.00 ASSESSING 264,790 271,620 271,620 280,875 9,255 3.41
41610.00 LEGAL 300,940 324,612 324,612 304,992 (19,620) (6.04)
41820.00 HUMAN RESOURCES 56,744 52,574 52,574 74,600 22,026 41.90
41830.00 COMMUNICATIONS 15,141 58,000 68,000 34,000 (34,000) (50.00)
41910.00 COMMUNITY DEVELOPMENT 37,098 51,000 51,000 113,850 62,850 123.24
41920.00 COMMUNITY DEVELOPMENT 266,098 311,974 311,974 322,850 10,876 3.49
41940.00 FACILITIES - CITY HALL 880,854 831,525 831,525 883,735 52,210 6.28
42100.00 POLICE 807,270 978,452 1,030,452 1,006,578 (23,874) (2.32)
42200.00 FIRE 434,546 493,445 493,445 541,675 48,230 9.77
42400.00 BUILDING INSPECTION 15,123 31,338 31,338 23,990 (7,348) (23.45)
42500.00 EMERGENCY MANAGEMENT 11,784 18,290 18,290 18,362 72 0.39
42700.00 ANIMAL CONTROL 29,400 36,000 36,000 26,500 (9,500) (26.39)
43050.00 ENGINEERING 153,023 86,649 122,557 105,891 (16,666) (13.60)
43100.00 STREET 1,016,192 1,157,599 1,188,493 1,268,187 79,694 6.71
43400.00 CENTRAL GARAGE 273,060 338,725 338,725 338,850 125 0.04
45100.00 RECREATION 213,257 237,335 237,335 237,833 498 0.21
45200.00 PARKS 787,848 731,967 731,967 854,304 122,337 16.71
45500.00 LIBRARIES 29,254 30,077 30,077 30,977 900 2.99
CURRENT EXPENDITURES 5,836,701 6,255,737 6,386,539 6,707,418 320,879 5.02
CAPITAL OUTLAY
41410.00 ELECTIONS 30,000 30,000 (30,000) (100.00)
41830.00 COMMUNICATIONS 29
41910.00 COMMUNITY DEVELOPMENT 15,000
41920.00 INFORMATION TECHNOLOGY 18,634 130,000 155,000 73,000 (82,000) (52.90)
41940.00 FACILITIES - CITY HALL 26,703
42100.00 POLICE 32,527 15,000 21,800 36,000 14,200 65.14
42200.00 FIRE
42400.00 BUILDING INSPECTION
43600.00 DEVELOPMENT PROJECTS 30,324
45200.00 PARKS 19,525
CAPITAL OUTLAY 142,742 175,000 206,800 109,000 (97,800) (47.29)
TRANSFERS OUT
80000.00 Transfers to other Funds 552,745 265,888 265,888 403,988 138,100 51.94
TRANSFERS OUT 552,745 265,888 265,888 403,988 138,100 51.94
TOTAL - FUND 101 22,303,852 24,093,139 24,271,741 25,564,503 1,292,762 5.33
BUDGET REPORT
CITY OF PRIOR LAKE
EXPENDITURES - DETAIL
From Amended Budget
ACCOUNT 2025 2026 2026 2027 2027 2027
AND ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
DEPARTMENT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
EXPENDITURES - DETAIL
From Amended Budget
DEBT SERVICE FUNDS
INTEREST AND OTHER
47000.00 DEBT SERVICE 907,775 866,592 866,592 878,406 11,814 1.36
INTEREST AND OTHER 907,775 866,592 866,592 878,406 11,814 1.36
PRINCIPAL
47000.00 DEBT SERVICE 4,278,731 4,205,000 4,205,000 4,615,000 410,000 9.75
PRINCIPAL 4,278,731 4,205,000 4,205,000 4,615,000 410,000 9.75
DEBT SERVICE
47000.00 DEBT SERVICE
DEBT SERVICE
TRANSFERS OUT
80000.00 Transfers to other Funds 2,838 38,568 38,568 (38,568) (100.00)
TRANSFERS OUT 2,838 38,568 38,568 (38,568) (100.00)
TOTAL - DEBT SERVICE FUNDS 5,189,344 5,110,160 5,110,160 5,493,406 383,246 7.50
Fund 210 - CABLE FRANCHISE FUND
CURRENT EXPENDITURES
41340.00 PUBLIC CABLE ACCESS 14,302 3,700 3,700 3,700
CURRENT EXPENDITURES 14,302 3,700 3,700 3,700
CAPITAL OUTLAY
41340.00 PUBLIC CABLE ACCESS 10,000 10,000
CAPITAL OUTLAY 10,000 10,000
TOTAL - FUND 210 14,302 3,700 3,700 13,700 10,000 270.27
Fund 225 - CAPITAL PARK FUND
CURRENT EXPENDITURES
45040.00 PIKE LAKE PARK
45200.00 PARKS 29,806 5,600 5,600 5,600
CURRENT EXPENDITURES 29,806 5,600 5,600 5,600
CAPITAL OUTLAY
45148.00 HWY 13 TRAIL GAP
45200.00 PARKS 1,989,628 272,346 1,600,000 1,327,654 487.49
CAPITAL OUTLAY 1,989,628 272,346 1,600,000 1,327,654 487.49
TOTAL - FUND 225 2,019,434 5,600 277,946 1,605,600 1,327,654 477.67
ACCOUNT 2025 2026 2026 2027 2027 2027
AND ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
DEPARTMENT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
EXPENDITURES - DETAIL
From Amended Budget
Fund 240 - EDA SPECIAL REVENUE FUND
PERSONAL SERVICES
46500.00 ECONOMIC DEVELOPMENT 150,385 181,798 181,798 189,627 7,829 4.31
PERSONAL SERVICES 150,385 181,798 181,798 189,627 7,829 4.31
CURRENT EXPENDITURES
46500.00 ECONOMIC DEVELOPMENT 99,709 88,750 88,750 108,300 19,550 22.03
46503.00 TECH VILLAGE INCUBATOR
CURRENT EXPENDITURES 99,709 88,750 88,750 108,300 19,550 22.03
CAPITAL OUTLAY
46500.00 ECONOMIC DEVELOPMENT 385,000 385,000 395,000 10,000 2.60
46503.00 TECH VILLAGE INCUBATOR
CAPITAL OUTLAY 385,000 385,000 395,000 10,000 2.60
TOTAL - FUND 240 250,094 655,548 655,548 692,927 37,379 5.70
Fund 410 - REVOLVING EQUIPMENT FUND
CAPITAL OUTLAY
41830.00 COMMUNICATIONS
42100.00 POLICE 255,521 356,000 356,000 138,000 (218,000) (61.24)
42200.00 FIRE 1,377 70,000 70,000 1,669,540 1,599,540 2285.06
42400.00 BUILDING INSPECTION
42500.00 EMERGENCY MANAGEMENT 30,613 46,600 46,600 46,600
43050.00 ENGINEERING
43100.00 STREET 668,568 843,000 843,000 765,000 (78,000) (9.25)
43400.00 CENTRAL GARAGE 15,287 20,000 20,000 20,000
45200.00 PARKS 175,188 327,000 512,000 546,500 34,500 6.74
49400.00 WATER
49450.00 SEWER
CAPITAL OUTLAY 1,146,554 1,662,600 1,847,600 3,185,640 1,338,040 72.42
TOTAL - FUND 410 1,146,554 1,662,600 1,847,600 3,185,640 1,338,040 72.42
