7.29.2024 Special Commission Budget Meeting

Valley City Special Commission Budget Proceedings

Monday, July 29, 2024

7:00 AM City Hall

President Carlsrud called the meeting to order at 7:00 AM.

Members present: Commissioner Magnuson, Commissioner Bishop, Commissioner Erickson, Commissioner Gulmon

Members absent: None

Others Present: City Administrator Crawford, Finance Director Klein, Deputy Auditor Johnson, City Attorney Martineck, Police Chief Horner, Assessor Current, Administrative Assistant Hintz.

 

New Business

Discuss and Approve the 2025 Preliminary Budget

Finance Director Klein reported that at this time we do not have an estimated value of a mill from Barnes County. Based on assessed property values, we are estimating the increase in value of a mill to be 4%. The 2025 Preliminary Budget has a 3% increase in dollars levied compared to the 2024 Budget. Last year’s increase from the 2023 Budget to the 2024 Budget was 4.8%. The increase in expenditures in the General Fund is 4.8%. The 2025 Transfers In are the same as 2024 with $260,000 being transferred in from Fund 241 Property Tax Relief. Transfers Out total $445,833 to Fund 225 Building Reserves $101,950, Fund 230 Renew & Replacement $243,883, Fund 290 Infrastructure R&R $100,000. Cash reserves are at $1,536,574 which is 34% of expenditures, this is within the guidelines set in the City’s Fund Balance policy.

The transfer from the Utility Fund to General Fund is $250,000 less than in 2024, this $250,000 will be designated for the new Public Works Service Center. The Public Works Transfer In is $85,000 less than 2024 to Fund 231 Street Renew and Replacement.

The proposed salaries in the 2025 Budget includes a 4% cost of living allowance (COLA) increase and a step increase in the 0-24-year salary schedule.

The increase in health insurance premiums for 2025 is approximately 4.5%. In 2024 the City paid for 80% of the premiums, in 2025 the City’s share of health insurance premiums will increase to 85%. In 2025 the City will also pay a $2,000 insurance incentive to those employees who are not on the City’s Health Insurance Policy through NDPHIT. The City’s contribution to the employee’s HSA accounts would remain the same, with the employees matching a portion of the contribution in order to receive the full amount.

Commissioner Gulmon moved to approve the 2025 Preliminary Budget as presented which includes the proposed salary structure and 4% COLA, seconded by Commissioner Bishop. Motion carried.

ADJOURN

Meeting Adjourned at 7:46 A.M.

Posted in Announcements, City Commission, City Commission Minutes.