Alice Pickering
Wyoming Area Reporter

Most questions at the Truth in Taxation hearing Dec. 4 in Wyoming were about the amount of the cityís fund reserves.

City Administrator Craig Mattson said the city is in good shape and there is an increase in anticipated revenues.

That, in combination with conservative budgeting, has helped keep the city in good financial health. The accounting firm which completes the city audit was to bring information about city finances up to date this week.

Mattson referred to one bond on which the city must make payments, but has not yet included the amount in the levies. The bond is included in the 2007 levy for the first time. He said it hasnít gone unpaid, but no money had been bonded for it. Payments have been made from other unanticipated revenue.

According to Mattson, there are about $4 million in reserves, and the enterprise fund has a balance of $700,000. This information was up to date Sept. 5.

More questions

While the public hearing about the proposed budget and levy for 2007 was Dec. 4, there were questions about both at the city council meeting Dec. 5.

Rodney Hestekin, a former mayor, asked about the increases in the commercial property taxes proposed. He urged a concerted effort to get more businesses to settle, expand, develop and start in the city.

Mattson said one thing the city can do to increase its reserves is to change from vehicle leasing to vehicle purchases. He said it costs from one-third to one-half more to lease vehicles than to make the purchase.

There may be ways the city can make the purchases, with departments making payments back to the city, in effect allowing the city to finance the purchases, saving on interest. This can be done with police vehicles and public works vehicles.

Hestekin also asked if some of the bigger equipment purchases, as the snorkel truck for the fire department might not be shared purchases between departments. There are mutual aid agreements between cities and departments which include equipment.

Hestekin said he is concerned that only about five percent of the tax revenue in the city comes from commercial/industrial property. The state average is about 16 percent. He thinks increases in commercial property could and should be made.

Someone asked about renting space for police offices from a property owner who must pay taxes, which affects the rent. If the city owns the property, it does not pay taxes.

The proposed 2007 budget recommendation is $1,844,736.23, down from the originally proposed $2,041,121.

The proposed amount for the 2007 operating levy is $1,754,261.23, down from $1,767,793. Questions were answered before the planned end of the meeting and no continuation was scheduled.

The resolution about the budget and the levy will come to a vote at the council meeting Dec. 19. It must be certified with Chisago County by Dec. 27. Ten residents attended the public hearing.

Drainage work

In a wrap-up about the recently completed downtown drainage project, Mattson said the work was $16,615. Councilman-elect Gary Menne asked if the legal and engineering costs have been determined. Mattson said a meeting is to be scheduled with Attorney Tom Miller and Engineer Mark Erichson to set final professional fees. Cap for the entire project is $21,000.

In his report, council member Ted Phillips said Trailhead Development is continuing to pursue development plans for a project in the northern part of the city on what was the Bingham property.

Phillips spoke in support of Xccent locating in the southern part of Wyoming. He spoke in support of the increase in the commercial tax base in the city. The city has secured a $500,000 grant to extend utilities to the edge of the city. More jobs are likely to be developed as the company expands.

Phillips said Xccent will make a positive contribution as Polaris has. Property taxes have increased on land acquired. As important are the future tax revenues on the commercial improvements to the land.

In response to criticisms about Xccent, he pointed out the company is purchasing the land, rather than merely leasing it. That is a commitment to stay in the area.

Phillips also observed there had been opposition to Fairview Lakes Medical Center, but that the medical center will contribute $139,000 to the city in the form of payment-in-lieu-of-taxes in 2007.

Council member Tom LaBarre agreed with Phillips. ìItís tough to find good businessesî and interested ones should be encouraged and assisted to locate in the city.

The planning commission will begin review of the comprehensive plan in January.

Mayor Sheldon Anderson wants to invite some members of the township commission to participate in the review. Anticipating action on the merger, the work the group does should help the expanded city on the way to smoother transition.

Roger Elmore, chair of Wyoming Town Board, attended the meeting and said the action is permissible and no joint powers agreement is required until the merger is finalized.

Anderson asked Bill Eisenmenger, maintenance supervisor, to check on installing an art rail in the library.

Other business

In other business, the council:

ïAccepted the resignation of Ben Dougherty from the planning commission, effective to Nov. 29. There is at least one candidate who has submitted a request to serve on the commission and who will be interviewed.

ïApproved payment of the bills.

ïAccepted reports from department chairs, legal and engineering.

Top of Page