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CR 05-161 The 2006 Tax Levy & General Fund Budget December 20, 2005 Council Report 2005-161 THE 2006 TAX LEVY AND GENERAL FUND BUDGET Proposed Action Staff recommends adoption ofthe following motion: Move to Adopt Resolution 2005-119 approving the 2006 tax levv and adopting the 2006 General Fund budget. Adoption of this motion will result in the staff forwarding the appropriate documentation to Hennepin County for completion of the property taxes for 2006 and will approve the 2006 General Fund budget. Overview The City Council and staff have held a number of meetings during 2005 to prepare for the 2006 general fund budget and 2006 tax levy. In addition we provided an opportunity for the public to offer input on the 2006 budget through the Truth-in-Taxation hearing held on December 5,2005. Budget goals were adopted this spring and were instrumental in guiding the staff as it prepared budget requests. During 2005 the council adopted other financial plans, the Capital Improvement Plan and the Equipment Replacement Plan, that along with a series of program and budget discussions were instrumental in the development of the 2006 budget. The budget in its current form recommends spending in the general fund at $8,888,288 and a total tax levy of$8,438,078. The levy includes provisions for general fund operations, PERA contributions, HRA levy, capital funding, and debt obligations. Staff is recommending that the council adopt the resolution approving the tax levy for 2006 and setting the 2006 general fund budget. Primary Issues to Consider . The state mandates certification of the 2006 levy to the County Auditor no later than December 28, 2005 Supporting Information . Resolution 2005-119 . 2006 General Fund Budget ~v~ Christine M Harkess, CPA, CGFM Finance Director CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA RESOLUTION 05-119 RESOLUTION APPROVING 2006 TAX LEVY AND ADOPTING THE 2006 GENERAL FUND BUDGET BE IT RESOLVED BY THE COUNCIL OF THE CITY OF HOPKINS, MINNESOTA, that the following sums of money be levied for the current year collectible in 2006 upon the taxable property in the City of Hopkins, for the following purposes. General Fund PERA Rate Increase Capital Levy HRA Levy General Obligation Bonds Improvement Bonds HRA Lease Revenue Bonds Total Levy $ 7,164,263 $ 11,815 $ 25,000 $ 20,000 $ 180,000 $ 147,000 $ 890.000 $ 8,438,078 This levy is made based on current law and the 2006 General Fund Budget of $8,888,288. Provision has also been made for the payment of principal an interest n the following bond issues: 1-1-97 Redevelopment Bonds 10-1-96 Redevelopment Bonds 12-1-89 Sewer Revenue Bonds 2-1-92 Taxable Refunding Bonds Refunded 10-15-93 & 12-4-01 12-1-89 Redevelopment Bonds 8-1-92 Improvement Revolving Bonds Refunded 10-15-93 Refunded 12-4-01 3-1-90 Park Bonds Refunded 10-15-93 & 12-4-01 Housing Bonds 5-1-99 Taxable GO Housing Improvement Bonds Housing Bonds 8-1-99 GO Storm Sewer Bonds GO Housing Improvement Bonds 4-1-00 Water Revenue Bonds GO Improvement Revolving Bonds 10-1-02 GO Improvement Revolving Bonds Redevelopment Bonds 10-1-02 HRA Lease Revenue Bonds HRA Lease Revenue Bonds 6-1-03 GO Storm Sewer Revenue Bonds 9-1-95 6-1-97 8-1-99 8-1-99 10-1-02 6-1-03 Bold = Included in Levy BE IT FURTHER RESOLVED, that the City Clerk is hereby ordered and directed to transmit a certified copy of this resolution to the County Auditor of Hennepin County, Minnesota. Adopted by the City Council of the City of Hopkins at the levy adoption presentation of the Council held this 20th day of December, 2005. ATTEST: Terry Obermaier, City Clerk Eugene Maxwell, Mayor CITY OF HOPKINS REVISED 2006 GENERAL FUND BUDGET 2005 2005 2006 % Budget Est Actual Budget Incr/(Decr) Revenues Property Taxes $ 6,423,919 $ 6,478,099 $ 6,312,098 -1.74% Intergovernmental Revenue $ 1,228,669 $ 1,212,624 $ 1,310,890 6.69% Licenses, Permits & Fees $ 627,975 $ 551,316 $ 639,400 1.82% Charges for Service $ 219,350 $ 175,700 $ 200,750 -8.48% Miscellaneous Revenue $ 311,851 $ 303,700 $ 315,150 1.06% Interest Earnings $ 110,000 $ 95,000 $ 110,000 0.00% ITotal Revenues $ 8,921,764 $ 8,816,439 $ 8,888,288 -0.38%1 Expenditures City Council $ 97,313 $ 87,508 $ 97,327 0.01% Administrative Services $ 392,088 $ 307,819 $ 387,665 -1.13% Finance $ 156,828 $ 144,267 $ 156,583 -0.16% Legal $ 136,480 $ 112,274 $ 126,600 -7.24% Municipal Building $ 123,826 $ 108,630 $ 173,293 39.95% Activity Center $ 276,719 $ 252,318 $ 293,721 6.14% Receptionist $ 45,754 $ 43,727 $ 45,733 -0.05% Assessing $ 151,475 $ 147,694 $ 151,231 -0.16% Inspections $ 527,616 $ 480,572 $ 530,375 0.52% City Clerk $ 48,760 $ 45,323 $ 62,844 28.88% Elections $ 22,502 $ 19,666 $ 35,376 57.21% Police $ 3,584,766 $ 3,571,327 $ 3,794,863 5.86% Fire $ 616,069 $ 607,021 $ 656,047 6.49% Emergency Preparedness $ 5,110 $ 6,960 $ 5,290 3.52% Public Works $ 1,875,702 $ 1,677,696 $ 1,876,853 0.06% Recreation $ 204,685 $ 200,954 $ 215,555 5.31% Planning & Zoning $ 89,071 $ 76,593 $ 95,659 7.40% Other Financing Uses $ 567,000 $ 531,103 $ 183,273 -67.68% IGrand Total Expenditures $ 8,921,764 $ 8,421,452 $ 8,888,288 -0.38%1