09-10-12 SCC10
Ot
STS F o
MINNESOTA
DEPARTMENT INFORMATION
Request for
City Council Action
ORGINATING DEPARTMENT:
REQUESTOR:
MEETING DATE:
Administration
Lori Johnson, City Administrator
September 10, 2012
PRESENTER(s):
REVIEWED BY:
ITEM #:
Lori Johnson, City Administrator
Lori Johnson, City Administrator
2.1 Resolution setting a
the City can levy. The levy can be decreased when it is adopted in December, but it cannot be
increased.
Preliminary Tax Levy for 2012.
AGENDA ITEM DETAILS
RECOMMENDATION:
Recommend approval of the attached Resolution Setting a Preliminary Tax Levy of $4,377,910 for 2013
Budget Appropriations and setting the public input meeting on the budget and tax levy for December
10, 2012, at 7:00 p.m.
ARE YOU SEEKING APPROVAL OF A CONTRACT?
IS A PUBLIC HEARING REQUIRED?
No
No
BACKGROUND/JUSTIFICATION:
The City is required to certify its preliminary tax levy to the County Auditor no later than September 15.
Further, by that date, the City must notify the County of the date at which the City Council will take
public input on the budget and tax levy. As you know, the levy adopted in September is the maximum
the City can levy. The levy can be decreased when it is adopted in December, but it cannot be
increased.
In May the City staff began preparing a draft budget for City Council review and discussion. The City
Council has held two workshops to discuss the proposed budget and tax levy. At the workshops,
department heads outlined their departmental goals and budget requests. The Council provided input
and direction after thorough review and discussion of the proposed budget.
In addition, the tax levy and estimated tax capacity were reviewed. After considerable discussion of
reserve fund levies, possible ways to reduce the levy, and market value trends, the Council directed staff
to prepare a resolution to set the maximum levy at $4,377,910. This is a 2.74 percent increase above
the 2012 levy. This levy supports a General Fund budget of $3,701,520.
Finally, prior to adoption of the final levy and budget in December, the Council may continue to discuss
and adjust the 2013 General Fund budget. The enterprise fund budgets will be presented in November
before being adopted along with the General Fund budget and tax levy on December 10.
SUPPORTING DOCUMENTS: X ATTACHED ❑ NONE
• Motion to adopt Resolution 2012-60 Setting a Preliminary Tax Levy of $4,3877,910 for 2013
Budget Appropriations
MOTION: (Please word motion as you would like it to appear in the minutes.)
Motion to adopt Resolution 2012-60 Setting a Preliminary Tax Levy of $4,3877,910 for 2013 Budget
Appropriations
Motion to set the meeting for public input on the 2013 budget and tax levy for Monday, December 10 at
7:00 p.m. at City Hall.
BUDGET INFORMATION
FUNDING: BUDGETED: ❑ YES
❑ NO
ACTION TAKEN
❑ APPROVED AS REQUESTED ❑ DENIED ❑ TABLED ❑ OTHER (List changes)
COMMENTS:
1.
RESOLUTION NO. 2012-60
CITY OF OTSEGO
COUNTY OF WRIGHT, MINNESOTA
A RESOLUTION SETTING A PRELIMINARY TAX LEVY OF $4,377,910 FOR
2013 BUDGET APPROPRIATIONS
WHEREAS, the Otsego City Council is required by State law to establish a preliminary tax
levy for 2013 by September 15, 2012 and certify the preliminary tax levy to the Wright
County Auditor.
WHEREAS, the Otsego City Council has reviewed the City's anticipated expenditures for
all funds in 2013 and,
WHEREAS, the Otsego City Council has considered projected revenues for all funds in
2013 and,
WHEREAS, revenues from sources other than property taxes are not sufficient to meet the
anticipated expenditures of all funds and,
WHEREAS, the debt levies have been adjusted or cancelled based on revenue collections
and projections,
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF OTSEGO, MINNESOTA:
That the following amounts are the maximum to be levied as property taxes payable in 2013
for the following purposes:
General Government $3,935,910
Tax Abatement 17,000
GO Improvement Bonds 2003A 117,320
GO Improvement Bonds 2004 75,000
GO Improvement Bonds 2006B 82,680
Public Works Building Bond 2010B 150,000
Total Tax Levy 4 3 1
2. That a copy of this resolution be transmitted to the Wright County Auditor.
MOTION BY:
SECOND BY:
ALL IN FAVOR:
THOSE OPPOSED:
ADOPTED by the City Council of the City of Otsego this 10th day of
September 2012.
CITY OF OTSEGO
Jessica Stockamp, Mayor
ATTEST:
Tami Loff, City Clerk