12-09-1996 Council Packet - Laserfiche WebLink

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couwai OEc cm’ OF ORONO TRUTH IN TAXATION PUBLIC HEARING^’"®' MINUTES OF DECEMBER 4, 1996 ^ 1996 oromo ROLL The Council met on the above mentioned date with the followinii members present; Mayor hdward J. Callahan, Jr., Council Members J. Diann Goetten, Gabriel Jabbour, Charles Kelley and JoEller Ilurr. Representing Staff were City Administrator Ron Moorse, Finance Director Tom Kuehn, Assistant Finance Director Chris Miller, Accountant/Management Analyst John Olson, and City Clerk Dorothy Ilallin. Mavor Callahan called the meeting to order at 7;01 p.m. Mayor Callahan asl ed Moorse to review the proposed 1997 budget. City Administrator Moorse stated the proposed 1997 budget is fiscally conservative in that it maintains current service levels while positioning the city to address a number of long term fiscal issues. The.se issues include; fuuu.ng for street repair and replacement, funding for sanitary sewer projects (hot spots), funding for storm water drainage projects, and funding for watei and sewer infrastructure repair and replacement. The proposed 1997 General Fund F.xpenditures, those with the greatest impact on the tax levy, are $3,447,605. This is an increase of $99,850 or 2.9% over the 1996 General Fund Budget. 'Phis reflects an effort to hold the line on expenditures while maintaining and improving current service levels. The tax levy required to fund the total 1997 budget is $2,161,630. is an increase of $80,790 or 3.88% over the 1996 levy. The portion of the tax levy required to fund the General Fund budget is $1,680,980. This is an incease of $33,040 or 2.0% over the 1996 General Fund levy. The major rca.son for the 3.88% overall levy i.icrea.se is a levy of $45,500 ,o enable a substantial increase in the city’s street repair program, fhe levy amount positions the city to address both short term and long term street repair needs. Because the city’s tax base has increased, partially due to new housing construction, the proposed tax levy will result in a reduction in the city’s tax capacity rate from 14.743% to an estimated 14.246%. This 3.36% reduction in the city’s tax capacity rate will enable Orono ’s tax capacity rate to remain one of the lowest in Hennepin County. Moor.se pointed out the table, provided in the information packet, indicating the tax share by jurisdiction for an Orono property in the Orono School District which shows the city receives only 11.8% of the estimated 1997 tax bill. Mayor Callahan asked if anyone had comments.