DATE: July 18, 2019
TO: Northfield Economic Development Authority Board of Directors
FROM: Nate Carlson, Economic Development Coordinator
Title
Consider approval of 2020 EDA Budget
Body
SUMMARY AND ACTION REQUESTED:
Review the 2020 EDA Budget and consider action to approve the budgets of EDA Funds 290 and 292.
BACKGROUND:
Staff has prepared the 2020 EDA budget for consideration by the EDA Board of Directors. Budget spreadsheet and supporting documents are attached. The primary concern for the EDA is the yearly review of the EDA Funds (i.e. Fund 290, Fund 292, and Fund 293).
Revenues
The EDA has traditionally requested maximum level allowed by Minnesota Statute of 0.01813 percent of taxable market value. The County Assessor typically provides an estimate of the next year's taxable market value in October. Until these estimates are received, staff is utilizing the 2019 certified levy as a baseline for budget forecasting.
Based on this information, the 2020 EDA levy would be approximately $261,891. In addition to the levy, the EDA receives additional revenue of approximately $25,500 from other sources. These include approximately $15,500 from interest on investments and $10,000 from interest payments on loans. A total of $287,891 in estimated revenues are included in the draft 2020 EDA budget. This a 3.9% increase from 2019 budget, which totaled $277,094. The 3.9% increase is the smallest increase to the EDA's budget since 2014.
The Rice and Dakota County taxable market value for 2020 has not yet been finalized. Once finalized, the levy may provide additional revenue in 2021 to the EDA assuming the City Council continues to support the statutory maximum levy of 0.01813 of Northfield's taxable market value.
Expenditures
The draft expenditure budget is balanced with projected revenues equal to expenditures at $287,891. The total expenditures in Fund 290 are $207,891. The total proposed expenditures in Fund 292 remain the same as 2019 for $8...
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