12/07/1998 Park Board Packet - Laserfiche WebLink

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CITY COUNCIL WORK SESSION SEPTEMBER 23, 1998 CITY COUNCIL WORK SESSION MINUTES DATE : September 23, 1998 TIME STARTED : 5:32 p.m. TIME ENDED : 8:55 p.m. MEMBERS PRESENT : Council Members Bergeson, Dahl,Lyden, Neal, Mayor Sullivan MEMBERS ABSENT : None Staff members present: Interim City Administrator, Dave Pecchia; Community Development Director, Brian Wessel; Assistant City Administrator, Dan Tesch; Park and Recreation Director, Rick DeGardner; Consulting City Engineer, John Powell; and City Clerk, Marilyn Anderson Dave added Item 9A,Update on Sick City Employee. He asked if the Council wanted to add Mr. Schreier on the agenda. He noted there is currently litigation occurring regarding this issue. A trial is set for November, 1999. Dave recommended Mr. Schreier provide an update in writing and invite him back at a later time if necessary. It was the consensus of the Council to table this item and have Brian give an update at the next work session. 1999 BUDGET DISCUSSION Jerry Shannon, Springsted,Inc. -Jerry reviewed a letter sent to the City outlining the 1999 budget requirements, current tax capacity rate, and responses to other requests he received. The letter explains why the tax is at that level and what can be done about it. He stated the City is working on a"bare bones"budget and there is not much room for growth. The City's tax capacity value has increased 4.28%. Chris asked if Lino Lakes is in the top 10% of communities in the state and why the City is being penalized in the amount of$155,000. Jerry indicated he could not answer where Lino Lakes sits in regards to other communities. Kim asked that Jerry determine where Lino Lakes is overall in the state and how the City compares to other comparable communities. She indicated the findings would be discussed at the next work session. Mr. Mark Ruff, Ehlers&Associates stated that Districts 3-1 and 3-7 were established in 1995 and are subject to the TIF penalty. The State imposed these penalties to deter cities from over using tax increment. The rational is that districts cost the State money. It is a way for the State to avoid paying aids based on cities development. School Districts have to levy money. In 1993,the State said that developers could not pay the TIF penalties. In '~ 1995, cities had the option of donating 10% of the districts. The donation would have 1