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<br /> MINUTIJS <br /> <br /> CITY COUNCIL <br /> <br /> MARCH 8, 2010 <br /> Fire Relief Reduction $21,925 <br /> $120,914 <br /> Other items were discussed, but may not be feasible, especially those <br /> related to the Sheriff's Department and contractual impacts. The <br /> Administrator indicated that he would have discussions with the <br /> appropriate parties relative to the expense reductions and would report <br /> back to the Council on the list of cuts. <br /> Additional revenue sources that the City Administrator presented included <br /> an increase in the City's franchise fee on electric usage and a levy increase <br /> of 8% for 2011. The revenues generated would be $107,000 and $204,777 <br /> respectively. The Administrator noted that the City will have to share in <br /> the cost of burying power lines on Rice Street as part of the highway 36 <br /> Bridge with the City's cost estimated at $330,000. The Administrator <br /> suggested internally financing that cost at 5% per year for eight years <br /> through the funds generated from the franchise fee increase. This would <br /> leave $55,900 for other purposes. <br /> There was discussion relative to the franchise fee increase on electrical, <br /> and the City Administrator reviewed a chart showing the impact on the <br /> various electrical users in the City. The recommendation was to raise the <br /> residential flat fee from $1.25 to $2.25 per month with other fees increased <br /> proportionately. <br /> The Administrator then reviewed 2010 City Tax Rankings, noting that the <br /> current ranking is 5`~' lowest with a 22.9% tax rate. If the City levied back <br /> 9.76%, its tax rate would be 25.41 If 8.12% were levied back, the tax <br /> rate would be 25.0%. In both cases Little Canada would be 7`~' lowest of <br /> the Ramsey County cities. That has been our relative position for the past <br /> number of years. <br /> It was noted that after all the actions discussed, there would still be a gap <br /> of approximately $75,000 to address. At this point in the workshop <br /> meeting, 7:28 p.m., the consensus was to reconvene following the regular <br /> Council meeting to address the $75,000 gap. <br /> The workshop was reconvened at 8:00 p.m. The City Administrator <br /> indicated that his recommendation was to increase the franchise fee as <br /> well as plan on a 2011 levy increase of 8%. The Council agreed with the <br /> franchise fee increase and 8% levy increase for 2011. <br /> There was general discussion relative to postponement or reduction in <br /> project size for Thunder Bay Park improvements as well as elimination of <br /> Canadian Days fire works. No consensus was reached as part of this <br /> discussion. <br /> 3 <br /> <br />