10/04/2000 Council Minutes - Laserfiche WebLink

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CITY COUNCIL WORK SESSION OCTOBER 4, 2000 Council Member Reinert inquired about the window for the funding. Staff advised the window is 18 months to two (2) years with the expectation that the City would apply for more funding. The Community Development Assistant noted the Metropolitan Council is looking for projects that can be implemented within a year. Council Member Reinert clarified that the City has an A-3 bond rating. He stated the City knows its financial obligations. He inquired about the ceiling to keep the current rating. He stated he would like to have that information as a basis to start. The Finance Director stated he can provide information regarding bonds and the bond agency criteria. Council Member O'Donnell stated he is looking for a recommend. regarding a responsible fiscal decision. Council Member Carlson inquired about the timing regar, Metropolitan Council. Staff advised a signed contrac is anticipated that a contract will be signed in Marc contract with the ) months in 1997. It Council Member Reinert asked how long the "• uld lay signing the contract. Staff advised through negotiation, the City may d ay the s gning 2-3 months. Council Member Carlson stated a bi property. She inquired about the they have been in touch with with the developers to mak made in approximately si e plan is the financing of the Tagg which that will be decided. Staff advised agg and the developers. Staff has to work to Mr. and Mrs. Tagg. Staff advised an offer will be Council Member Carl It is also a goal of the going in the wrong direc eeping the tax rate down is one of the Council's goals. p 'hensive Plan. She expressed concern regarding the City n. She noted the City if struggling financially now. PUBLIC HEARING REGARDING TAX RATE, AL ROLEK Staff advised the Minnesota Legislature passed a law during the 1999 legislative session which requires local governments to hold a public hearing and adopt an authorizing resolution if the tax rate of the jurisdiction for general purposes, excluding general obligation debt, will increase for the coming year. This is calculated based on a formula prescribed by the Minnesota Department of Revenue. The prescribed formula creates a "theoretical" tax rate for the previous year and does not allow for growth in the City's tax base; therefore, except in rare instances, any increase in general tax levy dollars will result in a tax rate increase for the coming year. 5