11-22-10 Council Minutes - Laserfiche WebLink

Home Browse Search

MINUTES CITY COUNCIL NOVEMBER 22, 2010 the 3.94% increase is essentially a 0% increase with the addition of the funding necessary for fire equipment replacement. There was additional discussion on the State's budget deficit and pending changes to the State Aid system. The Administrator felt that Little Canada, and suburban cities, were susceptible to substantial decreases or being eliminated from receipt of any State Aid dollars in the future. However, it could be devastating to larger cities as well as small rural cities if their State Aids were substantially decreased or eliminated. The Administrator again noted, however, that the committee that was formed to revamp the State Aid formula system has not moved forward on this issue over the past year. Keis indicated that he would prefer to see a 2011 gross levy increase of 2.9 Montour indicated that he was supportive of the 3.94% increase given the fact that it is essentially a 0% increase plus funding for fire equipment replacement. Montour noted the need to have a long term funding plan in place for this equipment. McGraw agreed with Montour. I -Ie also noted that the State's budget deficit and the impact it could have on Little Canada is concerning. McGraw felt the City's budget was as bare -bones as it could get and to make additional cuts would result in service reductions. McGraw noted that the projected surpluses outlined by staff will provide for up cuts of up to 75% of the LGA that the City is scheduled to receive. He also stated that he was more comfortable with keeping tax levy increases level, than with providing for a cut this year and a possible spike in the levy next year. Blesener stated that he supported the 3.94% increase, noting that if a 2.9% increase were certified for 2011, it is likely that the City would have to make up for it in 2011. Blesener felt a 3.94% increase provided for more stability. At this point the Council reviewed the information provided by staff relative to the shift in tax burden from commercial properties to residential properties. The Administrator indicated that the result is while a residential property may see a reduction in their valuation, they might still see an increase in property taxes given that residential properties will he bearing a greater share of the overall property tax burden. The Administrator noted that this data has been provided by the County, but the City has not seen all of the County's data at this point. PARKVIEW The City Administrator reported that when Parkview Court Townhomes' COURT share of assessments for the Jackson Street improvement were assessed, ASSESS- City assessed the townhomes common property. This is the scenario that MENT was presented to the townhome association through the neighborhood REAPPOR- meeting, improvement hearing, and assessment hearing process. 5