08-30-00 agenda•
CITY OF RICHFIELD, MINNESOTA
WEDNESDAY, AUGUST 30, 2000
RICHFIELD CITY HALL
6700 PORTLAND AVENUE
SPECIAL CITY COUNCIL MEETING
COUNCIL CHAMBERS
7:00 P.M.
AGENDA
Call to order
Roll call
Consideration and discussion of 2000 revised/2001 proposed budget, 2001
preliminary property tax levy and truth-in-taxation hearing dates
Staff Report No. 218
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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.
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AGENDA ITEM # l
REPORT# 218
STAFF REPORT
wMallm
CITY COUNCIL MEETING
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AUGUST 309 2000
REPORT PREPARED BY: CHRIS REGIS, FINANCE MANAGER
NAME, TITLE
REPORT PRESENTER: STEVE DEVICH, ADMINISTRATIVE SERVICES
DIRECTOR
/ ? / NAME, TITLE
DEPARTMENT DIRECTOR REVIEW:
REVIEWED BY CITY MANAGER: [ 1
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ITEM FOR COUNCIL CONSIDERATION:
Consideration and discussion of 2000 Revised/2001 Proposed, 2001 preliminary property tax
levy and Truth in Taxation hearing dates.
1. RECOMMENDED ACTION:
By Motion: Receive the 2000 Revised/2001 Proposed budget, 2001
preliminary property tax levy and proposed dates for the Truth in
Taxation hearings and resolutions contained in the budget canceling
special assessment levies for consideration and discussion.
III. BACKGROUND
The City Charter establishes September 1, 2000 as the last day for City staff to
present a 2000 Revised/2001 Proposed Budget to the City Council.
Before the City Council takes action on these items, a presentation and discussion
of the 2000 Revised/2001 Proposed Budget and 2001 preliminary property tax levy
are desirable. To that end, two special City Council meetings, August 30 and
September 6 (if necessary), have been established, pursuant to the City Charter,
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.
08302000Budget
In addition to the 2000 Revised/2001 Proposed budget and preliminary property tax
i levy, City staff is also recommending dates for this year's Truth in Taxation public
hearings. In the last legislative session, the first and second Mondays in December
were set aside for cities to conduct Truth in Taxation meetings. It is recommended
that this year's hearings be set for 7 p.m. Monday, December 4, 2000 with a
continuation date of 7 p.m. Monday, December 11, 2000 if necessary. As Council
Members are aware, at these public hearings, the tax levy may be reduced from the
preliminary tax levy but not increased.
' III. BASIS OF RECOMMENDATION
A. POLICY
• N/A
B. CRITICAL ISSUES
• The August 30 and September 6, 2000 City Council meetings have been
published and 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 and setting dates for the
Truth in Taxation hearings must be concluded before September 15, 2000.
One regular City Council meeting, September 11, will occur prior to that
deadline. Thus, action on these matters could be taken at any of the three
• meetings.
• Along with the proposed tax levy and Truth in Taxation public hearing dates,
the County has requested that the resolution which cancels a portion of the
ad valorem tax levy for current special assessment bonds be adopted with
the preliminary levy instead of with the final levy at the end of the Truth in
Taxation hearings. This will assist the County in updating its records in a
more timely manner.
• Another resolution adopting the 2000 Revised Budget will also be presented
for consideration. 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 September 1, 2000 as the last day for City staff
to present a 2000 Revised/2001 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 that are not in conflict
M 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 2001 to
the County Auditor on or before September 15, 2000. "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. In addition, September 15, 2000 is the
deadline for the cities to submit Truth in Taxation hearing dates to the County
Auditors. The dates for this hearing must not conflict with the hearing dates
of the county or of the school district in which the "taxing authority" is located.
The Truth in Taxation public hearing must be held between November 29
and December 20, 2000.
• Finally, a new requirement adopted by the State Legislature in the 1999
session now provides that cities over 500 population must hold a public
hearing and adopt a resolution if their proposed tax levy exceeds the
previous year's levy. This public hearing and resolution will be scheduled for
the Regular City Council meeting of September 11.
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 2001 preliminary property tax
levy, 2000 Revised/2001 Proposed Budget, adopt the resolutions canceling
special assessment levies and set the Truth in Taxation hearing dates after
discussion at one of the special budget meetings.
• The City Council could adopt either a greater or lesser 2001 preliminary
property tax levy, 2000 Revised/2001 Proposed Budget or select other
allowable Truth in Taxation hearing dates.
V. ATTACHMENTS
• None
VI. PRINCIPAL PARTIES EXPECTED AT MEETING
• None
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