7.1. SR 12-03-2012 ,l REQUEST FOR ACTION
River-
TO ITEM NUMBER
Mayor and City Council 7.1
AGENDA SECTION MEETING DATE PREPARED BY
Public Hearings December 3, 2012 Tim Simon, Finance Director
ITEM DESCRIPTION REVIEWED By
2013 Budget and Tax Levy Presentation;Public Comment; Cal Portner, City Administrator
Consider Resolution Adopting Final Tax Levy for Taxes Payable REVIEWED BY
in 2013; and Consider Adoption of 2013 Budget
ACTION REQUESTED
• Mayor open the meeting to allow for public comment.
• Adopt the resolution authorizing the property tax levy for collection in 2013
• Adopt the 2013 General, Special Revenue, and Enterprise Fund budgets
BACKGROUND/DISCUSSION
In May, city departments began working on the 2013 department goals and the requested budget.
Starting in June-August, staff met with Council to discuss in detail those 2013 goals and the expenditure
detail. Based on Council review and discussion with staff, the budgets were adjusted and amended. In
September, the Council approved the proposed tax levy that was used to calculate the city tax capacity
rate for the proposed property tax notice that was mailed to each property owner in November. As the
Council is aware,the final levy may be less than,but may not be more than, the levy approved on
September 4.
The following is a summary of the 2012 tax levy for taxes payable in 2013 and the budget:
• The proposed taxable payable 2013 levy is $10,275,815 which is the same amount as last year.
• Since September 4, the budgeted expenditures have been reduced from$13,018,700 to
$12,836,950 or 1.25% change from 2012.
• The taxes payable 2013 levy is lower than the taxes payable levy in 2008.
Tax Levy
On November 13,the Council reviewed budget options and discussed leaving the levy for taxes payable
2013 at$10,275,815 which is a zero percent change from the taxes payable 2012 adopted levy. The
preliminary estimated Net Tax Capacity (NTC) decreased by 7.54 percent to $19,964,892 for taxes
payable in 2013. Last year, the NTC decreased 11.15 percent. The main reason for the large decrease
relates to market value decreases. The final NTC will change slightly as the county makes final corrections
and adjustments before calculating taxes in early 2013. The tax capacity rate based on the maximum tax
levy is 51.497 percent. With the decertification of Tax Increment District 19 and 16 at year-end, the tax
capacity rate will be adjusted downward to approximately 50.05 percent when final tax calculations are
done in early 2013.
There are three main entities: the county, school district, and city, that each receives part of the property
taxes paid by property owners. The city receives approximately 32% of the total property tax the
II
N:\Public Bodies\City Council\Council RCA\Agenda Packet\12-03-2012\2013budget12032012.docx
'POWERED
N NATURE
property owner will pay. The balance,approximately 68%,goes to Sherburne County, Independent
School District 728, Regional Rail Authority, Economic Development Authority, and Housing
Redevelopment Authority. Additionally, the State of Minnesota also receives part of the property taxes
on commercial and industrial property, the city's share percentage decreases below 25% for those
properties that pay state tax.
The city uses its property tax revenue for several purposes: the majority, 91%, is used to fund General
Fund expenditures such as police, fire, street maintenance,general government, parks and recreation
programs. The remaining 9% pays for debt service, tax abatement,library, and storm water management
expenditures.
General Fund Budget
Since September 4 when the Council approved the maximum levy, the General Fund budget increase was
reduced from 2.69% to 1.25%. That leaves the 2013 proposed General Fund budget at $12,836,950. The
majority of the $158,900 increase relates to staffing changes and inflationary adjustments while
maintaining the same level of services.
Public safety expenditures (police, fire, emergency management, building safety, environmental) account
for 45% of the General Fund budget. General government,public works, and culture and recreation
make up the majority of the balance. Personal service expenditures are the largest type of expenditure
due to the fact that the city's core objective is to provide service to its residents. Personal service
expenditures are 73% of the operating budget. The budget does include a 2% cost of living pay
adjustment for all employees in 2013.
On November 13, Council discussed the additional five hours for the part-time custodian position and
insurance opt-out estimates. Based on the opt-out information at this time,we are able to lower the
General Fund budget from$12,874,250 to $12,836,950. Without any further information on the state
fuel contract,leaving the $3.25 in the budget appears reasonable.
Upon adoption of the 2013 budget, the organizational structure changes will be cross-walked to the
appropriate budgets. This will not change the overall budget.
Summary of all 2013 Budgets
All of the proposed budgets are listed below. The Council has reviewed all of these budgets.
Below is a summary of the proposed budgets to be approved:
General Fund $12,836,950
Special Revenue Funds:
Library $ 96,500
Ice Arena $ 990,000
Pinewood Golf Course $ 233,300
Landfill $ 131,950
Storm Sewer $ 254,700
Safety $ 35,000
N:\Public Bodies\City Council\Council RCA\Agenda Packet\12-03-2012\2013budget12032012.docx
Enterprise Funds:
Revenues Expenditures Net Effect
Sewer $2,196,400 $3,368,700 $(1,172,300)*
Garbage $1,363,400 $1,381,850 $ (18,450)
Liquor $6,527,000 $6,415,750
$ 111,250
*Includes depreciation ($993,600) capital projects ($611,500) and debt service ($199,900)
Adoption of Tax Levy and Budget
A levy resolution has been prepared based on Council direction of$10,275,815. This levy and the budget
may be adopted following public comment at this meeting.
ATTACHMENTS
• General Fund Budget Summary Information
o General Fund Revenue and Expenditures by Category
o Appropriations Summary
• Resolution Authorizing the Property Tax Levy for Collection in 2013
Action Motion by Second by Vote
Follow Up
N:\Public Bodies\City Council\Council RCA\Agenda Packet\12-03-2012\2013budgct12032012.docx
CITY OF ELK RIVER
2013 BUDGET
GENERAL FUND REVENUES and EXPENDITURES
2011 2012 2013
Description Actual BUDGET Requested %Change
REVENUES
GENERAL TAXES $ 9,660,847 $ 9,212,200 $ 9,387,150 1.90%
LICENSES AND PERMITS 432,874 412,650 558,400 35.32%
INTERGOVERNMENTAL REVENUE 535,085 542,450 545,600 0.58%
CHARGES FOR SERVICES 579,875 650,350 687,000 5.64%
FINES AND FORFEITS 126,832 132,500 127,200 -4.00%
OTHER REVENUE 195,927 200,150 197,500 -1.32%
OPERATING TRANSFER IN 784,500 1,161,600 1,234,150 6.25%
FUND BALANCE RESERVES - 366,150 99,950 -72.70%
TOTAL REVENUE $ 12,315,940 $ 12,678,050 $ 12,836,950 1.25%
EXPENDITURES
PERSONAL SERVICES $ 8,687,272 $ 9,036,750 $ 9,326,200 3.20%
SUPPLIES 1,042,653 1,081,150 1,111,100 2.77%
OTHER CHARGES AND SERVICES 2,030,347 2,397,550 2,241,950 -6.49%
CAPITAL OUTLAY 119,562 122,100 112,900 -7.53%
OPERATING TRANSFER OUT 147,166 40,500 44,800 10.62%
TOTAL EXPENDITURES $ 12,027,000 $ 12,678,050 $ 12,836,950 1.25%
CITY OF ELK RIVER
2013 BUDGET
GENERAL FUND REVENUES
2011 2012 2013 %
DESCRIPTION ACTUAL BUDGET REQUESTED Change
Taxes
Ad Valorem 9,577,099 9,142,200 9,303,150 1.76%
Gravel 83,748 70,000 84,000 20.00%
Total Taxes 9,660,847 9,212,200 9,387,150 1.90%
License & Permits
Liquor 55,105 53,000 61,500 16.04%
Amusement 1,470 1,000 1,000 0.00%
Cigarette 2,812 3,000 3,000 0.00%
Apartment 24,990 17,000 25,000 47.06%
Mining 21,095 20,000 21,000 5.00%
Garbage Hauler 1,875 2,100 1,900 -9.52%
Other Business 16,405 17,000 17,000 0.00%
NPDES Permit 2,005 2,500 2,500 0.00%
Building Permit 157,093 153,000 220,000 43.79%
Plumbing/Heating Permit 131,702 129,150 190,000 47.12%
Permit Surcharge 1,650 400 500 25.00%
Electric Permit 475 - - #DIV/0!
