Laserfiche WebLink
<br />Item No: 7.A. <br />Meeting Date: September 14, 2015 <br />Type of Business: Council Business <br />City Administrator Review: ______ <br />City of Mounds View Staff Report <br />To: Honorable Mayor and City Council <br />From: Mark Beer, Finance Director <br />Item Title/Subject: Resolution 8445 Authorizing Certification of the Preliminary <br />General Fund Budget and Preliminary Property Tax Levy for Fiscal <br />Year 2016 <br /> <br /> <br />State law requires that the City certify a preliminary General Fund Budget and preliminary property tax <br />levy to Ramsey Co unty by September 30. The City Council reviewed the General Fund budget at the <br />July and September work sessions and will review the budget again before final approval in <br />December. <br /> <br />The City Council is considering a levy increase of 1.0%. The Charter limits the levy increase to 1% <br />which is inflation plus 2%. (Inflation is negative 1%) Each 1% levy increase is an additional $43,503. <br />The state has certified Local Government Aid (LGA) for 2016 at $666,792. Staff recommends that we <br />budget for 90% of that amount. ($600,112) LGA is included in the General Fund budget and use of <br />Assigned Fund balance of $250,000 is also included. Unassigned fund balance was $3,334,542 at <br />December 31, 2014 and represents 51.4% of draft 2016 budgeted expenditures and transfers in. The <br />Assigned Levy Reduction fund balance is $6,000,280 at 12-31-14 and will be approximately <br />$5,810,280 at December 31, 2015. <br /> <br />The base General Fund levy would be $3,706,549 and special levies for Fire Debt Service of <br />$154,119, police personnel referendum of $194,000, PERA rate increase special levy of $39,145 for a <br />total General Fund levy of $4,093,813. The base levy for the Street Improvement fund would be <br />$300,000. The total of all base and special levies proposed is $4,393,813, a 1% ($43,503) increase <br />over 2015. Once this amount is set, the levy cannot be increased but can be lowered. The final levy <br />will be adopted on or about December 14, 2015 along with the General Fund budget and the other <br />City funds budgets. <br /> <br />The draft General Fund budget for preliminary approval is $6,493,326. This amount is subject to <br />change as the Council gets additional information but should not change significantly before final <br />adoption. <br /> <br />Respectfully submitted, <br /> <br /> <br />___________________________ <br />Mark Beer, Finance Director <br /> <br /> <br /> <br /> <br /> <br /> <br />