Loading...
HomeMy WebLinkAbout1994 12-07 CCP Truth in Taxation CITY COUNCIL AGENDA • CITY OF BROOKLYN CENTER DECEMBER 7, 1994 7 p.m. TRUTH -IN- TAXATION BUDGET HEARING I II 1. Call to Order 2. Roll Call 3. Presentation 1995 Proposed Budget 4. Public Hearing • 1995 Proposed Budget 5. Motion to Continue Truth -in- Taxation Budget Hearing to December 14, 1994, at 7 p.m. • i proptax/fregaskd BUDGET HEARING i FREQUENTLY ASKED QUESTIONS i 1. How much of my property tax bill pays for the City Services`' Depending upon which school district you live in, between 20.4 and 22.5 cents out of each dollar of property tax goes to the City. 2. If the City is going to increase spending by 5.1%, why are my taxes going to increase more than that? Approximately half of the City's revenues are property taxes and half are other revenues. The other revenues are increasing as a group for 1995, but only slightly. This forces property taxes to increase faster to cover almost the entire increase in spending. The property tax burden is shifting from commercial /industrial property to homestead residential property because of falling real estate values for commercial /industrial property. 3. What is the General Fund? The General Fund is the entity which provides the services such as police, fire, streets, parks, recreation, inspections, and administration which citizens most often think of as the City. ® 4. What is debt service. This is payment of principal and interest on past borrowing for capital outlays of the City which are repaid using the property tax. There were no such payments in 1994, but $72,116 is needed in 1995. 5. What are the Economic Development Authority and the Housing and Redevelopment Authority? These funds conduct housing and redevelopment projects funded by a combination of state and federal Grants and property taxes. i 6. What is the purpose of tonight's meeting' Tonight's meeting is to give the public an opportunity to give input to the City Council on the budget. By state law, the City Council may not take action to adopt the budget at a meeting at which it takes public input. 7. When will the budget be adopted? By state law, the City Council must adopt the budget no later than December 20, 1994. 8. I disagree with the final 1994 market value for 1995 taxes shown on my Proposed Property Tax Notice. How can I get that changed? The market values have been finalized at this point and cannot be changed by the City of Brooklyn Center. Your avenues of appeal will be listed on the back of your 1995 Tax Statement. In order to effect a change in the market value a Tax Court Petition will need to be filed prior to April 1, 1995. The Tax Statement will provide a telephone number for assistance and forms needed to file that tax appeal. 9. I am on a fixed income and cannot afford the increase. What can I do? The State of Minnesota provides a property tax refund program that has several components. One component is targeted towards individuals on fixed or low income and is tested and based on the relationship between the amount of your property taxes and your income. The second component is targeted towards a rate of increase for property owners whose taxes have increased above a particular percentage amount. There is no income test for this tax increase refund. The qualifying levels and the amount of refunds change each year so it is impossible today to predict whether or not an individual would qualify for a refund. A few forms for the 1993 refund are still available from the City. If you would like to order forms for next year, you may contact the Department of Revenue after January 15, 1995, at 296 -4444 in order to request forms. Questions on the refund program should be directed to the Minnesota Department of Revenue at 296 -3781. 