HomeMy WebLinkAbout12.01.94 Special Council Minutes
MINUTES
COUNCIL MEETING
SPECIAL
TRUTH IN TAXATION
DECEMBER 1, 1994
1. Mayor Kuchera opened the meeting at 7:00 P.M..
Members Present: Kuchera, Ristow, Galler.
Members Absent: Rotty, Orr. (Orr arrived at 7:30 P.M.)
Also Present: Administrator Thompson, Finance Director Henneke,
Administrative Assistant Finstuen, Parks and Recreation
Director Bell, Public Works Director Kaldunski, police
Chief Siebenaler.
2. Finance Director Henneke presented an overview of the budget,
noting:
a. The Council set guidelines earlier in the year, which the budget
meets or exceeds - 12.5% of operating budget to capital outlay;
reduce reliance on borrowing for equipment; debt levy of
approximately 25%; enterprise funds into positive balances by
1998.
b. Tax capacity rate will not increase.
c. $25,000 transfer will be made from the General Fund to the Arena.
d. Budget is not just numbers, it is choices.
e. Breakdown of General Fund expenditures by activity (General,
Administrative, Public Safety, etc.).
f. Federal/State mandates.
g. Intergovernmental revenues has been declining on a per capita
basis.
h. Breakdown of revenues.
i. Analysis of property taxes.
j. Comparison with other Dakota County cities.
k. Comparison of home values.
I. Breakdown of property tax dollars - County - 20.3%; City - 25.2%;
School - 53.2%; Special District - 1.3%.
m. Breakdown of General Fund expenditures by function (employee
services, operating expenses, capital outlay) .
Comments/Questions:
Darlene Donnelly: Why did my City taxes go up 28%?
Finance Director Henneke: The City's tax rate will not increase, but
your value probably increased.
Council Minutes - Special - 12/1/94 - Page 2
Administrator Thompson: The property classification probably changed.
Henry Iwerks: Will the City give total dollar figures?
Wayne Henneke: General Fund Revenues - 1995 - $2,785,839;
1994 - $2,661,089. General Fund Expenditures - 1995 -
$2,785,839; 1994 - $2,541,763.
Henry Iwerks: Disagrees with how the Council and staff feel about
spending money. Solid Waste will be an issue and is
hoping it is put out on fair and honest bids. Regarding TIF, once it
is repaid, the taxes should go to the School District and County and
City taxes should go down, but doesn't think that will be the case.
Right now 7.7% is going to TIF. TIF has gotten way of out of hand.
Comments on Star City. City needs to communicate with the people of
Farmington. Ordinary citizen is ruining truth in taxation. Tired of
all the changes in tax capacity rates. Lengthy debate on Minnesota
Taxpayers Association report. Attorneys' fees. Concerned about the
ice arena - would like to see plain figures. Loan from the City to
HRA - was it ever repaid? Employees' salaries are going up too fast.
Some employees have only received 7% over 5 years.
MOTION by Galler, second by Orr to close the hearing. APIF, MOTION
CARRIED.
3. MOTION by Galler, second by Ristow to adjourn at 8:30 P.M.. APIF,
MOTION CARRIED.
Respectfully submitted,
Larry Thompson
City Administrator
Approved: