2024 Summer Life in the Prairie with Entertainment Insert and 2023 Annual Report¬

City Manager Honored with Prestigious Leadership Award

The Minnesota City/County Management Association (MCMA) awarded City Manager Rick Getschow with the Dr. Robert A. Barrett Award for Management Excellence at its annual conference in May. Getschow was selected for his exceptional leadership skills, his work as a role model for other local government professionals, and for his dedication to supporting professional local government.

The award is the organization’s highest honor, recognizing exceptional service in local government management. Congratulations, Rick! edenprairie.org/News

Prairie Center Drive

Construction

The City is making improvements to two sections of Prairie Center Drive this summer. Crews will replace pavement from Highway 212 to Flying Cloud Drive and install a new traffic signal at Regional Center Drive. A new traffic signal will also be installed at Franlo Road.

Construction is expected to begin in June and end by early fall.

Learn about these and other projects on the City’s website and subscribe to receive updates via email or text.

edenprairie.org/InfrastructureProjects

Free Business Resource Program

With Hennepin County’s Elevate HennepinSM program, entrepreneurs can access free resources to improve their business strategies. The program provides services at no cost, including expert consulting, opportunities to network and a directory for owners to find financial resources, such as grants and lending opportunities.

ElevateHennepin.org

Curious about new construction or redevelopment in Eden Prairie? Two interactive online maps make it easy to find information.

The Development Projects map features projects in all stages of development. Search by location and find details like project status and architectural plans.

edenprairie.org/DevelopmentProjects

The Development Dashboard provides an overall snapshot of projects approved in Eden Prairie since 2017. Information such as numbers of residential units, square footage and electric vehicle parking spaces are included.

edenprairie.org/DevelopmentDashboard

2023 Drinking Water Report

The City provides results of drinking water monitoring to advance consumer confidence and highlight the need to protect water resources. Drinking water monitoring from Jan. 1 through Dec. 31, 2023, revealed Eden Prairie drinking water met or exceeded federal standards. A complete report is available online.

edenprairie.org/DrinkingWater

Be a Good Neighbor

Please keep the following ordinances in mind as you enjoy summer in Eden Prairie.

If your address ends with an odd number, you must water your lawn on odd-numbered days of the month. If your address ends in an even number, water on even-numbered days. No lawn watering is allowed between noon and 5 p.m.

Vegetation must not be allowed to go to seed and must be kept to a height of 10 inches or less.

Dogs must be on a leash 6 feet in length or shorter when they are off their owner’s property.

The use of power equipment such as lawn mowers, weed trimmers and chain saws is permitted only between 7 a.m. and 10 p.m. Monday through Sunday.

All unlicensed, unregistered or inoperable motor vehicles must be parked in a building. Furniture, appliances and household furnishings also must be stored indoors.

edenprairie.org/CityCodeFAQ

Habitat restoration and other improvements are happening in several Eden Prairie parks and conservation areas this summer. Playground equipment, court surfaces, trails and other amenities are being replaced or upgraded.

edenprairie.org/ParkProjects

Slow-Mow Summer

Support bees and other pollinators, and reduce the need for frequent watering and mowing by diversifying the vegetation in your yard. Plant a native plant garden or bee lawn, build natural nests for pollinators or consider using a low-input turf species like fine fescue. edenprairie.org/NativeLandscaping

Dispose Hazardous Materials Responsibly

Hennepin County operates drop-off facilities in Bloomington (1400 W. 96th St.) and Brooklyn Park (8100 Jefferson Highway) for hazardous waste and problem materials. Eden Prairie residents may also bring hazardous waste to the Environmental Center in Chaska (116 Peavey Circle). edenprairie.org/SolidWaste

Mark Freiberg 612-581-7504 PG Narayanan 952-393-3100

City of Eden Prairie, Minnesota

Message from the City Manager

I am pleased to present the City of Eden Prairie 2023 Annual Report. Through a combination of graphics and plain language, this publication provides a high-level, easy-to-understand snapshot of the City’s finances.

Sincerely,

Rick Getschow City Manager

About the City of Eden Prairie

The City of Eden Prairie is home to more than 64,000 residents, 2,500 businesses, outstanding schools, and a multitude of natural and man-made amenities. With its flourishing economy, engaged community, and quality-of-life rating consistently higher than local and national benchmarks, life is good in Eden Prairie.

CITY SERVICES

Provided in 2023

3,272 fire calls

45,765 police calls

6,603 building permits issued

5,116 property appraisals completed

43 parks, 134 miles of trails, 510 lane miles of City streets maintained

City Finances

This report provides financial results for the following accounts:

General Fund

City’s primary operating fund

Property Taxes

Capital Projects Funds

Funds for acquisition or construction of major capital infrastructure

Debt Service Funds

Funds collected from taxes and other sources to pay debt

Enterprise Funds

User-fee funds collected from external customers

The median single-family home (MSFH) in Eden Prairie is valued at $513,200, and the 2023 City property tax for a MSFH is $1,524, an increase of 7% or $100 compared to 2022. When compared to MSFH values of similar cities in the metro area, Eden Prairie property taxes are among the lowest. Eden Prairie also has the lowest cumulative tax levy percentage increase over the last 14 years when compared to other cities of similar size.

