Laserfiche WebLink
515 Little Canada Road, Little Canada, MN 55117 -1600 <br />(612) 484 -2177 / FAX: (612) 484 -4538 <br />MEMORANDUM <br />TO: Mayor Fahey & Members of the City Council <br />FROM: Joel Hanson, City Administrator <br />DATE: November 26, 1997 <br />RE: 1998 Budget Adjustment <br />MAYOR <br />Michael I. Fahey <br />COUNCIL <br />Beverly Scalze <br />Jim LaValle <br />Steve Morelan <br />Bob Pedersen <br />ADMINIS14tATOR <br />Joel R Hanson <br />Staff has developed two other possible opportunities for the generation of additional revenue <br />relative to balancing the 1998 budget. Our proposal is as follows: <br />♦ Increase license fee for auto repair from $25 to $100. There are 21 auto repair licenses <br />currently issued. This would generate an additional $1,575. <br />• Increase auto wholesalers /sales license from $25 to $100. There are currently seven <br />licensees in this area. This would generate an additional $525. <br />Our rationale for this proposal is threefold. The first relates to other comparable fees. In our <br />City, gasoline filling station licenses all cost over $100 topping out at $355. We have also <br />checked license fees for other auto sales in other cities and the average fee was over $100. <br />(There was no comparable fee for auto repair on the fee study I was using.) <br />The second justification relates to code enforcement activities. These two areas have generated <br />more code enforcement activity over the past few years and are likely to see an increase into the <br />future as well. Therefore, the higher fee would seem reasonable in light of these activities. <br />Lastly, we must consider the cost to process these licenses. It is very difficult to have staff <br />obtain the necessary information, mail notices and process license forms for the current $25 fee. <br />If the Council chooses to implement this recommendation, I would need direction tonight. As <br />indicated, this would bring in an additional $2,100 of revenue. Coupled with the additional <br />Sheriff's Department savings, we would only need to come up with $100 to have the budget <br />balance at a 0% net levy. I can readily adjust that number out of other budgeted amounts. <br />JRH:kpv <br />Page 8 <br />