City Budget

Annual Budget

The City's annual budget is the financial plan for City operations for the coming year; a planning tool used by the City Council to guide policy decisions and by City Staff to carry out community and Council initiatives. The preparation of the City budget is mandated by state statute. The City of Cottage Grove uses a two year budget model to assure that initiatives from one year do not create subsequent year deficits. Revenues and expenditures are estimated based on historical trends and anticipated events.

Property Tax Levy

The Property Tax Levy necessary to fund City operations each year is determined during the annual budget process. The Property Tax Levy includes funds for general operations, debt service and other special levies for specific purposes.

Council held budget workshops on July 27, August 10, and August 31 to review the 2023 Budget and Property Tax Levy. The preliminary property levy increase is 12.6% in order to maintain the current level of service under inflationary pressures. Since Washington County estimates Cottage Grove's tax base will grow 25% in 2022, the City will have a historic low tax rate. The Council approved the levy on September 1. Under the documents tab to the right you'll find the preliminary levy presentation from the September 1 meeting.

Budget Calendar

A typical budget preparation calendar includes the following target dates:

  • May - Budget Goal setting workshop with City Council
  • June - City Departments submit budget requests and revenue estimates
  • July and August - Review and balance budget during workshops with City Council
  • September - Council adopts preliminary property tax levy and budget
  • November - Proposed property tax notices for the upcoming year are mailed to taxpayers.
  • December - City Council receives adopts final levy and budget
  1. 2023 Budget Adoption Schedule
September 7Adopt the Preliminary Property Tax Levy
October 5Mayor's Moment video regarding the budget
October 15Cottage Grove Reports article on budget
November 9Truth in Taxation video
November 29Open house at City Hall to answer questions on Truth in Taxation notice and provide an opportunity for public engagement and questions
December 7Adopt the final budget and property tax levy