Agenda - Council - 12/20/1983 - Laserfiche WebLink

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! I I ! I I I I ! I ! I I I ! I I I I This figure (the PSAF) is then compared to minimum and maximum levels of aid which are also calculated by statutory formulas. These "outer boundaries" of aid limit the amount a city's aid may increase or decrease from year to year. A maximum aid amount is computed by totalling a city's 1983 attached machinery aid, reduced assessment credit and 106% of its 1983 local government aid.l~/ A maximum aid reduction is calculated by combining a city's 1983 local government aid with its attached machinery aid and its reduced assessment credit, then subtracting an amount equal to three-quarters of a mill times the adjusted assessed value.18/ This maximum aid reduction essentially creates a minimum aid amount. If the PSAF is more than the maximum, the maximum aid amount applies. If the PSAF is less than the minimum, the minimum aid amount applies. In all other cases the preliminary state aid factor governs.19/ For the 1984 aid year, two additional adjustments were made. Because the sum of all the final aid factors exceeded the total appropriation provided by the legislature, a reduction was made to all cities' aid based on preliminary aid factors, before comparison with the maximum and minimum limits. 20/ A second 17./ 19/ 20/ 1983 Act § 9. For Ramsey, this calculation was: $1818 + $164 + ($159,744 x 106%) = $171,311. See Ex. 3, line 29. 1983 Act § 12. For Ram sey, this calculation was: $161,726 - (.0075 x $60,480,929) = $116,365. See Ex. 3, line 30. Since Ramsey's preliminary aid factor was greater than its maximum, its maximum became its adjusted 1984 aid figure. Ex. 3, line 31. See 1983 Act § 15. Since Ramsey's PSAF exceeded its maximum aid amount even after the appropriation reduction, its final aid (Footnote continued)