The Albert Lea City Council on Monday approved a 1.19 percent increase in the debt service levy for 2018 to to go toward several road projects.

Homeowners with a property valued at $100,000 will have a $15 tax increase.

The city originally proposed a 2 percent increase in the debt levy, but that amount was decreased by about $50,000 to $6.31 million because the city utilized funds from its approximately $2 million reserve fund and shifted some projects from this year’s budget.

Prior to the vote, Albert Lea Mayor Vern Rasmussen Jr. said the general operating levy has remained flat for years.

The city has had to increase its debt service levy for road projects.

Rasmussen has credited the city’s ability to implement relatively-low tax increases to its adherence to a long-range financial plan. By following long-range planning, Rasmussen said the city consistently manages costs and minimizes tax increases.

Second Ward Councilor Larry Baker said constituents told him they would support paying more in taxes if city roads are improved, and Rasmussen asked constituents who do not support paying more in taxes for road repairs to contact city officials.

Councilors passed a 7 percent increase in the city’s water rate.

The monthly water and sewer utility bill for an average residential home will increase from $54.29 to $55.96 — $1.67. For the entire year, the increase is expected to be about $20, a 3.1 percent jump from last year. The sewer rate will not increase.

The water fund covers the city’s water infrastructure, including maintenance of pipes in streets, as well as water pumps, wells and water towers.

City officials stated the increase is needed in case of emergency and in preparation of the construction of a new water tower to replace the one near City Hall.

Councilors and Rasmussen thanked city staff for allowing for minimal tax increases.

Included in the fee schedule that passed was an increase in the annual boat dock fees for residents from $100 to $125 and an increase from $125 to $200 for annual non-resident permits.

The resident fee was expected to increase to $150, but was lowered after Ward 3 Councilor Jason Howland discussed the apprehension expressed by local residents who use the boat docks and said he would not support the fee schedule if the $50 increase was included.

Prior to the vote, Albert Lea resident Gary Hagen said though Albert Lea’s dock fees are lower than other communities in the area, increasing the rate by $50 would be too much.

In a presentation before the vote, Albert Lea Finance Director Kristi Brutlag shared statistics that show Albert Lea is implementing minimal tax increases compared to neighboring communities such as Austin, Owatonna, Mankato, North Mankato and Rochester.

The city reportedly receives 33 percent of its revenue from LGA funding. Thirty percent comes from the tax levy.

Forty percent of taxes go to public safety. Twenty-two percent is for culture and recreation, and 18 percent is for public works. Thirteen percent is for general operations.

Homeowners with a home assessed at $100,000 pay $19.59 per month for public safety, more than $6 per month for general government operations, less than $9 per month for public works and nearly $11 per month for culture and recreation services.