Minutes - Council - 02/12/1991 - Laserfiche WebLink

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Motion carried. Voting Yes: Mayor Gilbertson, Councilmembers Cich, Beyer, Hardin and Peterson. Voting No: None. PRESENTATION Senator Greg Dahl was present and expressed his appreciation of the opportunity to visit with the Ramsey City Council. He also introduced his wife Stacy. He commented that the biggest concern at this point seems to be budget cutting. He reported there was no way of knowing what the cuts would be; however, sometimes budget cuts offer the opportunity to look at other state programs and make necessary changes. He stated that the Governor had announced he would try to balance the budget in its entirety with cuts. This may mean a shift of funding from the State to Local Government which could increase taxes. He added that the transfer of payments are the vast majority of the budget and with all the cuts being discussed, the government has to become more creative to look at means to cut programs to balance the budget. He compared it to a family who has to tighten its budget where they only buy what is absolutely necessary and he felt the State needs to also look at the most important items in the budget. He stated that the budget is figured out for 2-1/2 years in advance and it's difficult to determine the amounts to the dime. He stated that it is not known what exactly will happen, but that a recession is predicted and the gap between revenue and expenditures can only be closed by spending less money. He stated an initial idea was that if there wasn't a recession, the budget could be balanced using reserve accounts; however, two weeks ago, it was announced that bigger budget problems were forthcoming so the reserve accounts needed to be kept intact. The only way to balance the budget without dipping into the reserved budget would be to make cuts. The decisions are tough to make. Upon inquiry as far as foreseeing raising levy limits for local governments, Senator Dahl replied that he had never served on the Senate Tax Committee and although he was well informed in tax areas, he did not claim to be an expert. He added the local units of government should be allowed to raise the levy on the local level. He added that he had heard all levy limits would be eliminated - if they are eliminated, we might see too nmch increase. This is under discussion by the Senate Tax Committee. Councilmember Peterson expressed concern with school district cuts stating they've had cuts in the past and haven't received any other funding. Senator Dahl said the funding has to be there. He reported that tie had worked on a number of environmental issues. One project included the recycling of car batteries. He wanted a program with no government involvement so he worked with retailers, smelters and service stations to put together the bill. The deal was - you buy a new battery and bring in your old one or else you pay $5.00 rnore. This is country wide now. There is no state agency employee involved; only private sector and incentive. One needs to be creative in structuring programs. You can accomplish the results you want without burden to local governments by trying to find an efficient, cost effective program. Senator Dahl stated he had served for nine years and saved hundreds of millions of dollars by asking tough questions and making them justify the program or the program is cut. As soon as five million dollars has been saved, it gets swallowed up.He added that he's as fiscally conservative as can be. He's encouraged when lie sees his colleagues asking the tough questions. He reported there is a continued increase in medical assistance and it has been that way for the last five years. This program is staliug money fi'om education, etc. Tougher questions need to be asked with regard to welfare. A "gate-keeper" type of system could be effective with regard to welfare. We must meet thc needs, but do it cost effectively and also accountability is needed. Senator Dahl closed with a thank you and gave his office and home phone numbers in case anyone wanted to discuss anything with him, had a problem or any questions. Case #9: Development of Flintwood Hills 5th Addition Mr. Art Raudio expressed his gratitude to City Staff for working with him and doing what was right to get his plat approved. He explained that in 1984 he did Flintwood Hills as a PUD and that he did the 3rd and 4th Additions based on that procedure and precedent. Now he has a chance to sell the last lots out of Flintwood Hills so he thought he follow the same procedure for final plat City Council/February 12, 1991 Page 10 of 12