DEPARTMENT: Transportation
FILE TYPE: Regular Action
TITLE
title
Certification Of Dakota County Regional Railroad Authority Property Tax Levy And Adoption Of Budget For 2025
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PURPOSE/ACTION REQUESTED
Certify the 2025 Dakota County Regional Railroad Authority (Authority) Property Tax Levy and adopt the County Manager’s Recommended 2025 Budget and Capital Improvement Program (CIP).
SUMMARY
In 1987, the Authority was formed under Minn. Stat. § 398A, which grants broad powers to the Authority to plan, acquire, construct, preserve, and operate transitways and railroads. The Authority annually develops a CIP to identify capital projects and plans consistent with the Authority’s powers and purpose. The first year (2025) of the five-year CIP will become part of the Authority’s overall 2025 budget when approved.
The County Manager’s Recommended 2025-2029 Authority CIP and 2025 Budget include a total of $3,000,000 in proposed projects (Attachment: Authority CIP). The County Manager’s Recommended 2025 Authority Operating Budget totals $57,469 (Attachment: 2025 Authority Budget). The Operating Budget includes County staff costs for Authority projects and programs.
Eligible Authority activities and projects will continue to be funded by Authority Fund Balance beyond 2029. Once the Authority Fund Balance is insufficient to fund Authority projects and activities, eligible projects may be funded by the Dakota County Transportation Sales and Use Tax (SUT) or Transportation Advancement Account (TAA). The Authority Fund Balance will be maintained at a level that is adequate to fund any ongoing Authority activities not eligible for Transportation SUT or TAA funds. With this approach, the Authority certified a maximum property tax levy of $0 by Resolution No. 24-008 (September 24, 2024).
RECOMMENDATION
recommendation
The County Manager recommends certification of a 2025 property tax levy of $0, which is the same as the 2024 levy. The County Manager also recommends the adoption of the recommended 2025 Operating Budget and the Recommended 2025-2029 Authority CIP.
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EXPLANATION OF FISCAL/FTE IMPACTS
The 2025 Regional Rail Levy is proposed to be $0, which is the same as the 2024 levy.
☐ None ☐ Current budget ☒ Other
☐ Amendment Requested ☐ New FTE(s) requested
RESOLUTION
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WHEREAS, the Dakota County Regional Railroad Authority (Authority) is granted powers under Minn. Stat. § 398A to plan, acquire, construct, preserve, and operate transitways and railroads; and
WHEREAS, the Authority develops a five-year plan for capital projects consistent with Authority powers and priorities through the Authority’s Capital Improvement Program (CIP) Budget; and
WHEREAS, the County Manager’s Recommended 2025-2029 Authority CIP Budget identifies proposed projects to repair and replace railroad crossings of County Highways; and
WHEREAS, the County Manager’s Recommended 2025 Authority Capital and Operating Budgets do not require additional funds from the 2025 property tax levy; and
WHEREAS, Authority capital project and operating costs may be funded by Authority Fund Balance until such time when the Authority Fund Balance reaches a level that can sustain Authority costs that are not eligible for use of Dakota County Transportation Sales and Use Tax or Transportation Advancement Account revenues; and
WHEREAS, a proposed maximum property tax levy of $0 was certified by the Authority by Resolution No. 24-008 (September 24, 2024); and
WHEREAS, the County Manager’s Recommended 2025 Authority Property Tax Levy of $0 is the same as the 2024 levy.
NOW, THEREFORE, BE IT RESOLVED, That the Dakota County Regional Railroad Authority hereby certifies to the Treasurer-Auditor the Dakota County Regional Railroad Authority property tax levy in the amount of $0 for taxes payable in 2025; and
BE IT FURTHER RESOLVED, That the Dakota County Regional Railroad Authority hereby adopts an Operating Budget of $57,469; and
BE IT FURTHER RESOLVED, That the Dakota County Regional Railroad Authority hereby adopts a 2025 Capital Improvement Program Budget of $600,000.
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PREVIOUS BOARD ACTION
24-008; 09/24/24
ATTACHMENTS
Attachment: Authority CIP
Attachment: Authority Budget
BOARD GOALS
☒ A Great Place to Live ☐ A Healthy Environment
☐ A Successful Place for Business and Jobs ☐ Excellence in Public Service
CONTACT
Department Head: Erin Laberee
Author: Gina Mitteco