2019 Budget Adoption Hearing An Overview of the Mayors Recommended - PowerPoint PPT Presentation

2019 Budget Adoption Hearing An Overview of the Mayor’s Recommended 2019 Budget as amended by the Budget Committee on November 30, 2018 November 28, 2018

Major Highlights 2019 City Budget, excluding independent boards, is $1.55 Billion City Budget in $000s • Structurally Balanced in 2019 1,600 1,500 1,400 • $140M, or roughly 10%, greater 1,300 than 2018 adopted budget of 1,200 $1.41B 1,100 • Includes general fund, water, 1,000 900 sewer, and storm sewer utilities 800 plus convention center, and other 2018 Adopted 2019 Recommended special revenue funds Ongoing One-Time One-Time Affordable Housing Capital New PSB

Major Changes – City Only Selected Changes made by the Budget Committee • Affordable Housing Investment of $40M (local sources only) ➢ Renter Supports Enhanced • Interdisciplinary Approach to Public Safety ➢ Violence Prevention Fund Established; Other Investments Made Ongoing • Economic Inclusion ➢ Collaborative Enforcement Increased & Made Ongoing • Improved City Operations ➢ Race Equity Staffing Increased

Five-Year Capital Investments

Proposed Monthly Utility Rates Increase on a typical home of about $51 per year, or 4.3% 2018 2019 Sanitary* $28.58 $31.06 Storm $12.71 $13.09 Water** $29.56 $30.41 Solid Waste $28.99 $29.53 Total $99.84 $104.09 * Sanitary average monthly cost = rate x 6 units ** Water average monthly cost = rate x 7 units

2019 Recommended Levies *Maximum MPRB Levy set $100k higher than the Mayor’s Recommendation Levy 2018 2019 Change Levies by Entity 0% 1% 3% General Fund 189,452,884 201,345,000 6.28% Minneapolis Park Board* 62,201,719 65,640,000 5.53% 19% Bond Redemption 39,350,000 41,510,000 5.49% Pensions 22,310,000 23,310,000 4.48% Municipal Building Commission 5,102,929 5,256,000 3.00% Board of Estimate and Taxation 190,000 210,000 10.53% 77% Teacher's Retirement Assoc’n 2,300,000 2,300,000 0.00% Library Referendum 10,300,000 10,300,000 0.00% City* Park Board BET TRA Library Referrendum Total Property Taxes 331,207,532 349,871,000 5.63% *City includes General Fund, Bond Redemption, Pensions, and MBC

What Each Property Tax Dollar Buys

Tax Impacts Changes in Citywide Residential Homestead Values & Taxes Estimated Market Value Change in Median Value & Taxes Payable • Increase: $24,000 $300,000 1,475 1,375 $250,000 • Percent increase: 10.7% Taxes Payable 1,275 Home Value $200,000 1,175 1,075 $150,000 Property Taxes 975 $100,000 875 • Increase: $92 $50,000 775 2018 2019 • Percent increase: 6.7% Median Value 225,000 249,000 Tax 1,300 1,387

Property Tax Refund Program • Support for Renters and Homeowners • Income Phase Outs www.revenue.state.mn.us/individuals/prop_tax_refund/

Thank You City of Minneapolis