Loading...
HomeMy WebLinkAbout11/21/1991CITY OF APPLE VALLEY Dakota County, Minnesota November 21, 1991 Minutes of the special meeting and public hearing on the 1992 budget and property tax levy for the City of Apple Valley, Dakota County, Minnesota, held November 21st, 1991, at 8:00 o'clock p.m. at Apple Valley City Hall. PRESENT: Mayor Holton; Councilmembers Erickson, Goodwin, Humphrey and Sterling. ABSENT: None. City staff members present were: City Administrator Melena, City Clerk Mueller, City Attorney Sheldon, Finance Director Ballenger, Personnel Director Boland, Assistant Finance Director Eklund, Public Works Director Gretz, Park & Recreation Director Johnson, City Planner Kelley, Police Chief Rivers, Assistant to Administrator Weldon and Community Development Director Welsch. Mayor Holton called the public hearing to order at 8:00 p.m. He stated the purpose of the meeting is to conduct a hearing on the City's 1992 budget and tax levy in accordance with state law. Me noted that the notice of the hearing was published in the Minneapolis Star Tribune on November 14, 1991, as required. Mr. Ballenger reviewed the levy as originally proposed at $5,017,058 which would have been an increase of 2.46 percent. It is recommended the levy be reduced by $200,000 which will be a reduction of 1.06 percent. He reviewed the total 1992 budgets, of $18,150,429 total revenue and $18,140,273 total expenditures, and a breakdown of funds within that total. The 1992 General Fund revenues and expenditures are balanced and proposed at $9,417,169. He distributed a table showing estimated taxes on various valued sample homes in the City. Mr. Melena reviewed a comparison of property values for the City provided by the County. In August, total City value was estimated at $25,153,967. A revised value has now been distributed which is $24,215,474. Due to the difference in values, the notices showed an increase in the tax rate. For this reason, a reduction in the tax levy of $200,000 is recommended to maintain a level rate. He described the budget process used by the City which began at the department levels in May. The budget document was completed by August 1st with the final draft document receiving Council approval by September 1st. The Mayor asked if anyone in the audience had any questions. Wilt Anderson, 5441 West 134th Street, commended the Council and Staff for holding the line on the budget. The newspaper publicized that City taxes would go down by three percent, yet his notice showed they are not. The notice showed market value on his property increasing by one percent and City tax increasing .16 percent. Mr. Melena said the notice does not include the $200,000 adjustment being recommended which should now show a decrease. Mr. Anderson asked why the tax capacity rate is so high for a growing area? Mr. Metena said even though the City holds the line on its levy, other decisions and jurisdictions affect the total rate. CITY OF APPLE VALLEY Dakota County, Minnesota November 21, 1991 Page 2 Mr. Anderson asked why his property shows an increase in market value when no improvements have been made? Councilmember Goodwin said the County Assessor looks at the price of similar homes in a neighborhood and actual sales in the neighborhood. Adjustments in values are made based on what the market calls for like homes in an area. Councilmember Erickson thanked Mr. Anderson for his comments and gave credit to Staff for the recommendations. Mr. Anderson commented on the overall affect of property taxes on retirees and expressed concern that the increases may force them out of their homes. Frank Biagi, 13160 Floral Court, said he has lived in Apple Valley for six years and purchased a lot in Cherry Oaks two years ago. He questioned how tax rates are applied to raw land because the taxes on this lot increased drastically. The Mayor said one reason is that it is non-homestead property and taxed at a different rate. Councilmember Goodwin said the legislation determining these rates is structured to give tax breaks to homestead property and also givee breaks to lower priced homes. Mr. Melena said it also takes about 18 months for the full value to appear on tax statements after a sale. The Mayor asked for further comments or questions. There were none and the hearing was declared closed at 8:42 p.m. MOTION: of Humphrey, seconded by Ertckson, adopting Resolution No. 1991-237 approving the 1991 tax levy collectible in 1992, consisting of $6,976,742.00 for general purposes and $1,384,749.00 for debt purposes, totaling $8,361,491.00. Ayes - 5 - Nays - 0. RES. 1991-237 1991 TAX LEVY RES. 1991-238 1992 BUDGET HIRE PART TIME EMPLOYEE MOTION: of Humphrey, seconded by Sterling, adopting Resolution No. 1991-238 approving the 1992 City Budget, with total revenues of $18,150,439 and total expenditures of $18,140,273, for all funds. Ayes - 5 - Nays - 0. MOTION: of Erickson, seconded by Sterling, approving hiring the part time employee as listed in the Personnel Director's memo dated November 21, 1991. Ayes - 5 - Nays ~ 0. MOTION: of Goodwin, seconded by Erickson, to adjourn. Ayes - 5 - Nays - 0. The meeting was adjourned at 8:45 p.m.