Adopt Resolutions Approving Proposed 2014 Payable Tax Levies and Schedule Public Meeting for December 10, 2013

In 2013 the state legislature placed levy limits on cities and counties.  Levy limits are applicable to the General Fund and the EDA portions of the levy.  Special levies related to debt service fall outside of levy limits.  For 2014 payable, the maximum levy that the city of Ramsey is allowed to levy for the General Fund and EDA is $8,413,798.  The city is proposing a General Fund and EDA levy of $7,482,513 or $931,285 less than the maximum levy allowed.

Proposed 2014 Payable Tax Levy:

Proposed Tax Levies:                                     
       General Fund Levy                                      $ 7,345,779                    
       EDA Levy (Included in General Levy)                 136,734   (EDA authorized on August 8, 2013)
       Debt Service Levy – CIP Bond-
         (Fire Station #1) (Being Requested)                147,630                          
       Debt Service Levy – CIP Bond
         (Municipal Center) (Being Requested)           1,018,063
       Debt Service Levy - Equip Certificate                   75,135

  TOTAL PROPOSED LEVY – 2014                         $8,723,341                      

The attached resolution, as it is presented, reflects a levy of $8,723,341.  The proposed levy for 2014 reflects a $725,128  (9.07% increase) over the adopted levy in 2013 of $7,998,213. The majority of the increase is due to the Municipal Center Debt being levied at its full debt service amount($1,018,063 vs $492,629 in 2013).  In 2013, the city was able to levy less due to the savings on the refinancing of the original debt. 

As noted, the EDA levy is included in the overall levy amount of $8,723,341.  A separate resolution has been prepared for authorization to acknowledge the EDA's recommendation of a $136,734 levy.

While the proposed levy can always be reduced, it cannot be increased without "higher" level approval through an appeals process.

The amount of the levy was determined by council consensus at the work session of September 3, 2013.

The proposed levy must be certified to Anoka County by Monday, September 16, 2013. Therefore, the Council must make a decision at tonight's meeting as to the amount of this levy, or schedule a special meeting prior to the 16th.


Schedule Budget Public Hearing Date:
The Truth-in-Taxation law was changed in 2009. The City is no longer required to hold a special TNT hearing or to publish a notice of the TNT hearing. In lieu of the eliminated formal TNT hearing, the City is required to hold a regularly scheduled meeting at which the budget and levy will be discussed. The City may adopt the budget and levy immediately following. The public meeting must be held between November 25 and December 30 and held after 6:00 P.M.

Staff is recommending that the public meeting be held at its regularly scheduled meeting of December 10, 2013, with adoption of the 2014 General Fund Budget and levy to immediately follow.

The public meeting date must be certified to Anoka County by Monday, September 16, 2013; therefore, the City Council must make a decision as to the date selected for the 2014 payable public meeting at tonight's meeting.

Based on the consensus of the City Council at its work session of September 3, 2013, to motion to authorize a levy of $8,723,341 with possibility of reduction prior to City Council Adoption of final levy on December 10, 2013 and to schedule the city of Ramsey's budget/levy public meeting on Tuesday, December 10, 2013 at 7:00 P.M.
 

None Required.

Motion to recommend Council adopt Resolution #13-09-154 Approving the Proposed 2013, Payable 2014, Tax Levy

    AND

Motion to recommend Council adopt Resolution #13-09-155 Approving the Proposed 2013, Payable 2014 EDA tax levy based on the recommendation of the EDA Committee.