04/06/1992 Council Minutes - Laserfiche WebLink

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1 1 1 BOARD OF REVIEW APRIL 6, 1992 Mrs. Kenny expla`,ined that the problem continues because the value for 1993 is now set at $130,600. She felt the fast rising taxes are taxing her family out of Lino Lakes. Mrs. Kenny said she does not feel that she should have had all the problems she had and felt sorry for others in the same position. Mayor Reinert asked Mr. Smith to give a brief explanation of how market value on properties is calculated. Mr. Smith did explain. He also noted that taxes are usually high in developing communities because there is very little commercial /industrial base to help the homeowner. He also noted that no home carries enough taxes to provide the services needed for each home. Mr. Smith explained that a community with just homes and no commercial base has a regressive tax situation. He noted that he is well aware of the problem since he serves on the City Council in the City of Ramsey. Mayor Reinert gave the audience an explanation of the current City Council philosophy by explaining that a moratorium had been instituted in Lino Lakes. Although this is not a popular thing for a City Council to do, it does allow time to "take stock" of the situation. There is still a great amount of development in Lino Lakes at this time because the City Council could not stop what was already started. Mayor Reinert explained that developers cannot be stopped from bringing in their new plats. However, the City Council does have the right to stop "leap frog" development and to keep development to "in fill" development. At this time the City Council has the ability to review each new plat to determine the economic impact on the City. In addition, the City Council has looked at potential commercial development and this will be in an orderly fashion. Mayor Reinert noted some areas currently under consideration for commercial development. He also noted that the City will not accept all industries. Mr. Smith explained that it is his position to classify and value property only. He noted that the municipality and other taxing authorities set the rate of taxes. Mr. Smith noted that the State of Minnesota mandates that assessors value all property at market value. He explained that he uses sales as one (1) tool in determining market value. Mr. Smith also explained that the State requires that all values be at 100% of market value and last year Lino Lakes was at 94.8 %. He also explained that Anoka County was the only County that followed the State mandate. Mr. Smith was asked about the inconsistencies in valuations. He explained the basic reason for this is that the Assessor is required to re- evaluate only 25% of the homes each year. Therefore, some homes are not evaluated for up to three (3) PAGE 2 217