The Breezy Point City Council adopted the levy and budget
for 2014. The levy, after being reduced
or held flat over the past 4 years, was increased $34,000 for 2014. This represents a 1.94% increase. The budget continues to be rather
frugal. As we look at budget to actual
figures for 2013 we’re finding it difficult to maintain certain line items at
budget as costs have increased and needs don’t go away. The bottom line for 2013 should show we’re
slightly under budget but there was little room for finding continued savings.
For 2014 the total levy for the city is $1,753,000. This levy includes a reduction in debt
service of almost $70,000. It also saw a
reduction in the cemetery levy of $2,000. Areas where increases in expenditures
were shown were a cost of living increase of 2 percent and increases in employee
health insurance costs. The largest line
item increase was for road improvements moving from $25,000 to $91,000. This increase is for an overlay to Breezy
Point Drive and some seal coating of roadways.
These are really deferred maintenance.
A replacement public works truck will be acquired and an annual
replacement of a squad car. Both of
these expenditures have a significant portion of the costs funded in prior
years. Dust control will see an increase
of 10%.
The debt service levy was substantially reduced. This was accomplished by several actions to allow
for that change. A refunding was
accomplished on two bonds which reduce the annual debt service
requirement. For 2014 that saves
approximately $8,000. The remaining
bonds were anticipated to be called allowing for that debt levy to be removed
from the budget. Finally, some debt
service obligation was assumed by the debt service fund balance. Going forward into 2015 the debt levy
obligation will remain at $200,000 while for 2014 the total levy amount was
$202,390. Making these changes was a
goal of the city for a number of years.
Timing became the key as bonds could not be paid off until the call date
was reached.
Successes with the budget were achieved this year but not
without a good deal of hard work. The
city, much like other jurisdictions, has seen taxable values decline. With the flat or reduced levies that occurred
over the past 4 years the city had in the past found economies in operations
and with delayed actions. Some of these
actions could no longer be delayed. New
economies are hard to find and the demands of the public are always on the
rise. I feel the outcome was fiscally
responsible while making some headway with moving forward.
