09-05-01 AgendaCITY OF RICHFIELD, MINNESOTA
WEDNESDAY, SEPTEMBER 5, 2001
AND, IF NECESSARY,
THURSDAY, SEPTEMBER 6, 2001
RICHFIELD CITY HALL
6700 PORTLAND AVENUE
SPECIAL CITY COUNCIL MEETING
COUNCIL CHAMBERS
5:30 P.M.
AGENDA
C.
Call to order
Roll call
1. Consideration and discussion of 2001 Revised/2002 Proposed Budget and 2002
. preliminary property tax levy
Staff Report No. 221
Adjournment
Auxiliary aids for individuals with disabilities are available upon request.
Requests must be made at least 96 hours in advance to the Administrative
Services Director at 861-9702.
•
AGENDA ITEM # 1
REPORT # 221
L
STAFF REPORT
CITY COUNCIL MEETING
•
~~ SEPTEMBER 5, 2001
REPORT PREPARED BY:
REPORT PRESENTER:
DEPARTMENT DIRECTOR REVIEW:
CHRIS REGIS, FINANCE MANAGER
NAME, TITLE
STEVEN L. DEVICH, ADMINISTRATIVE
SERVICES DIRECTOR
REVIEWED BY CITY MANAGER:
ITEM FOR COUNCIL CONSIDERATION:
Consideration and discussion of 2001 Revised/2002 Proposed, and the 2002 preliminary
property tax levy.
I. RECOMMENDED ACTION:
By Motion: Receive the 2001 Revised/2002 Proposed budget and the
2002 preliminary property tax levy.
III. BACKGROUND ~
The City Charter establishes the first Tuesday in September as the last day for City
staff to present a 2001 Revised/2002 Proposed budget to the City Council.
•
Because of the unique nature and timing of this year's legislative session, the
Department of Revenue does not have to certify tax levy information and aid
amounts to cities until September 2, 2001. Without receipt in a timely manner, of tax
levy and state aids data from the Minnesota Department of Revenue, staff was not
able to complete and distribute City budgets on or before the first Tuesday in
September this year (September 4} as specified in City Charter Section 7.05.
Moreover, the state has also suspended Truth in Taxation notices and hearing for
2001. The process will be reinstated for 2002. Only the adoption of a preliminary
and final levy are required.
09056udget
Therefore, before the City Council takes action on these items, a presentation and
discussion of the 2001 Revised/2002 Proposed budget and 2002 preliminary
• property tax levy is necessary. To that end, two Special City Council meetings,
September 5 and September 6 (if needed), have been established for this purpose.
City staff will present the budget to the City Council in an informal format to facilitate
discussion. This is similar to the budget presentation format that has been used in
the past.
III. -BASIS OF RECOMMENDATION
A. POLICY
• N/A
B. CRITICAL ISSUES
• The September 5 and September 6, 2001 City Council meetings have been
posted according to all requirements and are Special City Council meetings
at which City business may be conducted.
• All official action concerning the preliminary tax levy must be concluded
before September 15, 2001. One regular City Council meeting, September
10, will occur prior to that deadline. Thus,. action on these. matters could be
taken at any of the three meetings.
• Another resolution adopting the 2001 Revised budget will also be presented
for consideration. In recent years, the revised budget resolution has not been
• considered until December along with the next year's proposed budget and
tax levy as part of the state mandated Truth in Taxation hearing. Adopting
the resolution in September brings the revised budget process back closer in
. line with the Charter provision utilized before the Truth in Taxation process
was implemented; and makes the revised .budget a more realistic and useful
financial tool.
C. FINANCIAL
• N/A
D. LEGAL
• The City Charter establishes the first Tuesday in September as the last day
for City staff to present a 2001 Revised/2002 Proposed budget to the City
Council. While the Truth in Taxation Statute has overridden the Charter
process for budget adoption, City staff still follows the Charter provisions,
which are not in conflict with the Truth in Taxation Statute.
• As required by the Truth in Taxation legislation (MS 275.065) each "taxing
authority" must certify its proposed property tax levy for payable year 2002
' to the County Auditor on or before September 15, 2001. "Taxing authority"
includes all counties, all school districts, all cities regardless of population, all
towns and all special taxing districts. No local units of government are
• exempted from this requirement.
• Most other provisions of the Truth in Taxation statute are suspended for 2001
because of the legislative caused delays.
IV. ALTERNATIVE RECOMMENDATION(S~
• The City Council could continue or postpone discussion to another day in
early September, as long as adequate time exists to meet the September 15
submission deadline.
• The City Council could decide to adopt the 2002 preliminary property tax
levy, 2001 Revised/2002 Proposed budget after discussion at one of the
special budget meetings.
• The City Council could adopt either a greater or lesser 2002 preliminary
property tax levy, 2001 Revised/2002 Proposed budget.
V. ATTACHMENTS
• None
VI. PRINCIPAL PARTIES EXPECTED AT MEETING
• None
n
U
•