Laserfiche WebLink
<br />2. By Resolution #08-015, the City Council ordered the street improvements with the work <br />to be designed, bid, and a construction contract awarded by December 31, 2010. <br />Bonestroo was designated as the project engineer. <br /> <br />3. City Council Resolution #08-016 stated that the Council authorized Bonestroo to prepare <br />plans and specifications for the making of the improvements. <br /> <br />The project was properly approved by the City Council. It is outside of our scope to re-assess <br />the scope of this City project. It is up to the City ofCenterville's management (City Council and <br />Mayor as representatives of the citizens ofCenterville) to decide where the City's funds are best <br />spent to benefit its citizens. We cannot make such a judgment on behalf of the City of <br />Centerville. We trust the City ofCenterville is mindful of the current state of the economy and is <br />cognizant of the current and future financial health of the City when deciding on whether to <br />move forward with current projects or to implement future projects. <br /> <br />City Indebtedness <br /> <br />The petitioners were concerned about the amount of debt that the City had outstanding at <br />December 31,2008. <br /> <br />We reviewed an Indebtedness Report as of December 31, 2008, and City Council meeting <br />minutes. We noted the following. <br /> <br />1. The City's total debt principal outstanding, conslstmg of four bond issues, was <br />$7,851,896 at December 31, 2008. The scheduled interest to be paid related to this <br />balance is an additional $2,495,123. All bond issuances noted above were properly <br />approved through City Council resolutions. The repayment of this debt is expected to be <br />from $4,426,075 of tax levies and $5,920,944 of certified special assessments levied on <br />property owners who specifically benefited from the improvements. <br /> <br />Minn. Stat. S 475.53, subd. 1, states, "except as otherwise provided in sections 475.51 to <br />475.74, no municipality, except a school district or a city of the first class, shall incur or <br />be subject to a net debt in excess of three percent of the market value of taxable property <br />in the municipality." The City of Centerville is not a city of the first class because it has <br />less than 100,000 inhabitants. <br /> <br />Page 17 <br />