|
Cliff Buchan
News Editor
A proposed tax and spending plan
for the city of Forest Lake for 2008 that has been in the pipeline
since September will go to the required public hearing next Monday.
At
7 p.m. Monday, the Forest Lake City Council and City Administrator Chip
Robinson will preside over the annual Truth in Taxation public hearing.
The
city staff has prepared a preliminary general fund levy of just over
$7.2 million to support the general fund and debt service in 2008.
The proposed levy represents a 9.9 percent growth from the $6.57 million the city levied against local taxes for 2007.
The
proposed budget includes $6.8 million for the general fund, plus
$347,161 for debt service and an economic development levy of $41,000.
The proposed tax levy is a key piece in providing the revenue to support the city’s proposed $15.4 million budget in 2008
The preliminary tax levy was approved by the council prior to the Sept. 15 deadline.
The
budget for 2008, Robinson said, takes into account a 4.1 percent market
value increase for city property, as determined by Washington County.
Cost impact
In
terms of the cost to taxpayers, the city has determined that a home
having market value of $250,000 can expect a $56 total tax hike for the
city share of the local property tax bill.
A home with $500,000
market value, can expect a proposed $100 increase in property taxes in
2008 for the city’s share of the local property tax bill, the city
reports.
According to city documents, the budget was built on the
philosophy of providing efficient and adequate government services
while maintaining fiscal responsibility to the taxpayers.
How FL rates
According
to a Citizens League report this fall, the city of Forest Lake ranks
ninth from the bottom among 113 metropolitan communities for its rate
of taxes paid in 2007.
The report placed Forest Lake 104th on the list, down two spots from 106th a year ago.
The
Citizens League ranks property taxes on homeowners by the effective tax
rate on a community’s average value home. The effective tax rate is the
percent of a home’s market value that is paid in property taxes.
The average market value home in Forest Lake is $279,118 in 2007, up $26,362 from the 2006 average market value of $252,756.
City taxes increased on average by $112 from 2006 to 2007, going from $737 to $849.
When
all property taxes are lumped, Forest Lake residents on average saw a
total tax bill of $2306 in 2007, compared to $2097 in 2006, according
to the Citizens League report. That was an increase of $209.
Next steps
There
has been some hint of action by council members to lower the levy and
budget for 2008, but as of this week, no direction to city staff as to
what those cuts could be has been given.
The plan that Robinson
will present to the public on Monday is identical to a budget work
session the council presented to the public in October.
The
hearing on Monday will be an opportunity for the elected officials and
city staff to explain plans for 2008 and collect input from the public.
If
needed, the public hearing may be continued to Monday, Dec. 10. That is
the one remaining regular business meeting for the council this month.
Robinson
said this week he will ask for final budget approval and the final tax
levy certification at the Dec. 10 meeting. The council has canceled its
meeting on Monday, Dec. 24.
|
