The "Miscellaneous" category for 2005 shows a 277% increase over the miscellaneous category for 2004.  That large increase is due to city growth in general and in particular to a $200,000 operating transfer for community devel-opment and a $200,000 addition for the fund balance reserve.
According to Mayor Bohn, communi-ty development funds assist the city in buying up houses or land that the council may need for community development.  These funds can also be used for some en-hancement such as park benches or other cityscape purposes.
Regarding the fund balance reserve, Mayor Bohn explained that it is important for the city to maintain at least 25% of the general balance fund in reserve, in order for the city to retain its good A3 rating.  He stated, "We increased general fund expenses, so we had to increase the reserve.  It goes directly into the general fund balance."

TOTAL LEVY TO INCREASE BY 19.5%
PROPERTY TAXES TO REMAIN STABLE
On September 9th, councilmembers approved a proposed tax levy for the City of Victoria for collection in 2005.  A tax levy of $2,922,578 was certified to Carver County on September 15th, 2004, and will be upon taxable property in the City of Victoria for the following purposes:

General Fund Levy                   $2,463,583
G.O. Refunding Bonds of 2000     $60,000
G.O. Equip't Certificate of 2001   $24,215
G.O. Equip't Certificate of 2003   $14,437
G.O. Equip't Certificate of 2004   $77,803
G.O. 2002 TIF Bonds                    $20,725
G.O. 2003 TIF Bonds                    $92,034
G.O. '98 Improvement Refunding       $9,500
G.O. 2004 Improvement Bonds  $160,281
TOTAL CERTIFIED LEVY      $2,922,578

The Total Certified Levy is the sum of the General Fund Levy and special levies for bonded indebtedness, certifi-cates of indebtedness, and lease payments due other local government units.  This proposed total levy is an increase of approximately 19.5% over that of 2004, when the total levy was $2,417,419.   It includes the following:
*The General Fund Levy of $2,463,583 supports basic city services such as streets, sewer, water, snowplow-ing, fire protection. 
*The General Obligation Refunding Bonds of 2000 are a compilation of old bond issues.
*The General Obligation Equipment Certificate of 2001 is for trucks purchased that year.
*The General Obligation Equipment Certificate of 2003 is for the fitness and exercise equipment at the Field House.
*The General Obligation Equipment Certificate of 2004 is for two new Public Works vehicles, including a new dump truck/snowplow combination and a pickup truck.
*The General Obligation 2002 Tax Increment Finance Bonds are for that part of the Downtown Bridge construction not covered by grant money.
*The General Obligation 2003 Tax Increment Finance Bonds are for down-town development.
*The General Obligation 1998 Im-provement Refunding Bonds are for the newer, large capacity water tower.
*The General Obligation 2004 Improvement Bonds are for road recon-struction projects in the city for which the city pays 50% of the costs.
Will the city portion of the property tax bill in Victoria increase or decrease?  Stated Finance Director Jylan Johnson on September 9th, "This levy should not increase taxes for the people of Victoria." 
Total taxable value of the City of Victoria in 2003 was approaching $600 million.  According to Jylan, the city's estimated taxable market value for 2004 is now $668,600,800. 
She reported that the city's taxable market value increased by 20%:  12.5% due to appreciation in market values, and the remaining 7.5% due to growth, i.e., market value from additional homes and improvements.
The finance director reports that Vic-toria's estimated population as of January 1st, 2004, was 5,167 or a 5.5% increase from January 1st, 2004.  "The tax levy in-crease more directly correlates to the in-crease in the city's tax capacity," she said, rather than increase in population.
The city tax on a $250,000 Victoria home in 2003 was $1,138.  It went down to $1,030 in 2004, and it is projected to remain flat in 2005 -- unless the market value of the home increases as determined by the Carver County Assessor.

The city tax on a $350,000 Victoria home in 2003 was $1,593.  It was $1,450 in 2004, and it is projected to remain flat in 2005, depending on market valuations.

NEW FULL TIME PLANNER FOR VICTORIA
MARK KALTSAS RETAINED AS CONSULTANT
On September 9th councilmembers authorized staff to hire Eric Zweber, the candidate who surfaced as number one in the recent application and interview pro-cess for full time Victoria City Planner.  He will be filling the position of City Planner Mark Kaltsas who is going into full time consulting business on his own, half time for the City of Victoria.

The city received 17 resumes for the full time City Planner position.  Mayor Jerry Bohn, Planning Commissioner Gordy Simanton, Planner Mark Kaltsas, and Building Official Tom Gray interviewed the final candidates. 
Eric Zweber's most recent position was as a planner in Wisconsin.  He has approximately four years of planning ex-perience.  His first date of employment with the City of Victoria was September 20th, 2004.  The city advertised this posi-tion with a salary range in the mid $40's.
According to Mayor Jerry Bohn, the city will hire Mark Kaltsas on a 20-hour per week basis for two-years beginning in 2005.  Council approval will be needed in order to hire him for consulting beyond the 20 hours per week.

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