05-22-2008 Charter Packet - Laserfiche WebLink

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See Handbook Chapter 21 on Budgetingand Chapter 22 on the Property Tax Levy. Minn. Stat. § 410325. See Handbook Part VI. See Handbook. Chapter 12. Minn. Stat. § 410.09. Minn. Stat. § 412.321. Minn. Stat. § 412.191, subd. 4. Minn. Stat. § 410.20. 2. Finance The charter may, but does not need to, require a budget system. However, current truth -in -taxation laws require all cities to prepare a budget. The charter may regulate the payment of claims. The charter also may limit or broaden the purposes for which the city may spend money beyond the limits set for statutory cities. For example, a charter could allow appropriations to private agencies performing work of a public nature, while statutory cities probably could not. The law limits statutory cities in their issuance of warrants in anticipation of the collection of taxes. A charter may broaden or curtail this authority. Both statutory and home rule charter cities may use a system of anticipation certificates. A charter may lower the debt limit applicable to cities, but it may not raise the limit. A charter can restrict the purposes for which the city may issue bonds, and it can make the procedure easier or more difficult. The charter may authorize the city to borrow money directly from banks and other lending institutions, rather than issuing bonds or certificates. 3. Utility regulation The Minnesota Public Utilities Commission and the Department of Commerce regulate the service and rates of private gas, electric and telephone utilities. Charters may require gas and electric franchises and may adopt regulations, including requirements for a gross earnings tax or similar fees. Strict limitations on the use of franchises, taxation, and fees for the use of public rights-of-way exist, whether or not a city has a charter. 4. Municipal utilities Statutory cities may establish electric, gas, light, and power utilities only after a vote by the people—regardless of the method of financing. A charter may provide for acquisition without a vote or may require a different majority from the majority necessary in statutory cities. A charter may give the right of condemnation without a time limit. A charter may also allow the city to use surplus utility funds to support general funds. 5. Ordinance procedure Statutory cities may pass an ordinance on a single reading at the same meeting that the ordinance first comes before the council. The ordinance must be published in full or in summary form in the local newspaper. Statutory cities may, but do not need to, require several readings and a lapse of time between readings. Charters may or may not provide for publication, and they may impose other restrictions on the ordinance process.