Animal License 5,900 3,500 4,500 28.57%
Parking Permit 1,647 3,000 2,000 -33.33%
Other Non Business 8,650 8,000 8,500 6.25%
Total Licenses & Permits 432,874 412,650 558,400 35.32%
Intergovernmental Revenue
Federal Grant 3,061 3,000 2,300 -23.33%
PERA Aid 13,984 14,000 14,000 0.00%
Police Aid 206,770 205,000 210,000 2.44%
Police Training Reimb. 11,362 12,000 11,100 -7.50%
State Aid Street Maint. 275,485 275,450 287,600 4.41%
State Crime Prevention Grant 19,298 30,000 20,000 -33.33%
Other State Grants(vest) - 3,000 600 -80.00%
Other Local Grants 5,125 - - #DIV/0!
Total Intgvtl. Revenue 535,085 542,450 545,600 0.58%
Charges for Services
Planning &Zoning Fees 11,545 15,000 15,000 0.00%
Plan Check Fees 44,203 41,000 85,000 107.32%
Special Assmt. Search 900 1,000 1,000 0.00%
Sale of Maps/Copies 2,685 2,500 2,600 4.00%
Reimb. For Gen Govt Sery 3,373 4,000 4,000 0.00%
Lockout Fees 7,645 7,500 7,500 0.00%
Reimb. For Police Services 9,291 2,000 2,000 0.00%
School Liaison 75,000 75,000 75,000 0.00%
Animal Impound 3,600 3,000 3,500 16.67%
Fire Contracts 193,403 199,600 201,000 0.70%
Fire Calls 3,150 4,000 3,000 -25.00%
Street Services 21,367 35,000 30,000 -14.29%
Engineering Services Reimb. 44,744 89,150 104,900 17.67%
Recreation Fees 125,862 129,000 126,000 -2.33%
Concessions 5,614 14,100 - -100.00%
Park Fees/Bldg Rent 23,828 25,100 23,100 -7.97%
Sewer Inspection Fee 3,265 3,000 3,000 0.00%
Contractor License Check 400 400 400 0.00%
Total Charges for Service 579,875 650,350 687,000 5.64%
Fines
Court 108,746 120,000 115,000 -4.17%
Parking 18,086 12,000 12,000 0.00%
Ordinance Violations - 500 200 -60.00%
Total Fines 126,832 132,500 127,200 -4.00%
Other Revenue
Interest Income 89,491 100,000 100,000 0.00%
Refunds & Reimb. 79,219 66,500 66,500 0.00%
Contributions 21,448 25,650 25,000 -2.53%
Miscellaneous 5,769 8,000 6,000 -25.00%
Total Other Revenue 195,927 200,150 197,500 -1.32%
Transfers In
Landfill 35,000 35,000 35,000 0.00%
Capital Outlay Reserve 122,100 112,900 -7.53%
NSP/RDF Reserve 39,500 39,500 39,500 0.00%
Development Fund - - 48,600 f4DIV/0!
