League Board Recommends Fiscal Year Change and New Dues Schedule

At its regular meeting on Feb. 15, the League of Minnesota Cities Board of Directors recommended changing the League’s fiscal year to align with the calendar year. Currently, the League’s fiscal year is Sept. 1 – Aug. 31. If approved by League members, the fiscal year will change to Jan. 1 – Dec. 31 starting in 2026.

To account for the change in timing, FY 2025 would be spread over 16 months instead of 12. Members would receive two dues invoices: one in August 2024 in an amount equal to four months of expenses, and a second invoice in January 2025 to cover the next 12 months. Starting in 2026, members would receive one annual invoice each January.

Reasons for the proposed changes

The League and its affiliates presently operate on four different fiscal years which creates extra work to standardize budgeting, analytics, tax returns, and reporting. Starting Jan. 1, 2026, the League and the League of Minnesota Cities Insurance Trust, along with all of our members, will have the same fiscal year.

When will members vote on these changes?

The League’s fiscal year is defined in the organization’s constitution, so any changes require a constitutional adjustment approved by the membership. The Board has recommended that this issue be put to a vote at the 2024 Annual Business Meeting, which will be held in conjunction with the LMC Annual Conference on June 27 in Rochester.

In addition to these recommended changes, the Board is reviewing the League’s constitution for other needed updates and clarifications. We anticipate this review will be complete in May.

More information about the Annual Business Meeting and all the proposed changes will be provided to members as we get closer to the date.

How can members provide feedback ahead of the Annual Business Meeting?

If you have any questions or comments about these changes, please contact LMC Finance Director Mark Ruff at [email protected].