10. Does Brooklyn Center spend too much on city services? The State of Minnesota Commission on Reform and Efficiency developed a process for comparing city expenditures. This commission's methodology established "Basic Spending Levels" for all Minnesota cities and compared those levels to actual city expenditures. Their report indicates Brooklyn Center's spending is 9% or $1,120,272 below the established "Basic Spending Levels" as established by this commission. XNVd N[7.YOObV V 2 V 3__ _ _ q $ A wu awe A — wr 'i UNITY AVE N x e = r�l 5100 1. P S # I TOLEDO AVE N A '1 S 5700 Q ' " S'1 SCOTT AVE M SC S' Q WAIL CIR V i 5200 $ A AVE N PF6F11f AYE N 5100 AVE K QP WA A WA L AVtl3d I e \ AIL AYE N N PERKY AYE ---" CITY OF YSTAL ' : L 4 4 c A " 1 C $ R � y E M04Aw AYE N T ~ v VIM M CO. M x0 10) "' N i S OlV •Vw �E A N > NO &E C NOBLE AVE N iEF A ^I A N y 'k 4700 AVE ._, ��Q rji � try W Y i E J I NAJOR AVE N �( <NNA,)DR RRIAY"" Y r+ LEE N N N YL mSNARI LEE AVE N LA E v = fw+ra,. a ' �d W'NN SS A A N 4400 r ? KYLE AVE N .. A2 A NDIINA A N _____2 •� _ z > I .RAE AVE N -- - -' > l8 1700 \ INDIANA AVE N V>' INDIANA AVE N NU I - NAl.1FA% ,'AY 3AV %YA7 7 4 WLLIFA% AVE N FA A 120° n p N lVN N MA0[FA %AVE N kA F MANES AVE N GREW 14'. IA i10 e .2 S FRANCE AYE N N N i `d > EY/IN6 A N¢ 3800 ENT A. �yFJ1EV I ^.� b ErIN G AYE N GREW AVE M O z 04DA AVE N y �' pY Va ° VE �� a te• : Q 7500 z QIOAENA BEANO AVE N O g > AVE ARD AVE N gggg IEATm A I \ 14W C y R S \ \ ITT AVE N M ADBOTT y 2 2~ [s• ZENITH AVE N Y r ZEN ° �l r M 7200 YORK AVE x YY AI r I > YORK t 6 g Z 310D DEN S A 1EAIE5 f E I XERTES AVE M IEVE N 8 3 0 7000 S! M U l.7 VASH9AW AVE N ` > � A ° V ? `,� 2900 AVE N z z s WIONI / 1 t000 y z �• UPTON AVE N UPT YE N I 2700 110NAS AYE N `2 SERIDAN AVE N c RUSSELL AVE N -T' RUSSELL AYE 2 WFFN AVE x 00 N A yy�� r - *'A>.4 2100 EN/ AVE N i ♦ Q Q YE,p \' 2' 01 AVE N fl AYE N r� $ 7 2 A �9 aA•' �1 a ` _ A < 0.� AYE N O LA 1 AEVTON AYE N O MFV7ON w N x 2100 - ----- y i 2000 AVE N C� 20°0 ,JT LOOM A1E N AVE 8 SU01T Dfl 900 > % v AYE N z S AVE N Z S N I wo JAIE AE S AVE N Gil E ,'� fi ITW _IPVIN4 AVE N P IRVIN6 A z z Q ' PING AVE N iRNDOLDT > -__ a N V 1°V° MMBOLDT AVE N rn RD Ho — sT A N 3 g IRA a Isw _ RD AVE N N GIN- F A 1100 A C � � > PENONI x' N F 30 0 0Hf AVE N 1 _ ' F N n. VC gP \i RSO1 AVE V z 70 - HS . 1"' AVE N AVE N 12W I — • DO'OHf AVE N� - m g • �S ! T 0 100 AVE N �ie V � y� LVLFA % AVE x 2 M aFA% AVE H AI 1000 _ YAM A AYE N S V s l�tY tlIYANi AVE N D b AL R ALDRIOI AVE N p ��p 1'• D RICH AVE N AL al A N M. fl1 adg >_ A QT AVE N LYOEN AVE N AVE N loo N IS NUS S 8 STATE NOY ND 252 5TH AYE N 600 N y %4L YM1ALf AVE r� p TN 252 l OY x3,111 153• \ D \ V RIVER RO A Y A /AEp VJ( z A / P,{y%• LAN i R DALLAS RD w A RD 300 RIYFADALE RD 200 \`l WILLOW Vttla LA sS .4370W :/O 4110 �flfS.slfl /cny �r�° E AYY/ Hf F HARE DOES Y� i. x :� F . . .. ..... . .. . . . . ..... \Y S. Brooklyn Center $562 School District Hennepin County $278 a City of Brooklyn $227 Center Other - Metro Mosquito Control, Metro Council $ 51 Solid Waste Bonds, Metro