how do you raise city level and get more mana?

City gains a level when its population rise to shown limit (see top-left corner of city screen):

http://pix.academ.org/img/2010/08/23/7260650d81d148b7cc05c5ff2c41cb35.png

Mana is rized when you update Essence skill of your hero.

  I know you can add to a city but how do you qualifiy for lv 2.

Your city should automatically level up when it meets the population requirements, might also need positive food/turn.

To achieve this you'll need to build a hut to increase your maximum population. You can only build this is you have food and it consumes food. So farm the fertile land first.

lvl 2 comes at 50 population you'll need 2 huts for this, next level at 100 population you'll need 4 huts for this or upgrade to shantys for less buildings required to hold population. I know it does tell you on one of the city info screens how much population you need to level up. Also you'll need 1 food unit per approx 25 population so if you're near fertile ground you should be able to get to level 3 city before having to upgrade/research higher advances.

With the city selected, look in the bottom left. You should see a bar with a little house icon somewhere on it. That bar is the city level up meter, when it fills with population the city goes up a level. The house icon shows how many people your city can support right now. To move it up you need more houses (and to build more houses you need more food).

You get more food by building a farm on a fertile land tile (click the fertile land tile once your city influence covers it, and the option to build is there). Other buildings and research provide further food bonuses, as do caravans between cities.

Hope that helps.

   I alway get 10 citizens and huts aren't offered? -Jeremy Sr.

you can not build huts with out food.. build city close to fertile land.. click on fertile land when city's are of influence or edge of city touch/encompass fertile land.. if you have enough materials and gold build farm.. when farm is done build first hut..

unless you are talking a city you took over from a minor race.. these can never go higher..

On getting more Mana - have your Sovereign add points to his/her essence as that increases the characters mana pool.  Intelligence for damage - Essence for mana.  you can make other heroes into spell casters with a spell.  I haven't tried that yet. 

Honestly I think that you should be able to upgrade Wisdom upon level up (and maybe have it affect both Spells/turn and mana regen)

meanwhile, make spells much more reliable, and have Constitution, Wisdom, and Charisma all partially (1/5th?) feed into magic resistance.

and as for leadership skills, maybe Charisma could effect leadership (certainly morale)

and much later certain tech's can raise unit essence and certain building will increase mana Regen.

   Thanks guys -Jeremy Sr.