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Mounds View City Council Page Sixteen <br /> Regular Meeting October 13, 10 <br /> Charles Miller stated that the increase should be put on property tax <br /> so the franchise fee could be used to fall back on. If the franchise <br /> fee is implemented now there will be nothing to fall back on. In an <br /> emergency the franchise fee could be implemented for the remainder <br /> of that year. <br /> Roger Stigney stated that in viewing the options the Council has <br /> looked at the top users but not at the low income users. No <br /> circuit breaker has been provided for low income users. Stigney <br /> stated he strongly opposes the franchise fee implementation. <br /> Wiley stated that the City is $155, 000 in the hole on a proposed <br /> budget. The City needs $155, 000 to balance the budget. Wiley <br /> stated opposition to paying 6.5% taxes on something he doesn't <br /> want to pay taxes on. The franchise fee is a long term solution <br /> for $155, 000. It would collect $40. 00 from every resident and <br /> commercial business. Short term solution would be to follow the <br /> standard process. This is putting something on that doesn't go <br /> away. The City needs a short term fix to balance the 1993 but <br /> and then needs to get into synchronization with the State. The <br /> Council needs have the budget year go from July to July. <br /> . Mayor Linke stated that going July to July had been brought up <br /> before and that there is something in the statutes that prevents 111 <br /> it. Most cities are on calendar years. <br /> Wiley stated that the City needs something to fall back on for <br /> catastrophic events. The City needs something in reserve. <br /> Trude stated that if using Option 3 , it would only raise 6% <br /> of. a $3 million budget. Is all the bad will worth it? <br /> Charlie Hall asked the Council if they was listening to the <br /> people. Hall stated this is a disproportionate tax as far <br /> as-commer-ci-a-.4-indus-tri.a3.-.t=he-businesses-will wither_a die. <br /> Mayor Linke stated that he made an error when considering the <br /> 8.3% property tax increase. It should have been 11 or 12%. <br /> Barb Haake asked if the 8.3% in property tax increase could be <br /> amended in December. <br /> John Thomson stated that per the Truth In Taxation Law, the City <br /> has to input the maximum tax the City is going to levy by September 15. <br /> Taxes can't be changed. <br /> Mayor Linke asked if there is a penalty for increasing taxes. <br /> Brager responded that there is no penalty provision but a change <br /> in levy limit could reflect a reduction in the City's LGA. This <br />