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HomeMy WebLinkAbout2006 12-04 CCM Truth In Taxation Budget Hearing MINUTES OF THE PROCEEDINGS OF THE CITY COUNCIL OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND THE STATE OF MINNESOTA TRUTH IN TAXATION BUDGET HEARING DECEMBER 4, 2006 CITY HALL - COUNCIL CHAMBERS CALL TO ORDER The Brooklyn Center City Council met for the Truth in Taxation Budget Hearing and was called to order by Mayor Myrna Kragness at 7:00 p.m. ROLL CALL Mayor Myrna Kragness, Councilmembers Kathleen Carmody, Kay Lasman, Diane Niesen, and Mary O'Connor. Also present: City Manager Curt Boganey, Fiscal and Support Services Director Dan Jordet, and Deputy City Clerk Camille Worley. PRESENTATION ON PROPOSED GENERAL FUND TAX LEVY AND GENERAL FUND BUDGET City Manager Curt Boganey explained the purpose of the meeting and presented a PowerPoint presentation that summarized the following: • Proposed Property Tax Levy (using $767,665 of LGA for operations) • Residential Homestead Tax Capacity • Proposed Tax Rates Payable 2007 • 2007 Residential Property Tax Components • Estimated and Limited Market Value Comparison • Tax Capacity for Apartments, Commercial, and Residential Properties 2006 Assessment Tax Capacity in 2007 Property Type Breakdown 2006 Estimated Market Value Payable in 2007 • General Fund Revenues • Revenues by Source 2002 -2007 Fiscal Years • General Fund Revenues 2007 • Local Government Aid • General Fund Expenditures Expenditure by Department 2002 -2007 Fiscal Years • Expenditures by Type Mr. Boganey discussed increases in various departments that affect the General Fund. He stated the largest expense is personnel; however this budget does not reflect a major change in personnel costs. 12/04/06 -1- Councilmember Lasman moved, and Councilmember Niesen seconded to open the Public Hearing. Motion passed unanimously. Henry Yang, 6207 Regent Ave N, asked if there is a legislative cap on the amount that taxes can be raised. He stated concern with the amount of increase in property taxes in market value of property he owns. Mr. Boganey explained the Limited Market Value law and stated it does not set a ca p on the maximum in which the property value can increase but it does set a cap on the amount of value the taxes can be assessed. He stated a staff member would call Mr. Yang to explain the increase in taxes. Amy Luesebrink, 5557 James Ave N, explained her frustration with the increase in taxes and explained that voting against the school referendums was due to the increase in other taxes. She asked that the City Council try to help School District 286 so that property taxes are not increased. Councilmember Carmody explained effects of the legislature and the difficulties in helping one School District and not the others. Councilmember Niesen discussed the use of TIF District funding. Dan Remiarz, 6201 June Ave N stated objection to the increase in taxes. Councilmember O'Connor thanked Mr. Remiarz for his comments and stated that if he wished to change the taxes, Councilmembers who wish to lower the taxes must be elected. Todd Johnson, 5225 Twin Lake Blvd E, asked why his taxes are more than his neighbors who have less market value. It was indicated that a staff member would contact Mr. Johnson regarding his property taxes. Councilmember Lasman moved, and Councilmember Carmody seconded to close the Public Hearing. Motion passed unanimously. Councilmember O'Connor stated her taxes are increasing by 10.25% and stated that is too much. She stated the City charges a lot of money for taxes and with the bond payoff it should not have increased the General Fund. She stated government is too big at all levels. She stated the City could have used the additional Local Government Aid to keep taxes lower. Mayor Kragness stated that in comparison to other cities, Brooklyn Center has done a good job at being conservative in its increases. 12/04/06 -2- Councilmember Carmody discussed the additional LGA money received and stated that it was agreed upon to spend in a manner to resolve a legal matter with the Metropolitan Council. Councilmember Niesen discussed the amount spent in personnel services and how it should be reduced. Councilmember Lasman stated the budget in 2002 was higher than in 2007 and the City has done well to maintain Public Safety and the level of service and quality of life. ADJOURNMENT Councilmember Lasman moved, and Councilmember Carmody seconded to adjourn the meeting at 8:20 p.m. Motion passed unanimously. City Clerk Mayor 0 12/04/06 -3-