City Council Work Session

CITY COUNCIL WORK SESSION MINUTES Tuesday, November 15, 2022 at 5:45 PM Baxter City Hall, 13190 Memorywood Drive, Baxter, MN “A Growing Community” CALL TO ORDER Mayor Olson called the meeting to order at 5:45 p.m. ROLL CALL All council members jv, bc, ks, tw, bb BUSINESS ITEMS 1. 2023 Budget Discussion Finance Director Vacinek save $15k for OK park rink and warming house. 32% residential increase and only about a 2% in commercial and industrial. Shift to residential. $250k home increased to $330k only increase valuation and homestead market exclusion is decreasing. From $14k to about only $7. That increase is tax capacity rate. Tax capacity rate . The $15k levy reduction impacts to ta capacity. Reduce the levy another $200k brings the levy to 7.3% or below the current 7/7% cpi. Doing no tax levy increase the average $250 home still increases by $200 and commercial decreases. Enterprise funds budget review 7.1% rate increase for water. Reviewed highlights of expenditures for water fund. 15 locks are being replaced for $10k. Staff will review the number and update the council. Sewer 4% rate increase. Billed usage is down but the BPU billed cost is up. Storm water fund. 13% increase. Personnel costs are changing due to reorganization of the pw department plus the additional position added in July. A 6k user bill from 78.36 to $ Compared our rates to the rates of other cities. Tabatt, for future years to have a discussion on future slides to have a discussion on where we are. Seems like we are doing it year by year. What in our control of long term rate setting Water explained we are at 80% with the water plant capital assent plan. Doing storm Olson how is the water plant running? Walter have made final payment. Have cracked repaired. Our run times are up better than what we anticipated. Where are we at with the insurance? Brad insurance trust is finishing up their work and we anticipate it will be finsihd by year end. Truth of taxation is held on December 5ht. Tabatt is there anything can go lower. Continue discussion after the close session 11/15/2022 City Council Work Session Minutes Page 2 ADJOURN Chapulis final budget and levy on Dec 6 Mc, cl at 6:50 Open special at 6:48 Mc jw, all abstract Mc to aboun cl at 6:50