Transit, Hennepin Parks, Park Museum rota[ Annual $1,18 P roperty .sue.. Tax Based on typical $7a,000 "h ©me` SAT cTl� SERVICES D I�tI ll�Y P F PE R e ��G� Monthly Annual Public Safety $ 9.34 $112.10 Police, Fire, Animal Control, Emergency Preparedness, Planning and Inspection, Health and Social Services Public Works $ 3.83 $45.99 Snow removal, Sealcoating, Street Sweeping, Engineering, Street Lights and Traffic Signals, Gov't Buildings and Grounds Recreation $ 3.32 $ 39.89 Le Parks Maintenance, Recreation Programs, Community Center, Swimming Pool General Govt $1. $19.81 Elections, Administration, Assessing, Finance, Legal, AM Council and Commissions, Audit Economic Dev. $ .60 $ 7.18 Housing and Apartment Rehab, Commercial /Industrial Dev. Debt Retirement $ .14 $ 1.68 >0 Principal and Interest on Bonds otal cosh X18.89ZZS.64 Based on typical $ ?3,000 home PROPERTY TAX IMPACT 1995 PRELIMINARY BUDGET ($73, 000 HOMESTEAD) PROPERTY TAX INCREASE DUE TO: 1. Budget Growth $ 10.42 5.10% 2. Stagnant Other Revenue 9.81 4.80% 3. Tax Base Decline 2.16 1.06% Total City Share Property Tax Increase 22.39 10.96% 1. BUDGET GROWTH FACTORS ■ increase in Capital Outlay (replacement equipment, delayed equipment purchases from previous years, and equipment for productivity improvement) ■ approximately 3% inflation on City purchases ■ personnel additions of school liasion police officer, patrol officer, code enforcement officer, and upgrade a part -time secretary to full -time ■ increase operating expenses for the addition of mobile data terminals to police cars and the updating of the City's comprehensive plan in 199 ■ increase in the levy for debt service on bonds from zero in 1994 to $72,116 in 199 2. STAGNANT OTHER REVENUE FACTORS The City's non property tax revenues are increasing as a Group for 1995, but only slightly. Types of revenues which individually are seeing no increase or a decrease include the following: ■ Fines and Forfeitures ■ Fees for Services ■ Recreation Fees ■ Estimated property tax uncollectible increased from 2% to 3% 3. TAX BASE DECLINE FACTORS ■ Commercial /Industrial and Apartment values have declined shifting taxes to residential homesteads forward\combrevl CITY OF BROOKLYN CENTER, MINNESOTA COMBINED ANNUAL OPERATING BUDGET INCLUDING THE GENERAL FUND - DEBT RETIREMENT FUNDS ECONOMIC DEVELOPMENT AUTHORITY (EDA) FUND AND HOUSING & REDEVELOPMENT (HRA) FUND 1995 PROPOSED SUMMARY OF ESTIMATED REVENUE BY SOURCE AND FUND 1994 1995 1995 Percent Budgeted Revenue Increase Increase REVENUE BY SOURCE: Revenue Estimate - Decrease - Decrease I. GENERAL PROPERTY TAXES 5,740,195 6,328,287 588,092 10.25% II. LODGING SALES TAX 360,000 395,000 35,000 9.72% Ill. BUSINESS LICENSES & PERMITS 159,600 153,100 -6,500 -4.07% 1V. NON -BUS. LICENSES & PERMITS 129,700 140,800 11,100 8.56% V. INTERGOVERNMENTAL REVENUE 3,699,763 3,770,191 70,428 1.90% VI. GENERAL GOVT. SERVICE CHARGE 35,100 32,500 -2,600 -7.41% VII. PUBLIC SAFETY SERVICE CHARGES 22,100 18,100 -4,000 - 18.10% Vlil. RECREATION FEES 879,713 843,132 - 36,581 -4.16% IX. FINES AND FORFEITURES 144,000 112,000 - 32,000 -22.22% X. MISCELLANEOUS REVENUE 299,000 266,100 - 32,900 - 11.00% XI. TRANSFERS FROM OTHER FUNDS 100,000 100,000 0 0.00% -------- - - - - -- -------- - - - - -- ----- - - - - -- --- - - - - -- TOTAL REVENUE BY SOURCE 11,569,171 12,159,210 590,039 5.10% 1994 1995 1995 Percent Budgeted Revenue Increase Increase