Apple Valley outlines 2026 budget priorities; council approves consent packet with revised Truth-in-Taxation notice

Finance Director Ron Hedberg briefed the Apple Valley City Council on the path to adoption of the 2026 budget and on a revised Truth-in-Taxation supplemental insert included on the consent agenda.

Hedberg said the revised insert adds a budget open house scheduled for Nov. 18 from 4 to 6 p.m. at the Municipal Center’s Regent Room and will include a QR code linking to a shorter “budget brief” and from there to the full 2026 budget. He said the city’s budgeting principles include preserving infrastructure, realistic revenue estimates, maintaining reserves and planning for growth.

Hedberg described the city’s total budget as about $115,000,000 (including enterprise funds and capital funds). He said user and franchise fees make up about $40,942,000 (roughly 35% of the total) and property taxes about $38,000,000 (roughly 33%). Hedberg said the preliminary levy certified by the council shows a 13% increase for the coming year; roughly 6.5 percentage points of that increase is for general operations and roughly 6.7 percentage points is for debt service tied to the 2023 park referendum and planned facility improvement bonds.

Hedberg offered a sample breakdown for a medium-value home ($371,350), saying tax payable for the coming year was approximately $2,026 and noting that roughly $572 of that illustrative total is for public safety, $379 for public works and $273 for general government (figures Hedberg presented as part of the budget brief). He invited residents to the Nov. 18 open house and said previous budgets, CAFRs and financial information are available at applevalleymn.gov.

The council approved the consent agenda, which included the revised Truth-in-Taxation supplemental insert. The consent motion was made by Council Member Melander and seconded by Council Member Graendahl; the agenda carried with a voice vote.