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Gem Lake News Page 2 of 8
<br />
<br /> Preliminary Budget for 2025 Presented at 9/17 Hearing
<br />(continued from page 1)
<br />
<br />The following changes were made from the 2024
<br />adopted budget as a basis for the 2025 proposed
<br />preliminary property tax levy:
<br />
<br />• Based on the 2015 Refunding Bond schedule, the
<br />debt levy for 2025 is set for $79,711.00. In addition,
<br />in 2018, the City issued bonds for the
<br />improvements on Scheuneman Road and the 2025
<br />debt levy for this issue is $4,025.00. The two of
<br />these debt levies makes up the City’s 2025 total
<br />debt levy of $83,736.
<br />
<br />• Increased City Council wages 3%.
<br />
<br />• City Council contingency was increased to $15,000
<br />(was $9,000).
<br />
<br />• Clerk/General Government budget includes
<br />$63,000.00 for wages and $11,550 for health
<br />insurance coverage.
<br />
<br />• Planning & Zoning budget increased $8,950.00
<br />based on past expenditures.
<br />
<br />• Police budget was increased 13.85% to $147,396
<br />based on the City of White Bear Lake budget
<br />provided to Gem Lake and includes $133,089 for
<br />police services and $14,307 for debt payments on
<br />the new public facilities building.
<br />
<br />• The cost of fire services increased 8.54% to
<br />$52,827.00. It includes $35,300 for fire services,
<br />$8,181 for fire marshal services, and $9,346 for
<br />depreciation on the new public facilities building.
<br />
<br />o Overall, the City of White Bear Lake would like
<br />Gem Lake to pay $23,653 for the next 20 years
<br />for their new facility each year.
<br />
<br />• Road Maintenance budget includes $20,000 for
<br />road maintenance/repair and $8,000 for trimming
<br />boulevard trees.
<br />
<br />• Salt/sand expenses were reduced $4,000 to $8,000
<br />and snow plowing contract increased from $14,500
<br />to $15,000, both based on past expenditures.
<br />
<br />• Heritage Hall budget includes $10,000 for building
<br />improvements and $10,000 for other
<br />equipment/improvements.
<br />
<br />• The 2025 preliminary budget includes a park
<br />maintenance budget of $7,000 for maintaining park
<br />area of the Villas of Gem Lake.
<br />
<br />• The 2025 budget includes $20,000.00 for future
<br />improvements.
<br />
<br />• Other revenue and other expenditure line items
<br />adjusted based on past history.
<br />
<br />These changes result in the City proposed preliminary tax
<br />levy of $733,757.00 for 2025. This compares to 2024
<br />preliminary levy of $717,742.00 and 2024 final levy of
<br />$697,081.00. Using a 2025 property tax levy of
<br />$733,757.00 and the City’s 2025 estimated tax capacity
<br />($1,799,843.00) and median valued home ($443,750.00)
<br />for Gem Lake, that median valued home, would pay City
<br />property taxes of $1,725.55 in 2025 compared to 2024
<br />preliminary levy of $1,872.22 (a decrease of $146.67)
<br />and the 2024 final levy amount of $1,652.20 (an increase
<br />of $73.35).
<br />
<br />
<br />One final change for the 2025 budget was a legislative
<br />change, which increased the market value exclusion from
<br />40% of the first $76,000 to the first $95,000 minus 9% of
<br />the value between $95,000 to $517,200 (was $76,000 to
<br />$413,800). Homes valued at or above $517,200 do not
<br />receive an exclusion compared to $413,800 previously.
<br />This change saves the median value home $26.10 in City
<br />taxes in 2025. The 2025 preliminary budget was
<br />approved by the City Council after a public hearing.
<br />
<br />As the City of Gem Lake prepares its final 2025 budget,
<br />the property tax levy can be lowered, from the preliminary
<br />numbers, but cannot be increased. The final budget is
<br />due to the State of Minnesota in December.
<br />
<br />The City of Gem Lake has scheduled the Truth-in-
<br />Taxation hearing for the December 17 City Council
<br />meeting.
<br />
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