12-15-2014 Council Minutes - Laserfiche WebLink

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MINUTES CITY COUNCIL DECEMBER 15, 2014 Fund infrastructure repairs/replacement; Maintain facilities and equipment; Meet debt obligations; Maintain AA+ Bond rating; Preserve parks and open spaces; Position the City to address future challenges and opportunities; Stabilize the tax rate. The Administrator reported that the City's 2015 tax rate will decrease from 31.299% to 30.675%, a 1.99% decrease. Little Canada's 2015 Tax Rate will continue to be the 8th lowest out of 19 municipal jurisdictions in Ramsey County. The Administrator noted that a couple of years ago the City was 7th lowest, but he anticipated that Little Canada would stay at 8°' lowest for the next few years. The Administrator compared the 2014 tax levy with proposed 2015, noting the proposed 3% increase. The Administrator reported that when the 2015 Budget process was started, a 4.16% gross levy increase was proposed. The City Council reduced that increase to 3.5% for the Preliminary Levy, and has worked to lower that increase to 3.0% being considered this evening. The Administrator then reviewed a tax base and rate comparison, which includes Fiscal Disparities. He explained that Fiscal Disparities is a metro -wide revenue sharing pool based on new commercial/industrial construction. The Administrator indicated that Little Canada contributes more to the pool than it receives back. The City's Fiscal Disparities distribution for 2015 is increasing by $20,000 to $413,842. The Administrator reviewed a comparison of Ramsey County cities tax rankings, noting that St. Anthony Village has a tax rate over double Little Canada's. He again noted that Little Canada is 8°i lowest of Ramsey County cities with Shoreview just above and Lauderdale just below. The Administrator anticipated that Little Canada would remain in the 811' lowest position for the next couple of years. The Administrator next reported on 2015 residential property tax changes, noting that 30.9% of properties will see a decrease to 0% increase in the City portion of their property taxes. 35.9% will see a .1% to 10% increase, and 33.2% will see an increase of 10.1% or more. Next the Administrator explained the allocation of City taxes on a median valued home in Little Canada ($216,950). The total City tax bill for a median valued home would be $665.49 in 2015, or $55.46 monthly. This tax covers the cost of public safety (57%), general government (14%), 7