2019 Preliminary budget
In 2019, the tax-supported cost of City services for owners of median-valued homes of $256,900 will be $81.60 per month. Last year, the cost was $78.67. The total cost of services for a median-valued home, which includes property taxes, franchise fees, water and sewer and solid waste, is $139.28. This cost remains lower than 11 of 12 neighboring peer communities.
In September, the City Council approved a preliminary levy of $62,194,421 for 2019. It also approved a preliminary general operating fund budget of $74,972,475, a 3.3 percent increase from the 2018 budget. The City uses multiyear modeling to track revenue and expenditures to predict upcoming trends. City staff also uses a 10-year planning model that considers both short-term and future needs of the community to recommend a preliminary levy. The preliminary levy can be reduced, but not increased, before final adoption.
The City continues to be cost-effective in providing quality services that meet public demand. In a 2018 resident survey, 63 percent of respondents thought that the value of City services for taxes paid was excellent or good.
If the 2019 levy is approved at the proposed level, the average annual increase in the City’s levy from 1999 to 2019 would be 4.1 percent. One of Bloomington’s strengths is the diversity of its tax base. Historically, Bloomington’s tax capacity has been split between residential properties, including apartments, and commercial/industrial properties. Real estate values are showing greater variability as the current economy comes out of its downturn.
The City’s multiyear modeling indicates that property tax levies over the next 10 years should remain approximately equal to long-term home value appreciation plus economy growth as Bloomington works for the longer term to be more sustainable.
For more information, contact Chief Financial Officer Lori Economy-Scholler at 952-563-8791 or leconomy@BloomingtonMN.gov. For property valuation information, contact City Assessor Matt Gersemehl at
952-563-8708 or mgersemehl@BloomingtonMN.gov.