Fund 430 - REVOLVING PARK EQUIP FUND
CURRENT EXPENDITURES
45200.00 PARKS 2,981
CURRENT EXPENDITURES 2,981
CAPITAL OUTLAY
45200.00 PARKS 1,115,806 870,000 870,000 630,000 (240,000) (27.59)
45500.00 LIBRARIES
CAPITAL OUTLAY 1,115,806 870,000 870,000 630,000 (240,000) (27.59)
TRANSFERS OUT
80000.00 Transfers to other Funds 265,609
TRANSFERS OUT 265,609
TOTAL - FUND 430 1,384,396 870,000 870,000 630,000 (240,000) (27.59)
ACCOUNT 2025 2026 2026 2027 2027 2027
AND ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
DEPARTMENT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
EXPENDITURES - DETAIL
From Amended Budget
Fund 440 - FACILITIES MANAGEMENT FUND
CURRENT EXPENDITURES
41940.00 FACILITIES - CITY HALL 1,911 12,000 12,000 (12,000) (100.00)
CURRENT EXPENDITURES 1,911 12,000 12,000 (12,000) (100.00)
CAPITAL OUTLAY
41910.00 COMMUNITY DEVELOPMENT 91,000 91,000
41940.00 FACILITIES - CITY HALL 59,350 435,000 565,000 384,000 (181,000) (32.04)
42100.00 POLICE 348,000 348,000 313,000 (35,000) (10.06)
42200.00 FIRE 222,386 70,000 217,500 170,000 (47,500) (21.84)
43100.00 STREET 92,360 103,000 103,000 (103,000) (100.00)
43400.00 CENTRAL GARAGE
45100.00 RECREATION
45200.00 PARKS 125,000 125,000 1,090,000 965,000 772.00
45500.00 LIBRARIES 273,317 200,000 231,480 106,760 (124,720) (53.88)
49400.00 WATER
CAPITAL OUTLAY 647,413 1,281,000 1,589,980 2,154,760 564,780 35.52
INTEREST AND OTHER
41940.00 FACILITIES - CITY HALL 45,000 45,000 (45,000) (100.00)
43100.00 STREET
INTEREST AND OTHER 45,000 45,000 (45,000) (100.00)
TOTAL - FUND 440 649,324 1,338,000 1,646,980 2,154,760 507,780 30.83
Fund 450 - PERMANENT IMPROVEMENT REVOLVING FUND
CURRENT EXPENDITURES
43100.00 STREET
CURRENT EXPENDITURES
CAPITAL OUTLAY
43100.00 STREET 1,167,000 1,167,000 (1,167,000) (100.00)
CAPITAL OUTLAY 1,167,000 1,167,000 (1,167,000) (100.00)
TRANSFERS OUT
80000.00 Transfers to other Funds 375,134 371,250 371,250 424,900 53,650 14.45
TRANSFERS OUT 375,134 371,250 371,250 424,900 53,650 14.45
INTEREST AND OTHER
43100.00 STREET 8,000 8,000 (8,000) (100.00)
INTEREST AND OTHER 8,000 8,000 (8,000) (100.00)
TOTAL - FUND 450 375,134 1,546,250 1,546,250 424,900 (1,121,350) (72.52)
ACCOUNT 2025 2026 2026 2027 2027 2027
AND ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
DEPARTMENT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
EXPENDITURES - DETAIL
From Amended Budget
Fund 601 - WATER FUND
PERSONAL SERVICES
41520.00 FINANCE 91,512 102,223 102,223 110,344 8,121 7.94
49400.00 WATER 982,624 1,295,551 1,295,551 1,397,265 101,714 7.85
PERSONAL SERVICES 1,074,136 1,397,774 1,397,774 1,507,609 109,835 7.86
CURRENT EXPENDITURES
41520.00 FINANCE 34,955 49,450 49,450 47,645 (1,805) (3.65)
49400.00 WATER 2,895,942 2,364,216 2,364,216 2,382,610 18,394 0.78
CURRENT EXPENDITURES 2,930,897 2,413,666 2,413,666 2,430,255 16,589 0.69
CAPITAL OUTLAY
49400.00 WATER 63,292 2,486,000 2,704,583 710,000 (1,994,583) (73.75)
CAPITAL OUTLAY 63,292 2,486,000 2,704,583 710,000 (1,994,583) (73.75)
TRANSFERS OUT
80000.00 Transfers to other Funds 1,126,887 1,929,450 1,929,450 2,118,200 188,750 9.78
TRANSFERS OUT 1,126,887 1,929,450 1,929,450 2,118,200 188,750 9.78
INTEREST AND OTHER
47000.00 DEBT SERVICE
49400.00 WATER 28,950 22,500 22,500 15,500 (7,000) (31.11)
INTEREST AND OTHER 28,950 22,500 22,500 15,500 (7,000) (31.11)
PRINCIPAL
49400.00 WATER 135,000 140,000 140,000 150,000 10,000 7.14
PRINCIPAL 135,000 140,000 140,000 150,000 10,000 7.14
DEBT SERVICE
49400.00 WATER (135,000)
DEBT SERVICE (135,000)
OTHER FINANCING USES
49400.00 WATER 24,480
OTHER FINANCING USES 24,480
TOTAL - FUND 601 5,248,642 8,389,390 8,607,973 6,931,564 (1,676,409) (19.48)
Fund 602 - STORM WATER UTILITY
PERSONAL SERVICES
49420.00 WATER QUALITY 395,688 438,146 438,146 458,202 20,056 4.58
PERSONAL SERVICES 395,688 438,146 438,146 458,202 20,056 4.58
CURRENT EXPENDITURES
49420.00 WATER QUALITY 333,383 387,895 512,895 478,060 (34,835) (6.79)
CURRENT EXPENDITURES 333,383 387,895 512,895 478,060 (34,835) (6.79)
CAPITAL OUTLAY
49420.00 WATER QUALITY 342,231 402,000 638,414 585,000 (53,414) (8.37)
CAPITAL OUTLAY 342,231 402,000 638,414 585,000 (53,414) (8.37)
TRANSFERS OUT
80000.00 Transfers to other Funds 805,572 476,000 476,000 722,000 246,000 51.68
TRANSFERS OUT 805,572 476,000 476,000 722,000 246,000 51.68
INTEREST AND OTHER
49420.00 WATER QUALITY 50,606 49,650 49,650 47,650 (2,000) (4.03)
INTEREST AND OTHER 50,606 49,650 49,650 47,650 (2,000) (4.03)
PRINCIPAL
49420.00 WATER QUALITY 20,000 40,000 40,000 40,000
PRINCIPAL 20,000 40,000 40,000 40,000
DEBT SERVICE
49420.00 WATER QUALITY (20,000)
DEBT SERVICE (20,000)
TOTAL - FUND 602 1,927,480 1,793,691 2,155,105 2,330,912 175,807 8.16
ACCOUNT 2025 2026 2026 2027 2027 2027
AND ACTIVITY COUNCIL ADOPTED AMENDED PROPOSED PROPOSED PROPOSED
DEPARTMENT DESCRIPTION BUDGET BUDGET BUDGET AMT CHANGE % CHANGE
BUDGET REPORT
CITY OF PRIOR LAKE
EXPENDITURES - DETAIL
From Amended Budget
Fund 604 - SEWER FUND
PERSONAL SERVICES