REVENUE BY FUND: Revenue Estimate - Decrease - Decrease I. GENERAL FUND 10,913,445 11,449,983 536,538 4.92% II. DEPT REDEMPTION FUNDS 0 72,116 72,116 III. EDA SPECIAL OPERATING FUND 516,366 500,151 - 16,215 -3.14% IV. HRA SPECIAL OPERATING FUND 139,360 136,960 -2,400 -1.72% TOTAL REVENUE BY FUND 11,569,171 12,159,210 590,039 5.10% 9/27/94 1 ESTIMATED SOURCES OF FINANCING 1995 PROPOSED CITY BUDGET LICENSE &PERMITS 2.4% MISC LLANEOUS 3.0% A- - COURT FINES 0.9% LODGING TAX PROPERTY SERVICE CHARGES 7.5% TAX 52.0% �I • INTERGOVERNMENT 31.0% 09/27/94 2 forwardlcombexpl CITY OF BROOKLYN CENTER, MINNESOTA COMBINED ANNUAL OPERATING BUDGET INCLUDING THE GENERAL FUND - DEBT RETIREMENT FUNDS ECONOMIC DEVELOPMENT AUTHORITY FUND HOUSING AND REDEVELOPMENT FUND 1995 PROPOSED APPROPRIATIONS AND EXPENDITURES 1993 1994 1995 1995 1995% Actual Adopted Preliminary Increase Increase Expend- Approp- Approp- - Decrease - Decrease itures riations riations From 1994 From 1994 1_ GENERAL FUND BY FUNCTION AND ORGANIZATIONAL UNIT A. General Government 1,560,674 1,741,423 1,843,571 102,148 5.87% B. Public Safety 870 563 4,703,657 4 87 4 7 3.70% Y 7,47 1 3,817 C. Public Works 1,756,187 1,624,036 1,558,203 - 65,833 -4.05% D. Health & Social Service 41,325 41,572 40,860 -712 -1.71% E. Recreation 1,999,270 2,149,887 2,306,774 156,887 7.30% F. Economic Development 178,703 171,000 187,625 16,625 9.72% G. Unallocated Expenses 300,803 481,870 635,476 153,606 31.88% -------- - - - - -- --------- - - - - -- --------- - - - - -- ----- - - - - -- --- - - - - -- Total General Fund 9,707,525 10,913,445 11,449,983 536,538 4.92% - - - - -- --------- - - - - -- --------- - - - - -- ----- - - - - -- --- - - - - -- . II. DEBT SERVICE FUNDS BY FUND A. 1991 Cert. of Indebtedness Redemption Fund 73,000 0 0 0 B. 1992 Cert. of Indebtedness Redemption Fund 185,200 0 0 0 C. 1993 Cert. of Indebtedness Redemption Fund 49,600 0 0 0 D. 1994 Street Improvement Bond Redemption Fund 0 0 72,116 72,116 Total Debt Redemption 307,800 0 72,116 72,116 ---- - - - - -- -- - - - - -- --- - - - - -- --- - - - - -- III. E.D.A. & H.R.A. FUNDS Economic Development 1,101,965 655,726 637,111 - 18,615 - 2.84% ------- - - - - -- ------ - - - - -- ------ - - - - -- ----- - - - - -- --- - - - - -- Total E. D.A. 1,101,965 655,726 637,111 - 18,615 -2.84% ------- - - - - -- ------ - - - - -- ------ - - - - -- ----- - - - - -- --- - - - - -- TOTAL APPROPRIATIONS AND EXPENDITURES 11,117,290 11,569,171 12,159,210 590,039 5.10% 12/7/94 APPROPRIATION BY FUNCTION 1995 PROPOSED CITY BUDGET SOCIAL SERVICES 0.3% EDA/HRA 6.8% { $; UNALLOCATED 5.2% PUBLIC SAFETY 40.1 Misr r r•�`S�": PUBLIC v: N WORKS 12.8% GENERAL GOR VE NME 15.2% ° DEBT SERVICE o� E C E 0.6% 0 RECREATION 19.0% 4 e APPROPRIATIONS BY OBJECT CLASSIFICATION 1995 PROPOSED CTIY BUDGET UTILITIES 3.7% INSURANCE 1.2% 1 CONTINGENCY 1.4% CENTRAL GARAGE 7.1% ` , CAPITAL OUTLAY 3.0% OTHER CONTRACTUAL 6.1 0 . /Q 0 5.2 /o REPAIR, RENTAL MAINT 10. COMMUNICATIONS Ar..�� PROFESSIONAL :F'.z ✓� >;,. <::v; >x::. SERVICES IC Q V ES 4.710 rirF ......................... .nom:::• }'::::::::: n::v::::.�::.:::: ••. :: +:.::::::} ?: F:C t}. 4 ,'; } ::} ti:- Y •is } ir:}: ;:} :Fi: {Fr {FSY:i •• • SUPPLIES 4.7% :....;.::.. } ':tiff {. ^ •.i4 : . DEBT SERVICE 6 0 0. /Q PERSONAL SERVICES 57.7 Q iiFF:' r•. ti: iiiii '{vF:FrFrF:ti >:' } ?iF::$:::v'vF F.`•FF::FF:S FF: : :: ; :}•• /Q ............ ::.:............. v:< • 6