DEPARTMENT: Environmental Resources
FILE TYPE: Regular Action
TITLE
title
Certification Of Dakota County Portion Of 2023 Vermillion River Watershed Management Tax District Tax Levy
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PURPOSE/ACTION REQUESTED
Certify the proposed 2023 levy of $964,900 for the Dakota County portion of the Vermillion River Watershed Management Tax District.
SUMMARY
Dakota County and Scott County entered into a Joint Powers Agreement (JPA) to govern the Vermillion River Watershed (Resolution No. 02-347; June 25, 2002). The JPA establishes a Joint Powers Board consisting of two commissioners from Dakota County and one commissioner from Scott County. Dakota County provides the primary staff support to the watershed organization with proportionate assistance from Scott County staff. The JPA also provides that by September 1 of each year, the Joint Powers Board will adopt a draft budget for the following calendar year and recommend a levy to each county for its share of costs for watershed organization activities.
The Dakota County Board of Commissioners established the Vermillion River Watershed Management Tax District (Ordinance No. 127) to fund Dakota County’s portion of the watershed organization’s activities (Resolution No. 02-296; June 4, 2002). Adopting a levy for the Watershed Management Tax District enables the County to tax property owners within the Dakota County portion of the watershed to fund services provided to them by the watershed organization rather than funding the services through the County’s general levy. By statute, any proposed levy on the Watershed Management Tax District for taxes payable in 2023 must be certified by September 15, 2022. Dakota County’s 2022 levy for the Watershed Management Tax District was $967,500; Scott County’s levy was $32,500.
Proposed 2023 Levy
On December 1, 2022, the Vermillion River Watershed Joint Powers Board adopted a final 2023 budget of $3,421,830 (see Attachment: VRWJPO 2023 Budget) and recommended a proposed levy of $964,900 for the Dakota County portion of the Tax District (the proposed Scott County levy for 2023 is $35,100) resulting in no change from the 2022 overall levy. The change in levy amounts results from apportionment according to tax capacity. The proposed 2023 budget includes an anticipated 2022 fund balance of approximately $1,708,073, which is increased from $1,259,576 in 2022.
In 2022, activities focused on monitoring water quantity and quality, cost-sharing capital improvement projects and best management practices, educating the public on water resources, managing the implementation of grant-funded projects, and implementing a permit program in one township. In 2023, the Vermillion River Watershed Joint Powers Organization (VRWJPO) will implement the current watershed plan and continue coordination with local governments in project development and implementation, program evaluation, and permit oversight.
RECOMMENDATION
recommendation
It is recommended that Dakota County certify a levy of $964,900 on the Dakota County portion of the Vermillion River Watershed Management Tax District for taxes payable in 2023.
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EXPLANATION OF FISCAL/FTE IMPACTS
The proposed 2023 levy of $964,900 for the Dakota County portion of the Vermillion River Watershed Management Tax District represents a 0.03 percent decrease from the amount levied in 2022. The impact of this levy on a median value property within the Dakota County portion of the District (with a value of $359,600 for taxes payable in 2023), and also reflecting valuation changes and resulting tax shifts among all property types for 2023, is to decrease the tax from $10.33 in 2022 to $10.15 in 2023 (-1.8%) (see Attachment: Vermillion River Watershed Management Tax District Levy 2023 Estimate). The Vermillion River Watershed tax appears as a part of the “special taxing district” item on the tax statement.
☐ None ☐ Current budget ☒ Other
☐ Amendment Requested ☐ New FTE(s) requested
RESOLUTION
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WHEREAS, by Resolution No. 02-347 (June 25, 2002), the Dakota County Board of Commissioners approved a Joint Powers Agreement between Dakota County and Scott County to govern the Vermillion River Watershed; and
WHEREAS, the joint powers agreement establishes a Joint Powers Board consisting of two commissioners from Dakota County and one from Scott County; and
WHEREAS, funding is needed for Dakota County’s share of costs associated with managing the Vermillion River Watershed; and
WHEREAS, by Resolution No. 02-296 (June 4, 2002), the Dakota County Board of Commissioners established the Vermillion River Watershed Management Tax District, through Ordinance No. 127, to fund Dakota County’s share of costs associated with managing the Vermillion River Watershed; and
WHEREAS, approval and adoption of the Watershed Management Plan, as required by Minn. Stat. Ch. 103B, occurred in June 2016; and
WHEREAS, the joint powers agreement states that the Vermillion River Watershed Joint Powers Board will adopt a budget and recommend a levy for the portion of the Watershed Management Tax District in each county by September 1 of each year; and
WHEREAS, on December 1, 2022, the Vermillion River Watershed Joint Powers Board adopted a proposed budget of $3,421,830, including the use of 2022 fund balance and grant revenues, and recommended that the levy for the Dakota county portion be $964,900 and the levy for the Scott County portion be $35,100; and
WHEREAS, Dakota County must certify a levy on the Watershed Management Tax District by December 28, 2022, to be effective for taxes payable in 2023; and
WHEREAS, Dakota County certified a proposed levy of $964,900 for the Vermillion River Watershed Management Tax District on September 6, 2022, to be effective for taxes payable in 2023.
NOW, THEREFORE, BE IT RESOLVED, That the Dakota County Board of Commissioners hereby certifies the Dakota County portion of the Vermillion River Watershed Management Tax District levy in the amount of $964,900 for taxes payable in 2023.
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PREVIOUS BOARD ACTION
02-296; 6/4/02
02-347; 6/25/02
22-381; 9/6/22
ATTACHMENTS
Attachment: VRWJPO 2023 Budget
Attachment: Watershed Mgmt. Tax District Estimate
BOARD GOALS
☐ A Great Place to Live ☒ A Healthy Environment
☐ A Successful Place for Business and Jobs ☐ Excellence in Public Service
PUBLIC ENGAGEMENT LEVEL
☐ Inform and Listen ☐ Discuss ☐ Involve ☒ N/A
CONTACT
Department Head: Nikki Stewart
Author: Mark Zabel