City Council, HRA Approve 2021 Budgets And Tax Levies

On Dec 1, 2020, the Golden Valley City Council and Golden Valley Housing and Redevelopment Authority (HRA) approved budgets and tax levies to fund 2021 operations.

The City’s tax levy of $26,106,046 is a $1,033,012 increase (4.10 percent) over 2020’s levy. It will help fund the City’s general operations and bond payments.

The HRA tax levy of $72,000 will help fund opportunities for housing and economic development in the community.

City Tax Levy

Of the City tax levy, $20,326,285 is allocated to the General Fund for operations (police, fire, inspections, streets, parks and recreation, administration, transfers, etc), $4,561,461 is allocated for bond payments for street improvements, and $1,218,300 is allocated for bond payments for the Brookview facility.

Items making up the $1,033,012 budget increase include:

  • $355,867 for additional bond payments
    • $150,000 for transfers to help fund a portion of street overlays, improvements to buildings and parks, and major equipment purchases
    • $145,000 for a 1 percent employee cost of living increase
    • $123,920 for engineering projects and utility expenses
    • $95,000 for implementation of employee compensation study (the last study was in 2013)
    • $56,935 for increased risk management insurance premiums and contractual maintenance expenses as well as a single audit due to the CARES Federal funds received
    • $56,810 for employee step increases (based on performance and years of service)
    • $49,480 for contracts for LOGIS (computer services) and Hennepin County (assessing services)

HRA Tax Levy

The $72,000 HRA tax levy will be used to create a new development position supplemented by $90,000 of existing dollars. The Housing and Economic Development Manager will work with City housing initiatives, build collaborative relationships with multi-family property owners and managers, support programs to preserve existing affordable housing, look for additional funding for new affordable housing opportunities, and lead implementation of Golden Valley’s economic development.

Tax Impact

The tax impact for 2021 varies for each property based on how the property value changed from 2020. For the $335,000 median home, these two levies are expected to in¬crease 2021 property taxes by $24.08, or $2.01/month ($19.13 for the City tax levy and $4.95 for the HRA tax levy).

Questions?

Call Finance Director Sue Virnig at 763-593-8010.

See details at wwwgoldenvalleymn.gov/ budget.

This entry posted in | City Budget | Finance Department