City Council Minutes 12-04-2002
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MINUTES
SPI'~CIAL MEETING - MONTICELLO CITY COUNCIL
Wednesday December 4, 2002 - 5 p.m.
Members Present:
Roger Belsaas, Roger Carlson, Clint Herbst, Brian Stumpf and Bruce Thielen.
Members Absent:
None.
I. Call to Order.
Mayor Belsaas called the meeting to order at 5:05 p.m. and declared a quorum present.
2.
Considcnltion of awarding sale of 2002 GO Improvement Bonds.
Mark Ruff from Ehlers & Associates, was present to provide information on the proposed sale of
2002 general obligation bonds in the amount of $2,420,000. A total of 7 bids were received with
United Bankers Bank of Blooming being the low bidder with 3.362% true interest rate. The
proceeds ofthe bonds will go to reimburse the City for costs of improvements for Walnut Street 7th
Street East, CSAH 75 and Cedar Street. He added that Moody's Investor Services had given the
City a bond rating orA3 and the City's ability to maintain good cash balance reserves was one
t~lctor in determining the rating. There are four major factors in determining the rating: I) City
finances; 2) Social and economic j~lctors; 3) Management; and 4) llow growth is Inanaged. He
noted that Monticello had diversity in their tax base which he also felt was important.
CLINT HERBST MOVED TO ADOPT THE RESOLUTION A WARDING THE SALE or
olliE 2002 GO IMPROVEMENT BONDS TO UNITED BANKERS BANK OF
BLOOMINGTON AS RECOMMENDED BY TIIE CITY'S FINANCIAL CONSULTANT,
EHLERS AND ASSOCIATES. BRIAN STUMPF SECONDED THE MOTION. MOTION
CARRIED lJNANIMOlJSI,y'
3.
Public Hearing on adoption of the 2003 budget and tax levy.
City Ac.hninistratoL Rick Wolfsteller, provided background information on the 2003 budget and tax
levy noting that the City's increase in tax dollars collected over last ($283,939) is approximately
4%. There were no major changes from the preliminary budget that was adopted and the 1Inal
proposed tax levy is set at $6,782,018.00. The budget covers funding for the street reconstruction
project. increased police protection and debt service. Rick WolfstcIler stated that the Inarket value
increases due to inilation and new residential and commercial construction has allowed the City's tax
base to increase at a higher percentage rate than the City's levy increase. Clint I lerbst commented
on Xcel Energy's portion of the City's market value and how that has changed in the past few ycars.
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Special Council Meeting - 12/4/02
Mayor Belsaas opened the public hearing f()r Truth in Taxation. Mr. Lawrence Clausen stated that
his Truth in Taxation notice from the County indicated a 30% increase which he felt was excessive.
lIe pointed out that an article in the Minneapolis papers stated that apartment units could expect to
see about a 4% so he questioned why he was seeing a 30% increase. It was pointed out that the
valuation of his property had increased by about 10% (increased by $7.200) and the City's share of
the taxes increased from $315 to $380. The Council discussed the notice but was unable to
account for the 30<Yo increase and suggested that Mr. Clausen contact the Wright County Auditor.
It was noted that another resident had appeared bcfore the start of the meeting and her notice
indicated a 50% increase in taxes for her single family residence.
Thcre was no one clse present who spoke on the proposcd 2003 budget and tax levy. Mayor
Belsaas then closed the public hearing.
4. Adjourn.
CLINT HERBST MOVED TO ADJOURN AT 5:30 P.M. BRIAN STUMPF SECONDED TI-IE
MOTION. MOTION CARRIED lJNANIMOUSL Y.
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Recordll1g Sccretary
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