WWTS 75,000 100,000 100,000 0.00%
Liquor 270,000 300,000 330,000 10.00%
ERMU 300,000 500,000 500,000 0.00%
EDA 25,000 25,000 25,000 0.00%
HRA 15,000 15,000 18,150 21.00%
Garbage/Other 25,000 25,000 25,000 0.00%
Total Transfers In 784,500 1,161,600 1,234,150 6.25%
Use of Fund Balance - 366,150 99,950 -72.70%
TOTAL GENERAL FUND REVENUES $ 12,315,940 $ 12,678,050 $ 12,836,950 1.25%
CITY OF ELK RIVER
2013 BUDGET
GENERAL FUND EXPENDITURES
2011 2012 2013 %
Description ACTUAL BUDGET REQUESTED CHANGE
4101 FULL TIME SALARIES 5,997,181 6,064,900 6,358,000 4.83%
4102 OVERTIME 157,114 167,600 179,100 6.86%
4103 PART TIME SALARIES 644,824 782,750 720,200 -7.99%
4104 PERA CONTRIBUTIONS 632,586 663,500 695,400 4.81%
4105 RCA CONTRIBUTIONS 249,718 271,650 288,750 6.29%
4106 OTHER RETIREMENT CONTRIBUTIONS 40,900 30,000 30,000 0.00%
4107 MEDICARE CONTRIBUTIONS 88,128 95,950 100,750 5.00%
4108 EMPLOYER CONTRIBUTION FOR INSURANCE 714,774 795,400 790,500 -0.62%
4109 WORKERS COMPENSATION 157,855 165,000 163,500 -0.91%
4110 RE-EMPLOYMENT COMPENSATION 4,192 - -
TOTAL PERSONAL SERVICES 8,687,272 9,036,750 9,326,200 3.20%
4201 OFFICE SUPPLIES 39,830 59,950 61,700 2.92%
4212 FUELS&LUBS 282,984 289,100 276,500 -4.36%
4217 UNIFORM ALLOWANCE 39,118 51,650 48,900 -5.32%
4219 OPERATING SUPPLIES 578,463 583,600 637,150 9.18%
4221 EQUIPMENT PARTS 56,128 54,000 51,000 -5.56%
4226 STREET SIGNS 42,241 35,850 35,850 0.00%
4259 OTHER MERCHANDISE FOR RESALE 3,888 7,000 - -100.00%
TOTAL SUPPLIES 1,042,653 1,081,150 1,111,100 2.77%
4301 AUDIT FEES 18,030 18,300 18,300 0.00%
4304 LEGAL FEES 271,674 228,000 228,000 0.00%
4319 PROFESSIONAL SERVICES 102,944 112,050 117,850 5.18%
4321 TELEPHONE 51,867 76,100 75,900 -0.26%
4322 POSTAGE 16,017 22,600 19,600 -13.27%
4331 TRAVEL/CONFERENCES/SCHOOLS 65,823 124,950 122,000 -2.36%
4334 CAR ALLOWANCE 923 4,800 4,800 0.00%
4349 ADVERTISING/MARKETING 26,721 32,400 32,400 0.00%
4359 PUBLISHING 19,738 30,700 28,850 -6.03%
4361 PROPERTY/AUTO/LIABILITY INSURANCE 134,468 153,950 131,450 -14.62%
4389 UTILITIES 135,016 146,750 158,300 7.87%
4401 BLDG REPAIR/MAINT SERVICES 83,177 103,850 102,550 -1.25%
4404 EQUIP REPAIR/MAINT SERVICES 232,414 266,250 273,750 2.82%
4409 CONTRACTUAL SERVICES 524,309 516,800 541,850 4.85%
4412 BUILDING RENT 1,544 1,500 1,600 6.67%
4415 EQUIPMENT RENTAL 15,734 27,000 21,500 -20.37%
4417 UNIFORM RENTAL 6,893 7,700 7,700 0.00%
4433 DUES&SUBSCRIPTIONS 35,139 35,800 34,450 -3.77%
4437 TAXES&LICENSES 332 1,300 450 -65.38%
4438 CREDIT CARD FEES 4,554 9,500 8,600 -9.47%
4440 MISCELLANEOUS 33,028 227,250 62,050 -72.70%
4460 EQUIPMENT REPLACEMENT CHARGE 250,000 250,000 250,000 0.00%
TOTAL OTHER SERVICES&CHARGES 2,030,347 2,397,550 2,241,950 -6.49%
CAPITAL OUTLAY 119,562 122,100 112,900 -7.53%
TRANSFER OUT 147,166 40,500 44,800 10.62%
TOTAL GENERAL FUND EXPENDITURES 12,027,000 12,678,050 12,836,950 1.25%
APPROPRIATIONS SUMMARY(General Fund)
2009 2010 2011 2012 2013 %of % $$ 2012
ACTUAL ACTUAL ACTUAL Amended Preliminary Total Change Change %of Total
