HomeMy WebLinkAboutCity Council Minutes 08-25-2003 SpecialAdopted Minutes
Special Council Meeting
August 25, 2003
Mayor Johnson called a Special Meeting of the Plymouth City Council to order at 7:00 p.m. in
the Public Safety Training Room, on August 25, 2003.
COUNCIL PRESENT: Mayor Johnson, Councilmembers Hewitt, Slavik, Bildsoe, Neset, and
Black.
ABSENT: Councilmember Stein.
STAFF PRESENT: City Manager Johnson, Assistant City Manager Ahrens, Finance Director
Hahn, Community Development Director Hurlburt, Public Works Director Faulkner, Police
Chief Gerdes, Fire Chief Kline, Financial Analyst Kohn, Finance Office Supervisor Leitner,
Deputy Fire Chief Hurr, Captain Goldstein, Park Supervisor Peterson, and City Clerk Paulson.
Proposed 2004 Budget and Tax Levies
City Manager Johnson highlighted his budget message to the Council. He stated that the City
would be losing $800,000 in State aid, and the City would only be able to levy back 60% of that
amount. He noted that the City would be bonding for street reconstruction projects for 2004,
which was not typical in the past. He stated that bond levies are outside the levy limits.
He stated the City's overall tax rate is proposed to be 24.90, which is a decrease from the 2003
tax rate of 25.23. General fund spending is proposed to increase in 2004 by 5.36% over the
budgeted amount for 2003. This approximates the City's growth rate plus inflation and
compares to past annual general fund increases averaging six percent. The overall City property
tax levy is proposed to increase by 6.28%. He noted that the 2003 tax bill enacted by the
Legislature did not allow cities to levy for any previously unused levy authority. He stated there
is no inflation factor or allowance for household or commercial -industrial growth in the 2004
levy limit, which has a particularly significant impact on Plymouth. He indicated that levy limits
are currently scheduled to sunset in 2005.
He indicated the projected increase for an average home valued at $294,500 is 8.86%, or an
increase of $59.66. The projected decrease for a business property valued at $1,000,000 is
5.33%, or -$159.19.
He spoke of reduction in interest earnings, salary vacancy factor, external cost factors, working
capital/contingency fund, and tax capacity/fiscal disparities.
He discussed estimated general fund expenditures of $21,400,324, which represents an increase
of 5.36% over the 2003 adopted budget.
He stated the City's permanent full-time work force of 248 would increase by eight full-time
positions (four police officers, one firefighter, and three maintenance positions).
Adopted Council Minutes
Special Meeting of August 25, 2003
Page 2 of 2
City Manager Johnson discussed the proposed major equipment purchases and other operating
funds, other than the general fund in the City.
City Manager Johnson answered the Council's questions on various aspects of the proposed
budget, and the Council requested the following items be reviewed and/or provided for the next
budget Study Session on August 2:
1. Population statistics for Plymouth as contained on page 16 of the budget message.
2. Staffing report for the Police Department.
3. Percentage of budget increase in the Park and Recreation Department.
4. Rental inspection fees (possible increase).
5. Methods to fund new firefighter position all year rather than a July start date.
6. Alarm fees.
7. Alternatives to delivering Council packets.
8. Reduction in Council's conference and training budget by $2,000.
Motion was made by Councilmember Black, and seconded by Mayor Johnson, to approve the
maximum levy limit as recommended by staff. With all members voting in favor, the motion
carried.
Adiournment
Mayor Johnson adjourned the meeting at 9:42 p.m.
Sandra R. Paulson, City Clerk