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Mounds View City Council September 9, 2024 Regular Meeting Page 8 1 this was the Council's budget and it should not be placed on staff to decide how much should be 2 spent. He pointed out the EDA has no taxing authority and then reviewed Statute 469.107, noting 3 the EDA can request a levy and stated this amount should be included in the percentage limit 4 within the Charter. He indicated there was no special street levy that was approved by the voters 5 for street improvements. He explained the proposed levy at 9.13% exceeded the Charter, which 6 meant the levy would have to be placed on the ballot for a referendum vote. 7 s Council Member Meehlhause indicated the fire debt and GO debt would have to be reduced from 9 this percentage. 10 t t Mr. Amundsen indicated the Council was still trying to approve a levy that did not meet Charter 12 standards. He stated last year the Council approved a levy increase of 6.5% and this year was 13 proposing an increase of 9%. He encouraged the Council to begin cutting programs especially 14 considering the fact the Council transferred $1.2 million to other funds in 2023. He suggested the 15 Council take a closer look at how to use these funds.He stated he was frustrated by both the budget 16 and tax levy. In addition,he encouraged the Council to support the Charter and the language within 17 the Charter when it comes to levy increases. 18 19 Valeria Amundsen, 3048 Woodale Drive, explained when the Charter language was changed to 20 allow for a higher levy limit, the Council vowed to only go to 9% in the event of an emergency. 21 She indicated there was no emergency at this time. She recommended the Council reconsider the 22 budget and tax levy in order to take into the real concerns of older taxpayers in Mounds View. She 23 wanted to see the City Council acting modestly because this was the way the residents in Mounds 24 View lived. 25 26 Council Member Gunn noted if the fire debt and GO debt were removed from the 9.13% the tax 27 levy would then be reduced to 7.83%. 28 29 Rebecca Scholl, 2467 Hillview Road, indicated she owned two properties in Mounds View and 30 taxes were a concern for her. She explained she broke down the taxes for one of her properties and 31 noted the Mounds View portion was $1,200.72. She stated if she applied a factor of 9.14%, she 32 would have an increase from the City of$109.74. She clarified that the proposed 9% increase was 33 only on the City's portion of taxes and not on residents overall tax bill. She commented further on 34 the cost of cuts, noting this would impact the raises the Council just approved for the Police 35 Department along with the employment status change for Barb Benesch. She discussed how the 36 City had to find a way to balance capital improvements, special projects and the cost of operating 37 a City. She noted the voters have approved levies for additional officers in the community. She 38 understood$68,000 was a lot of money as was$109. She recommended the City provide the public 39 with better information on the proposed levy increase to ensure the City Council was in compliance 40 with the Charter. 41 42 Mayor Lindstrom stated in order to remain in compliance with the Charter, the Council would 43 have to approve a levy increase at 9% or less. Finance Director Bauman stated the Council could 44 opt to do this and she would make adjustments to the street levy or use deficit spending to balance 45 the budget. 46