General Government
MAYOR&COUNCIL $ 154,894 $ 152,891 $ 142,097 $ 172,250 $ 171,600 1.34% -0.38% $ (650) 1.36%
CABLE TV 68,737 71,027 75,047 86,600 87,550 0.68% 1.10% 950 0.68%
ADMINISTRATION 449,684 464,493 552,351 482,950 501,350 3.91% 3.81% 18,400 3.81%
HUMAN RESOURCES 142,744 148,826 154,148 164,500 165,850 1.29% 0.82% 1,350 1.30%
ELECTIONS - 30,283 - 38,050 - 0.00% -100.00% (38,050) 0.30%
FINANCE 437,571 445,122 446,175 484,450 470,950 3.67% 1.40% 6,500 3.68%
INFORMATION TECHNOLOGY 248,260 285,211 232,878 242,000 296,700 2.31% 22.60% 54,700 1.91%
LEGAL 213,210 222,952 271,874 228,000 228,000 1.78% 0.00% - 1.80%
COMMUNITY DEVELOPMENT 102,487 66,643 66,403 69,250 213,800 1.67% 208.74% 144,550 0.55%
PLANNING 294,984 299,609 290,790 304,700 321,750 2.51% 5.60% 17,050 2.40%
BUILDING MAINTENANCE 260,953 281,614 260,757 304,150 517,350 403% 70.10% 213,200 2.40%
CONTINGENCY 6,434 10,766 22,702 217,550 8,400 0.07% -98.14% (209,150) 1.72%
ENERGY CITY 41,729 72,194 42,048 50,850 31,450 0.24% -38.15% (19,400) 0.40%
General Government 2,421,887 2,551,631 2,557,070 2,825,300 3,014,750 23.48% 6.71% 189,450 22.28%
Public Safety
POLICE 3,999,708 4,192,403 4,090,938 4,412,850 4,370,300 34.04% -0.96% $ (42,550) 34.81%
FIRE 622,588 623,834 744,642 743,500 811,200 6.32% 9.11% 67,700 5.86%
EMERGENCY MANAGEMENT 28,852 29,064 101,619 103,900 41,050 0.32% -60.49% (62,850) 0.82%
BUILDING SAFETY 560,986 453,741 461,031 473,350 479,600 3.74% 1.32% 8,250 3.73%
ENVIRONMENTAL 70,897 52,762 54,421 48,850 52,350 0.41% 7.16% 3,500 0.39%
Public Safety 5,281,031 5,351,804 5,452,651 5,782,450 5,754,500 44.83% -0.48% (27,950) 45.61%
Public Works
STREETS 1,276,703 1,286,247 1,539,284 1,505,300 1,530,200 11.92% 1.65% $ 24,900 11.87%
SNOW REMOVAL 205,707 285,975 251,329 288,400 285,700 2.23% -0.94% (2,700) 2.27%
EQUIPMENT SERVICES 238,461 223,592 231,678 247,900 252,750 1.97% 1.96% 4,850 1.96%
ENGINEERING 107,137 91,387 134,167 133,550 173,350 1.35% 29.80% 39,800 1.05%
Public Works 1,828,008 1,887,201 2,156,458 2,175,150 2,242,000 17.47% 3.07% 66,850 17.16%
Culture&Recreation
PARK MAINTENANCE 728,358 791,998 817,533 813,800 807,450 6.29% -0.78% $ (6,350) 6.42%
RECREATION 722,825 674,228 700,239 814,350 785,400 6.12% -3.55% (28,950) 6.42%
SR.CITIZEN PROGRAMS 187,583 190,491 195,885 226,500 188,050 1.46% -16.98% (38,450) 1.79%
Culture&Recreation 1,638,766 1,656,715 1,713,657 1,854,650 1,780,900 13.87% -3.98% (73,750) 14.63%
TRANSFERS 233,104 130,337 147,166 40,500 44,800 0.35% 10.62% 4,300 0.32%
TOTAL $ 11,402,596 $ 11,577,688 $ 12,027,002 $ 12,678,050 $ 12,836,950 100.00% 1.25% $ 158,900 100.00%
Personal Other Services Capital
Services Supplies &Charges Outlay/Transfers Total
2013 Percent of Total General Fund 72.65% 8.66% 17.46% 1.23% 100.00%
GENERAL FUND EXPENDITURES 2010-2013
$7,000,000
$6,000,000
$5,000000
w 2010
$4,000,000
.12011
v 2012 Amended
$3,000,000
d 2013 Preliminary
:::::„ s`
s- ;'r'�”
