5.1.
HRA Regular Session
- Meeting Date:
- 09/13/2011
- By:
- Diana Lund, Finance
Title:
Adopt Resolution Approving Proposed 2012 HRA Levy
Background:
Each “taxing authority” must adopt a proposed budget for payable 2012 and certify its proposed property tax levy for payable 2012 to the County Auditor by September 15.
ANALYSIS:
On March 5, 2005 the City Council established a Housing and Redevelopment Authority (HRA). The bylaws state that the makeup of the HRA will be the Ramsey City Council.
For Budget Year 2011, the HRA adopted a levy of $368,549 For Year 2012, staff is again proposing a maximum levy of $368,549 (.0185% of total taxable market value of $1,992,157,400). A taxpayer home valued at $200,000 would be paying $37.00 towards the levy. The majority of the levy will be used for ongoing costs associated with the COR project area: designated personnel, marketing of the property and the development management contract. Annually, the levy has also been responsible for approximately $48,000 of maintenance costs related to the parking ramp maintenance agreement. Due to the costs associated with the COR project, the proposed levy will not meet the proposed expenditures. It is proposed that the HRA will need to draw from the prior year fund balance and/or cash generated from future land sales to meet expenses until such time that land proceeds are available to offset expenses.
Unlike the General Fund levy, the HRA may adopt a final levy in September. The HRA has adopted the final levy in September and would like to continue with this same procedure for levy 2012 payable. The 2012 HRA budget will be brought back for final adoption in December along with the 2011 Amended HRA Budget (housecleaning item to amend budgeted line items to actual)
A proposed budget is attached for your review.
ANALYSIS:
On March 5, 2005 the City Council established a Housing and Redevelopment Authority (HRA). The bylaws state that the makeup of the HRA will be the Ramsey City Council.
For Budget Year 2011, the HRA adopted a levy of $368,549 For Year 2012, staff is again proposing a maximum levy of $368,549 (.0185% of total taxable market value of $1,992,157,400). A taxpayer home valued at $200,000 would be paying $37.00 towards the levy. The majority of the levy will be used for ongoing costs associated with the COR project area: designated personnel, marketing of the property and the development management contract. Annually, the levy has also been responsible for approximately $48,000 of maintenance costs related to the parking ramp maintenance agreement. Due to the costs associated with the COR project, the proposed levy will not meet the proposed expenditures. It is proposed that the HRA will need to draw from the prior year fund balance and/or cash generated from future land sales to meet expenses until such time that land proceeds are available to offset expenses.
Unlike the General Fund levy, the HRA may adopt a final levy in September. The HRA has adopted the final levy in September and would like to continue with this same procedure for levy 2012 payable. The 2012 HRA budget will be brought back for final adoption in December along with the 2011 Amended HRA Budget (housecleaning item to amend budgeted line items to actual)
A proposed budget is attached for your review.
Recommendation:
Adopt resolution approving the proposed 2012 HRA Levy in the amount of $368,549.
Funding Source:
HRA budget is supported by the HRA tax levy and possible future land sales in th COR area.
Council Action:
Motion by Commissioner________ and seconded by Commissioner______________ to adopt Resolution #HRA-11-09 authorizing the approval of the proposed 2012 HRA levy in the amount of $368,549.
Attachments
Form Review
- Form Started By:
- Diana Lund
- Started On:
- 09/08/2011 10:27 AM
- Final Approval Date:
- 09/08/2011