Budget Message City of Golden Valley, Minnesota
2014 - 2015 Adopted Biennial Budget
Adopted December 3, 2013
City Officials
Mayor
Shep Harris
Council Members (at-large)
Joanie Clausen
Paula Pentel
DeDe Scanlon
Steve Schmidgall
Management Team
Tom Burt, City Manager
Rick Birno, Director of Parks and Recreation
Stacy Carlson, Police Chief
Jeannine Clancy, Director of Public Works
Mark Grimes, Community Development Director
Chantell Knauss, Assistant City Manager
Mark Kuhnly, Fire Chief
Sue Virnig, Finance Director
Cheryl Weiler, Communications Manager
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Citizens of
Golden Valley
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fund Recreation Commission
Planning Envision Executive
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City Manager
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Services Development
finance Community Center Planning Engineering
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Date: December 31, 2013
To: Mayor and Council
From: Thomas D. Burt, City Manager
Re: 2014 -2015 Adopted Biennial Budget
On December 3, 2013, the Golden Valley City Council approved the proposed biennial 2014-2015
Budget. During the first year of the two-year process, both years' budgets are developed and reviewed.
Only the first year's budget was adopted and the levy was approved by the City Council. The second
year's budget was approved in concept and will be reviewed in detail in 2014. The two-year budget
gives staff and City Council a future picture and the tool to examine impacts from the State Legislature
and economic climate change from property values.
The Budget represents the collective effort of City elected officials and staff, combined with input from
many public meetings, for decisions on providing quality services in Golden Valley. The City remains
on sound financial footing and continues to receive the highest bond rating of AAA from Moody's
Investors Services. The City takes pride in the services it offers its taxpayers.
Levy limits were in place for the 2014 budget year but excluded the bonded debt levy. Total Taxable
Market Values declined once again which made the impact greater on the higher valued homes and
commercial properties.
This Budget is a balanced budget and uses no source of fund balance (except for cash flow purposes,
until the tax payments are received in July and December). The General Fund fund balance is
projected to be $9,338,792 as of December 31, 2013. This level will be adequate to finance the City's
cash flow and contingency needs and is equal to approximately 58% of adopted expenditures. The
concept budget for 2015 will need additional property tax revenue in order for it to be balanced. That,
along with possible value decline will be a major part of discussions with the 2015 budget.
As we continue with the current Pavement Management Program, levies for payment of bonds will
increase due to increased construction costs and increased principal and interest payments on the
bonds already sold. Maintenance of infrastructure and reinvesting in the City is a high priority of the
City Council.
As we look forward to 2014, there are still many challenges ahead. The possible replacement of
Brookview Community Center as well as street improvements, building facility needs and equipment
will all be evaluated for future needs. All of these issues will request local government to balance
priorities to help lessen the impact on the taxpayer. In 2014 the City will plan for 2015, when Golden
Hills Tax Increment District values will be no longer designated.
I look forward to working with you in the coming year to execute this adopted budget.
Sincerely,
Thomas D. Burt
City Manager
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