General Government Public Safety Public Works Culture&Recreation Transfers
11/28/2012
RESOLUTION 12 -
A RESOLUTION FOR THE CITY OF ELK RIVER
A RESOLUTION AUTHORIZING THE PROPOSED PROPERTY TAX LEVY
FOR COLLECTION IN 2013
WHEREAS, the Elk River City Council has reviewed the City's anticipated
expenditures for all funds in 2013; and,
WHEREAS, the Elk River City Council has considered projected revenues for
all funds in 2013; and,
WHEREAS, revenues from sources other than property taxes are not sufficient
to meet anticipated expenditures of all hinds; and,
WHEREAS, debt levies have been adjusted or cancelled based on revenue
collections and projections.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River
that the following amounts are the maximum to be levied as property taxes
payable in 2013:
Levy
General Fund $ 9,303,135
Library 63,100
Surface Water Management 50,000
City Special Assessments 6,942
2005 Improvement Bonds 86,500
2012B G.O. Improvement Refunding Bonds 185,569
2010A G.O. Capital Improvement Plan Bonds 364,486
Economic Development Tax Abatement 216,083
TOTAL $ 10,275,815
Passed and adopted by the City Council of the City of Elk River this 3rd
day of December, 2012.
John J. Dietz,Mayor
ATTEST:
Tina Allard, City Clerk
12/04/2012
i
Elk Om*,
River
2013 Budget and Tax Levy
City Council Meeting
December 3, 2012
Overview
• Vision and Goals
• Summary of Budget Process
• Proposed Tax Levy
• Budget Overview
• General Fund
• Special Revenue
• Enterprise
• Public Comment
• Tax Levy&Budget approval
Vision and Goals
IA=
ti,•t•,
Our Vision-Abounding in natural beauty,Elk River is a
vibrant,historic river town that promotes an active lifestyle in an
innovative and involved community offering unlimited
opportunities.
Goals supporting the Vision
• Innovation
• Community Development
• Beautification
• Opportunities
• Strategic Planning(2013)
1
12/04/2012
Budget Process
May—December 2012
• Budget workpapers to Departments—May 9th
• Review long-term financial model—May 14th
• Department prepared budget requests and
goals for 2013—June 1st
• City Council Budget worksessions—10 total
• Adopt preliminary tax levy—September 4th
Budget Process
liver`
May—December 2012
• County prepares proposed tax notices and
mails to property owners—Sept./Nov.
• Public Comment Meeting—December 3rd
• Adopt 2013 property tax levy and budgets
• Final levy certified to county by Dec.28,2012
Other Public Meetings
•Sherburne County—December 10th
•Elk River Area Schools—December 10th
2
12/04/2012
Taxes and Values ,,
• Public Notices
• Determining Property Tax Amount
• Taxable Market Value
—Allocation
—Distribution
—Class rates
Public Notices
wer
n
Property Valuation Property Tax Notice Property Tax Statement
MARCH NOVEMBER MARCH
J F M A M J J A S O N D J F M
Year 1 Year2
Determining Property Tax E erg
$1,634,511,700'
na •eK n....Wile. Total value of
all property
• r '°e°Or m cro..n $19,964,892
�c...ra m•-.•armi•.•.t Actual value taxed
rr,.o...h w,
Source We o th folr„eu 6 ..._..
