Minutes - Council - 12/05/2005 - Truth in Taxation

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Mayor Gamec stated the drug problem is a major problem but one other area of concern is domestic abuse. He stated methamphetamine is getting to be one major area, with recent drug busts and other things. He stated the last storm resulted in an accumulation of approximately $75,000. Some of the parks are filled with storm debris waiting until next year's budget for clean up. Mayor Gamec stated the City is committed to taking care of the citizens. Mr. Reiman stated he is looking for direction from the City Council to keep taxes as low as possible because he wants to stay in the community. Mark Winger, Ramsey resident for 28 years, stated he lives in the Elk River School District and his tax increases concerned him the last four or five years. He stated that he has been hit 20% every year for the past 5 years. Mr. Winger stated this year his taxes were increased 25%, but he didn't understand the math because his property valuation was increased by 15%. Mayor Gamec stated that Elk River School District really affects increased taxation. He stated that the Elk River School District gets hit the worst in the City of Ramsey. He noted that even though the City tax rate didn't go up that much, the School District tax rate went up a lot. Councilmember Cook stated Anoka School District is more established, whereas Elk River School District has new schools and growth in that school district. Mr. Winger stated the City of Ramsey tax rate went up approximately 25%; also the County tax rate went up. He stated that he felt the tax increase should match the 15% valuation increase. Ms. Lund explained tax increases could mean a 15% increase in market value plus the increase in overall levy increase. She stated the tax capacity rate has to be added also. She stated that otherwise, if the tax capacity rates stayed the same and the value went up 15%, citizens would see a 15% increase in the levy for taxes. Ms. Lund explained that the Elk River School District went from a tax rate of 109% to almost 114%, so there was a big jump. Mr. Winger asked if the City of Ramsey has more things included in the levy besides all the school levies. Ms. Lurid explained that the Ramsey tax rate went from 38.18% to 38.94% in the Elk River School District, the same as what it did in the Anoka School District. She explained that the Elk River School District alone went from 32.8% to 36.8% tax rate so that jumped 7%. Mayor Gamec encouraged citizens to come into City Hall for explanation about how taxes are calculated with Ms. Lund. He stated that it is difficult for the average citizen. Mayor Gamec compared Ramsey to other cities that had lower valuation, but higher taxes. He stated that services are not as good as they are in Ramsey. He stated his goal is to look at Ramsey and what the Council can do to hold down taxes. He stated that he hoped the City was on the right track. Larry Stanchfield, 9100 167th Avenue NW, stated he was still confused. He questioned if taxable market value goes up 15%, why the City of Ramsey taxes would be so much higher. City Council Truth in Taxation/December 5, 2005 Page 8 of 13