41520.00 FINANCE 91,499 102,223 102,223 110,344 8,121 7.94
49450.00 SEWER 514,936 723,512 723,512 603,321 (120,191) (16.61)
PERSONAL SERVICES 606,435 825,735 825,735 713,665 (112,070) (13.57)
CURRENT EXPENDITURES
41520.00 FINANCE 34,955 49,150 49,150 47,345 (1,805) (3.67)
49450.00 SEWER 3,322,669 2,768,346 2,768,346 2,949,718 181,372 6.55
CURRENT EXPENDITURES 3,357,624 2,817,496 2,817,496 2,997,063 179,567 6.37
CAPITAL OUTLAY
49450.00 SEWER 98,326 1,688,000 2,068,107 1,527,000 (541,107) (26.16)
CAPITAL OUTLAY 98,326 1,688,000 2,068,107 1,527,000 (541,107) (26.16)
TRANSFERS OUT
80000.00 Transfers to other Funds 443,612 1,041,000 1,041,000 1,338,000 297,000 28.53
TRANSFERS OUT 443,612 1,041,000 1,041,000 1,338,000 297,000 28.53
INTEREST AND OTHER
47000.00 DEBT SERVICE
49450.00 SEWER 28,950 22,500 22,500 15,500 (7,000) (31.11)
INTEREST AND OTHER 28,950 22,500 22,500 15,500 (7,000) (31.11)
PRINCIPAL
49450.00 SEWER 135,000 140,000 140,000 150,000 10,000 7.14
PRINCIPAL 135,000 140,000 140,000 150,000 10,000 7.14
DEBT SERVICE
49450.00 SEWER (135,000)
DEBT SERVICE (135,000)
OTHER FINANCING USES
49450.00 SEWER
OTHER FINANCING USES
TOTAL - FUND 604 4,534,947 6,534,731 6,914,838 6,741,228 (173,610) (2.51)
TOTAL - ALL FUNDS 45,043,503 52,002,809 53,907,841 55,769,140 1,861,299 3.45
3,766,331 7.24
From Original Budget
City of Prior Lake Council Worksession 7.28.2026
2027 Budget Attachment 3
Budgeted Funds BSA: Dept Requested Budget
Debt Capital Revolving Revolving Park Permanent Facilities Total Total
General Service Cable Park Equipment Equipment Improvement Management EDA Governmental Water Sewer Water Quality Enterprise Budgeted
Fund Funds Fund Fund Fund Fund Revolving Fund Fund Funds Fund Fund Fund Funds Funds
Revenues / Sources
Property Taxes
Levy - Tax Capacity 16,864,136$ -$ -$ -$ 1,025,000$ 655,000$ -$ 355,000$ 405,000$ 19,304,136$ -$ -$ -$ -$ 19,304,136
Levy - Tax Capacity for Debt Service - 3,454,655 - - - - - - - 3,454,655 3,454,655
Levy - Market Value 273,988 - - - - - - - - 273,988 - - - - 273,988
MVHC Aid - - - - - - - - - - - - - - -
Special Assessments 4,000 323,118 - - - - 202,839 - - 529,957 - - - - 529,957
Licenses & Permits 708,790 - - - - - - - - 708,790 - - - - 708,790
Fines & Forfeits 108,000 - - - - - - - - 108,000 - - - - 108,000
Intergovernmental 4,413,930 - - 850,000 - 283,600 - - - 5,547,530 5,000 - - 5,000 5,552,530
Charges for Services 1,437,359 - 8,400 313,467 - - - - 27,000 1,786,226 5,794,483 6,492,677 2,214,035 14,501,195 16,287,421
Other Revenues 1,029,300 101,900 - 31,600 16,400 220,100 36,600 21,400 26,100 1,483,400 300,000 150,000 125,000 575,000 2,058,400
Bond Proceeds - - - - 2,200,000 - - 500,000 - 2,700,000 - . - 2,700,000
Lease Proceeds - - - - - - - - - - - - - - -
Transfers From Other Funds
General Fund - 273,988 - - - - - 130,000 - 403,988 - - - - 403,988
Debt Service Funds - - - - - - - - - - - - - - -
Water Fund 281,000 636,200 - - - - - - - 917,200 - - - - 917,200
Sewer Fund 279,000 - - - - - - - - 279,000 - - - - 279,000
Water Quality Fund 133,000 - - - - - - - - 133,000 - - - - 133,000
Trunk Reserve Fund - - - - - - - - - - - - - - -
TIF Fund - - - - - - - - - - - - - - -
PIR Fund - 424,900 - - - - - - - 424,900 - - - - 424,900
Facilities Management Fund - - - - - - - - - - - - - - -
Capital Park Fund - - - - - - - - - - - - - - -
Construction Fund - - - - - - - - - - - - - - -
Police Forfeiture Fund - - - - - - - - - - - - - - -
Public Safety Special Revenue Fund 32,000 - - - - - - - - 32,000 -$ -$ -$ 32,000
Total Revenues / Sources 25,564,503$ 5,214,761$ 8,400$ 1,195,067$ 3,241,400$ 1,158,700$ 239,439$ 1,006,400$ 458,100$ 38,086,770$ 6,099,483$ 6,642,677$ 2,339,035$ 15,081,195$ 53,167,965$
Expenditures / Uses
Employee Services 18,344,097$ -$ -$ -$ -$ -$ -$ -$ 189,627$ 18,533,724$ 1,507,609$ 713,665$ 458,202$ 2,679,476$ 21,213,200$
Current Expenditures 6,707,418 - 3,700 5,600 - - - - 108,300 6,825,018 2,430,255 2,997,063 478,060 5,905,378 12,730,396
Capital Outlay 109,000 - 10,000 1,600,000 - - - - 395,000 2,114,000 - - - - 2,114,000
Capital Improvements - - - - 3,185,640 630,000 - 2,154,760 - 5,970,400 710,000 1,527,000 585,000 2,822,000 8,792,400
Subtotal 25,160,515$ -$ 13,700$ 1,605,600$ 3,185,640$ 630,000$ -$ 2,154,760$ 692,927$ 33,443,142$ 4,647,864$ 5,237,728$ 1,521,262$ 11,406,854$ 44,849,996$
Transfers To Other Funds
General Fund -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 281,000$ 279,000$ 133,000$ 693,000$ 693,000$
Construction Fund - - - - - - - - - - 1,201,000 1,059,000 589,000 2,849,000 2,849,000
Equipment Fund - - - - - - - - - - - - - - -
Park Equipment Fund - - - - - - - - - - - - - - -
Debt Service Funds 273,988 - - - - - 424,900 - - 698,888 636,200 - - 636,200 1,335,088
PIR Fund - - - - - - - - - - - - - - -
Facilities Management Fund 130,000 - - - - - - - - 130,000 - - - - 130,000
EDA Fund - - - - - - - - - - - - - - -
Severance Compensation Fund - - - - - - - - - - - - - - -
Contingency - - - - - - - - - - - - - - -
