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RELEVANT LINKS: <br />League of Minnesota Cities Handbook for Minnesota Cities 9/10/2024 <br />Municipal Budgeting Chapter 20 | Page 7 <br /> Counties are responsible for property tax administration; the Department of <br />Revenue provides assistance and oversight. <br />Section VI, Revenues. Minnesota cities also participate in a revenue-sharing program known as <br />local government aid (LGA). LGA supplements property tax revenue. <br />Section IX.C, Truth-in- <br />Taxation. Cities must prepare and adopt proposed budgets and proposed property tax <br />levies each year. Cities over 500 in population that propose a property tax <br />increase are required to provide notice of the proposed budget adoption and <br />to allow public input on the proposed budget and property tax levy. The <br />“truth-in-taxation” (TNT) process is described later in this chapter. <br /> Cities generally prepare budgets in the summer with the following due dates, <br />although particular dates may vary by year if a due date falls on a holiday or <br />a weekend: <br />Minn. Stat. § 477A.014. <br />Minn. Stat. § 275.74, subd. 1. <br />Minn. Stat. § 275.065, subd. <br />1. <br />Minn. Stat. § 275.065, subd. <br />6. <br /> <br /> <br /> <br /> <br /> <br /> <br />Minn. Stat. § 275.065, subd. <br />1. <br /> <br />Minn. Stat. § 275.066. <br /> <br />Minn. Stat. § 275.07, subd. 1. <br /> <br /> <br />LMC information memo, <br />Budget Guide for Cities. <br />• On or before Aug. 1: The Department of Revenue notifies cities of state <br />aid amounts. <br />• On or before Sept. 1: The Department of Revenue notifies cities of the <br />applicable levy limit, if any. <br />• On or before Sept. 30: Cities must adopt their proposed budget and <br />certify their proposed levy to the county auditor. <br />Note: Once cities certify a proposed levy in September, they may <br />decrease the amount when they certify a final levy in December—but <br />may not increase it. <br />• Between Nov. 25 and Dec. 20: The TNT public comment hearings, if <br />required, must occur. Remember to check current calendars for each <br />year’s due dates. <br />• On or before five working days after December 20 in each year: <br />Cities must adopt a final tax levy and certify that final property tax levy <br />to the county auditor. If this deadline is missed, the final levy for 2019 <br />will stay the same as it was in the previous year. <br />Minn. Stat. § 477A.015. <br />Minn. Stat. § 273.1384, subd. <br />4. <br />LMC website: Dates for City <br />Budgets 101. <br />Cities generally receive property tax revenues and state aid at various times. <br />The county treasurer distributes property tax revenues to cities in two <br />payments. The Department of Revenue distributes LGA payments to cities <br />in two equal installments, on or around July 20 and Dec. 26 each year. <br /> City budgeting never stops. While city councils and staff are preparing new <br />annual city budgets, they are also tracking and reviewing the current year’s <br />revenues and expenditures. As cities implement a new year’s budget, they <br />are also auditing and reporting on the past year’s expenditures. Preparation, <br />approval, implementation, and audit review comprise the ongoing budget <br />cycle. <br />16