12/04/2012
Taxable Market Value Hk
Property Class Pay 2012 Pay 2013 %Change
Residential 1,240,423,300 1,078,957,600 -13.02
Commercial 348,160,400 347,445,200 -0.21
Industrial 38,126,500 38,270,700 0.38
Utility 47,454,000 46,413,900 -2.19
Agricultural 37,528,400 38,394,800 2.31
Cabins 948,700 984,400 3.76
Apartments 56,055,000 59,477,100 6.10
Other 765 865 13.07
Railroad 2,463,300 2,682,600 8.90
Personal Property 17,412,900 18,055,900 3.69
TOTAL 1,788,573,265 1,630,683,065 -8.83
Source:Sherburne County Assessor f`-"' 1-- -•'x
Market Value Allocation E *
Agricultural Cabin s Apartments Oti Ra�lro -Personal Property
Utility 4% 0:1�_._, 3.6%% — 1.1%
2' Industrial__�-
2.3%
Commercial
21.3%
Residential
66.2%
Source:Sherburne County Assessor
Distribution
is kI:
!Liver
Payable 2013-Distribution of Value Change
1500 1322
39 79 96 75
Payade 2013
Source Sherburne County Assessor .._
4
12/04/2012
Other impacts
►it
Changes made to one area may have an
impact to another area
• Value changes
• Legislative
• Improvements 40.°4e(
The city approves the tax levy amount,the distribution
and rate impacts are affected by changes in property
value,and legislated class rates.
Class Rates
a '
illt•r
Type of Property NTC Class Rate
Residential Homestead
first$500,000 1.00%
over$500,000 1.25%
Commercial/Ind.
first$150,000 1.50%
over$150,000 2.00%
Rental Housing
four or more units 1.25%
Seasonal Residential
Recreational
first$500,000 1.00%
over$500,000 1.25%
For more class rates see www revenue.state mn.us
City Tax Levy
lover
•
• Tax Levy Components
• Levy by Use
5
12/04/2012
Tax Levy Components
Levy 2012 2013 %Chg.
Components Levy Proposed From 2012
General Fund $9,142,170 $9,303,135 1.76%
Library 63,100 63,100 0.00%
Surface Water Mgmt. 50,000 50,000 0.00%
Debt Service 592,041 643,497 8.69%
Tao Abatement 428.504 21,_083 -49.51%
Total $10,275,815 $10,275,815 0.00%
Dollar Increase $0
Tax Levy by Use
aff
Economic
Storm Water Development
%
0%library Debt
to 6%
ee�erai w�a
General Fund Budget ,, ,
• Revenues
• Expenditures
• 2013 Budget Changes
• Expenditure—Changes
• Cost of City Services
6
12/04/2012
Revenues L.I
ivt•r
2013
2012 Proposed Difference Percent
Budget Budget Change
General Taxes $ 9,212200 $ 9,387,150 $174,950 1.90%
License and Permits 412,650 558,400 145,750 35.32%
Intergov'I Revenue 542,450 545,600 3,150 0.58%
Charges For Services 650,350 687,000 36,650 5.64%
Fines and Forfeits 132,500 127,200 (5,300) -4.00%
Other Revenue 200,150 197,500 (2,650) -1.32% .. ---
Transfer In 1,161,600 1,234,150 72,550 6.25%
Fund Balance 366,150 99,950 (266,200)-72.70%
Total $12,678,050 $12,836,950 $158,900 1.25% -- -'
Revenues
fines and f rote. 4Llvt
aver Reserves
Transfer In
Charges for Services. 10%
5%
Intergovernmental\
Revenue
4%
license&Permit
4%
Property Tues
73%
tee se-
Expenditures ,, ►.
