Laserfiche WebLink
METROPOLITAN COUNCIL <br />Suite 300 Metro Square Building, Saint Paul, Minnesota 55101 <br />DATE: September 24, 1984 <br />TO: Members of the Fegional Transit o <br />FROM: Members of the :oint Committee <br />SUBJECT: Transit Tax Levy <br />BACKGROUND <br />On September 19 and again on September 21, 1984, staff members from the <br />Metropolitan Council (MC), the Metropolitan Transit Commission (MTC), and the <br />Minnesota Department of Transportation (Mn/DOT) (hereinafter "Joint <br />Committee`) met at the request of Chairman Perovich to discuss the 1984 <br />metropolitan transit tax levy. <br />The purpose of the meetings was to identify the options the Board has in <br />certifying the tax levy and to identify issues the Board should be aware of in <br />choosing between the various options. The Joint Committee adopted a proposed <br />timetable, attached hereto, to accomplish certification of the tax levy on or <br />before October 10, 1984. The timetable proposes that the Board pass a <br />resolution at its meeting on September 24 announcing its intent to certify the <br />tax levy at a special meeting to be called r , October 8, 1984. This will allow <br />affected communities the opportunity to submit comments to the Board on the <br />proposed tax levy before the Board takes final action on October 8. <br />Based primarily on financial information supplied by MTC staff, the Joint <br />Committee recommends that the Board incorporate "full feathering" (explained <br />below) in its 1984 tax levy. Full feathering results in a loss of <br />approximately $1,638,000 in property tar revenue when compared to the limited <br />feathering done by the MTC in 1983. The Director of Finance of the MTC <br />informed the Joint Committee that the surplus fund balance of the MTC could <br />cover such a revenue loss for one year. <br />This memorandum reviews several key provisions of the law pertaining to the <br />1984 tax levy and summarizes several issues and options identified by the <br />Joint Committee. <br />POLICY ISSUES <br />- What is the ability of the MTC (or RTB) to absorb revenue reductions caused <br />by tax feathering? <br />- How shou'd the phrase "level of service" be defined? On a "cost of service <br />provided'' oasis? On a `'frequency of service provided" basis' <br />