Cumlative Tax Levy % Increases 2009–2023

Governmental Revenues and Expenditures

Revenues for all funds except Enterprise, Internal Service and Fiduciary Funds totaled $77,573,575, an increase of 1.1% versus 2022. This can be attributed to strong performance in licenses and permits, property tax revenue, and Community Center memberships steadily rebuilding post-pandemic. Expenditures for all funds except Enterprise, Internal Service and Fiduciary Funds totaled $74,330,356, an increase of 1.5% versus 2022. This can be attributed to wage and benefit increases which were offset by decreased costs on construction projects in 2023. The City is financially sound and maintained its net position for 2023.

5-Year Revenue Comparison

$90,000,000

5-Year Expenditure Comparison

$90,000,000

$80,000,000

$70,000,000

$60,000,000

$50,000,000

$40,000,000

$30,000,000

$20,000,000

$10,000,000

$0

General Fund Revenue

Revenue: $52,878,745

Actual Revenue: $55,902,448 (5.7% more than projected)

Property taxes and licenses and permits exceeded projections due to conservative budgeting, and intergovernmental revenue exceeded projections due to state and local grants received. Charges for Services was slightly more than budgeted due to the steady increase in recreation program participation since the pandemic.

General Fund Expenditures

Expenditures: $54,443,657

Expenditures: $53,401,278 (98.1% of

Total 2023 Capital Improvement Expenses: $22,405,947

Significant Projects Over $350K

Enterprise Funds

Enterprise Funds account for the City’s utilities (water, wastewater, stormwater) and liquor operations, which are run like businesses, relying on fees and charges for revenue to cover expenditures.

Utilities

Eden Prairie’s water, wastewater and stormwater utilities serve approximately 20,000 residential, commercial and industrial accounts. The City’s water storage capacity is 12.5-million gallons and is supplied by a system of 15 wells with a capacity of 28-million gallons per day.

Water Utility Financial Results

Water usage increased from 2.41-billion gallons to 2.55-billion gallons due to a larger amount of rainfall in 2022 versus 2023. Rates also increased 3% in 2023. Total operating expenses (excluding depreciation) were 133% of the $7,514,359 budgeted due to the increased cost of chemicals used to treat water, and $360,095 less than 2022 due to the Citywide water meter changeout project.

Wastewater Utility Financial Results

In 2023, wastewater revenue increased $207,868, or 3% versus 2022. Total operating expenses (excluding depreciation) were 102.1% of the $6,162,358 budgeted, and $401,805 less than 2022. Disposal charges are the largest expense, totaling $4,458,823. Metropolitan Council Environmental Services establishes monthly disposal costs on a metro-wide basis. For 2023, the disposal fee increased 7.2%.

Stormwater Utility Financial Results

In 2023, stormwater revenue increased $109,025, or 2.9%, due to a rate change. Total operating expenses (excluding depreciation) were 99.3% of the $2,201,737 budgeted and $184,501 more than 2022.

$12,000,000

$10,000,000

$8,000,000

$6,000,000

$4,000,000

$2,000,000

$0

$8,000,000

$7,000,000

$6,000,000

$5,000,000

$4,000,000

$3,000,000

$2,000,000

$1,000,000

$0

$4,000,000

$3,500,000

$3,000,000

$2,500,000

$2,000,000

$1,500,000

$1,000,000

$500,000

$0

Municipal Liquor Store Operations

The City’s three municipal liquor stores comprise one of the largest municipal off-sale operations in the State of Minnesota. Eden Prairie Liquor profits contribute to the financial well-being of the City by funding important capital projects. City leaders believe municipal-owned liquor operations help to protect the health and safety of youth by placing emphasis on preventing sales to underage people.

Overall liquor store sales totaled $11,766,007 in 2023, a 0.1% increase versus 2022; the City transferred $800,000 in profits to the Capital Improvement Project fund. Over the past 10 years, $8.05-million in liquor store profits have funded various capital projects, including construction of the new Round Lake Park Building, new play equipment at Round Lake Park and Willow Park, and trail maintenance.

Long-Term Debt

-10.9% versus 2022

The outstanding debt funded park improvements and Fire Station 4 in southwest Eden Prairie. Since 2003, Moody’s Investors Service has assigned its highest rating, Aaa, to the City of Eden Prairie’s bonds. In 2014, Eden Prairie secured a second AAA bond rating from Standard and Poor’s Financial Services Reasons for the consistent bond ratings include Eden Prairie’s extensive and diversified tax base, low amount of rapidly amortized debt and strong financial operations.

About this Report Awards

The information for this report is from the City of Eden Prairie’s Annual Comprehensive Financial Report, which was prepared in accordance with Generally Accepted Accounting Principles and applicable legal requirements for the year ended Dec. 31, 2023. This report provides information to the public about City of Eden Prairie services and the costs to provide these services. For a complete review of the City’s financial position for 2023, consult the Annual Comprehensive Financial Report.

edenprairie.org/Budget

The City received the following awards (valid for one year only) from the Government Finance Officers Association (GFOA):

• Certificate of Achievement for Excellence in Financial Reporting for the Annual Comprehensive Financial Report, for the year ended Dec. 31, 2022.

• Distinguished Budget Presentation award for the Two-Year Budget, for the fiscal years beginning Jan. 1, 2022 and 2023.

• Award for Outstanding Achievement in Popular Annual Financial Reporting, for the fiscal year ended Dec. 31, 2022.

City of Eden Prairie

8080 Mitchell Road

Eden Prairie, MN 55344-4485

952-949-8300

TTY: 952-949-8399

THURSDAY, JULY 4 • ROUND LAKE PARK

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Charlie Lovett