Minnesota requires cities to certify a preliminary property tax levy each year. Following discussion Monday, Red Wing set its maximum levy for 2018 at just over $23 million.
During the Sept. 11 meeting, a divided council voted to set the bar at $23,205,223. The amount can go lower, but can not increase when the city makes the final decision in early December.
City Council members will continue to work on levy and budget plans throughout the second and third budget workshops Oct. 9 and Nov. 6
"The goal was to keep operations as flat as we can and invest in capital," said Kay Kuhlmann, council administrator. "I think that's what we primarily have been doing."
The resolution adopted during Monday states: "The proposed tax levy represents an estimated 2.50 percent increase over 2017's proposed tax rate. The increase is a result of the City Council placing significant effort in long-term financial planning in order to manage the property taxes and ensure property tax payers are not unduly burdened in meeting the community's deferred capital and program requirements."
Grand total advanced by council members for the city's 2018 budget rests at $113,202,610.
Council members voted 5-2 to approve both the budget and levy items. Peggy Rehder and Dan Munson voted no; they wanted a lower levy.
Council members also approved the 2018 preliminary levy ($410,561) and budget ($466,264) for Port Authority along with Housing and Redevelopment Authority preliminary levy ($410,000) and budget ($410,000).