CC PACKET 08082000 - Laserfiche WebLink

Home Browse Search

4 1®3 ® In addition to the levy, there are other several other factors that could increase the City's tax rate including: LGA and HACA amounts, Fiscal Disparities and St. Anthony's total tax capacity being lowered by changes to the Class Rates. It is a challenge to prepare a budget within a system that does not allow the City to control all the elements that.contribute to a tax increase, however the position of the City remains to keep taxes at moderate levels while providing services and programs desired by the public. Because of our sound financial condition (Moody's A-1 rating) and by setting aside budget reserves, we have been able to operate within State imposed changes, levy limits, and compression of the tax rates. State Tax Reform and Tax Capacity Tax.capacity is the basis on which taxes are assessed. The net effect of the 1997 law put in place by the State Legislature was to reduce the overall tax capacity (tax base) of the City. The tax rate is determined by dividing the amount of taxes levied by the City's or taxing authority's tax capacity. By.reducing the City's tax capacity, the new.law virtually guaranteed an increase.in the City's tax rate even without any changes.in City spending. In addition, the new law has shifted some of the burden of paying taxes from commercial and industrial taxpayers to residential properties. For collectible year 2001 taxes, this trend will continue, however it should not be as dramatic as in other years. Since St. Anthony is a fully developed community with a tax base that is comprised of 70% residential, 15% commercial, 12% apartments and 3% other, it becomes critical to monitor and react to the impact of any changes to the class rates. Our continued focus on redevelopment assures that our image and tax base stays firm. 100-Year Flood Protection - City Goal Watershed management has been an on-going concern for the community for many years. The entire City is served by the Metropolitan Wastewater System and with the development of the community the demands for wastewater have changed dramatically. During periods of heavy rainfall or the spring thaw, portions of St. Anthony have incurred or are at risk to incur flooding problems. The redevelopment of these areas to provide 100-year flood protection for the Community, (such as Silver Point Park, • road improvements and holding ponds) will continue to be important issues over the next several years.