CC_Minutes_2008_1117 - Laserfiche WebLink

Home

Regular City Council Meeting Monday, November 17, 2008 Page 15 Mayor Klausing opined that the levy increase was not representative of the actual dollar impacts to taxpayers, based on decreasing property values, and other taxing entities. Discussion ensued regarding market values and impacts to taxpayers; na- tional economic conditions versus or related to local conditions; need to invest in the community's infrastructure as they become more dependent on that infrastructure for their quality of life; levy distribution related to property values; 2009 tax base; and whether recent extension of TIF Dis- tricts had proven beneficial to the City. City Manager Malinen asked that Mr. Miller provided up-to-date aggre- gate tax information to the Council received just recently from Ramsey County; and upon which staff based their budget assumptions and recom- mendations to the City Council. Mr. Miller advised that, upon receipt of more finalized certified valuations and aggregate data from Ramsey County last week, the City's tax base didn't' grow as anticipated; with anticipated aggregate declines in residen- tial property values in 2009. Mr. Miller noted that this had been antici- pated; however, it had been anticipated that the projected commercial property values would more than offset that reduction. Roll Call Ayes: Willmus; Roe; and Ihlan. Nays: Klausing. Abstentions: Pust. Motion carried. Councilmember Pust requested that staff provide updated and additional information related to her Comment #5 (page 5) regarding the current economic situation, and how to understand the apparent trends and how to factor those impacts into the budgeting process. Ihlan Comment #2 Ihlan moved, Roe seconded, removal of the $40,000 allocation for Infor- mation Systems replacement from the proposed 2009 tax levy. Councilmember Ihlan spoke in support of the motion; opining that this would remove another item impacting the levy; and suggested that other funding sources, such as reserves, be used to fund this. Councilmember Ihlan questioned if the projected revenue from those cities being provided IT services was not as much as anticipated to help defray costs; and sug- gested that the City restructure fees and contracts accordingly.