Welcome to PowerPoint Wednesday, December 4, 2019 Vision North - PowerPoint PPT Presentation

Truth in T axation Hearing 2020 Budget Welcome to PowerPoint Wednesday, December 4, 2019

Vision North Branch is a growing and safe community with outstanding natural and recreational amenities and opportunities for all, well maintained infrastructure, vibrant business districts and neighborhoods, and provides residents with an excellent quality of life.

Financial Objectives  Continue to pay down debt.  Continue to maintain adequate reserves.  Maintain fiscal responsibility so that the City can provide the highest level of service at the lowest possible cost to residents.

2020 Proposed City Budget & Levy • Proposed City levy increase of only 2.99% • City taxes on median value home ($215,000) would increase approximately $11 per year

General Fund Levy History General Fund Levy 4,000,000 3,500,000 3,000,000 2,500,000 2,000,000 1,500,000 1,000,000 500,000 -

City T ax Rate Trend North Branch City Tax Rate Trend 70.00 60.00 57.88 56.88 55.07 52.98 50.00 49.47 45.89 40.00 30.00 20.00 10.00 0.00 2015 2016 2017 2018 2019 2020 Projected

City Levy/City T ax Rate History City Levy % Change City Tax Rate % Change 2015 4,094,559 5.53% 57.88 0.59% 2016 4,258,910 4.01% 56.88 -1.74% 2017 4,377,497 2.78% 55.07 -3.18% 2018 4,579,780 4.62% 52.98 -3.79% 2019 4,711,175 2.88% 49.47 -6.63% 2020 4,852,661 2.99% 45.89 -7.23%

City T ax Rate Comparison 2019 City Tax Rates 90.00% 80.00% 70.00% 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00%

City T ax Impact on Property T axes How Property Taxes Work Property Value * Tax Rate = Tax $$$ City's Portion of Property Tax Bill Median Value Home ($215,000) City Tax ($6) EDA/HRA $12 Fire Hall $5 Annual Increase $11

Why Your Property T ax Bill Varies from Year to Year Market value changes • Budgets and levies of multiple jurisdictions • Special Assessments • Voter approved referendums • Changes in aid and revenue from State and Federal • governments State legislative changes •

Problems with your Estimated Market Value? For 2020, the only appeal method is through MN Tax Court: • https://mn.gov/tax-court/ • 651-539-3260 • For Taxes Payable 2021: • Contact the Chisago County Assessor’s Office at 651-213-8550, be prepared to schedule an onsite visit at • your home If you still disagree with your property’s value, you may appear before the local Board of Appeal and • Equalization in the Spring You must appeal to the local board before appealing to the County Board of Appeal and Equalization •

2020 Property T axes Where Does Each $1 of Your Property Taxes Go? Reminder, City is only 1/3 of total • Other, 1% property tax bill. County and School District • School City, 32% District, 27% make up remaining 2/3 of total property tax bill. County, 40% City County School District Other

2020 General Fund Budget 2020 GF Expenditure Budget Public Works, 22% Police, 36% Council City Administrator City Clerk Elections Financial Admin City Attorney City Engineer Planning & Zoning Govt Bldgs/Plant Police Canine Unit Fire Dept Bldg Inspection Civil Defense Animal Control Other Protect-St Lgts Public Works Culture & Rec Libraries Other Exp-General

Public Works • 2 Public Works Maintenance Positions Added for 2020 • Brings PW FTEs to 2008 levels and aligns with strategic staffing plan • Funded in part with Overtime & Part-Time savings • Budget equivalent of 1.5 as 1 position is budgeted beginning January and the other around June.

Police • Effective 1/1/20, PERA employer contribution rates for Police will increase 0.75% as part of phased increase from 2018 legislation • 2020 Budget includes full year of officer hired in April 2019

Fire • ARMER/Pager Replacement included in 2020 Budget

Government Buildings • Council Chambers Technology Replacement Included in 2020 Budget

Elections • 3 Elections in 2020, 0 in 2019

Council/Committees • Committee Pay reinstated (after 10 years) for 2020 Budget

2020 Revenue – General Fund 2020 GF Revenue Budget Grants/Aid s, 22% Taxes, 66% Taxes Licenses/Permits Grants/Aids Other Gen Govt Charges Fines/Fees Interest/Reimbursements Transfers

Utility Funds -No change in City Utility Rates (Wastewater, Stormwater) for 2020 -Pursuing in-depth City Utility Rate study to help with long-term planning

2020 Proposed City Budget & T ax Levy  Levy increase of 2.99% results in approximately $11 per year more in City taxes for median value home ($215,000)  Helps to ensure we’re able to offer the highest level of service at the lowest possible cost to residents

Questions? Thank you!