HomeMy WebLinkAbout2012 07-30 CCM Joint Work Session with Financial Commission MINUTES OF THE PROCEEDINGS OF THE CITY COUNCIL
OF THE CITY OF BROOKLYN CENTER IN THE COUNTY
OF HENNEPIN AND THE STATE OF MINNESOTA
JOINT WORK SESSION WITH FINANCIAL COMMISSION
JULY 30, 2012
CITY HALL - COUNCIL CHAMBERS
CALL TO ORDER
The Brooklyn Center City Council met in Joint Work Session with the Financial Commission
and the session was called to order by Mayor Tim Willson at 6:30 p.m.
ROLL CALL
Mayor Tim Willson and Councilmembers Carol Kleven, Kay Lasman, Lin Myszkowski, and
Dan Ryan. Also present: City Manager Curt Boganey, Finance Director Dan Jordet, and
Customer Service Representative Charlene Finberg.
Others present were Financial Commissioners Steve Landis, Rex Newman, Anissa
Hollingshead and Dean Van Der Werf. Financial Commissioners Teneshia Plunkett, Dan
Schueller, and Koff.Agbossou were absent.
DEBT SERVICE FUNDS
Finance Director Dan Jordet stated that debt service funding falls into four categories. The first
category is Improvement Bonds, which are paid with the proceeds of assessments against
property taxes. These are generally used to finance street reconstruction projects. The second,
General Obligation Bonds, which are paid with proceeds received from direct property taxes.
These are used to finance the construction of the Police Department building and renovation of
the two Fire Stations. The third, Tax Increment Bonds, which are paid with receipts from tax
increments collected in Tax Increment District #3. The proceeds of these bonds were used for
TIF eligible economic redevelopment projects. The last category is Utility Revenue Bonds,
which are funded by the net revenues of the Water and Sanitary Sewer utilities. The proceeds
were used to replace all water meters in the City with remote, radio-read meters.
Compared to other surrounding communities, total debt per capita, Brooklyn Center ranks in the
middle. Total debt is moderate compared to other neighboring communities.
US Bank handles all bonds and reviews are done periodically by Springsted to evaluate interest
earned and paid.
SPECIAL REVENUE FUNDS
Four of the Special Revenue funds were reviewed this evening:
HOUSING AND REDEVELOPMENT AUTHORITY (HRA) LEVY
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This concerns the property tax levy for the Housing and Redevelopment Authority (HRA). It is
fixed at a maximum levy of 0.01865%of the Taxable Market Value of the City.
ECONOMIC DEVELOPMENT AUTHORITY (EDA)
This is funded primarily by the transfer of the HRA tax levy to the EDA fund. Since the levy has
been reduced and operation costs have grown with property maintenance costs, net operations
have resulted in losses. These losses will increase with the Market Value Homestead Exclusion
to property values. Reduction of EDA costs are possible with the development of City purchased
land and reorganization of staffing and reassignment of costs to other Departments.
POLICE GRANTS
These are State and Federal grant funds provided for specific purposes. The City will receive
four grants: Bulletproof Vests, Cadet Program, Auto Theft Grant, and COPS Grant.
These funds are available for use in the 2013 fiscal year, but it is not yet known if there will be
any grant funding available for the 2014 fiscal year.
RECREATION GRANTS
Through a combination of donations,registration fees and reimbursements, these funds are used
for special activities of the CARS Department.
PROPERTY TAX MODELS
CHANGES IN PROPERTY VALUES
Mr. Jordet reviewed the changes in property values. Overall values were down 7.0%Q and single
family values were down 11.8%. Additional analysis of this data will be done and charted for
the August 20, 2012, Work Session.
MISCELLANEOUS
The next Joint Work Session with the Financial Commission is scheduled for Monday,
August 20, 2012.
City Manager Boganey and Finance Director Jordet then responded to questions and statements
from Council Members and Commissioners.
ADJOURNMENT
Councilmember Lasman moved and Councilmember Myszkowski seconded to adjourn the Work
Session at 7:34 p.m. Motion passed unanimously.
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STATE OF MINNESOTA)
COUNTY OF HENNEPIN) ss. Certification of Minutes
CITY OF BROOKLYN CENTER)
The undersigned, being the duly qualified and appointed City Clerk of the City of Brooklyn
Center, Minnesota, certifies:
1. That attached hereto is a full, true, and complete transcript of the minutes of the of the
City Council of the City of Brooklyn Center Joint Work Session with Financial
Commission held on July 30, 2012.
2. That said meeting was held pursuant to due call and notice thereof and was duly held at
Brooklyn Center City Hall.
3. That the City Council adopted said minutes at its August 13, 2012,Regular Session.
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City Clerk Mayor
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