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Mary, a residerS, stated that she understood that the City needs more money, but she had a <br /> h t e fact that the City was losing $426,000, but they are looking at collecting <br />problem wi! <br />$525,000 in £ran~hise fees and that in 2005 they will still be paying the fee. <br /> <br />Mark Brobe~g ir~quired if it was a set amount of money the City needed then why is it going to be <br />a percentage ~onan undefined source of money. <br /> <br />Mayor Gam~ c ro. plied that if' for some reason the rates increase, the franchise fee may be able to <br />be reduced. It will probably be an issue that the Council will have to review every six months. <br /> <br />Mr. Broberg[ ~ncluired if there was a limit on the amount that the City can collect in property <br />taxes. <br /> <br />Mayor Garn~ rePlied yes, which is why the City has to look at other funding options. He stated <br />that he woul~ prefer to have one tax for the people rather than having to charge all the additional <br />fees. <br /> <br />Mr. Broberg !nqtiired if the City was not able to increase their levy limit even with all the grOwth. <br />Mayor Game replied that that was true. <br /> <br />Mr. Brobergista!ed that as new houses are built in the City, that increases the value of the <br />property, which, Creates~ more revenue. <br />Mayor Game;i: explained that it does not increase revenue for the City, but it does increase the <br />valuation of the City. <br /> <br />Finance OffiCer I~und gave a brief review on how levy limits impact the City. <br /> i :64~h <br />Erika Sitz, 6 21 I1 Lane NW, Ramsey, stated that typically she is willing to pay taxes and <br />firmly beliewls ia paying taxes, but she felt that adding franchise fees was too much. The City <br />tax and City t!xpOnses are too much. She felt that there were still cuts that the City could make. <br />Ms. Sitz expl fine~d that she moved into the City of Ramsey in 1977, and there were few services <br />and Iow taxes~ She did not see any reason why they should be providing new services when they <br />are chasing giowi~h. Two contradictory things are occurring because when they have growth it <br />increases the tax it~ase so taxes go down but it creates more expenses. She stated that she was <br />opposed to t~.e fr~tnchise fee and thought that the City Council should be looking at additional <br />cuts. She su igesied researching the possibility of sharing expenses with other communities, or <br />other units of government. <br /> <br />Motion by CCun~ilmember Pearson, seconded by Councilmember Cook, to close the public <br />hearing. <br /> <br />Motion carrie~d, i Vot~ng Yes: Mayor Gamec, and Councilmembers Pearson, Cook, Kurak, <br />Strommen, an~lZimmerman. Voting No: None. <br /> <br />City Council/June 24, 2003 <br />Page 15 of 37 <br /> <br /> <br />