08-30-95 agendaCITY OF RICHFIELD
WEDNESDAY, AUGUST 30, 1995
SPECIAL CITY COUNCIL MEETING
7:00 P.M.
COUNCIL CHAMBERS
AGENDA
CALL TO ORDER
1. CONSIDERATION .AND DISCUSSION OF 1995 REVISED/1996 PROPOSED
BUDGET, 1996 PRELIMINARY PROPERTY TAX LEVY AND TRUTH IN
TAXATION HEARING DATES
COUNCIL LETTER NO. 241
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.
CITY OF RICHFIELD, MINNESOTA
Council Letter No. 241
Agenda August 30, 1995
Issue Statement:
Consideration and discussion of 1995 Revised/1996 Proposed budget, 1996 preliminary property
tax levy and Truth in Taxation hearing dates.
Background:
As required by the Truth in Taxation legislation (MS 275.065) each "taxing authority" must certify
its proposed property tax levy for payable year 1996 to the County Auditor on or before
September 15, 1995. "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, each "taxing authority" must certify to their County Auditor the dates that have been
selected for the Truth in Taxation hearings by September 15, 1995. The date 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. This Truth in Taxation public hearing must be held between November 29
and December 20, 1995.
Before the City Council takes action on these issues, a presentation and discussion of the 1995
Revised/1996 Proposed budget and 1996 preliminary property tax levy would be desirable. To
that end, two special City Council meetings have been established., pursuant to the City Charter,
for this purpose. City staff will present the budget to the City Council in a round table format to
facilitate discussion. This is similar to the budget presentation format that has been used in the
past.
In addition to the 1995 Revised/1996 Proposed budget and preliminary property tax levy, City
staff is also recommending dates for this year's Truth in Taxation public hearings. It is
recommended that this year's hearings be set for 7 p.m. Wednesday, December 6, 1995, with a
continuation date of 7 p.m. Wednesday, December 13, 1995. As Council Members are aware, at
these public hearings, the tax levy may be reduced from the preliminary tax levy, but not
increased.
The August 30 and September 5, 1995 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, 1995. 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.
Pursuant to City Council request, the August 30 and September 5 (if necessary) meetings will be
televised.
In addition to the proposed tax levy and Truth in Taxation public hearing dates, the County has
requested that the series of resolutions which cancel 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.
Recommended. Motion:
Discuss and adopt the 1995 Revised/1996 Proposed budget, 1996 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.
Basis of Recommendation:
1. The City Charter establishes September 1, 1995 as the last day for City staff to present a
1995 Revised/1996 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.
2. Truth in Taxation timelines establish the process that must be followed to adopt a
preliminary property tax levy. September 15 is the deadline for cities to submit a 1996
proposed property tax levy and Truth in Taxation hearing dates to the County Auditor.
3. The August 30 and September 5 Special Council meetings provide an informal setting to
discuss the proposed budget and tax levy prior to the deadline for official City Council
action.
Alternative Recommendation:
1. 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.
2. The City Council could decide to adopt the 1996 preliminary property tax levy, 1995
Revised/1996 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.
3. The City Council could adopt either a greater or lesser 1996 preliminary property tax levy,
1995 Revised/1996 Proposed budget or select other allowable Truth in Taxation hearing
dates.
Discussion/Decision Mode:
The August 30 and September 5, 1995 Special City Council meetings are set primarily for the
purpose of presenting and discussing the 1995 Revised/1996 Proposed budget and the 1996
preliminary property tax levy. However, the City Council could decide to take official action on
the tax levy and Truth in Taxation hearing dates at the conclusion of discussion. September 14,
1995 would be the last possible date for the City Council to officially take action on these matters.
Ily submitted,
~,~
Acting City Manager
SLD:ds