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VOTO, TAUTGES, REDPATH & CO,, LTD.
<br />CERTIFIED PUBLIC ACCOUNTANTS
<br />Birch Lake Professional Building e 1310 E. Hwy. 96 e White Bear Lake, MN 55110 0 Fax (612) 426 -5004
<br />® Phone (612) 426 -3263
<br />January 10, 1990
<br />Mr. Joel Hanson,
<br />City Administrator
<br />City of Little Canada
<br />515 Little Canada Road
<br />St. Paul, MN 55117
<br />Re: PROPOSED FIRE STATION FINANCING
<br />1989 INSTALLMENT PURCHASE CONTRACT - $1,620,000
<br />Dear Joel:
<br />ROGERI j. V,)IO,C PA
<br />ROBE R F c. IAUTC ES, CI'A
<br />;AMISS. REDPA II, CPA
<br />D. KI NNtTH GEORGE. CPA
<br />DAVID I- MOL ('A
<br />Pursuant to your request, I have reviewed the revised Fire Station Installment Purchase
<br />Contract of $1,620,000 and the effect upon the City's Debt Service Tax Levies. The City's
<br />total tax levy and debt service tax levies have been as follows for the past ten years:
<br />Total Tax Levy Debt Service Tax Levies
<br />Annual Annual % of
<br />Year Amount Change Amount Change Total
<br />1979/80 $ 734,321 $562,587 77%
<br />1980/81 894,499 $160,178 630,574 $ 67,987 70%
<br />1981/82 1,000,000 105,501 670,210 39,636 67%
<br />1982/83 1,091,732 91,732 697,300 27,090 64%
<br />1983/84 1,245,561 153,829 697,300 -0- 56%
<br />1984/85 1,274,046 28,485 707,300 10,000 56%
<br />1985/86 1,277,608 3,562 600,100 (107,200) 47%
<br />1986/87 1,270,747 (6,861) 600,000 (100) 47%
<br />1987/88 1,275,000 4,253 560,000 (40,000) 44%
<br />1988/89 1,258,247 (16,753) 522,215 (37,785) 42%
<br />1989/90 1,597,030 338,783 617,648 95,433 39%
<br />As shown above, the City's total tax levy remained relatively stable /constant between
<br />1983/84 and 1988 /89 at approximately $1,250,000 to $1,275,000. More important, the
<br />City's debt service tax levies decreased in actual dollars and as a percent of the total City tax
<br />levy. This has been accomplished partially as a result of managing the City debt service tax
<br />levies through the use of Debt Service Studies /Cash -Flow Analysis. The latest such study
<br />was based upon December 31, 1986 City data which is now three years old.
<br />MEMBERS OF AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS o PRIVATE COMPANIES PRACTICE SECTION
<br />MINNESOTA SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS
<br />MUNICIPAL FINANCE OFFICERS ASSOCIATION o MINNESOTA ASSOCIATION OF SCHOOL. BUSINESS OFFICIALS
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