The Finance Department provides financial support services to the entire city government organization. The department coordinates the preparation of annual financial reports and budgets, and administers fiscal operations of the city. This includes revenue collection, disbursements, general accounting, and maintains the investment portfolio and insurance coverages.
The Government Finance Officers Association of the United States and Canada has awarded the Certificate of Achievement for Excellence in Financial Reporting to the City of Elk River for its annual comprehensive financial report (ACFR) annually since 1989. In order to be awarded a Certificate of Achievement of Excellence, a government must publish an easily readable and efficiently organized ACFR, and the contents must conform to the program requirements. Such reports must satisfy both generally accepted accounting principles and applicable legal requirements.
AA+ Bond Rating
The City of Elk River's bond rating was affirmed at AA+ by the independent bond rating agency Standard & Poor's. This rating is for the City's general obligation bonds. Standard and Poor's Financial Management Assessment (FMA) views the city's financial practices and policies as very strong, having flexible liquidity, and supported by a very strong management and a strong economy. A few highlights of the report are as follows:
- Very strong economy
- Very strong budgetary flexibility
- Very strong liquidity
- Very strong management conditions
- Adequate budgetary performance
- Very weak debt and contingent liability profile
The strong bond rating helps to ensure that future Elk River debt will be issued with the lowest possible interest expense and cost to the taxpayer. The strong rating also provides opportunities to refinance outstanding debt at lower interest rates.
Local Option Sales Tax Notice
On November 6, 2018, voters overwhelmingly decided to invest in recreation facility improvements and park enhancements by passing Active Elk River.
Starting October 1, 2019, Elk River will have a 0.5 percent sales and use tax. The Minnesota Department of Revenue will administer this tax. Revenues will provide funding for a multipurpose recreational facility such as an ice arena, a community meeting and activity space, and a synthetic turf field house; senior center facility improvements; Lion John Weicht Park improvements, Lions Park Center space improvements, and a community picnic pavilion addition; youth athletic complex improvements; Orono Park improvements; dredging Lake Orono; and citywide trail connection improvements identified in the in Ordinance No. 19-13. This 0.5 percent sales tax applies to retail sales made into Elk River. The use tax applies to taxable items used in the City if the local sales tax was not paid.