Debt Service - 5,493,406 - - - - - - - 5,493,406 165,500 165,500 87,650 418,650 5,912,056
Subtotal 403,988$ 5,493,406$ -$ -$ -$ -$ 424,900$ -$ -$ 6,322,294$ 2,283,700$ 1,503,500$ 809,650$ 4,596,850$ 10,919,144$
Total Expenditures / Uses 25,564,503$ 5,493,406$ 13,700$ 1,605,600$ 3,185,640$ 630,000$ 424,900$ 2,154,760$ 692,927$ 39,765,436$ 6,931,564$ 6,741,228$ 2,330,912$ 16,003,704$ 55,769,140$
Change in Fund Balance -$ (278,645)$ (5,300)$ (410,533)$ 55,760$ 528,700$ (185,461)$ (1,148,360)$ (234,827)$ (1,678,666)$ (832,081)$ (98,551)$ 8,123$ (922,509)$ (2,601,175)$
2027 City Property Tax Levy Comparison Council Worksession 7.28.2026Attachment 3
Change 26 - 27
Property Taxes 2026 2027 Amount Percent
Levy - Tax Capacity
General Fund - Operating 16,267,024$ 16,864,136$ 597,112$ 3.7%
Debt Service Funds 2,979,221 3,454,655 475,434 16.0%
Revolving Equipment Fund 925,000 1,025,000 100,000 10.8%
Revolving Park Equipment Fund 595,000 655,000 60,000 10.1%
Permanent Improvement Revolving Fund - - - n/a
Facilities Management Fund 305,000 355,000 50,000 16.4%
21,071,245 22,353,791 1,282,546 6.1%
Levy - Market Value - General Fund 265,888 273,988 8,100 3.0%
Total City Levy 21,337,133$ 22,627,779$ 1,290,646$ 6.05%
2027 EDA Property Tax Levy Comparison
Change 26 - 27
Property Taxes 2026 2027 Amount Percent
Economic Dev Authority Levy 405,000 405,000 - 0.0%
2027 Budget Expenditure Comparisons (2026 Original Budgets)
Capital Revolving Revolving Park Permanent Facilities Total Total
General Debt Service Cable Park Equipment Equipment Improvement Management EDA Governmental Water Sewer Water Quality Enterprise Budgeted
Fund Funds Fund Fund Fund Fund Revolving Fund Fund Funds Fund Fund Fund Funds Funds
2027 Total Expenditures / Uses 25,564,503$ 5,493,406$ 13,700$ 1,605,600$ 3,185,640$ 630,000$ 424,900$ 2,154,760$ 692,927$ 39,765,436$ 6,931,564$ 6,741,228$ 2,330,912$ 16,003,704$ 55,769,140$
2026 Total Expenditures / Uses 24,093,139$ 5,110,160$ 3,700$ 5,600$ 1,662,600$ 870,000$ 1,546,250$ 1,338,000$ 655,548$ 35,284,997$ 8,389,390$ 6,534,731$ 1,793,691$ 16,717,812$ 52,002,809$
Change 2026 to 2027 ($) 1,471,364$ 383,246$ 10,000$ 1,600,000$ 1,523,040$ (240,000)$ (1,121,350)$ 816,760$ 37,379$ 4,480,439$ (1,457,826)$ 206,497$ 537,221$ (714,108)$ 3,766,331$
Change 2026 to 2027 (%) 6.11% 7.50% 270.27% 28571.43% 91.61% -27.59% -72.52% 61.04% 5.70% 12.70% -17.38% 3.16% 29.95% -4.27% 7.24%
2027 Budget Expenditure Comparisons (2026 Amended Budgets)
Capital Revolving Revolving Park Permanent Facilities Total Total
General Debt Service Cable Park Equipment Equipment Improvement Management EDA Governmental Water Sewer Water Quality Enterprise Budgeted
Fund Funds Fund Fund Fund Fund Revolving Fund Fund Funds Fund Fund Fund Funds Funds
2027 Total Expenditures / Uses 25,564,503$ 5,493,406$ 13,700$ 1,605,600$ 3,185,640$ 630,000$ 424,900$ 2,154,760$ 692,927$ 39,765,436$ 6,931,564$ 6,741,228$ 2,330,912$ 16,003,704$ 55,769,140$
2026 Total Expenditures / Uses 24,271,741$ 5,110,160$ 3,700$ 277,946$ 1,847,600$ 870,000$ 1,546,250$ 1,646,980$ 655,548$ 36,229,925$ 8,607,973$ 6,914,838$ 2,155,105$ 17,677,916$ 53,907,841$
Change 2026 to 2027 ($) 1,292,762$ 383,246$ 10,000$ 1,327,654$ 1,338,040$ (240,000)$ (1,121,350)$ 507,780$ 37,379$ 3,535,511$ (1,676,409)$ (173,610)$ 175,807$ (1,674,212)$ 1,861,299$
Change 2026 to 2027 (%) 5.33% 7.50% 270.27% 477.67% 72.42% -27.59% -72.52% 30.83% 5.70% 9.76% -19.48% -2.51% 8.16% -9.47% 3.45%
PERSONNEL PLAN
2027-2031
2027 – 2031 Personnel Plan / Page 2
INTRODUCTION
Similar to how the City plans its infrastructure and equipment needs through the Capital Improvement Plan (CIP), this Personnel Plan is designed
to address the staffing needs required to support the anticipated demand for City services as Prior Lake grows. The general fund budget is
dominated by personnel costs (72.2% of the total budget in 2026) which explains why planning for personnel is critical for long-range planning.
This Plan projects the anticipated staffing requirements for the City of Prior Lake by 2031. It will be revisited annually to adapt to the evolving
needs and expectations of the community.
The objectives of the plan include:
• Informing annual and long-range budget discussions and decisions;
• Forecasting future demands for service; and
• Identifying the resources required to perform current service levels in the future.
This five-year document will be incorporated into the City’s long-range financial plan and will be updated each year to inform the annual budget
process. Departments will be responsible for providing the metrics to justify the personnel requests and impact on current service levels during
annual budget deliberations. The decision on how/if the City will fund these positions will occur as part of the annual budgeting process in
conjunction with other budget requests. The City Council will ultimately determine the addition and timing of additional employees through the
adoption of the annual budget.
