ITEM: 12.7 ADMINISTRATION - Joe Huss, Finance Director
Title
CERTIFY PROPOSED GENERAL FUND BUDGET AND TAX LEVY FOR FISCAL YEAR 2014
Background
Minnesota Statutes require cities each year to certify preliminary budget and property tax levies to county auditors by September 15. As discussed at previous budget workshops, the preliminary budget may be adjusted either up or down. However, once set, the property tax levy can only be lowered. Thus, the Council does have the ability to reduce the preliminary tax levy as the 2014 budget process progresses.
The levy proposed in the attached resolution would, per the best estimates of staff given data currently available, result in a 2014 net tax capacity rate that is equal to the net tax capacity rate for 2013.
The proposed expenditure budget totals $25,166,690 and includes $359,565 in unidentified balancing provisions. The provisions necessary to balance the 2014 General Fund Budget include increased non-levy revenues; expenditure reductions; the use of unrestricted reserves; or a combination of these three options.
Recommendation
By motion, approve following resolution
Body
WHEREAS, current tax law requires cities to certify a proposed budget and tax levy to the county auditor; and
WHEREAS, guidelines established by the Commissioner of Revenue require this to be done by September 15; and
WHEREAS, the Department of Revenue certified the local government aid amounts to cities which were set for payable 2014 by the current tax law.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Blaine, Minnesota, that the proposed expenditure budget for the General Fund is $25,166,690; and
BE IT FURTHER RESOLVED that the proposed 2014 net levy for the General Fund, Pavement Management Program, Improvement Bonds of 2004, 2008, and 2012, Capital Improvement Bonds of 2005 and 2007, and Equipment Certificates of 2010 and 2011 is $19,452,000 and that the market value levy for the Open Space Refunding Bonds of 2010 is $300,000; and
BE IT FURTHER RESOLVED that the resolution represents a good faith effort by the City to substantially comply with the applicable law and the guidance supplied by the Commissioner of Revenue.