HomeMy WebLinkAboutCC 12-12-1989
MINUTES OF THE ARDEN HILLS SPECIAL COUNCIL MEETING
TUESDAY, DECEMBER 12. 1989, 7:30 P.M. - CITY HALL
CALL TO ORDER Pursuant to due call and notice thereof, Mayor Sather
called the meeting to order at 7:30 p.m.
. ROLL CALL The roll being called the following members were present:
Mayor Thomas Sather, Councilmernbers Paul Malone, JoAnn
Growe and Thomas Mahowald. Absent: Councilmember Nancy Hansen. Also present:
Clerk Administrator Gary Berger.
PUBLIC HEARING
1990 BUDGET HEARING Mayor Sather opened the Public Hearing at 7:30 p.m. for
the purpose of reviewing the Arden Hills proposed 1990
Budget and increased property tax levy. The Clerk Administrator verified
publication of the Notice of Hearing in the St. Paul Dispatch/Pioneer Press on
December 6, 1939.
The Clerk Administrator advised two written comments were received at the City
and are distributed for Council review this evening.
Mayor Sather acknowledged receipt of two letters, one from Gregory J. Molenaar
and the other from Hans Molenaar, 1550 West Highway 96, both letters expressing
displeasure with the proposed property tax increase.
Clerk Administrator Berger briefly reviewed the major changes in the 1990 Budget.
He stated the most significant change affecting the 1990 Budget is the loss of
approximately $111,714.00 in local government aid from the State of Minnesota.
The City received the authority to increase its levy limit an equal amount to
. compensate foy the reduction of government aid; the proposed tax increase is 8.4%
higher than otherwise necessary due the aid loss.
Berger reviewed the following budget documents:
1. Revenue Summary.
2. General Fund Revenues.
3. All Funds Revenues Summary.
4. Expenditures Summary.
5. Expenditures.
6. All Funds Expenditures.
7. Major Changes in Revenue - Summary of Expenditures/Revenues, outlining the
methods of funding the 1990 Budget.
Mayor Sather commented the expenditures portion of the budget under Park Fund
improvements proposed for 1990, the total of $254.706.00 is funded from dedicated
funds collected by the City in conjunction with land development. He advised the
park fund has collected fees in the amount of approximately $430,000.00 over a
number of years, therefore, those funds will not come from general tax levies.
Councilmember Mahowald noted the State has shifted aid from cities to school .
districts and therefore the levy increase for cities should result in a levy
decrease for school districts; basically it is a "wash" for the Arden Hills
taxpayers.
Mahowald questioned the amount of the total General Fund increase for 1990.
. The Clerk Administrator advised the amount is approximately 140.000.00 increase.
Minutes of the Arden Hills Special Council Meeting, 12-12-89
Page 2
BUDGET HRG. (Cont'd) Mahowald stated he calculated the increase for police and
. fire protection at approximately $100,000.00, which would
account for the largest portion of the General Fund increase amount.
Mayor Sather asked if there was anyone present who wished to be heard either in
favor of or opposed to the proposed 1990 Budget.
James Jensen, 1517 Dawn Circle, stated there are four items which came to his
attention:
l. Questioned "wash" for the taxpayer regarding the increased City levy and
decreased school district levy; questioned why the shift in funds.
The Clerk Administrator advised this is a result of the Governor attempting to
emphasize accountability in service delivery at the local government level; it
appears his objective is to have the cities tax levies reflect the services
offered by the city.
2. Questioned the monies being reserved for purchase of ball fields at the
Arsenal.
Councilmember Mahowald stated the project involves a joint effort of the northern
suburban communities to develop recreational facilities on Federal land at the
Arsenal. He explained the cities will request land at the Arsenal be donated for
recreational use and if it is donated, park dedication monies will be utilized to
develop the recreational facilities.
. 3. Questioned the purchase of an aerial platform truck.
Clerk Administrator Berger advised the vehicle is a fire emergency vehicle to be
utilized by the Lake Johanna Volunteer Fire Department; it was purchased under a
Certificate of Indebtedness.
Fire Chief Winkel explained the costs for the truck and usage will be shared by
Arden Hills and Shoreview.
4. Questioned the $300,000.00 increase in the General Fund; asked what the
current balance is in the fund.
Berger stated the City Auditor has recommended a balance of approximately
$400,000.00 be kept in the General Fund balance; this is a usual practise for
cities. He estimated the current balance in the fund to be between $400,000.00 to
$500,000.00 and stated the amount fluctuates.
Councilmember Malone noted the fund balance projected at the end of 1990, as
indicated in the budget document, will be $24,223.00 less than January 1, 1990.
The Clerk Administrator advised residents pay approximately 15% of their tax
dollars to the City; the largest portion of taxes collected go to the school
district, county and special governmental agencies.
Jensen advised if the shift in government aid funding goes from the City to the
. School District and his taxes are not drastically affected, he is not opposed to
the proposed budget as presented.
Minutes of the Arden Hills Special Council Meeting, 12-12-89
Page 3
BUDGET (Cont'd) Mayor Sather explained there are variables at the State
. level which leave the City very little control regarding
these matters; suggested Jensen attend the School District and County Hearings to
receive further information.
Terry Barnes, 1145 Amble Drive, stated there appears to be an excessive increase
in Administrative Office. He noted the 10 percent increase is double the cost of
living increase for the year.
"~yor Sather explained over the last three years the City has been mandated to
comply with Comparable Worth Laws and salary disparities; those employees with
salaries significantly below the guidelines were brought into compliance and the
increase also reflects an additional full-time employee.
Barnes questioned if additional police and fire protection is being provided with
the increased fees or only more expensive protection.
Councilmember Malone explained police protection has not changed and reviewed
justification for cost increases as outlined in the proposed 1990 police
protection budget submitted by the Ramsey County Sheriffs Department.
There was discussion relative to utilization of Park and Program funds and the
proposed percentage increase in this areaof the budget.
Mayor Sather asked if there were any further comments from the floor; there was
no response. The Mayor closed the public hearing at 8:00 p,m.
. CITY LAND PURCHASE Council discussed the transfer of funds for the purpose
TRANSFER OF FUNDS of purchasing the final parcel of land adjacent to the
City Hall.
Malone moved, seconded by Growe, to approve the transfer
of funds from the Public Improvement Revolving Fund to the Municipal Land &
Buildings Fund in the amount of $68,000.00, for the purchase of the final parcel
of land, Parcel C, adjacent to the City Hall. Motion carried unanimously. (4-0)
ADJOURN Malone moved, seconded by Mahowald, that the meeting be
adjourned at 8:20 p.m. Motion carried unanimously. (4-0)
Gar;:~er;er ~ ;iM~/
Thomas R. Sather
Clerk Administrator Mayor
.