2022-12-14 CC Packet - Laserfiche WebLink

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From:Bruce DeJong To:Mark Statz Subject:Mayor"s levy reduction Date:Tuesday, December 6, 2022 5:26:57 PM Attachments:2023 Levy Reduction Strategy.xlsx Hi Mark, Mayor Love reduce the levy because we had so much excess revenue thisyear. I want to provide a method of doing that without significant long- term impact to future levyincreases. We have a levy increase in the General Fund of $121,209. That is offset by a levy decrease of $17,790 for debt service. The combination of those two changes leaves a net levy increase of $103,419. If wants to reduce the levy, I would suggest that we not go beyond the total levy increase for this year of $103,419, which brings our net change to $0. The way would $103,419This would replace most of the GF levyincrease and bring it down to $17,790 . e would need to gradually raise up our levy amount over several years to get back to a balancedbudget. I would suggest whatever the natural levy increase is for 2024 with an additional $28,419,the natural levy increase for 2025 with an additional $25,000, the natural levy increase for 2026 withan additional $25,000, and the natural levy increase for 2027, with an additional $25,000 for 2028.That would provide for lower levies over the next four years that would normally occur. we would be budgeting a deficit of $75,000 for 2024, $50,000 for 2025, and $25,000 for2026. That leads to a total use of fund balance of $5, Please let me know if this makes sense and if you want to discuss it with the Mayor prior to next Wednesday. ruce