BACKGROUND
City staff provide essential services to 29,057 residents (2024 Met Council population estimate) over nineteen square miles, not including the
recent annexation agreement with Spring Lake Township. In addition, the residents of Spring Lake Township, the City of Credit River, and the
Shakopee Mdewakanton Sioux Community (SMSC) receive public safety services from the City. Prior Lake has grown at a steady pace of about
five hundred residents annually in one of the fastest growing counties in Minnesota. The Metropolitan Council forecasts Prior Lake’s population
will grow to 37,600 residents by 2040.
Cities do not grow solely in terms of population or households as the services -- infrastructure, parks, public safety, and technology, to name a few
– that are required to accommodate such growth must expand as well. These services are supported by municipal employees togethe r with the
equipment, supplies and training necessary to execute their functions
The City of Prior Lake currently operates with 125 employees. The majority (75%) of employees work in Public Works, Police Department, and Fire
Department, most of whom are considered essential employees. The City also hires around fifty seasonal and temporary positions each year and
employs 26 part-time, shift assigned firefighters/EMTs.
2027 – 2031 Personnel Plan / Page 3
PERSONNEL NEEDS THROUGH 2031
Below is an overview of the projected staffing needs to maintain current service levels through 2031. Several factors play into the number of
employees requested in this plan, including the Police Department staffing study completed in 2024, the significant increase in Fire Department
calls as the primary responder for medicals, and the approval of the new orderly annexation area in Spring Lake Township. On the following pages,
each department is profiled with a summary of all current and proposed positions within the department and a rationale for each new FTE request.
POSITIONS REQUESTED BY YEAR:
2027 2028 2029 2030 2031
- Administrative Assistant
- Police Officer (2)
- Comms Specialist (PT)
- Firefighter/EMT (6)
- Police Officer
- PT Records Specialist to FT
- PT Comms Specialist to FT
- Police Officer
- Facilities Maintenance
TOTAL HEADCOUNT REQUESTED BY DEPARTMENT AND YEAR:
Department 2027 2028 2029 2030 2031
Administration (9)
1
.62 - .38 -
Community Development (10.8)
- - - - -
Finance (6.8)
- - - - -
Fire (15)
- 6 - - -
Police (42.42) 2 - 1.38 1
Public Works (41) - - - - 1
Total New: 3 6.62 1.38 1.38 1
Total City Headcount (125.02) 128.02 134.64 136.02 137.4 138.4
2027 – 2031 Personnel Plan / Page 4
DEPARTMENT
PROFILES
2027 – 2031 Personnel Plan / Page 5
ADMINISTRATION
*2027: Administrative/Utility Billing Assistant (1 FTE). Managing the front desk of City Hall and completing City Clerk-related tasks has become
increasingly difficult for the Deputy City Clerk (DCC). First, new election mandates, like the addition of a primary election and expansion of early
voting, have stretched elections management to over six months each election cycle. During elections, the DCC is frequently away from the front
desk for a variety of elections-related reasons. This places the burden of answering the main phone and helping walk-in customers onto other
staff who are then pulled away from their own duties. Second, the nature of the City’s front desk means constant interruption. Many DCC tasks,
such as issuing solicitor permits, drafting minutes, and reviewing data requests, require the DCC’s full attention. Finally, the City needs to update
and implement a formal records management and retention policy (database purging and organization, staff training, ongoing cleanup) to
ensure compliance with state laws. This project and other process improvements, like online licensing and payment, have been put on the back
burner due to time and staffing constraints.
For these reasons and others, we request an Administrative Assistant position in 2027. The primary duties for this position include staffing the
front desk of City Hall, greeting customers, answering phone calls, and routing City information inbox emails as well as providing executive
support to the City Manager, which currently does not exist. In addition, this position will assist Utility Billing (UB) to enhance customer service,
especially for walk-in customers, by looking up account information and processing payments when UB staff are unavailable. The Administrative
Assistant would help prepare and mail letters related to the UB certification process and contact residents who are on the high consumption
report, a task that UB performs only as time allows. At that time, the Administrative Assistant could then direct residents to the My360 portal
and help them set up an account which could increase adoption rates, which would be a new service provided to our residents.
*2028: Communications Specialist/Graphic Designer (.62 FTE). Communicating with the public is a core city service, and as a local government,
we are obligated to provide timely, relevant information to our citizens to ensure transparency and accountability. With only one full-time
communications employee, taking advantage of the multiple mediums to reach a broad spectrum of residents is a challenge. Examples of the
array of options to reach residents include videos, social media content, press releases, news items, website updates, etc. Outreach efforts like
the Citizen Engagement Committee (CEC), the Community Academy, and special events further consume communication resources. Additional
support is needed to help manage these efforts with specific focus on the City’s website. As communication in general moves toward data
visualization, creating graphics that translate City information and data into digestible, quick content helps relay complex information, engage
residents and, ultimately, foster trust. Peer cities’ average 2.5 communications FTEs. If the needs of the City and the capacity of current
employees to meet them support additional hours, this position could move to full-time in 2031.
2027 – 2031 Personnel Plan / Page 6
Total FTEs in 2026 – 9
Administration 2027 2028 2029 2030 2031
City Manager 1 1 1 1 1
Assistant City Manager 1 1 1 1 1
City Clerk 1 1 1 1 1
Deputy City Clerk 1 1 1 1 1
HR Coordinator 1 1 1 1 1
Communications Manager 1 1 1 1 1
Communications Specialist - .62* .62 1* 1
IT Manager 1 1 1 1 1
Network Engineer 1 1 1 1 1
IT Specialist 1 1 1 1 1
Admin Assistant 1* 1 1 1 1
TOTAL: 10 10.62 10.62 11 11
2027 – 2031 Personnel Plan / Page 7
COMMUNITY DEVELOPMENT
The department anticipates the retirement of two key staff members in the near future which will require replacement; however, no new
personnel additions are anticipated through 2031. The last position added in Community Development was a full-time Building Inspector in
2021. The new Building Inspector position was necessary due to the increased demand for inspections, plan review, and permit issuance and the
first two years’ salary was partially funded by a Department of Labor and Industry grant. In addition to plan review and assisting customers at
the counter, the city issues over 2,800 building permits and conducts 6,000+ building inspections per year; it is common during the busier times
of year for each inspector to have over twenty inspections on their daily calendar. Code enforcement opens and closes over 500 cases per year
and completes over 1,500 inspections. Current staffing levels should meet the demand for services for the near future.
