Agenda - Planning Commission - 11/04/2004

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Motion by Councihnember Elvig, seconded by Councilmember Pearson. to rati~ the recommendation of the Finance Committee and adopt resolution #04-09-265 Amending the 3004 Schedule of Rates, Fees and Charges to include the following: Water Permit-Commercial 1% of Job Value/Minimum $200 Sewer Permit-Commercial 1% of Job Value/Minimum $200 Daycare Inspection Fee $40/per trip Motion carried. Voting Yes: Mayor Gamec, Councihnembers Elvig, Pearson, Cook, Kin-ak, Strommen, and Zimmerman, Voting No: None. 2) Adopt Resolution Approving Proposed 2005 EDA & HRA Lev~.' Finance Officer Lund advised at the EDA's monthly meeting on Wednesday, September 8, 2004, the EDA authorized a lew of $233,306. The EDA chose to levy $200,306 through the EDA with $.33,000 via the HRA levy. The HRA lex'5, will remain in place so that the City will be able to collect $33,000 in fiscal disparities from the 2004 pool. If the City did not issue any portion through the HRA, the $33,000 in fiscal disparities would be' redistributed to other communities. As this being a non-levy limit ye.ar, by lewing through the EDA, the EDA levy Will be added to the General Fund levy in creating the City's starting levy limit if leD, limitations are placed on the City in succeeding years. The EDA and HtL~ levies are based on the market value, and a $200,000 home would pay approximately $29 on these levies. Councihnember Elvig noted the $33,000 would come from fiscal disparities. The EDA also levied approximately $200,000 last year. Councilmember Strommen explained the EDA put together a proposed budget outlining projects. The EDA has had an interest in having the ability to purchase properties that come up for sale in areas where they are looking to redevelop. The reality is land prices are ve~ high and $200,000 does not go very far. There is also $66,000 corning due for one project. Councilmember Elvig indicated the recommendation of the Finance C¢mmittee was to move this forward to the Council. He noted if the City purchases properties they are often sold at a profit. Having the money to work with is benet2ci.al to the City. Councitmember Kurak questioned if the City will receive an additional $33,000 back from the HRA lex.y, so that in essence there will be a $66,000 contribution to the City budget. Finance Officer Lund replied the funds are sitting in an account that is' waiting to be distributed to the lEDA fund, and is determined by a fonnuta. If the HtL, k leW is not distributed the funds would go to other communities. Mayor Garnec noted there has been quite a bit of discussion in regards to discontinuing fiscal disparities. P36 CiW Council/September 13, 2004 Page 12 of 29