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HomeMy WebLinkAbout10/02/1991 Council Minutes125 COUNCIL WORK SESSION CITY OF LINO LAKES COUNCIL MINUTES OCTOBER 2, 1991 DATE October 2, 1991 TIME STARTED 3:40 P.M. TIME ENDED 4:30 P.M. MEMBERS PRESENT: Bisel, Bohjanen, Kuether, Neal, Reinert MEMBERS ABSENT : None Staff members present: Accountant, Paula Schloef'; Administrator, Randy Schumacher and Clerk- Treasurer Marilyn Anderson. CENTERVILLE CONSOLIDATION COMMITTEE Mr. Schumacher handed out information to the Council regarding the attempt by some Centerville citizens to consolidate Centerville with Lino Lakes. The information included consists of a letter from the State of Minnesota Municipal Board requesting that the Lino Lakes and Centerville City Council's each prepare a list of ten candidates to serve on the consolidation commission. The Municipal Board will select five (5) candidates from each City to act as the consolidation commission. In addition a separate list of three (3) candidates was requested. The Municipal Board will select a consolidation commission chair from this second list. Mr. Schumacher noted that these two (2) lists of candidates were requested by October 24, 1991. The consolidation commission is expected to consider all of the pros and cons regarding consolidation and prepare a report to the Municipal Board. This process could be lengthy and may require a great amount of time on the part of the members. The information given to the Council included the function of the commission and the subjects that they must consider. Council Member Kuether suggested that if either Council was opposed to the Consolidation, they could select 10 candidates against consolidation and subvert the process. Mr. Schumacher said the commission should determine at the beginning if this is the case, and do their best to reduce the time involved. Mr. Schumacher explained that both City Council's must a adopt a resolution agreeing to consolidate. If any one (1) Council does not pass such a resolution, the matter goes to a referendum in both Cities. PAGE 1 1 1 1 1 1 1 COUNCIL WORK SESSION OCTOBER 2, 1991 Council Member Kuether asked what the impact on the Lino Lakes budget would be if consolidation was approved? Mr. Schumacher explained that this is one (1) issue that will be addressed by the consolidation commission. Other issues would include the impact on state aid, the impact on municipal state aid for streets as well as many other issues. Council Member Kuether asked why residents of Centerville are actively pursuing consolidation? Mr. Schumacher explained that the taxes are high in Centerville and the residents appear to not be getting all of the benefits the residents of Lino Lakes are getting. Mr. Schumacher asked each Council Member to suggest candidates for the consolidation commission and candidates for chair of this commission. TAX CAPACITY RATE Ms. Schloer distributed a 1992 Budget folder to each Council Member. She noted that this folder can be easily updated after each 1992 Budget work session. The purpose of this portion of the work session is for Ms. Schloer to explain how the tax capacity rate is calculated for all properties in Lino Lakes. She also noted receipt of the estimated 1992 levies from the County. Ms. Schloer had prepared an outline of what the estimated 1992 property tax statement would look like for homes valued at $80,000.00, $100,000.00, $110,000.00 and $200,000.00 for each of the three (3) school districts in Lino Lakes. Ms. Schloer outlined how tax capacity is calculated for each parcel of property. The formula may change from year to year. For 1992, the rate is determined as follows: 1st $72,000.00 of market value - 1% $72,000.00 to $115,000.00 - 2% over $115,000 - 2.5% For an $80,000 home the rate is $880, a $100,000 home, $1,280, a $110,000 home, $1480 and for a $200,000 home, $3,705. Ms. Schloer explained that if all information received from the County remains the same, property taxes in Lino Lakes will go down slightly in 1992. The formula used for the 1992 property taxes does not take into consideration the large increase in population or does not allow for any credit for inflation. There was discussion regarding fiscal disparities. Mr. PAGE 2 126 127 COUNCIL WORK SESSION OCTOBER 2, 1991 Schumacher noted that there has been discussion in the legislature about changing or eliminating fiscal disparities. At this time, all remains the same. The meeting adjourned at 4:30 P.M. These minutes were considered, corrected and approved at a regular meeting of the Lino Lakes City Council on October 28, 1991. Marilyn erson, Clerk- Treasurer PAGE 3 r,. 1 1 1