(5,tvs'r
By type
2012 2013 Difference Percent
Budget Proposed Change
Budget
Personal Services $ 9,036,750 $ 9,326,200 $ 289,450 3.20%
Suppler 1,081,150 1,111,100 29,950 2.77%
Other Charges And Svcs 2,397,550 2,241,950 (155,600) '6.49%
Capful Outlay 122,100 112,900 (9,200) -7.53%
Operating Transfer Out 40,500 44,800 4,300 10.62%
Total $ 12,678,050 S 12,836,950 $ 158,900 1.25%
<PI as of October is 2.62%
7
12/04/2012
2013 Budget Changes
• No new services
• Adjustments for inflation
• Staff Additions:
—PD Administrative Assistant(FT)
—IT Desktop Support(PT)
—CODD Planning Intern(PT)
—PR Intern(PT)
Expenditures - Changes E ►
By category
2013
2012 Proposed Percent
Budget Budget Difference Change
General Government $ 2,825,30 $ 3,014,750 $ 189,450 6,71%
Pubic Safety 5,787450 5754500 127,9501 -0.48%
Pubic Works 2,175,150 2,242,000 66,850 3.07%
Clue&Recreaton 1,854,650 1,780,900 173,7501 -3.98%
Operat%Transfer Out 40,500 44,800 4,300 1062%
Total $ 12,678,050 $ 12,836,950 $ 158,900 1.25%
<le as of October 8 5.62%
Expenditures FiVer
Culture& Transfers Out
Recreation �- 0%
14% General
Government
Public Works 24%
17%
Public safety
45%
8
12/04/2012
Cost of City Services ,
I k Ivo r
Per Month
based on population of 22,974
General Government $ 10.94
Public Safety 20.87
Public Works 8.13
Culture &Recreation 6.46
Other 0.16
Total $46.56
Tax Impacts
• City Tax Comparison
• Residential Tax Bill- Distribution
• Commercial Tax Bill - Distribution
• Tax Rate Comparison
• City Tax Estimates
City Tax Comparison
ft �t I
City Tax 2012
$1,200
$1,000
$800
$600
$400
$200
$ ar,
3.d aP`�,$'FS` yaw `N°o;y,,a`�>a dt 3e•�,sari€;
:A..:;ate '° o+V`c`ate i
Source-LMC Value-$152,200 Home
9
12/04/2012
City Tax Comparison ,
itivrr
City Tax 2012(Sherburne County Cities)
$1,200
$1,000
$800
$600
5400
$200
5_
,° `, a° 0 s'
/
Source-LMC Value-$152,200 Home
Property Tax Distribution ,u -
Median Value Home
$152200 Market Value
Estimated property tax bill$2,093.08
School District
728 City of Elk River
31% 32%
Sherburne
County
Other 34%
3%
Property Tax Distribution ,4
4i I S OT
Commercial Property
$1,000.000 Market Value-estimated
Property tax bill$41519.37
Other
2%
School District City of Elk River
728 24%
24%
State General Sherburne
Tax County
25% 25%
10
12/04/2012
•
Tax Capacity Rate River
City,County,&School Comparison(estimates only)
Actual Proposed Revised
2012 2013 2013
City 47.588 51.497 50.05
EDA 1.505 1.485
HRA 1.369 1.294
Ref.(YMCA) 0.01363 0.01502
County 52.014 54.578
Rail 2.422 2.541
School 45.548 51.290
Ref. 0.173 0.174
TOTAL 150.446 162.685
City Tax Estimates
(Liver
Preliminary Final w/o TIF 19&16
2011/12 2012/13 Diff % Diff %
Change Change
Residential $709.14 $662.55 ($46.59) (6.57%) ($65.33) (9.21%)
$152,200
Commercial $9,253.31 $9,913.17 $658.86 7.12% $378.39 4.09%
Industrial
$1M
Average Value Changes
Residential—11%Decrease
Commercial—1%Decrease
Other Funds
it
(Liver
• Special Revenue Funds
• Enterprise Funds
11
12/04/2012
Special Revenue Funds
R ISS I'
Library $96,500
Ice Arena $990,000
Pinewood $233,300*
Landfill $131,950
Storm Sewer $254,700
Safety $35,000
•includes a transfer of$44,800 from General Fund
7r
Enterprise Funds ,I ?
River
• Liquor
-Budgeted to transfer out$717,500
• Sanitary Sewer
-Proposed rate increase of 2%
• Garbage
—Proposed no rate change
Budget Summary
E fiver
Total Exp.
Enterprise Revenues Expenditures Capital &Capital
Funds Outlay Outlay
Liquor Fund 6,527,000 6,400,750 15,000 6,415,750
Sewer Fund 2,196,400 2,757,200 611,500 3,368,700
Garbage 1,363,400 1,381,850 0 1,381,850
Fund
12
12/04/2012
Public Comment
'14t',,4
Request public comment
E
City of .'\°..'4‘1/ '
..(, __ Le-,.;--
Elk -,.-,
River
13