Total FTEs in 202 – 10.8
Community Development 2027 2028 2029 2030 2031
Comm Development Director 1 1 1 1 1
Building Official 1 1 1 1 1
Building Inspector 3 3 3 3 3
Code Enforcement Officer 1 1 1 1 1
Planner 2 2 2 2 2
Development Services Assistant 2.8 2.8 2.8 2.8 2.8
TOTAL: 10.8 10.8 10.8 10.8 10.8
2027 – 2031 Personnel Plan / Page 8
FINANCE
In late 2025, a new Finance Director was appointed by the City Manager due to the retirement of the City’s previous Director. This appointment
provided an ideal time to assess the Finance Department’s structure, job functions, and needs and resulted in a re-organization of the Department,
including the creation of new positions. The Assistant Finance Director position was eliminated and the duties dispersed to the new positions.
Specifically, the Senior Financial Analyst/Senior Accountant was promoted to the new Accounting Manager position, and the former Accountant
was promoted to the new Finance Supervisor role. The Accounting Manager supervises the Accountant position which allows for the alignment
and oversight of accounting and audit functions. The Finance Supervisor now oversees Utility Billing, the special assessment process, and manages
special projects. This reorganization provided not only opportunities for staff to remain and grow with the City but, also, right-sized the number
of direct reports per supervisor, improved efficiency by streamlining financial processes under subject matter experts, and created more
promotional paths for existing employees.
*2027/2028: On August 22, 2024, the federal government released proposed rules related to the Financial Data Transparency Act (FDTA). This law
mandates that certain data and financial information provided must be sent in a ‘structured data’ format after the rules are finalized (sometime
in 2026 or thereafter). This unfunded mandate would require extensive staff time, consulting resources and potentially risky updates to
government financial systems. This mandate poses require identical financial reporting taxonomies across all types of public and non-profit entities
with the same technology. Given the wide variety of government and non-profit entities, combining them into a single standardized template has
the potential to lose information and reduce transparency by eliminating detail specific to the unique functions or services that each provide.
Transitioning to or adding new reporting categories would require changes to underlying financial systems. The law does not provide any financial
assistance for transition costs to hire consultants, reconfigure financial systems, or implement new software. If the proposed rules become law,
additional staffing at the Senior Analyst/Senior Accountant level may be required.
Total FTEs in 2026 – 6.8
Finance 2027 2028 2029 2030 2031
Finance Director 1 1 1 1 1
Accounting Manager 1 1 1 1 1
Finance Supervisor 1 1 1 1 1
Financial Analyst .8 .8 .8 .8 .8
Account Specialist 1 1 1 1 1
Utility Billing Clerk 2 2 2 2 2
TOTAL: 6.8 6.8 6.8 6.8 6.8
2027 – 2031 Personnel Plan / Page 9
FIRE
2026: In 2026, all PLFD paid-on-call (POC), shift-assigned firefighters transitioned to regular part-time employees with the dissolution of the Prior
Lake Volunteer Fire Relief Association. This change means the City will now receive Fire State Aid funding, which previously went to the Relief
Association, to subsidize pension costs. Also in 2026, the hourly wage for part-time firefighters was increased from $17.50/hour to $21.00/hour
to remain competitive with other departments and to recognize the certifications and training of current part-time firefighters. (In 2025, PLFD
started hiring only already state-licensed paid-on-call (POC) firefighters/certified EMTs). PLFD will look to hire additional part-time staff to
supplement the retirements of four POC firefighters because of the Relief Association dissolution.
*2028: Firefighter (6 FTE). In the fall of 2024, the fire department became the primary responder for all medical calls in the fire service area, which
led to a 60% increase in call responses in one year. In 2023, the department responded to 484 EMS calls, and by 2025, that number increased to
1,626 EMS calls. PLFD has taken significant steps to respond to the increase in demand for services by putting a lite rescue vehicle in service, adding
shift assigned part-time firefighters, and separating crews into two vehicles. These changes have made the PLFD’s medical response more efficient
and will allow other apparatus to remain clear to answer additional calls. This model is not a long-term, sustainable, option because we expect
these medical calls along with other fire-related calls and fire prevention duties to increase as our communities grow. The request to add six
additional full-time firefighters (two per shift) will allow PLFD to utilize Fire Station 2 with 24/7 staffing, place two additional apparatus into service,
and provide better area coverage in the City’s growth area. Part-time firefighters will continue to support calls at both stations. At the same time,
PLFD’s non-emergency duties, such as inspections, public education, and pre-planning, will continue uninterrupted as more buildings and
structures are added throughout the service area. PLFD plans to submit a SAFER grant request to facilitate the hiring of additional staff.
Total full-time (15) and part-time (26) firefighters/EMTs in 2026
Fire 2027 2028 2029 2030 2031
Fire Chief 1 1 1 1 1
Assistant Fire Chief 1 1 1 1 1
Fire Marshall 1 1 1 1 1
Full-time Fire Captain 3 3 3 3 3
Full-time Firefighter 9 15* 15 15 15
TOTAL:
15 21 21 21 21
2027 – 2031 Personnel Plan / Page 10
POLICE
The Prior Lake Police Department (PLPD) is unique in that it provides services to two communities - Prior Lake and the Shakopee Mdewakanton
Sioux Community (SMSC). PLPD continues to work toward fulfilling consultant staffing recommendations to maintain current service levels and
support staff wellness, including increasing the allocation of personnel for patrol to 22 officers and administrative support. PLPD currently had 19
patrol officers and 6 police officers assigned to special duties (e.g., school liaison, detectives, drug task force). Recognizing the budget impact of
adding positions, the PD proposes to incrementally add these positions over the next few years which is detailed below.
2027 (2), 2029, and 2030: Patrol Officer (4 FTEs). The workload study found that staffing in the Patrol Division is not adequate to provide shift
relief, manage workload volumes and the appropriate geographic distribution of personnel. It is recommended that PLPD should adjust its
deployment of personnel for primary response from 19 to 22 patrol officers. This number is considered the operational minimum and is the
baseline for staffing, not the maximum. The study notes that the addition of four positions represents the full volume of calls for service currently
being handled by PLPD sergeants. In addition, this increase takes into account the ‘non-operational’ (vacancies to ensure staffing at operational
minimal levels) hours for officers who are in training, on leave, injured or otherwise unable to fulfill their duties. The st udy also recommends
adding an additional officer to the investigation unit. Currently, PLPD has three general investigation detectives, and the city would benefit from
the additional capacity. This would allow active cases to be diverted from patrol into investigations and increase the numbers of hours dedic ated
to each case per investigator. Additional considerations include the impact of paid family leave as mandated by the State of MN on staffing
requirements. As of early 2026, PLPD anticipate multiple sworn staff to be taking extended time off, creating vacancies that likely will need to be
filled with overtime to maintain minimum service abilities. Budgetary consideration for this increase in 2027 includes an inc rease of SMSC
contributions of $125k in 2027.
2028: Records Specialist (.38 FTE). With an increase in the number of calls for service, state mandates like the decriminalization of records, and
technological demands, the transition of the current .62 FTE in records would be converted to a 1 FTE.
