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Mounds View City Council <br />~gular Meeting <br />Page Nine <br />December 9, 1991 <br />There are some services that the City cannot do as efficiently and cost <br />effectively such as sealcoaitng. Minetor stated that during the budget <br />.process, each item is gone through extensively to find the most cost <br />effective way of providing the best service. <br />Minetor .stated that is why squad cars are replaced on a regular basis when <br />mileage gets high it increases down time and costa <br />Orduno stated the city also has looked at a cheaper way of purchasing <br />operating supplies and paper. Orduno further stated that the City had <br />reevaluated their custodial contract looking for the best possible service <br />at the lowest possible cost and found that Mounds View is getting a good <br />deal. <br />Senator Novak thanked the City Council of Mounds View for inviting him to <br />the meeting. Senator Novak stated that he is Mounds View's representative. <br />Senator Novak stated that he did not vote for the 1991 tax bill that passed. <br />Senator Novak further stated that just as the City of Mounds View received <br />an $83,000 cut in state aid this year, the relationship between state and <br />cities been like a roller coaster. Two years ago, in 1989, Senator Novak <br />remembers being in the Council Chambers discussing the fact that Mounds <br />View had a 60~s increase in state aid. The state has had budget problems <br />ich has been a result of the Federal Government. <br />he state's budget is heavily dependent upon sales tax. The state does its <br />budget every two years. 12~ of their revenue is used for benefits and <br />salaries and the rest to provide funds to counties, cities and school <br />districts. Mounds View's state aid is now back to where it was in 1988. The <br />state does set the tax rates. Senator Novak referred to an overhead which <br />Finance Director Brager showed during his presentation that referred to <br />property values and property tax increases. Senator Novak stated that the <br />dollar figure missing that was in regards to the actual property tax on the <br />property. What is the total taxes being paid? Novak's guess was between 1 <br />and 1 1/4~ on a $50,000 home. Major "benefits" of the 1991 tax bill was to <br />make three rate structures. <br />Senator Novak stated that the state raised the sales tax to create a new <br />structure for state aid. Novak understands the city's objection to the <br />number of mandates imposed on the City by the state. Novak further stated <br />that the state does not want to impose mandates on the cities without giving <br />them the funds to complete them, however, the state's rhetoric is better <br />than performance. Senator Novak stated that he doubts anyone objected to <br />the comparable worth policy. This is a mandate where the pay for women is <br />given at the same value as-for men. <br />Mr. Werner, Sr., asked if the three tier compared to two tier simplifies <br />things and how it would simplify things for him. <br />nator Novak stated the tax system is only in place for the taxpayer. <br />her taxes on property listed under "other" are the Mosquito Control, <br />