Laserfiche WebLink
<br />FC# 1 <br /> <br />ADOPT RESOLUTION APPROVING PROPOSED 2009 EDA LEVY <br /> <br />By: Diana Lund, Finance Officer <br /> <br />Background: <br /> <br />On November 28, 1998 the City Council approved a resolution creating the EDA for the City of Ramsey. The <br />resolution gives all the statutory powers of an Economic Development Authority (EDA) and Housing and <br />Redevelopment Authority (HRA) to the Ramsey EDA. <br /> <br />The EDA budget has been funded primarily through two sources: 1) the HRA/EDA Levy and 2) proceeds from <br />the sale of City/EDA owned property. <br /> <br />As mentioned above, a possible funding mechanism for theEDA is the passing of a levy. The levy is based on <br />the City's taxable market value and for payable 2009, the City would be allowed to levy $430,598. The <br />majority of the levy would be used to purchase properties that are targeted for development/redevelopment and <br />to fund consulting services such as appraisal services attributed to the desired property. The EDA levy is not <br />limited to housing and/or redevelopment, but can be spent on such items as vacant land, monument signs and <br />other economic development related activities. <br /> <br />At the EDA's monthly meeting on Thursday, September 4,2008, the EDA authorized a levy of $291,705. The <br />amount levied for 2007 and 2008 payable had been $393,375. As this being a levy limit year, and the EDA is <br />included in levy limits (General levy and EDA are under levy limits), the EDA levy was reduced to meet the <br />maximum levy limit. <br /> <br />The proposed levy of $291,705 would place a $24.54 tax on a residential home valued at $200,000. In <br />comparison, a home valued at $200,000 in 2008 was levied an annual amount of $34.27 based on the $393,375 <br />adopted levy. <br /> <br />The enabling resolution adopted in 1998 requires that all recommendations by the EDA be sent to the City <br />Council for approval before any action is taken. <br /> <br />Recommendation: <br /> <br />Based on the recommendation of the EDA to recommend Council approval of the EDA Levy for payable 2009 <br />in the amount of$291,705. <br /> <br />Committee Action: <br /> <br />Motion to recommend Council Adopt Resolution #08-09-XXX approving the recommendation of the EDA and <br />approve the Proposed EDA Levy for Payable 2009 in the amount of$291,705. <br /> <br />Review Checklist: <br /> <br />City Administrator: <br />Finance Officer <br /> <br />I<~~ <br /> <br />FC: 09/8/08 <br />