State Auditor Blaha Releases 2023 City Budgets Summary Report - April 27, 2023

City Officials shifting dollars to infrastructure, economic development and housing, and public safety

Saint Paul, MN – “Local governments are leveraging flexibility of American Rescue Plan (ARPA) funds to focus on ongoing needs,” said Auditor Blaha.

Earlier today, State Auditor Julie Blaha released the 2023 Minnesota City Summary Budgets Report. The 2023 city budgets, adopted in 2022, provide a snapshot of budgeting priorities. The 2023 budget data shows cities budgeting an increase of three percent in total revenues and an eight percent increase in total expenditures over 2022 budgets.

“The data shows that cities are focusing on key investments in capital infrastructure, economic development and housing, and public safety,” said Auditor Blaha.

This report presents the 2023 summary budget data together with 2022 revised summary budget data. The data reflects unaudited budgeted revenues and expenditures reported by cities to the Office of the State Auditor (OSA) as required by Minn. Stat. § 6.745, subd. 1. The data in this report is best used as a tool to help review budget decisions for 2022 and 2023. These budgets represent a plan, reported by the cities, for the coming year. Rarely do actual revenues and expenditures match the amounts budgeted. In addition, the data reported does not represent all cities’ revenues and expenditures.

Cities report budget data only for funds for which an annual budget is adopted. Cities with funds where annual budgets are not adopted would have more revenues and expenditures than reported. Also, the revenues and expenses of city public service enterprises are not included. The inclusion of enterprise funds would significantly alter the revenue and expenditure trends of cities. Because of the limitations of budget data, as it is a plan, the OSA recommends using the financial information provided in our publication, Minnesota City Finances, which includes the actual audited city revenues and expenditures.

The full report may be viewed on the OSA website.