08-22-11 WSCITY OF
OTSEGO
WRIGHT COUNTY, MINNESOTA
TO: Otsego Mayor and City Council
FROM: Lori Johnson, City Administrator
DATE: August 16, 2011
RE: 2012 Budget and Tax Levy
MEMORANDUM
Last week additional information on the City's reserve funds including the projected
2012 levies was sent to you in preparation for the August 22 budget work session. As
you know, determining the reserve levies for 2012 was discussed at length at the last
budget meeting. At Monday's meeting, staff is looking for direction from the Council on
the reserve levies so that a levy resolution can be prepared for adoption on September
12. A motion to set the City's budget presentation and public comment meeting for
December 12 also needs to be adopted at the September 12 meeting.
Attached are updated levy and revenue numbers reflecting the Council's direction to
move the antenna lease revenue into the water fund. With that revenue reduction, the
levy increases to $4,261,000 with the reserve levies as previously presented. The final
attachment includes the update to the Fire Services reserve to include only the actual
fire contract expenses for 2012.
Finally, if you would like additional information before Monday's meeting, please contact
Gary Groen or me. We will be prepared to go through the entire budget and levy data it
as much detail as the Council wants at the work session.
C. Gary Groen, Finance Director
Tami Loff, City Clerk
City of Otsego
Comparative Levy Information
Total City of Otsego General Property Tax Levy
Add:
Fire Service Paid By Assessments
Less
Market Value Homestead Credit
to be paid by State of MN (Estimated)
2009 2010 2011 2012
$ 3,720,690 3,818,000 $ 3,966,000 $ 4,261,000
477,100 478,570 479,325 -
(237,000) (237,000) (237,000) -
Net Taxes and Assessments paid for City of Otsego Services $ 3,960,790 4,059,570 $ 4,208,325 $ 4,261,000
City of Otsego
2012 Property Tax Levy
Levy Subject to Levy Limits
General Government
Fire Service Levy
Pavement management levy
Park trail management levy
Public works capital equipment levy
Park capital equipment levy
Total General Fund
Special Levies
2003 Debt Service DS Sec., pg 2
2006 Street Improve DS Sec., pg 5
Quaday
Public Works Buildin DS Sec., pg 7
Total
277,806
140,900 138,000 138,000 - combined
177,700 178,000 178,000 275,000 combined
250,000 150,000 150,000
$ 3,720,690 $ 3,818,000 $ 3,966,000 $ 4,261,000
Total General Fund 2,831,000
Levy percentage budgeted 95% 95% 96% 96% 98%
General Fund Budgeted Tax Revenue 2,774,380
Final
Final
Final
Final
Proposed
2008
2009
2010
2011
2012
$
2,641,910
$
2,887,090
$
2,612,000
$
2,670,228
$
2,831,000
$ :
-
$
-
$
-
$
-
$
480,000
$
300,000
$
300,000
$
400,000
$
529,772
$
300,000
$
25,000
$
25,000
$
40,000
$
42,000
$
25,000
$
180,000
$
190,000
$
200,000
$
160,000
$
150,000
$
98,000
$
50,000
3,146,910
3,402,090
3,252,000
3,500,000
$
3,836,000
277,806
140,900 138,000 138,000 - combined
177,700 178,000 178,000 275,000 combined
250,000 150,000 150,000
$ 3,720,690 $ 3,818,000 $ 3,966,000 $ 4,261,000
Total General Fund 2,831,000
Levy percentage budgeted 95% 95% 96% 96% 98%
General Fund Budgeted Tax Revenue 2,774,380
City of Otsego
General Fund Revenue Budget
Source Description
