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2010 — 2019 Financial PIa�l City of Roseville General Putpose Asset Cash 12eserves � �2a _��f1��__— � '� �lo � �- _ __ -� - __. �(lo) ________ �(20� .......................................... 2010 20l 1 2012 20I3 2014 2015 20I6 2017 201 S 2019 ! � Cash Reserves ': To prevent this deficit fi•om occurring, the City must; divest some city assets, defer as�et repYacements, ar increase property taxes. If the City chooses to rely saIely on increased property taxes; ii7e Cify's property tax levy vvill need to increase by 11.9% annually over Ehe next 10 years. This is above and beyond any increase that will be needed ta offset operational costs. Again, t��is is the amouni necessary to fully fund aIl streets, parks and trails, and vehicles and equipment �ver the nex� l0 years while preserving the City's Sireet Infrastructure Replacement.. Fund at existing levels. All ather asset replacenaent funds will have nominal reserves by 2019. These property tax increases can be somewhat mitigated if the City defers some capital replacements. However, this will likely necessitate greater investment in asset inaintenance. It may b� prudenC to rely on voter-approved bonds to finance the replacement af park system assets in additio�l to general facilities. Ren�oving these two large categaries would reduce the need for a tax levy increase of oi�ly 5:3% per year. Finaricial Impact Based on the projectio�is noied above, the following table depicts the annual property tax impact necessary to finance the operatianal and capital needs for tiie City's genez•al purpose functians including all streets, parks and trails, and vehicles and equipment: Annual Household PrapertV Tax Sill $ 5$2 � G45 � 716 � 823 � 965 � 1,128 � 1,303 � 1,478 � 1,G53 � 1,8�28 �$ 2,003 As shown in the above ta61e, over the next 10 years a typical household will incur an average it�cr�ease� of $142 or 24,�% a�nuaIly on their property iax bill — holding all other. fa..ctors constani. 8