The Finance department provides financial and information technology services to the City Council, City Administrator, departments, and agencies. The department manages day-to-day financial transactions including general accounting, accounts receivable, accounts payable, utility billing, investments, and risk management. The department also coordinates the City's budget process, five-year Capital Improvement Program, and Tax Increment Financing Plan.
Moody's Investors Service Upgrades City of Lakeville's Rating to Aaa
Moody's Investors Service has upgraded the City of Lakeville, MN's GOULT rating to Aaa from Aa1 and has assigned a stable outlook. Moody's also upgraded the City's lease revenue rating to Aa2 from Aa3. Concurrently, Moody's has assigned a Aaa rating to the city's $7.9 million General Obligation Bonds, Series 2021C. Following the sale, the city will have $127 million in GOULT debt outstanding and about $7 million in lease revenue debt outstanding.
The rationale behind this upgrade, according to Moody's: "The upgrade to Aaa from Aa1 reflects the City's robust economic and financial performance that were exceptionally resilient throughout the coronavirus pandemic coupled with continued solid management practices that are expected to support strong credit fundamentals over the long-term."
Financial Sustainability and Resiliency Policy
In January 2020, the City of Lakeville adopted a Financial Sustainability and Resiliency Policy (PDF). The purpose of this policy is to establish strategic financial sustainability and resiliency principles for the City, which may be used when developing the annual budget, long-term financial plans, and when making critical financial, economic development and community development decisions.
Key principles of the policy:
- Proactively plan for the service needs of the community, the maintenance of existing assets, the protection of natural resources and environment, etc.
- Implement funding at a level which includes the full cost of providing services to the community and maintenance, replacement and upgrade of existing assets (Pay-As-You-Go Strategy)
- Establish financial resiliency by establishing sufficient reserve and funding levels