1. Top 10 Frequently Asked Annexation Questions

4.  East 34 area will bring in an estimated $250,000 in new revenue to help pay for:  Street improvements and maintenance  Park improvements  Economic development to bring new jobs  Reduce reliance on property taxes from residents  Highway 34 and 79 will be a future growth area

6.  Rally businesses profit greatly from the Sturgis Rally (wouldn’t exist without Rally)  These Rally businesses do not pay any taxes or fees to benefit the residents of Sturgis nor share in any costs of the Sturgis Rally  As a matter of tax fairness, the Council believes these businesses ought to pay taxes to benefit the residents of Sturgis

8.  NO  City is currently providing Police, Fire, Sewer, Sanitation and Back Up Water Service to the East 34 area  No significant increase in costs  Property and sales taxes and vendor fees from the annexation area pay for new services  Annexation pays for itself and generates new revenues

10.  NO  Businesses in the area are required to pay for their own water or sewer lines through special assessments if they want the services  These services are supported by water and sewer user fees collected from the businesses in the annexation area

12.  Meade County is engineering the highway bypass around Sturgis  If the road is built this could divert business and sales tax from Sturgis  Need to annex now to retain future sales tax revenue and plan for orderly growth in the area  Sturgis can’t grow much to south, north and west. Flat buildable prairie land east of Sturgis is the logical location for future growth

14.  Primary new cost to the City is snow removal on Highway 34 estimated at $10,320 annually  City currently provides maintenance to Glencoe Road (only access to the wastewater treatment plant)  Fort Meade will continue to take care of their streets, grounds and water system

16.  Future Sturgis Retail Committee  Future Sturgis Town Hall meeting – March 26, 2009 – 450+ participants – vote by hand showed overwhelming support  Future Sturgis Town Hall meeting – September 24, 2009 - 74% voted in favor of annexation  Sturgis Economic Development Corporation  Sturgis Chamber of Commerce

18.  Expand street pavement and maintenance repair program  New snow removal equipment  Expand business and job recruitment efforts  More retail attraction  Park improvements  Bottom line: improve the quality of life for residents

20.  Police and Fire Service to Sturgis Brown High School and Fort Meade  Sewer Service to Sturgis Brown High School and Fort Meade  Back Up Water Service to Fort Meade  Sanitation Service to Fort Meade  Street Maintenance to Glencoe Road

22.  Council has reduced the City portion of the property tax rate over the last 3 years

23.  East 34 area will bring in an estimated $250,000 in new revenue to help pay for:  Street improvements and maintenance  Park improvements  Economic development to bring new jobs  Reduce reliance on property taxes from residents  Highway 34 and 79 will be a future growth area

24.  Questions from the public?