HomeMy WebLinkAbout2009-09-08 - Council MinutesCITY OF CORCORAN
SPECIAL CITY COUNCIL MEETING
September 8, 2009
CALL TO ORDER AND ROLL CALL
The Corcoran City Council met on September 8, 2009, at City Hall in Corcoran, Minnesota. Present
were Mayor Guenthner, Councilor Milbrandt, Councilor Hudok, Councilor Gmach and Councilor
Thomas. Also present were City Administrator Donahue, Chief Gormley, and Cpl Hamilton. Mayor
Guenthner called the meeting to order at 7:00 p.m.
Mayor Guenthner stated that this would be a meeting where the formalities would be dispensed with
in order to work through the several documents provided by staff.
The City Administrator gave a brief overview of the development and action by the council to date
on the 2009 Budget.
The City Administrator presented an updated draft of a City Performance to Date Report. The
council reviewed the report giving feedback on its content. The council agreed that the report is in
line with their expectation in providing necessary information on city wide performance of all
departments to date and forecasting end of year budget expenditures and revenues.
The council next began reviewing the draft of a proposed 2010 Budget submitted by staff.
Considerable time was spent going over the line item detail. The draft budget has expenditure
exceeding revenues by $173, 050.
The council next considered three scenarios for the 2010 Property Tax Levy. Administrator
Donahue informed the council that the Property Tax Levy would be on the September 10, 2009
council agenda as a resolution setting the maximum property tax levy had to be passed and to
Hennepin County by September 15, 2009. The three scenarios presented were:
A. Keeping the Tax Capacity Rate at the 2009 level of 30.677. This scenario would produce
less revenue by $161,885.
B. Increasing the Tax Capacity Rate in order to generate the same revenues in 2010 that were
generated in 2009. This increased the Tax Capacity Rate from 30.677 to 32.820.
C. Increase the Tax Capacity Rate to the maximum allowed by state law. This increased the
Tax Capacity Rate to 34.009 and generated $132,066 over the total levy in 2009.
The council discussed at length the pros and cons of each scenario and the implications. At the end
of the discussion, the council indicated it was leaning towards levying a property tax that was at the
maximum allowed as the 2010 Budget was far from being finalized and there were too many
unknowns. Also, the council noted that the preliminary levy once passed by the council could
always be lowered but that it could not be increased. The council also took under advisement the
recommendation to hold the Truth In Taxation Hearing on the 2010 Budget on Monday, December
7, 2009.
Council adjourned at 9:00 pm.
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Dan Donahue, City Administrator
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