Agenda Packets - 2006/01/09 - Laserfiche WebLink

Home Browse Search

Mounds View City Council December 5, 2005 Truth in Taxation Meeting Page 4 1 Finance Director Beer explained that the budget is the outcome of a range of factors including 2 State aid, service level changes, capital projects, and inflation. The goal of the budget is to 3 efficiently apply existing City resources and new revenues to provide the service levels and 4 infrastructure desired by the citizens of Mounds View. Finance Director Beer offered to answer 5 questions of the Council. 6 7 Mayor Marty opened the Truth in Taxation Public Hearing at 6:16 p.m. 8 9 Duane McCarty, 8060 Long Lake Road, stated this is a well structured budget. He asked about 10 the 26% increase in franchise fees and whether staff is anticipating a cold winter. Finance 11 Director Beer stated the fund is already at that level in actual dollars for 2005 so they anticipate it 12 will be at least that much for 2006. 13 14 Mr. McCarty asked if this adds what 2005 brought in. Finance Director Beer answered in the 15 affirmative. 16 17 Mr. McCarty asked about the increase of 169% in miscellaneous, although it is a small amount of 18 $30,000. Finance Director Beer stated that involves higher interest rates. 19 20 Mr. McCarty stated part of the levy reduction fund includes a temporary inspector for the 21 Medtronic project equaling $141,348. He stated his understanding there is also $15,000 for an 22 automobile, $1,000 for software, $2,000 for a computer, and $68,000 for plan reviewals, 23 equaling $95,000 set aside for the Medtronic project. He asked where those funds will come 24 from. Finance Director Beer stated those numbers are offset dollar-for-dollar by permit fees from 25 the Medtronic project. 26 27 Mr. McCarty asked if the funds will not be from tax increments of the development. He noted 28 the City will be using general fund dollars from permit fees to pay the $141,000 (plus) for 29 services to the Medtronic project. He stated that does not seem right under the requirements of 30 Chapter 469 but that can be discussed at another time. 31 32 Mr. McCarty stated he does not expect the City will continue the hearing but the Charter is clear 33 that all funds, not just the General Fund, are to be included in the budget review each year, listing 34 all revenues and expenditures for all funds. 35 36 Ken Glidden, 5240 Edgewood Drive, stated he may be the only one present to talk about his 37 personal tax bill. His first question is who directs and controls the budget process and 38 determines how much will be spent. 39 40 Mayor Marty stated it is the Council and staff. 41 42 Councilmember Thomas agreed it is a collaboration between the Council and staff and residents 43 who come in. She noted this process starts at the beginning of the year. 44 45