8.1. SR 09-19-2016 E04y1� ,.,�� Request for Action
River
To Item Number
Mayor and City Council 8.1
Agenda Section Meeting Date Prepared by
General Business September 19, 2016 Lori Ziemer, Finance Director
Item Description Reviewed by
Set Budget Meeting Date and Adopt 2017 Tax Levy Cal Portner, City Administrator
Reviewed by
Action Requested
1. Set,by motion, the budget meeting for December 5, 2016, at 6:30 p.m. at which public comment will
be taken.
2. Adopt,by motion, a resolution authorizing the proposed property tax levy for collection in 2017.
Background/Discussion
The Council must approve the maximum tax levy for certification to the county auditor by September 30,
2016.
Over the past several months, the Council has reviewed department/division goals and corresponding
2017 budgets. Based on Council direction, the attached levy resolution sets the levy at$10,657,808,
which is a 4.8 percent change over last year.
Preliminary 2016 net tax capacity (NTC) values for taxes payable 2017 received from Sherburne County
increase 4.16%. If the NTC remains the same, the city tax rate would be 46.44 percent which is an
increase from 46.17 percent for 2016
Over the next few months staff will continue to review and evaluate cost estimates and revenue data for
further adjustments to finalize the budget for adoption on December 5, 2016.
The County Board of Commissioners has set December 1, 2016 at 6:00 p.m. as the county budget and
levy hearing date.
Financial Impact
City of Elk River 2017property tax levy for collection.
Attachments
■ Resolution setting City of Elk River property tax levy for collection in 2017
■ Preliminary 2016 Tax Values (for Proposed 2017 Tax Notices)
■ 2017 tax rate estimate calculation
POWERED 6T
Template Updoted 4/14 INAWRE1
City of
Elk
River
Resolution 16-
A Resolution of the City of Elk River Authorizing the Proposed Property Tax
Levy for Collection in 2017
WHEREAS, the Elk River City Council has reviewed the city's anticipated expenditures
for all funds in 2017; and,
WHEREAS, the Elk River City Council has considered projected revenues for all funds in
2017; and,
WHEREAS, revenues from sources other than property taxes are not sufficient to meet
anticipated expenditures of all funds; 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,Minnesota, as follows: The following amounts are the maximum to be levied as
property taxes payable in 2017:
Levy—
General Fund $ 10,052,950
Library 53,650
2010A G.O. Capital Improvement Plan Bonds 368,030
Economic Development Tax Abatement 183,178
TOTAL $ 10.657.808
Passed and adopted this 191h day of September 2016.
John J. Dietz,Mayor
ATTEST:
Tina Allard, City NATUREJ
uRMJ COC,
AUG 3 0 ZD16
August 29, 2016
To: City Administrators, Clerks and Finance Officers
And School District Administrators and Finance Officers
From. Diane Arnold
Re: Preliminary 2016 Tax Values (for Proposed 2017 Tax Notices)
Following is the early Pay 2017 Net Tax Capacity and Market Value information for your
City, Township or School District. Countywide, there is a 3.86%increase in Net Tax
Capacity and a 3.90%increase in total county Taxable Market Value. Please remember
that these values may drop slightly by next spring when final values are certified, due to
abatements,property tax forfeitures, late homesteads and clerical corrections.
Township/City/School District Elk River City
2016 Net Tax Capacitor Values 2017 Preliminary NTC Values
RE & PP 22,235,275 23,133,504
Less 10%200 KV 0 0
Less Captured TIF (204,017) (184,717)
Tax Rate NTC 22,031,258 22,948,787
Taxable Market Value 1,846,328,700 1,933,889,235
MV Referendum 1,932,735,475 2,015,670,453
2017 Preliminary Tax Levy and Tax Rate
2017 Preliminary Levy Estimated Less Tax Rate Estimated Tax
Preliminary Net Tax Capacity Captured TJF Net Tax Capacity Capacity Rate Notes
General 10,052,950 23,133,504 (184,717} 22,948,787 43.81%
Library 53,650 23,133,504 (184,717) 22,948,787 0.23%
Bonds 368,030 23,133,504 (184,717) 22,948,787 1.60% Pub.5af.bonds end with 2021 levy
Tax Abatement 183,178 23,133,504 (184,717) 22,948,787 0.80%
10,657,808 46 449
%change from PY 4.8% 4.0% -9.5% 4.2% 0.6%
2016 Adopted Levy Less Tax Rate Tax
Certified Net Tax Capacity Captured TIF Net Tax Capacity Capacity Rate
General 9,596,850 22,235,275 (204,017) 22,031,258 43.561A
Library 59,400 22,235,275 (204,0171 22,031,258 0.271%
Bonds 370,626 22,235,275 (204,017) 22,031,258 1.68%
Tax Abatement 144,857 22,235,275 (204,017) 22,031,258 0.66%
10,171,733 46.17%
%change from PY 1.5% 3.8% 2.51/ 3.8% -2.2%
2015 Adopted Levy Less Tax Rate Tax
Certified Net Tax Capacity Captured TIF Net Tax Capacity Capacity Rate
General 9,420,700 21,426,935 (198,997) 21,227,938 44.38%
Library 63,100 21,426,935 (198,997) 21,227,938 0.30%
Bonds 377,107 21,426,935 (198,997) 21,227,938 1.78%
Tax Abatement 156,450 21,426,935 (198,997) 21,227,938 0.74%
10,017,357 4739%
9/ch angefrom PY 1.71/. 4.96% 70.8% 4.6% -2.8%
2014 Adopted Levy Less Tax Rate Tax
Certified Net Tax Capacity Captured TIF Net Tax Capacity Capacity Rate
General 9,181,289 20,415,273 (116,513) 20,298,760 45.23%
Library 63,100 20,415,273 (116,513) 20,298,760 0.31%
Storm water 50,000 20,415,273 (116,513) 20,298,760 0.25%
Bonds 371,459 20,415,273 (116,513) 20,298,760 1.83%
Tax Abatement 187,987 20,415,273 (116,513) 20,298,760 0.93%
9,853,835 48.54%
%change from PY -3.21/ 0.45% -5.0% 0.5% 3.6%
2013 Adopted Levy Less Tax Rate Tax
Certified Net Tax Capacity Captured TlF Net Tax Capacity Capacity Rate
General 9,203,085 20,323,367 (122,648) 20,200,719 45.56%
Library 63,100 20,323,367 (122,648) 20,200,719 0.31%
Storm water 50,000 20,323,367 (122,648) 20,200,719 0.25%
Bonds 643,497 20,323,367 (122,648) 20,200,719 3.19%
Tax Abatement 216,083 20,323,367 (122,648) 20,200,719 1.071/6
10,175,765 50.37%
%change from PY -1.0% -8.83% -82.4% -6.4% 5.9%
2012 Adapted Levy Less Tax Rate Tax
Certified Net Tax Capacity Captured TIF Net Tax Capacity Capacity Rate
General 9,142,170 22,290,897 (698,130) 21,592,767 42.34%
Library 63,100 22,290,897 (698,130) 21,592,767 0.29%
Storm water 50,000 22,290,897 (698,130) 21,592,767 0.23%
Bands 592,041 22,290,897 (698,130) 21,592,767 2.74%
Tax Abatement 428,504 22,290,897 (698,130) 21,592,767 1.98%
10,275,815 47.59%