2009
Actual
2010
Actual
Final Six month
2011 Actual
Budget 6/30/2011
31010
Property Taxes - Curr. Yr $
3,232,926
$ 3,295,917
$ 3,360,000
Developer and other
169,512
3,232,926
3,295,917
3,360,000
3,000
State Aid reduction
-
(237,694)
(237,319)
-
Est. Tax Revenue
3,232,926
3,058,223
3,122,681
32100
Business Licenses
23,570
15,034
17,500
32210
Dog Licenses
330
124
250
32250
Sign Permits
950
550
500
32260
Building Permits
75,000
75,000
75,000
32270
Septic Permits
7,000
7,000
7,000
33405
Police Aid
47,529
46,822
47,000
33406
MSA Maintenance
134,176
138,428
135,625
33404
Other State Aid
1,872
6,534
1,854
34050
Administrative fees
7,892
2,700
8,000
34107
Assessment searches
630
650
-
34105
Maps/copies
122
-
-
34150
Topo Sales
108
-
34303
P.W. - charges to other departn
4,453
-
-
34330
Grading Reviews
628
1,560
34201
Mining Fees
27,753
(100)
50,000
34710
Recreation Fees
250
360
-
36100
Special Assessments
7,162
31,658
-
36210
Interest Earnings
108,353
97,904
100,000
36230
Donations
500
6,600
500
37165
Antenna Rental
40,493
60,133
54,890
38000
Rent
44,200
28,200
24,000
38050
Franchise Fees
87,807
97,228
85,000
39000 Other
Total Revenue
Operating Transfers
Public works building reserve
13,308 3,317 75,000
3,866,903 $ 3,678,033 $ 3,804,800
1,268,600
13,450
Proposed
2012
Budget
Q 7 77A 2r1r1
2,774,300
15,000
50
- Transfer from Bldg Safety
- Transfer from Bldg Safety
47,000
147,633 145,000
1,872
287
140
475
2,520 Should net to -0-
25,000
360
2,500
Baseball & other
30,000
Developer and other
169,512
100,000
2011 is not yet allocated
3,000
3,000
25,522
-
To Water Fund in 2012
-
-
Transfer from Building Safety
24,815
100,000
68,291
2,128
1,724,655 3,245,800
50,000 - carryover from 2009
$ 3,866,903 $ 3,678,033 $ 3,854,800 $ 1,724,655 $ 3,245,800
General Fund Revenue Budget Section 2, Page 4 8/15/2011
City of Otsego
Expenditures of the General Fund and Reserves
Projected Fund Balance 12/31/11
Add:
Tax Levy
Other Revenue
Projected Interest,Allocation
Balance and Additions
Less Projected 2012 Expenditures
Projected Fund Balance 12/31/12
Total Levy - Operations and Reserves
(Includes Fire Services)
Debt Levies
Public Works Building
2003/2004/2006 GO Improvement Bonds
Total Projected Levy
$ 3,836,000 $ 2,831,000 $ 300,000 $ 25,000 $ 50,000 $ 150,000 $ 480,000
(Levy is 100%; budget is 98%)
150,000
$ 4,261,000 $ 2,831,000 $ 300,000 $ 25,000 $ 50,000 $ 150,000 $ 480,000
Pavement
Park
Park
Public Works
Fire
Total
Operations
Management
Trail
Equipment
& Other
Services
$ 4,387,404
$ 1,713,440
$ 908,193
$ 26,569
$ 98,000
$ 444,202
$ 1,197,000
3,779,300
2,774,300
300,000
25,000
50,000
150,000
480,000
371,500
371,500
2.50% 136,924
100,000
22,705
664
2,450
11,105
-
4,287,724
3,245,800
322,705
25,664
52,450
161,105
480,000
4,442,759
3,245,800
484,217
-
-
367,742
345,000
$ 4,232,369
$ 1,713,440
$ 746,681
$ 52,233
$ 150,450
$ 237,565
$ 1,332,000
Total Levy - Operations and Reserves
(Includes Fire Services)
Debt Levies
Public Works Building
2003/2004/2006 GO Improvement Bonds
Total Projected Levy
$ 3,836,000 $ 2,831,000 $ 300,000 $ 25,000 $ 50,000 $ 150,000 $ 480,000
(Levy is 100%; budget is 98%)
150,000
$ 4,261,000 $ 2,831,000 $ 300,000 $ 25,000 $ 50,000 $ 150,000 $ 480,000