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Discussion Items <br />From 2014-2018, overall funding sources for the City’s governmental fund operations have remained <br />fairly stable with a few exceptions. <br />Since 2014, the City has become more reliant on the property tax to fund current operations. This has <br />resulted in large part duetothe added costs associated with the City’s asset replacement programs.The <br />City’s reliance on the property tax also resulted from the decline in interest earnings and other non-tax <br />revenue sourcesduring this period.The chart below depicts the property tax levy for the past 5 years. <br />Property Tax Levy <br /> $21 <br />Millions <br /> $20 <br /> $19 <br /> $18 <br /> $17 <br /> $16 <br /> $15 <br />20142015201620172018 <br />Over the next fiveyears, it is expected that the City’s tax levy will need to increase at levels that are <br />somewhat above inflation. This will be necessary to offset expected increases in personnel-related costs <br />and tocontinue strengtheningthe City’s asset replacement funding mechanisms. <br />The City has realized a stabilization of its investment earningsexcluding fluctuations in year-end market <br />values,albeit at lower levels than adecadeago. <br />Charges for Services also remain a significant revenue source for the City, accounting for approximately <br />15%of total Governmental Fund revenues. These revenues include; internal service charges from the <br />General Fund to other general purpose functions, IT-related charges collected from joint partnerships, and <br />recreation program fees. These revenues are expected to grow at inflationary-type levels in the futureand <br />are depicted below. <br />16 <br /> <br />