TBD: Community Service Officer (evaluation). Non-sworn personnel, such as a community service officer (CSO), builds capacity to assist in
functions like records management, evidence support, non-sworn patrol duties, and special details, such as drone operations. Adding an additional
.8 FTE CSO also creates a funnel to identify and train future sworn officers. PLPD previously had two part-time CSO’s and transitioned, but one
position was reclassified into the current investigative aide/evidence technician position. The “hole” created by this move has yet to be filled.
TBD: Administrative Assistant (evaluation). With a total headcount of 42.42 FTEs in 2026, the PLPD currently has no dedicated administrative
personnel. All administrative functions fall under the Support Services Division which is understaffed when considering these admin duties. The
workload study found that the Support Services Supervisor has a workload equivalent to 2 full-time employees, primarily due to administrative
support work. In addition, command staff and investigators provide their own administrative support which takes them away from their primary
duties. The study recommends adding a full-time administrative assistant position to assist with workloads and to support department operations.
An analysis of administrative duties currently being performed by the Support Services Division (e.g., scheduling, answering phones, website
updates, presentations, agenda reports) will help develop the job description and allow support services staff, supervisors, and investigators to
2027 – 2031 Personnel Plan / Page 11
focus on their primary duties. The addition of this position will be evaluated based on the impact the new Administrative Sergeant and Records
Specialist (added in 2026) have on the overall workload.
Total FTEs in 2026 – 42.42
Police 2027 2028 2029 2030 2031
Police Chief 1 1 1 1 1
Commander 2 2 2 2 2
Sergeant 7 7 7 7 7
Patrol Officer/Investigator 27* 27 28* 29* 29
Records Supervisor 1 1 1 1 1
Records Specialist 4.62 4.62 5* 5 5
Community Service Officer .8 .8 .8 .8 .8
Evidence / Inv Analyst 1 1 1 1 1
Admin Support Staff 0 TBD TBD TBD TBD
TOTAL: 44.42 44.42 45.8 46.8 46.8
2027 – 2031 Personnel Plan / Page 12
PUBLIC WORKS
2026: In 2026, the Public Works Department was fully staff for the first time in several years. All vacancies have been filled, including the
Superintendent position, which had been vacant since 2023 due to internal transitions and promotions. New positions, like Facilities Manager
and Parks & Recreation Manager, were created by repurposing existing positions. As a result, Public Works staffing looks stable for the
immediate future. Several long-term employees are due to retire over the next five years which may provide further opportunity to look at the
department’s services, staffing and supervisory needs. Doing this should not require the addition of any new FTEs. One area to monitor is the
impact of the orderly annexation area (OAA) as it develops. Although not shown as part of this five-year plan, additional maintenance positions
could be added depending on the speed of growth in the OAA.
*2031: Facilities Maintenance Worker (1 FTE). As City facilities age, there is more maintenance and upkeep associated with keeping them safe,
pleasant for the public, well-designed and comfortable for employees, and in compliance with OSHA standards. Facilities include City Hall, the
Police Station, two Fire Stations, the Maintenance Center, Water Treatment Plant and well houses/booster stations, Lakefront Pavilion, all parks’
buildings, CDA and rental properties, and the Public Library/Club Prior. To keep up with the demand, an additional Facility Maintenance Worker
position is required and proposed to be added in 2031. This position also will allow the Facility Maintenance Manager to focus on upcoming
large facility projects, like the new Public Works Facility, and other long-term planning rather than day-to-day maintenance issues.
Total FTEs in 2026 – 41
Public Works 2027 2028 2029 2030 2031
PW Director/City Engineer 1 1 1 1 1
Superintendent 1 1 1 1 1
Supervisor (Admin, Parks, Utilities) 3 3 3 3 3
Facility Maintenance Manager 1 1 1 1 1
Mechanics 3 3 3 3 3
Maintenance Worker/Operator 21 21 21 21 21
Facilities Maintenance Worker 1 1 1 1 2*
GIS Coordinator 1 1 1 1 1
PW Specialist 1 1 1 1 1
Asst City Engineer 1 1 1 1 1
Engineering Tech 2 2 2 2 2
Project Engineer-Stormwater 1 1 1 1 1
Parks & Recreation Manager 1 1 1 1 1
Recreation Supervisor 1 1 1 1 1
Recreation Programmer 2 2 2 2 2
TOTAL: 41 41 41 41 42
2027 – 2031 Personnel Plan / Page 13
2027 Proposed Tax Levy Components
Attachment 3
LEVY CHANGE – 6.05%
Personnel Adds: 1.95%
Personnel Adds - $416,000 The city’s current full-time equivalent (FTE) headcount is 125.02. It is proposed to increase by 3 FTE to 128.02 in
2027. The 2027 budget includes new tax levy funding of $416k for an Administrative Assistant and the addition of
two Police Officers.
Capital Improvement Program (CIP) Tax Levy Components – 0.98%
Equipment Replacement funding – $100,000 The Equipment Replacement Plan (ERP) utilizes general tax levies to support replacement of the City’s equipment
and vehicle fleet. The ten-year average annual cost for the plan is about $1.66M. The financing plan reflects a
gradual increase in the tax levy until the annual levy reaches our annual funding goal. The proposed total levy for
2027 is $1.025M. Since the proposed levy increase is gradual, bonding may be required for the plan to meet our
funding needs.
Park Equipment Replacement funding -$60,000 The Revolving Park Plan funds capital replacement projects, park amenities, and trail, sidewalk, and boardwalk
replacement. The plan proposes a phased increase in the tax levy to cover the capital projects in the plan. The
proposed total levy for 2027 is $655k.
Facilities Management Plan funding -$50,000 The Facility Management Plan (FMP) was developed to plan for major repairs, replacements, and upgrades for all
city facilities on a long-term basis (25 years). It does not cover minor expenses for repairs and maintenance.
Those will continue to be funded through the operating budgets. 2027 capital projects include projects at the Fire
Station #2, Ryans and Lakefront Parks, Library & Club Prior, Police Station and City Hall. The proposed total levy
for 2027 is $355k.
Operating – 3.12%
STAFFING
Wage/COLA and Benefits - $531,000 The city has labor agreements with three unions for 2027. The budget includes a proposed cost of living adjustment,
step increases and mandatory city payroll taxes and Public Employees Retirement Association (PERA) contribution
increases: COLA/Steps - $584k, PERA, SS, FICA - $137k.
Health and Dental Insurance estimated expenditure increase of $104k. The proposed budget reflects a 15% increase
in health and a 10% increase in dental insurance premiums. Updated premium increase information will be
provided to the city in late August.
Workers’ Compensation expenditures are estimated to decrease $107k from the prior year budget. After the 2026
budget was completed, the city received the updated rates from LMCIT, which were lower than budgeted. The City
is budgeting for a 5% increase in worker’s compensation insurance compared to 2026 actual premiums. Actual rate
changes will not be available until the end of November.
1
CURRENT EXPENDITURES
Prosecution Services – ($24,000) Reduction in funding for the Scott Co. prosecution services.
Small Equipment – ($67,000) This includes a $25k decrease for IT mainly due to a timing difference of when laptops need to be replaced.
