Detroit Lakes, Minnesota
December 21, 2007
A special meeting of the City Council was called to order in the Council Chambers of the City Administration Building at 8:00 A.M., Friday, December 21, 2007; all members of the Council having been duly notified of the meeting and the business to be transacted:
Present: Mayor Larry G. Buboltz; Assistant City Attorney Charles Ramstad; City Administrator Robert Louiseau; Assistant City Administrator Lynne Krieger; Finance Officer Louis Guzek and Public Works Director Bradley Green.
Aldermen: Anderson, Aune, Brenk, Hannon, Heltemes, Imholte, Tucker and Zeman.
Absent: Alderman Tollefson; City Attorney William Briggs; Community Development Director Larry Remmen; Public Utilities Superintendent Curt Punt; City Engineer Gary Nansen; Building Official Calvin Mayfield; Liquor Store Manager Bradley MacMaster and Fire Chief Jeffrey Swanson.
Pursuant to a Truth in Taxation Hearing held on the 2008 budget and tax levy on December 19, 2007, and upon the recommendation of the Budget Committee, a resolution was introduced by Alderman Anderson, who moved its adoption, approving the final 2007 tax levy collectible in 2008, in the following amounts:
General Fund $1,697,066
Library Fund 242,591
Airport Fund 28,500
Equipment/Building Fund 306,600
Development Authority Fund 97,000
Permanent Improvement Fund 149,000
1999 Fire Hall Bonds 56,000
Total $2,576,757
The motion for the adoption of the resolution was seconded by Alderman Imholte. After questions, a motion was made by Alderman Heltemes, seconded by Alderman Zeman to amend the resolution by transferring $115,000.00 from the Liquor Fund to the General Fund so the tax levy would be reduced about 10 percent. Alderman Heltemes suggested the following:
Page 44 of the Budget: Reduce the levy by $60,000.00 in the Permanent Improvement Fund;
Page 35 of the Budget: Reduce the levy by $75,000.00 in the Public Works Equipment Fund (Transfer $75,000.00
from the Liquor Fund to the Public Works Equipment Fund);
Page 36 of the Budget: Reduce the levy in the Park Department Equipment Fund by $40,000.00 and utilize
$40,000.00 in additional revenue from the Liquor Fund;
Page 37 of the Budget: Reduce the levy in the Police Department Equipment Fund by $10,000.00; and
Page 12 of the Budget: Reduce the seal coating budget by $10,000.00.
Mayor Buboltz pulled both motions off the table to give the Council and staff time to review Alderman Heltemes’ proposal. Several Councilmembers requested that City Administrator Robert Louiseau and Finance Officer Louis Guzek compile information for the December 24, 2007, Meeting. Finance Officer Lou Guzek reviewed how the tax capacity rate is figured and recommended that rather than a one time transfer from the Liquor Fund, expenditures should be cut. City Administrator Robert Louiseau emphasized that if the Council wants to reduce the tax levy, the budget needs to be cut back by reducing services. Aldermen Zeman and Hannon advised the Council that they cannot support a 15% tax levy. Alderman Tucker emphasized that the tax levy is the sum of the decisions that are made over a 12-month period. There being no further comments, Mayor Buboltz, by general consent, adjourned the Council Meeting. (8: 26 P.M.)
Respectfully submitted,
Lynne Krieger
Assistant City Administrator