12-06-10 CC Sp Mtg AgPCITY OF SHOREWOOD
CITY COUNCIL SPECIAL MEETING
MONDAY, DECEMBER 6, 2010
AGENDA
5755 COUNTRY CLUB ROAD
CITY HALL
7:00 P.M.
Attachments
1. CONVENE CITY COUNCIL SPECIAL MEETING
A. Roll Call
B. Review Agenda
Mayor Liz& _
Bailey_
Turgeon
Woodruff
Zerby
2. TRUTH -IN- TAXATION PUBLIC HEARING
A. Staff Presentation
B. Public Hearing
C. Council Deliberation/Decision to Reconvene
Finance Director CAR
3. ADJOURN
A
Department Council Meeting Item Number
Finance December 6, 2010 #2A
From: Bruce DeJong, Finance Director
Item Description: 2010 Truth -in- Taxation Presentation
Background / Previous Action
The City Council adopted a preliminary budget and tax levy on August 23. That information
was sent to Hennepin County who used the County Assessor's property values to determine an
estimated tax rate. This information was combined with taxes from other jurisdictions to
create a Truth -in- Taxation statement for each property which was mailed in November 15.
For this meeting, the City Council is holding a public hearing to allow taxpayers an opportunity
to discuss the budget in general, specific budget areas, and the level of property tax levied by
the City of Shorewood. This meeting is not designed for property owners to discuss property
value, which was set earlier in the year at the Board of Review held from April through May.
The required elements for the Truth -in- Taxation process are:
1. The proposed property tax levy was certified to the county auditor by September 15.
2. The public meeting is held at the scheduled time and place indicated on the TNT
notice.
3. The proposed property tax levy and proposed budget are discussed at the meeting.
4. The public was invited and allowed to speak and to ask questions concerning the
budget and proposed property taxes at the public meeting.
5. The final property tax levy and the final budget were adopted.
6. The final property tax levy does not exceed the proposed property tax levy.
7. The final property tax levy was certified to the county auditor by December 28, 2010.
8. Form TNT -2011 is submitted to the Dept. of Revenue after the final tax levy is adopted.
Items in bold will be discussed at the Public Hearing on December 6.
Staff Recommendation
Staff recommends that the City Council hold the public hearing and accept public input on the proposed
budget and tax levy. The final budget and tax levy will be on the agenda for adoption at the December
13` meeting.
Attachment: PowerPoint Presentation
1 1 •
r- - - r
Jil
Discuss •- . change
.
o - comm
0 ��
a jamb
• Police Protection
• Fire Protection
• Snow Plowing
• Parks& Recreation
• Building Inspections
Other • -
if
me • ' •
Levy limits in place for 1
Shorewood i -• an increase in •' ••,
Budget anti•. - use of $160,000 reserves to
balance expenditures
Transfers • i, Funds are planned
Expenditures will decrease 1.8% from 2010
r r � a I 11 IQ V
11 1
$6,000,000
$5,000,000
$4,000,000
$3,000,000
$2,000,000
$1,000,000
$0
2007 2008 2009 2010 2011
Expenditures
N
r:.___ o
Intergovern-
mental
1%
License
Permit
2%
Charges for
Service
Transfers & Use of
Misc Reserves
Taxes
89%
I 11 1 ` 11111111 `11P 1`1111
i�
a M.
Safety
35%
N Lill 10,
II
$5,000,000
$4,000,000
$3,000,000
$2,000,000
$1,000,000
$0
2007 2008 2009 2010 2011
Expenditures
Tax Assessment & Levy Timeline
10/1/08 - 9/30/09 1/2/2010 April—June, 2010 Nov, 2010 2011
• County analysis
of sale trends
applied to all
properties
• Changes based
on properties
with similar
characteristics
and in similar
neighborhoods
• This process
equalizes value
among all
parcels
• Owners may
challenge
assessed value
based on
comparison to
other similar
properties
• Truth-in-
Taxation
notices mailed
to each parcel
in the state
• Payable May
15 and October
15 each year
•'' . 1
2010 Value
2011 Value
2010 Tax
2011 Tax
$ Change
$250,000
$230,250
$653.85
$655.08
$1.23
$419,000
$386,000
$1,095.85
$1,098.21
$2.36
$500,000
$460,500
$1,307.70
$1,310.17
$2.47
$750,000
$690,750
$2,125.01
$2,100.93
- $24.08
$1,000,0001
$921,0001
$2,942.33
$2,919.78
- $22.54
III 11 i�ii llllli 11 ME I I I I li!�� i I : 1I
• i V4 I 1111111� jlll� llll�
City
22.0°
County
36.6%
• I'
RNMOTO
nistrict
701 EM O O
mg
Total 0
Tax Change
# of Parcels
% of Parcels
Decrease
662
29.2%
+0 -4.9%
1450
63.9%
+5 -9.9%
146
6.4%
+10% and higherl
101
0.49/o
Properties in the city experienced an average
decline in value of •'•• your property changed
by different percentage, then you will experience
different results from those shown above.
Source: Hennepin County Assessor's Office
N 0
Total i Change '
Tax Change
# of Parcels
/ of Parcels
Decrease
680
29.5%
+$0 -199
1262
54.7%
+$200 -399
205
8.9%
+$400 -599
58
2.5%
+$600 -799
44
1.8%
+$800 =999
13
0.6%
+$1,000 and higher
46
2.0%
Source: Hennepin County Assessor's Office
E ma I W
m,
at this time.