8.2. SR 09-21-2020
Request for Action
To Item Number
Mayor and City Council 8.2
Agenda Section Meeting Date Prepared by
General Business September 21, 2020 Lori Ziemer, Finance Director
Item Description Reviewed by
Set Budget Meeting Date and Adopt 2021 Cal Portner, City Administrator
Preliminary Tax Levy
Reviewed by
Action Requested
Set, by motion, a budget meeting for 6:30 p.m., December 7, 2020, to receive for public comment.
Adopt, by motion, a resolution authorizing the preliminary property tax levy for collection in 2021.
Environment/Discussion
The Council must approve the maximum tax levy for certification to the county auditor by September 30, 2020. The
attached levy resolution sets the tax levy at $13,510,920, which is an increase of 5%.
The county estimates NTC values to increase 7% for a preliminary city tax rate of about 45.378%, compared to
46.241% in 2020.
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 7, 2020.
The County Board of Commissioners set their budget and levy hearing for 6:00 p.m., December 3, 2020.
Financial Impact
City of Elk River property tax levy for collection in 2021.
Mission/Policy/Goal
The city’s mission is to grow responsibly and be good stewards for every dollar. The Council approved a goal to
build sustainable reserves for future capital costs while keeping the 2021 tax rate flat.
Attachments
Resolution Authorizing 2021 Preliminary Tax Levy
The Elk River Vision
A welcoming community with revolutionary and spirited resourcefulness, exceptional
service, and community engagement that encourages and inspires prosperity.
Updated: August 2020
Resolution 20-____
A Resolution of the City of Elk River Authorizing the Preliminary Property
Tax Levy for Collection in 2021
WHEREAS, the Elk River City Council is required to establish a preliminary tax levy for
taxes payable in 2021 by September 30,2020 and certify the preliminary tax levy to the
Sherburne County Auditor; and,
WHEREAS, the Elk River City Council has reviewed the City’s anticipated expenditures
for all funds in 2021; and,
WHEREAS, the Elk River City Council has considered projected revenues for all funds in
2021; 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 2021:
Levy__
General Fund $ 12,522,100
Library 71,500
2010A G.O. Capital Improvement Plan Bonds 618,870
2012A G.O. Capital Improvement Plan Bonds 200,000
Economic Development Tax Abatement 98,450
TOTAL $ 13,510,920
st
Passed and adopted this 21 day of September 2020.
John J. Dietz, Mayor
ATTEST:
Tina Allard, City Clerk
City of Elk River Levied Levied Preliminary
Tax Levy Pay 2019 Pay 2020 Pay 2021
General Fund $11,187,400 $11,938,300 $12,522,100
Library 66,000 69,000 71,500
General Property Tax Levy 11,253,400 12,007,300 12,593,600
Special Levies:
2010A GO Public Safety Building Bonds 470,130 619,920 618,870
2012A GO Public Works Building Bonds - - 200,000
Economic Development Tax Abatement 160,235 138,550 98,450
Government Building Reserve 55,000 - -
Lake Orono Dredging - 100,000 -
Total Levy $11,938,765 $12,865,770 $13,510,920
General Fund Change from Previous Year $689,600 $750,900 $583,800
Percentage Change from Previous Year 6.6%6.7%4.9%
Total Dollar Change from Previous Year $874,935 $927,005 $645,150
% Change 7.9%7.8%5.0%
NTC Value $26,006,616 $27,823,086 $29,773,925 Estimate per county
Tax Rate 45.907%46.241%45.378%
% Increase in NTC 8.2%7.0%7.0%
2021 PRELIMINARY TAX LEVY