Software Service Contracts – $80,000 This includes a $26k increase for new software service contracts for security, VPN replacement and helpdesk. $23k
of this increase is for Fire’s First Due software. We have used this software for the past several years; however,
this is the first year the associated costs have been included in the software contracts budget.
Maintenance Agreements – $216,000 Maintenance agreements include building and structures, equipment, trees and landscape, and general. Most of
the increase is due to required maintenance on retaining walls around the City.
Capital Outlay – ($89,000) 2027 costs are estimated to be $89k less than the prior year which included election equipment and two server
replacements.
NON-TAX REVENUE – ($866,000)
Intergovernmental revenue is increasing by $274k compared to 2026. This includes:
o $125k increase in local government aid from the SMSC
o $62k increase in fire state aid
o $72k increase in police state aid
o Partially offset by decrease in capital grants of $106k
Increase in Transfer-In as a funding source of $57k. This is based on operating transfers from the utility funds
along with $32k from the MN Public Safety grant fund for public safety equipment.
Increase in interest earnings of $27k. Budget reflects anticipated earnings on investments.
Revenue from residential building permits/plan check fees budget is $247k and $160k more, respectively, than
the 2026 budget. The city collects building permits and plan check revenue on new residential and townhome
units built. Prior Lake is still growing, but the 2027 estimate for new construction units is 60 single family/50
townhomes (110 total) which generates more revenue than the 2026 budget mix of 50 single family/0
townhomes (50 total).
Franchise fee revenue decrease of $14k.
OTHER
Other Items – $484,000 Increase in debt service compared to 2026.
2
2027 Preliminary Tax July 28, 2026 BudgetLevy and
PriorLakeMN.gov General Fund ReservesResidential ImpactProposed Tax Levy Change and Tax Rate Budget and Proposed Tax Levy AssumptionTax Levy Considerations2027:2 Agenda
PriorLakeMN.gov 2027 Base Tax Levy Considerations 3 budget is personnel costs.* Used May YTD wage growth of 3.7% as 72% of city
PriorLakeMN.gov Inflation 4.2%•Wages 3.7%•May 2026:U.S. inflation rate versus wage growth 4
PriorLakeMN.gov SMSC aidIntergovernmental revenue increaseBuilding permits of 110/year (60 single family/50 townhomes)Revenue Assumptions:Estimated tax capacity has increased 4.6%
to $68.5MEstimated market value has increased 4.1% to $6.2BGrowth in tax capacity and market value assumptions for pay 2027:5 2027 Budget and Property Tax Assumptions
PriorLakeMN.gov term plans (CIP) -Commitments to longFunding to support inflation for wages and goods & servicesTwo Police Officers•Administrative Assistant•2027:Staffing Changes per
Personnel Plan6 2027 Budget and Property Tax Assumptions
PriorLakeMN.gov7 to cover rising costs.Any increase in EDA tax levy will be minimal discussions ongoing. –tax levy EDA Total •City tax rate of 32.0% (2.07% increase).•based on the preliminary
budgets. from the prior year levy 6.05% increasea which is 22,627,779of $tax levy CITY Total •Property Tax Projection Summary
PriorLakeMN.gov Components of the Tax Levy Change represents 21% of the Police/Fire •levy increase is 6.05%•$1,291,000tax levy increase is The 2027 proposed •8
PriorLakeMN.gov Increase in debt service$484k-Other construction unitsplanning for 110 new –Residential building permits/plan check fees -Intergovernmental revenue increase-$866k-Tax
Revenue increase -NonDecreases in prosecution services, small equipment and capital outlay-wallsMaintenance agreement increase for required maintenance on retaining -New software service
contracts for Fire, IT-$605k-Current expenditures increase 3.12%–Operating Worker’s comp insurance increases-Health and Dental insurance increases-Labor agreements with 3 unions for
2027-$531k-Wages/COLA/Benefits increase 0.98%–Capital Improvement Program (CIP) $50k-Facilities Management plan funding -$60k-Park equipment replacement funding -$100k-Equipment replacement
funding -1.95%–New Administrative Assistant position and 2 Police Officers 6.05%–Levy Change 2027 Proposed Budget & 9
PriorLakeMN.gov LGN $40,000already removed from 2027 budget–NLC $2,200 MLC $7,300LMC $25,500SCALE $15,000Metro Cities $9,500Currently included in budget:2027 Lobbyist Expenses
10
PriorLakeMN.gov Tax Levy ChangeResidential Impact of the Proposed City 11.2027home of $461,700 for pay for a median valued 70tax is $The estimated increase in city •increased 4% for
pay 2027. Estimated market value has •
PriorLakeMN.gov(54%)-End Estimated Reserve -2027 Year$14.4M (56%)-End Estimated Reserve Balance -2026 YearCFMP specifies a range between 40% and 50%12 General Fund Reserve
PriorLakeMN.gov13 Five Year –City Financial Plan
PriorLakeMN.gov Source: Minnesota Department of Revenue202545.8330.500.60202442.4030.280.63202342.3028.110.62202245.9230.460.74202145.2930.270.84YearAreaCounty Metro -SevenLakeCity of
Prior AuthorityDevelopment Economic City Levy/Tax Capacity = Tax Rate 14 Capacity RateSeven County Metro Area Average Tax
PriorLakeMN.gov Shakopee27.77%28.94%Savage40.53%42.56%Prior Lake30.50%31.38%New Prague44.88%45.12%Jordan56.79%59.39%46.80%45.17%Credit River15.76%15.10%Belle Plaine93.46%94.24%City20252026
Scott County Tax Capacity Rate by City 15 32.0%based on preliminary 2027 budget is 2027 Prior Lake City Tax Rate estimate •City Levy/Tax Capacity = Tax Rate•
PriorLakeMN.gov projectsstreetforassesstoabilitylimitedforExposure2032inexpansionCenterMaintenanceincludingimprovements,facilityfutureforFundingplanfundingParksplanmanagementpavementforFunding:Fu
ndingProjectCapitalimpactsinflationandconditionsMarket–commoditiesandWages/HealthcaredevelopmentofratetheinReductionmandatesUnfundedservicescitymaintaintostaffadditionalforFunding:FundGeneral
16 Future Challenges
PriorLakeMN.gov Increase in rate for Police contracted servicesrate changes–Utility Billing 17(preliminary)Fee Schedule Proposed Changes
PriorLakeMN.gov Next Steps Public Budget Meeting/Adopt Final Tax –Dec. 8 Budget Work Session–Nov. 10 Preliminary Tax Levy and Budget Public Budget Meeting/Adopt -September 22 Budget
Work Session, if needed–August 25 2027 only–Discussion/CIP Debt Impacts Preliminary Budget/Tax Levy –July 28 Financial Plan, CIP Planyear -Personnel Plan, 10–18 ScheduleLevy and 2027
Tax
PriorLakeMN.gov leviestaxproposedondirectionCouncil19 Council Discussion