09-10-2012 Council Minutes - Laserfiche WebLink

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1VIINUTES OF THE � ORONO CITY COUNCIL MEETING Monday,September 10,2012 7:00 o'clock p.m. (l2. CONTRACT FOR LAW ENFORCEMENT SERVICES, Continued) Franchot stated his understanding of the discussion was that the issues raised by Council Member Rahn are things that the Council will still have the ability to affect. Franchot moved,Bremer seconded,to approve the Contract for Law Enforcement Services and to approve the 2013 organizational chart,excluding the details of the actual positions to be posted. McMillan stated the Council can talk about the benefits at their next work session. Mattick asked if the motion is acting on Items 12, 13, and 14, or just Items 12 and 13. Franchot stated his motion related to Item No. 12. VOTE: Ayes 4,Nays 1,Printup Opposed. 13. DEPUTY CHIEF-POLICE DEPARTMENT Printup moved,Bremer seconded,to table Item No. 13,with the understanding that benefits will be discussed at the City Council work session. VOTE: Ayes 5,Nays 0. 14. ADMINISTRATIVE ASSISTANT-POLICE DEPARTMENT Printup moved,Bremer seconded,to table Item No. 14 to the City Council work session.VOTE: Ayes 5,Nays 0. 15. ADOPT PRELIlVIINARY 2013 TAX LEVY AND BUDGET-RESOLUTION NOS. 6165 AND 6166 Olson stated the preliminary tax levy has to be certified to Hennepin County by September 17. The final budget and levy will be adopted at the December 10 City Council meeting. Public input will be allowed at that meeting. Olson stated the budget process started at the beginning of June. At the work session on July 20,the City Council was provided with a draft budget. A second draft of the budget was provided to Council on August 27. The budget being presented for consideration tonight has been adjusted to reflect the Council's input from the August work session. Olson noted the City's tax levy has basically flattened out since 2010 with no increase being proposed for this year. Orono is still experiencing some declining property values, averaging around 7.92 percent. The total taac lery required to fund the preliminary 2013 budget is $4,701,760. That is the e�ct same overall tax levy the City had last year,which was one of the City Council's goals. Olson noted the City's ta�c capacity rate did increase, which is a reflection of the continuing decrease in property values. Olson stated the charts on the overhead compare the tax impact of the City's taaLes on various valued homes. Assuming a 7 percent decrease in property values, if you own a home that was valued at $250,000 in 2012,the city's share of the taaces would decrease by approximately$27. On a$2 million home,the taxes would decrease by$2.47,and on a$500,000 home, interestingly,you would see a$2.72 increase which has to do with the way the formula works. Page 22 of 26