8.1 SR 09-18-2023Request for Action
To Item Number
Ma Tor and CinT Council 8.1
Agenda Section Meeting Date Prepared by
GeneYal Business September 18, 2023 Lori Stich, Finance ManageY
Item Description Reviewed by
Set Budget Meeting Date and Adopt 2024 oe Stremcha, Assistant Ci T Administrator
Preliminary Tax LevyT Reviewed by
Cal Portner, Ci r Administrator
Action Requested
Set, b�T motion, the budget meeting for public comment to be on Monda�T, December 4, 2023, at 6:30 p.m.
Adopt, byT motion, a resolution authorizing the preliminaryT propertyT tax levyT for collection in 2024.
Discussion
The Council must approve the preliminaryT tax levyT for certification to the countyT auditor byT September 30, 2023.
The attached levyT resolution sets the preliminary tax lev�T at $16,641,082, compared to the $15,094,9561ev�T for 2023.
The General Fund budget is currentl�T $21,557,350, `vhich is a 5.3% increase over the 2023 budget of $20,490,000.
The preliminaryT tax levyT is the ma�mum levyT amount and will be used to formulate the truth in taxation notices that
will be sent out by the countyr lateY this fall. The cityr's final adopted levyr can be less but cannot exceed the
preliminaryT levyT amount.
Staff will continue to review and evaluate opportunities for reductions based on additional information received over
the next several months to finalize the budget for adoption on December 4, 2023.
Financial Impact
Cityr of Elk RiveY pYopeYtyr tax levyr foY collection in 2024.
Mission/Policy/Goal
The city-'s mission is to grow responsibl�T and be good stewards for everyT dollar to develop a sustainable and
prosperous communityT.
Attachments
■ Resolution Adopting the 2024 PreliminaryT Tax Le`�yT
■ 2024 preliminary tax levyT/rate
The Elk River Vision
A 2a�elcolning co�nlnunity 2a�ith T evolutiona� y and spizzted T esou� cefulness, exceptional
se�vice, and coln�nunity engagelnent that encou�ages and ins�iz•es pTo�pe�zty.
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Up�iited.• August 2020
City of
Elk -�-�
River
Resolution 23-
A Resolution of the City of Elk River Adopting the Preliminary Property Tax
Levy for Taxes Payable in 2024
WHEREAS, the Elk River CityT Council is required to establish a preliminar�T tax lev�T for
taxes payable in 2024 byT September 30, 2023 and certify the preliminary tax levy to the
Sherburne CountyT Auditor; and,
WHEREAS, the Elk River CityT Council has revie`ved the City's anticipated expenditures
for all funds in 2024; and,
WHEREAS, the Elk RiveY Cit�r Council has consideYed projected revenues foY all funds in
2024; and,
WHEREAS, revenues from sources other than propertyT 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 byT the CityT Council of the CityT of Elk
River, iVlinnesota, as follo`vs: The follo`ving amounts are the maximum to be levied as
propert�T taxes payTable in 2024:
General Fund
LibraryT
2020A GO CIP Bond
2021A GO CIP/Equipment Bond
Economic Development Tax Abatement
Total Tax Levy
Lev�T
� 15,421,450
79,000
608,709
392,023
139 900
$ 16_641_082
Passed and adopted this 18`i' day of SeptembeY 2023.
ATTEST:
John J. Dietz, Mayor
Tina Allard, CityT Clerk
rawEREO ar
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2024 PRELIMINARY TAX LEVY
Levied Levied Levied Preliminary
Tax Levy Pay 2021 Pay 2022 Pay 2023 Pay 2024
General Fund $12,315,000 $13,109,300 $13,893,000 $15,421,450
Library 71,500 75,950 75,000 79,000
General Property Tax Levy $12,386,500 13,185,250 $13,968,000 $15,500,450
Special Levies:
Debt Service -
2010A PS Building 618,870 602,650 - -
2020A - PS Building Expansion 606,346 608,709
2021A - Fire Station 3/Equip. 389,135 392,023
Economic Development Tax Abatement 98,450 97,800 131,475 139,900
Lake Orono Dredging - - - -
Total Levy $13,103,820 $13,885,700 $15,094,956 $16,641,082
General Fund Change from Previous Year $376,700 $794,300 $783,700 $1,528,450
Percentage Change from Previous Year 3.2% 6.4% 6.0% 11.0%
Total Dollar Change from Previous Year $238,050 $781,880 $1,209,256 $1,546,126
% Change 1.9% 6.0% 8.7% 10.2%
NTC Value
Tax Rate
% Increase in NTC
$29,409,713
44.556%
5.7 %
$31,581,676
43.967%
7.4 %
$38,022,099
39.700 %
20.4 %
$43,206,785
38.515 %
CITY OF ELK RIVER
ESTIMATED TAX IMPACT
13.6 %
Residential (Homestead): With Valuation Change Impact
Estimated City Tax
Estimated Market Value Tax Capacity Tax Capacity Rate
Property Value Value Exclusion Value 39.700% 38.515% Dollar Percent
2023 2024 Change 2023 2024 2023 2024 2023 2024 change change
$281,500 $298,800 6.1 % $11,905 $10,348 $2,696 $2,885 $1,070 $1,111 $41 3.8%
$490,700 $565,800 15.3% $0 $0 $4,907 $5,658 $1,948 $2,179 $231 11.9%
$243,800 $260,900 7.0% $15,298 $13,759 $2,285 $2,471 $907 $952 $45 5.0%
$379,500 $425,000 12.0% $3,085 $0 $3,764 $4,250 $1,494 $1,637 $143 9.6%
$546,800 $602,800 10.2% $0 $0 $5,468 $6,028 $2,171 $2,322 $151 7.0%
$448,400 $459,900 2.6% $0 $0 $4,484 $4,599 $1,780 $1,771 $9 -0.5%
$340,000 $340,000 0.0% $6,640 $6,640 $3,334 $3,334 $1,323 $1,284 $39 -2.9%